Court : Gujarat
Reported in : (2007)212CTR(Guj)285
..... tribunal was in error in deleting the value of the factory and research buildings which were under construction and not in actual use for the purpose of business as contemplated under the provisions of section 40(3)(vi) of the finance act, 1983 and that in allowing the claim of the assessee, the tribunal had misread the plain and simple language of the said provisions. ..... 36 itd 448 and appreciating the provisions of section 40 of the finance act, 1983, allowed the claim of the assessee for the year under consideration. ..... the relevant part of the section as it appeared in the finance act, 1983 is as follows:40 revival of levy of wealth-tax in the case of closely-held companies.(1) ...(2) ..... appearing for the revenue, submitted that the reference was restricted to the issue arising in the assessment year 1986-87 and the subsequent amendment of clause (v) of sub-section (3) of section 40 of the finance act, 1983 did not make any difference insofar as the issue was confined to interpretation and application of the provisions of section 40(3)(vi) of the finance act, 1983. ..... of act (11 of 1983)- in section 40 of the finance act, 1983,(i) .. ..... under section 40 of the finance act, 1983, provision was made to levy wealth tax on the net wealth of certain ..... ), the tribunal had held that unfinished factory building along with appurtenant land would not fall either in item (v) or in the exception in item (vi) of section 40(3) and, therefore, not liable to tax under section 40 of the finance act, 1983. .....
Tag this Judgment!Court : Gujarat
Reported in : (2007)208CTR(Guj)439
..... the above definition of 'charitable purpose' is modified by the finance act, 1983, with effect from april 1, 1984. ..... however, the finance act, 1983, has omitted the words 'not involving the carrying on of any activity for profit' ..... , the gujarat maritime board is a statutory body and the tribunal has after detailed discussion held that under the requirement of section 12a of the income-tax act, 1961, the gujarat maritime board is a charitable institution and is entitled to the benefit of section 12a with effect from april 1, 2002.4. ..... if the object of the institution falls within the definition of charitable purposes under section 2(15) of the act and the institution is genuinely carrying out such object, the commissioner of income-tax must register the institution ..... this appeal:whether, on the facts and in the circumstances of the case, the appellate tribunal was right in law in holding that gujarat maritime board fulfills the conditions as envisaged in section 12aa of the income-tax act, 1961, which are necessary for its registration under section 12a of the said act2. ..... it was explained by learned counsel that the assessee was created by the gujarat maritime board act, 1981, passed by the state government, which is approved by the president of india ..... commissioner of income-tax has held that the assessee was created as a local authority within the meaning of 'person' for the purpose of the income-tax act, 1961 and therefore, it cannot be considered as a public trust or charitable trust. .....
Tag this Judgment!Court : Gujarat
Reported in : (2007)207CTR(Guj)606; [2007]290ITR282(Guj)
..... which relates to certain deductions to be only on actual payment, has, originally been inserted by the finance act,1983. ..... for some reason or the other, undisputed liabilities also are not paid.35.3 to curb this practice, the finance act has inserted a new section 43b to provide that deduction for any sum payable by the assessee by way of tax or duty under any law for the time being in force or any sum payable by the ..... to the disallowance of excise duty liabilities to the tune of rs.58,75,999/- for the assessment year 1986-87 and rs.44,58,378/- for assessment year 1987-88 by invocation of the provisions of section 43b of the income tax act,1961 (the act).2 both these appeals were admitted by an order dated 14/7/2003 and the following substantial question of law was framed :whether, on the facts and in the circumstances, of the case, the tribunal was right in ..... :(i) whether on the facts and in the circumstances of the case, the appellate tribunal was justified in law in confirming the disallowance of excise duty liability of rs.33,39,225/- under section 43b of the income tax act,1961 in spite of the appellant having placed full amount of excise duty liability with bank of baroda in fixed deposit pursuant to the order and direction of the hon'ble supreme court and thus parted with ..... 372 dated 8/12/1983 as follows :35.1 under section 145 of the income-tax act, profits and gains of business or profession are computed in accordance with the method of accounting regularly employed .....
