Key Takeaways:
- Background of the provision
- Facts of the case
- Contentions of the Assessee
- Constitutional validity of the amendment by the Legislature
- Final Ruling of the Court
Automatic Vacation of Stay Granted by Tribunal: Analysis of SC Ruling DCIT vs...DVSResearchFoundatio
Key Takeaways:
- Background and Overview of Legal Provision
- Facts of the Case
- Contentions of the Assessee and Revenue
- Supreme Court's Verdict
- Key Learnings and Way Forward
Key Takeaways:
- Facts of the case
- Issues and Orders of the case
- Contention of the parties
- Observations by Honourable Supreme Court
- Conclusions
SEBI(LODR) Regulations, 2015- Obligations on listing of specified securities-...DVSResearchFoundatio
Key Takeaways:
- Meetings of shareholders and their voting
- Change in name of the listed entity
- Dissemination of information on website and in newspapers
Compensation paid to accident victims and interest for delayed payment is not...D Murali ☆
Compensation paid to accident victims and interest for delayed payment is not liable to income-tax - T. N. Pandey - Article published in Business Advisor, dated August 10, 2016 - http://www.magzter.com/IN/Shrinikethan/Business-Advisor/Business/
Automatic Vacation of Stay Granted by Tribunal: Analysis of SC Ruling DCIT vs...DVSResearchFoundatio
Key Takeaways:
- Background and Overview of Legal Provision
- Facts of the Case
- Contentions of the Assessee and Revenue
- Supreme Court's Verdict
- Key Learnings and Way Forward
Key Takeaways:
- Facts of the case
- Issues and Orders of the case
- Contention of the parties
- Observations by Honourable Supreme Court
- Conclusions
SEBI(LODR) Regulations, 2015- Obligations on listing of specified securities-...DVSResearchFoundatio
Key Takeaways:
- Meetings of shareholders and their voting
- Change in name of the listed entity
- Dissemination of information on website and in newspapers
Compensation paid to accident victims and interest for delayed payment is not...D Murali ☆
Compensation paid to accident victims and interest for delayed payment is not liable to income-tax - T. N. Pandey - Article published in Business Advisor, dated August 10, 2016 - http://www.magzter.com/IN/Shrinikethan/Business-Advisor/Business/
Key Takeaways:
- Rationale for Introducing Penalty Provisions
- Consequences of Fake Invoicing under Income Tax Act and GST
- Legal Proceedings and Compounding of Offences
- Judicial Precedents
The document provides an overview of public issue of debentures by companies in India. It defines debentures and various types of debentures. It discusses the process of public issue of debentures which requires issue of a prospectus, appointment of a debenture trustee, creation of debenture redemption reserve, and compliance with various other statutory requirements. It also describes different types of prospectus that can be issued for public offer of debentures and exceptions available for certain companies.
This document discusses various aspects of tax residence and source rules under Sri Lankan tax law. It defines tax residence for individuals and companies, and explains that a person's tax residence determines whether their worldwide income or only Sri Lanka-sourced income is taxable. It also discusses common law source rules that determine where different types of income like business profits, interest, royalties arise. It notes that some source rules have been modified by statute. The document provides examples of how these concepts are applied in case law and outlines specific provisions in the Sri Lankan Inland Revenue Act.
Understanding the Recent Developments in taxation of charitable & religious t...Taxmann
OVERVIEW OF NEW SCHEME OF REGISTRATION.
1. Under the existing law, NGOs are required to get registered under section 12A/12AA or to obtain approval under
section 10(23) to claim various exemptions and under Section, 80G to provide deductions to donors.
2. The Finance Act 2020 has introduced substantial changes to the provisions of registration of NGOs. A new section 12AB replaces the existing section 12AA. Similar amendments have been made to section 10(23C) and Section 80G. These changes are effective from 1st June 2020.
3. Registration and approvals of NGOs shall be completely electronic under which a unique registration number (URN) shall be issued to all new and existing charity institutions.
4. NGOs registered prior to 01-06-2020 are required to make an application again under a new scheme of registration.
5. The concept of the perpetuity of registration is withdrawn under the new scheme. The registration under a new scheme
shall be valid for a specified period, that is, up to 3 years for provisional cases and a maximum period of 5 years for
final registration.
6. Registration is required to be renewed every 5 years.
Concept of provisional registration introduced for new charity institutions that are yet to start their charitable activities.
Here we are with the Thirty fifth successive issue of our monthly ‘Missive’.
We trust you will enjoy reading this Missive, even while soaking in the contents. We would very much appreciate your feedback which consistently helps us in improving and upgrading the contents.
Thanks and regards,
Knowledge Management Team
Introduction:
Section 11 deals with Income from property held for “Charitable or Religious purposes.”
The income shall be subjected to the provisions of
Section 60 - Transfer of Income where there is no transfer of assets
Section 61 - Revocable Transfer of Assets
Section 62 - Transfer irrevocable for a specified period
OBJECTIVE
Winding up is the final stage in the business cycle of a company. It is the process of closing down the legal existence of a company. It can be done either by the company on its own (voluntary winding up) or by an order passed by the Tribunal (compulsory winding up). The webinar covers the aspects of various provisions relating to debts and claims against the company as enshrined in Companies Act, 2013 read with Companies (Winding up) Rules, 2020.
Due to the rapid spread of the novel coronavirus disease (COVID-19), India was forced to suspend most of its economic activities, considerably impacted the economy. Given that, suspension of economic activities may trigger debt defaults, the Government attempted to provide various reliefs to business.
Key Takeaways
Analysis of definitions in Income tax act and treaties
Taxability under the act and treaties
IRoyalty vs. Business income
Illustrative Cases
Judicial Precedents
1. Income tax in Sri Lanka is charged under the Inland Revenue Act No. 10 of 2006 which provides the legal authority to levy and collect income tax on profits and income.
2. The Act imposes liability for income tax on the global profits and income of residents, and on profits and income arising in or derived from Sri Lanka for non-residents.
3. A company is considered a resident if its registered office or principal office is in Sri Lanka, or if its central management and control are exercised in Sri Lanka.
