Tenet Tax Daily June 29 2013
Ignorance of law by Chartered Accountant of the assessee is not a reasonable cause for failure to file the audit report of international transactions
Tax is not required to be deducted from reimbursements of salary costs of the employees of a foreign company deputed to work for the Indian company
Tenet Tax Daily June 27 2013
‘Rule of Consistency’ – If profit on sale of land was taxed as capital gain in a preceding assessment year, same could not be treated to be as business income in the succeding assessment year
Tenet Tax Daily June 28 2013
Once a transaction is genuine and traded at proper valuation, even if it is entered with a motive to avoid tax, it would not become a colorable device
Tenet Tax Daily June 26 2013
Merely assisting a non-resident principal would not cause an agent to be considered as PE
Tenet Tax Daily June 13 2013
Product similarity is must for applying CUP method, not for TNMM.
Tenet Tax Daily June 25 2013
Notice dispatched to assessee under section 143(2) after date fixed for hearing would tantamount to denial of reasonable opportunity of hearing to assessee and, in such case, the order passed by revenue authority was not sustainable as it violated the principles of natural justice
Tenet Tax Daily June 23 2013
Future losses accounted as per the Accounting Standard 7 is allowable as business expenditure
Tenet Tax Daily June 24 2013
Karnataka High Court rules that a foreign company’s sourcing support activities carried by a LO in India do not create a taxable presence in India
Tenet Tax Daily June 14 2013
Inland haulage charges being income from operations of ships, are exempt in India
Tenet Tax Daily June 22 2013
Amount received by a German company from software embedded in equipment supplied by it cannot be considered as ‘royalty’
Tenet Tax Daily June 21 2013
Payment to third party through a related entity cannot be considered as “reimbursement” of expenses
Tenet Tax Daily April 15, 2013
International freight forwarding and logistic services performed by the non resident taxpayer outside India is neither Managerial, nor Technical nor Consultancy in nature and hence not taxable as Fees for Technical Services under the Income-tax Act
Tenet Tax Daily May 15, 2013
ITAT confirms TP adjustments for AMP expenditure – denies de-classification of an expenditure belonging to AMP category
Tenet Tax Daily June 20 2013
Varian India (P.) Ltd. v. Assistant Director of Income-tax (International Taxation), Range-2(1)
In order to treat any agent as PE within meaning of Paras 4 and 5 of article 5 of relevant DTAA it is very vital that such agent should fit into description of ‘Dependent Agent’ and has to perform either of activities as mentioned in articles 5(4) and 5(5)
Trade tax paid in Germany
Background Recently, the Bombay High Court (High Court) in the case of Chiron Bearing Gmbh & Co. [1] (the taxpayer) held that the limited partnership is entitled to claim the benefit of India-Germany tax treaty (tax treaty) in respect to lower rate of tax on royalties and Fees for Technical […]
Interest paid on amount borrowed
Background Recently, the Ahmedabad Bench of the Income-tax Appellate Tribunal (the Tribunal) in the case of Adani Enterprises Ltd[1]. (the taxpayer) held that the interest payment by a resident to a non-resident in relation to the amounts borrowed for investment in overseas subsidiary neither accrues or arises nor deemed to […]