International Tax

ITAT: Treatment of Business Centre Income.

Income from business centre is taxable as "business income" and not as "other sources"

Jan 12,2011

ITAT: Premium on Held to Maturity securities- an revenue expenditure.

Amortisation of premium on securities held under "Held to Maturity" category by a Bank is deductible revenue expenditure.

Jan 12,2011

ITAT: Expenditure on outsourced Clinical trials not eligible u/s35(2AB)

Expenditure incurred on outsourcing of the clinical trials by "an approved R&D facility" is not eligible for the weighted deduction for R&D under section 35(2AB) of the Income-tax Act

Jan 12,2011

ITAT: Payment for reassembling and commissioning: not covered under Fees for technical services.

Payment to an Italian company for "reassembling and commissioning" of the machines in India is not taxable in India

Jan 13,2011

HC: No tax holiday u/s 10A to Foreign branch.

Tax holiday is not available to foreign branch carrying on-site software development and full-fledged marketing operations.

Jan 12,2011

HC: Interest earned on foreign exchange- Not eligible u/s 80HHD.

Interest earned on short term deposits made out of foreign exchange advance received from foreign tourists is not eligible for deduction under section 80HHD -Delhi High Court

Jan 12,2011

HC: Offshore supply of equipments- Not taxable.

Offshore supply of equipments as a part of EPC contract is not taxable in India

Jan 12,2011

SC: "Revaluation Reserve" under MAT provisions.

Credit to the P&L account for withdrawal from "Revaluation reserve" cannot be reduced in computing "book profit" for MAT: SC

Jan 12,2011

ITAT: Credit for TDS and Refund of TDS

Credit for TDS cannot be denied upon subsequent refund of TDS to deductor

Jan 14,2011