Tag this Judgment!Court : Gujarat
Reported in : [2006]287ITR435(Guj)
..... in 1983, the amendment carried out by the finance act, 1983, came to be explained by departmental ..... the finance act, 1983, has amended this proviso and increased the monetary ceiling ..... subsequently, by finance act, 1983, the said ceiling has been increased ..... lxxvi-61) of 1966 and para 54 of the said circular reads as under ;in order to simplify the calculation and accounting of depreciation allowance in respect of machinery or plant of a small cost, the finance act, 1966, has added a proviso (now the first proviso) to section 32(1)(ii) of the it act to the effect that where the actual cost of machinery or plant does not exceed rs. ..... he also invited attention to the amendment made by the finance act, 1995, whereby the first proviso came to be omitted ..... this proviso was originally inserted by the finance act, 1966, and the value of the actual cost of machinery or plant was fixed ..... furthermore, no depreciation will be allowed in respect of any plant or machinery the cost of which gets amortised in one or more years, under section 42 of the it act relating to the special provision for deduction in respect of business of prospecting for mineral oil.17.2 these amendments will take effect from 1st april, 1992, and will, accordingly, apply in relation to the asst ..... , urged that the question referred to the court has to be answered in favour of the revenue considering the scheme of the act which unfolded on reading provisions of section 32(1), the first proviso and the third proviso together.4. .....
Tag this Judgment!Court : Gujarat
Reported in : [2006]150TAXMAN499(Guj)
..... in 1983, the amendment carried out by the finance act, 1983, came to be explained by ..... the finance act, 1983, has amended this proviso and increased the monetary ..... subsequently, by finance act, 1983, the said ceiling has been ..... ) of 1966 and paragraph 54 of the said circular reads as under :'in order to simplify the calculation and accounting of depreciation allowance in respect of machinery or plant of a small cost, the finance act, 1966, has added a proviso (now the first proviso) to section 32(1)(ii) of the income tax act to the effect that where the actual cost of machinery or plant does not exceed rs. ..... he also invited attention to the amendment made by the finance act, 1995, whereby the first proviso came to be omitted with effect from ..... this proviso was originally inserted by the finance act, 1966 and the value of the actual cost of machinery or plant was ..... furthermore, no depreciation will be allowed in respect of any plant or machinery the cost of which gets amortised in one or more years, under section 42 of the income tax act relating to the special provision for deduction in respect of business of prospecting for mineral oil.17.2 these amendments will take effect from 1-4-1992, and will, accordingly, apply in relation to the assessment year 1992 ..... urged that the question referred to the court has to be answered in favour of the revenue considering the scheme of the act which unfolded on reading provisions of section 32(1), the first proviso and the third proviso together.4. .....
Tag this Judgment!Court : Gujarat
Reported in : (2006)203CTR(Guj)52; [2006]284ITR142(Guj)
..... the provisions were inserted by finance act, 1983 with effect from 01/04/1984 and were omitted with effect from 01/04/1986 by finance act,1985. ..... section 37(3a) of the act was introduced initially by finance act,1978 with effect from 01/04/1979 and came to be deleted ..... question has been referred by the income tax appellate tribunal, ahmedabad bench, 'b' under section 256(1) of the income tax act,1961 (the act) at the instance of the commissioner of income tax. ..... the three items of expenditure are allowable under section 37(1) of section 37 of the act but because of the use of the term s notwithstanding anything contained in sub-section (1) occurring in the opening part of sub-section (3a) of section 37 of the act the specified percentage is disallowed.9. ..... provisions of section 37(3a) read with section 37(3b) of the act and disallowed a sum of rs. ..... section 37(3a) of the act by treating the commission paid as not falling within the provisions of section 37(3b) of the act.16. ..... section 37(3b) of the act specifies expenditure vide clauses (i), ..... section 37(3a) of the act provides that where the expenditure or, as the case may be, the aggregate expenditure incurred by an assessee on any one or more of the items specified in sub-section (3b) exceeds the stipulated limit, twenty percent ..... incurred by taxpayers on fashion shows, beauty contests, consumer contests, consumer gift offers, and free samples or gifts will fall within the ambit of new sub-section (3a) of section 37 of the income-tax act'14. .....
Tag this Judgment!Court : Gujarat
Reported in : (2005)199CTR(Guj)556
..... this phrase, but any such sum shall not be deductible in determining the written down value for the purposes of clause (ii) has been omitted from the statute by the finance act, 1983 with effect from 01/04/1984 and hence, according to revenue, it is now open to the revenue to reduce the written down value by deducting the amount of initial depreciation already granted to the assessee. ..... therefore, the contention on behalf of revenue that the said decision is prior to amendment by finance act, 1983, does not make any difference as the basic distinction between two allowances remains. 17. ..... that by virtue of amendment by the finance act, 1983 with effect from 01/04/1984, the words sbut any such sum shall not be deductible in determining the written down value for the purposes of clause (ii) had been omitted and, therefore, the assessing officer ..... the tribunal was therefore, right in law in holding that initial depreciation allowed in assessment year 1982-83 on new hotel building is not deductible for arriving at wdv in view of the amendment effected by finance act, 1983. ..... naik that the same was relatable to assessment year 1981-82 and the kolkata high court was not required to render any opinion in context of the amendment carried out by finance act, 1983. ..... 1982-83 on new hotel building is not deductible for arriving at wdv in view of the amendments effected by finance act, 1983? 2. .....
