New law to curb unregulated and fraudulent private money lending practices
New law to curb unregulated and fraudulent private money lending practices A draft of the ‘Banning of Unregulated Lending Activities’ (BULA) bill was released inviting comments/recommendations from various stakeholders. Bill based on recommendations of a Working Group on Digital Lending constituted by RBI in 2021. Purpose is to ban all unregulated public lending activity i.e…. […]
GST Council cannot impose a wrong classification of Goods
GST Council cannot impose a wrong classification of Goods Here is an interesting case wherein it has been held that GST Council cannot impose a wrong classification of Goods. The case details is as under: Madras High Court M/s.Parle Agro Pvt. Ltd., Vs Union of India. W.P.Nos.16608 & 16613 of 2020. The relevant part of… […]
Can purchase of more than one residential unit by HUF qualify for Sec 54 benefits?
Can purchase of more than one residential unit by HUF qualify for Sec 54 benefits? Situation: 1. Consider a situation where an HUF, sold a residential flat and purchased two residential flats adjacent to each other under two different sale deeds. 2. However, the seller of the flats has certified that he has made… […]
Interest on surplus fund during pre-commencement of the business – Whether Business Income or Other source Income?
Interest on surplus fund during pre-commencement of the business – Whether Business Income or Other source Income? The question of law framed by Hon’ble High Court in a recent case was “Whether the interest income earned on surplus fund deposited in the bank during pre-commencement of the business is liable to be taxed under Section… […]
Key Highlights of the 55th GST Council Meeting
Key Highlights of the 55th GST Council Meeting The 55th GST Council meeting, chaired by Finance Minister Nirmala Sitharaman, was held on December 21, 2024, in Jaisalmer, Rajasthan. Here are the key takeaways: Rate Changes ~ Fortified Rice Kernels: GST rate reduced to 5%. ~ AAC Blocks (50% Fly Ash): GST rate lowered to 12%…. […]
Conversion of Sole Proprietorship to a Company is not a transfer & Exempt from capital gains tax
Conversion of Sole Proprietorship to a Company is not a transfer & Exempt from capital gains tax Conversion of Sole Proprietorship to a Company is NOT a transfer & is Exempt from capital gains u/s 47(xiv) subject to some stipulations. Here is one case wherein the same issue was discussed. The same is as under:… […]
Change in the Tax Law Related to Partnership Firm & the Controversial issues
Change in the Tax Law Related to Partnership Firm & the Controversial issues Amendment in remuneration limit: 1. The Finance (No. 2) Act, 2024 (passed on 16th August 2024) has revised the permissible limit for claim of remuneration. 2. Pre-amendment specified limits for permissible remuneration were a) on the first, Rs. 3,00,000 of the… […]
Safari Retreats : The Long Journey – One small drafting error leading to years of litigation & cost
Safari Retreats : The Long Journey – One small drafting error leading to years of litigation & cost 1 December 2018: Safari Retreats files a writ petition in Orissa High Court. 2 April 2019: Orissa High Court rules in favor of Safari Retreats. 3 November 2019: GST authorities appeal to the Supreme Court. 4 October 2024: Supreme… […]
Taxpayers Facing Assessments Due to ITC Claimed Under the Wrong Head- Relief by Kerala HC
Taxpayers Facing Assessments Due to ITC Claimed Under the Wrong Head- Relief by Kerala HC Taxpayers undergoing assessments for ITC claimed under the wrong head can find relief based on a recent Kerala High Court judgment in Rejimon Padickapparambil Alex vs Union of India (WA No. 54 of 2024). The court quashed an order demanding… […]
Depending on your country of residence, you could save a good chunk capital gains tax.
Depending on your country of residence, you could save a good chunk capital gains tax. Here’s how you can potentially reduce overall capital gains tax under the Double Taxation Avoidance Agreement (DTAA). Countries such as Singapore, Switzerland, UAE, Malaysia, Hong Kong, Belgium, New Zealand, Luxembourg, and several others do not levy capital gains tax…. […]
