Tax Flash News

Tax Flash News

Tax laws in India are subject to interpretation by judicial authorities, and changes by way of amendments to the statute.

Flash News enables you to stay abreast of the latest developments.

11/30/2016 - Depreciation on the inflated value of an intangible asset is disallowed by invoking Explanation 3 to Section 43(1) of the Income-tax Act dealing with ‘actual cost’ - Sanyo BPL Pvt. Ltd. v. DCIT (ITA No. 1395/Bang/2014) – Taxsutra.com(PDF 338 KB)

11/28/2016 - Government introduces the Taxation Laws (Second Amendment) Bill 2016 in respect of demonetisation. Also introduces Pradhan Mantri Garib Kalyan Yojana 2016 - Section 68, 69, 69A, 69B, 69C, 69D of the Act.(PDF 290 KB)

11/28/2016 - Government introduces the Taxation Laws (Second Amendment) Bill 2016 in respect of demonetisation. Also introduces Pradhan Mantri Garib Kalyan Yojana 2016 - Section 68, 69, 69A, 69B, 69C, 69D of the Act.(PDF 292 KB)

11/23/2016 - CBDT Notification – Amendment to rules with respect to business connection of offshore funds - Section 9A has been introduced by the Finance Act, 2015 with effect from 1 April 2016 (PDF 310 KB)

11/22/2016 - No capital gains on transfer under the scheme of demerger, in absence of consideration the computation mechanism fails - Aditya Birla Telecom Limited v. DCIT (ITA No.341/Mum/2014) - Taxsutra.com (PDF 347 KB)

11/21/2016 -Taxpayer’s contractual obligation to make payment cannot ipso facto absolve such payment or taxpayer from primary duty of demonstrating the arm’s length behaviour - Magneti Marelli Powertrain India Pvt. Ltd. v. DCIT - Delhi High Court (ITA 350/2014) – Taxsutra.com (PDF 342 KB)

11/18/2016 -India – USA competent authorities resolve more than 100 cases under MAP and agree on terms and conditions of first Indo-US Bilateral APA (PDF 349 KB)

11/17/2016 -Since the claim relating to provision of commission payment is not ascertainable, it is not an allowable expenditure - Hardik Jigishbhai Desai v. DCIT [ITA No.1084/Ahd/2013] – Orange.taxsutra.com (PDF 338 KB)

11/17/2016 - CBDT Notification – Amendment to rules with respect to furnishing of documents pertaining to the transactions wherein PAN is to be quoted and furnishing of statement of financial transaction - (PDF 325 KB)

11/16/2016 - Government of India issues a notification for changing the regulation of Inoperative Accounts under the Employees’ Provident Funds Scheme, 1952 - Notification No. G.S.R. 1065 (E), dated 11 November, 2016, published in the Gazette of India (PDF 391 KB)

11/16/2016 - The transfer of computer software by an Indian branch to a foreign head office is considered as export and eligible for benefit under Section 10A - DDIT v. Virage Logic International (ITA 1108/2007, ITA 1249/2009, ITA 173/2016) – Taxustra.com (PDF 338 KB)

11/15/2016 - CBDT Notification – Rules amended to restrict depreciation rate at 40 per cent - Notification No. 103/2016, dated 7 November 2016 (PDF 338 KB)

11/15/2016 - Since R&D facility is approved by DSIR and the taxpayer has complied with the prescribed rules, the AO is bound to allow weighted deduction under Section 35(2AB) of the Income-tax Act - Efftronics Systems Pvt. Ltd v. ACIT [ITA No.188/Vizag/2015] – Taxsutra.com (PDF 338 KB)

11/08/2016 - Indian subsidiary represented by its managing director constitutes a fixed place PE in India - Carpi Tech SA v. ADIT (ITA No 1742/Mds/2011) -Taxsutra.com (PDF 338 KB)

11/07/2016 - India Tax Konnect (PDF 405 KB)

11/07/2016 - Nepalese and Bhutanese national will be treated as Indian workers under the Employees’ Provident Funds & Miscellaneous Provisions Act, 1952 - Notification No. G.S.R. 1035 (E) and Notification No. G.S.R. 1036 (E), dated 2 November, 2016, published in the Gazette of India(PDF 346 KB)

11/04/2016 - CBEC notifies guidelines and procedure for deferred payment of customs duty (PDF 280 KB)

11/03/2016 - CBDT clarifies that deduction under Chapter VI-A is admissible on profits enhanced by way of disallowance - CBDT Circular No. 37/2016, dated 2 November 2016 (PDF 273 KB)

11/01/2016 - Completion certificate from a government authority is not required for claiming losses on house property - Section 24(b) of the Act Sudhakar S Mody v. ACIT (ITA No. 1174/Mum/2014) – Taxsutra.com(PDF 338KB)

10/28/2016 - Brand name acquired before amalgamation is eligible for depreciation - DCIT v. Emerald Jewel Industry India Ltd. (ITA No. 1811/Mds/2015) – Taxsutra.com (PDF 330 KB)

10/28/2016 - Transfer of Jurisdiction is not valid in absence of agreement of the jurisdictional authorities – Supreme Court - Noorul Islam Educational Trust v. CIT (Civil Appeal No 13968/2015)- taxsutra.com(PDF 327 KB)

10/19/2016 - Under Section 143(1D) of the Income-tax Act, the tax officer is ought to apply his mind and grant a refund, if any,expeditiously - Writ Petition No. 2067 OF 2016 – Bombay High Court -bombayhighcourt.nic.in (PDF 353 KB)

10/18/2016 - Concluded APA has a considerable bearing on characterisation of prior years’ international transactions - Lotus Footwear Enterprises Ltd (India Branch) v. DCIT (ITA.Nos.779/Mds/ 2014, 801/Mds/2015 & 810/Mds/2016) (PDF 331 KB)

10/18/2016 - CBDT notifies final rules with respect to buy-back of shares - CBDT Notification No. 94/2016, dated 17 October 2016 (PDF 304 KB)

10/18/2016 - Transfer pricing provisions do not apply in respect of transactions between the Indian head office and its overseas branch office - Aithent Technologies Private Limited v. DCIT (ITA No.6446/Del/2012 - Assessment Year : 2008-09) (PDF 316 KB)

10/17/2016 - In absence of registration of agreement as well as possession being handed over, there is no transfer under Section 2(47)(v) of the Income Tax Act - ACIT v. Jawaharlal L. Agicha (ITA No 1844/Mum/2012)-taxsutra.com (PDF 329 KB)

10/14/2016 - CBDT Circular: TDS under Section 194-I of the Income-tax Act is not applicable on lump-sum lease premium which is not adjustable against periodic rent - CBDT Circular No. 35/2016, dated 13 October 2016 (PDF 273 KB)

10/14/2016 - Amendment to Section 50C introduced by the Finance Act, 2016 for determining full value of consideration in the case of immovable property, is curative in nature and will apply retrospectively - Dharamshibhai Somani v. ACIT (ITA No. 1237/Ahd/2013) – Taxsutra.com (PDF 335 KB)

10/14/2016 - Amendment to Section 50C introduced by the Finance Act, 2016 for determining full value of consideration in the case of immovable property, is curative in nature and will apply retrospectively - Dharamshibhai Somani v. ACIT (ITA No. 1237/Ahd/2013) – Taxsutra.com (PDF 336 KB)

10/14/2016 - An amalgamated company cannot claim depreciation on the assets acquired in the scheme of amalgamation including goodwill, more than which is permitted to the amalgamating company - United Breweries Ltd. v. ACIT [ITA No. 722/Bang/2014, AY 2007-08] – Taxsutra.com (PDF 315 KB)

10/13/2016 - Corporate guarantee adjudged as shareholder service under exceptional circumstances; Interest on outbound loans to be determined applying sophisticated manner of loan benchmarking - Tega Industries Ltd. v. DCIT [ITA No. 1912/Kol/2012] – Taxsutra.com (PDF 325 KB)

10/10/2016 - Issue remitted to TPO for determining ALP after considering adjustments on account of customs duty, air freight expenses, and foreign exchange fluctuation - Motonic India Automotive Pvt Ltd v. ACIT (ITA No.741/Mds/2014 – AY 2009- 10) – Taxsutra.com (PDF 407 KB)

10/10/2016 - Issue remitted to TPO for determining ALP after considering adjustments on account of customs duty, air freight expenses, and foreign exchange fluctuation - Motonic India Automotive Pvt Ltd v. ACIT (ITA No.741/Mds/2014 – AY 2009- 10) – Taxsutra.com (PDF 407 KB)

10/10/2016 - Adjustment allowed to import price on account of extra credit period availed by the taxpayer from its AE; Accepts LIBOR plus 200 basis points as arm’s length interest rate on ECB loan - XYZ Pvt. Ltd v. ACIT (ITA No. 2201/Mds/2012) – Taxsutra.com (PDF 343 KB)

10/04/2016 - Disallowance under Section 14A will not apply to interest paid on partner’s capital - Quality Industries v. JCIT (ITA No.2000/PN/2014, AY: 2010-11) (PDF 337 KB)

10/01/2016 - India Tax Konnect (PDF 367 KB)

9/30/2016 - Share issue expenditure is allowed under Section 35D of the Income-tax Act. Bonus deposited in trust and eventually paid to employees is allowed under Section 36(1)(ii) of the Act- Supreme Court - Shasun Chemicals & Drugs Ltd. v. CIT [2016] 73 taxmann.com 293 (SC) (PDF 337 KB)

9/30/2016 - Exemption under Section 54E of the Income-tax Act is eligible to depreciable assets even though for computation of capital gain it is treated as short term - CIT v. V. S. Dempo Company Ltd (Civil Appeal No. 4797/2008) – Taxsutra.com (PDF 289 KB)

9/29/2016 - Vacancy allowance is available only for a property that was ‘let out’; ‘intention to let’ is not relevant - Section 23(1)(c) of the Act 2 Sharan Hospitality Private Limited v. DCIT (ITA No. 6717/Mum/2012)(PDF 351 KB)

9/28/2016 - Workplace dress code prescribed by employer does not qualify as a uniform; such allowance is not eligible for tax exemption - Section 10(14)(i) of the Act read with Rule 2BB(1)(f) of the Income-tax Rules, 1962 (the Rules) (PDF 368 KB)

09/23/2016 - Foreign Portfolio Investors to be permitted to trade directly in Corporate Bonds without a broker (PDF 272 KB)

9/21/2016 - Employee related benefits reimbursed to the transfereecompany is allowable as business expenditure - The Wallace Flour Mills Co. Ltd v. CIT [ITR No. 104 of 1999] dated 26 August 2016 – Taxsutra.com (PDF 343 KB)

9/20/2016 - Key highlights of the revised tax treaty between India andSouth Korea - South Korea’s official name is ‘Republic of Korea’ (PDF 286 KB)

9/19/2016 - Foreign travel expenditure incurred for rewarding doctorsto solicit business is not allowable as businessexpenditure under the Income-tax Act - ACIT v. Liva Healthcare Limited (ITA No. 904/Mum/2013) – Taxsutra.com (PDF 345 KB)

9/16/2016 - Service fees payable to the subsidiary for productpromotion services are not taxable as FTS - Dr Reddy Laboratories Limited [A.A.R. No 1572 of 2014] taxsutra.com (PDF 344 KB)

9/16/2016 - Capital gain arising on transfer of shares of an Indiancompany is not taxable under the India-Mauritius taxtreaty, control and management is held to be outside India - Mahindra-BT Investment Company (Mauritius) Limited [AAR. No 991 of2010] - taxsutra.com (PDF 349 KB)

9/14/2016 - Model framework for guidelines on direct selling - Press release dated 12 September 2016-http://pib.nic.in/newsite/PrintRelease.aspx?relid=149728 (PDF 297 KB)

9/13/2016 - CBDT issues FAQs with respect to the Direct Tax DisputeResolution Scheme, 2016 - CBDT Notification No.35/2016, dated 26 May 2016 (PDF 267 KB)

9/09/2016 - Issuance of scrutiny notice under Section 143(2) of theIncome-tax Act cannot be ground to reject AAR applicationsince it does not address any specific question - Sage Publications Ltd U.K. v. DCIT (W.P.(C) 5870/2016) – Taxsutra.com (PDF 330 KB)

9/09/2016 - Gains arising from the grant of the call option for 150 yearsare not taxable as capital gains under the India-Singaporetax treaty - Praful Chandaria v. ADDIT(IT) [ITA No.: 4313/Mum/2011 (AY: 2002-03)] andPurse Holdings India P Ltd. v. ADDIT(IT) [ITA No.: 4717/Mum/2013 (AY: 2002-03)] - Taxsutra.com (PDF 339 KB)

9/09/2016 - India Tax Konnect - Whether any of the services envisaged under Article 13(4) of the India-UK tax treaty are ‘made available’to the taxpayer by the tax treaty with France (PDF 385 KB)

9/02/2016 - In view of non-discrimination clause of India-Italy tax treaty, capital gain tax exemption is available to non-resident company on amalgamation of foreign companies - Banca Sella S.p.A (AAR. No.1130 of 2011) - Taxsutra.com (PDF 345 KB)

9/02/2016 - Capital gains arising to Mauritius Investment Company arenot taxable in India under India- Mauritius tax treaty - Shinsei Investment I Limited [AAR. No.1017 of 2010] - taxsutra.com (PDF 346 KB)

9/02/2016 - Arm’s length principle cannot be invoked where replacement of self-declared prices of international transactions by ALP results in lowering of taxpayer’s income chargeable to tax - Mercer Consulting India Pvt. Ltd. v. DCIT (ITA No.1085/Del/2016) – Taxsutra.com (PDF 333 KB)

9/01/2016 - CBDT streamlines the process of Port Clearance Certificate, voyage return, voyage assessment and issuance of NOC in the case of Foreign Shipping Companies - Section 172 of the Act (PDF 285 KB)

8/30/2016 - Amendment introduced by the Finance Act for disallowance due to non-deduction of tax at source is applicable with effect from the relevant financial year pursuant to receiving the Presidential assent - Piu Ghosh v. DCIT (ITA No. 191 of 2009) – Taxsutra.com (PDF 355 KB)

8/26/2016 - Salary received by a non-resident in India for services rendered outside India not eligible for exemption under the tax treaty - Swaminathan Ravichandran v. ITO (ITA No. 299/Mds/2016) Taxpayer’s appeal before the Tribunal also includes issues dealing with income from house property. However, this Flash News is prepared only on the issues relevant to a claim of exemption of salary income in India under the India-China tax treaty. (PDF 340 KB)

8/26/2016 - Royalty income, not being effectively connected with a PE (branch office) in India, is taxable on a gross basis under the India-Italy tax treaty - Iveco Spa v. ADIT [ITA No. 5447/Del/2010 (AY: 2007-08), ITA No. 5696/Del/2012 (AY: 2009-10)] (PDF 331 KB)

8/19/2016 - Software development services are not taxable under ‘Independent personal services’ Article of the India-USA tax treaty since conditions given under the said Article are not fulfilled - ITO v. Susanto Purnamo [I.T.A. No.254/Ahd/2015] - taxsutra.com (PDF 331 KB)

8/16/2016 - Software development services are not taxable under ‘Independent personal services’ Article of the India-USA tax treaty since conditions given under the said Article are not fulfilled - Sumitomo Corporation India Pvt. Ltd. v. CIT – (ITA 381/2013, ITA 738/2015, ITA 382/2013, ITA 702/2014 - Assessment Years (AYs) 2007-08, 2008-09, 2009-10 and 2010-11) (Delhi High Court) (PDF 350 KB)

8/16/2016 - Berry ratio can only be applied in limited circumstances where value of the goods are not directly linked to the quantum of profits and the profits are mainly dependent on expenses incurred - Sumitomo Corporation India Pvt. Ltd. v. CIT – (ITA 381/2013, ITA 738/2015, ITA 382/2013, ITA 702/2014 - Assessment Years (AYs) 2007-08, 2008-09, 2009-10 and 2010-11) (Delhi High Court) (PDF 350KB)

08/12/2016 - Rental income is to be treated as business income of the taxpayer who is engaged in the business of leasing of property – Supreme Court - Rayala Corporation Pvt. Ltd v. ACIT (Civil Appeal No.6437 of 2016)(Supreme Court)– Taxsutra.com (PDF 332 KB)

8/11/2016 - Revisions to the Framework proposed by the MAT-Ind AS Committee (PDF 328 KB)

8/11/2016 - The lower house of the Parliament passes the Taxation Laws (Amendment) Bill, 2016 (PDF 313 KB)

8/10/2016 - Intellectual Property is not required to be registered to claim depreciation - Landis Gyr Limited v. DCIT (ITA No.37/Kol/2012) – Taxsutra.com(PDF 328 KB)

8/10/2016 - Intellectual Property is not required to be registered to claim depreciation - Landis Gyr Limited v. DCIT (ITA No.37/Kol/2012) – Taxsutra.com(PDF 338 KB)

8/10/2016 - Penalty for delay in filing of Annual Information Return not to be levied in view of taxpayer’s bona fide ignorance plea - Malda District Central Co-op Bank Ltd v. DIT( I&CI) (ITA Nos 956 & 957/Kol/2013) taxsutra.com(PDF 330 KB)

8/9/2016 - India Tax Konnect (PDF 4.35 MB)

08/05/2016 - Foreign-investments-in-Rupee-denominated-bonds-issued-overseas-by-Indian-Corporates-2 (PDF 258 KB)

08/05/2016 - Reference made by the Assessing Officer to Transfer Pricing Officer set aside, as no opportunity of being heard allowed by the Assessing Officer - Indorama Synthetics (India) Ltd. v. ADIT – (Delhi High Court) – (W.P.(C) 6422/2013 & CM No.14002/2013 (Stay), W.P.(C) 4558/2014, W.P.(C) 12072/2015 – Taxsutra.com (PDF 313 KB)

8/4/2016 - CUP method accepted for purchase of heavy earthmoving machinery and change of method by the taxpayer during TP assessment proceedings upheld - Liugong India Private Limited v. ACIT (ITA No. 1482/Del./2015) (PDF 336 KB)

8/4/2016 - GST Constitution Amendment Bill approved by the Upper House of the Parliament (PDF 305 KB)

8/3/2016 - Payment for managerial services cannot be taxed as Fees for Technical Services on application of MFN clause under the India-France tax treaty - Steria (India) Ltd v. CIT (W.P. (C) 4793/2014 & CM Appeal 9551/2014) (Delhi High Court) – Taxsutra.com (PDF 296 KB)

8/3/2016 - Removal of mandatory warehousing requirement for Export Oriented Units (PDF 285 KB)

7/29/2016 - Mere delay in filing a declaration in the prescribed format is a procedural lapse and it would not obligate the seller to collect tax at source - CIT v. Siyaram Metal Udyog (P) Ltd. (ITA No.519 & 526 of 2016) - Taxsutra.com (PDF 329 KB)

7/28/2016 - Since the situs of the IPR was not in India, income accruing from the transfer of its right title and interest is not taxable in India. The Situs of the intangible asset is attached to its owner - CUB Pty Limited v. UOI & Ors [2016] 71 taxmann.com 315 (Del) (PDF 340 KB)

7/28/2016 - The Union Cabinet approves changes to the GST Constitution Amendment Bill (PDF 309 KB)

7/27/2016 - Levy of interest under Section 234B(1) and Section 234B(3) of the Income-tax Act is complimentary and not exclusive - MBG Commodities (P) Ltd. v. DCIT (ITA No. 1321/Hyd/2015) – Taxsutra.com (PDF 250 KB)

7/25/2016 - Instruction No 3/2016, laying down a procedure for implementation of statutory provisions and not legislative provisions, cannot be given retrospective effect - Nikon India Pvt. Ltd. v. DCIT (ITA No.6314/Del/2015) – AY 2011-12 (PDF 388 KB)

