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 →

Commissioner of Income-Tax Versus Sri Magunta Raghava Reddy Charitable Trust

Entitlement to exemption u/s 11 - charitable activities - sale proceeds of the lands by assessee trust - Held that:- The assessee has purchased the lands to an extent of 71.89 Acres, in the year 1986-87, for the purpose of setting up a medical college and old age home. According to the assessee, permission could not be obtained from the competent authorities and thus, the lands purchased for the abovesaid purposes, in the year 1986-87, which fell within the ambit of Section 2(15) of the Income-T .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

he assessee, as to why, the assessee was constrained to sell the same. - Market value of the land purchased in the year 1986-87, cannot be expected to be static. Naturally, when it is sold after many years, it would fetch a higher value. Law also does not prohibit an assessee to sell the lands, less than the market value. Merely because, lands are sold at a higher rate, after a considerable period of time, that alone cannot be the sole criteria to contend that the activity of the assessee wa .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

for a span of considerable period, may reflect business or commercial activity, but the question to be decided, is whether, it is incidental to carry on the main purpose, charitable , which includes, (i) Relief of the poor, (ii) Education, (iii) Medical relief. - What emerges from the reading of the provisions and the Circular is that a trust or institution, whose purpose is advancement of any other object of general public utility, and recognised as charitable, under the fourth limb of Sec .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

of charitable purpose of the trust. Therefore, mere sale of an immovable property of the trust alone, cannot be the sole factor, to arrive at a conclusion that the income earned should be brought under the head, business income . In the case of trust or institution, whose predominant activity is not business, incidental activity of sales, carried out, in furtherance of and to achieve the main objectives of the trust or institution, should not be construed as business activity, solely with an in .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

T.C.A. Nos. 451 and 452 of 2016, C.M.P. No. 9327 of 2016 - Dated:- 14-7-2016 - S. Manikumar And D. Krishna Kumar, JJ. For the Appellant : Mr. J. Narayanasamy ORDER ( Order of the Court was made by S. Manikumar, J. ) Tax Case Appeals arise out of a common order made in I.T.A.Nos.2251 and 2252/Mds/2014, dated 29.09.2015, for the assessment years 2010-11 and 2011-12 respectively. 2. Short facts leading to the appeals are that the assessee, a trust, is running educational institutions, in the name o .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

On the same day, the case was taken up for scrutiny and notice under Section 143(2) was issued. In response to the notice, representative of the assessee appeared and filed the details called for, from time to time. On verification of the return of the income and other details, for the assessment year 2010-11, the assessing officer noticed that the assessee had disclosed an amount of ₹ 1,62,76,519/-, as profit on sale of land. Vide order, dated 04.09.2012, the assessee was required to subm .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

oachment of the land began being made by various elements. Therefore, the Assessing Officer decided to abandon the idea of medical college and old age home and decided to confine to running junior and egree colleges, drinking water and mortuary vans in the district of Nellore and Prakasam, in A.P. Consequently, when the above referred land was proposed to be disposed off, there were no buyers in view of the huge stretch of land. Therefore the assessee obtained permission from town planning autho .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

r years and the assessee passed the test convincingly. 3. Section 11A of the income tax Act refers to Capital Asset being property held under trust wholly for charitable or religious purposes. As explained in the para 2 above, the land originally purchased for setting up medical colleges and old age homes ceased to be a property held under trust wholly for charitable purposes since the assessee abandoned the plan of setting up medical college and old age homes. Since then the assessee endeavored .....

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 not as part of Fixed Assets. For the reasons it is submitted that Section 11A is not applicable to the facts of the assessee s case. 4. After considering the above explanation, for the assessment year 2010-11, the Assessing Officer found that the assessee has bought 71.89 acres of land and at the time of disposing of the said land, obtained necessary permission from the town planning authority to divide the land into small plots and sold the same, by entering into sale agreements, obtained sal .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

h profit motive. Thus, the activity of the assessee is only a commercial activity, not falling under any of the charitable activities, as per the objects of the Trust. Further, the said activity does not fall under any of the limbs defined in Section 2(15) of the act, viz., relief to poor, education, medical relief and not even under the category, any other object of general public utility . So saying, for the assessment year 2010-11, the Assessing Officer passed an order on 31.03.2013 and broug .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

he income and other details, the assessing officer noticed that a sum of 44,23,266/- was earned as profit on sale of land. On the above, the assessee, vide letter, dated 09.01.2014, has stated as under: 4. During the relevant year the assessee sold Iwo plots of land for a consideration of ₹ 44.60 Iakhs. Copies of the sale deeds 5/01/2010 and 15/12/2010 are enclosed. A statement showing computation of Capital gains is enclosed. As regards the corresponding cost of land it is submitted that .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

