ANALYSIS OF UNION FINANCE BILL 2018

Overall Rating of Union Budget 2018:   Union Budget is rated as 7.5 out of 10 after considering the developments and acceleration in the macro factors, challenges before the Finance Minister and current situation of the Indian Economy.   Positive Features: Focus on strengthening rural and agricultural economy. The government will assign every enterprise in […]

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No denial of sec. 54 relief just because JDA was entered into to build commercial complex on newly acquired house

Facts: a) Assessee had invested the sale consideration of a residential property and claimed deduction under section 54. b) Assessing Officer (AO) had disallowed the said deduction on the ground that the intention to purchase new residential house wasn’t for residential purpose relying on subsequent events in the year 2013-14, i.e., development agreement was entered […]

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Dubai Villa gifted to Shah Rukh Khan not taxable as his professional receipt: Mumbai ITAT

Facts : a) Shahrukh Khan (SRK) received Signature Villa as gift from a Dubai based public joint stock company. Assessing Officer (AO) was of opinion that said villa was assessable as ‘professional receipt’ being covered under Section 28(iv). b) SRK had denied rendering any professional services and attributed the receipt of villa to simply a […]

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Lease agreement with own family shouldn’t be considered when it is made for tax evasion: Apex Court

Facts a) The assessee had leased out his property to his own family members, who, in, turn had sub-leased it to outsiders on higher rentals. b) Assessment in case of assessee was completed by treating the rent received by the family members as rental income of the assessee. c) On appeal, the CIT(Appeals) upheld order […]

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CAG report highlights unjustifiable trust exemption by Hospitals of Rs 2,500 cr.

The Comptroller and Auditor General of India (CAG) has released its report containing significant results of the performance audit of assessment of Private Hospitals, Nursing Homes/Medical Clinics, Medical Colleges/Research Institutes, Diagnostic Centres, Pathological labs and other Medical supplies agencies/stores. The audit has been conducted in conformity with the Auditing Standards issued by the Comptroller and […]

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Zero tax certification for foreign remittances under I-T lens

The international arm of the income tax (I-T) department is examining the tax deduction at source (TDS) certification issued by chartered accountants (CAs) in case of remitting money abroad. According to a senior tax official, the I-T department suspects that entities have colluded with CAs to obtain “zero” TDS certificates and hence, remitted taxable income […]

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Direct tax collection rises fastest since 2013-14

The Income Tax Department’s time series data of direct taxes for 2016-17 estimates the government has collected Rs.8,49,818 crore as income tax on individuals and businesses, recording a 14.5 per cent growth, the highest rise since 2013-14.Personal income taxes rose 21.4 per cent, but taxes on corporate incomes grew more slowly at 7 per cent.The […]

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NRI’s not claiming refund aren’t required to furnish details of foreign bank a/c in ITR: CBDT

NRI’s not claiming refund aren’t required to furnish details of foreign bank a/c in ITR: CBDT Press Release dated 24-07-2017 Central Board of Direct Taxes (CBDT) had recently updated its income-tax return filing utilities on the e-Filing website which sought additional details of bank account held by a non-resident outside India. Against this, many non-residents had expressed […]

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