7/22/2016 - CBDT issues press release on paperless PAN and TAN application process - CBDT press release, dated 22 July 2016 (PDF 250 KB)

7/21/2016 - India’s Social Security Agreement with Japan will come into effect from 1 October 2016 - http://mea.gov.in/pressreleases.htm?dtl/27088/IndiaJapan_Social_Security_Agreement Accessed on 21 July 2016 (PDF 327 KB)

7/18/2016 - Deduction under 80-IA cannot be disallowed pending tax department’s appeal before the Supreme Court - CIT v. AL Logistics P Ltd [Tax Case Appeal No 405 of 2016]- Taxsutra.com (PDF 331 KB)

7/18/2016 - BEPS Action Plan 4 – Elements of the design and operation of the Group Ratio Rule - Public discussion draft - Action Plan 4 (AP4) - Limiting Base Erosion Involving Interest Deductions and Other Financial Payments, covered in our earlier Flash News (PDF 390 KB)

7/18/2016 - BEPS Action Plan 4 – Elements of the design and operation of the Group Ratio Rule - Public discussion draft - Action Plan 4 (AP4) - Limiting Base Erosion Involving Interest Deductions and Other Financial Payments, covered in our earlier Flash News (PDF 386 KB)

7/18/2016 - Marketing services for expansion of business overseas are not in the nature of fees for technical services - Batlivala & Karani Securities (India) (P.) Ltd [2016] 71 taxmann.com 142 (Kol) (PDF 286 KB)

7/14/2016 - CBDT lays down the procedure and criteria for the manual selection of returns/cases for compulsory scrutiny during the financial year 2016-17 - CBDT Instruction No. 4/2016, dated 13 July 2016 supersedes the earlier Instruction on this subject (PDF 328 KB)

7/14/2016 - No tax deduction at source under Section 194C of the Income-tax Act on freight charges reimbursed to the supplier -Hightension Switchgears Private Limited v. CIT (ITA 8 of 2011) (Cal) – Taxsutra.com (PDF 328 KB)

7/13/2016 - Taxpayer is qualified to be a resident of India based on the tie-breaker provisions of India-Sri Lanka tax treaty - Shalini Seekond v. ITO (ITA No. 3877/Mum/2012) – Taxsutra.com This decision also covers other issues, however, this flash news only deals with the issues pertaining to tax residency under the tax treaty determined based on the criteria laid down for that purpose (PDF 358 KB)

7/12/2016 - Taxpayer to be given an opportunity to cross-examine authorised-personnel of companies, who has provided unaudited segmental data to the transfer pricing officer - Cashedge India Private Limited [TS-445-HC-2016(DEL)-TP] (PDF 250 KB)

7/11/2016 - India Tax Konnect (PDF 2.36 MB)

7/11/2016 - If the satellite communication system monitoring equipment is in India, the taxpayer is rendering services in India -Intelsat Global Sales and Marketing Ltd. v. ITO [I.T.A. Nos. 1070 to 1074 & 1621/Mds/2010, 1562/Mds/2011, 2246/Mds/2012, 470/Mds/2014, 432/Mds/2015 & 516/Mds/2016 - Assessment years: 2002-03 to 2012-13] (PDF 339 KB)

7/08/2016 - Payment received for restraining the use of trade-mark which ceases to exist is a capital receipt not chargeable to tax - Orient Blackswan Private Limited v. ACIT ITA no.252/Hyd/2012- AY 2008-09, 731/Hyd/2014- AY 2009-2010, 732/Hyd/2014 -AY 2010-11 – Taxsutra.com (PDF 339 KB)

7/08/2016 - Benefit of tonnage tax scheme is available to slot charter arrangements – Supreme Court - CIT v. Trans Asian Shipping Services (P) Ltd. [Civil Appeal No. 5870 of 2016] (SC) – Taxsutra.com (PDF 320 KB)

7/08/2016 - The OECD releases discussion draft for additional guidance on the attribution of profits to Permanent Establishment - Interested parties are invited to send their comments on this discussion draft by 5 September 2016 by email to TransferPricing@oecd.org in Word format (PDF 293 KB)

7/08/2016 - Future projections alone should be adopted in respect of valuation of intangibles, and such valuation cannot be reviewed with actuals at a later date - DQ (International) Ltd v. ACIT (ITA No. 151/Hyd/2015) – Taxsutra.com (PDF 323 KB)

7/08/2016 - Retention bonus is allowable as business expenditure - SAIC India Private Limited v. DCIT (ITA No.6464/Del./2012) order dated 27 June 2016 – Taxsutra.com (PDF 283 KB)

7/07/2016 - Voluntary CSR expenditure are allowable as business expenditure - ACIT v Jindal Power Limited (IT APPEAL NO. 99 (BLPR) OF 2012) - taxsutra.com (PDF 323 KB)

7/05/2016 - The proviso to Section 40(a)(ia) of the Income-tax Act is retrospective in nature. In case of conflicting High Court decisions, the Tribunal is required to be followed the beneficial decision to the taxpayer - R K P Company v. ITO [ITA No. 106/RPR/2016] (AY 2010-11) (PDF 335 KB)

7/05/2016 - Two enterprises cannot be treated as an associated enterprise unless both the parameters laid down in Section 92A of the Income-tax Act are fulfilled - Page Industries Ltd. v. DCIT [IT(TP)A No. 163/Bang/2015] - AY 2010-11 (PDF 353 KB)

7/05/2016 - Income from sale of software does not amount to royalty under India-Netherlands tax treaty - ADIT v. Baan Global B V (ITA No. 7048/Mum/2010) – Taxsutra.com (PDF 379 KB)

7/04/2016 - CBDT issues Central Action Plan for the Financial Year 2016-17 (PDF 381 KB)

7/01/2016 - Clarification regarding grandfathering of Offshore Derivative Instruments Issuers (PDF 280 KB)

7/01/2016 - Clarification regarding grandfathering of Offshore Derivative Instruments Issuers (PDF 289 KB)

6/30/2016 - CBDT notifies rules for computation of fair market value and reporting requirements in relation to indirect transfer provisions - CBDT Notification 55/2016, dated 28 June 2016 (PDF 281 KB)

6/30/2016 - CBDT notifies Foreign Tax Credit rules - F. No. 142/24/2015-TPL, dated 18 April 2016 (PDF 303 KB)

6/30/2016 - Stamp duty payment is allowed as revenue expenditure - Priithvi Associates v. ACIT (Tax Appeal No. 414 of 2007) (Guj) –Taxsutsra.com (PDF 327 KB)

6/29/2016 - CBDT notifies rules with respect to non-furnishing of PAN by non-residents and furnishing of alternative documents - CBDT Notification No. 53 /2016, F.No.370 142/16/2016-TPL, dated 24 June 2016 (PDF 287 KB)

6/28/2016 - Since the payment made by the taxpayer is in kind, the provisions of Section 194J of the Income-tax Act are not applicable for deduction of tax at source - Red Chilles Entertainment Pvt. Ltd. v. ACIT ITA no.1577/Mum./2013 AY 2009-10 – Taxsutra.com This decision also covers other issues, however, this Flash news only deals with the issue pertaining to the deduction required to be made under Section 194J of the Act and resultant allowability of the expenditure (PDF 329 KB)

6/27/2016 - CBDT notify amendments to Rule 8D of Income-tax Rules - Notification No. 43/2016 [F.No.. 370142/7/2016-TPL] dated 2 June 2016 (PDF 263 KB)

6/27/2016 - Section 206AA of the Income-tax Act does not override the beneficial provisions of the tax treaty - DCIT v. Pricol Ltd (ITA No. 56 & 57/Mads/2014) – Taxsutra.com (PDF 325 KB)

6/27/2016 - Even though in earlier years, the taxpayer itself had accepted the department’s stand in MAP proceedings, this should not be considered as a consent of the taxpayer for the adjustment proposed by the department in earlier years - ACIT v. Turner International India Pvt. Ltd. ITA No. 3080/Del/2011- Assessment Year: 2005-06, ITA No. 5981/Del/2010- Assessment Year: 2006-07, Cross Obj. No. 246/Del/2011 (In ITA No. 3080/Del/2011) - Assessment Year: 2005-06 (PDF 315 KB)

6/24/2016 - Once the approval by DSIR is granted, the AO cannot verify the prescribed conditions to deny the deduction under Section 80-IB(8A) of the Income-tax Act - Principal Commissioner of Income Tax v. B.A. Research India Ltd [(TS-337- HC-2016(GUJ)]-Taxsutra.com (PDF 305 KB)

6/24/2016 - CBDT amends General Anti-Avoidance Rules - www.taxguru.in(PDF 278 KB)

6/24/2016 - Exemption from levy of Krishi Kalyan Cess provided to the invoices issued and services completed prior to 1 June 2016 (PDF 249 KB)

6/23/2016 - Draft revised Authorised Economic Operator Scheme guidelines notified (PDF 293 KB)

6/22/2016 - Transfer pricing adjustment on free of charge corporate guarantee and letter of comfort deleted, adjustment for interest-free advances upheld - TVS Logistics Services Ltd. v. DCIT (ITA No.458/Mds/2016) – Taxsutra.com (PDF 369 KB)

6/21/2016 - Payment to toll collecting agencies is liable for TDS under Section 194C and not under Section 194H of the Incometax Act - Payment to toll collecting agencies is liable for TDS under Section 194C and not under Section 194H of the Incometax Act  (PDF 326.45 KB)

6/17/2016 - Taxpayer considered as BPO in subsequent years, cannot be considered as KPO in earlier year for providing same services - SNL Financial (India) Pvt. Ltd. v. DCIT (ITA No. 770/Ahd/2014) (PDF 330.90 KB)

6/17/2016 - Government of India releases the model Goods and Service Tax Law (PDF 376.04 KB)

6/16/2016 - Contribution of land to AOP for joint development is not transfer of capital asset and therefore not taxable as capital gain  - Ashok Gordhandas Kirpalani v. ITO (ITA No.1647/PN/2014) (Pune) - Taxsutra.com (PDF 327.90 KB)

6/16/2016 - Allotment of bonus shares cannot be considered as received for an inadequate consideration, and therefore, it is not taxable as income from other sources - DCIT v. Dr. Rajan Pai [ITA.1290/Bang/2015, (Assessment Year: 2012-13)] (PDF 350 KB)

6/16/2016 - Salary received by a non-resident in India is taxable in India on receipt basis - Tapas Kr. Bandopadhyay v. DDIT (ITA No. 70/Kol/2016)(PDF 364 KB)

6/16/2016 - Salary income earned outside India is exempt from tax in India under the tax treaty based on split residency position - Section 90(2) of the Act Raman Chopra v. DCIT, [2016] 69 taxmann.com 452 (Del) (PDF 326 KB)

6/16/2016 - KPMG India Tax Konnect - June 2016 (PDF 2.24 MB)

6/15/2016 - Initial assessment year under Section 80IB(11A) is the assessment year in which the taxpayer commenced its business and not the assessment year when the said section has been amended - Anand Food and Dairy Products v. ITO [TAX APPEAL No. 174-176 of 2016] (PDF 330 KB)

6/14/2016 - The Government of India enhances benefits under the Employees’ Deposit-Linked Insurance Scheme, 1976 - Notification no. G.S.R. 543(E), dated 24 May 2016, published in the Gazette of India (PDF 382 KB)

6/13/2016 - Notional interest on security deposit paid to landlord not to be considered in perquisite valuation of rent-free accommodation provided by employer - Section 17(2)(i) of the Act read with Rule 3(1) of the Income Tax Rules, 1962 (PDF 330 KB)    

6/10/2016 - Consideration from offshore construction contract for installation of ‘Single Point Mooring’ is not taxable as royalty as well as FTS in India - Technip Singapore Pte. Ltd. v. DIT (W.P (c) No. 7416/2012) (Delhi High Court) – Taxsutra.com (PDF 350.53 KB)

6/10/2016 - 35 per cent of net global profits are attributed to Indian PE of a Chinese company in respect of both hardware and software supplied to Indian customers – Delhi Tribunal - ZTE Corporation v. ADIT (ITA No.5870/Del/2012) – Taxsutra.com (PDF 343.87 KB)

6/10/2016 - CBDT issues FAQs on newly introduced TCS provisions - Existing Section 206C(1D) of the Act provides TCS shall be applicable on sale of bullion exceeding two lakh rupees and jewellery exceeding five lakh rupees. (PDF 290.95 KB)

6/7/2016 - Indian subsidiary of a US company does not constitute a PE in India as it does not satisfy any of the tests of PE Article of the India-USA tax treaty - Adobe Systems Incorporated v. ADIT (Writ Petition (C) 2384/2013 & CM 4515/2013) – Taxsutra.com (PDF 345.37 KB)

6/6/2016 - Home loan interest not eligible for double deduction while computing capital gains - Captain B L Lingaraju v. ACIT (ITA No.906/Bang/2014) (PDF 342.77 KB)

6/6/2016 - Tax deduction at source is not applicable to reasonable per diem allowances paid to employees for overseas trips - CIT v. Symphony Marketing Solutions India Pvt. Ltd., (TS-5207-HC-2016) (Kar) – Taxsutra.com (PDF 380.22 KB)

6/3/2016 - Foreign exchange fluctuation loss on outstanding foreign currency loans is allowed as business expenditure under the Income-tax Act - Cooper Corporation Pvt. Ltd. v. DCIT (ITA No. 866/PN/2014) – Taxsutra.com (PDF 337.36 KB)

6/1/2016 - Pegging perquisite valuation to SBI-rate for bank employees' concessional loans, no 'hardship' - Section 17(2)(vi) of the Income Tax Act, 1961 as amended by the Finance Act, 2004 which became Section 17(2)(viii) effective 1 April 2010 Rule 3(7)(i) of the Income Tax Rules, 1962 as amended by Income Tax (First Amendment) Rules, 2004 (PDF 307.41 KB)

5/30/2016 - Enabling provisions relating to ‘Krishi Kalyan Cess’ introduced - Notification Nos. 27/2016-Service Tax to 31/2016-Service Tax and Notification No. 28/2016-Central Excise (N.T.)] dated 26 May 2016 (PDF 378.70 KB)

5/30/2016 - The Central Board of Direct Taxes notifies Equalisation Levy Rules, 2016 - Notification No. 37 and 38/2016, dated 27 May 2016 (PDF 260.15 KB)

5/30/2016 - Transfer of shares on deferred basis - Notification No. FEMA 368/2016-RB, dated 20 May 2016 – Foreign Exchange Management (Transfer or Issue of Security by a Person Resident outside India) (Seventh Amendment) Regulations, 2016 (PDF 276.44 KB)

5/27/2016 - Whenever the provision of an opportunity for hearing is actually turned into an empty formality by the Officer, the opportunity provided by the show cause notices become meaningless opportunities - Sutherland Global Services Pvt. Ltd. v. UOI, Ministry of Finance - Department of Revenue, JCIT, DCIT, CBDT - WMP.No.9140 of 2016 in WP.10335 - Madras High Court (PDF 360.60 KB)

5/27/2016 - Government of India declares 8.8 per cent interest rate on Employees’ Provident Fund Scheme - http://www.epfindia.com/site_docs/PDFs/Circulars/Y2016-2017/Invest_InterestRate_2015-16_3725.pdf accessed as on 27 May 2016 (PDF 311.70 KB)

5/24/2016 - CBDT issues draft rules for computation of fair market value and reporting requirement in relation to indirect transfer provisions - Read with Explanation 5 to Section 9(1)(i) of the Act 2 F No. 142/26/2015-TPL, dated 23 May 2016 (PDF 293.50 KB)

5/24/2015 - Regulatory connect - May 2016 ((PDF 1.94 MB))

5/23/2016 - Payment received by a UK company under the management and administration services agreement is taxable as royalty under the Income-tax Act as well as the India-UK tax treaty - TNT Express Worldwide (U.K.) Limited v. DDIT (IT(TP)A No.6/Bang/2011) – Taxsutra.com (PDF 339.649 KB)

5/20/2016 - Royalty received from franchisee remitted to an overseas AE without value-addition to be treated as a ‘pass-through’ cost for computation of operating profit margin - Mc Donald’s India (P) Ltd v. DCIT (ITA No. 961/DEL/2010) (Assessment Year: 2003-04) (PDF 342.62 KB)

5/19/2016 - Transferor company held taxable even in respect of part sale consideration directly received by its shareholders under a scheme of arrangement for transfer of business - CIT v. Salora International Ltd dated (ITA 12/2003, 13 May 2016) – Taxsutra.com (PDF 348.66 KB)

5/17/2016 - Revised warehousing guidelines and procedures in relation to imported goods - Notification No 66/2016-Customs (NT) to 72/ 2016-Customs (NT) dated 14 May 2016 and Circular No 17/ 2016-Customs and Circular No 18/2016 – Cus dated 14 May 2016 (PDF 280.66 KB)

5/17/2016 - Payment of administrative fees to foreign company is not liable for disallowance under Section 40(a)(i) of the Income-tax Act for non-deduction of tax at source in view of nondiscrimination clause under the India-USA tax treaty - CIT v. Herbalife International India Pvt Ltd. (ITA No. 7/2007) – Taxsutra.com (PDF 319.76 KB)

5/13/2016 - India and Mauritius sign a protocol amending the India- Mauritius tax treaty - http://mof.govmu.org (PDF 295.51 KB)

5/12/2016 - Residential status is relevant while exercising the option and not during the vesting period for taxability of Stock Appreciation Rights - Shri Soundarrajan Parthasarathy and Shri Kummathi Rameswar Reddy v. DCIT (ITA No.390/Mds/2016) – Taxsutra.com (PDF 313.01 KB)

5/12/2016 - KPMG India Tax Konnect (PDF 476.76 KB)

5/12/2016 - Residential status is relevant while exercising the option and not during the vesting period for taxability of Stock Appreciation Rights - Shri Soundarrajan Parthasarathy and Shri Kummathi Rameswar Reddy v. DCIT (ITA No.390/Mds/2016) – Taxsutra.com (PDF 311 KB)

5/10/2016 - Income accrues or arises only when a right to receive the amount is vested in the taxpayer - Supreme Court - P.G. & W. Sawoo v. ACIT (Civil Appeal No. 4091 of 2016) – itatonline.com (PDF 281.41 KB)

5/10/2016 - CBDT issues press release on Protocol amending the India-Mauritius tax treaty - CBDT press release, dated 10 May 2016 (PDF 270.01 KB)

5/10/2016 - Agreement between taxpayer and its AE and proof that the AMP expenditure is not for the taxpayers business in India are prerequisite for treating the AMP expenditure as an international transaction - Tribunal relied on the decision of the Delhi High Court in Bausch & Lomb Eyecare (India) Pvt. Ltd (ITA No. 643 of 2014) for coming to this conclusion (PDF 335.04 KB)

5/6/2016 - Proposed amendments to the Finance Bill, 2016 (PDF 324 KB)

5/4/2016 - CBDT amends TDS and TCS related certain rules - Notification No. 30/2016, dated 29 April 2016 (PDF 298.45 KB)

5/3/2016 - Waiver of loan availed for acquiring capital asset is taxable as business income - CIT v. Ramaniyam Homes (P.) Ltd. [2016] 68 taxmann.com 289 (Mad) (PDF 311.28 KB)

5/3/2016 - The Government of India amends Employees’ Pension Scheme allowing members to contribute till 60 years of age - Notification no. G.S.R. 748(E), dated 16 November 1995, published in the Gazette of India (PDF 295.86KB)

5/3/2016 - Taxpayer is a beneficial owner of royalty and interest income and therefore eligible for beneficial tax rate under the India-Singapore tax treaty - Imerys Asia Pacific Pvt. Ltd., v. DDIT (ITA No.233/PN/2014) – Taxsutra.com (PDF 284.90KB)

