In Income-Tax Officer V/s. Techspan India Private Limited and Another, reported in  404 ITR 10(SC), the Supreme Court reiterated the settled principle of law laid down by the Supreme Court in CIT V/s. Kelvinator of India Ltd.  320 ITR 561(SC) that the Assessing Officer has a power only to reassess and has no power to review the assessment order. Thus, it held that no re-opening notice can be issued which is premised on a change of opinion
The Querist is a private limited company. For the assessment year 2008-09, the querist filed the return of income declaring total income of Rs.17,18,090 and claimed refund of Rs.6,68,460. During the course of scrutiny assessment, the Assessing Officer objected to the assessee’s…
The law is clear that the assessee deductee is entitled to credit of the tax deducted at source with respect to amount of TDS for which Form No.16A issued by the employer deductor. The department has to give credit of tax deducted at source to the assessee – deductee to the extent form no.16 A issued by the deductor
What is “diversion of income by overriding title”?
The concept of diversion of income by overriding title is to be applied in situations which are clear and where the existence of the title in the legal or natural person in whom an overriding title is to be recognized is also certain, and the facts are such as to warrant the conclusion that the income is not that of the recipient, but in fact the income of the person in whose favour an overriding title is to be recognized
The charge is not on gross receipts but on profits and gains properly so called. Gross receipts or sale proceeds, however, include profits. The word “profits” in section 28 should be understood in normal and proper sense. However, subject to special requirements of the income-tax, profits have got to be assessed provided they are real profits
Is there a TDS obligation u/s 194-H of Income Tax Act when making payment to dealers for sim cards?
In the case of the telecom company, it is the owner of the prepaid voucher/SIM card and not the wholesale dealer. It is the telecom companies who are providing the services to the distributors on prepaid package. If at all, there is an agency relationship on which TDS is required to be deducted on the commission paid to the dealers is qua the cellular operator and the wholesale dealer
Is there a time limit for holding an assessee in default for default of Tax Collection at source?
The consistent view has been taken by the various Hon’ble High Courts on this issue that when no limitation is provided in the statute then a period of four years is considered as reasonable for passing the order U/s 201(1)/201(1A) of the Act. The provisions of Section 206C of the Act are analogous and a measure for compliance of collection of tax at source as a similar measure for compliance of deduction of tax at source is provided U/s 201 of the Act
Is section 54 benefit available for property bought by unregistered deed?
The Hon’ble Supreme Court has opined that when an unregistered document is tendered in evidence, not as evidence of a completed sale, but as proof of an agreement of sale, the deed can be received in evidence making an endorsement that it is received only as evidence of an oral agreement of sale under the proviso to Section 49 of the Act of 1908