Court : Income Tax Appellate Tribunal ITAT Hyderabad
Reported in : (1992)42ITD719(Hyd.)
..... the amendment made in section 43b by section 10 of the finance act, 1987, with effect from april, 1, 1988, is not clarificatory in nature and cannot be given retrospective effect from april 1, 1984.the said decision is followed by a later division bench of the delhi high court in escorts ltd. v. ..... it was found impossible for an assessee to comply with section 43b as it stood in the year 1984, and to make it workable, amendment in section 43b were introduced by the finance act, 1987. ..... the amendments were intended to make the provisions workable.under the proviso introduced by finance act, 1987, the parliament created an opportunity for the assessee to pay the sales tax on or before the due date applicable in each case for furnishing the return of income in order to entitle him to claim deduction of that amount.the memorandum explaining the provisions in the finance bill, 1989 clarified the object of insertion of the first proviso [see 176 itr (st. ..... ) 123] inter alia, it contained the following: the finance act, 1987, inserted a proviso to section 43b to provide that any sum payable by way of tax or duty, etc. ..... the first proviso to section 43b of the act inserted by the finance act, 1987 was enacted in order to suppress the miscief and for the purpose of giving relief to an assessee who is not an unscrupulous dealer. ..... it was held that the proviso to section 43b introduced by finance act, 1987 is clarificatory in nature and therefore retrospective in operation.13. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Hyderabad
Reported in : (1989)30ITD143(Hyd.)
..... . "can the amendment to section 43b by the finance act, 1987, be taken into account in interpreting the provisions of section for the asst.year ..... . "can the amendment to section 43b by the finance act, 1987 be taken into account in interpreting the provisions of section for the ..... we may also refer to the amendment to section 43b brought in by the finance act, 1987. ..... . as the intendment of the first proviso referred to above is clarificatory of the provisions of section 43b, even though it was introduced by the finance act, 1987, with effect from 1-4-1988 it should be followed with respect to the preceding assessment years also in order ..... . 1 under s.43b by finance act, 1987, with effect from 1-4-1988 : "provided that nothing contained in this section shall apply in relation to any sum referred to in clause (a) which is actually paid by the assessee on or before the due date applicable in his case for furnishin the return of income under sub-section (1) of section 139 in respect of the previous year in which the liability to pay such sum was incurred as aforesaid and the evidence of such payment is furnished by ..... crossed cheque, the parliament did specify that payments made after 31-3-1969 would be hit by the said provision.however, the parliament has also specified in respect of a number of other fiscal provisions, particularly annual amendments to the 1961 act brought through the finance acts that certain provisions would be applicable with effect from specified assessment years .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Hyderabad
Reported in : (2004)89ITD528(Hyd.)
..... the learned departmental representative, on the other hand, pleaded that there has been an amendment in explanation to section 73 brought out by the finance act, 1987, with effect from 1.4.1987, and the expression "other than a company as defined in clause (ii) of section 109" that figured in the said explanation earlier had been substituted by the expression--"other than a company, whose gross total income consists mainly of income which is chargeable under the heads "interest on securities', ..... learned counsel for the assessee, in reply, countered that omission of the reference to an investment company, in explanation to section 73 brought out by the finance act, 1987 is only consequential to the deletion of other sections like sections 104 to 109 of the income-tax act, and this omission has no bearing on the issued raised in this appeal.14. ..... one of the main objets of the appellant-company, as per the memorandum of association, after its amendment, reads as under:- "3.a) to carry on and undertake the business of hire -purchase, finance, investment in shares, stocks, debentures, bonds, securities and all other kinds of investments and trading and to finance business operations of all kinds, purchasing, selling, leasing, hiring or letting on hire all kinds of plant and machinery and equipment, computers vessels, vehicles all consumer, commercial ..... in the balance sheet as on 31.3.1997, is not very material for considering the application of the explanation to section 73 of the act. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Hyderabad
Reported in : (2002)81ITD330(Hyd.)