5/3/2016 - CBDT clarifies on taxability of income from the transfer of unlisted shares - CBDT Clarification F No. 225/12/2016/ITA.II, dated 2 May 2016 (PDF 259.03KB)

04/01/2016 - Tax Assemblage 2016 (PDF 386 KB)

4/28/2016 - CBDT circular clarifying on payment of interest on refund under Section 244A of the Income-tax Act of excess TDS deposited under the provisions of the Income-tax Act - Circular No. 7 dated 23 October 2007, states that no interest under section 244A of the Act, is admissible on refunds to be granted in accordance with the circular or on the refunds already granted in accordance with Circular No. 769 or Circular 790 dated 20.4.2000. (PDF 276.06 KB)

4/28/2016 - CBDT circular clarifying on payment of interest on refund under Section 244A of the Income-tax Act of excess TDS deposited under the provisions of the Income-tax Act - Section 244A of the Act provides that the taxpayer shall be entitled to receive interest at the rate of one-half percent for the specified period on the amount of refund that becomes due to the taxpayer under the Act (PDF 276.06 KB)

4/27/2016 - Conversion of firm into company under part IX of the Companies Act, 1956 does not amount to transfer and not subject to capital gains tax - DCIT v. R.L. Kalathia & Co. [2016] 66 taxmann.com 249 (Guj) (PDF 309.33 KB)

4/18/2016 - Enactment of Maharashtra Tax Laws (Levy, Amendment, and Validation) Bill 2016 (PDF 383 KB)

4/18/2016 - CBDT issues draft rules on Foreign Tax Credit - F. No. 142/24/2015-TPL, dated 18 April 2016 (PDF 296.69 KB)

4/15/2016 - CBDT notifies new income-tax return forms for Assessment Year 2016-17 - Notification No. 24/2016, dated 30 March 2016 (PDF 281.86 KB)

4/15/2016 - Section 94A of the Income-tax Act notifying Cyprus as a notified jurisdiction is constitutionally valid - T.Rajkumar, K.Dhanakumar and T.K.Dhanashekar v UOI, Central Board of Direct Taxes, ITO (Intl Taxation) [W.P.Nos.17241 to 17243 & 17407 to 17412 of 2015] – Taxsutra.com (PDF 371.66 KB)

4/15/2016 - Mere technical error in the return of income would not defeat the claim of tax treaty benefit - Pramerica ASPF II Cyprus Holding Limited v. DCIT (ITA No.1113/MUM/2015) – Taxsutra.com (PDF 291 KB)

4/14/2016 - Tested party shall be selected with reference to the entity which has undertaken the transaction. Market determined interest rate applicable to currency in which loan has to be repaid shall be considered at arm’s length - India Debt Management Pvt Ltd v. DCIT [IT(TP)A No. 7518/Mum/2014] – Taxsutra.com (PDF 369.39 KB)

4/14/2016 - Upfront payment for acquisition of leasehold rights over an immovable property for 99 years is not rental income hence not liable for deduction of tax at source under Section 194-I of the Income-tax Act - Foxconn India Developer (P) Ltd. v. ITO [Tax case appeal no. 801 of 2013] – Taxsutra.com (PDF 346.92 KB)

4/14/2016 - Web-hosting services provided by a foreign company are not taxable as royalty in India - DDIT v. Savvis Communication Corporation [I.T.A. No. 7340/Mum/2012, Assessment years: 2009-10] – Taxsutra.com (PDF 310.46 KB)

4/13/2016 - Payment for the use of virtual voice network is neither fees for technical services nor royalty under the India-UK tax treaty - Interroute Communications Limited v. DDIT (I.T.A. No. 2284/Mum/2014) – Taxsutra.com (PDF 310 KB)

4/11/2016 - Turnover filter considered at 10 times; Comparables with RPTs up to 15 percent accepted; standard deduction of +/- 5 percent benefit under the erstwhile provisions of Incometax Act confirmed - ACIT v. McAfee Software (India) Pvt Ltd [IT(TP)A No.1388/Bang/2011 and IT(TP)A No. 04/Bang/2012 – AY 2005-06] – Taxsutra.com (PDF 375.95 KB)

4/11/2016 - No rebate on stamp duty paid in the State of Maharashtra on the order of the High Court sanctioning the scheme of compromise or arrangement for stamp duty paid in another state -  http://bombayhighcourt.nic.in/ (PDF 311.85 KB)

4/6/2016 - KPMG India Tax Konnect - April 2016 (PDF 428 KB)   

3/31/2016 - Services provided by the Bombay Stock Exchange to transact a business of sale and purchase of shares do not amount to fees for technical services – Supreme Court - CIT v. Kotak Securities Ltd. [2016] 67 taxmann.com 356 (SC) (PDF 335 KB)

3/30/2016 - Payment of inter-connection usage charges by an Indian telecom service provider to a foreign telecom operator is neither FTS nor royalty under the Act or the relevant tax treaties - Bharti Airtel Limited v. ITO (TDS) (ITA Nos. 3593 To 3596/Del/2012) – Del - Taxsutra.com (PDF 364 KB)

3/30/2016 - Guidelines for Foreign Direct Investment on e-commerce - Press Note No. 3 (2016 series) dated 29 March 2016 (PDF 295 KB) 

3/23/2016 - Income arising from container services is not taxable under Section 44B of the Income-tax Act. In the absence of a PE under the India-Singapore tax treaty, the business income is not taxable in India - Forbes Container Line Pte. Ltd. v. ADIT (ITA No.1607/Mum/2014) – Mum - Taxsutra.com (PDF 304 KB)

3/22/2016 - Aggregation of transaction under TNMM is rejected since facts of the case indicated unusual features which remained unexplained by the taxpayer - Delhi High Court - Denso India Limited v. ACIT (ITA No. 443/2013 and ITA No. 451/2013) - Del – Taxsutra.com (PDF 338 KB)

3/18/2016 - The CBDT notifies the Rules in relation to the Safe Harbour provisions for offshore funds - Notification No. 14/2016 [F.No. 142/15/2015-TPL] dated 15 March 2016 (PDF 332 KB)

3/18/2016 - Subsidies for reimbursement of cost relating to manufacture or sale of products of an industrial undertaking are eligible for deduction under Section 80-IB and 80-IC of the Income-tax Act - CIT v. Meghalaya Steels Ltd. [2016] 67 taxmann.com 158 (SC) (PDF 325 KB)

3/18/2016 - A foreign company engaged in outsourcing services constitutes a business connection under the Income-tax Act but does not have a PE in India under the India-UK tax treaty - DCIT v. Vertex Customer Management Ltd. [2016] 67 taxmann.com 105 (Del) (PDF 323 KB)

3/18/2016 - India’s Social Security Agreement with Australia comes into effect (PDF 295 KB)

3/14/2016 - Ministry of Corporate Affairs permits buyback of shares on the basis of limited review financials - MCA Notification dated 10 March 2016 (PDF 247 KB)

3/14/2016 - CBDT replaces guidelines for selection and referral of transfer pricing cases for assessment - CBDT Instruction No.3/2016 dated 10 March 2016 (PDF 281 KB)

3/14/2016 - The Bombay High Court’s decision on Section 14A of the Income-tax Act and the binding precedent - HDFC Bank Ltd. Mumbai v. DCIT [2016] 67 taxmann.com (Bom) (PDF 353 KB)

3/11/2016 - Consultancy services in the fields of exploration, mining and extraction are FTS and do not constitute a PE in India under India-Germany tax treaty - Rheinbraun Engineering Und Wasser GmbH v. DIT (ITA No. 2353/Mum/2006) - Mum – Taxsutra.com (PDF 313 KB)

3/8/2016 - CBDT clarifies on taxability of consortium members in the case of EPC contracts and turnkey projects - CBDT Circular No. 7/2016 dated 7 March 2016 (PDF 280 KB)

3/8/2016 - Government withdraws proposed taxation of provident fund and superannuation (PDF 314 KB)

3/7/2016 - CBDT clarifies on the India-UK tax treaty benefits available to the UK partnership firms - CBDT Circular No. 2/2016 dated 25 February 2016 (PDF 270 KB)

3/7/2016 - Incurring more expenditure on AMP compared to comparable companies, cannot be inferred as an international transaction between the taxpayer and its foreign AE - Essilor India Pvt. Ltd. v. DCIT [IT(TP)A No. 29/Bang/2014 and IT(TP)A No. 227/Bang/2015] - Bang – Taxsutra.com (PDF 390 KB)

3/3/2016 - The Government of India issues a notification on coverage of Banks under Employees’ Provident Funds and Miscellaneous Provisions Act, 1952 - Notification No. S.O. 440(E) dated 10 February 2016 [F. No. S- 35018/10/2013-SS.II] (PDF 288 KB)

3/3/2016 - CBDT issues revised guidelines for stay of demand at the CIT(A) stage - CBDT (Office Memorandum) F.No. 404/72/93-ITCC dated 29 February 2016 (PDF 342 KB)

3/3/2016 - CBDT clarifies with respect to the deduction of tax at source on specified payments by broadcasters/ television channels to production houses and television channels/publishing houses to advertisement companies - CBDT Circular No. 4/2016 & 5/2016 dated 29 February 2016 (PDF 309 KB)

3/3/2016 - Amendments to Foreign Direct Investment Guidelines in FEMA - RBI Notification Nos. FEMA 361/2016-RB and 362/2016-RB dated 15 February 2016 (PDF 308 KB)

3/3/2016 - Operative Guidelines under M-SIPS - Dept. of Electronics and Information Technology (DeitY) Notification dated 24 February 2016 (PDF 276 KB)

3/2/2016 - When the foreign recipient is eligible for the benefit of the tax treaty, there is no scope for deduction of tax at source at the rate of 20 per cent under Section 206AA of the Income-tax Act - Wipro Ltd. v. ITO (2016-TII-27-ITAT-BANG-INTL) [IT (IT) A. Nos. 1544 to 1547/Bang/2013, (AY 2011-12) (PDF 364 KB)

3/2/2016 - CBDT clarifies on the issue of taxability of surplus on sale of shares and securities - CBDT Circular No. 6/2016 dated 29 February 2016 (PDF 284 KB)

3/1/2016 - Budget 2016 - Transfer Pricing Amendments  - www.indiabudget.nic.in (PDF 299 KB)

3/1/2016 - Union Budget 2016 www.indiabudget.nic.in (PDF 905 KB)

2/26/2016 - A tax officer does not have the power to recompute the book profit under MAT provisions and has to rely upon the accounts scrutinised and certified by the statutory auditors - Sri Hariram Hotels (P.) Ltd. v. CIT [2016] 66 taxmann.com 233 (Kar) (PDF 284 KB)

2/26/2016 - Consultancy charges on account of construction activity are not taxable as fees for technical services under Section 44D but business income under the provisions of the Income-tax Act - DDIT v. MSV International Inc [2016] 67 taxmann.com 156 (Del) (PDF 317 KB)

2/26/2016 - CBDT clarifies on taxability of transaction of buyback of shares undertaken prior to 1 June 2013 - CBDT Circular No. 3/2016 dated 26 February 2016 (PDF 277 KB) 

2/26/2016 - Japanese nationals to get a visa-on-arrival in India for business, tourism, conference and medical purposes - http://mha.nic.in dated 24 February 2016 (PDF 263 KB) 

2/26/2016 - India Economic Survey 2015-16 – Key Highlights - www.indiabudget.nic.in (PDF 470 KB) 

2/25/2016 - The Government of India issues a notification for changing the provisions of provident fund withdrawals under the Employees’ Provident Funds Scheme, 1952 - Notification No. G.S.R. 158(E), dated 10 February 2016 [F.No. S- 35012/5/2015-SS-II](PDF 299 KB) 

2/23/2016 - CBDT issues instructions to tax officers to adhere to the prescribed time limit of six months while passing a rectification order and the same must be passed by an order in writing - CBDT Instruction 1/2016 & 2/2016 dated 15 February 2016 (PDF 615 KB) 

2/23/2016 - No tax is to be deducted when interest has not been paid and the provision has been reversed in the books of accounts as no income is accrued to the payee - Karnataka Power Transmission Corporation Limited v. DCIT [2016] 67 taxmann.com 259 (Kar) (PDF 337 KB) 

2/22/2016 - The government notifies the definition of the term ‘startup’ and prescribes the procedure for its recognition and obtaining tax benefits - Notification [F. No. 5(91) /2015- BE.I] dated 17 February 2016 (PDF 349 KB) 

2/22/2016 - The Delhi High Court holds on acceptability of AAR application in different situations - Hyosung Corporation v. AAR 2016] 66 taxmann.com 217 (Del) (PDF 302 KB) 

2/19/2016 - The transfer pricing officer and the taxpayer are directed to avail services of a technical expert to opine on the nature of functions carried out by the taxpayer - Carrier Airconditioning & Refrigeration Ltd. v. ACIT [2016] 67 taxmann.com 72 (Del) (PDF 340 KB) 

2/17/2016 - Payment for data transmission services through a transponder is not royalty under the India-Thailand and India-Netherlands tax treaties - DIT v. Shin Satellite Public Co Ltd [ITA 500/2012], DIT v. New Skies Satellite BV [ITA 473/2012] (Del) – Del - Taxsutra.com (PDF 339 KB)

2/17/2016 - CBDT clarifies the term 'initial assessment year' under Section 80-IA of the Income-tax Act - CBDT Circular No. 1/2016 dated 15 February 2016 (PDF 289 KB) 

2/16/2016 - Sale of shares of the group concern to related parties treated as a sham transaction, hence capital loss on such transaction was disallowed - AAA Portfolios Pvt. Ltd. v. DCIT (ITA No. 2483/Del./2014: AY 2009- 10) – Del - Taxsutra.com - (PDF 338 KB) 

2/16/2016 - Revised procedure for valuation of imports from a related party by a Special Valuation Branch (SVB) of Customs - CBEC Circular No 5/2016-Cus dated 9 February 2016 (PDF 292 KB)

2/16/2016 - Resulting company entitled to pro-rata/proportionate TDS, advance-tax and MAT credit post demerger - Adani Gas Limited v. ACIT (ITA Nos. 2241 & 2516/Ahd/2011) – Ahd - Taxsutra. com (PDF 319 KB) 

2/16/2016 - Transfer Pricing adjustment in relation to intra-group services deleted; payment of 2 per cent on sales considered to be at arm’s length - N L C Nalco India Ltd. v. DCIT (ITA No 529/Kol/2008 – AY 2003-04) and N L C Nalco India Ltd. v. ACIT (ITA No 1256/Kol/2009 – AY 2004- 05) – Kol – Taxsutra.com (PDF 338 KB)

2/15/2016 - Buyback of shares as per the Companies Act is not a colourable device and such transaction is not treated as deemed dividend under the Income-tax Act - (ITA No. 3726/Mum/2015) – Mum - Taxsutra.com (PDF 332 KB) 

2/15/2016 - Even for the period prior to the amendment to the India-UAE tax treaty, the allowance of head office expenditure is to be considered under the Income-tax Act - Mashreq Bank PSC v. DDIT (ITA No. 1342/Mum/2006) – Mum - Taxsutra.com (PDF 243 KB) 

2/12/2016 - MCA releases draft rules on NCLT, schemes of compromises/arrangements and prevention of oppression and mismanagement, for public comments - www.mca.gov.in (PDF 325 KB) 

2/10/2016 - Interest paid on partners’ capital is an expenditure and not a statutory allowance and hence liable for disallowance under Section 14A of the Income-tax Act - ACIT v. Pahilajrai Jaikishin [2016] 66 taxmann.com 30 (Mum) (PDF 346 KB) 

2/10/2016 - The balance 10 per cent of the additional depreciation can be claimed in the immediately succeeding financial year, to the year in which the machinery is installed - CIT v. Rittal India Pvt. Ltd. [2016] 380 ITR 423 (Kar) (PDF 332 KB) 

2/10/2016 - KPMG India Tax Konnect - February 2016 (PDF 335 KB) 

2/9/2016 - The CBDT notifies the procedure for e-communication between a taxpayer and the Income-tax department - CBDT Notification No. 2/2016 dated 3 February 2016 (PDF 306 KB) 

2/8/2016 - CBDT notifies changes in reporting rules for PAN and Annual Information Reporting - CBDT Notification No. 95/2015, dated 30 December 2015 (PDF 301 KB) 

2/4/2016 - FEMA permits residents to acquire immovable property overseas jointly with non-resident relatives - FEMA (Acquisition and Transfer of Immovable Property outside India) Regulations, 2015 No. FEMA 7(R)/2015—RB issued on 21 January 2016 (PDF 294 KB) 

2/4/2016 - Tax rate of 20 per cent under Section 206AA of the Income-tax Act shall not apply to salary payments for default in providing PAN - Rashtriya Ispat Nigam Ltd. v. ACIT [2016] 65 taxmann.com 292 (Viz) (PDF 312 KB) 

2/4/2016 - Preference shares which have not yielded any exempt income have to be considered for disallowance under Section 14A of the Income-tax Act when the taxpayer is having exempt income from other investments - West Bengal Infrastructure Development v. ACIT (ITA No.388/Kol/2008) – Kol - Taxsutra.com (PDF 272 KB)

2/2/2016 - Project office for installation of petroleum platforms and submarine pipelines does not constitute a PE in India - National Petroleum Construction Company v. DIT [2016] 66 taxmann.com 16 (Del) (PDF 420 KB)

2/1/2016 - India signs two bilateral APAs with the U.K. for management charges and brand royalty - Press release by Government of India dated 22 January 2016 (PDF 271 KB) 

1/29/2016 - Fees for supply management services are neither taxable as royalty nor as fees for technical services under the India-U.K. tax treaty - Cummins Limited [2016] 381 ITR 44 (AAR) (PDF 309 KB) 

1/28/2016 - Settlement amount received by FIIs for giving up the ‘right to sue’ is not taxable under the Income-tax Act - Aberdeen Claims Administration Inc. [2016] 381 ITR 55 (AAR) (PDF 350 KB)

1/28/2016 - Employees’ Provident Fund Organisation issues consolidated guidelines to secure proper compliance for overseas assignments (PDF 292 KB)

1/27/2016 - Transfer of shares of an Indian company by a Mauritius based company to a Singapore based company under group reorganisation is not taxable under the India-Mauritius tax treaty and it is not a tax avoidant transaction - Dow AgroSciences Agricultural Products Ltd. [2015] 65 taxmann.com 245 (AAR) (PDF 351 KB)

1/20/2016 - Capital gains arising to a foreign company on transfer of shares held in an Indian company under the court approved buy-back scheme is taxable in India under India-Netherlands tax treaty - Accordis Beheer B. V. v. DIT [2016] 66 taxmann.com 164 (Mum) (PDF 402 KB)

1/20/2016 - Easwar Committee report on the simplification of various provisions of the Income-tax Act (PDF 440 KB)

1/19/2016 - Action Plan on 'Startup India' (PDF 364 KB)

1/18/2016 - Amendments to Combination Regulations under the Competition Act, 2002 - CCI (Procedure in regard to the transactions of business relating to combinations) Amendment Regulations, 2016 (PDF 353 KB)

1/15/2016 - KPMG India Tax Konnect - January 2016 (PDF 237 KB)

1/15/2016 - Employees’ Provident Fund Organisation has removed the five days grace period for remitting of monthly provident fund contributions (PDF 385 KB) 

1/14/2016 - Interest income on application money kept in a separate bank account is taxable in the year of allotment of shares - CIT v. Henkel Spic India Ltd. [2015] 379 ITR 322 (SC)  (PDF 351 KB)

1/14/2016 - The land on which a building is under construction is liable to wealth tax - Giridhar G. Yadalam v. Commissioner of Wealth Tax & Another [2016] 237 Taxman 392 (SC) (PDF 367 KB)

