Jurispruden tiol – Tomorrow's cases
Legal Corner Icon — the image was hosted by the publisher and was not captured.Central Excise
Review - Commissioner need not use words, ‘not legal and proper' in his review order - It is not words but substance that matters: Bombay High Court
THE question before the High Court in this Revenue appeal was:-
"Whether on the facts and in the circumstances of the case, the Tribunal was justified in holding that the Commissioner has not recorded satisfaction regarding the legality and propriety of the order appealed against as required under section 35E ( 2) of the Central Excise Act, 1944 and, therefore, the Commissioner (A) was justified in dismissing the appeal filed by the revenue ?
RTI Act:
Income Tax Department determined to deny information - fails in second appeal before HC - no prejudice would be caused in any manner to Revenue if information is disclosed: Delhi HC
JUST a week ago, we carried a story and case where a Single Bench of the Delhi High Court had taken serious note of the lackadaisical approach of the Department in releasing the information. The High Court had directed the department to furnish the information within two weeks. Please see our story and case
Do you think the information was furnished? Respect for judiciary or reducing litigation are not exactly priority areas for Revenue. They took the matter in appeal before a Division Bench.
Income Tax
Deferred tax liability is a provision for tax effect of difference between taxable income and accounting income - Not a provision for income tax paid or payable - it is also not a reserve as same cannot be transferred to P & L a/c, unlike a regular reserve : ITAT
THE main issue in this Revenue appeal was whether in respect of computation of MAT , the deferred tax is not to be reckoned for arriving at the book profit under the explanation to section 115JB .
The Revenue has pleaded that deferred tax is actually
++A Provision for tax effect and is meant for formatting future tax liability.
++That it is not determined during the year and therefore, the same could not be said to be an ASCERTAINED PROVISION.
++ Deferred tax charge is nothing but the charge of income-tax, which is liable to be added in Explanation (a) to sub-section (2) of section 115JB .
++ The same should be treated as an amount credit to reserve within the meaning of Explanation (b) to sub-section (2) of section 115JB .
Until tomorrow with more DDT
Have a nice time.
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