A timing mismatch between income recognition and TDS deduction has long created practical hardship for taxpayers. In many cases, an assessee offers income to tax in one assessment year, but the deductor deducts and deposits TDS in a subsequent year. As a result, credit appears in Form 26AS/AIS for a different year, while the income…
Cryptocurrency taxation in India is now governed through the framework of Virtual Digital Assets. The term is wide enough to cover crypto tokens, NFTs and similar digital assets that are transferable, storable or tradeable electronically. Indian currency and foreign currency are excluded from this definition. The core tax rule is simple but strict: income from…
Supreme Court on Reopening u/s 147/148: Sanand Properties Ruling and the Dilution of “Change of Opinion” Defence Landmark Ruling: Sanand Properties P. Ltd. vs JCIT — 2026 INSC 472 The Hon’ble Supreme Court in Sanand Properties P. Ltd. vs Joint Commissioner of Income Tax, Range 6 & Ors., Civil Appeal No. 9107 of 2012 with…
Auditor Withdrawal and Bona Fide Belief: Kerala High Court Condonates 676-Day Delay in ITAT Appeal Background of the Case – Mallelil Industries Pvt. Ltd. v. Principal CIT, Kottayam, ITA No. 51 of 2026, Delay condonation in tax appeals often involves a difficult balance. On one side is the law of limitation. On the other side…
ITAT Delhi deletes bogus purchase additions in Ahluwalia Contracts case, holding that third-party statements cannot override genuine purchase records without cross-examination.
RBI FLA Mutual Fund Survey 2025-26: Due Date, Filing Process and Compliance Checklist
The Kerala High Court has provided significant clarification on the distinction between non-service of notice and lack of knowledge of service of notice, emphasizing the implications for the principles of natural justice. Justice Bechu Kurian Thomas delivered this observation in the case titled M/s Ramanattu Motor Corp. v. State of Kerala (WP(C) No. 23872 of 2024), which involved a dispute…
The Delhi High Court has recently raised alarm over the mounting backlog of appeals at the National Faceless Appeal Centre (NFAC), a body established to streamline tax assessments. With a staggering 540,000 appeals awaiting resolution, the court has urged immediate action to tackle the growing delays. Judicial Concern A division bench, led by Chief Justice…
The 53rd GST Council Meeting introduced significant measures to simplify tax processes, reduce litigation, and provide targeted tax reliefs. Here are the key takeaways: Waiver of Interest and Penalties: Extended Deadline for Input Tax Credit: Monetary Limits for Appeals: Reduced Pre-Deposit for Appeals: Appeal Filing Period Adjustment: Interest Relief on Delayed Returns: Anti-Profiteering Sunset Clause:…
The New Income Tax Regime, introduced in the 2020 budget by Finance Minister Nirmala Sitharaman under Section 115BAC of the Income Tax Act, offers an alternative to the traditional tax system. Designed to simplify tax calculations and provide benefits to taxpayers, this regime features altered tax slabs and reduced rates, but eliminates various exemptions and…
The Income Tax Department has recently unveiled detailed criteria for the mandatory scrutiny of Income Tax Returns (ITRs). These guidelines, released by the Central Board of Direct Taxes (CBDT) on May 3, 2024, specify how ITRs will be selected for close examination for the financial year 2024-25. These annual circulars have been a consistent effort…
Starting a business in India has become more flexible and secure with the introduction of Limited Liability Partnerships (LLPs). This business structure, governed by the Ministry of Corporate Affairs and the Limited Liability Partnership Act, 2008, offers a unique blend of advantages from both partnerships and private limited companies. In this article, we’ll explore what…
In recent months, significant strides have been made in the administration and enforcement of the Goods and Services Tax (GST) in India. These changes encompass new directives from the Central Board of Indirect Taxes and Customs (CBIC), critical judicial rulings, and the operationalization of the GST Appellate Tribunal. Despite GST being a relatively young system,…
Freelancers, the dynamic pioneers of self-employment, revel in their autonomy to choose projects and forge unique business ventures. However, amidst this entrepreneurial freedom lies the responsibility of navigating tax obligations effectively. Income earned through freelancing, a manifestation of one’s creative or professional prowess, falls under the ambit of ‘profit and gains from business and profession‘…
The process of filing income tax returns has begun, but many salaried taxpayers are unable to file their returns due to not receiving Form 16. This form provides information about your income and the amount of tax deducted. Therefore, it becomes crucial for filing Income Tax Returns (ITR). Similarly, Form 16A and 27D are also…
The Income-tax Appellate Tribunal recently ruled that the difference between the proceeds received upon redemption of unlisted non-convertible debentures (NCDs) and their purchase cost should be classified as ‘interest income‘ and subjected to taxation under the category of ‘income from other sources‘ for the investor. Consequently, the ITAT (Mumbai bench) also disallowed tax benefits available…
Starting from the year 2024-25, there’s a new rule for companies. They must pay any pending bills to small businesses within 45 days. If they don’t, they’ll have to pay more tax for the years 2023-24. This is because they can only claim deductions for payments they make in that year. Companies need to follow…
The Indian Government has implemented several measures to provide relief to Cooperative Societies under the Income Tax Act. Here are some key steps: In summary, these measures aim to strengthen dairy cooperative societies, enhance financial inclusivity, and support farmers in their agricultural endeavors.
The Income Tax Act, 1961 in India had various provisions related to cash transactions to curb black money and promote transparency in financial transactions. Please note that tax laws and limits can change over time, here were some important cash transaction limits and provisions under the Income Tax Act:
The Central Board of Direct Taxes (CBDT) has resolved more than 46,000 public grievances and 7,000 grievance appeals between December 2022 and July 2023 under its Special Campaign 2.0 for Swachhata and disposal of pending matters. The campaign was launched on December 1, 2022, with the aim of cleaning up the tax administration and disposing…
The Central Board of Direct Taxes (CBDT) has released the fifth annual APA report on September 1, 2023. The report highlights the achievements of the APA programme in the financial year 2022-23. One of CBDT’s key efforts for advancing an investor-friendly and non-adversarial tax system in India is the Advance Pricing Agreement (APA) program. Since…
The Ministry of Corporate Affairs (MCA) has issued a circular (MCA General Circular 08/2023 dated August 23, 2023) to condone the delay in filing of certain LLP forms. The following forms are covered under the condonation scheme: The condonation scheme is applicable to LLPs that have not filed the above forms within the due date….
Singh Packwell Private Limited has been penalized by the Ministry of Corporate Affairs (MCA), Government of India, for maintaining and representing their registered office address incorrectly. The infractions’ specifics and their repercussions for the business are described below. Adjudicating Officer’s Appointment The MCA empowered the Registrar of Companies, Delhi, to decide on penalties under the…
The Ministry of Corporate Affairs (MCA) recently took a stringent step against a non-compliance issue that many companies often overlook. the Ministry of Corporate Affairs (MCA) has penalized Shri Lal Mahal Infrastructure Private Limited for missing its Corporate Identification Number (CIN) on its Board Report and AGM Notice for the financial years 2014-15 and 2015-16….