7; 1,62,76,519/-, under the head, business income , for the assessment year 2010-11, vide order, dated 24.02.2014, the Assessing Officer brought a sum of ₹ 44,23,266/-, under the head, income from business for the assessment year 2011-12. 7. Being aggrieved by the orders of assessment, dated 31.03.2013 (for the assessment year 2010-11) and 24.02.2014 (for the assessment year 2011-12) respectively, the assessee filed appeals in I.T.A.No.169 and 1304/2013-14, before the Commissioner of Incom .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

land. As there were no takers, in view of the huge stretch of land, the assessee decided to convert the land into plots and accordingly, obtained permission from the Town Planning authorities. The assessee started selling the plots from the assessment year 1995-96 onwards and utilised the sale proceeds for charitable activities of the trust for all these years, including the assessment years 2010-11 and 2011-12. After perusing the trust deed, dated 25.06.1986, the Commissioner of Income-Tax (App .....

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 Commissioner of Income-Tax (Appeals), appellate authority, recorded as hereunder: Perusal of the income and expenditure a/c for AY 2010-11 reveals that a sum of ₹ 1,62,76,519/- was credited to income account as profit on sale of land. Similarly, a sum of ₹ 44,23,266/- was credited to income account as profit on sale of land for AY 2011-12. Perusal of expenditure a/c for both the assessment years also reveals that there is no diversion of funds for non-charitable activity. Similar i .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

stituted business activity, the appellate authority has referred to a Circular No.11 of 2008, dated 19.12.2008. Taking note of the observations of the assessing officer, recognising the character of the trust (charitable), the appellate authority held as follows: If the predominant object is to carry out a charitable purpose and not to earn profit, the purpose would not lose its charitable character merely because some profit arises from the activity. In this case, the lands in question are no l .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

am of the considered view that the decision of the assessing officer cannot be countenanced. 10. The Commissioner of Income-Tax (Appeals), vide common order, dated 13.05.2014 in I.T.A.Nos.169 and 1304/13-14, held that, ...the assessee is not liable to tax on the profit arising out of sale of land as the proceeds are utilized for charitable activities of the trust. The AO was under the wrong impression that the sale of plot of land is a business activity overlooking the Circular No.11/2008 of th .....

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 activity and therefore, any income derived out of the same, should be taxed in the hands of the assessee trust, under the head income from business . After hearing both the parties, vide common order, dated 29.09.2015, in I.T.A.Nos.2251 and 2252/Mds./2014, the Tribunal ordered as hereunder: We have heard both the parties and carefully perused the materials available on record. It is apparent from the facts of the case that the assessee had sold its unutilized land for pursuing its main objects .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

land, and utilized the same for complying with the main objects of the assessee trust viz., Education. Hence as held by the Ld. CIT (A), the transaction of the sale of the land by the assessee in a wise manner by applying commercial prudence is only an activity which is incidental to the main objects of the assessee. Therefore, the view of the Ld. CIT (A) that the proviso of Section-2(15) will not be applicable to the facts of the assessee s case is appropriate and justified considering the fact .....

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 business income and the same is eligible for exemption under Section 11 r/w. Section 2(15) even though the Tribunal had admitted the assessee's commercial intention to venture into real estate business. (2) Whether on the facts and in the circumstances of the case, the Tribunal was right in holding that profit from the sale of the land owned by the assessee cannot be treated as business income and the same is eligible for exemption under Section 11 on the grounds that activity of sale of l .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ds that activity of sale of land is incidental to the objects of the trust and the said profit was applied for the objects of the trust. He further submitted that the assessee had originally treated the land as fixed asset and lateron, converted the land, as stock in trade, in classifying the land in the balance sheet as land for sale in the year 2001-03 itself, which reveals the assessee's intention was to do business of real estate. He also submitted that the assessee had booked the profit .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

