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 : Kolkata
Reported in : [2003]129TAXMAN628(Cal)
..... case, cost of acquisition as defined in section 55(2), as it stood prior to its amendment (finance act, 1987 effective from 1-4-1988), being unassessable, it could not be computed under section 48 and, therefore, it could not be chargeable as capital gains under section 45 as was held in b.c. ..... made hereinbefore and we answer the question referred to us in the manner following :what was received on transfer of the licence, a capital asset within the meaning of section 2(14), was not an income from business under section 28 more particularly under clause (iv) and though chargeable under the head 'capital gains under section 45 but since incomputable by reason of sections 48 and 49, read with section 55(2) in assessment year 1986-87, the same could not be assessed to capital gains. ..... subsequently, section 55 sub-section (2) was amended in order to avoid the implication of the ratio ..... sought for reference on two questions, which are as follows :'(i) whether, on the facts and in the circumstances of the case, and on correct interpretation of section 28(iv) of the income tax act, 1961, the tribunal was justified in law in holding that receipt of rs. ..... can be computed under section 48, it cannot be charged under the head 'capital gains in view of section 55(2), read with section 48(ii) and section 45 of the act. ..... capital asset then it had to be dealt with under the provision of sections 45 to 55 of the income tax act, 1961. ..... to state the case under section 256(1) of the income tax act, 1961. .....
Tag this Judgment!Court : Kolkata
Reported in : (2003)183CTR(Cal)67,[2003]262ITR1(Cal)
..... the cost of acquisition as defined in section 55(2), as it stood prior to its amendment (finance act, 1987 effective from april 1, 1988), being un-assessable, it could not be computed under section 48 and, therefore, it could not be chargeable as capital gains under section 45 as was held in b.c. ..... hereinbefore and we answer the question referred to us in the manner following ;what was received on transfer of the licence, a capital asset within the meaning of section 2(14), was not an income from business under section 28 more particularly under clause (iv) and though chargeable under the head 'capital gains' under section 45 but since incomputable by reason of sections 48 and 49, read with section 55(2) in assessment year 1986-87, the same could not be assessed to capital gains.16. ..... for reference on two questions, which are as follows :'(i) whether, on the facts and in the circumstances of the case, and on correct interpretation of section 28(iv) of the income-tax act, 1961, the tribunal was justified in law in holding that the receipt of rs. ..... subsequently, section 55, sub-section (2) was amended in order to avoid the implication of the ratio ..... can be computed under section 48, it cannot be charged under the head 'capital gains' in view of section 55(2), read with section 48(ii) and section 45 of the act. ..... capital asset then it had to be dealt with under the provisions of sections 45 to 55 of the income-tax act, 1961. ..... to state the case under section 256(1) of the income-tax act, 1961. .....
Tag this Judgment!Court : Mumbai
Reported in : 2004(2)BomCR801; (2004)187CTR(Bom)162; [2004]265ITR346(Bom)
..... therefore, instead of amending section 2(47), the amendment was carried out by the finance act, 1987, by omitting section 47(ii), the result of which is that distribution of capital assets on the dissolution of a firm would be regarded as 'transfer'. ..... to plug this loophole the finance act, 1987, brought on the statute book a new sub-section (4) in section 45 of the act. ..... 'sub-section (4) along with sub-section (3) were introduced by the finance act, 1987, with effect from april 1, 1988. ..... parliament with the avowed object of blocking this escape route for avoiding capital gains tax by the finance act, 1987, has introduced sub-section (3) to section 45. ..... it may be noted that all these judgments were previous to the amendment brought about by the act of 1987 which introduced sub-sections (3) and (4) in section 45, with effect from april 1, 1988. ..... prior to the finance act, 1987, in the case of a partnership it was held that the assets are of the partners and not of the partnership. ..... the finance act, 1987, with effect from april 1, 1988, omitted this clause, the effect of which is that distribution of capital assets on the dissolution of a firm would henceforth be regarded as 'transfer'. ..... as the section is a self-contained code, there was no need to amend the definition of transfer under section 2(47) of the act. .....