..... the ao however, rejected this contention on the ground that section 55 of the it act has been amended by the finance act, 1987, so as to make capital gains even in the matter of goodwill exigible to tax, and, therefore, the benefit of the said decision cannot be given to the assessee. ..... he noticed that there was an amendment brought about by insertion of section 55(2)(aa)(ii) by finance act, 1994, w.e.f. ..... the learned counsel for the assessee, on the other hand, pleaded that the provisions of section 55(2)(aa) introduced through the finance act, 1994, w.e.f. ..... the question that remains to be considered is whether because of the provisions of section 55(2)(aa) substituted by the finance act, 1994, w.e.f. ..... the explanatory note to the finance act on the said provision contained in cbdt circular reads as under- subject: finance act, 1995--explanatory notes on provisions relating to direct taxes. ..... here the expression "security" will take its meaning from the definition in clause (h) of section 2 of the securities contracts (regulation) act, 1956. 30.3. ..... " from the above clarification, it may be noticed that the procedure laid down in section 55(2)(aa) for working out capital gains in relation to certain financial assets is only by way of simplification of the procedure and not because no capital gains was exigible earlier on the transfer of those financial assets. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Hyderabad
Reported in : (1992)42ITD473(Hyd.)
..... however, as a result of substitution with effect from 1-4-1987 of section 23(2) by finance act, 1986, the method of determining the annual value of a self-occupied house property has been modified for and from assessment year 1987-88.though it is not relevant for the purpose of deciding these appeals, we feel it essential to mention the amendment with a view to property appreciate the argument of the learned counsel for the appellant ..... property which is under the occupation of the owner himself is limited to 10% of the other income.the property income has been specifically excluded by the section and it has also been laid down that 10% income should be computed before making any deduction under chapter via of the income-tax act, in the case before us, the appellant had taken the value of income from house property at 10% of the property income itself which is contrary to ..... examined in the light of the observations of the orissa high court in the above decision, we are, therefore, of the view that prior to 31-3-1987, the word "house" used in section 23(2) meant a dwelling place, which may even be a part of the house and need not necessarily be the full house, under the occupation of the ..... the amendment to section 23(2) by taxation laws (amendment) act, 1970, effective for and from assessment year 1971-72, assures that full municipal taxes payable are to be deducted in such ..... learned counsel has also brought to our notice the amendment to section 23(2) with effect from 1-4-1987. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Hyderabad
Reported in : (1992)42ITD242(Hyd.)
..... the prospect of section 80wabecoming otfosebecame a near certainty with the conscious decision taken to enhance the depreciation rates from assessment year 1988-89 onwards, when block asset concept was to be introduced first.therefore, there was an imperative need to tackle the problem of prosperous zero-tax companies by suitably modifying section 80wa.accordingly, finance act, 1987, deleted section 80wa and introduced new section 115j in its ..... time of moving the finance bill, clause (iv) of explanation to section 115j was not there and during the course of general debate amendments were made on 29-4-1987 by the prime minister. ..... portion of the amendment speech is as under:-- the finance bill inserts a new section 115j in the income-tax act. ..... reads as under :-- if a company has incurred any loss in any financial year or years, which falls or fall after the commencement of the companies (amendment) act, 1960, then the amount of loss or an amount which is equal to the amount provided for depreciation for that year or those years whichever is less, shall be set off against the profits of the company ..... under clause (a) of the first proviso to section 205(1), depreciation for all financial years after the commencement of the companies (amendment) act, 1960, had to be provided for out of the profits of the financial year or of the previous financial years before declaration of dividend.accordingly, it would follow that depreciation including arrears of depreciation would have to be .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Hyderabad
Reported in : (2004)88ITD150(Hyd.)
..... this is amply clear from the amendment introduced to the finance bill by the finance minister in the year 1987 when he said as under : the finance bill inserts a new section 115j in the income-tax act, 1961, to levy a minimum tax on book profits ..... and therefore, the amount of interest waived by the fis/banks ought to be considered as income of the current accounting year ie,, 1996-97 for the purpose of determining book profit in accordance with the provisions of section 115ja of the act.referring to the decision of the allahabad high court in u.b.s, publishers & distributor's case (supra) relied on by the assessee's counsel, the learned departmental representative submitted that the facts of that case are entirely ..... the report wherein it was observed as under : the assessee has first to compute the income in accordance with the income-tax act, and if the total income is less than thirty percent of the book profits, then, it has to prepare a profit and loss account under sub-section (1a) of section 115j for the relevant previous year...the learned counsel then submitted that the steps envisaged by the karnataka high court was ..... for the purposes of deduction to arrive at book profit as provided in clause (iv) of the explanation below sub-section (1a) of section 115j of the act, means loss as arrived at after taking into account the depreciation to be provided under section 205 of the companies act, 1956.the madhya pradesh high court in the case of itarsi oils & flours p.ltd. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Hyderabad
Reported in : (2007)288ITR226(Hyd.)