the trust. He also submitted that the object of education, has nothing to do with the profit motive of real estate business activity and therefore, the profit derived from the sale has to be taxed. 14. Placing reliance on a decision of a Karnataka High Court in Commissioner of Income-Tax v. R.Ramaiah reported in (1984) 146 ITR 39, Mr.J.Narayanasamy, learned Senior Standing Counsel appearing for the appellant further submitted that purchase of lands and sale of the same, by converting into plots .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

abovesaid aspects, in proper perspective and therefore, prayed that the substantial questions of law raised, require to be answered in the affirmative, in favour of the Revenue. 15. Heard the learned counsel appearing for the parties and perused the materials available on record. 16. Before amendment by Finance Act, 2008, Section 2(15) of the Income-Tax Act, was as under: 2(15) Charitable purpose includes relief of the poor, education, medical relief, and the advancement of any other object of .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

or retention, of the income from such activity Second proviso inserted to Section 2(15) by Finance Act, Section 2(15) by Finance Act, 2010 with retrospective effect from 1.4.2009, reads as under:- Provided further that the first proviso shall not apply if the aggregate value of the receipts from the activities referred to therein is ten lacs or less in the previous year Rupees Ten lacs mentioned in the second proviso stands enhanced to Rupees twenty five lacs by Finance Act, 2011 with effect fr .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ement of any other object of general public utility shall not be a charitable purpose, if it involves the carrying on of any activity in the nature of trade, commerce or business, or any activity of rendering any service in relation to any trade, commerce or business, for a cess or fee or any other consideration, irrespective of the nature of use or application, or retention, of the income from such activity: Provided further that the first proviso shall not apply if the aggregate value of the r .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

interest, and the advancement of any other object of general public utility: Provided that the advancement of any other object of general public utility shall not be a charitable purpose, if it involves the carrying on of any activity in the nature of trade, commerce or business, or any activity of rendering any service in relation to any trade, commerce or business, for a cess or fee or any other consideration, irrespective of the nature of use or application, or retention, of the income from s .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ommissioner of Income-Tax (Appeals) as well as by the Income-Tax Appellate Tribunal, is extracted hereunder: Section 2(15) of the Income Tax Act, 1961 ('Act') defines "charitable purpose" to include the following:- (i) Relief of the poor (ii) Education (iii) Medical relief, and (iv) the advancement of any other object of general public utility. An entity with a charitable object of the above nature was eligible for exemption from tax under Section 11 or alternatively under Sect .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

a charitable purpose if it involves the carrying on of - (a) any activity in the nature of trade, commerce or business; or (b) any activity of rendering any service in relation to any trade, commerce or business; for a cess or fee or any other consideration, irrespective of the nature of use or application, or retention of the income from such activity. 2. The following implications arise from this amendment - 2.1 The newly inserted proviso to Section 2(15) will not apply in respect of the firs .....

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 ambit purposes such as relief to destitute, orphans or the handicapped, disadvantaged women or children, small and marginal farmers, indigent artisans or senior citizens in need of aid. Entities who have these objects will continue to be eligible for exemption even if they incidentally carry on a commercial activity, subject, however, to the conditions stipulated under Section 11(4A) or the seventh proviso to Section 10(23C) which are that (i) the business should be incidental to the attainmen .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

r object of general public utility' i.e. the fourth limb of the definition of 'charitable purpose' contained in Section 2(15). Hence, such entities will not be eligible for exemption under Section 11 or under Section 10(23C) of the Act if they carry on commercial activities. Whether such an entity is carrying on an activity in the nature of trade, commerce or business is a question of fact which will be decided based on the nature, scope, extent and frequency of the activity. 3.1. Th .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

persons forming such association is not chargeable to tax. In such cases, there must be complete identity between the contributors and the participants. Therefore, where industry or trade associations claim both to be charitable institutions as well as mutual organizations and their activities are restricted to contributions from and participation of only their members, these would not fall under the purview of the proviso to Section 2(15) owing to the principle of mutuality. However, if such or .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

business, it would not be entitled to claim that its object is charitable purpose. In such a case, the object of 'general public utility' will be only a mask or a device to hide the true purpose which is trade, commerce or business or the rendering of any service in relation to trade, commerce or business. Each case would, therefore, be decided on its own facts and no generalization is possible. Assessees, who claim that their object is 'charitable purpose' within the meaning of .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

