Deductibility of settlement payments for securities law penalties and treatment of unexplained cash credits in share trading -- Tribunal upholds posit...
Threshold for allottee-initiated insolvency petitions in leasehold real estate upheld; petition admitted after possession letters deemed legally ineff...
Contravention of foreign exchange rules in crossborder diamond payments; appellate tribunal reduces one appellant's penalty for delay and proportional...
RPA (Remote Pilot Aircraft) for military use defined to include drones/UAV/UAS; exemptions limited to specified defence imports with Joint Secretary c...
Issue concerns tax treatment of employer payments to an insurer for a future annuity structured for the employee. The article applies the principle that perquisite taxation requires the employee to have a vested, due or enforceable right; contingent or non vested future entitlements are not taxable in the year of employer contribution. It reasons that taxing the employer's payment when the employee has no enforceable right would duplicate taxation because annuity instalments are later taxed on receipt or accrual. Outcome: employer contribution should not be taxed in the contribution year to avoid impermissible double taxation.
Issue concerns tax treatment of employer payments to an insurer for a future annuity structured for the employee. The article applies the principle that perquisite taxation requires the employee to have a vested, due or enforceable right; contingent or non vested future entitlements are not taxable in the year of employer contribution. It reasons that taxing the employer's payment when the employee has no enforceable right would duplicate taxation because annuity instalments are later taxed on receipt or accrual. Outcome: employer contribution should not be taxed in the contribution year to avoid impermissible double taxation.
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