Court : Chennai
Decided on : Jan-20-2009
Reported in : 2009CriLJ3114; (2009)222CTR(Mad)470; 309ITR277(Mad); 179TAXMAN212(Mad)
..... or proper to adjourn or postpone the hearing of the case pending before the criminal court indefinitely or for an unduly long period. since the provisions of the wealth tax act and the income tax act are in pari-materia with each other the aforesaid decision squarely applies to the facts of this case and therefore the above contentions of the learned senior counsel for ..... .58. in the decision reported in : 2004crilj3362 (prakash nath khanna v. c.i.t.) the apex court while considering section 278-e of the income-tax act which is in pari-materia with section 35-o of the act has held as under:there is a statutory presumption prescribed in section 278-e. the court has to presume the existence of culpable mental state ..... above wherein it has been clearly laid down that a mere expectation of success in some proceeding in appeal or reference under the act cannot come in the way of the institution of the criminal proceedings under the income tax act. in p. jayappan's case in paragraph 6 it has been observed that in an appropriate case the criminal court may adjourn or ..... of the amanded provisions contained in section 2(m) of the act. learned senior counsel himself rightly contended that the income tax act as well as the wealth tax act are self-contained codes and there are several authorities constituted under the said acts clothed with jurisdiction to pass assessment orders and determine the income tax/wealth tax liability of the assessees and as such the criminal court cannot decide .....Tag this Judgment!
Court : Chennai
Decided on : Sep-07-2009
Reported in : 320ITR472(Mad)
..... for the department, since the said circular relating to waiver or rejection of interest is in respect of one under section 234(a), 234(b) and 234(c) of the income tax act and cannot be applicable to the case the petitioner.31. as held by this court in p. ramasamy case (referred supra) pursuit of remedies available to the assessee under the ..... from 04.02.2004 to 24.06.2005. it is further stated by the petitioner that the respondent failed to appreciate properly the scope of section 220(2a) of the income tax act, 1961, more particularly clauses (ii) and (iii) and stated that the condition in clause (iii) is squarely applicable to the petitioner and the respondent erred in not granting the waiver ..... of the law and ensure a fair enforcement of its provisions, by issuing circulars in exercise of its statutory powers under section 119 of the income-tax act which are binding on the authorities in the administration of the act. under section 119(2(a), however, the circulars as contemplated therein cannot be adverse to the assessee. thus, the authority which wields the power ..... business premises of the petitioner. consequent upon search and seizure operation a notice under section 158bc of the income tax act (in short, act) was issued on 31.03.1997, requiring the petitioner to prepare a true and correct return of his total income including the undisclosed income in respect of which he is assessable for the block period commencing from 01.04.1986 ending 05 .....Tag this Judgment!
Court : Chennai
Decided on : Sep-11-2009
Reported in : 185TAXMAN145(Mad)
..... allowed.21. that decision has been taken on the substantial issue raised by the petitioner on the basis of construction of relevant provisions of the income-tax act, viz., section 80i-b(10). in such circumstances, there is no question of rectifying any mistake stated to have crept in the original order ..... judgment of the calcutta high court and differing with the stand taken in those judgments, on facts, since under section 254(2) of the income-tax act, no party should suffer on account of any mistake committed by the tribunal. it is also stated that the supreme court has held that the ..... high court judgment, wherein in respect of residential units of less than 1500 sq. ft. size deduction under section 80i-b(10) of the income-tax act was granted, which is binding on the first respondent appellate tribunal and it was not intended that the first respondent should consider that aspect in the ..... ft. area. in respect of flats which are measuring less than 1500 sq. ft., the petitioner claimed deduction under section 80ib(10) of the income-tax act.2(a). the assessing officer, by order dated 26.12.2006, held that the petitioner was not entitled for deduction in respect of those two ..... the petitioner before the first respondent tribunal even prior to passing the order on 13.10.2008 was under section 80i-b(10) of the income-tax act which is as follows:section 80ib. deduction in respect of profits and gains from certain industrial undertakings other than infrastructure development undertakings.(1) to .....Tag this Judgment!