the nature of trade, commerce or manufacture." 19. The word "business" in Section 2(13) defines business to include any trade, commerce or manufacture or any adventure or concern in the nature of trade, commerce or manufacture. Thus, the legislative intent is to make the definition, wider to cover the above activities and that the word "inclusive" has been used. 20. In Black's Law Dictionary, Sixth Edition, the word "business" has been defined as under: &qu .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ivity for profit. If the primary/dominant purpose or object of the trust or institution was to carry out object of general public utility and not any activity for profit, then the same would satisfy the requirements of Section 2(15) of the Act. Money earned from business held under trust or otherwise, to feed the charity would not disentitle or negate the claim of engagement in charitable purpose, defined under Section 2(15) of the Act. The Hon'ble Apex Court further held that, "The tes .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

its character of a charitable purpose merely because some profit arises from the activity. The exclusionary clause does not require that the activity must be carried on in such a manner that it does not result in any profit. It would indeed be difficult for persons in charge of a trust or institution to so carry on the activity that the expenditure balances the income and there is no resulting profit. That would not only be difficult of practical realization but would also reflect unsound princi .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ute of Chartered Accountants of India & Anr. Vs. Director General of Income Tax (Exemptions) Delhi & Ors., reported in [2012] 347 ITR 99 (Del.), the words, trade, commerce and business have been explained as hereunder: Trade, as per the Webster's New Twentieth Century Dictionary (2nd edition), means, amongst others, "a means of earning one's living, occupation or work. In Black's Law Dictionary, "trade" means a business which a person has learnt or he carries o .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

efine the volume, which would convert a trade into commerce. For the purpose of the first proviso to Section 2(15), trade is sufficient, therefore, this aspect is not required to be examined in detail. 24. In Commissioner of Income-Tax v. R.Ramaiah reported in (1984) 146 ITR 39, relied on by the learned counsel for the Department, the assessees therein, purchased agricultural lands at the outskirts of the city. The assessees therein cultivated the lands for some years. But later on, the assessee .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

Raja J. Rameshwar Rao v. CIT reported in [1961] 42 ITR 179 and Janki Ram Bhadur Ram v. CIT reported in [1965] 57 ITR 21, the Andra Pradesh High Court held as follows: 12. Bearing in mind these principles we may now turn to the facts before us. The assessees in each case purchased the agricultural land lying at the outskirts of Bangalore City. They no doubt used the lands for agricultural purpose for some years. But later, almost simultaneously, they converted the lands after paying conversion fe .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ng sites and sold the same. They did not even dispose of all the sites in one year. They went on selling the sites year after year realising more and more profits. The fact that all the assessees started converting their lands into building sites almost simultaneously in 1967 itself is an indication of their intention to trade in the lands as a venture. They made it commercially more attractive by converting and dividing into plots. The inevitable inference is that they had no intention to hold .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ide Medical relief for the needy, running of educational institution, supply of drinking water and other charitable activities. The assessee has been running educational institution in the backward areas of Prakasam and Nellore District of Andhra Pradesh in the form of Junior college in 14 places and degree colleges in 3 places in the name and style of M/s.MSR Junior Colleges. (ii) In pursuance of its objects, the assessee had purchased 71.89 acres of land in the town of Nellore during the A.Y.1 .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

t case, the assessee is running educational institutions, engaged in charitable purpose and granted permission underSection 12A(a) of the Income-Tax Act. 27. The assessee has purchased the lands to an extent of 71.89 Acres, in the year 1986-87, for the purpose of setting up a medical college and old age home. According to the assessee, permission could not be obtained from the competent authorities and thus, the lands purchased for the abovesaid purposes, in the year 1986-87, which fell within t .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

