Court : Income Tax Appellate Tribunal ITAT Chennai
Reported in : (2007)106TTJ(Chennai)179
..... (baa) was brought on statute book by the finance (no.2) act, 1991. ..... : (baa) "profits of the business" means the profits of the business as computed under the head "profits and gains of business or profession: as reduced by-- (1) ninety per cent of any sum referred to in clauses (iiia), (iiib) and (iiic) of section 28 or of any receipts by way of brokerage, commission, interest, rent, charges or any other receipt of a similar nature included in such profits; and (2) the profits of any branch, office, warehouse or any other establishment of the assessee situate outside ..... though this decision was against an order under section 154 r/w section 80hhc, this decision captures the essence of the principle applicable to the subject of deduction of interest income.the decision was also rendered under the amended provision of section 80hhc, which is applicable in the instant case of the assessee. ..... it is seen from the proposed amendment which went to clarify that 'profit of business for the purpose of section 80hhc will not include receipts in the nature of brokerage, commission, interest, rent, charges, etc. ..... sub-clause (e) seeks to amend explanation to section 80hhc particularly sub-item (2). ..... (supra), these two cases are prior to the amendment of section 80hhc w.e.f. ..... the business of the industrial undertaking had directly to yield that profit.the high court subsequently had taken a contrary view basing itself on the amendment to section 28. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Chennai
Reported in : (2005)92TTJ(Chennai)1196
..... this ground and after hearing both the parties, we hold that the cit(a) is not justified in directing the ao to take the interest under sections 234a and 234b as charged while processing the return under section 143(1)(a) of the act, for the reason that the subsequent clarificatory amendment to section 234b by the finance act, 1995, with retrospective effect from 1st april, 1989, supports the action of the ao in charging interest upto the date of regular assessment and ..... in section 234b(1) by the finance act, 2001 ..... taken an additional ground that the cit(a) erred in holding that a reading of sections 234a, 234b makes it clear that once a return is processed under section 143(1)(a) and interest under sections 234a and 234b is charged, that would become final. ..... to the convenience and decision of the assessee and the statute does not provide as to in what manner the money should be preserved by an assessee and the act does not also provide for taxing the money kept in physical possession. ..... has failed to take cognizance of the return for 1990-91 while deciding the issue of 1991-92 as the return was before him. ..... 1991 ..... 1991-92 and the order was passed on 31st ..... 1991-92 wherein she has shown the opening cash ..... 1991 ..... yr.1991-92 along with cash flow statement and the statement of affairs.cumulative cash balance was saved by the assessee over a ..... 1991-92, the assessee has filed a statement of affairs of her proprietary concern, m/s vinoth video vision, wherein she has shown the opening balance of .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Chennai
Reported in : (2007)108TTJ(Chennai)429
..... supra), where the assessee had treated the receipt of cash assistance as capital receipt, which was subsequently amended to be business receipt by the finance act, 1990, it was held that in such cases interest under sections 234b and 234c was not chargeable. ..... he submitted that a new provision under section 35dda was introduced for the first time by finance act, 2001, but the same was made effective from 1st april, ..... other hand, the learned departmental representative submitted that section 35dda was introduced by the finance act, 2001 w.e.f. ..... since the provision came for the first time by finance act, 2001, the assessee could not have envisaged that he would become liable for payment of tax even against vrs payments, which were otherwise allowable in view of the above two decisions of hon ..... the decisions, it was clearly laid down by the hon'ble jurisdictional high court that payments to employees under vrs were in the nature of business expenditure and was deductible under section 37.therefore, till the introduction of new provisions under section 35dda, the assessee could have estimated the income legitimately after reducing the expenditure incurred on vrs. ..... argued that the assessee should have calculated the tax payable at least for the last instalment without deducting such vrs expenditure, because levy of interest under sections 234b and 234c has been held to be mandatory by various courts of law and therefore levy of interest is justified in this case.6. ..... 12th july, 1991 and cit v .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Chennai
Reported in : LC(2007)(3)269