Objectives & Agenda :
To know the need and relevanve of income tax, its applicability and its commencement date. To understand the meaning of the term "income" and "tax" and additionally the relevant terms in relation to income and taxes. The webinar shall predominantly focus on the basic and fundamental provisions of Income Tax Act, 1961, which is required to further appreciate the subsequent charging and computational provisions.
Companies (Incorporation) Third Amendment Rules, 2016GAURAV KR SHARMA
The notification amends the Companies (Incorporation) Rules, 2014 to:
1. Allow a natural person to be a member of only one One Person Company.
2. Require consent from trademark owners when including their trademarks in company names.
3. Simplify document filing requirements and allow digital signatures for some documents.
4. Introduce new rules for converting unlimited liability companies to limited liability companies.
The document summarizes changes to India's service tax law that take effect on January 22, 2017. For tour operators, the taxable value increases to 60% but credit can be claimed on all input services. For transportation of goods by vessel, service tax will now be payable under reverse charge if a foreign supplier engages a foreign service provider to transport goods from outside India to an Indian customs station. The person liable will be whoever complies with the relevant sections of India's Customs Act regarding those goods.
The document discusses provisions related to non-residents under Indian law. It defines a non-resident individual as an Indian citizen who stays abroad for employment, business, vacation or uncertain duration. It also considers persons posted in UN organizations and on foreign assignments as non-residents. Further, it discusses tax rates and exemptions applicable to different types of investment and other income earned by non-residents.
The document summarizes key amendments made to various sections of the CGST Act, 2018 through the CGST (Amendment) Act, 2018. Some of the key amendments include expanding the scope of supply, allowing input tax credit for goods/services received by the registered person even if not physically received, increasing the threshold for composition scheme to Rs. 1.5 crores, and clarifying the treatment of input tax credit for motor vehicles and vessels/aircrafts used for transportation.
IBC code – overview:
Insolvency precedes bankruptcy and liquidation follows bankruptcy.
Insolvency warnings:
drop in sales
delay in payments
Increasing reliance on credit
Cash flow test:
when cash flow IN s less than cash flow OUT flow.
Budget 2017-2018 - analysis of indirect tax proposals - generaloswinfo
“There is no significant loss or gain in my indirect tax proposals. – para 181 of FM Speech on 01.02.2017
This entire presentation is linked with English, Hindi and Tamil Film Titles for the purpose of creativity and humor and has no connection with the film or its contents.
Dear Patron
Here we are with the Thirty third successive issue of our monthly ‘Missive’.
We trust you will enjoy reading this Missive, even while soaking in the contents. We would very much appreciate your feedback which consistently helps us in improving and upgrading the contents.
Thanks and regards,
Knowledge Management Team
The Multilateral Instrument (MLI) is the latest development in International taxation which would modify the existing bilateral treaties (DTAAs) and implement measures to prevent Base Erosion Profit Shifting (BEPS) strategies. In this Webinar we shall analyse the provisions of Part VI of the MLI relating to 'Arbitration' which covers Articles 18 to 26.
Part VI - Arbitration - Contains provisions which provide for Arbitration in situations where cases submitted by a taxpayer under Mutual Agreement Procedure [MAP], remains unresolved for a long period of time. Part VI also contains provisions with requirements and guidelines for Arbitrators and the Arbitration Procedure.
ALLOWABILITY OF OUTSTANDING INTEREST CONVERTED INTO DEBENTURES AS AN EXPENSE ...DVSResearchFoundatio
The Supreme Court ruled that the conversion of outstanding interest into debentures by the assessee company qualified for deduction under Section 43B of the Income Tax Act. The conversion was done under a rehabilitation plan agreed with institutional creditors to extinguish the interest liability. The Court observed that Section 43B was not meant to affect bona fide transactions, and debentures were different than loans/borrowings under Explanation 3C. It set aside the High Court's decision and allowed the assessee's claim for deduction, noting the conversion was an actual payment of interest rather than postponing the liability.
AUTOMATIC VACATION OF STAY GRANTED BY TRIBUNALDCIT v. PEPSI FOODS LTD. [2021]...DVSResearchFoundatio
Key Takeaways:
- Background and Overview of Legal Provision
- Facts of the Case
- Contentions of the Assessee and Revenue
- Supreme Court’s Verdict
- Key Learnings and Way Forward
Key Takeaways:
- Rationale for Introducing Penalty Provisions
- Consequences of Fake Invoicing under Income Tax Act and GST
- Legal Proceedings and Compounding of Offences
- Judicial Precedents
The document provides an overview of public issue of debentures by companies in India. It defines debentures and various types of debentures. It discusses the process of public issue of debentures which requires issue of a prospectus, appointment of a debenture trustee, creation of debenture redemption reserve, and compliance with various other statutory requirements. It also describes different types of prospectus that can be issued for public offer of debentures and exceptions available for certain companies.
This document discusses various aspects of tax residence and source rules under Sri Lankan tax law. It defines tax residence for individuals and companies, and explains that a person's tax residence determines whether their worldwide income or only Sri Lanka-sourced income is taxable. It also discusses common law source rules that determine where different types of income like business profits, interest, royalties arise. It notes that some source rules have been modified by statute. The document provides examples of how these concepts are applied in case law and outlines specific provisions in the Sri Lankan Inland Revenue Act.
Understanding the Recent Developments in taxation of charitable & religious t...Taxmann
OVERVIEW OF NEW SCHEME OF REGISTRATION.
1. Under the existing law, NGOs are required to get registered under section 12A/12AA or to obtain approval under
section 10(23) to claim various exemptions and under Section, 80G to provide deductions to donors.
2. The Finance Act 2020 has introduced substantial changes to the provisions of registration of NGOs. A new section 12AB replaces the existing section 12AA. Similar amendments have been made to section 10(23C) and Section 80G. These changes are effective from 1st June 2020.
3. Registration and approvals of NGOs shall be completely electronic under which a unique registration number (URN) shall be issued to all new and existing charity institutions.
4. NGOs registered prior to 01-06-2020 are required to make an application again under a new scheme of registration.
5. The concept of the perpetuity of registration is withdrawn under the new scheme. The registration under a new scheme
shall be valid for a specified period, that is, up to 3 years for provisional cases and a maximum period of 5 years for
final registration.