there was no bona fide on the part of the assessee, as to why, the assessee was constrained to sell the same. 29. Market value of the land purchased in the year 1986-87, cannot be expected to be static. Naturally, when it is sold after many years, it would fetch a higher value. Law also does not prohibit an assessee to sell the lands, less than the market value. Merely because, lands are sold at a higher rate, after a considerable period of time, that alone cannot be the sole criteria to contend .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ld in smaller extent, such activity of the assessee, cannot be construed as predominant business activity of the assessee, engaged continuously, with the sole object of making profits and that therefore, the sale proceeds should be brought under the head, business income . Case of the assessee that, sale of land, even before the assessment years 2010-11 and 2011-12 respectively, has been thoroughly scrutinized in the earlier years, and that the assessee had passed the test, convincingly, has not .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ontinuously, in business or trade or commerce, as the case may be. When the business activity is incidental to attain the objectives of the trust or institution, as the case may be, and if separate books of accounts are maintained, in respect of such business, then the assessee is entitled to exemption under Section 11 r/w. Section 2(15) of the Act. When the value of the land is enhanced by passage of time, and sold subsequently, it cannot be simply held that such sale was only for profit motive .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

this amendment - 2.1 The newly inserted proviso to Section 2(15) will not apply in respect of the first three limbs of Section 2(15), i.e., relief of the poor, education or medical relief. Consequently, where the purpose of a trust or institution is relief of the poor, education or medical relief, it will constitute 'charitable purpose' even if it incidentally involves the carrying on of commercial activities. 2.2. 'Relief of the poor' encompasses a wide range of objects for the .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

eventh proviso to Section 10(23C) which are that (i) the business should be incidental to the attainment of the objectives of the entity, and (ii) separate books of account should be maintained in respect of such business. Similarly, entities whose object is 'education' or 'medical relief' would also continue to be eligible for exemption as charitable institutions even if they incidentally carry on a commercial activity subject to the conditions mentioned above. 33. There is a cl .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

under Section 10(23C) of the Act, if they carry on commercial activities. Circular No.11 of 2008 also states that whether such an entity is carrying on an activity in the nature of trade, commerce or business is a question of fact which will be decided based on the nature, scope, extent and frequency of the activity. 34. Contention of Mr.J.Narayanasamy, learned Senior Standing Counsel for the Income-Tax Department that Circular No.11 of 2008, is not applicable to the case of the assessee, canno .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

all within the ambit of the Circular No.11 of 2008. Reading of the Circular also makes it clear that the Central Board of District Taxes has clearly manifested that industries and trade associations, engaged in activities, with an object, advancement of any other object of general public utility, should not misuse the exemption facilities, under Section 12A of the Income-Tax Act and claim entitlement for exemption under Section 11 or Section 10(23C) of the Income-Tax Act, as the case may be. On .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

le purpose, is indisputed. Activities for a span of considerable period, may reflect business or commercial activity, but the question to be decided, is whether, it is incidental to carry on the main purpose, charitable , which includes, (i) Relief of the poor, (ii) Education, (iii) Medical relief. 37. What emerges from the reading of the provisions and the Circular is that a trust or institution, whose purpose is advancement of any other object of general public utility, and recognised as chari .....

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
  ↓     Latest Happenings     ↓  

Forum: GST on RCM on rent in a unregistered state

Forum: COMPOSITION SCHEME

Forum: Input Tax Credit - Reg

Forum: GST Invoice

Article: Websites of Government Departments need lot of improvement. We are noticing detoriations in them for example, case of website of ITAT.

Highlight: Levy of additions tax u/s 115O on distribution of dividend - shares of its profits declared as distributable among the shareholders is not impressed with the character of the profit from which it reaches the hands of the shareholder - not to be bifurcated as agriculture and non-agriculture dividend - SC

Highlight: Rate of GST on old and scrap buses - 28% or 18% - at such initial tender process initiated by the Respondents-KSRTC, the present petitions filed by the petitioners are premature and misconceived and do not require any interference by this Court at this stage. - HC

Forum: Rent a cab operator

Highlight: In view of amendment made u/s 132A of the Income Tax Act, 1961 by Finance Act of 2017, the 'reason to believe' or 'reason to suspect', as the case may be, shall not be disclosed to any person or any authority or the Appellate Tribunal, SC dismissed the appeal of the assessee

Highlight: Validity of Assessment Order - period of limitation u/s 153 (2A) is applicable even if the entire order was not set aside but matter was remanded back for for limited aspects with directions - HC

News: Note ban was a shake-up, achieved its main objectives

Notification: Amendments in the notification No.5/2017- Integrated Tax (Rate) dated the 28th June, 2017.

Highlight: Levying interest u/s 234C - interest is to be charged on the returned income and not on assessed income.

