Pre-amendment reassessment limitation bars late notices under the preserved regime, invalidating consequential reassessment for affected earlier asses...
Cash-sales explanations for bank deposits require documentary reconciliation; reassessment notice survived where effective response time was available...
Functional comparability in transfer pricing prevents ad hoc arm's length adjustments where functions, assets, risks and reliable comparables are unes...
ITAT ruled that a foreign company with Permanent Establishment (PE) in India can set off PE losses against Foreign Technical Services (FTS) income under section 71 of the Income Tax Act. Despite section 115A(3) restricting expenditure deductions, the tribunal found no explicit prohibition on loss set-off. The assessee is permitted to adjust inter-head income streams, as both income sources fall under the business category. The decision relies on treaty interpretation principles and allows the taxpayer to apply beneficial provisions of the domestic tax law in the absence of specific treaty provisions governing loss set-off.
ITAT ruled that a foreign company with Permanent Establishment (PE) in India can set off PE losses against Foreign Technical Services (FTS) income under section 71 of the Income Tax Act. Despite section 115A(3) restricting expenditure deductions, the tribunal found no explicit prohibition on loss set-off. The assessee is permitted to adjust inter-head income streams, as both income sources fall under the business category. The decision relies on treaty interpretation principles and allows the taxpayer to apply beneficial provisions of the domestic tax law in the absence of specific treaty provisions governing loss set-off.
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TaxTMI 
TaxTMI 
of 4918 