6. Registration is required to be renewed every 5 years.
Concept of provisional registration introduced for new charity institutions that are yet to start their charitable activities.
Here we are with the Thirty fifth successive issue of our monthly ‘Missive’.
We trust you will enjoy reading this Missive, even while soaking in the contents. We would very much appreciate your feedback which consistently helps us in improving and upgrading the contents.
Thanks and regards,
Knowledge Management Team
Introduction:
Section 11 deals with Income from property held for “Charitable or Religious purposes.”
The income shall be subjected to the provisions of
Section 60 - Transfer of Income where there is no transfer of assets
Section 61 - Revocable Transfer of Assets
Section 62 - Transfer irrevocable for a specified period
OBJECTIVE
Winding up is the final stage in the business cycle of a company. It is the process of closing down the legal existence of a company. It can be done either by the company on its own (voluntary winding up) or by an order passed by the Tribunal (compulsory winding up). The webinar covers the aspects of various provisions relating to debts and claims against the company as enshrined in Companies Act, 2013 read with Companies (Winding up) Rules, 2020.
Due to the rapid spread of the novel coronavirus disease (COVID-19), India was forced to suspend most of its economic activities, considerably impacted the economy. Given that, suspension of economic activities may trigger debt defaults, the Government attempted to provide various reliefs to business.
Key Takeaways
Analysis of definitions in Income tax act and treaties
Taxability under the act and treaties
IRoyalty vs. Business income
Illustrative Cases
Judicial Precedents
1. Income tax in Sri Lanka is charged under the Inland Revenue Act No. 10 of 2006 which provides the legal authority to levy and collect income tax on profits and income.
2. The Act imposes liability for income tax on the global profits and income of residents, and on profits and income arising in or derived from Sri Lanka for non-residents.
3. A company is considered a resident if its registered office or principal office is in Sri Lanka, or if its central management and control are exercised in Sri Lanka.
Objectives & Agenda :
To know the need and relevanve of income tax, its applicability and its commencement date. To understand the meaning of the term "income" and "tax" and additionally the relevant terms in relation to income and taxes. The webinar shall predominantly focus on the basic and fundamental provisions of Income Tax Act, 1961, which is required to further appreciate the subsequent charging and computational provisions.
Companies (Incorporation) Third Amendment Rules, 2016GAURAV KR SHARMA
The notification amends the Companies (Incorporation) Rules, 2014 to:
1. Allow a natural person to be a member of only one One Person Company.
2. Require consent from trademark owners when including their trademarks in company names.
3. Simplify document filing requirements and allow digital signatures for some documents.
4. Introduce new rules for converting unlimited liability companies to limited liability companies.
The document summarizes changes to India's service tax law that take effect on January 22, 2017. For tour operators, the taxable value increases to 60% but credit can be claimed on all input services. For transportation of goods by vessel, service tax will now be payable under reverse charge if a foreign supplier engages a foreign service provider to transport goods from outside India to an Indian customs station. The person liable will be whoever complies with the relevant sections of India's Customs Act regarding those goods.
The document discusses provisions related to non-residents under Indian law. It defines a non-resident individual as an Indian citizen who stays abroad for employment, business, vacation or uncertain duration. It also considers persons posted in UN organizations and on foreign assignments as non-residents. Further, it discusses tax rates and exemptions applicable to different types of investment and other income earned by non-residents.
The document summarizes key amendments made to various sections of the CGST Act, 2018 through the CGST (Amendment) Act, 2018. Some of the key amendments include expanding the scope of supply, allowing input tax credit for goods/services received by the registered person even if not physically received, increasing the threshold for composition scheme to Rs. 1.5 crores, and clarifying the treatment of input tax credit for motor vehicles and vessels/aircrafts used for transportation.
IBC code – overview:
Insolvency precedes bankruptcy and liquidation follows bankruptcy.
Insolvency warnings:
drop in sales
delay in payments
Increasing reliance on credit
Cash flow test:
when cash flow IN s less than cash flow OUT flow.
Budget 2017-2018 - analysis of indirect tax proposals - generaloswinfo
“There is no significant loss or gain in my indirect tax proposals. – para 181 of FM Speech on 01.02.2017
This entire presentation is linked with English, Hindi and Tamil Film Titles for the purpose of creativity and humor and has no connection with the film or its contents.
Dear Patron
Here we are with the Thirty third successive issue of our monthly ‘Missive’.
We trust you will enjoy reading this Missive, even while soaking in the contents. We would very much appreciate your feedback which consistently helps us in improving and upgrading the contents.
Thanks and regards,
Knowledge Management Team
The Multilateral Instrument (MLI) is the latest development in International taxation which would modify the existing bilateral treaties (DTAAs) and implement measures to prevent Base Erosion Profit Shifting (BEPS) strategies. In this Webinar we shall analyse the provisions of Part VI of the MLI relating to 'Arbitration' which covers Articles 18 to 26.
Part VI - Arbitration - Contains provisions which provide for Arbitration in situations where cases submitted by a taxpayer under Mutual Agreement Procedure [MAP], remains unresolved for a long period of time. Part VI also contains provisions with requirements and guidelines for Arbitrators and the Arbitration Procedure.
ALLOWABILITY OF OUTSTANDING INTEREST CONVERTED INTO DEBENTURES AS AN EXPENSE ...DVSResearchFoundatio
The Supreme Court ruled that the conversion of outstanding interest into debentures by the assessee company qualified for deduction under Section 43B of the Income Tax Act. The conversion was done under a rehabilitation plan agreed with institutional creditors to extinguish the interest liability. The Court observed that Section 43B was not meant to affect bona fide transactions, and debentures were different than loans/borrowings under Explanation 3C. It set aside the High Court's decision and allowed the assessee's claim for deduction, noting the conversion was an actual payment of interest rather than postponing the liability.
AUTOMATIC VACATION OF STAY GRANTED BY TRIBUNALDCIT v. PEPSI FOODS LTD. [2021]...DVSResearchFoundatio
Key Takeaways:
- Background and Overview of Legal Provision
- Facts of the Case
- Contentions of the Assessee and Revenue
- Supreme Court’s Verdict
- Key Learnings and Way Forward
The Arbitration and Conciliation (Amendment) Ordinance, 2015 Impact on law l...Singhania2015
In recent times there has been a rapid increase in commerce and industry which has led to parties resorting to arbitration to avoid delayed and protracted litigation. However, in India, the Arbitration and Conciliation Act, 1996 was failing to serve the purpose of alternate dispute resolution.
