The Bangalore ITAT recently dismissed an appeal by Nitesh Estates Ltd., a real estate company, that was subject to Section 201 proceedings for non-deduction of tax at source under Section 195 on the sale of an apartment to non-resident (NRI) Mr. Mahesh Bhupathi. The ITAT found that once the conditions laid down in Section 195 …
The Income Tax Appellate Tribunal (ITAT) in Bangalore has allowed an appeal filed by an NRI-assessee and deleted the penalty imposed under Section 271D of the Income Tax Act, 1961. The ITAT held that the NRI-assessee had a reasonable cause for accepting part of the sale consideration in cash, despite the violation of Section 269SS. …
During the year, an assessee paid Rs. 67,68,768/- to an Irish company for advertisement services without deducting tax at source. The Assessing Officer disallowed the payment under section 40(a)(i) for non-deduction of tax at source. However, the Commissioner (Appeals) observed that the Irish company had certified that it did not have a Permanent Establishment (PE) …
As a Non-Resident Indian (NRI), filing income tax returns in India can be a complex and daunting task. It is important to avoid common mistakes that can lead to unnecessary penalties and legal issues. Here are some of the top mistakes that Non-Resident Indian (NRI) should avoid while filing their income tax returns. We welcome …
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Acquiring property in India can be a complex process, particularly for those who reside outside the country. Indian citizens living abroad, known as Non-Resident Indians (NRI), are subject to specific regulations when it comes to purchasing or investing in Indian properties. The Foreign Exchange Management Act (FEMA) of 1999 and the notifications issued under it …
The case involves an assessee engaged in the business of readymade garments who declared business income of Rs. 3,05,400 and interest income of Rs. 1,57,086. The assessee also deposited cash Rs. 15,68,000 in the bank, which was not fully explained during the assessment proceedings. The Assessing Officer made an addition of Rs. 3,00,000 to the …
The Assessee claimed that the gifts considered for tax purposes were exempted as they were received from Non-Resident Indians (NRI), and the addition of Rs. 46,44,150/- by the respondent was illegal and unjustifiable. The Assessment Officer held that the NRI gifts were not genuine, and the Income Tax Appellate Tribunal upheld the assessment, confirming the …
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The case revolves around the issuance of a new permanent account number (PAN) card to an assessee by mistake, and the subsequent cancellation of the new card upon the assessee’s request. The issue arises when the assessee is served with a show-cause notice alleging that he made transactions using the cancelled PAN without disclosing them …
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The Mumbai ITAT has allowed an individual Assessee’s appeal and held that a mere mention of the residential status as a resident in the original return of income cannot be the sole ground for treating the Assessee as a resident. The Assessee had declared his residential status as non-resident in the income tax return for …
Shoppers Stop, a well-known retail chain, has won a legal battle against the Revenue authorities. The Mumbai Income Tax Appellate Tribunal (ITAT) has upheld the decision of the Commissioner of Income Tax (Appeals) (CIT(A)) in a case involving the applicability of Section 194C of the Income Tax Act. The ITAT held that the payments made …
