Court : Delhi
..... prior to this, while proposing deletion of clause (b) of rule 5 of the first schedule with effect from 1st april 1989, the explanation offered in the memorandum to the finance bill, 1988 was as under: liberalization of provisions in respect of taxation of profits and deduction of tax at source applicable to the general insurance corporation and ..... (b) of rule 5 was substituted by the finance act, itas 372/2015, 447/2015 and 448/2015 page 12 of 22 2010 with effect from 1st april 2011 for the previous clause (b) which stood re-inserted by the finance (no.2) act, 2009 with effect from 1st april 2011 after its omission by the finance act, 1988 with effect from 1st april 1989. ..... itas 372/2015, 447/2015 and 448/2015 page 11 of 22 with rule 5(b) which stood omitted by the finance act, 1988 and was re- introduced by the finance act, 2009 with effect from 1st april 2011. ..... the profits and gains of any business of insurance other than life insurance shall be taken to be the balance of the profits disclosed by the annual accounts, copies of which are required under the insurance act, 1938 (4 of 1938) to be furnished to the controller of insurance, subject to the following adjustments:-"(a) subject to the other provisions of this rule, any expenditure or allowance which is not admissible under the provisions of sections 30 to 43b in ..... the itat had held that section 44 of the act read with rule 5 of the first schedule gives only method of computation of the income of a company carrying on the .....
Tag this Judgment!Court : Delhi
..... prior to this, while proposing deletion of clause (b) of rule 5 of the first schedule with effect from 1st april 1989, the explanation offered in the memorandum to the finance bill, 1988 was as under: liberalization of provisions in respect of taxation of profits and deduction of tax at source applicable to the general insurance corporation and ..... (b) of rule 5 was substituted by the finance act, itas 372/2015, 447/2015 and 448/2015 page 12 of 22 2010 with effect from 1st april 2011 for the previous clause (b) which stood re-inserted by the finance (no.2) act, 2009 with effect from 1st april 2011 after its omission by the finance act, 1988 with effect from 1st april 1989. ..... itas 372/2015, 447/2015 and 448/2015 page 11 of 22 with rule 5(b) which stood omitted by the finance act, 1988 and was re- introduced by the finance act, 2009 with effect from 1st april 2011. ..... the profits and gains of any business of insurance other than life insurance shall be taken to be the balance of the profits disclosed by the annual accounts, copies of which are required under the insurance act, 1938 (4 of 1938) to be furnished to the controller of insurance, subject to the following adjustments:-"(a) subject to the other provisions of this rule, any expenditure or allowance which is not admissible under the provisions of sections 30 to 43b in ..... the itat had held that section 44 of the act read with rule 5 of the first schedule gives only method of computation of the income of a company carrying on the .....
Tag this Judgment!Court : Mumbai
..... introduced by the finance act in terms of the tenth schedule indicates two things. ..... explanatory notes to the provisions relating to direct taxes in the finance act, 1978, to be found in circular no.240 dated 17 may 1978, explain the object of introduction of sub-section (3a) in the following words: in order to place a curb on extravagant and specially wasteful expenditure on advertisement, publicity and sales promotion at the cost of the exchequer, the finance act has inserted new sub-section (3a) in section 37 of the act for disallowance of a part of such expenditure in the computation ..... that the income for 21 months should be assessed at the rate applicable to the income of the last period of 12 months was also negatived by the court holding that the rate of tax is fixed by the finance act for every assessment year and the same is in respect of the income of the previous year. ..... the hardship that would follow as a sequitur to this extended period, and introduced the tenth schedule in the act to make special provisions for such transitional previous year, which exceeds twelve months. ..... it, however, had a transitionary provision in relation to the assessment year commencing on the 1st day of april, 1989 (when the new section came into force) for the assessees who had adopted different previous year/s for earlier ..... firstly, any increase in the previous year (over twelve months) would result into a hardship or anamoly if the amounts or limits specified in the provisions of the act were .....