This document discusses the interpretation of statutes, specifically tax statutes. It provides an overview of key principles of statutory interpretation:
- Interpretation means ascertaining legislative intent through the words used in the statute. Construction involves deriving meaning beyond the literal words.
- For tax statutes, the literal rule of interpretation is most important - the language must be clear and unambiguous for a tax to be imposed. Equitable interpretations are not permitted.
- Other important rules include the golden rule to avoid absurdity, harmonious construction, and reading down provisions to avoid unconstitutionality. Benef
Significant changes to the specific relief act, 1963Shivani Khanna
The Specific Relief (Amendment) Bill, 2017 has been passed by Parliament and is awaiting presidential assent to become law. The bill proposes major amendments to the Specific Relief Act, 1963 including removing courts' discretionary powers. Specifically, it makes specific performance of contracts the general rule rather than an exception. It also introduces the concept of substituted performance where a party can opt to receive compensation rather than specific performance. Further, it expands who can file for recovery of possession of immovable property. The bill also includes provisions related to infrastructure projects aimed at avoiding delays in such projects.
Cassation Against the Suspension of Payment Decision.pdfAHRP Law Firm
On 15 December 2021, the Constitutional Court has issued a decision that significantly affects the Indonesian Commercial Court, as reflected through Constitutional Court Decision No.23/PUU-XII/2021. Due to this, it is now feasible to pursue cassation as legal means against PKPU Decisions. In this Legal Alert, we also have examined example of cases in 2022 which implemented the Constitutional Court Decision No.23/PUU-XII/2021 for your reference
Cassation Against the Suspension of Payment Decision.pdfAHRP Law Firm
On 15 December 2021, the Constitutional Court has issued a decision that significantly affects the Indonesian Commercial Court, as reflected through Constitutional Court Decision No.23/PUU-XII/2021. Due to this, it is now feasible to pursue cassation as legal means against PKPU Decisions. In this Legal Alert, we also have examined example of cases in 2022 which implemented the Constitutional Court Decision No.23/PUU-XII/2021 for your reference
The Madras High Court dismissed a writ petition challenging fees charged to insolvency professionals (IPs) by the Insolvency and Bankruptcy Board of India (IBBI). The court held that the IBBI has the authority under the Insolvency and Bankruptcy Code (IBC) to frame regulations setting fees for IPs, including as a percentage of annual remuneration. It also found no issue of excessive delegation of powers. The court concluded there is a broad correlation between the services provided by the IBBI and the fees charged to IPs, so the fee regulations do not lack constitutional validity.
This document is a draft bill from the Republic of Liberia titled the "Decent Work Bill 2009". It contains 12 chapters that establish a framework for fundamental rights at work, institutions and administration of labor laws, employment conditions, occupational safety and health, workers' compensation, labor organizations, collective bargaining, and dispute resolution. The bill aims to promote decent work and fulfill international labor obligations while supporting economic growth. It defines key terms and sets out the objectives, scope, and implementation of labor law protections in Liberia.
The document summarizes a 1976 decision by the British Columbia Labour Relations Board regarding the dismissal of an employee. The Board emphasized that under collective bargaining laws, an employee has legal protection from dismissal without just cause. This is a significant shift from common law, which allowed employers broad discretion to terminate employment. The Board also noted that collective agreements provide employers disciplinary options beyond dismissal, such as suspension, and arbitrators generally require lesser measures be tried before dismissal.
This document provides APPEA's submission regarding the Mineral and Energy Resources (Common Provisions) Bill 2014 to the Agriculture, Resources and Energy Committee. It discusses key issues and proposed amendments to chapters in the bill relating to dealings, caveats, associated agreements, land access provisions, restricted land, gas emissions, overlapping tenure and incidental coal seam gas. Specifically, it notes the importance of regulations not yet released, potential drafting errors, issues with transitional provisions, land access provisions and notifications, and liability and agreement recording requirements. The submission aims to ensure a world class regulatory framework that encourages economic development and regulatory confidence.
Specific Relief Act Sections & Case Laws PPT.pptxsrikarna235
The document discusses the Specific Relief Act, 1963 which provides remedies such as specific performance and injunctions. It discusses:
1) The history and background of the Act, replacing an earlier 1877 version to follow the English position on equitable remedy of specific performance.
2) Key sections of the Act are summarized, including sections related to recovery of specific property, suits by persons dispossessed of property, and specific performance of contracts.
3) Amendments to the Act in 2018 are mentioned, changing specific performance of contracts from a discretionary relief to mandatory, while still subject to exceptions in sections 11, 14 and 16.
The summary briefly outlines the purpose of the Specific Relief Act and discusses some important sections
1. Debts arising from violations of federal or state securities laws are generally not dischargeable through bankruptcy under Section 523(a)(19) of the Bankruptcy Code. This section was added in 2002 to close a loophole that allowed those convicted of securities fraud to discharge debts owed to victims.
2. There is debate around whether bankruptcy courts have jurisdiction to determine liability and damages for securities law violations under Section 523(a)(19), or if they are limited to applying issue preclusion based on determinations made in other courts.
3. In addition to Section 523(a)(19), debts from securities violations may also potentially be exempt from discharge under Sections 523(a)(2), (4), and (
1. The document discusses the effects of employment contracts and termination of employment contracts under South Sudanese law. It outlines the key obligations and rights that stem from a contract of employment, such as payment of wages and defining the scope of work.
2. Methods of terminating employment contracts are described, including termination by notice or payment in lieu of notice. Procedures for termination due to gross misconduct are also provided. Unfair dismissal and available remedies like reinstatement, re-engagement, and compensation awards are explained.
3. Dispute resolution processes for contested terminations are summarized, including reporting disputes to the labor commission and applying to the labor court. The burden of proof in such proceedings is also covered.