Tag this Judgment!Court : Chennai
Reported in : (2004)187CTR(Mad)650; [2004]266ITR166(Mad)
..... the amendment which was made by the finance act of 1987 in section 43b by inserting, inter alia, the first proviso, was remedial in nature, designed to eliminate unintended consequences which may cause undue hardship to the assessee and which made the provision ..... considered the effect of the addition of the first proviso to section 43b by the finance act 1987, and held the same to be retrospective in operation. ..... it noticed the contents of the memorandum explaining the provisions of the finance bill 1983 wherein it had been stated inter alia that section 43b was aimed at curbing the practice of assessees not paying the taxes and not discharging their liabilities to ..... by the counsel for the revenue that parliament had a different intention so far as payments of amounts due under the employees provident fund act was concerned and that it had intended to treat that amount differently from the amount of tax which the assessees were required to pay. ..... revenue is as to whether the tribunal was right in restoring the order of the assessing officer in disallowing the provident fund contribution amounting to rs.1,47,584/- and administrative charges of rs.12,310/- under section 43b(b) of the act thereby reversing the order of the first appellate authority. ..... amendment was to give effect to the true intention behind the introduction of the section ..... referred to in the question were paid before the due date as defined in the explanation below clause (va) of sub-section (1) of section 36 of the act.3. .....
Tag this Judgment!Court : Gujarat
Reported in : (2004)190CTR(Guj)414; [2004]270ITR408(Guj)
..... by the calcutta high court in the case of kalipada ghosh (supra) merely provide that house would include appurtenant land which is the clarification made by the amendment made by finance act, 1992 by inserting clause (ea) in section 2 of the wealth-tax act with effect from 1.4.1993. ..... prior to 1.4.1993 and, therefore also, the land in question cannot be considered to be urban land.clause (ea) inserted in section 2 by finance act 1992 with effect from 1.4.1993 merely clarified the definition of 'urban land' which was even otherwise includible in the assets as defined by clause (e) in section 2 of the act because clause (e) defines 'assets' as under :-'assets' includes property of every description, movable or immovable, but does not ..... amendments to section 5(1)(iv) were made from time to time not merely to remove anomalies and practical difficulties but also to introduce some tax concessions and to remove some hardships and to provide certainty in the matter of wealth-tax assessments and to reduce litigation by incorporating rules for valuation of assets in the wealth-tax act itself.strong reliance is, therefore, placed on circular no.559 dated 4.5.1990 containing explanatory notes to various provisions of direct tax laws (amendment) act, 1987 ..... shri shrenik kasturbhai, wealth-tax reference no.48 of 1987 and connected matters decided on 18.10.1995 wherein it is held that occupation of quarters by servants engaged by the owner for household chores does not militate against occupation .....
Tag this Judgment!Court : Kerala
Reported in : (2005)196CTR(Ker)391; [2005]275ITR146(Ker); 2005(2)KLT140
..... true that under the amending act by section 18 of the finance act, 1956, authority was conferred upon the income tax officer to assess a person as an agent of a foreign party under section 43 within two years ..... but authority of the income tax officer under the act before it was amended by the finance act of 1956, having already come to an end, the amending provision will not assist him to commence a proceeding even though at the date when he issued the notice it is within the period provided by that amending act'.the same view was expressed by the supreme court in various ..... to assess or reassess has lapsed on account of the expiry of the period of limitation prescribed under the earlier statute, the income-tax officer can exercise his powers to assess or reassess under the amending statute which gives, an extended period of limitation, was not accepted in calcutta discount company's case.as we have already pointed out, the right to commence a proceeding for assessment against the assessee as ..... enable the authorities to reopen assessments, which had already attained finality due to bar of limitation prescribed under section 149 as applicable prior to 1.4.1989, would amount to give sub-section (1) a retrospective operation which is neither expressly nor impliedly intended by the amended sub-section.in fact, after the decision of the supreme court a review petition was filed before the learned single judge on the ..... act, 1987, section 147 was substituted by the following section ..... 28.1.1987 .....