..... 2) act, 2004 w.e.f.1st april, 2005, sub-section (10) as amended by the finance act, 2000 ..... april, 2000 has laid down various conditions and the provisions of section 80-ib amended by various finance acts as amended w.e.f. ..... the learned cit(a) ought to have appreciated that there was no ambiguity nor scope for interpretation in view of the clear language of the section which did not postulate any restriction regarding the extent of shops and commercial establishments under section 80-ib(10) and such restrictions with retrospective effect imposed only by finance act, 2004 w.e.f. ..... order to be eligible undertaking, developing and building housing projects and for claiming deduction under section 80-ib(10), finance act, 2000 w.e.f. ..... april, 2000 by the finance act, 2000 and by the finance act, 2003 and as substituted by the finance (no. ..... seen from the orders of the lower authorities that they have relied mainly on the amended clause (d) of section 80-ib(10) which has been brought on the statute book w.e.f. ..... april, 2000 and the same reads as under: liberalisation of tax holiday to approved housing projects--under section 80-ia of the it act, profits of approved housing projects where the development and construction commences on or after 1st oct. ..... use of the words 'it is declared' is not conclusive that the act is declaratory for these words may, at times be used to introduce new rules of law and the act in the latter case will only be amending the law and will not necessarily be retrospective. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Chennai
Reported in : (2007)288ITR150(Chennai)
..... the learned counsel further submitted that section 113 was amended by finance act, 2002 with effect from 1.6.2002. ..... it is for the parliament either to make an amendment by incorporating a proviso in section 113 of the income tax act for the purpose of levying surcharge or to enact a separate act like finance act. ..... act.however, by finance act, 2002, the parliament amended section 113 and thereby a proviso was introduced to levy surcharge over and above the rate of tax prescribed under section 113. ..... in view of the above discussion, we find that the parliament in exercise of the power conferred upon it under article 271 of the constitution of india has enacted finance act, 2001 prescribing levy of surcharge at 17% over and above the rate of income tax levied under section 113 of income tax act in respect of the undisclosed income.therefore, in our view, the assessing authority has rightly levied the surcharge. ..... the assessment proceeding was completed for the block assessment year 1991-92 to 2001-02 under section 158bc on 27.2.2003 determining the total undisclosed income at rs. ..... this appeal of the assessee relates to the block assessment year 1991-92 to 2001-02. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Chennai
Reported in : (2008)111ITD37(Chennai)
..... that if the guidelines issued by reserve bank of india could suo moto overrule, the specific provision of section 145 of it act, 1961, there was no need of introducing section 43d by the finance act, 1991 and later on modify it by extending the benefit to some more class of assessees by the finance act, 1999. ..... through the finance act, 1999, whereas nbfcs take advantage of this provision without any finance act/amendment to income-tax act/any specific provision in the income-tax act to that ..... chapter iiib containing the provisions relating to nbfcs was inserted in the reserve bank of india act, 1934 by amendment act 55 of 1963 - statement of objects and reasons read as under: the existing enactments relating to banks do not provide for any control over companies or institutions which although they are not treated as banks, ..... to achieve these objectives.section 45ja was inserted by amendment act, 23 of 1997 - statement of objects and reasons read as under: the activities of the non-banking institutions and unincorporated bodies receiving deposits are regulated in terms of the provisions of chapters iii-b, and iii-c of the reserve bank of india act, 1934, respectively. ..... despite the [provisions before the promulgation of the reserve bank of india (amendment) ordinance, 1997] contained in chapter iii-c of the reserve bank of india act, the unincorporated bodies circumvented the statutory restrictions by floating different partnership firms as and when a firm reached the level .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Chennai
Reported in : (2007)103ITD457(Chennai)
..... has been furnished during the period commencing on the 1st day of october, 1991 and ending on the 30th day of september, 2005 in response to a notice served under this section, and (b) subsequently a notice has been served under sub-section (2) of section 143 after the expiry of twelve months specified in the proviso to sub-section (2) of section 143, as it stood immediately before the amendment of said sub-section by the finance act, 2002 (20 of 2002) but before the expiry of the time-limit for making ..... , 1991 to 30th september, 1995 in response to a notice served under section 148 and subsequently a notice has been served under sub-section (2) of section 143 after the expiry of twelve months as provided in proviso to sub-section (2) of section 143 before the amendment of said sub-section by the finance act, 2002, but the said notice is served before the expiry of the time limit for making the assessment, reassessment or recomputation as specified in sub-section (2) of section 153 of the act, such notices shall be deemed to be a valid notice. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Chennai