Insolvency and Bankruptcy Code Analysis Of A Selected Few Orders- Part IIShruti Jadhav
The document analyzes recent court decisions under the Insolvency and Bankruptcy Code of India pertaining to the discretion of the National Company Law Tribunal (NCLT) in admitting insolvency applications. Specifically, it discusses a case where the NCLT was argued to have discretion when admitting an application from a financial creditor under Section 7, compared to when it must admit applications from operational creditors or corporate applicants under Sections 9 and 10. The document also examines judicial interpretations of the words "may" and "shall" in the relevant sections and notes that the true scope of the NCLT's discretion remains an open question.
Mardia chemicals case by shreya a322509022Shreya Ganguly
This case involves a challenge to the validity of certain provisions of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002. [1] The Supreme Court upheld the main provisions of the Act, including Section 13 which allows secured creditors to enforce security interests without court intervention. [2] However, the Court struck down the requirement under Section 17(2) that borrowers deposit 75% of the claimed amount before appealing to the Debt Recovery Tribunal, finding it to be arbitrary. [3] While the main structure of the Act was upheld, the judgment did not fully address the tensions between the Act and the Companies Act regarding the rights of secured vs. unsecured creditors when a company becomes insol
Mardia chemicals case by shreya a322509022Shreya Ganguly
This case involves a challenge to the validity of certain provisions of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002. [1] The Supreme Court upheld the main provisions of the Act, including Section 13 which allows secured creditors to enforce security interests without court intervention. [2] However, the Court struck down the requirement under Section 17(2) that borrowers deposit 75% of the claimed amount before appealing to the Debt Recovery Tribunal, finding it to be an arbitrary requirement. [3] Overall the judgment upheld the main structure of the Act but identified some deficiencies, such as not addressing the tension between the Act and the Companies Act regarding winding up of companies.
Mardia chemicals case by shreya a322509022Shreya Ganguly
This case involves a challenge to the validity of the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002. The key issues are: 1) Whether it is necessary for the court to evaluate the necessity of a statute, 2) Whether existing contract rights can be amended by law in favor of one party, and 3) Whether Section 13 of the Act, which allows secured creditors to enforce security without court intervention, is unconstitutional. The court found that it cannot evaluate the necessity of a statute and that contract rights can be amended by law. It upheld most of Section 13 but added requirements that creditors disclose reasons for not accepting objections and that enforcement can be challenged on the grounds of fraud.
Similar to Deduction of Leave Encashment on Payment Basis: Analysis of SC Ruling Union of India Vs. Exide Ind. (20)
SCRAPPING OF RETRO TAX PROVISIONS : A REVIVAL OF OVERSEAS INTEREST IN INDIADVSResearchFoundatio
The document summarizes the scrapping of retroactive tax provisions in India. It provides background on retroactive taxation laws introduced in 2012 in response to court rulings. It analyzes prominent cases like Vodafone and Cairn Energy that challenged the retroactive taxes under bilateral investment treaties. The Taxation Laws Amendment Act of 2021 was passed to scrap these retroactive provisions and provide tax refunds to affected companies like Cairn Energy. The act aims to improve India's reputation as an investment destination and revive interest from foreign investors.
Key Takeaways: - Analysis of section 45(4), section 9B of the Income Tax Act...DVSResearchFoundatio
Key Takeaways:
- Analysis of section 45(4), section 9B of the Income Tax Act and Rule 8AA and Rule 8AB of Income Tax Rules
- Illustrations to understand the relevant impact
- Critical Issues concerned with the provisions
Key Takeaways:
- Facts of the case
- Issues and Orders of the case
- Contention of the parties
- Observations by Honourable Supreme Court
- Conclusions
FALLACIOUS DISREGARDING OF TRANSACTIONS THAT RESULT IN A TAX BENEFIT TO THE A...DVSResearchFoundatio
Key Takeaways:
- Facts of the case
- AO's contention
- Ruling of CIT(A) and issues for consideration of the ITAT
- Observations of ITAT
- Final Ruling
- Way Forward
Key Takeaways:
- Facts of the case
- Issues and Orders
- Contention of the parties
- Observations of Honourable Supreme Court
- Conclusion and way forward
This document outlines the process and documentation required for an SME to obtain an in-principle approval for an initial public offering (IPO) listing on the National Stock Exchange of India (NSE). It details the documents required to be submitted on T+2, T+3, T+4, and T+5 days from the date of in-principle approval to finalize the listing. These include annual reports, board resolutions, shareholding details, basis of allotment, post-issue shareholding pattern, and confirmation from issuers, merchant bankers, and statutory auditors. It also provides information on NEAPS platform registration and payment of processing and annual listing fees.
What are the post listing compliance norms for SME entities?DVSResearchFoundatio
The document summarizes post-listing compliance norms for small and medium enterprises (SMEs) listed on SME exchanges in India. It discusses requirements for further capital issues, green shoe options, migration to the main board, further public offerings, and mandatory and voluntary disclosures. Key requirements include making full disclosures for further issues, obtaining shareholder approval for green shoe options, complying with eligibility criteria for migration, and submitting regular financial disclosures and statements on the use of IPO proceeds.
1) Prior to listing on an SME exchange, a company must file an offer document with SEBI and the relevant stock exchange and appoint qualified intermediaries like lead managers, registrars, and syndicate members.
2) The company must make required disclosures in the offer document and the lead manager must conduct due diligence on these disclosures.
3) After filing the offer document, the company must price the issue, keep the issue open for subscription for at least 3 days, and ensure the issue is underwritten and market making arrangements are in place.
This document outlines the criteria for Small and Medium Enterprises (SMEs) to list on the SME platforms of the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) in India. The key eligibility criteria are a positive net worth, a track record of at least 3 years of operations, and operating profits over the last 2-3 years. Additional disclosure requirements include details on directors, regulatory actions, litigation status, and defaults. SMEs listed can later migrate to the main board of the exchanges if they meet certain criteria like company size and track record. As of now, over 220 companies are listed on NSE's SME platform and over 100 have migrated from BSE's SME platform
Key Takeaways:
- Background and Overview of Legal Provision
- Facts of the Case
- Contentions of the Assessee and Revenue
- Supreme Court’s Verdict
- Key Learnings and Way Forward
An Indian individual seeks to incorporate a company in Singapore. The process involves obtaining name approval, determining the company structure as a private or public company, appointing directors and other key personnel, selecting a registered office address, and drafting a company constitution. Once incorporated, the new company can open a Singapore bank account and obtain a tax residency certificate. Indian regulations allow for foreign direct investment through the automatic route or approval route depending on the amount and financial commitment. The entire incorporation process can be completed quickly online but setting up documents may take a few days.
