Introduction: Whether interest is payable or not on the amount of tax credit that was wrongly availed but reversed without utilising the same is always a bone of contention between taxpayer and Revenue under Indirect Tax laws. Under the erstwhile CENVAT Credit Rules, 2004, Rule 14 as prevailing prior to
Residence in India – A New Colour by Finance Act, 2020
As all of you are aware, under the taxation statues, mainly direct taxation, ‘residence’ of a person plays an important and significant role. Many of the direct taxation laws across the globe, stipulate that a person resident in their jurisdiction has to offer all the global income to tax. Being
LLP Settelment Scheme and Companies Fresh Start Scheme
Vide General Circular No.6 of 2020, Dt: 04.03.2020, the Ministry of Corporate Affairs, had introduced the LLP Settlement Scheme, to be effective from 16.03.2020, wherein, it was provided for Limited Liability Partnerships (LLP) to file the pending returns to be filed by the LLPs, without any additional fees. Amidst the
Corporate Social Responsbility – COVID Times
In this Article, an attempt is made to list out the concept of Corporate Social Responsibility, under the Companies Act, 2013, and the recent clarifications/directions from the Ministry, with specific reference to COVID-19. The concept of Corporate Social Responsibility (CSR) was introduced by the Companies Act, 2013 (Act) with effect
Story of Young Indian – Cancellation of Section 12AA Registration
The Honourable Delhi ITAT[1] in the matter of Young Indian v CIT (Exemption)[2] has confirmed the rejection of registration under Section 12AA of Income Tax Act, 1961 (Act) with retrospective effect is valid in law. In this article, we discuss the story of Young Indian (YI), the acquisition of Associated
GST Implications on Developemnt of Plots – Dec 2020
Introduction: Development agreements are popular not only with respect to the construction of residential or commercial complexes but also with respect to laying and development of plots. The real estate companies enter into agreements with landowners for the purpose of laying of plots and undertaking various development works viz. compound
Anti Profiteering vis -a-vis Real Estate Sector – Practical Insights
Section 171 of the CT Act[1] provides for anti-profiteering measures owing to the introduction of GST laws in India. The said section was a last-minute inclusion as it was missing in the model GST laws that were released for stakeholders’ consultation. Moreover, section 171 is not exhaustive and is only
Interpretation of Article 3(2) – Significance of phrase ‘Term’
The recent judgment of ITAT[1] Mumbai in the matter of Reliance Jio Infocomm Limited[2] (for brevity ‘Jio India’) is one of a classic judgment in dealing with the interpretation of phrases/expression that are used in DTAA[3] but which are not defined therein. In this article, we try to summarise the
Concept of Mutuality – A Real Concern
The recent decision of three-member bench of Honourable Supreme Court in the matter of Calcutta Club Limited[1] with respect to the concept of mutuality in tax laws has ignited more concerns rather settling the dust. The said decision has great impact on the current goods and service tax regime, (GST)
Tax Rate Changes for Domestic Companies
Income Tax Act, 1961, as amended from time to time, has provided for tax rates applicable to the companies. From viewpoint of tax rate, the companies be classified into ‘domestic company[1]’ and ‘foreign company[2]’. In this article we analyse the rate of income tax payable by ‘domestic company’ in light