Taxation - Corporate Law Reporter

Income Tax Department issues 40 lacs refunds worth 25,000 crores..and more

The Income Tax (I-T) department has issued 40 lakh refunds worth Rs 25,000 crore in the current financial year to taxpayers and orders have been issued to generate the remaining few lakhs soon. Central Board of Direct Taxes (CBDT) Chairman Sudhir Chandra gave the figures while addressing the top brass and officials of the I-T… Read More

Finmin Initiates Public Debate on Negative list for Taxation of Services

Ministry of Finance has initiated a public debate on the issue of a negative list for taxation of services as announced by the Finance Minister, Shri Pranab Mukherjee in his Budget 2011. The text of the speech is as below: Many experts have argued that it will be desirable to tax services based on a… Read More

Services provided by Subcontractors / Consultants chargeable to Service Tax

Circular No. 138/07/2011 Service Tax F. No. 137/57/2011 Service Tax Government of India Ministry of Finance Department of Revenue (Central Board of Excise & Customs) **** New Delhi, the May 2011 To Chief Commissioners of Central Excise & Customs (All) Chief Commissioners of Central Excise (All) Director General of Central Excise Intelligence Director General of… Read More

CAG aims at better monitoring of the Project Imports

Circular No.22/2011-Customs Government of India; Ministry of Finance; Department of Revenue- Central Board of Excise and Customs CLR Note: The ˜Project Import Scheme™ is an Indian innovation to facilitate setting up of and expansion of industrial projects. Now, for setting up of a ˜Project™, a number of goods are needed to be imported in one or many consignments… Read More

Indian Society of International Law gets approval u/s 35(1)(3) of Income Tax Act

NOTIFICATION NO. 22 [F.NO.203/43/2010/ITA-II], INDIAN SOCIETY OF INTERNATIONAL LAW, NEW DELHI NOTIFIED AS AN APPROVED ORGANISATION U/S 35(1)(III) Section 35(1)(iii) of the Income-tax Act, 1961 Scientific research expenditure Approved social science or statistical research associations/insitutions It is hereby notified for general information that the organization Indian Society of International Law, New Delhi has been approved… Read More

CENVAT Credit Rules 2004 : Clarification issued by Finmin

New Delhi, 29th April 2011,Government of India- Ministry of Finance (Department of Revenue) Sub: Clarification on issues relating to CENVAT Credit Rules 2004 Regarding. The CENVAT Credit Rules 2004 were amended along with the Budget 2011 announcements vide Notification 3/2011-CE (NT) dt 1.3.2011. A few changes were further effected vide Notification 13/2011-CE (NT) dt 31.3.2011. On few issues the trade has requested… Read More

Exemption under section 10B of Income tax denied to undertaking on lease

Synergies Casting Ltd. v. DCIT (ITA No. 864 & 1364/Hyd/2010) The Hyderabad Tribunal has held in the above ruling that Exemption under Section 1 0B of the Act is not available to undertaking taken over on lease but the manufacturing activity has to be carried on by the taxpayer itself by using its own plant… Read More

SC rules on Benefit of Sales Tax Deferral Scheme

CLR Note :Benefit of Sales tax deferral scheme is available from the date of (base sales volume) BSV or (base production volume) BPV whichever is earlier State of Tamil Nadu & another Appellant(s) versus India Cements Ltd. & another Respondent(s) Date of Decision: 4/21/2011 Authority: Supreme Court Tamil Nadu General Sales Tax Act, 1959 ” sales tax… Read More

Power of Revenue to reopen cases in case of change of opinion is expressed

AREVA T&D, SA Vs THE ASST. DIRECTOR OF INCOME TAX & ORS. Date of Decision: 25 April, 2011 CLR Note: Where no return has been filed by the assessee for the assessment year in dispute, Income Tax department can reopen the assessment proceedings, said The Delhi high court. Sections 195 together with section 197 of the Income Tax Act, says that if… Read More

Custom raised Tariff value for crude oil, RBD Palm Oil and RBD Palmolein

CLR Note: Tariff value went up for Crude oil From 337 to 447 RBD Palm Oil From 351 to 476 RBD Palmolein From 372 to 484 Notification No. 33/2011 - Customs (N. T.) New Delhi, 29th April, 2011 S. O¦ (E) In exercise of… Read More

Only Operating Profit of Comparables to be considered for Transfer Pricing – ITAT

DHL Express (India) Pvt Ltd vs. ACIT (ITAT Mumbai) Brief Facts :- The assessee company is engaged in the business of couriers mainly International couriers and is belongs to DHL group. The assessee company had entered into an agreement with DHL for access the DHL network for transportation and delivery of consignment. For this purpose, the assessee company… Read More

High Value Transactions might be added in AIR list

The Finance Ministry is planning to add high-value transactions in Annual Information Returns (AIRs) of revenue department for driving out tax evasion. This is in addition to lowering the existing limits in case of some transactions. In AIRs, intermediaries, such as banks, are supposed to report high-value transactions to the tax department so that… Read More

CBDT notifies revised procedure for refund of excess amount of TDS deducted/paid

CIRCULAR NO. 2/2011 [F.NO. 385/25/2010-IT(B)] The procedure for regulating refund of amount paid by the deductor in excess of the tax deducted at source (TDS) and/or deductible is governed by Board circular No. 285, dated 21-10-1980. 2. Subsequent to issue of circular No. 285, new sections have been inserted under Chapter XVII-B of the Income-tax… Read More