1/11/2016 - KPMG Tax Highlights - 2015 (PDF 857 KB)

1/8/2016 - Development charges paid by lessee for acquiring an industrial plot on a long-term lease is not rent and hence withholding of tax is not required under the Income-tax Act - Gupta Fabtex Pvt. Ltd. v. DCIT (TDS) (ITA Nos. 647 & 648/JP/2013) – Jaipur - Taxsutra.com (PDF 385 KB)

1/5/2016     - KPMG Tax Assemblage - 2015 (PDF 533 KB)

01/05/2016 - Income attributable to the taxpayer’s foreign branches having a PE outside India is not taxable in India - CIT v. Bank of India [2015] 64 taxmann.com 215 (Bom) (PDF 384 KB)

12/24/2015 - The CBDT issues draft guiding principles for determination of the Place of Effective Management of a company - F. No. 142/11/2015-TPL, dated 23 December 2015 (PDF 319 KB)

12/24/2015 - Ex-gratia payment made voluntarily by an employer is not taxable as ‘profits in lieu of salary - Arunbhai R. Naik v. ITO [2015] 64 taxmann.com 216 (Guj) (PDF 343 KB)

12/21/2015 - Income from EPC related offshore services is neither taxable as fees for technical services nor as business income under the India-Japan tax treaty -  IHI Corporation v. ADIT [2015] 63 taxmann.com 100 (Mum) (PDF 337 KB)

12/18/2015 - CBDT amends rules relating to furnishing of information in respect of payments made to the non-resident - Notification No. 93/2015, F.No.133/41/2015-TPL, dated 16 December 2015 (PDF 348 KB)

12/18/2015 - The Indian company constitutes dependent agent permanent establishment of the US television company - NGC Network Asia LLC v. JDIT (ITA No. 7994/Mum/2011) (Mum) – Taxsutra.com (PDF 354 KB)

12/16/2015 - Payment of a penalty to the U.S. government/Court does not attract the withholding tax provisions under Section 195 of the Income-tax Act - Satyam Computer Services Ltd. [2015] 64 taxmann.com 162 (AAR) (PDF 342 KB)

12/16/2015 - CBDT prescribes new monetary limits for filing of appeals by the tax department before the Tribunal, High Court and SLP before the Supreme Court - CBDT Circular No. 21/2015, dated 10 December 2015 (PDF 304 KB)

12/16/2015 - No disallowance under Section 14A of the Income-tax Act – The Bombay High Court - CIT v. SBI DHFL Ltd. [2015] 376 ITR 296 (Bom) (PDF 354 KB)

12/16/2015 - The Delhi High Court held that AMP expenses incurred by Maruti Suzuki India does not constitute an international transaction - Maruti Suzuki India Limited v. CIT [2015] 64 taxmann.com 150 (Delhi) - (PDF 378 KB)

12/15/2015 - Circulation of draft Goods and Services Tax law - www.vatinfoline.com (PDF 350 KB)

12/14/2015 - KPMG India Tax Konnect - December 2015 (PDF 283 KB)

12/11/2015 - The CBDT prescribes rules with respect to the service of notice, summons, requisition, order and other communication - CBDT Notification No. 89/2015, passed in the Official Gazette of India on 2 December 2015 (PDF 303 KB)

12/11/2015 - Quoting of wrong PAN inadvertently does not attract provisions of Section 206AA of the Act - Oil & Natural Gas Corporation Ltd. v. DCIT (ITA No. 1984, 1985 and 1986/Ahd/2015) – Taxsutra.com (PDF 347 KB)

12/11/2015 - KPMG in India releases report on employee pensions in India at FICCI’s conference on pension sector (PDF 317 KB)

12/11/2015 - Investing in India 2015 (PDF 317 KB)

12/11/2015 - SEBI circular on key requirements applicable to Schemes of Arrangement of listed entities - SEBI Circular No. dated 30 November 2015 (PDF 341 KB)

12/10/2015 - Clarification on the applicability of M-SIPS to existing applicants - www.deity.gov.in Notification dated 30 November 2015 (PDF 267 KB)

12/10/2015 - Issue of corporate guarantee is in nature of ‘shareholder activities’/‘quasi capital’ and thus, could not be included within the ambit of ‘provision for services’ under the definition of ‘international transaction’ under Section 92B of the Act - Micro Ink Limited v. ACIT [2015] 63 taxmann.com 353 (Ahd) (PDF 375 KB)

12/8/2015 - GST Sub-Committee recommendations on the possible tax rates (PDF 266 KB)

12/7/2015 - Exempt capital gain is to be excluded from accumulated profits for the purpose of deemed dividend provisions under the Income-tax Act - Sri Manoj Murarka v. ACIT (ITA No. 1703/Kol/2014) (Kol) – Taxsutra.com (PDF 347 KB)

12/7/2015 - Loss claimed on account of the transaction of renunciation of rights is a colourable device - CIT v. Abhinandan Investment Ltd [2015] 63 taxmann.com 263 (Del) (PDF 335 KB)

12/4/2015 - Foreign investment allowed in AIFs, REITs and InvITs under automatic route - Notification No. FEMA.355/2015-RB (PDF 293 KB)

12/4/2015 - External Commercial Borrowings Policy – Revised framework - RBI/2015-16/255 A.P. (Dir Series) Circular No. 32 dated 30 November 2015 (PDF 359 KB)

12/3/2015 - ESOP survey report 2015 released - KPMG Internal Though Leadership document (PDF 285 KB)

11/30/2015 - Allowability of a deduction under Section 80E in respect of higher education pursued outside India - Nitin Shantilal Muthiyan v. DCIT [2015] 154 ITD 543 (Pune) (PDF 359 KB)

11/27/2015 - Major FDI Policy reforms notified - DIPP Press Note No. 12 (2015 Series) DIPP File No. 5/8/2015-FC—I dated 24 November 2015 (PDF 378 KB)

11/24/2015 - Enhanced profit due to the disallowance of expenditure under Section 40(a)(ia) is eligible for a benefit of Section 10B of the Income-tax Act - Precision Camshafts Limited v. ACIT (ITA No.70/PN/2012, ITA No.72/PN/2012) (Pune) – Taxsutra.com (PDF 342 KB)

11/23/2015 - The CBDT Press Release on phasing out plan of deductions under the Income-tax Act - CBDT Press Release, dated 20 November 2015 (PDF 287 KB)

11/19/2015 - Remission of a liability credited to the profit and loss account is liable for MAT under the Income-tax Act - B & B Infotech Ltd v ITO [2015] 63 taxmann.com 122 (Bang) (PDF 342 KB)

11/19/2015 - Transfer of a unit is not taxable as slump sale under the Income-tax Act where consideration is assigned to specified assets and further liabilities and current assets are not transferred along with the unit - KPMG-Flash-News-Tongani-Tea-Co-Ltd-1.pdf (PDF 341 KB)

11/17/2015 - A taxpayer is entitled to foreign tax credit against the MAT liability - DCIT v. Subex Technology Ltd. [2015] 63 taxmann.com 124 (Bang) (PDF 312 KB)

11/16/2015 - FAQ on Swachh Bharat Cess issued by the CBEC - CBEC Notification No. 21/2015–ST dated 6 November 2015 (PDF 291 KB)

11/16/2015 - Facility of an upfront provisional refund to exporters of services introduced - CBEC Circular No.187/6/2015-Service Tax, dated 10 November 2015 (PDF 295 KB)

11/16/2015 - Facility of an upfront provisional refund to exporters of services introduced - CBEC Circular No.187/6/2015-Service Tax, dated 10 November 2015 (PDF 423 KB)

11/13/2015 - Indian foreign investment policy reforms - DIPP Press Note dated 10 November 2015 (PDF 423 KB)

11/10/2015 - Action 5: Counter harmful tax practices more effectively, taking into account transparency and substance - www.oecd.org (PDF 395 KB)

11/10/2015 - Unabsorbed losses of an amalgamating company can be set off if such a company is in the business for three or more years even if its unit is engaged in the business for less than three years - CIT v. KBD Sugars & Distilleries Ltd. (ITA No.773/2009) (Kar) – Taxsutra.com (PDF 322 KB)

11/9/2015 - Swachh Bharat Cess is to be levied at the rate of 0.5 per cent on the value of taxable services with effect from 15 November 2015 - CBEC Notification No. 21/2015–ST dated 6 November 2015 and Notification No. 22/2015–ST dated 6 November 2015 (PDF 260 KB)

11/9/2015 - In the absence of an order for transfer of jurisdiction, Additional Commissioner of Income-tax cannot exercise the functions of the Assessing Officer - Mega Corporation Ltd. v. ACIT [2015] 62 taxmann.com 351 (Del) (PDF 343 KB)

11/9/2015 - The Assessing Officer to apply his/her mind and form a belief on the Transfer Pricing report filed by the taxpayer; failing which a Transfer Pricing addition cannot be sustained. No TP addition can be made when tax avoidance is not possible - DCIT v. Tata Consultancy Services Limited (ITA no. 7513/M/2010) – Taxsutra.com (PDF 347 KB)

11/6/2015 - Payment to a Hong Kong based company for the services of seconded employees is taxable as fees for technical services under the Income-tax Act - Food World Supermarkets Ltd. v. DDIT [2015] 63 taxmann.com 43 (Bang) (PDF 343 KB)

11/5/2015 - Since the taxpayer has bonafide business activities in the UAE, the benefit of the India-UAE tax treaty cannot be denied by applying the Limitation of Benefit clause - ITO v. MUR Shipping DMC Co, UAE[2015] 62 taxmann.com 319 (RJT) (PDF 346 KB)

11/5/2015 - Validation of tax returns through an Electronic Verification Code - CBDT Order No. F. No. 225/141/2015/ITA.II dated 6 October 2015 (PDF 267 KB)

11/5/2015 - KPMG India Tax Konnect - November 2015 (PDF 276 KB)

11/3/2015 - The taxpayer is entitled to TDS credit of its sister concern appearing in its Form 26AS due to an inadvertent error of a deductor - CIT v. Relcom [2015] 234 Taxman 693 (Del) (PDF 378 KB)

11/3/2015 - OECD BEPS Action 7 – Preventing the Artificial Avoidance of Permanent Establishment Status - www.oecd.org (PDF 360 KB)

10/30/2015 - Benefit of carry forward and set-off of business losses for previous years shall be available if 51 per cent of the control and voting power of the company remains unchanged - CIT v. AMCO Power Systems Ltd. [2015]62 taxmann.com 350 (Kar) (PDF 319 KB)

10/30/2015 - OECD Action 6 – Preventing the granting of treaty benefits in inappropriate circumstances (PDF 518 KB)

10/30/2015 - Provisions prescribed for utilisation of cenvat credit of education cess and secondary and higher education cess against output service tax liability - CBEC Notification No. 22/2015–CE(N.T.)dated 29 October 2015 (PDF 295 KB)

10/30/2015 - CBDT clarifies on taxation of income from off-shore rupee denominated bonds - CBDT Press Release dated 29 October2015 (PDF 275 KB)

10/29/2015 - Outstanding receivables from the services rendered are not ‘Capital financing’ warranting levy of hypothetical and notional interest - Pegasystems Worldwide India PrivateLimited v. ACIT (I.T.A. No. 1758/HYD/2014) (PDF 448 KB)

10/28/2015 - Usage of the Digital Signature Certificate for electronic filing of customs documents (PDF 277 KB)

10/26/2015 - RBI Circular on reporting of foreign liabilities and assets for Limited Liability Partnerships with inward and outward Foreign Direct Investment - RBI Circular No. 22 dated 21 October 2015 (PDF 276 KB)

10/23/2015 - The Joint Committee report on the Goods and Services Tax return process (PDF 379 KB)

10/21/2015 - CBDT revises and updates guidance for selection and referral of transfer pricing cases for assessments - CBDT Instruction No. 15/2015 dated 16October 2015 (PDF 300 KB)

10/21/2015 - CBDT rolls-out the final rules for ‘range’ concept and multiple year data prescribed under Transfer Pricing regulations - CBDT Notification No. 83/2015 dated 19October 2015 (PDF 439 KB)

10/20/2015 - The limitation of relief clause under the India-Singapore tax treaty is not applicable to income which is offered to tax on an accrual basis in Singapore - Alabra Shipping Pte Ltd./Singapore GAC Shipping India Pvt. Ltd (As agents ) v. ITO [2015] 62 taxmann.com 185 (RJT) - (PDF 445 KB)

10/16/2015 - Service tax collected shall not be included in the gross receipt while computing presumptive income in connection with the business of exploration of mineral oils under Section 44BB of the Act - DIT v. Mitchell Drilling International Pvt Ltd [2015] 234 Taxman 818 (Del) (PDF 349 KB)

10/16/2015 - The Transfer Pricing Officer, not an expert on valuation, is bound to refer the valuation report to Departmental Valuation Officer as per the procedure laid down in the statute - Koch Chemical Technology Group (India) Limited v. ACIT (ITA No. 7236/Mum/2010 – AY 2006-07) (PDF 342 KB)

10/15/2015 - Services in connection with procurement of goods are taxable as FTS under the India-China tax treaty - Guangzhou Usha International Ltd. [2015] 62 taxmann.com 96 (AAR) (PDF 450 KB)

10/15/2015 - The CBDT cannot impose any additional condition while notifying an industrial park under Section 80IA of the Act. A revisionary order passed by the CIT under Section 263 to redo the assessment de nova is quashed both on the basis of merit and jurisdiction - VITP Pvt. Ltd., Hyderabad v. DCIT (ITA No. 729/Hyd/2015) (PDF 431 KB)

10/15/2015 - An analysis of the report of the High Level Committee on CSR provisions (PDF 328 KB)

10/14/2015 - CBDT issues further clarifications under the Black Money Act, 2015 (PDF 291 KB)

10/13/2015 - Consideration for providing access to internet, email and networking facilities which provide a gateway to call centers for incoming and outgoing calls is taxable as royalty under the Income-tax Act and under the India-USA tax treaty - Cincom System Inc. v. DDIT [ITA No.952/Del/2006, AY: 2002-03] (Del) (PDF 346 KB)

10/12/2015 - KPMG India Tax Konnect - October 2015 (PDF 2.24 MB)

10/9/2015 - The expression ‘month’ used in Section 201(1A) of the Income-tax Act refers to a ‘month reckoned according to the British calendar’ - Oil & Natural Gas Commission v. ACIT [2015] 62 taxmann.com 133 (Ahd) (PDF 436 KB)

10/9/2015 - KPMG Tax Assemblage - July to September 2015 (PDF 598 KB)

10/8/2015 - OECD releases final reports on BEPS Action Plans - www.oecd.org (PDF 576 KB)

10/8/2015 - BEPS Action Plans in Nutshell - www.oecd.org (PDF 306 KB)

10/8/2015 - Key excerpts from the Draft Reports on the Goods and Services Tax business processes released for stakeholder consultation (PDF 332 KB)

10/1/2015 - Assessing Officer erred in adding back transfer pricing adjustment to book profits under Section 115JB of the Income-tax Act - Cash Edge India Private Limited v. ITO [ITA No. 64/Del/2015 – Assessment Year 2010-11] (PDF 445 KB)

9/28/2015 - Mere passing of the book entries, which are subsequently reversed, would not give rise to an obligation to deduct tax at source under the Income-tax Act - DIT v. Ericsson Communications Ltd. [2015] 61 taxmann.com 117 (Delhi) (PDF 432 KB)

9/24/2015 - Government of India decides that Minimum Alternate Tax shall not be applicable to foreign companies having no permanent establishment/ place of business in India - Press Information Bureau Release, dated 24 September 2015 (PDF 376 KB)

9/22/2015 - Ponds specially designed for breeding of prawns are treated as plant which are eligible for depreciation under the Income-tax Act – Supreme Court - ACIT v. Victory Aqua Farm Ltd. [2015] 234 Taxman 598 (SC) (PDF 426 KB)

9/16/2015 - Revenue earned from distribution of news and financial information products is not taxable in India, in the absence of a dependent agent PE and service PE under the India-UK tax treaty - Reuters Limited v. DCIT [2015] 63 taxmann.com 115 (Mum) (PDF 435 KB)

9/11/2015 - KPMG India Tax Konnect 2015 (PDF 210 KB)

9/11/2015 - No disallowance under Section 14A of the Income-tax Act if no exempt income is received during the year - Cheminvest v. CIT [2015] 378 ITR 33 (Del) (342 KB)

9/9/2015 - CBDT issues further clarifications on tax compliance for undisclosed foreign income and assets under Black Money Act - CBDT Circular No. 15 of 2015, dated 3 September 2015 (PDF 392 KB)

9/8/2015 - The Bombay High Court stays demand of tax till the CIT(A) disposes of the appeal - Maharashtra Airport Development Co. Ltd. v. DCIT [Writ Petition No.1471 of 2015] (Bom) (PDF 384 KB)

9/7/2015 - Profit Split Method considered as the most appropriate method if activities performed by taxpayer and its associated enterprises are inextricably linked, and both the entities contribute to the value chain - DCIT v. Infogain India Pvt. Ltd. (ITA No.6134/Del/2012)(PDF 443 KB)

9/7/2015 - Despite substantial single party purchases, there is no associated enterprise relationship, as requirement of influence over pricing and other conditions relating thereto, are not satisfied - DCIT v. W.B. Engineers International Private Limited [ITA No. 523/PN/2014(Assessment Year: 2009-10)] – Taxsutra.com (PDF 379 KB)

9/3/2015 - Government accepts the recommendation of the A. P. Shah Committee to clarify the inapplicability of MAT to FIIs/ FPIs - Instruction No. 9/2015 dated 2 September 2015 (PDF 439 KB)

9/3/2015 - Due date for filing return of income for tax year 2014-15 extended to 7 September 2015 - CBDT Order No. - F.No.225/154/2015/ITA-II dated 2 September 2015 (PDF 360 KB)

9/1/2015 - Payment for capturing and delivering of live coverage of cricket matches is neither FTS nor royalty under the India-UK tax treaty - IMG Media Limited v. DDIT [2015] 60 taxmann.com 432 (Mum) (PDF 359 KB)

8/28/2015 - A KPO Service provider cannot be considered as a comparable for benchmarking international transactions entered into by an entity rendering voice call services; Principles for choosing comparables under TNMM also laid down - Rampgreen Solutions Private Limited v. CIT [2015] 279 CTR 441 (Del) (PDF 436 KB)

8/26/2015 - Exempt capital gains are to be excluded while computing book profits under the provisions of MAT - Shivalik Venture Pvt. Ltd. v. DCIT [2015] 70 SOT 92 (Mum) (PDF 439 KB)

8/25/2015 - Levy of interest under Section 234B is automatic if prescribed conditions are met with, even when a calculation is provided in the form attached with the assessment order – Supreme Court - CIT v. Bhagat Construction Co. Pvt. Ltd. [2015] 279 CTR 185 (SC)(PDF 331 KB)

8/21/2015 - No disallowance under Section 40(a)(i) of the Income-tax Act if the taxpayer has not deducted tax at source based on ‘nil’ withholding certificate obtained from the tax officer - DCIT v. Carl Zeiss India (P)Ltd. (IT(IT)A No.1251(B)/2014) – Taxsutra.com (PDF 443 KB)

8/20/2015 - Employees’ Provident Fund Organisation directs its field offices to conduct an annual compliance audit of the establishments running private provident fund trusts - (PDF 422 KB)

8/20/2015 - Payment to retailers under the trade discount scheme is treated as sales promotion and not commission and therefore tax is not to be deducted under Section 194H of the Income-tax Act - United Breweries Ltd. v. ITO [2015] 62 taxmann.com 341 (Viz) (PDF 323 KB)

8/18/2015 - KPMG India Tax Konnect - 2015 (PDF 190 KB)

