Disallowance of unpaid sales Tax due in the previous years - ...

AO Unjustified in Disallowing Unpaid Sales Tax Recorded as Contingent Liability; No Impact on Profit & Loss Account.

December 25, 2015

Case Laws Income Tax AT

Disallowance of unpaid sales Tax due in the previous years - shown as a contingent liability. - there is no impact in the Profit & Loss account since the assessee had not claimed any deduction on that score. - AO could not have made any disallowance on this issue - AT

View Source

← Previous Next →

Disallowance of unpaid sales Tax due in the previous years - ...

AO Unjustified in Disallowing Unpaid Sales Tax Recorded as Contingent Liability; No Impact on Profit & Loss Account.

December 25, 2015

Case Laws Income Tax AT

You may also like:

Penalty levied u/s 274 read with Section 270A - assessee computed tax on disallowed depreciation amount at maximum marginal rate and levied 200% penalty on payable tax -...

Service tax demand u/s 73A – sale of flats - collection of amount towards service tax but not as service tax - contingent liability – appellant took the precaution of...

Disallowance u/s 43B - Sales Tax/Works Contracts tax which was outstanding on the date of filing of return - AO directed to disallow under Section 43B of the Act the...

The Assessing Officer (AO) reopened the assessment solely based on the information from a survey conducted by the Sales Tax Department, without independently examining...

Remission of deferred sales tax liability - deferred sales tax liability will not be chargeable to tax as business income of the assessee - AT

Sections 132B, 140A, 153A and 234B of the Income Tax Act, 1961 were analyzed regarding adjustment of seized cash against tax liability. The appellants claimed that cash...

The assessee failed to claim the Minimum Alternate Tax (MAT) credit in the original income tax return and did not file a revised return. The Assessing Officer (AO) did...

Levy of penalty u/s 271(1)(c) - The assessee clearly had a bonafide explanation for not adding the unpaid tax liabilities to its income since it was contesting the very...

Recovery of sales tax dues - encumbered property or not - liability of auction purchasers - this is a clear case in which the Sales Tax Department had a charge on the...

ITAT partially allowed assessee's appeal, affirming arm's-length royalty payments and consultancy service expenses based on consistent prior year rulings. The tribunal...

Slump sale - assessee claimed as sale of depreciable assets - as per terms of agreement, the assessee sold the entire undertaking with all its assets and liabilities...

ITAT ruled against double taxation of personal credit card expenses initially disallowed under s.37(1) in company's returns. Where company had already acknowledged...

Service tax liability on sale of imported tally software was disputed. Appellant was a distributor marketing and installing the software on behalf of the seller holding...

Payment of Interest for Sales Tax Default - interest paid by the assessee to the sales tax department on arrears of sales tax/purchase tax was an admissible deduction - AT

Disallowance of wage arrears u/s 40a(ia) - contingent liability or not - non deduction of TDS - assessee created an adhoc provision for wage arrears - Liability has been...

Quick Updates: