HC : Discount to sim- card distributors liable to TDS; Agreement terms show principal-agent relationship 
May 28 2015
HC dismisses assessee’s ( a telecom company) appeal, holds that discount allowed by assessee to its distributors for sale of startup packs and prepaid recharge coupons amounts to 'commission', l...View more

HC : Holds aircraft overhaul expenses as FTS but negates taxability applying GVK ratio 
May 28 2015
HC rules that payment made by assessee (an Indian co.) to a German co. for carrying out overhaul repairs to aircrafts, despite being fees for technical services (‘FTS’) u/s 9(1)(vii), not ...View more

ITAT : 'Non-discrimination' relief for TDS [Sec 40(a) disallowance] not affected by Article 9 
May 28 2015
ITAT rules on interplay between non-discrimination relief (Article 24 of India-Japan DTAA) and Article 9 (dealing with arm's length conditions between AEs); ITAT deletes Sec 40(a)(i) expense disallowa...View more

HC : Sec 43B disallowance not attracted on amounts due as collecting 'agents' of Government
May 26 2015
HC reverses ITATs order, Sec 43B disallowance not attracted in respect of unpaid electricity duty, though collected by assessee (an Electricity supply Co.) from its customers for deposit with Governme...View more

ITAT : Accords validity to survey in Nokia-TDS matter, rejects assessee’s cross-examination plea 
May 26 2015
ITAT accords validity to survey u/s 133A conducted at Nokia India’s premises in January 2013 with respect to TDS on software payments to its Finnish parent company for AY 2007-08, directs regist...View more

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SC directs Castleton's MAT appeal for August hearing before tax bench

May 08 2015
Chief Justice led Supreme Court bench directs Castleton MAT appeal to be listed before tax bench in August; Attorney General Mukul Rohatgi & Sr. Advocate Harish Salve both urge expeditious hearing...View more

Karnataka HC reserves judgment on writ challenging constitutional validity of Sec 234E fee

April 20 2015
Karnataka HC reserves judgment on writ petition challenging constitutional validity of Sec 234E for delay in filing of TDS returns; Assessees’ argued that to levy ‘fee’, there must b...View more

Revenue takes Copal judgment to SC; Assails arbitrary 50 % threshold, alleges tax evasion

April 14 2015
IT Dept. files SLP before Supreme Court against the Delhi HC ruling in Copal case, pleads that transactions were designed prima facie to avoid tax; Revenue submits 50% asset threshold set by HC, erron...View more

Judgement in Wipro's foreign tax credit issue likely next week

February 18 2015
Wipro case posted for hearing before a new Bench (comprising of Justice Vineet Saran and Justice Mrs S Sujatha) today, due to change in roster; Last week, division Bench of Karnataka HC (comprising of...View more

Wipro rebuts Yokogawa, context different, inapplicable to tax credit u/s 90(1)(a)(ii)

February 11 2015
Rebutting Revenue Counsel’s reliance on Yokogawa ruling, Senior Advocate N. Venkatraman for Wipro contends Yokogawa would not apply to S.90(1)(a)(ii) scenario; Highlights S.90(1)(a)(ii) specific...View more

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HC : Quashes Re-assessment u/s148; Issues discussed during DRP proceedings part of normal assessment 
May 20 2015
HC allows assessee’s writ, quashes reassessment proceedings u/s 148 to tax cross-border business restructuring, citing ‘change of opinion’; Revenue argued that DRP raised query regar...View more

OECD releases revised discussion draft on BEPS Action 7 (Artificial avoidance of PE status)
May 18 2015
OECD releases revised discussion draft on BEPS Action 7, which stresses the need to update treaty definition of permanent establishment (PE), in order to prevent artificial avoidance of PE status in r...View more

SC : 'Hospital' building not 'office' for business purpose; Upholds wealth-tax levy 
May 14 2015
SC confirms Kerala HC order, holds hospital building subject to wealth tax u/s 40(3) of Finance Act, 1983 (being charging section for levy of wealth tax) for AYs 1987-88 to 1990-91; Rejects assessee&r...View more

HC : Upholds goodwill valuation approach; Identifies key factors - duration, orders , product monopoly 
May 12 2015
HC upholds ITAT orders, allows valuation of goodwill by assessee- company (for take over arrangement) for AY 1987-88; Analyses 3 key factors relevant for valuation of goodwill - duration of functionin...View more

HC : Lays down law on "rent" u/s 194I; Wheeling charges neither rent nor service 
May 08 2015
Bombay HC upholds ITAT ruling in assessee's favour ; Payment for transmission or wheeling charges neither qualify as rent (u/s 194I) nor as fees for technical service (u/s 194J) & hence TDS not ap...View more

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OECD sounds bugle on 'Multilateral Instrument' for BEPS implementation; Procedural issues sorted

May 28 2015
OECD begins work on 'Multilateral Instrument' to implement tax treaty related BEPS Action Plan; First meeting of the ad hoc Group held on May 27 with participation of over 80 countries; Grou...View more

OECD releases new compliance ratings, Czech Republic rated as “Largely Compliant”

May 28 2015
OECD’s Global Forum on Transparency and Exchange of Information (‘EOI’) for tax purpose publishes 3 peer review reports for Czech Republic, Morocco and Kazakhstan; Pursuant to Phase ...View more

ITAT issues order on ‘adjournment application’, requires three weeks advance filing

May 27 2015
ITAT issues order with respect to applications for adjournment, requires filing them atleast three weeks in advance; In exceptional cases where application filed beyond such period, reasons for the de...View more

CBDT releases EOI Manual, sets "foreseeable relevance" standard for information requests

May 27 2015
CBDT releases revised manual on Exchange of Information (‘EOI’), earlier manual was released in 2013; Revised edition a comprehensive document providing detailed guidelines to field offi...View more

CCITs’ conference aims for taxpayer-centric regime, tax base widening & expeditious grievance redressal

May 27 2015
Two Days annual conference of Principal CCITs & CCITs concluded with Revenue Secretary underlining the objectives of responsive taxpayer-centric regime, combating cross border/ domestic black mone...View more

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ITAT issues order on ‘adjournment application’, requires three weeks advance filing
May 27 2015
ITAT issues order with respect to applications for adjournment, requires filing them atleast three weeks in advance; In exceptional cases where application filed beyond such period, reasons for the de...View more

HC : Holds aircraft overhaul expenses as FTS but negates taxability applying GVK ratio 
May 28 2015
HC rules that payment made by assessee (an Indian co.) to a German co. for carrying out overhaul repairs to aircrafts, despite being fees for technical services (‘FTS’) u/s 9(1)(vii), not ...View more

ITAT : 'Non-discrimination' relief for TDS [Sec 40(a) disallowance] not affected by Article 9 
May 28 2015
ITAT rules on interplay between non-discrimination relief (Article 24 of India-Japan DTAA) and Article 9 (dealing with arm's length conditions between AEs); ITAT deletes Sec 40(a)(i) expense disallowa...View more

Justice Shah Committee invites representations on FII-MAT controversy by June 22
May 26 2015
Justice A P Shah Committee holds first meeting yesterday; Committee invites stakeholders' representations on the issue of 'MAT on FIIs' by June 22  Click below to read Government's press release...View more

FM addresses CCITs, acknowledges "unenviable" task; CBDT Chairperson: "Even single tear matters"
May 25 2015
Finance Minister Arun Jaitley reiterates internationally competitive, non-adversarial tax regime in his address at the annual conference of Principal CCITs & CCITs; FM acknowledges 'unenviable' ta...View more