TMI BlogProcedure for consequential revision in cases where more then one direct tax involved.X X X X Extracts X X X X X X X X Extracts X X X X ..... n cases where more than one direct tax laws are involved. 2. The recommendation was made in the context of failure in one case to revise the income-tax assessment on the revision in appeal of interest-tax liability which is an allowable deduction in computing the total income under the Income-tax Act by virtue of section 18 of the Interest Act. In this regard, attention is invited to boards inst ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... :- i. Under rule 2 of the First schedule to the companies surtax Act, in computing chargeable profits, the amount of income-tax payable by the company has to be deducted. Therefore a modification in the assessment under the I.T.Act will require a consequential modification under the companies (profits) surtax act. ii. Under section 21 of the Hotel Receipts Tax Act, 1980 the amount of tax payab ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and the liability under the Expenditure-tax Act 1987 will be allowable as deduction. However by virtue of section 43 B of the income-tax act it will be restricted to the actual sum paid. In case of reduction of liability to the actual sum paid. In case of reduction of liability by way of appeal etc. the excess amount of expenditure-tax will be refunded. Such refund will be chargeable to income-ta ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rectification registers maintained by the Assessing officers, a column should be added to indicate whether any consequential action, required to be taken in pursuance of the modified order, either under the same enactment or under any other direct tax law has been taken or not. This would also help in ensuring that any modification in the assessment of a firm is given effect to in the assessment o ..... X X X X Extracts X X X X X X X X Extracts X X X X
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