8/17/2015 - Conversion of interest payable into equity shares amounts to actual payment within the meaning of Section 43B of the Income-tax Act - CIT v. Rathi Graphics Technologies Ltd. (ITA 780/2014) (Delhi High Court) – Taxsutra.com (PDF 427 KB)

8/17/2015 - GST – What next? - www.rajyasabha.nic.in (PDF 406 KB)

8/13/2015 - Management and procurement services do not make available any technical knowledge, skills, etc. and, therefore, are not taxable as fees for technical services under the India-UK tax treaty - Measurement Technology Ltd. [2015] 376 ITR 461 (AAR) (PDF 445 KB)

8/12/2015 - If tax is deducted under a wrong provision of the Income-tax Act, the payment is to be disallowed under Section 40(a)(ia) of the said Act - CIT v. P V S Memorial Hospital Ltd. [2015] 234 ITR 46 (Ker) (PDF 342 KB)

8/12/2015 - Payment for e-learning courses and online information resources is taxable as royalty under the India-Ireland tax treaty - Skillsoft Ireland Limited [2015] 376 ITR 371 (AAR) (PDF 351 KB)

8/11/2015 - Landing and parking charges of international aircrafts cannot be treated as ‘rent’ for the purpose of deduction of tax at source under Section 194-I of the Income-tax Act - Japan Airlines Co. Ltd. v. CIT [2015] 234 Taxman 175 (SC) (PDF 441 KB)

8/11/2015 - A fraction of a day stayed in India cannot be counted as one complete day while determining of residential status in India - Shri Sharad Mishra v. ITO (AY 2009-10) (ITA No. 599 of 2012) (PDF 422 KB)

8/11/2015 - Government again introduces GST bill in Rajya Sabha - www.rajyasabha.nic.in (PDF 413 KB)

8/10/2015 - Even if the composite scheme of arrangement is not a ‘demerger’ under the Income-tax Act, the scheme shall be approved and liable to appropriate tax implications - Company Scheme Petition No. 99 of 2015 decision dated 2 July 2015 (PDF 434 KB)

8/7/2015 - Exemption under Section 54B of the Income-tax Act is available to a taxpayer only when the asset is purchased in its own name - CIT v. Shri Dinesh Verma [2015] 233 Taxman 409 (P&H) (PDF 422 KB)

8/7/2015 - Deduction under Section 10A (for export of software services) is allowable in respect of a suo moto transfer pricing adjustment carried out by the taxpayer in the income tax return - Austin Medical Solutions Pvt. Ltd. v. ITO [I.T. (TP)A. No. 542/Bang/2012] – Taxsutra.com (PDF 509 KB)

8/6/2015 - Advance Pricing Agreement rollback – India signs its first rollback agreement - www.taxsutra.com (PDF 399 KB)

8/5/2015 - Revised Modified Special Incentives Package Scheme notified by the Government of India - Notification dated 3 August 2015 issued by The Department of Electronics and Information Technology (PDF 291 KB)

8/5/2015 - Tax is not to be deducted at a higher rate of 20 per cent under Section 206AA of the Income-tax Act when the benefit of tax treaty is available (PDF 424 KB)

8/5/2015 - Loss on sale of mutual fund units is allowed as a business loss. The provisions of Section 14A of the Income-tax Act are not attracted - Patco Investment & Consultancy Services (P.) Ltd. v. ACIT [2015] 372 ITR 195 (Mad) (PDF 445 KB)

8/4/2015 - Interest on tax refund is taxable as business income under the India-U.K. tax treaty since it is effectively connected with a PE in India - B.J. Services Company Middle East Limited v. ACIT [2015] 60 taxmann.com 246 (Utt) (PDF 430 KB)

8/3/2015 - India’s Social Security Agreement with Canada comes into effect (PDF 427 KB)

8/3/2015 - CBDT notifies revised income tax return forms for the Assessment Year 2015-16 - Notification No.61/2015, F.No.142/1/2015- TPL, dated 29 July 2015 (PDF 399 KB)

7/29/2015 - Disallowance of expenditure due to non-deduction of tax at source – Kerala High Court - Thomas George Muthoot v. CIT [2015] 63 taxmann.com 99 (Ker) (PDF 344 KB)

7/24/2015 - FATCA and CRS – the journey so far and way forward - (PDF 489 KB)

7/23/2015 - R&D expenditure certified by DSIR cannot be examined by the tax officer for allowability of such expenditure for the purpose of weighted deduction under Section 35(2AB) of the Income-tax Act - Tejas Networks Limited v. DCIT [2015] 233 Taxman 426 (Kar) (PDF 434 KB)

7/20/2015 - Interest adjustment on advances made to associated enterprise upheld and the meaning of quasi capital elucidated - Soma Textile & Industries Limited v. ACIT – [2015] 154 ITD 745 (Ahd) (PDF 428 KB)

7/20/2015 - Concessional rate of central excise duty is available only to manufacturers and not to importers - Notification No 34, 35 & 36/2015- CE, dated 17 July 2015 (PDF 376 KB)

7/20/2015 - RBI amends provisions governing issue of shares under an ESOP scheme to a person resident outside India - A.P. (DIR Series) Circular No 4 dated 16 July 2015 (PDF 374 KB)

7/17/2015 - Services relating to review of designs and drawings do not make available technical knowledge, skill or experience and therefore not taxable as fees for technical services under India-Finland tax treaty - ITO v. Nokia India Private Limited [2015] 42 ITR(T) 708 (Del) (PDF 443 KB)

7/17/2015 - India signs a MAP with Japan in the manufacturing sector (PDF 357 KB)

7/17/2015 - No penalty or interest for a delay in filing of return of income due to failure of the deductor to pay the tax deducted at source to the government - Zulfikar Jeewanjee Moriswala & Anr. v. DCIT(TDS) [2015] 375 ITR 148 (Bom) (PDF 331 KB)

7/16/2015 - Taxpayers can now submit their ITR-V forms for the tax year 2012-13 and 2013-14 by 31 October 2015 - Notification No. 1/2015 under CPC scheme 2011 [F No. 2/3/CIT(OSD)(S)/2014-15/CPCITRV Issues} dated 10 July 2015 (PDF 361 KB)

7/16/2015 - CBDT prescribes Rules for valuation of undisclosed foreign assets and releases FAQs on one-time compliance window - Notification No. 58/2015 /F. No. 133/33/2015-TPL(PDF 344 KB)

7/16/2015 - Business development and marketing related services do not make available technical knowledge, skills, etc., and hence it is not taxable as ‘fees for included services’ under the India-USA tax treaty - ABB Inc. v. DDIT [2015] 69 SOT 537 (Bang) (PDF 345 KB)

7/15/2015 - Share premium cannot be regarded as part of the issued share capital, but Foreign Currency Convertible Bonds are treated as ‘debentures’, for computing capital employed while allowing deduction under Section 35D of the Income-tax Act - Subex Ltd. v. CIT (ITA No.689/Bang/2014) – Taxsutra.com (PDF 486 KB)

7/13/2015 - KPMG Tax Konnect - July 2015 (PDF 195 KB)

7/10/2015 - Amendments to Combination Regulations under the Competition Act, 2002 - Press release dated 3 July 2015 (PDF 393 KB)

7/9/2015 - India’s Social Security Agreement with Austria comes into effect (PDF 426 KB)

7/9/2015 - The use of multiple year data allowed in a case where the condition prescribed in Transfer Pricing Rules is satisfied - DCIT v. Innodata Isogen India Pvt. Ltd. [2015] 63 taxmann.com 95 (Del) (PDF 383 KB)

7/6/2015 - Consideration for providing various services in connection with prospecting, extraction or production of mineral oil are taxable on a presumptive basis under Section 44BB of the Income-tax Act - Oil & Natural Gas Corporation Limited v. CIT [2015] 59 taxmann.com 1(SC) (PDF 421 KB)

7/3/2015 - KPMG-Tax-Assemblage-April-to-June-2015 (PDF 378 KB)

7/2/2015 - Disallowance of statutory liabilities under Section 43B is to be made even though income has been offered under presumptive provisions of Section 44AF of the Income-tax Act - Good Luck Kinetic v. ITO [2015] 69 SOT 416 (Panaji) (PDF 421 KB)

7/1/2015 - Disallowance under Section 40(a)(ia) of the Income-tax Act, 1961 – Law is evolving - P.M.S Diesels v. CIT [2015] 374 ITR 562 (P&H) (PDF 341 KB)

6/30/2015 - India signs one of the first APAs in the IT – ITES industry - www.kpmg.com (PDF 399 KB)

6/30/2015 - Net consideration of sale of shares and not the amount of indexed long-term capital gain is to be taken into account while computing book profit under the provisions of MAT - Dharmayug Investments Ltd. v. ACIT [2015] 69 SOT 433 (Mum) (PDF 424 KB)

6/26/2015 - Offshore sale of equipment is not taxable in India. Sale of designs and drawings for setting up a plant does not result into royalty income in India - Outotec GmbH v. DDIT [2015] 172 TTJ 337 (Kol) (PDF 458 KB)

6/26/2015 - Restoration services relating to transmission of data and telecommunication traffic are not taxable as FTS. Income reasonably attributable to business operations carried out in India in relation to such services shall be taxable as business income - Flag Telecom Group Limited v. DDIT [2015] 69 SOT 679 (Mum)  (PDF 439 KB)

6/26/2015 - The Punjab and Haryana High Court holds that companies selected should be functionally comparable and not identical - CIT-I v. DSM Anti Infectives India Ltd. [2015] 233 Taxmann 257 (P&H) (PDF 428 KB)

6/25/2015 - Income tax return forms notified for the financial year 2014-15 - CBDT Notification No. 49/2015/ F.No.142/1/2015-TPL/S.O. 1660 (E) (PDF 499 KB)

6/22/2015 - SEBI issues Circular on disclosure and process requirements for ESOPs for listed companies - SEBI Circular dated 16 June 2015 (PDF 453 KB)

6/18/2015 - Long-term capital loss on sale of shares/units liable to securities transaction tax is allowed to be set-off against long-term capital gain on sale of land - Raptakos Brett & Co. Ltd. v. DCIT [2015] 69 SOT 383 (Mum) (PDF 356 KB)

6/17/2015 - Delhi High Court confirms exclusion of period of wrongful impounding of passport while determining residential status in India - CIT v. Suresh Nanda [2015] 375 ITR 172 (Del) (PDF 428 KB)

6/16/2015 - License fees and management charges are not in the nature of head office expenditure and therefore cannot be disallowed under Section 44C of the Income-tax Act - Lloyd’s Register Asia (India Branch Office) v. ACIT [2015] 42 ITR(T) 186 (Mum) (PDF 345 KB)

6/16/2015 - Issue of shares is an ‘international transaction’ but not an ‘income chargeable to tax’ warranting the substitution of such income with income determined on the basis of its ALP - First Blue Home Finance Ltd. v. ACIT [2015] 62 taxmann.com 80 (Del) (PDF 429 KB)

6/16/2015 - Gift received by a company is a capital receipt not taxable under the Income-tax Act - DCIT v. KDA Enterprises Pvt. Ltd. [2015] 39 ITR(T) 657 (Mum) (PDF 444 KB)

6/16/2015 - Fees under Section 234E for delay in filing of TDS statements cannot be levied before 1 June 2015 since there was no enabling provision for raising such a demand - Sibia Healthcare Private Limited v. DCIT [2015] 171 TTJ 145 (Asr) (PDF 423 KB)

6/13/2015 - Foreign Venture Capital Investors (FVCI) eligible to be granted registration as a Foreign Portfolio Investor (FPI) - Circular no. CIR/IMD/FIIC/05/2015 dated 12 June 2015 (PDF 357 KB)

6/12/2015 - OECD/G20 BEPS Action Plan 13: Country-by-Country Reporting Implementation Package - www.oecd.org (PDF 526 KB)

6/12/2015 - Due date for filing return of income for tax year 2014-15 extended from 31 July 2015 to 31 August 2015 - CBDT Press release dated 31 May 2015 issued by Govt. of India Order Ref. No. F.No.225/ 154/ 201511TA.II dated 10 June 2015 (PDF 362 KB)

6/12/2015 - Aircraft maintenance and repairs related services are technical in nature under the Income-tax Act. However, the payments were made to earn income from sources outside India and therefore, not deemed to accrue or arise in India - DIT v. Lufthansa Cargo India [2015] 375 ITR 85 (Del) (PDF 430 KB)

6/12/2015 - India Tax Konnect - June 2015 (PDF 206 KB)

6/12/2015 - CBDT issues FAQs on Advance Pricing Agreement (APA) Rollback Provisions - CBDT Circular No. 10/2015 (PDF 419 KB)

6/11/2015 - The scheme of amalgamation has been approved based on, inter alia, an undertaking given by a company that in the event of any demand by the tax department, transferee company would discharge the liability - Ludhiana Holdings Ltd. [2015] 57 taxmann.com 301 (P&H) (PDF 426 KB)

6/11/2015 - Revised guidelines for clubbing of Advance Authorisations - DGFT – Public Notice No 16/2015-2020 dated 4 June 2015 (PDF 376 KB)

6/9/2015 - OECD releases discussion draft on hard-to-value intangibles under Action 8 of the OECD/G20 BEPS Action Plan (Discussion Draft) - www.oecd.org (PDF 388 KB)

6/5/2015 - Two enterprises treated as Associated Enterprises without satisfaction of the deeming fiction set out under Section 92A(2) of the Act - Kaybee Private Limited v. ITO [2015] 70 SOT 259 (Mum) (PDF 343 KB)

6/4/2015 - Tax is to be deducted on entries relating to provision for expenses passed in the books of account - IBM India Private Ltd. v. ITO [2015] 154 ITD 497 (Bang) (PDF 435 KB)

6/4/2015 - Liberalisation of FDI Policy (PDF 318 KB)

6/2/2015 - Highlights on Companies (Amendment) Act, 2015 (PDF 395 KB)

6/1/2015 - Simplified Income tax return forms proposed for assessment year 2015-16 - Press release dated 31 May 2015 issued by government of India (PDF 381 KB)

5/29/2015 - Employees’ Provident Fund Organisation to deduct income tax on Provident Fund withdrawal (PDF 422 KB)

5/26/2015 - Losses with respect to sale of shares and diminution in the value of stock of shares are not allowed since they are held as sham transactions - CIT v. Vishishth Chay Vyapar Ltd (ITA 1105/2010) – (Del) - Taxsutra.com (PDF 348 KB)

5/26/2015 - Justice Shah Committee invites representations on FII-MAT by 22 June 2015 - Press Release dated 26 May 2015 (PDF 356 KB)

5/25/2015 - Outstanding fee payable to the state government is allowed only on actual payment basis – Supreme Court - CIT v. Travancore Sugars & Chemicals Ltd [2015] 374 ITR 585 (SC) (PDF 426 KB)

5/22/2015 - The Delhi High Court accepts various factors like product monopoly, duration of business functioning and volume of orders to be executed as sufficient basis for goodwill evaluation - CIT v. Motherson Auto P. Ltd. (ITA No. 178/2001) – (Del) - Taxsutra.com (PDF 447 KB)

5/22/2015 - Deadline for filings under M-SIPS - Department of Electronics & Information Technology Circular dated 20 May 2015 (PDF 357 KB)

5/22/2015 - CBDT rolls out draft scheme for range concept and multiple year data prescribed under TP regulations for public comments - CBDT – F. No. 134/11/2015-TPL (PDF 354 KB)

5/21/2015 - Constitution of High Level Committee on direct tax matters - Press Release dated 20 May 2015 (PDF 367 KB)

5/20/2015 - Bombay High Court held that the considerations applied for issuance of a corporate guarantee are distinct and separate from that of a bank guarantee and such comparison is not appropriate - CIT v. Everest Kento Cylinders Ltd. [2015] 232 Taxman 307 (Bom) (PDF 341 KB)

5/20/2015 - OECD – BEPS Action Plan 7: Revised discussion draft on preventing artificial avoidance of permanent establishment status - www.oecd.org (PDF 384 KB)

5/20/2015 - Service tax and Cenvat credit changes effective from 1 June 2015 - CBEC Notification No. 14, 15 & 16/2015-ST and 14 & 15/2015-CE(N.T.) dated 19 May2015 (PDF 304 KB)

5/19/2015 - Consolidated FDI Policy - DIPP F. No. 5(1)/2015-FC-1, Dated 12 May 2015 (PDF 396 KB)

5/18/2015 - Mumbai Tribunal held that the taxpayer is not entitled for deduction under Section 10B of the Act in respect of the suo moto addition made by the taxpayer as per Form No. 3CEB but not brought into India within the stipulated time frame - Agilisys IT Services India Pvt. Ltd. (Formerly known as Netdecisions Pvt. Ltd.) v. ITO [2015] 69 SOT 102 (Mum) (PDF 345 KB)

5/14/2015 - OECD - BEPS Action Plan 8 – Draft Guidance on Revisions to Chapter VIII of the Transfer Pricing Guidelines on Cost Contribution Arrangements - www.oecd.org (PDF 435 KB)

5/14/2015 - KPMG India Tax Konnect - May 2015 (PDF 473 KB)

5/14/2015 - GST bill referred to Select Committee of Rajya Sabha – would it derail the GST process? (PDF 318 KB)

5/13/2015 - Income from booking seats/space under code sharing agreement with third party airlines cannot be held as space/slot charter and therefore benefit under India-USA tax treaty is not available - Delta Air Lines, Inc. v. ADIT [2015] 69 SOT 45 (Mum) (PDF 318 KB)

5/12/2015 - Since the amount of loan waived as a result of one time settlement with a bank was offered to tax, the interest amount has to be allowed as a deduction - CIT v. KLN Agrotechs (P) Ltd. (ITA No.23/2014) – (Kar) - Taxsutra.com (PDF 420 KB)

5/11/2015 - CBDT puts on hold MAT assessments on FIIs - FTS No. 96370/2015 dated 11 May 2015 (PDF 367 KB)

5/6/2015 - Rental income from letting of property is assessable as business income, and not income from house property – Supreme Court - Chennai Properties & Investments Ltd. v. CIT [2015] 373 ITR 673 (SC) (PDF 425 KB)

5/6/2015 - Lok Sabha Passes Constitutional Amendment Bill for GST (PDF 364 KB)

5/4/2015 - Delhi High Court declines to examine the taxpayer’s claim for grant of tax holiday benefit under Section 10A while rejecting the taxpayer’s contention that units approved under a single regulatory license were separate and independent - HCL Technologies v. ACIT [2015] 231 Taxman 895 (Del) (PDF 449 KB)

5/4/2015 - Discount/incentive given by a distributor to dealers and retailers for postpaid and prepaid connections is commission and is subject to withholding of tax - ITO v. Jai Shreee Enterprises (ITA No. 4479/Del/2011) – (Del) - Taxsutra.com (PDF 343 KB)

5/4/2015 - Profit methods may not be the Most Appropriate Method for intra-group services which are in the nature of expense transactions; Filing of voluminous correspondence, reports insufficient to discharge 'benefit' test - Fosroc Chemicals India Pvt. Ltd. v. DCIT [ 2015] 58 taxmann.com 85 (Bang) (PDF 367 KB)

5/1/2015 - Proposed amendments to the Finance Bill, 2015 - www.indiabudget.nic.in (PDF 371 KB)

4/30/2015 - Delhi High Court rules that higher or abnormal profits / losses cannot be a factor for exclusion of a comparable - ChrysCapital Investment Advisors (India) Pvt Ltd v. DCIT [2015] 232 Taxman 20 (Del) (PDF 442 KB)

4/30/2015 - Government of India starts issuing OCI cards in lieu of PIO cards (PDF 370 KB)

