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Income Tax - Highlights / Catch Notes

Home Highlights October 2017 Year 2017 This

Expenditure on account of employee stock option scheme is an ...

Income Tax

October 13, 2017

Expenditure on account of employee stock option scheme is an ascertained liability for deduction - the expenses debited is cost of employee stock option plan in the profit and loss account is an allowable expenditure.

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  1. Deduction of compensation cost of ESOP on account of Employee Stock Option Scheme (ESOP) - , an adjustment to the income is called for at the time of exercise of option...

  2. Income tax liability of employees - Remission of income tax liability borne on behalf of the employees - it is also possible that earlier years the assessee has not...

  3. Expenditure incurred on Employee Stock Option Scheme - revenue expenditure or capital expenditure - Tribunal was correct in holding that the ESOP expenditure is revenue...

  4. Disallowance of ESOP (Employee Stock Option) expenses claimed by the assessee company as revenue expenditure - discount on issue of Employees Stock option is allowable...

  5. Employees’ stock option scheme benefit taxability - The payment having been established as salary/employee cost, the same is revenue in nature. This expenditure claimed...

  6. Allowable revenue expenditure u/s 37(1) - difference between the price at which stock options were offered to employees of the appellant company under ESOP and ESPS and...

  7. Taxation of Employees Stock Option Plan under fringe benefit tax - Section .115WB(1)(d) - the date of actual allotment or transfer of Employees Stock Option is crucial...

  8. TP Adjustment - ESOP considered as operating cost by the Ld.AO/TPO - TPO failed to consider the basic fact that, purchase cost of the shares of foreign AE is charged...

  9. Stock Appreciation right expenses claimed by the appellant is not in a capital expenses, but revenue expenditure and ascertained liability therefore it is allowable expenses - AT

  10. Stock Appreciation right expenses claimed by the appellant is not in a capital expenses, but revenue expenditure and ascertained liability therefore it is allowable expenses - AT

  11. Unexplained deposits in bank account - Amount deposited in the bank account was out of sale of various items as held by the assessee as stock in trade and since the...

  12. Employee's Stock Option Scheme (ESOP) - the primary object of this exercise is not to raise share capital but to earn profit by securing the consistent and concentrated...

  13. Employee Stock Options (ESOP) expenditure - Disallowance u/s 37 - difference between the grant price and the market price on the shares as on the date of grant of...

  14. Discount on employee stock ownership plan (ESOP) - Capital expenditure or revenue expenditure - the deduction is to be allowed for the difference between the exercise...

  15. Terms and conditions of Exit Option Scheme of RBI - Voluntary retirement scheme - exemption u/s 10(10C) - whether Exit Option Scheme of RBI were different from the terms...

 

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