Tag this Judgment!Court : Rajasthan
Reported in : (2005)195CTR(Raj)335; [2006]284ITR250(Raj)
..... section 43b has been inserted by the finance act, 1983 (11 of 1983), section ..... taxable income.the provision has expressly included only two species of taxation, namely, 'tax' or 'duty' and has also not used wider expression 'by whatever name called' so as to make applicable the provisions of section 43b to the tax in generic sense to include within expression all forms of imposts as defined under article 366(28) of the constitution of india.it may be seen that under the substituted provisions, the legislature has extended the ..... , the period for which we are also concerned, held that :'prior to clause (a) of section 43b was substituted by finance act, 1988, w.e.f. ..... 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 furnishing 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 the assessee along with such return :provided further ..... 1984).the provision was amended for the first time by the direct tax laws (amendment) act, 1987, w.e.f. ..... 1987-88, section 43b as it was in force in 1987, would only ..... 1st april, 1989, clause (a) was amended to read as under :'any sum payable by the assessee by way of tax, duty, cess or fee, by whatever name called, under any law for the time ..... referring to the position prior to amendment in the provision w.e.f. ..... 1987 ..... 1987 .....
Tag this Judgment!Court : Punjab and Haryana
Reported in : (2005)195CTR(P& H)92; [2005]276ITR571(P& H)
..... it was found impossible for an assessee to comply with section 43b as it stood in the year 1984, and to make it workable, amendments in section 43b were introduced by the finance act, 1987. ..... the first proviso to section 43b of the act inserted by the finance act, 1987, was enacted in order to suppress the mischief and for the purpose of giving relief to an assessee who is not an unscrupulous dealer ..... to obviate this kind of unexpected outcome of section 43b, the first proviso was added in section 43b by the finance act of 1987. ..... as regards sales-tax, the scope of proviso to section 43b inserted by finance act, 1987, w.e.f. ..... during the relevant period of time, section 43b(a) read as under :'(a) any sum payable by the assessee by way of tax or duty under any law for the time being is force,' the amendment brought in by the finance act, 1988, including the expressions 'cess' was w.e.f ..... 2 was, therefore, added by the finance act, 1989, with retrospective effect from 1st april, 1984, for the purpose of removing any ambiguity about the term 'any sum payable' under clause (a) of section 43b.section 43b(a), the first proviso to section 43b and expln. ..... union of india : [1991]189itr70(patna) as under :the object of the section 43b of the it act, 1961, was to refuse deduction to an assessee in respect of provident fund, etc ..... on or before the due date applicable in his case for furnishing his return of income under section 139(1) of the it act, he shall be entitled to claim deduction of that amount. .....
Tag this Judgment!Court : Rajasthan
Reported in : III(2005)BC440; 2006(1)CTLJ377(Raj); RLW2005(2)Raj808; 2005(2)WLC337
..... may recompute the total income of the assessee for the previous year in which such liability was incurred and make the necessary amendment, and the provisions of section 154 shall, so far as may be, apply thereto, the period of four years specified in sub- section (7) of that section being reckoned from the end of the assessment year next following the previus year in which the payment was so made: ..... central, state or provincial act;(d) any government company as defined in section 617 of the companies act, 1956 (1 of 1956);(e) such other institution, association or body or class of institutions, associations or bodies which the central government may, for reasons to be recorded in writing, notify in this behalf in ..... remaining unpaid; or(c) the amount or the aggregate amount referred to in clause (a) together with the amount or the aggregate amount referred to in clause (b), is twenty thousand rupees or more :provided that the provisions of this section shall not apply to any loan or deposit taken or accepted from, or any loan or deposit taken or accepted by,-(a) government;(b) any banking company, post office savings bank or co- operative bank;(c) any corporation established by a ..... laws (amendment) act, 1987, w.e.f ..... section (6) was inserted by the finance ..... section (5) was inserted by the finance .....
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