4/24/2015 - CBDTs instructions to tax officers to expeditiously decide FPIs claim of tax treaty benefits - Instruction No. 500/36/2015-FTD.1 dated 24 April 2015 (PDF 355 KB)

4/23/2015 - Government clarification on applicability of Indian MAT to foreign investors from treaty countries - The Economic Times Press Release dated 23 April 2015.(PDF 355 KB)

4/20/2015 - CBDT Notifies Increase in Transport Allowance Exemption - CBDT Notification No. 39/2015/F. No.142/02/2015-TPL (PDF 472 KB)

4/14/2015 - Amendments to SEBI Delisting and Takeover Regulations (PDF 404 KB)

4/13/2015 - Regulatory connect - April 2015 (PDF 114 KB)

4/10/2015 - Information as per the database of the tax authorities cannot be a base for making addition to the income of the taxpayer - ITO v. Basant Kumar (ITA No.4679/Del/2012) (Del) – Taxsutra.com (PDF 422 KB)

4/8/2015 - India Tax Konnect - April 2015 (PDF 292 KB)

4/6/2015 - The Delhi High Court held that actual business transactions that are legitimate cannot be restructured. Interest rate should be market determined and correspond to the currency of the loan - CIT v. Cotton Naturals India Private Limited – [2015] 231 Taxman 401 (Del) (PDF 434 KB)

4/6/2015 - Depreciation is allowed on gas cylinders owned and leased out by the taxpayer - Supreme Court - K.M. Sugar Mills Limited v. CIT [2015] 373 ITR 42 (SC)(PDF 423 KB)

4/6/2015 - RBI increases Foreign Portfolio Investors (FPI) exchange traded currency derivatives limits to USD 15 million from USD 10 million or equivalent per exchange - Circular No. RBI/2014-15/527 A.P.(DIR Series) No. 91 dated 31 March 2015 (PDF 357 KB)

4/6/2015 - RBI extends time for settlement of Government Securities by Foreign Portfolio Investors ('FPI's) to T+2 basis - Notification No. RBI/2014-15/507 FMRD.DIRD.06/14.03.007/2014-15 dated 20 March 2015 (PDF 357 KB)

4/2/2015 - Highlights of Foreign Trade Policy 2015-20 (PDF 385 KB)

4/2/2015 - Section 206AA of the Income-tax Act does not override the beneficial provisions of the tax treaty - DDIT v. Serum Institute of India Limited [2015] 68 SOT 254 (Pune) (PDF 341 KB)

4/2/2015 - CBDT issues Central Action Plan for the first quarter of the Financial Year 2015-16 - CBDT Letter [F. No. 380/1/2015-IT(B)] dated 24 March 2015 (PDF 332 KB)

4/2/2015 - Draft guidelines for use of digital signature on records and invoices - CBEC - F. No.224/44/2014-CX6, dated 27 March 2015 (PDF 381 KB)

4/1/2015 - KPMG Tax Assemblage - January to March 2015 (PDF 650 KB)

3/31/2015 - Deadline for filing APA rollback applications extended - Ministry of Finance, CBDT Press Release dated 31 March 2015 – Taxsutra.com (PDF 402 KB)

3/30/2015 - Upfront interest paid on debentures allowed in the year of payment and not to be deferred over the period of debentures – Supreme Court - Taparia Tools Ltd. v. JCIT [2015] 372 ITR 605 (SC) (PDF 429 KB)

3/27/2015 - CBDT clarifies that dividend declared and paid by a foreign company outside India would not be taxable under the indirect transfer provisions of the Income-tax Act - CBDT Circular No. 4/2015, dated 26 March 2015 – Taxsutra.com (PDF 406 KB)

3/27/2015 - Government introduced a new law dealing with black money - CBDT Press release dated 20 March 2015 - The Undisclosed Foreign Income and Assets Bill No. 84 of 2015 (PDF 406 KB)

3/20/2015 - Adoption of stamp duty valuation under Section 50C applies to compute capital gains and not to determine the written down value of assets - ACIT v. Bhaidas Cursondas and Company [2015] 154 ITD 521 (Mum) (PDF 434 KB)

3/18/2015 - Delhi High Court upheld the Revenue’s stand of characterising AMP expense as an international transaction subject to transfer pricing - Sony Ericsson Mobile Communication India Pvt. Ltd v. CIT [2015] 231 Taxman 113 (Del) (PDF 465 KB)

3/16/2015 - Indian Advance Pricing Agreements -Rollback Rules notified and Pre-Filing Consultation made optional - Notification No. S.O. 758 (E) of 2015 dated14 March 2015 (PDF 400 KB)

3/13/2015 - Disallowance under Section 14A cannot exceed the tax exempt income - Joint Investments Pvt. Ltd. v. CIT [2015] 372 ITR 694 (Del) (PDF 400 KB)

3/13/2015 - No disallowance under Section 14A since investments are made out of own funds and the tax officer has not given cogent reason for invoking Rule 8D - DCIT v. Subramanya Constructions & Development Co. Ltd. [2015] 154 ITD 303 (Bang) (PDF 322 KB)

3/11/2015 - No interest on refund, on the amount of excess self-assessment tax paid by the taxpayer - CIT v. Engineers India Ltd [2015] 275 CTR 354 (Del) (PDF 442 KB)

3/5/2015 - The Government of India issues notification on reducing the administrative charges under the Employees’ Provident Funds Scheme, 1952 - (PDF 436 KB)

3/5/2015 - KPMG India Tax Konnect - March 2015 (PDF 303 KB)

3/4/2015 - New norms/guidelines to be followed on Service Tax Audits - CBEC  - CBEC Circular No. 995/2/2015-CX dated 27 February 2015 (PDF 276 KB)

3/3/2015 - Payment for purchase of bulk advertisement space is subject to withholding of tax under Section 194C of the Act - Metropolitan Media Company Ltd. v. ACIT (ITA Nos.1193 & 1194/ Bang/2013) – Taxsutra.com (PDF 405 KB)

3/2/2015 - Consideration for sale of capacity in the undersea cable system is not considered as royalty but as business income. The sale was concluded outside India on a principal to principal basis and therefore such business income is not taxable - Flag Telecom Group Limited v. DCIT [2015] 38 ITR(T) 665 (Mum) (PDF 377 KB)

3/2/2015 - Taxability of royalty paid for CDMA technology enabled in the handsets and equipments sold to Indian companies - Qualcomm Incorporated v. Assistant Director of Income Tax [2015] 56 taxmann.com 179 (Del) (PDF 352 KB)

3/1/2015 - Union Budget 2015 - www.indiabudget.nic.in (PDF 7 MB)

2/27/2015 - Indian Economic Survey 2014-15 – Key Highlights - www.indiabudget.nic.in (PDF 523 KB)

2/26/2015 - Financial advisory services provided by a non-resident treated as ‘consultancy service’ taxable as Fees for Technical Services – the Supreme Court - GVK Industries Ltd. v. ITO [2015] 371 ITR 453 (SC) (PDF 455 KB)

2/25/2015 - ‘Bombay High Court dismisses Tata Sons' writ petition, upholds sales tax levy on agreements entered with various TATA companies, under Maharashtra Sales Tax on the Transfer of Right to use any Goods for any Purpose Act, 1985 - Bharat Sanchar Nigam Limited v. UOI & Others (2006) 195 STC 91 (Bom) (PDF 438 KB)

2/18/2015 - Employees’ Provident Fund Organisation issues clarifications on International Workers and Overseas Citizen of India/Person of Indian Origin card holders (PDF 440 KB)

2/18/2015 - Indian subsidiary of foreign holding company is not treated as having either a Service PE or a Dependent Agent PE in India - Swiss Re-insurance Company Limited v. DDIT [2015] 55 taxmann.com 520 (Mum) (PDF 438 KB)

2/17/2015 - Disallowance under Section 14A read with Rule 8D will apply while computing book profits under the provisions of Minimum Alternate Tax - DCIT v. Sobha Developers [2015] 58 taxmann.com 107 (Bang) (PDF 438 KB)

2/16/2015 - CBDT clarifies on ‘amounts not deductible’ under Section 40(a)(i) of the Income-tax Act - CBDT Circular No. 3/2015, dated 12 February 2015 (PDF 440 KB)

2/13/2015 - BEPS Action Plan 13 – Guidance on implementation of Transfer Pricing Documentation and Country-by-country reporting - www.oecd.org (PDF 316 KB)

2/12/2015 - KPMG India Tax Konnect – February 2015 (PDF 371 KB)

2/12/2015 - KPMG Tax Highlights - 2014 (PDF 652 KB)

2/11/2015 - Overseas Citizenship of India and Person of India Origin schemes merged - The Citizenship (Amendment) Ordinance, 2015 (PDF 350 KB)

2/11/2015 - CBDT Circular clarifies that no interest shall be charged under Section 234A on the self-assessment tax paid by the taxpayer before the due date of filing return of income - CBDT Circular No. 2 of 2015, dated 10 February 2015 (PDF 337 KB)

2/10/2015 - Safe harbour rules for transfer pricing documentation: Notified for specified domestic transactions of electricity companies run by the governmen -CBDT Notification No. 11/2015 [F.NO.142/7/2014-TPL]/SO 350(E) dated 4 February 2015 (PDF 436 KB)

2/6/2015 - Indian government declares interest rate on Employees’ Provident Fund Scheme - www.epfindia.com/Circulars/Y2014- 15/Invest_ROI_2014-15_36393 (PDF 419 KB)

2/6/2015 - Section 50C of the Income-tax Act is not applicable to transfer of leasehold rights in land - Kancast Pvt. Ltd. v. ITO [2015] 68 SOT 110 (Pune) (PDF 419 KB)

2/4/2015 - India’s Social Security Agreement with Norway comes into effect - www.epfindia.com/Circulars/Y2014- 15/IWU_SSA_ Norway_36198 (PDF 442 KB)

2/2/2015 - Employee of a foreign company deputed to a group company in India can now hold a foreign currency account and receive salary outside India - Notification No. FEMA. 328/2014-RB dated 3 December 2014 (PDF 388 KB)

1/30/2015 - Indian subsidiaries of foreign companies incorporated in India also eligible for duty credit scrips under Served From India Scheme - Yum Restaurants (I) Pvt. Ltd. and Anr v. UOI and Ors and Nokia Solutions and Networks India Pvt. Ltd. & Anr v. UOI and Ors and El DuPont India Pvt. Ltd. & Anr v. UOI and Ors [2015] 55 taxmann.com 122 (Delhi) (PDF 388 KB)

1/29/2015 - Instructions by CBEC to field officers with regard to issuance of summons - CBEC Instruction F. No. 207/07/2014-CX-6, dated 20 January 2015 (PDF 388 KB)

1/29/2015 - Indian government accepts the order of the High Court of Bombay in the case of Vodafone India Services Private Limited - Ministry of Finance Press Information Bureau’s release dated 28 January 2015 (PDF 339 KB)

1/27/2015 - Pending Mutual Agreement Procedure cases for IT-ITES sector to be resolved - www.tptaxsutra.com (PDF 376 KB)

1/23/2015 - Advances to shareholders/sister concerns which indirectly benefits the company not to be regarded as deemed dividend - Bagmane Constructions Pvt. Ltd. v. CIT [2015] 231 Taxman 260 (Kar) (PDF 406 KB)

1/23/2015 - KPMG Tax Assemblage - 2014 (PDF 866 KB)

1/21/2015 - The Kolkata Tribunal confirms that functional, asset and risk analysis should be given due importance over the business models agreed between the taxpayer and its AEs - DCIT v. ITC Infotech India Limited [2015] 67 SOT 289 (Kol) (PDF 462 KB)

1/20/2015 - KPMG India Tax Konnect – January 2015 (PDF 379 KB)

1/14/2015 - The Mumbai Tribunal held that no adjustment on account of Location Savings is required when arm’s length price is determined on the basis of appropriate comparables - Watson Pharma Pvt. Ltd. v. DCIT [2015] 38 ITR(T) 97(Mum) (PDF 494 KB)

1/12/2015 - Non-compete fees received by the taxpayer are re-characterised as sale consideration for transfer of shares - CIT v. Shiv Raj Gupta [2015] 273 CTR 353 (Del) (PDF 331 KB)

1/8/2015 - Assets purchased by spouse from interest free loan given by taxpayer should not be included in taxpayer’s net wealth - Shah Rukh Khan v. Asstt. Commissioner of Wealth Tax [2014] 37 ITR(T) 1 (Mum) (PDF 331 KB)

1/5/2015 - Premium paid on premature redemption of debentures is revenue in nature - CIT v. Grindwell Norton Ltd. (ITA No. 694 OF 2012) (Bom) -Taxsutra.com (PDF 432 KB)

12/24/2014 - India signs first bilateral APA with Japan - Business Standard, dated 19 December 2014 (PDF 388 KB)

12/24/2014 - Deputation of employees by US company to Indian group company for providing support services constitutes Service PE - Morgan Stanley International Incorporated v. DIT (I .T.A. No.6882/Mum/2011) (Mum) – Taxsutra.com (PDF 447 KB)

12/23/2014 - Battery charger sold along-with the cell phone cannot be held to be a composite part of the cell phone but is an independent product - State of Punjab & Ors. v. Nokia India Pvt Ltd. (Civil Appeal Nos. 11486-11487 of 2014) – (P & H) – Taxsutra.com (PDF 441 KB)

12/22/2014 - KPMG India Tax Konnect – December 2014 (PDF 532 KB)

12/18/2014 - Cabinet clears the Constitutional Amendment Bill - GST moving towards a reality by April 2016 - The Constitution (122nd Amendment) (GST) Bill, 2014(PDF 397 KB)

12/17/2014 - Tourist visa on arrival to India extended to 43 countries - www.mha.nic.in (PDF 391 KB)

12/12/2014 - Management service fees are not taxable as FTS under the India-Sweden tax treaty by applying the MFN clause - Sandvik AB v. DDIT [2014] 52 taxmann.com 211 (Pune) (PDF 447 KB)

12/12/2014 - Capital gains tax liability arises in the year of execution of the Joint Development Agreement, which grants possession over the land through irrevocable license - ITO v. Sri N.S. Nagaraj (ITA No.676/Bang/2011 – AY 2007-08), (ITA No.676/Bang/2011 – AY 2007-08) – (Bang) – Taxsutra.com (PDF 447 KB)

12/10/2014 - Karnataka Industrial Policy 2014-19 - Government Order Number CI 58 SPI 2013 dated 01 October 2014 (PDF 442 KB)

12/8/2014 - CVD on DTA clearance from a SEZ unit exempt if like goods are exempt from excise duty - Roxul Rockwool Insulation India Private Limited v. UOI (Special Civil Application No. 8869 of 2014, dated 27 and 28 November 2014) (PDF 434 KB)

12/5/2014 - Fees charged by bank for providing credit card swiping machine is not ‘commission’ and such fees are not liable for withholding of tax - CIT v. JDS Apparels Private limited (ITA No. 608/2014) – (Del) – Taxsutra.com (PDF 464 KB)

12/3/2014 - Payment for transfer of broadcasting rights of live races does not amount to royalty - Delhi Race Club (1940) Ltd. v. ACIT [2014] 51 taxmann.com 550 (Del) (PDF 493 KB)

12/1/2014 - The Bombay High Court upholds in favour of Shell India and Essar Projects on the issue of share valuation - Shell India Markets Pvt. Ltd. v. ACIT LTU and ors [2014] 51 taxmann.com 519 (Bom) (PDF 575 KB)

11/25/2014 - Payment for hiring dredgers does not amount to royalty under the India-Netherlands tax treaty - CIT v. Van Oord ACZ Equipment BV [2014] 51 taxmann.com 356 (Mad) (PDF 444 KB)

11/24/2014 - Tax treaty benefit is available to a U.K. partnership firm - P & O Nedlloyd Ltd. & Ors v. ADIT (Writ Petition Nos. 457 and 458 of 2005) – (Cal) – Taxsutra.com (PDF 406 KB)

11/24/2014 - Liaison Office is engaged in the actual marketing of the products of the foreign company, and therefore the income attributable to the Liaison Office is taxable in India - Brown and Sharpe Inc. v. CIT [2014] 51 taxmann.com 327 (All) (PDF 457 KB)

11/21/2014 - Pre-clinical research studies conducted by foreign companies make available skill, knowledge, expertise, etc. to the Indian company, therefore, such services are taxable as FTS under the tax treaty - Dr. Reddy’s Research Foundation v. DCIT (ITA.No.147/Hyd/2005) - (Hyd) –Taxsutra.com (PDF 445 KB)

11/21/2014 - Depreciation not allowed on toll road constructed under BOT basis since the toll road is owned by the Government and not by the developer - North Karnataka Expressway Ltd. v. CIT [2014] 51 taxmann.com 214 (Bom) (PDF 445 KB)

11/18/2014 - Bombay High Court confirms use of Resale Price Method in case of distributors where there is no value addition to goods resold - CIT v. L’Oreal India P. Ltd. (ITA No. 1046 of 2012, dated 7 November 2014) – (Bom) – Taxsutra.com (PDF 541 KB)

11/17/2014 - Installation and commissioning of the equipment is an assembly activity, not taxable as FTS in India. Training to Indian company’s employees by a foreign company for operation of the equipment is taxable as FTS -  ITO v. Bennet Coleman & Co. Ltd. [ITA No. 57/Mum/2009, ITA No. 7315/Mum/2008] – (Mum) – Taxsutra.com (PDF 491 KB)

11/14/2014 - OECD – BEPS Action Plan 7: Discussion Draft on preventing artificial avoidance of permanent establishment status - www.oecd.org (PDF 499 KB)

11/13/2014 - Non-Banking Finance Company - Revised regulatory framework (PDF 451 KB)

11/11/2014 - Payments to foreign company for services availed through Indian third party are not in the nature of reimbursement. Such payments are taxable as Fees for Included Services under the Canada tax treaty - AMD Research & Development Center India Private Limited v. DCIT (ITA No.692/Hyd/14, ITA No.693/Hyd/14, ITA No.694/Hyd/14 and ITA No.695/Hyd/14) - (Hyd) – Taxsutra.com (PDF 447 KB)

11/7/2014 - ‘Sogo shosha’ different from normal trading, no allocation for location saving and assembled workforce required; and Berry ratio an appropriate PLI where no funds are blocked due to inventory - Mitsubishi Corporation India Pvt. Ltd v. DCIT [2014] 50 taxmann.com 379 (Del) (PDF 338 KB)

11/7/2014 - KPMG India Tax Konnect – November 2014 (PDF 200 KB)

11/6/2014 - BEPS Action 10: Proposed modifications to Chapter VII of the Transfer Pricing Guidelines relating to low value-adding intra-group services - www.oecd.org (PDF 349 KB)

11/6/2014 - In view of the non-discrimination clause under the India-Japan tax treaty, no disallowance under Section 40(a)(i) is to be made in the hands of deductor if the non-resident has considered payments as income, paid taxes on the same - Mitsubishi Corporation India Pvt. Ltd v. DCIT [2014] 50 taxmann.com 379 (Del) (PDF 376 KB)

11/6/2014 - Indian branch of a foreign company forms a PE in India. Profit attributed on the basis of 50 per cent of the global profit rate of the foreign company - Consulting Engineering Corporation v. JDIT (I.T.A.No.1597/Del/2009; Assessment Year : 2003-04), (I.T.A. No. 1598/ Del/ 2009 AY 2004-05) and ADIT v. Consulting Engineers Corporation (I.T.A.No.1275/Del/2009 AY 2003- 04), (I.T.A. No. 1172 /Del/2009; Assessment Year : 2004-05) – (Del) – Taxsutra.com (PDF 325 KB)

10/31/2014 - Assessment order issued on a non-existent entity (pursuant to amalgamation) is void and such defect is not curable - CIT v. Dimension Apparels Pvt. Ltd. (ITA No. 327, 328, 329, 330 and 332 of 2014) – (Del) – Taxsutra.com (PDF 441 KB)

