I.  Today's Topline News : 

1. Indirect tax rises 16.8%, CBEC optimistic of meeting target  (Click for detail)

2. Govt. : Rs 68,994 cr paid as Income Tax refunds till Nov this year  (Click for detail)

3. Quick Highlights of E-Filing in F.Y. 2011-12 (Upto 30/11/2011)  (Click for detail)
   (Source: incometaxindiaefiling.gov.in)

4. HC Rules Transfer Pricing Officers Can't Take Up Cases on Own (Click for detail)

5. Indian among top 3 countries fighting tax evasion  (Click for detail)

II.  Recent Updates:

1.   COMMISSIONER OF INCOME TAX Vs. ARVIND KUMAR JAIN, ITA No. 589 OF 2011, DATE : 30.09.2011,  HIGH COURT OF DELHI

S. 2(22)(e) provides that any “loan or advance” by a closely held company to a substantial shareholder shall be assessed as “deemed dividend“. The purpose is to tax accumulated profits distributed in the form of loans. Bearing this purpose in mind, the word “advance” has to be read in conjunction with the word “loan”. The attributes of a loan are that it involves a positive act of lending coupled with acceptance by the other side of the money as loan: it generally carries interest and there is an obligation of re-payment. The term “advance” may or may not include lending. The word “advance” if not found in conjunction with the word “loan” may or may not include the obligation of repayment. If it does then it would be a loan. Applying the doctrine of noscitur a sociis, the word “advance” means such advance which carries with it an obligation of repayment. Trade advance which are in the nature of money transacted to give effect to a commercial transactions do not fall within the ambit of s. 2(22)(e).

(Please click here for judgment)

  

2. THE DY. COMMISSIONER OF INCOME TAX Vs. M/S. EVERSMILE CONSTRUCTION CO. PVT. LTD., ITA No. 4238/MUM/2010, Date : 30.08.2011, ITAT – MUMBAI

153A requires the AO to make the assessment afresh and compute the “total income” in respect of each of the relevant six assessment years. There is no inhibition on the jurisdiction of the AO on the including of new income and likewise there is no restriction on the assessee to claim any deduction which was not allowed in the original assessment. The determination of total income u/s 153A has to be done afresh without any reference to what was done in the original assessment. The fact that there was an addition in the original assessment does not preclude the assessee from contesting it in the s. 153A proceedings. As it is a fresh exercise of framing assessment of “total income”, the assessee is not estopped from arguing about the merits of his case qua the additions made in the original assessment. Debarring the assessee from making a claim about the deductibility of any item, which was earlier disallowed, counters the very concept of fresh assessment of total income.

(Please click here for judgment)

 

III.  Today's Bottomline News : 

1. Co. Act Notification - The Cost Accounting Records (Telecommunication Industry) Rules, 2011  (Click for detail)

2. Co. Act Notification - The Cost Accounting Records (Sugar Industry) Rules, 2011  (Click for detail)

3. Co. Act Notification - The Cost Accounting Records (Pharmaceutical Industry) Rules, 2011  (Click for detail)

4. Co. Act Notification - The Cost Accounting Records (Petroleum Industry) Rules, 2011  (Click for detail)

5. Co. Act Notification - The Cost Accounting Records (Fertilizer Industry) Rules, 2011  (Click for detail)

6. Co. Act Notification - The Cost Accounting Records (Electricity Industry) Rules, 2011  (Click for detail)
    

IV.  Today's Tenders Info. :

1. BIHAR INDUSTRIAL AREA DEVLOPMENT AUTHORITY
   PATNA - BIHAR
   (Click for detail)
   
    

Key of Success :

"Every problem has (n+1) solutions,
where n is the number of solutions
that you have tried and
1 is that you have not tried.
That's life"

  

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"Voice of CA"  

  
CA. Sanjay Kumar Agarwal
Founder - Voice of CA 
Mob : 9811080342, agarwal.s.ca@gmail.com      
   
CA. Sidharth Jain, Co-Moderator
sidhjasso@yahoo.com 
  
CA. Mukesh K Bansal, Co-Moderator-FEMA 
mukbansal80@gmail.com