Subscription   Feedback   New User   Login      
Tax Management India .com
TMI - Tax Management India. Com
Articles Highlights TMI Notes SMS News Newsletters Calendar Imp. Links Database Experts Contact us More....
Extracts
Home List
← Previous Next →

DIRECTOR OF INCOME-TAX (INTERNATIONAL TAXATION) Versus CITIBANK N.A.

2015 (11) TMI 407 - BOMBAY HIGH COURT

Disallowance of guest house expenses - ITAT allowed the claim - Held that:- The appeal by the Revenue to the Tribunal was dismissed in view of the fact that sub-section (4) of section 37 of the Act was deleted from the Act with effect from April 1, 1988. Thus, disallowance of the guest house expenses for the assessment year 1999-2000 in the absence of section 37(4) of the Act was not proper. Thus in view of the clear and self-evident position of law during the subject assessment year, viz., abse .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

s held that even if no TDS is deducted, the payments made to visa card international and master card international on account of fees could not be disallowed in view of article 26(3) of the Indo-US Double Taxation Avoidance Agreement (DTAA).- Decided against revenue.

Notional loss arising from unmatured foreign exchange contracts - whether allowable when the loss is neither a definite liability nor a legal liability as held by ITAT ? - Held that:- o ground made out in the appeal memo .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

d Ms. Sneha Oak, instructed by Kanga And Co., for the respondent. JUDGMENT 1. This appeal under section 260A of the Income-tax Act, 1961 ("the Act"), challenges the order dated January 13, 2012, passed by the Income-tax Appellate Tribunal ("the Tribunal") for the assessment year 1999-2000. 2. The Revenue has formulated the following questions of law for our consideration : "(a) Whether, on the facts and in the circumstances of the case and in law, the Tribunal is correct .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

e provisions of article 26(3) were not attracted in the case, and especially for the year in question. (c) Whether, on the facts and in the circumstances of the case and in law, the Tribunal is correct in holding that notional loss arising from unmatured foreign exchange contracts is allowable when the loss is neither a definite liability nor a legal liability as mandated by the Supreme Court in the decisions in the cases of Bharat Earth Movers [2000] 245 ITR 428 (SC) ; [2000] 112 Taxman 61 and .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

Income-tax Act, 1961 ("the Act"). In appeal, the Com missioner of Income-tax (Appeals) ("the CIT(A)") deleted the disallowance on account of the guest house expenses as sub-section (4) of section 37 of the Act as the same was deleted with effect from April 1, 1988. 3. The appeal by the Revenue to the Tribunal was dismissed in view of the fact that sub-section (4) of section 37 of the Act was deleted from the Act with effect from April 1, 1988. Thus, disallowance of the guest .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

onal and visa card international being assessment and equipment fees. The payments were made by the respond ent-assessee without deducting tax at source. In view of the above, the Assessing Officer disallowed the entire amount of fees remitted, aggregat ing to ₹ 82.33 lakhs in terms of section 40(a)(i) of the Act. 5. In appeal, the Commissioner of Income-tax (Appeals) upheld the order of the Assessing Officer holding that visa card international and master card international have permanent .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

(Mumbai) wherein on similar facts, it was held that even if no TDS is deducted, the payments made to visa card international and master card international on account of fees could not be disallowed in view of article 26(3) of the Indo-US Double Taxation Avoidance Agreement (DTAA). 7. On a reading of the decision of the Tribunal in Central Bank of India (supra) with the assistance of the counsel, we find that the question raised herein is covered by the order in Central Bank of India (supra) rend .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

epted and merely followed by the impugned order. 9. We have repeatedly indicated (see CIT v. State Bank of India Income Tax Appeal No. 269 of 2013 rendered on February 4, 2015 [2015] 375 ITR 20 (Bom)) that whenever the impugned order of the Tribunal merely follows its earlier orders and the Revenue has accepted the earlier order by not filing an appeal therefrom, should normally also apply in subsequent orders. This of course unless the Revenue brings on record the reasons which necessitated/jus .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 

what is new what is new
  ↓     bird's eye view     ↓  


|| Home || Acts and Rules || Notifications || Circulars || Schedules || Tariff || Forms || Case Laws || Manuals ||

|| About us || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members || Site Map ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.

Go to Mobile Version