10/31/2014 - International Workers and their beneficiaries can now get disbursement of Provident Fund benefits into their overseas bank accounts (PDF 391 KB)

10/31/2014 - Depreciation is allowed on goodwill under Section 32 of the Income-tax Act - DCIT v. Toyo Engineering India Ltd. [Income Tax Appeal (L) No.1330 of 2012] – (Mum) – Taxsutra.com (PDF 397 KB)

10/31/2014 - SEBI replaces the erstwhile ESOP guidelines with new regulations - SEBI Notification, dated 28 October 2014 (PDF 330 KB)

10/31/2014 - The Bombay High Court allowed deduction of advertisement expenditure, since direct nexus exists between incurring high publicity of channel programme and an increase in taxpayer’s revenue - CIT v. N.G.C. Network (India) P. Ltd. [2014] 368 ITR 738 (Bom) (PDF 330 KB)

10/30/2014 - Government of India simplifies immigration procedures for Japanese nationals - Letter No. 159/2014, Embassy of India, Tokyo (PDF 400 KB)

10/28/2014 - Once the RBI has approved the royalty rate, the payment was considered to be held at arm’s length - DCIT v. Owens Corning Industries (India) Pvt. Ltd. [2014] 51 taxmann.com 276 (Hyd) (PDF 448 KB)

10/21/2014 - The Delhi High Court has set aside the AAR’s ruling and sent the matter back to consider the taxability of operational and other support services to group companies under India-Netherlands tax treaty - Perfetti Van Melle Holdings B.V. v. AAR [2014] 52 taxmann.com 161 (Delhi) (PDF 448 KB)

10/20/2014 - CBDT extends the concessional rate (5 per cent) of withholding tax on the interest payments to a non-resident on borrowing by way of any long term bonds in foreign currency - CBDT Circular No. 15 of 2014 [F No. 133/50/2014-TPL] dated 17 October 2014 (PDF 283 KB)

10/16/2014 - Pune Tribunal rejects high margin companies, after considering if the high profits reflect a normal business phenomena or they are a result of certain abnormal conditions - Cummins Turbo Technology Limited v. DDIT (ITA Nos. 161 & 269/PN/2013) – (Pune) – Taxsutra.com (PDF 323 KB)

10/16/2014 - Marketing services provided by Indian entity to overseas entity would qualify as 'export' - Microsoft Corporation India Private Limited v. CST, New Delhi [2014-TIOL-1964-CESTAT-DEL] (PDF 437 KB)

10/14/2014 - Disallowance under Section 14A cannot be made unless the exempt income has been received during the year - Alliance Infrastructure Projects Pvt. Ltd. v. DCIT [ITA No. 220 & 1043(Bang)/2013] – (Bang) – Taxsutra.com (PDF 435 KB)

10/10/2014 - Disallowance of expenditure on account of non-deduction of tax is also applicable to the amounts which are already been paid - DCIT v. Rana Sugars Ltd (ITA No. 48/Chd/2011) – (Chd) – Taxsutra.com (PDF 328 KB)

10/9/2014 - KPMG India Tax Konnect - October 2014 (PDF 335 KB)

10/9/2014 - CBDT supersedes its earlier circular on allowability of deduction under Section 10A/10AA on transfer of technical manpower in the case of software industry, in line with Rangachary Committee’s recommendations - CBDT Circular No.14/2014, dated 8 October 2014 (PDF 426 KB)

10/8/2014 - MAT provisions do not apply to foreign banking companies for the relevant Assessment Year. Interest paid by a branch of a foreign bank to HO is allowable and such interest is not taxable in the hands of HO - The Bank of Tokyo-Mitsubishi UFJ Ltd v. ADIT [2014] 49 taxmann.com 441 (Del) (PDF 448 KB)

10/8/2014 - The Government of India amends Person of Indian Origin Card Scheme - Ministry of Home Affairs Notification 25024/9/2014 – F.I. dated 30 September 2014 (PDF 448 KB)

10/1/2014 - Supreme Court strikes down constitutional validity of the National Tax Tribunal Act - Madras Bar Association v Union of India and another [2014] 271 CTR 257 (SC) (PDF 382 KB)

10/1/2014 - CBDT amends Income-tax Rules with respect to issue of certificate for deduction of tax at lower rate or no deduction of tax - CBDT Notification No.46/2014, dated 24 September 2014 (PDF 406 KB)

9/29/2014 - CBDT directs income-tax authorities to limit the scope of enquiry under Computer Aided Scrutiny Selection. Comprehensive scrutiny in specified cases can be conducted only after approval of prescribed authorities - CBDT Instruction No. 7/2014, dated 26 September 2014 (PDF 337 KB)

9/25/2014 - Several High Courts have directed the CBDT to extend the due date for filing of income-tax returns from 30 September to 30 November 2014 - All India Federation of Tax Practitioners v. CBDT (WP No. 25443 and 26306 to 26310 of 2014);The Chamber of Tax Consultants & Others v. UOI (WP No. 2492 of 2014) Source - www.taxguru.in (PDF 392 KB)

9/25/2014 - OECD – BEPS Action Plan 8: Guidance on Transfer Pricing Aspects of Intangibles - www.oecd.org (PDF 316 KB)

9/24/2014 - The Mumbai Tribunal held that non-charging of interest attracts transfer pricing provisions and also affirms the DRP’s order striking the secondary adjustment - PMP Auto Components P. Ltd. v. DCIT [2014] 66 SOT 42 (Mum) (PDF 420 KB)

9/24/2014 - Copyright subsists in the news reports and photographs supplied by a French news agency, therefore, payments for the use of same is taxable as ‘royalty’ - Agence France Presse v. ADIT [2014] 66 SOT 183 (Del) (PDF 468 KB)

9/23/2014 - Taxpayer is eligible for lower rate of tax under Section 115A of the Act on payment of royalty since the new agreements entered into by the taxpayer were not an extension of old agreements - GKN Holdings Plc v. DDIT [2014] 66 SOT 54 (Pune) (URO) (PDF 436 KB)

9/19/2014 - OECD – BEPS action plan 13: transfer pricing documentation and country-by-country reporting - www.oecd.org (PDF 444 KB)

9/17/2014 - BEPS - OECD Releases reports on 7 out of 15 action points - www.oecd.org (PDF 494 KB)

9/17/2014 - Supreme Court lays down important principles on retrospective taxation while dealing with applicability of surcharge in cases of block assessment - CIT v. Vatika Township (P) Ltd. [2014] 367 ITR 466 (SC) (PDF 351 KB)

9/10/2014 - Discount allowed to foreign buyers towards advance payment on sales is treated as interest, and therefore liable for withholding of tax under Section 195 of the Act - DCIT v. Kothari Food & Fragrances [2014] 50 taxmann.com 213 (Lkw) (PDF 456 KB)

9/10/2014 - KPMG India Tax Konnect - September 2014 (PDF 358 KB)

9/9/2014 - The Karnataka High Court upheld the Tribunal’s judgment that the CIT has no revisionary powers under Section 263 of the Act once the ALP is accepted by the AO/TPO - CIT v. SAP Labs Private Limited (Income Tax Appeal No.339 OF 2010 and Income Tax Appeal No.842 of 2010) – (Kar) – Taxsutra.com (PDF 448 KB)

9/5/2014 - CBDT lays down procedure and criteria for compulsory manual selection of cases for scrutiny during the financial year 2014-15 - CBDT Instruction No. 6 of 2014, dated 2 September 2014 (PDF 272 KB)

9/4/2014 - Disallowance of expenditure under Section 40(a)(ia) of the Income-tax Act – the law is evolving - ITO v. Pratibhuti Viniyog Ltd. (ITA No. 1689/Mum/2011) Capital Pharma v. ITO [2014] 50 taxmann.com 411 (Bang) (PDF 304 KB)

9/1/2014 - Social security agreement between India and Czech Republic effective from 1 September 2014 - www.epfindia.com/Circulars/Y2014-15/IWU_SSA_CzechRepublic_ 13648 (PDF 272 KB)

9/1/2014 - The Government of India issues notification on enhancing wage ceiling from existing INR6,500 to INR15,000 for schemes framed under the Employees’ Provident Funds and Miscellaneous Provisions Act, 1952 - www.epfindia.gov.in/Circulars/Y2014-15/Coord_SchemeAmendment _ 13637 (PDF 324 KB)

9/1/2014 - CBDT sets-up a Committee to examine fresh cases referred by the tax officer in respect of indirect transfer of assets prior to 1 April 2012 - CBDT Order F. No. 149/141/2014-TPL, dated 28 August 2014 (PDF 328 KB)

8/28/2014 - Relaxation in Foreign Direct Investment norms in defence and rail infrastructure - Press Note No.7 dated 26 August 2014 and No. 8 dated 27 August 2014 (2014 Series) issued by the DIPP (PDF 336 KB)

8/26/2014 - Investment which has not resulted in any income cannot be considered for disallowance under Section 14A read with Rule 8D(2)(i) of the Rules - Bellwether Microfinance Fund Pvt. Ltd. v. ITO [2014] 65 SOT 75 (Hyd) (PDF 312 KB)

8/25/2014 - Public provident fund limit enhanced from INR100,000 to INR150,000 - Gazette of India - Notification dated 13 August 2014 (PDF 300 KB)

8/19/2014 - Haryana Composition Scheme for real estate developers – VAT on sale of residential and commercial properties (flats, shops, etc.) may be discharged at the rate of 1 per cent of the total contract value - Notification No. S.O.88/H.A. 6/2003/S. 60/2014, dated 12 August 2014 (PDF 432 KB)

8/19/2014 - The Supreme Court admitted Revenue’s Special Leave Petition against Delhi High Court’s order rejecting Arm’s Length Price determination based on Free On Board value of goods in the case of Li & Fung India Private Limited - CIT v. Li & Fung India Pvt. Ltd. (SLP No(s). 11346/2014) (PDF 456 KB)

8/12/2014 - Services which do not impart technical know-how or transfer any knowledge, experience, or skills, cannot be taxed as royalty - GECF Asia Limited v. DDIT [2014] 34 ITR(T) 303 (Mum) (PDF 400 KB)

8/8/2014 - KPMG India Tax Konnect - August 2014 (PDF 270 KB)

8/7/2014 - The Hyderabad Tribunal adjudicates on rejection of certain comparables from the standard ITES set selected by the TPO in three different rulings, consequentially dropping the average PLI as low as 10.78 per cent - Capital IQ Information Systems (India) Private Limited v. ACIT [2014] 49 taxmann.com 313 (Hyd) Excellence Data Research Private Limited v. ITO [2014] 66 SOT 15 (Hyd) Hyundai Motors India Engineering Private Limited v. DCIT [2014] 49 taxmann.com 290 (Hyd) (PDF 460 KB)

8/7/2014 - The view taken in the case of BMW India Pvt. Ltd. is in conformity with the special bench ruling in the case of LG Electronics India Pvt. Ltd., and does not override the special bench - Bose Corporation India Pvt. Ltd. v. ACIT [2014] 150 ITD 542 (Del) (PDF 384 KB)

8/6/2014 - Share sale transaction between joint venture partners resulting in loss is not a ‘colourable device’ - CIT v. Siel Ltd (ITA No. 1616/2010 and ITA No. 1619/2010) – (Del) – Taxsutra.com (PDF 440 KB)

8/5/2014 - India’s Social Security Agreements with Finland and Sweden come into effect  (PDF 432 KB)

8/5/2014 - Gains arising in the hands of Mauritian company from sale of equity shares and CCDs of an Indian company are not taxable as interest income in India - Zaheer Mauritius v. DIT International Taxation-II [2014] 47 taxmann.com 247 (Del) (PDF 449 KB)

8/4/2014 - CBDT clarification on the tax treatment in the case of Alternative Investment Funds - CBDT Circular No. 13 of 2014, dated 28 July 2014 (PDF 424 KB)

8/4/2014 - Amendment with respect to deductibility of certain payments under Section 40(a)(ia) is curative in nature and therefore will apply retrospectively inspite of its prospective application by the Parliament - CIT v. Santosh Kumar Shetty [2014] 49 taxmann.com 47 (Kar) (PDF 448 KB)

8/1/2014 - Payment for the use of licensed software along with computer system to access the information on the foreign company’s portal constitutes royalty under the India-UK tax treaty - Reuters Transaction Services Ltd. v. DDIT [2014] 151 ITD 510 (Mum) (PDF 444 KB)

8/1/2014 - Tax-audit-report-requirements-amended - Income-tax (7th Amendment) Rules, 2014, dated 25 July 2014 (PDF 220 KB)

7/31/2014 - The Bombay High Court dealing with an Insurance Company’s case warned to impose cost on revenue authorities for raising repeated appeals on settled issues - CIT v. Kotak Mahindra Old Mutual Life Insurance Ltd (ITA No. 422 of 2012) – (Bom) – Taxsutra.com (PDF 436 KB)

7/30/2014 - Taxpayer is entitled to receive interest on self assessment tax from the date of assessment order, however, no interest on the interest due on refund is granted - Merck Limited v. CIT (W. P. No. 2529 of 2004) (Bom) – Taxsutra.com (PDF 441 KB)

7/29/2014 - CBDT clarifies on allowability of deduction under Section 10A/10AA on transfer of technical man-power in the case of software industry - CBDT Circular No. 12/2014, dated 18 July 2014 (PDF 264 KB)

7/28/2014 - Royalty/FTS income of a non-resident having PE in India in connection with the business of exploration, etc. of mineral oils, is taxable under Section 44BB of the Act prior to prospective amendment to these provisions of the Act - PGS Geophysical AS v. ADIT (ITA No 612/2012) Baker Hughes Asia Pacific Ltd. v. ADIT [2014] 151 ITD 79 (Del), CGG Marine SAS (now CGG Veritas Services SA) v. ADIT (ITA No.234/Del/2013) (PDF 395 KB)

7/25/2014 - Proposed amendments to the Finance No. 2 Bill, 2014 - http://indiabudget.nic.in (PDF 312 KB)

7/23/2014 - Gift of shares of one foreign subsidiary to another foreign subsidiary without consideration is not liable to capital gains tax. Transfer pricing adjustment on transfer of shares without consideration deleted - Redington (India) Limited v. JCIT [2014] 49 taxmann.com 146 (Chen) (PDF 463 KB)

7/22/2014 - Employees’ Provident Fund Organisation issues circular to its field officers to implement the proposed enhancement in statutory wage ceiling from INR6,500 to INR15,000 (PDF 315 KB)

7/21/2014 - The Chennai Tribunal rejects the TPO’s approach of reducing cash discount, outward freight, and storage charges from selling price, with regard to computation of Gross Profit Margin - Panasonic Sales & Services (I) Company Limited v. ACIT [2014] 34 ITR(T) 683 (Chen) (PDF 437 KB)

7/21/2014 - Draft SEBI Infrastructure Investment Trusts Regulations for public comments - www.sebi.gov.in (PDF 463 KB)

7/17/2014 - Retrospective amendment, short deduction of TDS should not attract disallowance under Section 40(a)(ia) with respect to payment of placement fees - ACIT v. NGC Networks (I) Pvt. Ltd. [2014] 150 ITD 772 (Mum) (PDF 482 KB)

7/16/2014 - The Delhi High Court upheld the Tribunal’s ruling, that trading intermediary (‘Sogo Shosha’ in Japanese context) is akin to trading activities, not provision of service - Mitsubishi Corporation India Private Limited v. ACIT [2014] 366 ITR 495 (Del) (PDF 440 KB)

7/14/2014 - Reopening completed assessments under Section 153C of the Income-tax Act and making reference to transfer pricing is invalid when no incriminating material found during search - The Himalaya Drug Company v. DCIT [2014] 48 taxmann.com 65 (Bang) (PDF 454 KB)

7/10/2014 - KPMG - India Union Budget 2014 - www.indiabudget.nic.in (PDF 890 KB)

7/10/2014 - Indian Economic Survey 2013-14 – Key Highlights - www.indiabudget.nic.in (PDF 533 KB)

7/10/2014 - Budget 2014 proposals – India transfer pricing regulations aligned to international norms - www.indiabudget.nic.in (PDF 430 KB)

7/9/2014 - The Haryana Draft Composition Scheme for real estate developers – VAT on sale of residential and commercial properties (flats, shops, etc.) may be discharged at the rate of 1 per cent of the total contract value - Notification No. Web 6/ H.A.6/ 2003/ S.60/2014 dated 5 July 2014 (PDF 311 KB)

7/9/2014 - Details of foreign employees on Linkedin is considered as additional evidence to determine the existence of PE in India - GE Energy Parts Inc. v. ADIT [2014] 33 ITR(T) 411 (Del) (PDF 325 KB)

7/9/2014 - Maharashtra value added tax – Introduction of electronic way bills - Notification No VAT 1514/CR 80/Taxation-1. Dated 23rd June, 2014 (PDF 373 KB)

7/8/2014 - Interest under Section 234A, 234B and 234C cannot be charged if the specific section is not mentioned in the assessment order - CIT v. Oswal Exports (ITA No. 386 of 2007) (PDF 432 KB)

7/8/2014 - Services in connection with assessing the viability of developing a port do not 'make available' technical knowledge, skills, etc. and therefore, is not taxable as FTS under the India-U.K. tax treaty - ITO v. Dholera Port Ltd. and Adani Port-Infrastructure Pvt. Ltd. [2014] 165 TTJ 684 (Ahd) (PDF 414 KB)

7/7/2014 - Share transfer pursuant to family arrangement is not considered as gift - ACIT v. Bilakhia Holdings P. Ltd. [2014] 65 SOT 195 (Ahd) (PDF 441 KB)

7/4/2014 - Weighted deduction under Section 35(2AB) is not allowed while computing the income of Section 10A/10B unit. - Biocon Limited v. DCIT [2013] 25 ITR(T) 602 (Bang) (PDF 456 KB)

7/4/2014 - Capital gains exemption is not available on conversion of a private limited company into an LLP if exemption conditions are violated - Aravali Polymers LLP v. JCIT [2014] 65 SOT 11 (Kol) (PDF 442 KB)

7/4/2014 - KPMG India Tax Konnect - July 2014 (PDF 231 KB)

7/2/2014 - Supervisory services provided by a foreign company through its technicians do not constitute a PE in India, however it is taxed as FTS (PDF 447 KB) - GFA Anlagenbau Gmbh v. ACIT [2014] 34 ITR(T) 73 (Hyd) (PDF 447 KB)

6/24/2014 - Payments for BSP link services are not ‘Fees for Technical Services’ under India-France tax treaty by virtue of MFN clause - DDIT v. IATA BSP India [2014] 64 SOT 290 (Mum) (PDF 444 KB)

6/23/2014 - The MCA provides clarity on Corporate Social Responsibility under the Companies Act, 2013 - Ministry of Corporate Affairs Circular No. 21 of 2014, dated 18 June 2014 (PDF 414 KB)

6/20/2014 - SEBI issues press release regarding proposed amendments to ESOP guidelines - SEBI Press Release No. 63/2014, dated 19 June 2014 (PDF 407 KB)

6/19/2014 - Taxpayer is entitled to compensation for the delay in payment of interest due on refund - The Sirpur Paper Mills Ltd. v. JCIT [2014] 270 CTR 371 (AP) (PDF 439 KB)

6/16/2014 - The Delhi Tribunal extends the benefit of 182 days for determination of residential status for self-employed professionals going abroad - ACIT v. Jyotinder Singh Randhawa [2014] 64 SOT 323 (Del) (PDF 436 KB)

6/16/2014 - Indian subsidiary of a foreign telecom company constitutes a PE under India-US tax treaty. Attributed 50 per cent of profit to the PE in India - Nortel Networks India International Inc. v. DDIT [2014] 65 SOT 158 (Del) (PDF 445 KB)