Tag this Judgment!Court : Gujarat
Reported in : (2005)196CTR(Guj)614; [2005]277ITR349(Guj)
..... 2 to the said section was inserted by finance act, 1983, with retrospective effect from 1st april, 1976, and it gives an inclusive definition of the term 'entertainment expenditure' so as to include expenditure on provision of hospitality of every kind by the assessee to any person, whether by way of provision of food or ..... the tribunal, ahmedabad bench 'a', has referred the following question for the opinion of this court under section 256(1) of the it act, 1961 (the act), at the instance of the cit, ahmedabad :'whether the tribunal is right in law and on facts in deleting the additions made by the ito ..... which is otherwise allowable under section 37(1) or 37(2) of the act, would be hit by provisions of section 37(2a) of the act if the expenditure is in the nature of entertainment expenditure. ..... 2 to section 37(2a) of the act, (ii) as well as the position after insertion of the explanation, and (iii) contemporaneous circular issued by the board and the scheme of the act held that :'generally, 'entertainment expenditure' is an expression ..... ao both the items of expenditure were incurred for entertaining the guests of the company and hence, the expenditure fell within the ambit of provisions of section 37(2a) of the act read with expln. ..... section 37(2a) of the act opens with non obstante clause whereby it is laid down that no allowance shall be made in respect of so much of the expenditure in the nature of entertainment expenditure incurred by any assessee during any previous year .....
Tag this Judgment!Court : Gujarat
Reported in : (2005)195CTR(Guj)518; [2005]277ITR529(Guj)
..... section 80hhc of the act, as applicable to the assessment year under consideration, was introduced with effect from 1st april 1983 by the finance act, 1983, and reads as under :'deduction ..... 1983 which gives the explanatory notes on the provision relating to direct taxing as incorporated in the finance act, 1983 ..... of this section, -(a) 'convertible foreign exchange' means foreign exchange which is for the time being treated by the reserve bank of india as convertible foreign exchange for the purposes of the foreign exchange regulation act, 1973 (46 of 1973), and any rules made thereunder;(b) 'export turnover' means the sale proceeds of any goods or merchandise exported out of india, but does not include freight or insurance attributable to the ..... the contentions raised by the revenue and accepted the submissions made on behalf of the assessee by holding that, for the purposes of clause (b) of sub-section (1) of section 80hhc of the act, one has to compare the aggregate export turnover of all qualifying goods during the relevant previous year with the aggregate export turnover of all qualifying goods during the immediately preceding previous year. ..... or may not exceed the total export turnover of the immediately preceding previous year; but, when the assessee sought additional deduction under section 80hhc(1)(b) of the act, the assessee was required to show that its total export turnover had increased when compared to the total export turnover of the immediately preceding previous year. .....
Tag this Judgment!Court : Gujarat
Reported in : [2005]144TAXMAN203(Guj)
..... pgnatale (supra) decision in light of the explanation inserted below section 9(1)(ii) of the act by finance act, 1983, with retrospective effect from 1-4-1979. ..... kulandagan chettiar (dead) through lrs : [2004]267itr654(sc) in support of the submission that wherever there is conflict between provisions of the act and the double taxation agreement, the terms of the agreement would prevail over the provisions of the act, and further that the agreement being in the nature of a document providing for relief against taxation, beneficial reading of the terms of the agreement was required.7. ..... it is an admitted position before the authorities that the assessee, a resident of austria has rendered services in india and thus, the authorities would be entitled to seek to fasten charge of tax under the act qua the remuneration received for such services.10. ..... the assessee claimed that such retention remuneration received abroad would be outside the purview of the pro-visions of the act, since the assessee was a non-resident. ..... however, clause (2) of article 14 carves out an exception, in such circumstances, and lays down four conditions which are required to be fulfilled before an individual who is otherwise held to be liable to tax under the act in india is not to be taxed in india. ..... mehta, j.the following two questions of law have been referred to the court for opinion by the tribunal, ahmedabad bench 'a', under section 256(1) of the income tax act (hereinafter referred to as the act) :'1. .....
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