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Income Tax - Highlights / Catch Notes

Home Highlights June 2014 Year 2014 This

Deletion of penalty u/s 271(1)(c) of the Act – Payment as labour ...

Income Tax

June 5, 2014

Deletion of penalty u/s 271(1)(c) of the Act – Payment as labour charges made disallowed u/s 40A(2)(b) - estimation at 15% being made merely on estimation do not attract the penal provisions - AT

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  1. Deletion of disallowance of labour charges – assessee could not substantiate with corroborative evidences the genuineness of the cash components of the labour charges -...

  2. Penalty levied u/s 271(1)(C) - deemed income being loss claimed and disallowed - The AO has also not specified the charge on which penalty is being levied - No penalty - AT

  3. Deletion of penalty u/s 271(1)(c) - Issues on basis of which ALP shown by the assessee has been rejected are debatable - No penalty - AT

  4. Labour charges paid to the female relatives of the directors disallowed u/s 40A(2)(b) - there was no finding the effect that the labour charges paid were in excess of...

  5. Addition u/s 40A(2)(b) - payment sub-contractors who are the relative of the partners - the authority had rightly disallowed the expenditure so claimed by the assessee - HC

  6. Penalty levied u/s.271(1)(c) - excess expenses disallowed and suppression of receipts - being bonafide mistake in accounting the total contract receipts, no penalty.

  7. Imposition of penalty u/s 271(1)(c) – the penalty imposed for disallowing claim of expenditure on foreign education and foreign travelling cannot be upheld - AT

  8. Penalty u/s 271(1)(c) - disallowances in the quantum assessment order - whether any concealment or furnishing of inaccurate particulars proved? - Tribunal directs...

  9. Applicability of section 40A(3) – Payment made of bottling charges - Rule 14 of the Karnataka Licenses General Condition Rules, 1967 mandates cash payment or not - Held No - HC

  10. Deletion of addition made on account of excise duty – The Excise Duty was paid under protest - merely because assessee contested the liability, the same cannot be disallowed - AT

 

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