Income Tax – Advance Tax and Interest – Assessee's liability for interest under Section 234B – Assessee, a non-resident company, contended no liability due to the payer's default in deducting tax – Supreme Court held that prior to financial year 2012-13, assessee could reduce advance tax liability by the amount deductible at source – Post-2012 amendment introd...
Income Tax - Taxability of Dividend Income - Interpretation of Double Taxation Avoidance Agreement (DTAA) between India and Oman - Exemption of dividend income in Oman - Whether dividend income received by the assessee is taxable in India or exempt as per DTAA and Omani Tax Laws - Clarification by Omani Finance Ministry regarding tax exemption - Application of Article 25 of DTAA and Article 8 (bis...
Taxation Law – Disallowance under Section 14A – Appeal against High Court’s order endorsing disallowance of proportionate interest for investments in tax-free bonds and securities – Supreme Court held that proportionate disallowance under Section 14A is not warranted where the assessee has sufficient interest-free funds exceeding the investments – Reiterated that tax-...
Taxation Law – Refund of Unutilised Input Tax Credit – Challenge to Section 54(3) – Appellant contested the constitutional validity of Section 54(3) of the CGST Act, which restricts refund to unutilised ITC on inputs in cases of inverted duty structure – Gujarat High Court held the exclusion of input services from refund as ultra vires – Madras High Court upheld the e...
Income Tax - Assessment Year 1995-1996 - Appellants were engaged in the transportation business and were found to be in possession of bitumen without proper documentation - Assessing Officer treated the value of the bitumen as unexplained money and made additions to the appellant's income under Section 69A of the Income Tax Act - Commissioner of Appeals deleted the addition - High Court revers...
Income Tax – Deduction of Licence Fee as Revenue Expenditure or Capital Expenditure – Dispute over classification of variable licence fee under New Telecom Policy of 1999 – Appellant's contention of treating licence fee payments as capital expenditure and respondent-assessees' contention of treating the same as revenue expenditure. [Para 2-6]
Telecom Licence ...
Sales Tax - Exemption - Amendment to definition of "manufacture" - Claim for exemption from payment of sales tax after amendment excluding "tea blending" from the definition of "manufacture" - Court's analysis of the relevant provisions and submissions of the parties - Appellants' contention on legitimate expectation and promissory estoppel - Court's rejec...
Income Tax – Deduction of Interest Converted to Debentures – The issue was whether the issuance of debentures in lieu of interest accrued and payable constitutes "actual payment" under Section 43B. The Assessing Officer disallowed the deduction, but the CIT(A) and ITAT allowed it, holding that the issuance of debentures amounted to actual payment. [Paras 3-6]
Explanation 3...
Payment of Gratuity – Effective Date of Amendment – The appellants challenged the date of commencement of the Payment of Gratuity (Amendment) Act, 2010, which was set as 24.5.2010, asserting it should be effective from 1.1.2007. The Court upheld the executive's decision to fix the commencement date, noting that the benefit of higher gratuity is a one-time payment available only aft...
Wakf Act – Sections 6 and 7 – Jurisdiction of Wakf Tribunal – The Supreme Court held that the Wakf Tribunal has the jurisdiction to determine whether a property is a Wakf property when this is disputed in an eviction suit. The Tribunal can adjudicate on such matters, even if the tenant disputes the Wakf nature of the property [Paras 1-24].
Wakf Property – Eviction Suit &...