..... there is no distinct and independent charge whereby surcharge can be said to have been levied on undisclosed income determined for a block period under chapter xivb.12.72 even otherwise, we find that the finance act(s), prior to amendment in section 113 of the act, did not satisfy the four components which enter into the concept of tax and some of these components are not clearly and definitely ascertainable, in order to be treated as an independent and distinct levy/charge which is ..... principle of law is that the law to be applied is that which is in force in the assessment year, unless otherwise provided expressly or by necessary intendment.12.34 a reading of the note to clauses or the amendment to section 113 in the finance act, 2002, extracted above, does not give any indication that the legislation was introduced to explain an earlier finance act or clarify the real intention of the legislature or that the proviso was inserted to supply an obvious omission or to clear up doubts as to the levy of surcharge in question. ..... . the term 'maximum marginal rate' has been defined in section 2(29c), brought on to the statute book, by the direct tax laws (amendment) act, 1987 with effect from 1.4.1989, as "the rate of income tax (including surcharge on income tax, if any) applicable in relation to the highest slab of income in the case of an individual, association of persons or, as the case may be, body of individuals as specified in the finance act of the relevant year .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Hyderabad
Reported in : (2003)81TTJ(Hyd.)831
..... he further relied on the amendment made to section 2(31) by the finance act, 2000 in the definition of "person" by insertion of explanation in support of his argument that earlier to this insertion of explanation it is well settled that income-producing activity is a prerequisite for being assessed in the status of aop.11. ..... (1993) 204 itr 866 (guj) the gujarat high court had decided, inter alia, that the appropriate authority had no power, authority or jurisdiction, in ascertaining the discounted value of the apparent consideration under section 269ud of the it act, 1961, to deduct from the total amount of the consideration, any sum on the supposition that if the sale had taken place the seller would have been out of pocket to the extent of 50 per cent ..... the learned counsel for the assessee had submitted that if the first ground of the assessee is allowed the grounds on the issue of reopening under section 148 and on the issues of status taken by the assessee need not be gone into by this tribunal. ..... (supra) as well as the judgment of the jurisdictional high court in the case of natraj finance corporation (supra) we hold that interest earned on fixed deposits is incidental and does not amount to carrying oh of any commercial activity and hence it is not taxable on the principle of mutuality. ..... 2499/hyd/1987 in the case of nizam club v. ..... cit (1987) 60 itr 582 (sc) and submitted that the question of status cannot be raised for the first time before the tribunal. ..... 2499/hyd/1987, dt. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Hyderabad
Reported in : (1992)40ITD319(Hyd.)
..... (ii) by the finance act, 1989, a new explanation has been inserted at the end of section 2(1a) of the income-tax act, 1961 (hereinafter called the act) with retrospective effect from 1st april, 1970.according to this explanation, revenue derived from land shall not include and shall be deemed never to have included any income arising from the transfer of any land referred to in section 2(14)(ii)(a) or section 2(14)(iii)(b) of the act. ..... this position has been made clear by the insertion of an explanation to section 2(1a) of the act by section 3 of the finance act, 1989 with retrospective effect from 1-4-1970.8. ..... 'ble kerala high court has held that the consideration received on the sale of land in municipal areas, which are excluded from the definition of agricultural land under section 2(1a) of the income-tax act, 1961 and included in the definition of capital assets under section 2(14) of the act is not income derived from the land but is income derived from the sale of land and therefore the gains arising from such sale is chargeable to tax as capital ..... raghottama reddy, that for the purpose, the definition of agricultural income itself had to be amended which would then have reflected back into entry 82 of list-i was taken into consideration by the legislature. ..... raghottama reddy on 9-10-1987. .....
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