Highlight: Accrual of income - sale of right to develop and sell incentive FSI under LOI - till the conditions of LOI are fulfilled transfer is not complete and income does not accrue to the assessee

Highlight: TPA - determination of ALP - TP adjustment by applying Bright Line Test (BLT) is not sustainable on protective basis having no statutory mandate.

Highlight: Safeguard Duty - Advance License Scheme - as there is no exemption from safeguard duty leviable under Section 8C, which is imposed on the goods imported from China, the importer has to pay safeguard duty

Highlight: Manufacture - process of cutting of waste plastic container - Such plastic containers before and after cutting are nothing but waste / scrap - Not a manufacturing activity as no new product emerges.

News: NITI Aayog and Govt. of Assam organizes workshop on health sector reforms in Guwahati; launches SATH- Sustainable Action for Transforming Human Capital

Notification: Seeks to amend notification no. 5/2017- central tax(rate) dated 28.06.2017 to give effect to gst council decisions regarding restriction of refund on corduroy fabrics

Notification: Seeks to amend notification no. 2/2017- central tax(rate) dated 28.06.2017 to give effect to gst council decisions regarding gst exemptions

Forum: GSTR 3B Rectification

Notification: seeks to exempt Skimmed milk powder, or concentrated milk

Notification: Seeks to amend notification no. 2/2017- integrated tax(rate) dated 28.06.2017 to give effect to GST council decisions regarding GST exemptions.

Notification: Seeks to amend notification no. 1/2017- central tax(rate) dated 28.06.2017 to give effect to gst council decisions regarding gst rates

Notification: Seeks to amend notification no. 1/2017- integrated tax(rate) dated 28.06.2017 to give effect to gst council decisions regarding gst rates.

News: Notification Issued For GST Actionable Claim On Branded Food Products

Highlight: Classification printed computer stationary/manifold Business Forms - to be classified under Chapter Heading 4820.00 or under Chapter Heading 4901.90 - items like A4 sheets, advertisement and job card to be classified under Chapter 49

Article: RCM Applicability to persons not liable to get registered us 23(1)

Article: Credit of unsold stock [Section 140(3)] - Actual Credit as well as Notional Credit - Part-I - GST Transitional provisions

News: GST Refund - Blockage of Working Capital of Exporters - earlier also there was a normal blockage of funds for a period of 5-6 months at least

News: Clarification about Transition Credit - ₹ 1.27 lakh crore of credit of Central Excise and Service Tax was lying as closing balance as on 30th June, 2017 - claim of credit of ₹ 65,000 crore is not unexpected

Article: 20 Things You must know about E Way Bills in GST Law

Article: MISTAKES IN DRAFTING

Highlight: The Customs and Central Excise Duties Drawback Rules, 2017 and All Industry Rates (AIRs) of Drawback related changes -reg. - Circular

Highlight: The definition of "subsidiary company" or "subsidiary" u/s 2(87) of the Companies Act, 2013 shall come into force w.e.f. 20-9-2017

Highlight: Central Government notified the All Industry Rates of Duty Drawback Schedule w.e.f. 1.10.2017 - Notification

Notification: All Industry Rates of Duty Drawback Schedule w.e.f. 1.10.2017

Circular: Investment by Foreign Portfolio Investors in Corporate Debt Securities Review

Notification: Exemptions on supply of services under UTGST Act

Notification: Rates for supply of services under UTGST Act

Notification: Exemptions on supply of services under IGST Act

Notification: Rates for supply of services under IGST Act

Notification: List of Exempted supply of services under the CGST Act

Notification: Rates for supply of services under CGST Act

Highlight: Acceptance of deposits by companies from its members - conditions relaxed in case of Specified IFSC Public company and a private company - Rule 3 amended

Notification: Rate of exchange of conversion of the foreign currency with effect from 8th September, 2017

News: Tax Payers Advised To Confirm Identities Of Income Tax Search Authorities

Notification: Amendment in Appendix 3 (SCOMET items) to Schedule- 2 of ITC (HS) Classification of Export and Import Items 2012

Notification: The Customs and Central Excise Duties Drawback Rules, 2017

Circular: The Customs and Central Excise Duties Drawback Rules, 2017 and All Industry Rates (AIRs) of Drawback related changes -reg.



|| 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