6/12/2014 - Payment for pay channel charges made prior to retrospective amendment are taxable as royalty, however, it cannot be disallowed for non-deduction of tax - Kerala Vision Ltd. v. ACIT [2014] 64 SOT 328 (Coch) (PDF 439 KB)

6/9/2014 - Rejects the TPO’s approach of using a PSM for agency services; the taxpayer assumed minimal risk, performed limited functions - Marubeni Corporation, Japan [2014] 44 taxmann.com 22 (Mum) (PDF 449 KB)

6/6/2014 - Liberalisation of visa guidelines - http://mha.nic.in/ (PDF 378 KB)

6/6/2014 - Maharashtra Budget 2014-15 - Key indirect tax proposals/changes - www.idt.taxsutra.com (PDF 373 KB)

6/6/2014 - KPMG India Tax Konnect - June 2014 (PDF 264 KB)

6/4/2014 - TDS credit cannot be denied to the taxpayer on the grounds of mismatch of TDS amount with the details shown in Form 26AS - Rakesh Kumar Gupta v. Union of India and another [2014] 365 ITR 143 (All) (PDF 397 KB)

6/4/2014 - The Hyderabad Tribunal accepts revised return making suo moto adjustment as valid; however, denied the plus/minus five per cent benefit on the adjusted ALP - Tecumseh Products India P. Ltd. v. ACIT [2014] 46 taxmann.com 285 (Hyd) (PDF 428 KB)

6/2/2014 - Delhi High Court rules that TP reference does not curtail test of deductibility of expenses under Section 37 of the IT Act, 1961. Holds that cost-to-cost reimbursement transactions should also be benchmarked from an arm’s length perspective - CIT v. Cushman and Wakefield (India) Pvt. Ltd. [2014] 367 ITR 730 (Del) (PDF 487 KB)

5/30/2014 - AAR holds that fees paid to Sri Lankan executive for promotion of sales and brand name is not FTS under the Income-tax Act. Further the fees are not taxable under ‘Independent Personal Services’ Article under the Sri Lanka tax treaty - Oxford University Press., In re [2014] 364 ITR 251 (AAR) (PDF 437 KB)

5/30/2014 - The Authority of Advance Rulings holds that lump sum contribution to Defined Benefit Superannuation Scheme is not taxable in the hands of individual employees - The Royal Bank of Scotland [2014] 364 ITR 373 (AAR) (PDF 447 KB)

5/28/2014 - Employees’ Provident Fund Organisation issues guidelines on surcharge to be levied for investment deviations and re-auditing of accounts for private provident fund trusts (PDF 350 KB)

5/23/2014 - Mumbai Tribunal confirms concealment penalty under Section 271(1)(c) of the Income-tax Act and also rules on the validity of revised return - Deloitte Consulting India Pvt. Ltd. v. ACIT [2014] 151 ITD 454 (Mum) (PDF 447 KB)

5/21/2014 - Income from shares purchased and sold through a discretionary portfolio management scheme is taxable as capital gains and not business income - Radials International v. ACIT (ITA No. 485/2012 dated 25 April 2014) – (Del) – Taxsutra.com (PDF 489 KB)

5/20/2014 - Profit on sale of mutual fund units held as investment are taxable under the head ‘capital gains’ and not ‘business income’ - Yama Finance Ltd v. ACIT [2014] 224 Taxman 260 (Del) (PDF 438 KB)

5/20/2014 - AAR denies benefit of MFN clause under India-France tax treaty with respect to ‘make available’ clause - Steria (India) Ltd. [2014] 364 ITR 381 (AAR) (PDF 466 KB)

5/15/2014 - Transfer of undertaking not involving monetory consideration is an exchange transaction and not slump sale - CIT v. Bharat Bijlee Ltd. [2014] 365 ITR 258 (Bom) (PDF 314 KB)

5/13/2014 - Cost of tenancy rights if determinable should be considered while computing capital gains - Tauqeer Fatema Rizvi v. ITO (ITA No. 8862/Mum./2011) – (Mum) - Taxsutra.com (PDF 353 KB)

5/13/2014 - Supreme Court holds that the carry forward losses of amalgamating co-operative societies cannot be claimed by amalgamated co-operative society - Rajasthan R.S.S. & Ginning Mills Fed. Ltd. v. DCIT [2014] 363 ITR 564 (SC) (PDF 438 KB)

5/8/2014 - KPMG India Tax Konnect - May 2014 (PDF 247 KB)

5/7/2014 - Additional clarifications on value added tax with regard to Andhra Pradesh state reorganisation - reorganisation.ap.gov.in (PDF 397 KB)

5/5/2014 - Royalty income is not taxable in India since there is no economic link between the payment of royalties and taxpayer’s permanent establishment in India - DIT v. Set Satellite (Singapore) Pte Ltd [2014] 225 Taxman 1 (Bom) (PDF 439 KB)

5/2/2014 - Clarifications on value added tax with regard to Andhra Pradesh state reorganisation - reorganisation.ap.gov.in (PDF 270 KB)

5/2/2014 - Unused period of a rig due to repairs and maintenance does not constitute a Permanent Establishment in India - DIT v. R & B Falcon Offshore Ltd. [2014] 223 Taxman 266 (Utt) (PDF 300 KB)

5/2/2014 - Seconded employees to provide business support services constitute Service PE in India. Further such Services also ‘make available’ technical knowledge, skill, etc. and therefore taxable as FTS/FIS - Centrica India Offshore Pvt. Ltd. v. CIT [2014] 364 ITR 336 (Del) (PDF 334 KB)

4/30/2014 - Payment by an Indian animation film production company to foreign sub-contractor for creating ‘production material’ is not Fees for Technical Services - ADIT v. DQ Entertainment (International) P. Ltd. [2014] 64 SOT 152 (Hyd) (PDF 329 KB)

4/29/2014 - Delhi High Court holds on the taxability of offshore and onshore supply and services under the composite contract - Linde AG, Linde Engineering Division and Anr. v. DDIT [2014] 365 ITR 1 (Del) (PDF 439 KB)

4/25/2014 - CBDT clarifies that the cost of construction on development of infrastructure facility like roads and highways under BOT projects may be amortised and claimed as allowable business expenditure - CBDT Circular 9 of 2014, dated 23 April 2014 (PDF 379 KB)

4/25/2014 - Delhi Tribunal upheld taxpayer's residual PSM over TPO’s TNMM and held that allocation of residual profits to be done based on contribution from each entity - Global One India P Ltd. v. ACIT [2014] 31 ITR(T) 722 (Del) (PDF 466 KB)

4/25/2014 - Section 50C is applicable to transfer of leasehold rights of a land for 99 years since it is a capital asset - ITO v. Shri Hari Om Gupta [ITA No.222/LKW/2013] (Assessment Year - 2007-08) – (Lkw) – Taxsutra.com (PDF 375 KB)

4/23/2014 - Services rendered by a Mauritian company for improving the management performance of an Indian company, through its employees, having some place at its disposal, constitutes fixed place PE in India - Renoir Consulting Ltd. v. DDIT [2014] 64 SOT 28 (Mum) (PDF 434 KB)

4/21/2014 - Payments to a non-resident company for transmission of bulk SMS does not amount to Fees for Technical Service - DCIT v. Velti India Pvt. Ltd. [2014] 163 TTJ 691 (Chen) (PDF 319 KB)

4/17/2014 - KPMG India Tax Konnect - April 2014 (PDF 192 KB)

4/11/2014 - Payment for telecom towers and network infrastructure services constitutes ‘rent’ for the use of machinery, plant or equipment, which attracts withholding of tax at the rate of 2 per cent - Indus Towers Ltd. v. CIT & Ors [2014] 364 ITR 114 (Del) (PDF 444 KB)

4/10/2014 - CBDT clarifies that the partner’s share of profit in the firm’s total income is exempt in the hands of partner even if the income is exempt in the hands of the firm - CBDT Circular 8 of 2014, dated 31 March 2014 (PDF 430 KB)

4/10/2014 - Reserve Bank of India includes provisions permitting foreign investments in Limited Liability Partnership in FEMA - Notification No. FEMA. 297/2014-RB, dated 13 March 2014 (PDF 437 KB)

4/8/2014 - Direct Taxes Code 2013 - Press Release, dated 31 March 2014 (PDF 459 KB)

4/4/2014 - Employees’ Provident Fund Organisation issues new circulars to secure proper compliance in respect of International Workers (PDF 551 KB)

4/3/2014 - India signs its first set of Advance Pricing Agreements (APAs) in one year since introduction of the APA program - Economic Times, dated 1 April 2014 (PDF 392 KB)

4/1/2014 - Reimbursement of data processing cost is not taxable as royalty under the Belgium tax treaty - ADIT v. Antwerp Diamond Bank NV [2014] 65 SOT 23 (Mum) (PDF 392 KB)

3/26/2014 - Introduction of facility of for the issuance of an Electronic Export Obligation Discharge Certificate - Public Notice no. 55 (RE-2013/ 2009-2014) dated 14 March 2014 (PDF 273 KB)

3/25/2014 - Income from supply of telecommunications network equipment and software taxable as business income under India-China tax treaty - Huawei Technologies Co. Ltd. v. ACIT [2014] 149 ITD 323 (Del) (PDF 329 KB)

3/21/2014 - The Supreme Court held that interest is payable to a tax deductor on refund of excess tax withheld - Union of India v. Tata Chemicals Ltd. [2014] 222 Taxman 225 (SC) (PDF 478 KB)

3/19/2014 - Proportionate allotment of additional shares does not result into income under Section 56(2)(vii)(c) of the Act - Sudhir Menon HUF v. ACIT [2014] 148 ITD 260 (Mum) (PDF 454 KB)

3/18/2014 - The Delhi Tribunal held that corporate guarantee issued for AEs benefit, which did not cost anything to the taxpayer, does not constitute international transaction - Bharti Airtel Ltd. v. ACIT [2014] 63 SOT 113 (Del) (PDF 466 KB)

3/13/2014 - Service tax on services received and consumed abroad - Infosys Limited v. CST, Bangalore, [TS-64-Tribunal-2014 (Bang)] (PDF 289 KB)

3/12/2014 - Claim of R&D expenditure is allowed under Section 35(2AB) even though the same was claimed during the assessment proceedings and not in the original or revised return of income - DCIT v. United Rubber Industries India Pvt. Ltd. (ITA No.6198/Mum/2012) – (Mum) – Taxsutra.com (PDF 307 KB)

3/11/2014 - CBDT clarifies on tax withholding obligation in respect of payments made to non-resident - CBDT Instruction No. 02/2014, dated 26 February 2014 (PDF 392 KB)

3/10/2014 - Indian Government declares interest rate on Employees’ Provident Fund Scheme (PDF 417 KB)

3/7/2014 - Supervisory fees paid for installation of equipment are taxable as FTS and not as business profits since such fees are not effectively connected with a Permanent Establishment in India - Sumitomo Corporation v. DCIT [2014] 31 ITR(T) 310 (Del) (PDF 444 KB)

3/7/2014 - KPMG India Tax Konnect - March 2014 (PDF 265 KB)

3/6/2014 - Procedures prescribed for the refund of Cenvat credit taken on inputs and input services used for providing specified services on which Service tax is payable under the partial reverse charge mechanism - Notification No. 12/2014-Central Excise (N.T.), dated 3 March 2014 (PDF 384 KB)

3/5/2014 - The Mumbai Tribunal upholds use of internal CUP with appropriate adjustments for broking transactions - J P Morgan India Private Limited v. ACIT [2014] 151 ITD 459 (Mum) (PDF 461 KB)

3/5/2014 - AAR interprets the extension of 182 days for determination of residential status - not applicable in case of person returning to India after resigning from overseas employment - Smita Anand [2014] 362 ITR 38 (AAR) (PDF 469 KB)

3/4/2014 - Payment for offshore supply of equipment is not taxable in India. A portion of consideration for offshore supply attributed to services performed in India - POSCO Engineering & Construction Company Ltd. v. ADIT [2014] 31 ITR(T) 255 (Del) (PDF 497 KB)

2/26/2014 - R&D related weighted deduction under Section 35(2AB) should be available even if approval in the prescribed format is signed by Nodal Officer and not by Secretary, DSIR - ACIT v. Fermet Biotech Limited [2014] 64 SOT 246 (Mum) (PDF 320 KB)

2/26/2014 - AAR held that to accept an application there has to be a transaction or a proposed transaction and not mere intention - Trade Circle Enterprises LLC [2014] 361 ITR 673 (AAR) (PDF 275 KB)

2/26/2014 - The Central Government amends Rule 7 of the CENVAT Credit Rules 2004  - CBEC Notification No. 05/2014 – Central Excise (N.T.) dated 24 February 2014(PDF 279 KB)

2/25/2014 - Payments to a Philippine company for providing business information services are not taxable in the absence of FTS clause under the tax treaty and PE in India - IBM India Private Limited v. JCIT [I.T. (IT) A. Nos. 489 to 498/Bang/2013] – (Bang) – Taxsutra.com (PDF 470 KB)

2/24/2014 - Salary received in an Indian bank account by a non-resident, employed outside India, is not taxable - Arvind Singh Chauhan v. ITO [2014] 147 ITD 509 (Agra) (PDF 469 KB)

2/24/2014 - The Mumbai Tribunal deletes addition on export related advertisement reimbursement - Lever India Exports Limited v. ACIT [2014] 64 SOT 45 (Mum) (PDF 394 KB)

2/21/2014 - KPMG Regulatory Highlights for 2013 (PDF 587 KB)

2/18/2014 - India Vote on account – Interim Budget 2014 (PDF 1000 KB)

2/14/2014 - The Bangalore Tribunal adjudicates on the most appropriate method for contract manufacturers - DCIT v. GE BE Pvt. Ltd. [2014] 64 SOT 129 (Bang) (PDF 530 KB)

2/13/2014 - CBDT clarifies that expenditure incurred in relation to exempt income would be disallowed under Section 14A even if no such income has been earned in a particular year - CBDT Circular No. 5/2014, dated 11 February 2014 (PDF 268 KB)

2/11/2014 - Indian subsidiary of a foreign company providing back office support operations does not constitute a PE in India - DIT v. E Funds IT Solutions [2014] 226 Taxman 44 (Del) (PDF 491 KB)

2/6/2014 - KPMG India Tax Konnect - February 2014 (PDF 191 KB)

2/5/2014 - OECD - BEPS-related transfer pricing documentation country-by-country reporting draft guidance - www.oecd.org (PDF 441KB)

1/31/2014 - CBDT decides to keep in abeyance the revised PAN allotment process change - PIB Press Release, dated 30 January 2014 (PDF 332 KB)

1/31/2014 - The Supreme Court ruling on admissibility of an application by the AAR when the income-tax return has already been filed - Sin Oceanic Shipping ASA v. AAR [2014] 223 Taxman 102 (SC) (PDF 377 KB)

1/24/2014 -Kolkata Tribunal holds the income from ‘transfer of right to purchase flat’ as ‘capital gains’ - Subhas Chandra Parmanandka v. ITO (ITA No.1614/Kol/2010) – (Kol) – Taxsutra.com (PDF 432 KB)

1/24/2014 - PAN allotment process undergoes change original documents required to be produced for verification at the time of app - CBDT Press Release, dated 23 January 2014 (PDF 333 KB)

1/23/2014 - Interest expenditure was not disallowed under Section 14A because the taxpayer had sufficient own funds available for investment - CIT v. Gujarat Narmada Valley Fertilizers Co Ltd. [2014] 221 Taxman 479 (Guj) (PDF 386 KB)

1/23/2014 - Since Liaison office has been rendering services for promotion and sales of products in India, the income attributable to such liaison office is taxable in India - Brown & Sharpe Inc. v. ACIT [2014] 160 TTJ 1 (Del) (PDF 435 KB)

1/22/2014 - Additional guidelines on employment visa and business visa - http://mha.nic.in (PDF 375 KB)

1/22/2014 - Interest income and import entitlement sale consideration are eligible for benefit under Section 10B of the Act since there is a direct nexus between such income and business of the undertaking - CIT v. Motorola India Electronics (P) Ltd. [2014] 225 Taxman 11 (Kar) (PDF 437 KB)

1/21/2014 - Allowability of employees' contribution deposited beyond the due date specified under the PF Act but before the due date of filing of income-tax return - CIT v. Gujarat State Road Transport Corporation [2014] 366 ITR 170 (Guj) ITO v. Jaipur Vidyut Vitran Nigam Ltd. [2014] 363 ITR 307 (Raj) (PDF 358 KB)

1/20/2014 - Cenvat Credit with respect to service tax paid on transportation of final products - Ultratech Cement Limited v. CCE [TS-248-Tribunal-2013-EXC] (PDF 445 KB)

1/17/2014 - CBEC clarification on implementation of Fiat India Ltd. case - CBEC Circular No.979/03/2014-CX, dated 15 Jan 2014 (PDF 403 KB)

1/17/2014 - Extension of Special Package of Industrial Incentive for the States of Himachal Pradesh and Uttarakhand - Press release dated 15 January 2014 (PDF 346 KB)

1/17/2014 - Payment for perpetual transfer of copyright in a feature film for 99 years amounts to sale and not royalty - K. Bhagyalakshmi v. DCIT [2014] 221 Taxman 225 (Mad) (PDF 434 KB)

1/16/2014 - Tax liability cannot be fastened on foreign company without establishing that the income is attributable to the Permanent Establishment situated in India - Samsung Heavy Industries Co. Ltd. v. DIT [2014] 221 Taxman 315 (Utt) (PDF 429 KB) 

1/15/2014 - Reserve Bank of India issues pricing guidelines for Foreign Direct Investment instruments with optionality clauses - RBI A.P.(DIR Series) Circular No.86, dated 9 January 2014 source: www.rbi.org.in (PDF 374 KB)

1/14/2014 - Arm’s Length Price of an international transaction cannot exceed the ‘Final Sales Price’- Supreme Court dismisses Revenue Special Leave Petition against Global Vantedge Ruling - CIT v. Global Vantedge Pvt. Ltd. [2014] with S.L.P.(C)...CC NO. 22166 of 2013 – Taxsutra.com (PDF 404 KB)

1/13/2014 - Reserve Bank of India permitted issue of non-convertible/redeemable bonus preference shares or debentures to non-resident shareholders under the automatic route - Circular No. A.P. (DIR Series) Circular No.84, dated 6 January 2014 (PDF 348 KB)

1/10/2014 - The Central Government amends Rule 3 of the CENVAT Credit Rules 2004 - CBEC Notification, dated 8 January 2014(PDF 357 KB)

1/10/2014 - KPMG India Tax Konnect - January 2014 (PDF 275 KB)

1/9/2014 - KPMG Tax Highlights for 2013 (PDF 371 KB)

1/7/2014 - KPMG Tax Assemblage - 2013 (PDF 591 KB)

1/6/2014 - CBDT issues important directives on Safe Harbour Rules - CBDT Letter dated 20 December 2013 (PDF 271 KB)

1/3/2014 - Recent developments in Special Economic Zone and Export Oriented Unit Schemes - Department of Commerce vide Office Memo F No. 1/10/2010-EOU dated 2 January 2014 (PDF 413 KB)

6/29/2016 -  CBDT notifies rules with respect to non-furnishing of PAN by non-residents and furnishing of alternative documents  - CBDT Notification No. 53 /2016, F.No.370 142/16/2016-TPL, dated 24 June 2016 (PDF 287 KB)
6/29/2016 -  CBDT notifies rules with respect to non-furnishing of PAN by non-residents and furnishing of alternative documents  - CBDT Notification No. 53 /2016, F.No.370 142/16/2016-TPL, dated 24 June 2016 (PDF 287 KB)

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