Tag this Judgment!Court : Delhi
..... 528 dated 16th december, 1988 explaining the provisions of the finance act 1988; (ii) cbdt circular being contrary to the legal position is not binding; and (iii) once income is credited to the profit and loss account no adjustment to the same was permitted as per rule 5 of the first schedule of the income-tax act, and that the tribunal had held so in the assessee's own case for ay 1990-91 ..... objective, clause (b) of rule 5 of the first schedule of the act will take effect from 1st april, 1989, and will, accordingly, apply in relation to the assessment year 1989-90 and subsequent years." 19. ..... which reads as follows : "7.2 amendment made by the amending act, 1989, to reintroduce the expression 'reason to believe' in section 147 ..... to allay these fears, the amending act, 1989, has again amended section 147 to reintroduce the expression 'has reason to believe' in place of the words 'for reasons to be recorded by him in writing, is of ..... going through the changes, quoted above, made to section 147 of the act, we find that, prior to the direct tax laws (amendment) act, 1987, reopening could be done under the above two conditions and fulfilment of the said conditions alone conferred jurisdiction on the assessing officer to make a back assessment, but in section 147 of the act (with effect from 1st april, 1989), they are given a go- by and only one condition has remained, ..... the said rule as in force prior to 1st april, 1989 reads as under: "computation of profits and gains of other insurance .....
Tag this Judgment!Court : Supreme Court of India
Reported in : 2009(5)ALT1(SC); JT2009(9)SC229; (2009)IVLLJ57SC; 2009(9)SCALE99; (2009)8SCC431; 2009(7)LC3037(SC):669458
..... judgment that by section 36 of the finance act, 1978, the central excise and salt act, 1944 was amended for imposition of central excise duty on electricity under item 11-e in the first schedule to the excise act and fixed 2 paisa per kilo watt ..... which are already filed before the courts of law by making a suitable provisions therefor; and(d) to protect the interests of candidates registered with employment exchange, the reservation rights of scheduled castes, scheduled tribes and backward classes, the rights of the existing employees who are recruited through proper channel and the functions of andhra pradesh public service commission, district selection committees and other selection ..... the revenue that rule of strict construction should be applied for interpreting section 52(2), referred to the statement of objects and reasons contained in the bill presented before the parliament, speech made by the finance minister and observed:now it is true that the speeches made by the members of the legislature on the floor of the house when a bill for enacting a statutory provision is being debated are ..... a deeming date or with effect from a particular date....the vice pointed out in chakolas case has been removed under the kerala electricity surcharge (levy and collection) act, 1989. ..... this court examined the validity of the kerala electricity surcharge (levy and collection) act, 1989 and upheld the same. ..... collection) ordinance, 1989 was promulgated, which later on became the 1989 act. .....
Tag this Judgment!Court : Mumbai
Reported in : (2005)199CTR(Bom)391; [2006]284ITR613(Bom)
..... the only dispute which has been raised is, whether rule 5(a) of the first schedule to the act is attracted by the mode in which the amount of rs. ..... he also invited our attention to the first schedule to the act and, in particular, rule 5. ..... 58,52,80,850 along with the audited report in form 3cd and final accounts prepared in the manner prescribed under the insurance act, 1938, wherein a provision under the head 'reserve for bad and doubtful debts' as per the regular and consistent practice, for rs. ..... cit : [1981]130itr95(guj) , the division bench of the gujarat high court has held that under section 36 of the act, before any claim for allowance for a bad debt is held established by the ao, it must appear that the concerned bad debt was written off as irrecoverable in the account books of the assessee. ..... 1,01,00,000 was disallowed on the ground that such a disallowance was not prohibited by rule 5 of the first schedule of the act, and credit of the amount of the debts to the 'reserve for bad and doubtful debts' did not constitute a write off of the debts for the purposes of section 36 of the act.3. ..... he pointed out that after 1st april, 1989, however, the legislature has removed the above condition from section 36(2) and has transferred it under section 36(1)(vii). ..... he contended that none of the judgments have interpreted rule 5 in the first schedule as amended by the finance (no. ..... he contended that rule 5 was amended by finance (no. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Delhi
Reported in : (2005)92TTJ(Delhi)300
..... that the following observations in the explanatory notes had no statutory basis : "to enable the general insurance corporation and its subsidiaries to play more active role in capital markets for the benefit of policyholders, the finance act has amended sub-rule (b) of rule 5 of the first schedule to provide for exemption of the profits earned by them on the sale of investment. ..... the insertion of words "including any amount debited to the p&l a/c either by way of a provision for any tax, dividend, reserve or any other provision as may be prescribed" has been given retrospective effect from 1st april, 1989, it can be concluded that amount of any reserve cannot be assessed or added to the book profits for an assessment year prior to asst. yr. ..... now take up the revenue's appeal in ita 7815/del/1989 that has been filed on 29th dec. ..... 3607/del/1990; 7815/del/1989; 5035/del/1998 and 3910/del/2000 are dismissed, the other appeals are partly ..... 2) act, 1998, with retrospective effect from 1st april, 1989, is not applicable to assessment years before us, ..... datta (1989) 180 itr 86 (cal) and on the tribunal decisions in justice kuldip singh ..... cbdt (1989) 175 itr 523 (sc), padmasundara rao ..... , 1989, in the case of the assessee in relation to assessment order under section 143(3) for asst. ..... , 1989, against the order of learned cit(a)-iii, new delhi, ..... 1989-90, such reserve could not be added back to book profits of an insurance company, not being life insurance company for computing income chargeable to .....