Reported in : (2005)96TTJ(Chennai)637
..... the cit(a) in his order stated that finance act, 2001, levied tax at the rate prescribed in section 113 as well as surcharge for the asst. ..... our opinion, this claim of the revenue is not justified because the proviso was added by finance act, 2002 and made effective from 1st june, 2002. ..... " this proviso was inserted by the finance act, 2002, indicating that it would be effective from 1st june, ..... he further noted that finance act, 2001, applied to income that had arisen during the previous year ending march, ..... 2000, which falls within the previous year ending 31st march, 2001, the surcharge that is made by finance act, 2001 is applicable. ..... in the case of assessment that is made with reference to provisions under section 158bc of the act, the loss cannot be allowed.he further submitted that for the loss that is stated to have been claimed, sufficient evidence is not ..... section 113 was inserted with a proviso that reads as under : "provided that the tax chargeable under this section shall be increased by a surcharge, if any, levied by any central act and applicable in the assessment year relevant to the previous year in which the search is initiated under section 132 or the requisition is made under section ..... on that basis the loss suffered by the assessee consequent to the fraud played on the assessee is outside the ambit of chapter xiv-b of the act. ..... is an appeal of the assessee that is moved with reference to assessment that was framed under the provisions of chapter xiv-b of the it act.2. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Chennai
Reported in : (2001)75ITD197(Chennai)
..... , "excluding the extra-shift allowance for double or multiple working of the machinery or plant", seem to indicate that the extra-shift allowance is available to the machinery or plant that had worked for multiple shifts.sub-section (v) of section 32(1) of the act refers to the building that is constructed after the 31-3-1967, owned by a company and used by it is as a hotel that is approved by the central government, on such building the company was allowable 25 ..... case of machinery or plant installed by an assessee, being an indian company, in premises used by it as a hotel where such hotel is for the first time approved by the central government for purposes of deduction of section 33 of the act.for the purposes of this sub-item and sub-item (iv) normal allowance' means the amount of depreciation allowance (other than the extra depreciation allowance under this sub-item or the extra-shift depreciation ..... officer and the same cannot be said to an error prejudicial to the interest of the revenue, in the light of the circulars /instructions of the board and the decision of the supreme court in shaan finance (p) ltd. ..... hire of machinery, it was provided that the owner is entitled to depreciation.the hon'ble supreme court in shaan finance (p) ltd. ..... finance ..... industrial finance co. ..... industrial finance co. ..... on legal validity and on merits.the proposal for the formation of a special bench to resolve the controversy was mooted on the reasoning that the decision in shri leasing& industrial finance co. .....
Tag this Judgment!Court : Income Tax Appellate Tribunal ITAT Chennai
Reported in : (2007)103ITD479(Chennai)
..... as a result of the amendment of section 208 by the finance act (no. ..... further, the finance act, 2001 wherein new explanation was inserted with retrospective effect from 1st april, 1989 which lays down that in section 234b 'assessed income' means the tax on total income determined under section 143(1) or on regular assessment as reduced by the tds amount. ..... section 209 of the act, after amendment by the amending act, 1987 lays down the method of computing advance tax payable during a financial year as follows: (a) where the calculation is made by the assessee for paying the advance tax, either of his own accord or on the basis of the estimate of his current income after the assessee is served with a notice by the ao under section 210(3) or (4) for payment of advance tax, income-tax on the current income shall be calculated at the rates ..... (d) the income-tax calculated under any of the above clauses shall, in each case, be reduced by the amount of income-tax which would be deductible at source under any provisions of the act on any income which has been included in the current/total income determined under any of the above clauses.section 234b(1) inserted by the direct tax laws (amendment) act, 1987 w.e.f. ..... the word "shall" is significant and to ascertain the very intention of the legislature we have to look into the clauses by which the legislature has brought section 234b to the statute through direct tax laws (amendment) act, 1987. .....
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