Month: October 2010

Sitting list and assignment of Judicial Work on the Original side of the Bombay High Court on and from Monday, the 15th November 2010

Book Release: “151 Frequently Asked Questions On Survey”

Book Release: “Media & Entertainment Industry”

Foreign Exchange derivative transactions entered into by the corporate sector in India have witnessed a substantial growth in recent years. This combined with extreme volatility in the foreign exchange market in the last financial year is reported to have resulted in substantial losses to an assessee on account of trading in forex-derivatives. A large number of assesses are said to be reporting such losses on ‘marked to market’ basis either suo motu or in compliance of the Accounting Standard or advisory circular issued by the Institute of Chartered Accountants. The issue whether such losses on account of forex-derivatives can be allowed against the taxable income of an assessee has been considered by the Board. In this connection, I am directed to say that the Assessing Officers may follow the guidelines given below

Pursuant to the public criticism of the Finance Minister at the mindless litigation undertaken by the department causing loss of crores of rupees to the nation (see Fret Not, Mr. FM, About Appeal-Filing Mania & Grasim superseded .. but whither accountability?), the CBEC issued a Circular to streamline the processing of departmental litigation before the Courts and Tribunal. The Directorate General of Income Tax (Legal & Research) has now issued a directive to regulate the filing of Special Leave Petition (SLPs) before the Supreme Court

In pursuance of the consultations of the collegium of the Income Tax Appellate Tribunal consisting of the President and two senior-most Vice-Presidents, the following Members of the Tribunal are hereby transferred in public interest, in the same capacity, to the Bench/es of the Income Tax Appellate Tribunal as shown against their names with effect from the afternoon of 25th October, 2010

I agree with the point made by the Members that it is not proper to continue with the Special Bench when the same issue is pending adjudication for the earlier years before the Hon’ble Bombay High Court. I am of the humble opinion that such continuance will not be in conformity with judicial discipline, propriety and decorum. The appropriate course will be to disband the Special Bench and allow the regular Bench to decide the issues in accordance with law