Case: M/s NIIT Limited v. The DCIT, New Delhi Background Assessee is a public limited company engaged in the business of information technology education and knowledge solutions.The assessee filed returns of income for the year 2009-2010 declaring INR 25.81Cr as income and claimed a deduction of INR 50,09,835 in respect of payment of the principal … Continue reading Can the principal payment which has been made towards the finance lease be considered as revenue expenditure?
Case: Pure Software Pvt Ltd vs ITO, Delhi ITAT Listen to Pure Software Pvt Ltd vs ITO case summary and stay updated any time anywhere. Background: The assessee company was engaged in the business of software development, testing and training and the issue, in this case, was related to a payment made to non-resident entities. The assessee … Continue reading Will the order procurement services rendered outside India be taxable?
Case: Urmila Devi Charitable Trust vs. CIT, Delhi ITAT Background: The registration of Urmila Devi Charitable trust under Section 12AA was cancelled, nullifying the tax exemptions which it had been getting for the past 6 years. CIT alleged that the assessee received a donation of Rs. 85 lakhs in cash, on its basis, the CIT … Continue reading Can registration of Trust be retrospectively Cancelled?
The Delhi bench of ITAT has held in the case of DCIT vs BMR Business Solutions Pvt. Ltd. that the remuneration paid to the Director of a company commensurate with his experience which has no bearing on his shareholding, cannot be considered ‘dividend’ under the Income Tax Act. Revenue’s Arguments: The revenue argued that as … Continue reading Remuneration paid to Director independent of shareholding cannot be considered dividend
The Income Tax Appellate Tribunal’s Delhi bench has held in the case Ralhan Construction Company vs. ACIT that the mere possibility of personal use would have no role to play while granting depreciation on any vehicle under Section 32 of the Income Tax Act, 1961. Revenue’s Actions: In the present case, since the assessee had … Continue reading Possibility of personal use cannot be a reason to disallow depreciation claim
The Delhi bench of the ITAT has held in the case of Ravina Khurana vs. DCIT that imposing the penalty without mentioning the grounds specified in the notice issued under section 274 of the Income Tax Act is not justifiable and that the AO has to specifically mentioned under which limb of the Act the penalty proceedings … Continue reading Penalty notice under section 274 must mention the grounds under which penalty is imposed
ITAT Delhi in the case of ACIT v Petronet LNG Ltd. has ruled that mere rendering of services involving technical knowledge, skill etc. would not be sufficient to classify it as Fees for Technical Services. The ITAT held that such technology would be considered to have been 'made available' when the person acquiring the service … Continue reading Rendering of services involving technical knowledge not sufficient to classify it as Fees for Technical Services
Continuing our analysis on factors that may affect the timeline of a case, we thought of analysing data for different Income Tax Appellate Tribunals and check how they measured against each other. The data used here is for the Mumbai, Delhi, Ahmedabad, Kolkata, and Chennai tribunals, starting from year 2000. The fast and the not so … Continue reading Speed Check of ITAT Forums