Tag this Judgment!Court : Mumbai
Reported in : [2002]254ITR204(Bom)
..... --the profits and gains of any business of insurance other than life insurance shall be taken to be the balance of the profits disclosed by the annual accounts, copies of which are required under the insurance act, 1938 (4 of 1938), to be furnished to the controller of insurance, subject to the following adjustments:(a) subject to the other provisions of this rule, any expenditure or allowance including any amount debited to the profit and loss account either by way of ..... the only dispute which has been raised is,whether rule 5(a) of the first schedule to the act is attracted by the mode in which the amount of rs. ..... whether the assessee has violated rule 5 of the first schedule to the act, read with section 36(1)(vii), by debiting an amount of ..... also invited our attention to the first schedule to the act and, in particular, rule 5. ..... the assessing officer rejected the claim of the assessee under the head 'reserve for doubtful debts' on the ground that the assessee had not fulfilled the conditions laid down in section 36(1)(vii) of the act as also the conditions laid down in section 36(2) since the debts were not actually written off in the books of account. ..... he pointed out that after april 1, 1989, however, the legislature has removed the above condition from section 36(2) and has transferred it under section 36(1)(vii) ..... contended that none of the judgments have interpreted rule 5 in the first schedule as amended by the finance (no. ..... contended that rule 5 was amended by the finance (no. .....
Tag this Judgment!Court : Chennai
Reported in : [1992]198ITR341(Mad)
..... type referred to in the definition clause and a company which fulfills the requirement of the main definition has to be automatically regarded as an 'industrial company' for the purposes of section 2 and the first schedule to the finance act, 1966. ..... relevant accounting year was engaged solely in the business of processing and export of fish and it also satisfied the requirement of 'industrial company' contained in section 2(7) (d) of the finance act, 1966, resulting in a concessional rate of tax of 55 per cent. ..... on the other hand, learned counsel for the assessee submitted that if the nature of the business activities of a company would fall under section 104(4)(a) of the act, there was no need whatever for resorting to the explanation and, as in this case, the only business of the assessee is the manufacture and processing of goods, there is no question ..... company shall, under the explanation, be deemed to be mainly engaged in the business of the description mentioned in section 104(4) of the act, if the income attributable to such activity included in the total income for the precious year was not less than fifty one percent of ..... 80, it was held that as the assessee's only business activity is the manufacturing activity and it had continued to be engaged in the manufacture of fields and clay products, section 104 of the act would not stand attracted and, therefore, the order passed by the income-tax officer levying additional income-tax were unsustainable. ..... cit [1989] 179 itr ..... 1989 .....
Tag this Judgment!Court : Sales Tax Tribunal STT West Bengal
Reported in : (1993)88STC88Tribunal
..... section 8 of the west bengal taxation tribunal act, 1987, challenging the validity of the amendment of schedule iv referable to section 5(1)(d1) of the bengal finance (sales tax) act, 1941, in so far as sanitary wares and sanitary fittings are included in the said schedule making those goods exigible to sales tax at the rate of 15 per cent with effect from april 1, 1989, as against the previous rate of 8 per ..... to determine generally, but where a distinction is made between commodities falling in the same category, a question arises at once before a court whether there is justification for the discrimination.in the case of arya vaidya pharmacy [1989] 73 stc 346 it was found by the supreme court that imposition of tax at the rate of 30 per cent on the sales to two particular types of ayurvedic medicinal preparations, as distinct from other preparations ..... with effect from april 1, 1989, schedule iv was amended including therein ..... the applicants allege that the legislature arbitrarily amended the said 1941 act by the west bengal taxation laws (amendment) act of 1989 and made sanitary wares and sanitary fittings exigible to sales tax at the rate of 15 per cent, forgetting the reasons and objects for imposing higher rate of tax on ..... the first applicant is said to be an association of iron merchants and the second applicant, being himself a dealer within the meaning of section 2(c) of the said 1941 act, is the president of the association.the members of the first applicant are resellers of .....
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