Court : Chennai
Decided on : Jun-30-2009
Reported in : (2010)228CTR(Mad)174
..... 40a(2) in respect of services charges paid by the assessee to m/s. forbes ewart & figgis (p) ltd., cochin could not be disallowed under section 40a(2) of the income tax act for the assessment years 1987-88, 1988-89, 1990-91, 1991-92 and 1992-93?11. the issue involved in all these cases, the issue of liability of service charges ..... . in respect of such auction, the assessing officer found that the payment made as per the agreement was excessive in nature and by applying section 40a(2)(a) of the income tax act, disallowed those payments made to the company for the assessment year 1987-88 to the tune of rs. 9,92,496/-. similar disallowance of rs. 10,50,000/-, rs. 1161 ..... 1992-93 respectively.6. aggrieved against such assessment orders made by the assessing officer, the assessee filed appeals before the commissioner of income tax (appeals). before the cit (appeals), the assessee contested the disallowance made under section 40a(2) of the act. it was contended that mr.o.thomas, though an agent-cum-chief executive of the assessee firm, is also a director of ..... the assessing officer in the year 1991, which is as follows:the firm is constituted under the partnership act and a valid partnership deed exists. it is also seen that all the partners are assessed to income-tax and many of them are in the higher income brackets. two companies are also holding about 40% interest in this partnership firm. the profit earned by .....Tag this Judgment!
Court : Chennai
Decided on : Nov-24-2009
Reported in : 97SCL167(Mad)
..... of the summons. it was stated that the power given to the enforcement directorate under section 37 is the same as that of an income tax officer under the income tax act in terms of section 131. such power is available to deal with the discovery of materials in contravention of foreign exchange violations. it ..... prohibition against the department for having issued the summons by the exercise of the powers vested on them under section 37 read with section 131 of the income tax act. in standard chartered bank and ors. v. directorate of enforcement and ors. reported in : (2006) 4 scc 278 which arose out of the ..... of the issues involved in the suit pending before it. similarly, it seems to us that the officers mentioned in section 131 of the income-tax act have been vested with powers to make the orders as mentioned therein provided they are satisfied that the orders made would be relevant for the ..... but under both the sections it is necessary to apply the mind to determine the question of relevancy of the documents. under section 131 of the income tax act, 1961, the officers mentioned therein have no larger power than a civil court trying a suit, under the code of civil procedure, and the ..... used either under the code of civil procedure or under the code of criminal procedure, but has chosen to apply analogous provisions found in the income tax act. therefore, while interpreting the scope and width of section 37 of fema, one cannot apply the concept of summons as available to a civil .....Tag this Judgment!
Court : Chennai
Decided on : Sep-11-2009
Reported in : (2009)226CTR(Mad)625
..... value is determinable only after hearing the assessee as per the statutory provisions stated supra. there is no indication either in the provisions of section 50c of income-tax act or section 47a of the stamp act or rules made there under about the adoption of the guideline value. hence, the contention that the section 50c is arbitrary and violative of article 14 cannot ..... by which the respondent, having referred the matter to the valuation cell on 17.12.2008 as per section 50c(2) of the income tax act, 1961 (for brevity, 'the act'), completed the assessment by invoking section 50c of the act by taking the value of land as determined for stamp duty purpose as the sale value, as no valuation report was received from the ..... report from the valuation officer is perfectly valid. 4.3. he would distinguish between section 50c and section 55a of the act by referring to the judgment of the bombay high court in rallis india ltd. v. deputy commissioner of income tax and ors. :  284 itr 159 (bom). he would also rely upon the judgments in bombay metropolitan regional development authority, bombay ..... market value, conferring such power to the assessing officer. while construing the said section 55a of the act, the bombay high court in rallis india ltd. v. deputy commissioner of income tax and ors. :  284 itr 159 (bom), observing that section 55a of the act does not prohibit ascertainment of the fair market value after the assessment order is passed by the assessing .....Tag this Judgment!
Court : Chennai
Decided on : Feb-09-2009
Reported in : (2010)228CTR(Mad)546; 318ITR435(Mad)
..... whether it 'represents money lent in the ordinary course of the business of banking or money lending which is carried on by the assessee.' section 36(2)(i) of the income tax act, 1961 reads thus:(2) in making any deduction for a bad debt or part thereof, the following provisions shall apply:(i) no such deduction shall be allowed unless such debt ..... therefore, the provision for bad and doubtful debts is not to be treated as write off of bad debts in part or in full and that the provisions of the income tax act would have to be applied over the rbi norms. the appellant is aggrieved because when the appeal to the tribunal was only made for the restoration of the issue, the ..... charge made as per institute of chartered accountants of india's guidance note is contingent in nature and therefore includible in computing 'book profit' under section 115-ja of the income tax act?in t.c. no. 109 of 2002:(i) whether the provision of rs. 59,35,318 made pursuant to the prudential norms towards non-performing assets (npas) prescribed by the ..... by the directions of reserve bank of india is an allowable deduction under the income tax act?(ii) whether or not chapter iii-b of the rbi act has an overriding effect over other laws inclusive of the income tax act, 1961?(iii) whether order of the income tax appellate tribunal rejecting the appellant's method of accounting income from discounting of bills and holding that the whole of the .....Tag this Judgment!
