Present Income tax regulations for Gold Holding: An analysis with Case Laws

  There is much speculation that government will seize excess gold holdings by an individual. But the government has clearly said that there is no such intention to do so. But what is the current Income Tax regulation regarding gold holdings? Here’s the answer. Notification: No. 347(E), dated 20-5-1978 says: Section(s) Referred: 132 ,132(11) Statute: INCOME TAX Date of Issue: 20/5/1978 In exercise of the powers conferred by sub-section (11) of section 132 of the Income-tax Act, 1961 (43 of 1961), the Central Government hereby notifies every Commissioner, for the purpose of passing orders on applications against any order made under sub-section (5) of the said section by an Inspecting Assistant Commissioner, empowered under sections 125 and 125A of the said Act, in respect of any person within the jurisdiction of the said Commissioner. [No. 2303/F. No.

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ITBA- Conversion of Case from Limited to Complete Scrutiny – Reg.

  ITBA – Assessment Instruction No -4 DIRECTORATE OF INCOME TAX (SYSTEM) ARA Center, Ground Floor, E-2, Jhandewalan Extension, New Delhi –110055 F.No. System/ITBA/Instruction/Assessment/177/16-17/ Dated: 03/05/2017 To All Principal Chief Commissioners of Income-tax/ CCsIT (By Name) All Principal Director General of Income Tax / DGsIT (By Name) All Principal Commissioner of Income-tax/CsIT/CsIT(Admin & CO) (By Name) Sir/Madam, Subject: Launch of Income Tax Business Application (ITBA) – Assessment Module– Phase-4- Functionality for (1) Reference to Valuation Officer and (2) Conversion of Case from Limited to Complete Scrutiny – Reg. This is in reference to the subject mentioned above. The following processes forming a part of the Assessment module are now available to the users in ITBA: (A) Reference to Valuation Officer and (B) Conversion of Case from Limited to Complete Scrutiny. 2.

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DTAA provisions in Income Tax Act will override other provisions in Income Tax Act if beneficial to Tax Payer

  Recently, in Nagarjuna Fertilizers and Chemicals Limited v. ACIT, the Hyderabad bench of the Income Tax Appellate Tribunal held that the provisions of the Double Taxation Avoidance Agreement (DTAA), to the extent they are beneficial to the taxpayer, will override some of the sections of the Income Tax Act, 1961. Coming to the facts of the case, the appellant-assessee,  a Public Limited Company, had made certain payments for technical services to non-residents in 2011-12 and 2012-13. Some payments were made to non-residents in jurisdictions with which India did not have any Double Taxation Avoidance Agreement (DTAA). In such cases, the taxpayer deducted 20 per cent tax at source as the non-residents did not furnish Permanent Account Number (PAN). The income tax department had challenged this because the non-residents did not submit

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TDS cannot deducted from Tips received by Hotel Employees: Case Law

  In a recent judgment by ITAT, TDS cannot be deducted from tips received by hotel employees. The assessee company is engaged in the business of chain of hotels. Survey operation under section 133A of the Income Tax Act, 1961 was carried out at the business premises of the assessee company at Hotel -The Oberoi, New Delhi. During the survey proceedings, it was noticed that the assessee company was in receipt of extra amount known as “TIPS” paid by the guests in cash or through credit cards at the time of settlement of bills in appreciation of good services provided by the service staff. On disbursal of this amount to the employees by the hotel, no tax was deducted. The Assessing Officer required the assessee to explain why under the

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Case Law on PMGKY

  Where person from whom cash was seized during demonetisation 2016 and he was not tried under any provision of law, he would be eligible to deposit amount in PMGKY deposit scheme on or before 31-3-2007.   CWP No.1072 of 2017 IN THE HIGH COURT OF PUNJAB & HARYANA AT CHANDIGARH CWP No.1072 of 2017 Date of decision:23.01.2017 Vishal Jain … Petitioner Vs. State of Punjab and others … Respondents CORAM: HON’BLE MR. JUSTICE AMIT RAWAL Present:- Mr. Gurmohan Singh Bedi, Advocate for the petitioner. AMIT RAWAL J. Notice of motion. On asking of the Court, Mr.Yatinder Sharma, learned Additional Advocate General, Punjab accepts notice on behalf of the respondents-State. The petitioner has invoked the jurisdiction of Court under Article 226 of the Constitution of India seeking declaration that action

