Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: empanelment :: TAX RATES - GOODS TAXABLE @ 4% :: ARTICLES ON INPUT TAX CREDIT IN VAT :: VAT Audit :: due date for vat payment :: form 3cd :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: VAT RATES :: ACCOUNTING STANDARD :: articles on VAT and GST in India :: TDS :: Central Excise rule to resale the machines to a new company :: ACCOUNTING STANDARDS :: list of goods taxed at 4% :: cpt
 
 
General »
 Alarm bells over return of tax inspector raj
 Shah gets notices over civic tax dues
 Tax revenue down in first six months after prohibition
 Post demonetisation, Income Tax department sends 30 cases of irregularities to Enforcement Directorate, CBI
 Don’t rush into a new tax without being prepared
 Can’t tax income from palace rent: Supreme Court
  Withdrawal of Legal Tender Character of the existing Bank Notes in the denominations of ₹ 500/- and ₹ 1000/- (Updated as on November 30, 2016)
 Cases for tax scrutiny will be selected by machines
 Time to revisit 1997 direct tax rates, says P Chidambaram
 Lok Sabha passes Bill to tax black money deposits post demonetisation
 Last day to pay property tax with old notes

Mahindra Satyam may have to pay taxes from Raju days
July, 13th 2011

Mahindra Satyam may have to bear most of the Rs 617-crore income tax liability relating to years in which its accounts were fudged to show higher revenues and profits, as the Central Board of Direct Taxes has given the IT firm only partial relief.

"There is no provision in the income tax law that allows a company to understate its income and recompute tax liability after the assessment has been completed," said a person privy to the matter. CBDT spokesperson confirmed that the order had been issued but declined to give details.

The income tax department had slapped Rs 617 crore tax on the company last year in respect of incomes for years 2003-04 to 2008-09. When the company failed to meet the demand, the department got its bank accounts frozen. The company had approached the Andhra HC arguing that accounts were fictitious and there was no real income.

The company cited reports of investigating agencies, including that of the Serious Fraud and Investigation Office, to bolster its case.

The court asked the company to pay part of the tax liability and furnish a bank guarantee for the rest and posted the matter for hearing.

The case subsequently came to the Supreme Court. In an April 15 order this year, the Supreme Court asked the company to file a petition before the CBDT to get its tax liability recalculated and also to furnish a bank guarantee of Rs 617 crore within 48 hours to get the freeze on its bank accounts lifted.

In a subsequent order, the SC gave two weeks to company to appeal against any unfavourable CBDT order during which the direct taxes body could not encash the bank guarantee. For assessment years 2007-08 and 2008-09, for which the assessment is not yet complete, the company can hope for some relief.

Satyam computer Services, which was hit my a multi-crore fraud committed by its owner B Ramalinga Raju , was taken over by the Mahindra group in 2009 and rechristened as Mahindra Satyam. The new management disputed the IT's claim as the reconstructed accounts of the company showed that there was no real income. The company did not respond to ET's queries.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Content Management System developers CMS developers Content Management Solutions CMS Solutions CMS India Content Management System India CMS development India Website CMS Website Content Management India Portal CMS India CMS Outsourcing CMS Vendor Complete CMS Custom CMS Services

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions