PAN and TAN may now also be obtained online through Aadhaar e-Signature based application process of Digital Signatures on the portal of NSDL. PAN/TAN shall be allotted with in one day from completion of valid online application. This is available for Individual applicants. Seeding of Adhar in PAN is aimed at curbing the problem of duplicate PANs [Press Release dated 22-07-2016]
There is no presumption that witnesses appearing for an assessee come forward to give false evidence to oblige the assessee
Allahabad High Court in the case of Sheo Narain Duli Chand vs. CIT reported in 72 ITR 766
I-T department attaches actor Sharukh Khan’s farm house in Alibaug terming it as benami property
The Income-Tax department has provisionally attached actor Shah Rukh Khan’s farmhouse in Alibaug, Maharashtra terming it as a benami property. In the instant case, Mr. Khan had extended unsecured loan of Rs. 8.5 crores to Déjà vu farms. The unsecured loan was used by Déjà vu Farms for purchasing land. Later on the land was transferred to Deja Vu Farms Pvt Ltd which was controlled by the relatives of Mr. Khan. Continue reading “I-T department attaches actor Sharukh Khan’s farm house in Alibaug terming it as benami property”
Request to furnish ITR without adhaar number turned down by Madras High Court in Thiagarajan Kumararaja
High Court held in Thiagarajan Kumararaja [2017] 87 taxmann.com 125 (Madras) 06-11-2017 that :
Supreme Court Binoy Viswam 396 ITR 66 stays quoting of Adhaar number in respect of transactions mentioned in R. 114B on touchstone of sufferance in day to day dealings till the Constitution Bench authoritatively determines the argument of Article 21 of the Constitution.
Supreme Upholding the validity of section 139AA has held in Binoy Viswam held that the purpose behind the Act namely the Income Tax Act, 1961 is entirely different and the purpose being to curb black money, money laundering and tax evasion, etc. It has been further held that for achieving such objects, if the Parliament chooses to make the provision mandatory under the Act, the competence of the Parliament cannot be questioned on the ground that it is impermissible only because under the Aadhaar Act, the provision is directory in nature. The Hon’ble Supreme Court also held that it is the prerogative of the Parliament to make a particular provision directory in one Statute and mandatory/compulsory in the other and that by itself cannot be a ground to question the competence of the Legislature. Continue reading “Supreme Court Binoy Viswam 396 ITR 66 stays quoting of Adhaar number in respect of transactions mentioned in R. 114B on touchstone of sufferance in day to day dealings till the Constitution Bench authoritatively determines the argument of Article 21 of the Constitution.”
Audit Report for 80IC filed in time but return filed late: 80-IC allowed by ITAT
ITAT Relied upon following decisions:
- Jagriti Aggarwal (P&H): Due date for furnishing the return of income as per Section 139(1) of the Act is subject to the extended period provided under sub-section (4) of Section 139 of the Act
Continue reading “Audit Report for 80IC filed in time but return filed late: 80-IC allowed by ITAT”
Delay of 21 days on wrong advice of CA condoned by ITAT
Appeal was handed over to the Chartered Accountant Shri Sumit Aggarwal. The said counsel advised that four months time was available for filing the appeal before the ITAT and since he was not appearing before the ITAT, he would engage some other professional for filing of the appeal. The said Chartered Accountant on his visit to a professional in Ambala for filing of the appeal, it was submitted, then learnt that the time limit for filing the appeal before the ITAT was infact 60 days from the date of the order and not 120 days as understood by him. Acting on the said information, the assessee was accordingly advised who promptly filed the appeal. The said appeal, it was submitted, was late by 21 days solely on account of the ignorance of the counsel. Relying upon; (a) Improvement Trust Ludhiana v. Ujagar Singh Civil Appeal No. 2395 of 2008 of June 9, 2010, (b) Jayvantsinh N Vaghela v. ITO [2013] 40 taxmann.com 491 (Gujarat) and (c) Paras Rice Mills Kurukshetra v. CIT ITA No. 657 of 2009 (Punj. & Har.), prayer for condoning the delay was made.
Symbiosis Pharmaceuticals (P.) Ltd. [2017] 87 taxmann.com 32 (Chandigarh – Trib.) 04-10-2017
As per SC in BIMAL KISHORE PALIWAL [13-10-2017] Construction which favors the assessee must be adopted in case of Two possible views decided in Vegetable Products 88 ITR 192 is limited to construction of taxing statute and not other areas where two views are possible[Para 28,29]
Supreme Court in Madhur Housing and Development Co. on 05-10-2017 has held that loan/advance by closely held company to another company in which shareholder of closely held company having more than 10% voting power also had substantial interest in the borrowing company, although is taxable as deemed dividend income but the income is taxable in the hands of shareholder and not the borrowing company
Presumption underlying the deeming provision is that that the loans or advances would ultimately be made available to the shareholders of the company giving the loan or advance. The legal fiction in s. 2(22)(e) enlarges the definition of dividend but does not extend to, or broaden the concept of, a “shareholder”.
ITAT Ahmedabad’s applaudable initiatives for paper less Court mandated with effect from 31-12-2017
1. Copies of ITAT orders to be sent to DRs, CIT A and DRP to be sent through e mail
2. Registery of ITAT not to accept paper-books containing copies of any of the documents, copies of which are statutorily required to be filed anyway along-with the appeal itself, e.g. assessment order, CIT(A)’s order, DRP order, form 35, form 35A, form 36, grounds of appeal etc. The inclusion of these documents in paper-books is a common practice but it results in wholly avoidable wastage of paper, and is, therefore, discouraged.
3. The registry will also not accept any paper book containing copies of judicial precedents reported in recognized journals and databases. The parties, however, may file copies of such reported judicial precedents when bench concerned, at the time of hearing, may specifically permit or require so.
4. Paper to be used on both sides. o the extent possible and practicable to do so. Any document or paper-book, wherein paper is used only on one side and wilfully left unused on the other side, will not ordinarily be accepted by the Registry.
5. Any document specifically prepared for the use of the Tribunal, including any applications and any written submissions, to be filed in our office, shall use the paper on both the sides, will use the font size of no more than 12.5 and will have an internal spacing of no more than 1.5 lines. Any documents or paper books, in violation of these guidelines, will not ordinarily be accepted by the Registry
6. In all the internal functioning of this office, including in the judicial orders, the use of paper will be minimized to the extent possible by, inter alia, ensuring (i) that paper will henceforth be used on both the sides, ordinarily with a maximum font size of 12.5 and internal spacing of no more than 1.5 line.; (ii) that internal guard files for the judicial orders will henceforth be maintained only in digital mode; and that (iii) that use of email is required to be made, through secure official email accounts, as much as possible in all official communications. These requirements, however, do not restrict any officer of the Tribunal from making such exceptions to these general rules, as, in his considered opinion, may be justified or warranted on a case to case basis
7. The hard copies of constitution of benches and the cause lists shall only be used for limited internal communications. However, a soft copy of the constitution of benches and the cause lists, in addition to being placed on the official website https://www.itat.gov.in and, with effect from today, in the twitter handle at https://twitter.com/itat_amd