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​Income Tax Department (ITD) launches Operation Clean Money

  Government of India Ministry of Finance Department of Revenue Central Board of Direct Taxes New Delhi, 31st January, 2017. Press Release Income Tax Department (ITD) launches Operation Clean Money Income Tax Department (ITD) has initiated Operation Clean Money, today. Initial phase of the operation involves e-verification of large cash deposits made during 9th November to 30th December 2016. Data analytics has been used for comparing the demonetisation data with information in ITD databases. In the first batch, around 18 lakh persons have been identified in whose case, cash transactions do not appear to be in line with the tax payer’s profile. ITD has enabled online verification of these transactions to reduce compliance cost for the taxpayers while optimising its resources. The information in respect of these cases is being

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Clarifications on the Taxation and Investment Regime for Pradhan Mantri Garib Kalyan Yojana, 2016 

  Circular No.2 of 2017 F.No.142/33/2016-TPL(Part) Government of India Ministry of Finance Department of Revenue Central Board of Direct Taxes (TPL Division) *** Dated: 18th of January, 2017 Clarifications on the Taxation and Investment Regime for Pradhan Mantri Garib Kalyan Yojana, 2016 The Taxation and Investment Regime for Pradhan Mantri Garib Kalyan Yojana, 2016 (hereinafter ‘the Scheme’) provides an opportunity to persons having undisclosed income in the form of cash or deposit in an account maintained with a specified entity to declare such income and pay tax, surcharge and penalty totaling in all to 49.9 per cent. of such declared income and make a mandatory deposit of not less than 25% of such income in the Pradhan Mantri Garib Kalyan Deposit Scheme, 2016.The Scheme has commenced on 17.12.2016 and shall

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Few Compliances of Income Tax to be done

  Furnishing of Permanent Account Number or Form 60, as the case may be, on or before 28th February, 2017 is made mandatory for persons having an account with banking company or a cooperative bank to which Banking Regulation Act 1949 applies. 15th January 2017 is the due date for submitting Form 61 where the aggregate of cash deposits between 9th November 2016 to 30th December 2016 is more than two lakh fifty thousand. Government has mandated the specified class of persons under Rule 114E to report cash deposits made during the period 01/04/2016 to 09/11/2016 aggregating to an amount exceeding the limits as specified in Sl.No.12 of Rule 114E. Download/Read Notification

DEDUCTION OF TAX AT SOURCEINCOME-TAX DEDUCTION FROM SALARIES UNDER SECTION 192 OF THE INCOME-TAX ACT, 1961

  The amount of income-tax computed in accordance with the preceding provisions of this Paragraph, or the provisions of section 111A or section 112 of the Income-tax Act, shall, in the case of every individual or Hindu undivided family or association of persons or body of individuals, whether incorporated or not, or every artificial juridical person referred to in sub-clause (vii) of clause (31) of section 2 of the Income-tax Act, having a total income exceeding one crore rupees, be increased by a surcharge for the purpose of the Union calculated at the rate of fifteen per cent of such income-tax: Provided that in the case of persons mentioned above having total income exceeding one crore rupees, the total amount payable as income-tax and surcharge on such income shall not

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Recovery method & Service of notice under Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Rules specified

  MINISTRY OF FINANCE (Department of Revenue) NOTIFICATION New Delhi, the 28th December, 2016 G.S.R. 1180(E).—In exercise of the powers conferred by section 85 read with section 32, section 74 and section 77 of the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015 (22 of 2015), the Central Board of Direct Taxes hereby makes the following rules, to amend the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Rules 2015, namely :- 1. (1) These rules may be called the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax (Amendment) Rules, 2016. (2) They shall come into force on the date of their publication in the Official Gazette. 2. In the Black Money (Undisclosed Foreign Income and Assets) and Imposition

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