Development agreements require legal possession or effective enjoyment for capital gains transfer; permissive possession and deferred consideration de...
Prolonged sterilisation of development rights supports capital-gains treatment, while business-income disallowances cannot govern capital-gains comput...
Additional evidence in transfer pricing dispute leads to fresh examination, while tax deductions, TDS credit, fee and refund interest require verifica...
Category II AIF pass-through taxation preserves non-business income character; investment receipts cannot be reclassified without applying recognised ...
Mutual fund maturity rules require proper rollover, redemption, disclosure, and due diligence; investor gains cannot excuse regulatory breaches or pen...
Interest on delayed statutory payments is treated according to the nature of the underlying liability. Interest on delayed sales tax, VAT, entry tax, service tax and employer's provident fund contributions is compensatory and allowable as business expenditure, while interest on delayed TDS and employees' provident fund contributions is not deductible because those payments do not constitute the assessee's business expenditure. Verification is required to prevent double disallowance where interest has already been included in another disallowed amount. For exempt-income disallowance, expenditure may be disallowed only in relation to investments yielding exempt income; if no exempt income was earned, the additional disallowance does not survive, subject to verification.
Interest on delayed statutory payments is treated according to the nature of the underlying liability. Interest on delayed sales tax, VAT, entry tax, service tax and employer's provident fund contributions is compensatory and allowable as business expenditure, while interest on delayed TDS and employees' provident fund contributions is not deductible because those payments do not constitute the assessee's business expenditure. Verification is required to prevent double disallowance where interest has already been included in another disallowed amount. For exempt-income disallowance, expenditure may be disallowed only in relation to investments yielding exempt income; if no exempt income was earned, the additional disallowance does not survive, subject to verification.
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