1.Indian company issued work order to foreign company in INR
2. They have a 55% subsidiary company in India
3. If the order value is Rs.100/- , the subsidiary co. in India will raise bill of Rs.80/- and foreign company will also raise invoice in INR for Rs.20/-
4.The remittance of Rs.20/-will be in foreign currency and directly payable to foreign company
My question are:
a) The invoice raised by foreign company in INR for Rs.20/- is valid or not.
b) Is this can be treated as Import of Service
c) Is IGST payable on RCM on import of services?

Dear Experts,

I need your advice on the following tax matter on capital gains on joint property

I bought a flat in 2009, which was registered jointly in my name and my wife's name. However, the entire value was fully financed only by me, a small component from my savings and around 90% from the housing loan. The payments for the housing loan were also made by me out of my salary, including the early settlement amount made to foreclose the loan. The joint registration was done only to facilitate hassle-free transfer in an unlikely event. No amount was paid by my wife for this house property.

Further, I had mentioned 100% ownership of this property in all my income tax returns and declared the income from rentals fully under my name. In 2014 I sold this property and full consideration was received in my bank account after TDS which was deducted under my PAN only. I had declared the full capital gains in my return. Since I had reinvested the amount in a new house property (registered only in my name) there was no capital gains tax.

IT department has initiated a show cause notice in my wife's name seeking clarification as to why the department should not consider 50% of the sale proceeds as capital gains under her name. When I checked with few friends who are CAs, they said if a joint owner has not funded for the house property, the taxability lies in the hands of the other joint owner(s) only. I am looking for solid grounds to defend my case. Are there any provisions in the law, or circulars, clarifications, court cases for me to do so.

Appreciate receiving a reply.

Thanking you all in advance,

Regards,

Although my original and revised returns always processed within 10 days always. But I filed updated return in January still more than one month but not processed. Kindly tell when can I expect processing and why it is taking more time in case of updated return

WHETHER THERE IS ANY TIME LIMIT FOR FILING RECTIFICATION U/S 154 FROM THE DATE OF FILING ORIGINAL RETURN?

Hi Sir/Madam,

My Company purchased a fixed asset for Rs. 51500. Out of 50000,Rs.1500 is for transportation charges. Whether TDS applicable on Transportation charges of Rs. 1500?

Get a top-notch personal statement from experts at the leading company in the UK that assists students with a smooth and successful admission process. We aim to provide a well formatted, structured personal statements for all academic institutions including:
Personal statement writing
Business personal statement
Economics personal statement
Law personal statement
MBA personal statement
Nursing personal statement
Personal statement editing
SOP writing service
Visit our website,
https://www.personalstatementwriter.co.uk/

Hello Tax experts,

My query is related to the interplay of Advance Tax, Long Term Capital Gains and Section 54F exemption for some recent financial transactions.

I sold shares in Jan 2024 and earned Long Term Capital Gains > Rs. 1 lakh. I plan to invest the entire sale proceeds in a residential property to avail LTCG tax exemption under Sec 54F.

1. So, do i need to pay advance tax on the LTCG ( @ 10% of LTCG) in March 2024 quarter to avoid interest/penalty under Sec 234A/B/C?

2. If I have to pay advance tax by Mar 2024, it means that i have effectively paid the LTCG tax to IT dept, and in future I'll have to seek refund of it when I apply for Sec 54F exemption. Is this understanding correct? If not, please correct me.

3. If i skip paying advance tax by Mar 2024 and deposit entire sale proceeds into Capital Gains Account Scheme (CGAS) by 31 July 2024, will i still be charged interest/penalty under Sec 234A/B/C?

4. Any other ways by which I can eliminate the need to pay taxes upfront/block my money whether in form of Advance tax, CGAS deposits, Sec 54F exemption etc.

Requesting genuine advice from the experts on this forum and thanking them in advance for their valuable time and advice.

Dear Experts,

One commercial property was purchased by a partnership firm in 2005 consisting of 5 partners.

However in a span of 4 to 5 years , 4 partners retired from the partership due to losses in business and partnership firm was dissolved. Also in land records , the property was transferred to the 5th partner who then continued the business as a proprietory concern. However no compensation was paid to 4 retiring partners due to losses in business as per agreement.

Now if the 5th partner i.e the sole proprietor sells the property what will be the cost of property for purpose of Capital gains? Will it be only his share when the property was originally purchased or entire cost of the property?

Please advice

Regards,

For FY 2020-21, the income tax return was filed under new tax regime but while filing Revised return (ITR 3) The return was processed without considering the same as it was not opted within the the orginal due date. The income tax return for the subsequent two years was filed under new tax regime without filing the form but within due date and the same was processed with demand ( Old regime). Can you please advice the resolution of this issue.

Thanks in Advance

How to check supplier status of compliances By Pan Card No?