Court : Chennai
Decided on : Sep-29-2009
Reported in : (2009)226CTR(Mad)313; 185TAXMAN438(Mad)
..... ) it cannot be held that the impugned provision suffers from any arbitrariness or unreasonableness.89. as far as the contention based on section 195(5) of the income tax act, which provides for non-deduction of tax at source by providing a certificate under the provisions of the rules and notifications of the cbdt and that no such safety valve has been provided in ..... of a writ of mandamus to direct the first and the second respondent to forbear from relying upon the provisions of section 40(a)(ia) of the income tax act, 1961 (herein after referred to as 'the act') and to disallow the revenue expenditure of the petitioners incurred on the purchases of the printed stationery and packing materials for non-compliance of section 194c ..... -it(b) dated 29.01.1997 issued by the cbdt, which specifically declares 'no demand visualized under section 201(1) of the income tax act should be enforced after the tax deductor has satisfied the officer-in-charge of tds, that taxes due have been paid by the deductee-assessee. however, this will not alter the liability to charge interest under section 201(1a) of ..... 'ble supreme court therefore held that by virtue of section 44ac read with section 206c when it is brought to tax, though levied with reference to the purchase price and at an earlier point is nevertheless the income liable to be taxed under the income tax act. the plea of the assessee to the contrary was repelled. however, on the plea of discrimination based on article .....Tag this Judgment!
Court : Chennai
Decided on : Nov-17-2009
Reported in : (2010)228CTR(Mad)405; 321ITR12(Mad); 186TAXMAN111(Mad)
..... by the appellate assistant commissioner. on further appeal, the tribunal dismissed the same by order dated july 26, 1984. the assessee filed an application under section 254(2) of the income-tax act, 1961, for rectification of the mistake. it was, inter alia, pointed out in the rectification application that the assessee was assessed as a hindu undivided family an entirely different entity ..... scrap dealings.the revenue not satisfied with the order of the second respondent tribunal, on 10.4.1997 filed a petition under section 256(1) of the income-tax act, 1961 (hereinafter referred to as 'the act') requiring the tribunal to draw up the statement of the case and refer the questions of law for determination by the high court, which are as follows ..... . u.p. shoe industries reported in : (1999) 235 itr 663 the facts are that in an appeal before the income-tax appellate tribunal the assessee had raised a ground regarding the disallowance of development rebate and relief under section 80j of the income-tax act, 1961. the tribunal while deciding the said appeal pertaining to the assessment year 1973-74 decided the said ground has ..... questioned, the division bench of the allahabad high court has held that the order of the tribunal that the issue becomes redundant because of the income-tax officer had already passed an order under section 154 of the act giving relief to the assessee was a mistake apparent from the records.25. in the case of champa lal chopra v. state of rajasthan .....Tag this Judgment!
Court : Chennai
Decided on : Jun-29-2009
Reported in : 185TAXMAN83(Mad)
..... assets under consideration i.e., hospital basically remains a business asset.10. in the result, the appeals are partly allowed.5. a reading of section 56(2)(iii) of the income tax act, 1961 which is extracted hereunderwhere an assessee lets on hire machinery, plant or furniture belonging to him and also buildings, and the letting of the buildings is inseparable from the ..... the said decision of the c.i.t.(appeals), the revenue took the matter before the income-tax appellate tribunal. the contention of the revenue was that the lease income was neither 'business income' nor the income could be used for deducting the previous years losses.(v) the income tax appellate tribunal after elaborately discussing the matter came to the conclusion relying upon the judgment of this ..... other sources' and not as 'business incomethe tribunal following the decision of the madras high court reported in : 266 i.t.r. 685 (commissioner of income tax v. chennai properties and investments ltd.,) which followed the decision of the supreme court reported in : 237 i.t.r. 454 (universal plast ltd. v. c.i.t.) has come ..... letting of the said machinery, plant or furniture, the income from such letting, if it is not chargeable to income-tax under the head 'profits and gains of business or profession;'would indicate that such an income derived out of the lease of the property and furniture as in this case cannot be treated as .....Tag this Judgment!