Taxation - Corporate Law Reporter

Turnover filter must be applied to exclude giant companies from comparison

CLR Editorial Notes: The assessee-company is engaged in the business of software development services to its customers. The assessee also provides services to the Associated Enterprise AE namely Patni Telecom, U.S. and Patni Telecom, U.K. The assessee filed return of income for the assessment year 2008-2009 admitting total income of Rs.87,850/- under the normal provisions of the Income Tax Act, 1961… Read More

Implications of Transfer Pricing in Cross-Border Deals

Ratio of the Case: Domestic Leg of a Global Sale of business not covered under TP regime if terms not stated by parent Associated Enterprise CLR Editorial Notes: Eastman Kodak, USA, entered into an agreement with Onex Healthcare Holdings, USA, for the global sale by Eastman of the medical business to Onex for a consideration of… Read More

CBDT Notification on Substitution of Forms Sahaj (ITR-1), ITR-2, ITR-3, Sugam (ITR-4S), ITR-4 and ITR-V

INCOME-TAX (THIRD AMENDMENT) RULES, 2013 AMENDMENT IN RULE 12 & SUBSTITUTION OF FORMS SAHAJ (ITR-1), ITR-2, ITR-3, SUGAM (ITR-4S), ITR-4 AND ITR-V NOTIFICATION NO. 34/2013 [F.NO.142/5/2013-TPL]/SO 1111(E), DATED 1-5-2013 In exercise of the powers conferred by section 295 of the Income-tax Act, 1961 (43 of 1961), the Central Board of Direct Taxes hereby makes the following rules further to amend… Read More

CBEC notification on Foreign Exchange conversion rates

[TO BE PUBLISHED IN THE GAZETTE OF INDIA, PART-II, SECTION 3, SUB-SECTION (ii), EXTRAORDINARY] GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF REVENUE CENTRAL BOARD OF EXCISE AND CUSTOMS NOTIFICATION NO. 52/2013-CUSTOMS (N.T.) DATED THE 2nd May, 2013 12 Vaisakha, 1935(SAKA) In exercise of the powers conferred by section 14 of the Customs Act, 1962 (52 of 1962), and… Read More

CLR Snippets | Ministry Clarification on Service Tax leviability on Takeaway Eating Joints

Prior to 01.04.2013, service tax was leviable on restaurants satisfying two conditions namely (i) the facility of air-conditioning or central heating in any part of the establishment, at any point of time during the year, and (ii) a license to serve alcoholic beverages. With effect from 01.04.2013, condition number (ii) stands deleted. Accordingly service tax… Read More

Online advertising on foreign entity not taxable in India – An Analysis

Introduction The recent decision of ITO v. Right Florists P. L. I.T.A. No. : 1336/ Kol. / 2011, deals with India™s right to tax payment made by an Indian entity (˜ICO™) to a foreign entity for online advertising services provided by the latter. Here, ICO made payments to Google Ireland and Yahoo USA (together… Read More

Reopening of assessment invalid if recorded reasons silent on quantum of escaped tax

CLR Editorial Notes: In the assessment year 2000-2001 the assessee had sold a plot of land after converting the leasehold land into a freehold one. The capital gains thus arrived at, was offered as Long Term Capital Gains and the same was accepted by the Assessing Officer. After the expiry of 4 years, the Assessing… Read More

Clarification on Amendment to Section 206-C of Income Tax Act

Clarification on Amendment to Section 206-C of Income Tax Act dealing with Tax Collection at Source (TCS) on Sale of Bullion or Jewellery in Cash: Currently, sale in cash of bullion (excluding coin or any other article weighing 10 grams or less) in excess of Rs 2 lakh or jewellery in excess of Rs.5 lakh… Read More

CBDT Circular on conditions relevant to identify development centres engaged in contract R&D services with insignificant risk

F No. 500/139/2012 Government of India Ministry of Finance Department of Revenue Central Board of Direct Taxes (Foreign Tax and Tax Research-I Division) New Delhi, the 26th day of March, 2013 Circular No. 03 /2013 Subject: Circular on conditions relevant to identify development centres engaged in contract R&D services with insignificant risk It has been… Read More

CBDT Circular on application of profit split method

F No. 500/139/2012 Government of India Ministry of Finance Department of Revenue Central Board of Direct Taxes (Foreign Tax and Tax Research-I Division) New Delhi, the 26th day of March, 2013 Circular No. 02 /2013 Sub: Circular on application of profit split method It has been brought to the notice of CBDT that clarification is… Read More

Appointment of Common Adjudicating Authority pertaining to M/s. M.P. Lights and others

[To be published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (ii)] Government of India Ministry of Finance (Department of Revenue) Notification No.47/ 2013-Customs (N.T.) New Delhi, dated the 22nd April, 2013 S.O. (E). In exercise of the powers conferred by sub-section (1) of section 4 and sub-section (1) of section 5 of the Customs Act,… Read More

Appointment of Common Adjudicating Authority pertaining to M/s Jai Shiv Sulztex

[To be published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (ii)] Government of India Ministry of Finance (Department of Revenue) Notification No.46 /2013-Customs (N.T.) New Delhi, dated the 22nd April, 2013 S.O. (E). In exercise of the powers conferred by sub-section (1) of section 4 and sub-section (1) of section 5 of the… Read More

Appointment of Common Adjudicating Authority

[To be published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (ii)] Government of India Ministry of Finance (Department of Revenue) Notification No.45 / 2013-Customs (N.T.) New Delhi, dated the 22nd April, 2013 S.O. (E). In exercise of the powers conferred by sub-section (1) of section 4 and sub-section (1) of section 5 of the… Read More