Commissioner of income tax-iv.reliance energy ltd.[2021] 127 taxmann.com 69(sc)DVSResearchFoundatio
The Supreme Court ruled that deductions under Section 80-IA of the Income Tax Act can be adjusted against income from other sources, not just business income.
The Revenue Department had argued that Section 80-IA(1) limits deductions to only business income based on the phrase "derived from". However, the Supreme Court observed that Section 80-IA(5) deals only with computing the deduction amount, not limiting it.
The ruling allows eligible businesses to set off Section 80-IA and similar deductions against any head of income, not just profits and gains from business, subject to the overall gross total income limit. This provides tax relief to companies with other sources of income.
Project Office For Communication Purposes: Will It Constitute A PE?DVSResearchFoundatio
Key Takeaways:
- Background of the Case
- Contentions of the Department and Assessee
- Principles and Precedents Governing the Rule of PE
- Supreme Court's Verdict
Company Valuation webinar series - Tuesday, 4 June 2024FelixPerez547899
This session provided an update as to the latest valuation data in the UK and then delved into a discussion on the upcoming election and the impacts on valuation. We finished, as always with a Q&A
Top mailing list providers in the USA.pptxJeremyPeirce1
Discover the top mailing list providers in the USA, offering targeted lists, segmentation, and analytics to optimize your marketing campaigns and drive engagement.
Industrial Tech SW: Category Renewal and CreationChristian Dahlen
Every industrial revolution has created a new set of categories and a new set of players.
Multiple new technologies have emerged, but Samsara and C3.ai are only two companies which have gone public so far.
Manufacturing startups constitute the largest pipeline share of unicorns and IPO candidates in the SF Bay Area, and software startups dominate in Germany.
LA HUG - Video Testimonials with Chynna Morgan - June 2024Lital Barkan
Have you ever heard that user-generated content or video testimonials can take your brand to the next level? We will explore how you can effectively use video testimonials to leverage and boost your sales, content strategy, and increase your CRM data.🤯
We will dig deeper into:
1. How to capture video testimonials that convert from your audience 🎥
2. How to leverage your testimonials to boost your sales 💲
3. How you can capture more CRM data to understand your audience better through video testimonials. 📊
Understanding User Needs and Satisfying ThemAggregage
https://www.productmanagementtoday.com/frs/26903918/understanding-user-needs-and-satisfying-them
We know we want to create products which our customers find to be valuable. Whether we label it as customer-centric or product-led depends on how long we've been doing product management. There are three challenges we face when doing this. The obvious challenge is figuring out what our users need; the non-obvious challenges are in creating a shared understanding of those needs and in sensing if what we're doing is meeting those needs.
In this webinar, we won't focus on the research methods for discovering user-needs. We will focus on synthesis of the needs we discover, communication and alignment tools, and how we operationalize addressing those needs.
Industry expert Scott Sehlhorst will:
• Introduce a taxonomy for user goals with real world examples
• Present the Onion Diagram, a tool for contextualizing task-level goals
• Illustrate how customer journey maps capture activity-level and task-level goals
• Demonstrate the best approach to selection and prioritization of user-goals to address
• Highlight the crucial benchmarks, observable changes, in ensuring fulfillment of customer needs
The 10 Most Influential Leaders Guiding Corporate Evolution, 2024.pdfthesiliconleaders
In the recent edition, The 10 Most Influential Leaders Guiding Corporate Evolution, 2024, The Silicon Leaders magazine gladly features Dejan Štancer, President of the Global Chamber of Business Leaders (GCBL), along with other leaders.
buy old yahoo accounts buy yahoo accountsSusan Laney
As a business owner, I understand the importance of having a strong online presence and leveraging various digital platforms to reach and engage with your target audience. One often overlooked yet highly valuable asset in this regard is the humble Yahoo account. While many may perceive Yahoo as a relic of the past, the truth is that these accounts still hold immense potential for businesses of all sizes.
B2B payments are rapidly changing. Find out the 5 key questions you need to be asking yourself to be sure you are mastering B2B payments today. Learn more at www.BlueSnap.com.
IMPACT Silver is a pure silver zinc producer with over $260 million in revenue since 2008 and a large 100% owned 210km Mexico land package - 2024 catalysts includes new 14% grade zinc Plomosas mine and 20,000m of fully funded exploration drilling.
Best practices for project execution and deliveryCLIVE MINCHIN
A select set of project management best practices to keep your project on-track, on-cost and aligned to scope. Many firms have don't have the necessary skills, diligence, methods and oversight of their projects; this leads to slippage, higher costs and longer timeframes. Often firms have a history of projects that simply failed to move the needle. These best practices will help your firm avoid these pitfalls but they require fortitude to apply.
The Evolution and Impact of OTT Platforms: A Deep Dive into the Future of Ent...ABHILASH DUTTA
This presentation provides a thorough examination of Over-the-Top (OTT) platforms, focusing on their development and substantial influence on the entertainment industry, with a particular emphasis on the Indian market.We begin with an introduction to OTT platforms, defining them as streaming services that deliver content directly over the internet, bypassing traditional broadcast channels. These platforms offer a variety of content, including movies, TV shows, and original productions, allowing users to access content on-demand across multiple devices.The historical context covers the early days of streaming, starting with Netflix's inception in 1997 as a DVD rental service and its transition to streaming in 2007. The presentation also highlights India's television journey, from the launch of Doordarshan in 1959 to the introduction of Direct-to-Home (DTH) satellite television in 2000, which expanded viewing choices and set the stage for the rise of OTT platforms like Big Flix, Ditto TV, Sony LIV, Hotstar, and Netflix. The business models of OTT platforms are explored in detail. Subscription Video on Demand (SVOD) models, exemplified by Netflix and Amazon Prime Video, offer unlimited content access for a monthly fee. Transactional Video on Demand (TVOD) models, like iTunes and Sky Box Office, allow users to pay for individual pieces of content. Advertising-Based Video on Demand (AVOD) models, such as YouTube and Facebook Watch, provide free content supported by advertisements. Hybrid models combine elements of SVOD and AVOD, offering flexibility to cater to diverse audience preferences.
