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: ACCOUNTING STANDARD :: VAT RATES :: cpt :: TAX RATES - GOODS TAXABLE @ 4% :: VAT Audit :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: form 3cd :: ARTICLES ON INPUT TAX CREDIT IN VAT :: Central Excise rule to resale the machines to a new company :: ACCOUNTING STANDARDS :: due date for vat payment :: empanelment :: articles on VAT and GST in India :: TDS :: list of goods taxed at 4%
 
 
« General »
 Tax Department To Launch 2nd Phase Of Bank Accounts' Scrutiny Next Month
 How to claim tax benefit on tuition fees under Section 80C
 Online Income Tax grievance redressal facility launched at 60 offices
 Demonetisation impact on government tax revenue marginal; direct tax personal income grew at above budget estimates
 ICAI seeks more accountability, transparency in defence sector
 Will Budget help double farmers’ income?
 Verify online deposits made post demonetisation, income tax department asks taxpayers
 Union Budget 2017: Best budget is do not change anything, do no harm, implement well
 Why salaried class deserves standard deduction
 3 new taxes that Modi government could introduce, but won't
 Tax gains may showcase demonetisation windfall

I-T dept directs full use of new powers to reopen old cases
August, 28th 2009

The Central Board of Direct Taxes ( CBDT) has directed re-opening of all cases under the search and seizure label, income-escaping assessments and deductions claimed from profits and gains on all eligible businesses.

This is now allowed, thanks to amendments to relevant sections which have provided for reopening of cases much beyond the present stipulated limit of eight years. The amendments to relevant Sections 80A, 80IB,132 and 147 have been made with retrospective effect, from financial year 2003, 2000, 1998 and 1989.

In its plan for the year 2009-10 for boosting tax collection, discussed in the presence of the finance minister last week, the board feels its departments across India should reopen all such cases which attract provisions where amendments have been made in the Finance Bill, 2009, with retrospective effect.

The plan also requires the companies to furnish complete details of the latest balance sheet and bank accounts during their tax assessment, instead of the current practice of providing details pertaining to only that assessment year. Regular assessment is an exercise to find why there is gap between taxes paid by a company year on year.

Sources added the board has directed the department to assess cases for scrutiny not only for cases getting time-barred on March 31, 2010, but also to pick up cases which are to be assessed next year, where the department has noticed blatant violations through advance tax returns filed by the companies.

Section 80A deals with companies seeking deduction of profits and gains of undertaking or enterprise from total income. (Exempt from this new amendments scope are deductions for newly established undertakings in special economic zones, 100 per cent export oriented units or free trade zones, and projects for commercial production and/or refining of mineral oil, from total income). The amendment to this section stated that a company seeking deductions under this section cannot claim these under any other provisions for the same assessment year.

Besides, it has also been clarified in the amendment that if any goods/services are transferred from such undertaking/enterprise to another but the value of transfer of goods do not correspond to the market value of these goods, the profit or gains of such undertaking will be calculated as if the transfer was done on the basis of market value of the goods/services. This amendment has been made with effect from 2003.

Similarly, Section 801B has made changes in the mode of deduction of profits or gains from commercial production or refining of mineral oil from total income. Cases which have availed of such deductions could be reopened from April 2000, from which the amendment comes into effect. The amendment has widened the number of cases that become eligible for claiming deduction and thus become liable for reopening.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
E-catalogue online catalogue E-brochure online brochure online product catalogue online product catalogue e-catalogue Indi

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