No Escape from service tax liability by sub-contracting of work

Service tax Payable on Value of study materials supplied free & mock tests conducted? Posted: 13 Sep 2012 07:25 PM PDT The applicant were discharging their Service Tax liability in respect of tuition fee being charged by them from their students. Their premises were visited by the officers on 7.1.2010 and scrutiny of various records maintained by the appellants revealed that no Service Tax was being paid by them on... [[ This is a content summary only. Visit my website for full links, other content, and more! ]] Derivative by itself cannot be termed as an investment or stock in trade Posted: 13 Sep 2012 07:16 PM PDT The entire transactions of purchase/sale of securities/shares through derivatives and later on dealing with those shares/securities will determine whether an investment is made or stock-in-trade is procured. [[ This is a content summary only. Visit my website for full links, other content, and more! ]] HC criticises Income Tax Department for playing dirty games with Assessee Posted: 13 Sep 2012 06:43 PM PDT Department cannot take advantage of its own inaction and lapses by taking a stand that the financial year is over. Such action of the opposite parties as rightly apprehended by the petitioner would lead to unnecessary complication and unavoidable and inappropriate proceedings. Had the certificate... [[ This is a content summary only. Visit my website for full links, other content, and more! ]] Contingent deposits received from customers is income – SC Posted: 13 Sep 2012 06:32 PM PDT It is now well settled that in determining whether a receipt is liable to be taxed, the taxing authorities cannot ignore the legal character of the transaction which is the source of the receipt. The taxing authorities are bound to determine the true legal character of the transaction. [[ This is a content summary only. Visit my website for full links, other content, and more! ]] Sec. 142(2A) not meant for delegation of AO's powers & functions to special auditor Posted: 13 Sep 2012 12:27 PM PDT We have referred to the aforesaid note in detail for two reasons. Firstly, the note reveals that the Assessing Officer felt that the case required detailed scrutiny or monitoring, verification of entries, which were substantial in number. Detailed scrutiny of large number of entries by itself, on... [[ This is a content summary only. Visit my website for full links, other content, and more! ]] Service tax demand can be made only for the category in which SCN been issued Posted: 13 Sep 2012 12:03 PM PDT Confirmation of demand under a category different than one proposed in the Show Cause Notice cannot be upheld. The Tribunal had, for the above proposition, relied up the earlier decision of the Tribunal in the case of Mahakoshal Beverages (P.) Ltd. v. CCE [2009] 18 STT 383 (Bang. - CESTAT). [[ This is a content summary only. Visit my website for full links, other content, and more! ]] No court can compel a statutory authority to act beyond statutory mandate Posted: 13 Sep 2012 11:59 AM PDT It is an admitted fact on record that the appellant received the Order-in-Original on 30th December, 2009 and filed appeal before learned Commissioner (Appeals) on 2.1.2012. So also admittedly, there was a delay of more than two years in seeking appeal remedy before the learned first appellate... [[ This is a content summary only. Visit my website for full links, other content, and more! ]] MCA to introduce refund process for unlinked incorrect NEFT payments Posted: 13 Sep 2012 11:58 AM PDT MCA is pleased to announce that a refund process will be introduced by 16th September, 2012 for the unlinked incorrect NEFT payments. Revised refund e-Form along with instruction kit will be available on the MCA21 portal. Users are requested to avail this facility. [[ This is a content summary only. Visit my website for full links, other content, and more! ]] Rule 46A(3) – ITAT restores matter to AO for consideration of additional evidence filed before CIT(A) Posted: 13 Sep 2012 11:57 AM PDT Ld. DR submitted that the case should be restored to the file of the Assessing Officer for compliance of Rule 46A(3) of the Rules and the AR contended that if we reach to the conclusion that the matter needs to be considered by the authorities [[ This is a content summary only. Visit my website for full links, other content, and more! ]] CBI arrests Superintendent of Customs in bribery case Posted: 13 Sep 2012 11:55 AM PDT CBI registered a case against a Superintendent of Customs, Postal Appraising Section, Videsh Dak Bhavan, Ballard Estate, Mumbai U/s 7 of the Prevention of Corruption Act, 1988 for demanding a bribe of Rs.3000/- from the complainant for allegedly reducing the invoice value of product i.e Tablet PC... [[ This is a content summary only. Visit my website for full links, other content, and more! ]] Bad Debt is allowable irrespective of provision for bad and doubtful debts created by Bank -SC Posted: 13 Sep 2012 11:53 AM PDT Deduction under section 36(1)(vii) is allowable independently and irrespective of provisions for bad and doubtful debts created by the assessee in relation to the advances of the rural branches, subject to the limitation that an amount should not be deducted twice under section 36(1)(vii) and... [[ This is a content summary only. Visit my website for full links, other content, and more! ]] No Escape from service tax liability by sub-contracting of work Posted: 13 Sep 2012 11:45 AM PDT We do not see any merit in the argument of the appellants that they were only an intermediary and not doing the work themselves and hence their activities did not amount to any service. Any service provided in relation to installation of electrical and electronic devices, including wirings or... [[ This is a content summary only. Visit my website for full links, other content, and more! ]] Retrospective amendment cannot override treaty; Sale of copyrighted article not taxable as royalty Posted: 13 Sep 2012 11:45 AM PDT Question of copyrighted article or actual copyright docs not arise in the context of software both in the DTAA and in the Income Tax Act since the right to use simpliciter of a software program itself is a part of the copyright in the software irrespective of whether or not a further right to make... [[ This is a content summary only. Visit my website for full links, other content, and more! ]] Interest on borrowed fund for extension of existing business is allowable as deduction -SC Posted: 13 Sep 2012 11:37 AM PDT A loan taken or capital borrowed is, by itself, not a capital asset, nor does it give an advantage of an enduring nature; as long as a loan is taken or capital is borrowed for the purpose of business, the assessee is entitled to claim interest paid thereon as deduction under section 36(1)(iii); [[ This is a content summary only. Visit my website for full links, other content, and more! ]] Diesel Price hiked by Rs 5 per litre; Subsidised LPG Cylinders restricted to 6 in a year Posted: 13 Sep 2012 08:07 AM PDT Diesel Price Increased by Rs 5 per litre; Subsidised Domestic LPG Cylinders restricted to 6 in a year. No increase in PDS Kerosene and Petrol Prices [[ This is a content summary only. Visit my website for full links, other content, and more! ]] Co-Operative Bank can claim deduction u/s. 80P on underwriting commission / interest income on PSEB / IDBI Bonds Posted: 13 Sep 2012 04:19 AM PDT High Court was justified in affirming the decision of the Tribunal that the income earned by the Assessee which was derived from underwriting the issue of bonds and investments in PSEB Bonds was in the nature of income from banking business and hence qualified for deduction under section... [[ This is a content summary only. Visit my website for full links, other content, and more! ]] Steps to re-energise Mutual Fund Industry Posted: 12 Sep 2012 08:15 PM PDT In order to increase penetration of mutual fund products and to energise the distribution network while protecting the interest of investors, SEBI held a series of meetings with various stakeholders in the mutual fund industry. Mutual Fund Advisory Committee (MFAC) also deliberated and offered its... [[ This is a content summary only. Visit my website for full links, other content, and more! ]] Application Supported by Blocked Amount (ASBA) facility in public/rights issue Posted: 12 Sep 2012 08:01 PM PDT Self Certified Syndicate Banks (SCSBs) are hereby advised to ensure that for applications made by any investor using ASBA facility, the SCSBs shall block the application amount only against/in a funded deposit account and ensure that clear demarcated funds are available for ASBA applications.