Content acquisition strategies are also discussed, highlighting the dual approach of purchasing broadcasting rights for existing films and TV shows and investing in original content production. This section underscores the importance of a robust content library in attracting and retaining subscribers.The presentation addresses the challenges faced by OTT platforms, including the unpredictability of content acquisition and audience preferences. It emphasizes the difficulty of balancing content investment with returns in a competitive market, the high costs associated with marketing, and the need for continuous innovation and adaptation to stay relevant.
The impact of OTT platforms on the Bollywood film industry is significant. The competition for viewers has led to a decrease in cinema ticket sales, affecting the revenue of Bollywood films that traditionally rely on theatrical releases. Additionally, OTT platforms now pay less for film rights due to the uncertain success of films in cinemas.
Looking ahead, the future of OTT in India appears promising. The market is expected to grow by 20% annually, reaching a value of ₹1200 billion by the end of the decade. The increasing availability of affordable smartphones and internet access will drive this growth, making OTT platforms a primary source of entertainment for many viewers.
Taurus Zodiac Sign: Unveiling the Traits, Dates, and Horoscope Insights of th...my Pandit
Dive into the steadfast world of the Taurus Zodiac Sign. Discover the grounded, stable, and logical nature of Taurus individuals, and explore their key personality traits, important dates, and horoscope insights. Learn how the determination and patience of the Taurus sign make them the rock-steady achievers and anchors of the zodiac.
Building Your Employer Brand with Social MediaLuanWise
Presented at The Global HR Summit, 6th June 2024
In this keynote, Luan Wise will provide invaluable insights to elevate your employer brand on social media platforms including LinkedIn, Facebook, Instagram, X (formerly Twitter) and TikTok. You'll learn how compelling content can authentically showcase your company culture, values, and employee experiences to support your talent acquisition and retention objectives. Additionally, you'll understand the power of employee advocacy to amplify reach and engagement – helping to position your organization as an employer of choice in today's competitive talent landscape.
4. PRESENTATION SCHEMA
Background and Facts of the
Case
Contentions of the Assessee
and High Court Ruling
Constitutional validity of Sec
43B(f)
SC’s Contentions against HC
Ruling
Conclusion
6. 1 (2000) 245 ITR 428 (SC)
BACKGROUND
The deductibility of provision of leave encashment has been a long-
standing contentious tax issue.
The Hon’ble SC settled the issue in Bharat Earth Movers1 by holding
that taxpayer can claim the provision for leave encashment in the
year in which the liability has accrued even though it has not been
finally discharged.
Section 43B of the ITA was amended (with prospective effect) by the
Finance Act, 2001 in contrast to the decision of the SC in Bharat Earth
Movers.
Clause (f) was inserted in Section 43B to provide that leave
encashment shall be allowed on payment basis only.
7. FACTS OF THE CASE
The Assessee computed their profits and gains of business in accordance with the mercantile system by way of
Section 145 of the ITA (which grants Assessee the freedom to choose the mode of accounting)
As per the mercantile system, income and expenditure are determined on the basis of accrual or provision and
not on the basis of actual receipt/payment.
Thus, the Assessee was aggrieved with the inclusion of Section 43B(f) which mandated that leave encashment
would be allowed as expenditure on “actual payment basis” and not on accrual basis
The constitutional validity of this Section 43B (f) was challenged before the Calcutta High Court in in Exide
Industries Ltd. v. Union of India1.
The Hon’ble HC held that clause (f) of Section 43B is arbitrary and unreasonable and violative of Article 14 of
the Constitution of India2
The instant case is an appeal from the order of the Calcutta High Court.
1 (2007) 212 CTR 206
2Article 14 guarantees the right to Equality and Equal protection of the laws.
8. CHRONOLOGY OF THE INSTANT CASE AND PAST RULINGS
SC holds in the case of Bharat
Movers that “leave
encashment” is a present
liability, according to which,
deduction can be availed in the
year of accrual (Year 2000)
Clause (f) inserted in Sec 43B
vide Finance Act, 2021,
disallowing leave encashment
on accrual basis
Section 43B(f) was challenged
before Single Judge Bench of
Calcutta High Court.
• Held: Section 43B(f) is valid
The order of Single Judge Bench was appealed
before the Division Bench of Calcutta High
Court.
• Held: Reverses the order of Single Judge and
declares Section 43B(f) as unconstitutional
The aggrieved party appeals this order
before the Supreme Court which decides
the constitutional validity of Section 43B(f).
• On appeal before the Hon’ble SC
The above is elaborated in further slides
10. ABSENCE OF NEXUS OF CLAUSE (f) WITH SEC 43B
Section 43B of the IT Act carves out an exception to the general rule of accrual for determination of
liability, as it subjects deductions in lieu of certain kinds of liabilities to actual payment.
Exceptions under this section comes into operation in a limited set of cases covering statutory liabilities
like tax, duty, cess etc. and other liabilities created for the welfare of employees.
Liability under the leave encashment scheme being a trading liability cannot be subjected to the exception
under Section 43B of the IT Act.
Nature of liability of leave encashment not in scheme of other statutory liabilities in Sec 43B
11. NONDISCLOSURE OF OBJECTS AND REASONS BEHIND ITS
ENACTMENT AND INSERTION INTO SECTION 43B
While initially Sec 43B was inserted vide the Finance Bill, 1983, the Memorandum put forward the need
of the insertion
It was explained that the inclusion of these deductions by citing certain practices of evasion of
statutory liabilities and other liabilities for the welfare of employees
However, when new clause (f) was introduced, the Memorandum was silent in explaining the objects
and reasons
Hence, the Division Bench of the HC, plainly glossed over the fundamental presumption of
constitutionality in favour of clause (f) and based its judgment upon the absence of objects and
reasons as striking at the root of its validity
12. NULLIFICATION OF THE RULING IN BHARAT EARTH MOVERS
Assessee relied on the SC verdict in Bharat Earth Movers which discussed the nature of the liability of leave
encashment
It was held in the ruling that leave encashment, being a business liability (and when present and definite
liability), should be claimed in the same previous year in which it is accrued, even though it may be paid
subsequently.
