Pursuant to the recent arrest of Principal Commissioner Sailendra Mamidi and other top officials by the CBI for allegedly demanding and receiving bribes from taxpayers, the CBI has filed a report in Court in which it has presented an alleged nefarious nexus between fixers, businessmen and corrupt Income Tax Department officials.

Vide Order No. 3 – FT& TR/2015 dated 21.10.2015, the CBDT has set out the jurisdiction for DRPs at Mumbai. Vide another order No. 4 – FT& TR/2015 also dated 21.10.2015, the CBDT has set out the jurisdiction for DRPs at Bengaluru.

The CBDT has issued a press release stating that the Rules for determining ALP have been amended to allow for introduction of a “range concept” for determination of ALP and “use of multiple year data” for undertaking comparability analysis in transfer pricing cases. The amended regime will be applicable for computation of ALP of international transactions and specified domestic transactions undertaken on or after 1/04/2014.

In order to improve the taxpayer services, enhance the efficiency and to usher in a paperless environment for carrying out the assessment proceedings, CBDT has decided to initiate the concept of using email for corresponding with taxpayers and sending through emails the questionnaires, notice etc. at the time of scrutiny proceedings and getting responses from them using the same medium on a pilot basis. This would eliminate the necessity of visiting the Income-tax Offices by the taxpayers, particularly in smaller cases, involving limited issues and where taxpayer is able to provide details required by the AO without necessitating his physical presence

The CBI has issued a grim press release stating that a Principal Commissioner of Income-tax has been arrested for allegedly demanding a bribe of Rs. 10 lakhs. His unaccounted wealth is reported to be around Rs. 30 crore

The CBDT has issued Instruction No. 15/2015 dated 16.10.2015 in which it has set out revised and updated guidance for implementation of transfer pricing provisions. The Instruction sets out the circumstances in which a reference can be made to the TPO by the AO, the role of the TPO when such a reference is made, the role of the AO after determination of the ALP by the TPO, etc. The Instruction is of crucial importance to all taxpayers and professionals engaged in the practice of transfer pricing law

The CBDT has issued a press release dated 14.10.2015 stating that the condition of obtaining the certificate for claiming expenditure under section 80DDB in respect of specified ailments from a specialist working in a Government hospital has been amended. As per amended Rule 11DD, the prescription can be issued by any specialist mentioned in the amended Rule. Henceforth, it will not be mandatory to obtain a certificate from a specialist working in a Government hospital

The CBDT has issued Office Order No. 198 of 2015 dated 13.10.2015 stating that in order to address the large pendency before DRPs at Mumbai and Bengaluru, the CBDT has decided to create additional Benches i.e. DRP-3 at Mumbai DRP-2 at Bengaluru until further orders

The CBDT has issued Instruction No. 14/2015 in which important directives have been set out with regard to framing of scrutiny assessments in cases of assessees engaged in the business of Mining Click here to download CBDT Instruction No. 14/2015 …

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