No major surprises in Finance Bill 2013 fine print; No changes proposed in transfer pricing law ; TRC necessary but not sufficient to claim treaty benefit; Stamp duty valuation provisions (akin to Sec 50C) extended to land/building held as stock in trade for business; Amendment in definition of agricultural land liable to capital gains tax; Surcharge on super-rich and corporates introduced; Share buy-back by unlisted companies to be taxed in the hands of company @ 20%; GAAR deferred till FY 2015-16 as per Shome Committee recommendations but no rollback of retrospective amendments.
IT Department not to go beyond TRC and question taxpayers; CBDT Circular 789 on Indo-Mauritius treaty still in force: Will consider appropriate clarifications in Finance Bill: Finance Ministry Press Release
Finance Bill 2013 has proposed various amendments to the Income-tax Act. Some of these amendments could have the impact of overruling quite a few Court and Tribunal decisions. In light of this, Taxsutra has compiled a list of caselaws that are likely to be overruled / impacted if the amendments take effect. Two of these include Supreme Court rulings in Azadi Bachao Andolan and Catholic Syrian Bank.
With the FM's speech less than 24 hours away, the tax world is waiting anxiously to see what the Finance Minister does on GAAR, retrospective amendments, tax on super-rich and a host of other hotly debated tax proposals. Taxsutra editor Arun Giri previews tomorrow's action in a special article - What to watch out for in Union Budget 2013!