Therefore assessee contended that the Amendment of Section 43B was done to subjugate the legal position in
Bharat Earth Movers and it violated the principle of separation of powers.*
*Principle of separation of powers: One organ of the Government should not control or interfere with the
exercise of its function by another organ (democracy between the three main organs of a Government
namely i) The Legislative; ii) The Executive and iii) The Judicial)
14. To test the constitutional validity of a
provision, the Court performs two tests:
To inspect the existence of enacting power;
To ascertain whether the enacted provision
violates any Fundamental right preserved in
Part III of the Constitution (Fundamental
Rights).
PRINCIPLES OF TEST OF CONSTITUTIONALITY
15. SUPPLEMENTARY PRINCIPLES OF TEST OF
CONSTITUTIONALITY OF FISCAL STATUTES
There is always presumption in favour of constitutionality of a law made by Parliament or a State
Legislature.
No enactment can be struck down for it being arbitrary or unreasonable or irrational but some
constitutional infirmity has to be found
The court cannot judge the wisdom or unwisdom of the law as Parliament are supposed to be alive to
the needs of the people and are the best judge of the community by whose suffrage they come into
existence
Hardship is not relevant in pronouncing on the constitutional validity of a fiscal statute or economic law
In the field of taxation, the legislature enjoys greater latitude for classification
The Court relied on the principles laid down by the Hon’ble SC in State of M.P. v. Rakesh Kohli
on deciding the constitutional validity of Fiscal statutes
16. The Legislature has included certain deductions in the ambit of Section
43B so as to subject such deductions to conditionality of actual
payment.
It is not a provision to place any embargo upon the autonomy of the
assessee in adopting a particular method of accounting, nor deprives
the assessee of any lawful deduction.
This is a matter for the legislature and its wisdom in doing so. And it
is fully within its powers to do so.
WISDOM OF LEGISLATURE PRINCIPLE
17. The Leave encashment scheme envisages the payment of a certain amount to the employees in lieu of
their unused paid leaves in a year.
The nature of this payment is beneficial and pro-employee.
Sec 43B(f) was enacted to rectify a situation of double benefit to the employer — i.e.
• Advance deduction from tax liability without any burden of actual payment and
Refusal to pay as and when occasion arises.
The thrust of the provision is not to control the timing of payment, rather, it is to control the timing of
claiming deduction in the name of such liability.
HISTORY AND OBJECT OF SECTION 43B (f)
18. NATURE OF DEDUCTION IN SECTION 43B
• The Court finds a presumption of Constitutionality in favour of the provision.
• Broad objective of enacting Section 43B’s specified deductions was to protect larger public
interest primarily of revenue and including welfare of the employees.
• It negates the contention of Respondents that Section 43B should be restricted it to a particular
category of deduction i.e. Statutory deductions.
• The Court finds that with regard to Section 43B the legislature never restricted it to a particular
category of deduction and it was a mixed bag of deductions.
Section 43B is a mix bag of deductions. New and dissimilar entries have been inserted therein from time to
time to cater to different fiscal scenarios.
20. NONDISCLOSURE OF OBJECTS AND REASONS BEHIND ITS
ENACTMENT AND INSERTION INTO SECTION 43B
Supreme Court’s Verdict
The non-disclosure of objects and reasons has no impact upon the constitutional validity of a
provision unless the provision is ambiguous.
While examining the validity of a provision, the primary concern is to interpret the literal text of
the provision for its true meaning and purpose.
If the text of the provision is unambiguous, the legislative intent gets fused and manifested
therefrom
21. INCONSISTENCY OF CLAUSE (f) WITH OTHER CLAUSES
OF SECTION 43B
Supreme Courts’ verdict
Based on the amendments to the provisions of section 43B of the Act over the years, the legislature
never restricted the provision only to deduction of statutory liabilities.
It had taken within its fold diverse nature of deductions and there was no uniformity in the nature
of deductions that were included within the ambit of this section.
The introduction of clause (f) of section 43B of the Act fits within the broad objective of enacting
the section to protect the larger public interest, primarily of revenue, and including the welfare of
employees.
22. ENACTMENT HAS BEEN TRIGGERED SOLELY TO NULLIFY
THE DICTUM IN BHARAT EARTH MOVERS
Supreme Courts’ verdict
While the legislature cannot overrule or invalidate a judgment of this Court, it can amend or enact a
valid law on a topic within its legislative field.
Clause (f) of section 43B of the Act neither reverses the nature of the leave encashment liability
nor has it taken away the deduction. It merely defers the benefit of deduction to be availed by the
taxpayer, by linking it to the actual payment of the concerned employee.
The clause was introduced with prospective effect and with the intent to regulate the deduction of
leave encashment liability to curb mischief.
23. FINAL RULING
• Merely because a liability was held to be a “present liability” qualifying for instant deduction in
terms of the applicable provisions at the relevant time does not, by the very fact, signify that
deduction against such liability cannot be regulated by a law made by Parliament prospectively
• Therefore, there has not been any constitutional infirmity or violation of Fundamental Rights by
insertion of clause f in Section 43B.
• Accordingly, the impugned judgment of the Division Bench of the High Court is reversed and
clause (f) in Section 43B is held to be constitutionally valid and operative for all purposes.
.
25. KEY LEARNINGS
The issue of allowability of leave encashment in Section 43B(f) has been decided by the Supreme Court.
Section 43B strictly targets to ensure that the deduction is claimed on a specified expense when actually paid.
The mischief that the employer claiming the tax deduction of such a payment at a point of time and may end up
not paying the amount to the employee at all is sought to be remedied by insertion of clause (f) of Section 43B.
The Court held that clause (f) is meeting with the objectives of section 43B.
The insertion of clause (f) has not extinguished the choice of the Assessee to follow the mercantile system.
It merely defers the benefit of deduction to be availed by the assessee for the purpose of computing his taxable
income and links it to the date of actual payment thereof to the employee concerned.
Section 43B(f) is constitutionally valid