Page 2 - Income Tax Law

Assessee must comply with summons issued by tax authority: Supreme Court

The Supreme Court has held that an assessee must comply with a summons and furnish a response to a show cause notice when it is issued by the central or the state tax authority. "Assessee" under the Income Tax Act of 1961 refers to any individual or entity that holds the legal liability of tax payment or any other financial commitments as specified by the Act. Thus, laying down guidelines to prevent duplication of adjudication by central and state GST authorities, a bench of Justices J B Pardiwala and R Mahadevan said that mere issuance of a summons does not enable either the issuing authority or the recipient to ascertain that proceedings have been initiated. "Where a summons or a show cause notice is issued by either the Central or the State tax authority to an assessee, the assessee is, in the first instance, obliged to comply by appearing and furnishing the requisite response, as the case may be. "Where an assessee becomes aware that the matter being inquired into or investigat

Simple language, lucid, says FM as Parliament passes Income Tax Bill, 2025

Opposition members staged a walkout in the Rajya Sabha during the discussion, mirroring their protest in the Lok Sabha on Monday

LIVE: LS passes Income-Tax (No 2) Bill and Taxation Laws (Amendment) Bill

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New I-T Bill with Parl panel's suggestions to be tabled on Monday: Rijiju

Parliamentary Affairs Minister Kiren Rijiju on Saturday said that Finance Minister Nirmala Sitharaman will introduce the new Income Tax Bill, as cleared by a Select Committee, in the Lok Sabha on Monday. Rijiju's statement came in the wake of apprehensions voiced in a section of the media on the withdrawal of the Income Tax Bill from the Lok Sabha on Friday. "It is being presumed that there will be an absolutely new bill, ignoring the earlier bill for which a lot of work was done, and all the work done and time spent will go down," Rijiju said. The minister made it clear that the apprehensions were ill founded as the new bill to be introduced will incorporate all the changes which have been suggested by the Select Committee and which have been accepted by the government. Rijiju said it was a normal parliamentary procedure when the amendments to a bill already introduced in the Lok Sabha are too many. The Select Committee of the Lok Sabha, chaired by BJP member Baijayant Panda, mad

No retrospective change in I-T Bill, only simplification: Baijayant Panda

The old law had become so complicated that even experts couldn't give the clear answer, says Panda

Foreign firm using shared premises in India liable to income tax: SC

SC rules foreign firm's control over Indian business via shared office space qualifies as a permanent establishment, triggering income tax liability

Less discretion needed: Transfer-pricing proposal may lead to litigation

Indeed, in some cases additional discretionary powers will be granted by some proposed changes.

Income Tax dept working on rules for new direct tax law: CBDT chief

The chairperson of the Central Board of Direct Taxes said the department is aligning its enforcement approach with a principle of "empathy", aiming to improve voluntary compliance

Select Committee submits report on Income Tax Bill, 2025; seeks key edits

A panel of 31 Lok Sabha members, led by Baijayant Panda suggested over 30 changes to ensure clarity, fairness, and alignment with existing laws in the proposed Income Tax Bill, 2025

Parliamentary panel on Income Tax Bill adopts report, makes 285 suggestions

A Parliamentary panel examining the Income Tax Bill-2025 on Wednesday made 285 suggestions on the draft legislation that seeks to modernise and simplify the country's tax laws. The Select Committee of the Lok Sabha to examine the Income Tax Bill-2025, chaired by BJP leader Baijayant Panda, adopted the report on the draft law, which will be presented to the House on Monday, the first day of the Monsoon session. "We have made 285 suggestions to the Bill," a committee member said when asked about the report on the Income Tax Bill. The member said the report of the Select Committee will be presented to the Lok Sabha on Monday and the bill is likely to be passed in the Monsoon session. After the submission of the report by the Committee, the government will consider recommendations and if required, then will take approval from the Cabinet before moving the bill for consideration and passage in the Lok Sabha. The government aims to implement the new Income Tax law from April 1, ...

Up to 200% penalty for tax misreporting: What every filer should know

Misreporting or underreporting income can lead to penalties of up to 200 per cent of the tax due. Tax experts warn that even small errors may trigger scrutiny under the new AI-driven system.

Income-tax Bill 2025: Digital data and the question of power and privacy

A Parliamentary Select Committee reviewing the Bill is expected to submit its report during the monsoon session

From watches to horses: Now, 1% TCS on luxury goods over ₹10 lakh

Earlier, TCS under Section 206C (1F) was applicable primarily to the sale of motor vehicles above ₹10 lakh

Govt seeks to drop 6% equalisation levy on online advertisements

Google, Meta, and X set to be among beneficiaries

Income-Tax Bill expands scope of AMT, increasing tax burden on LLPs

Special treatment of LTCG is proposed to be removed

CBDT permits tax offence settlement through compounding under revised rules

Taxpayers can now settle offences by paying fine, announced the Central Board of Direct Taxes. But, this applies only if the taxpayer has no links to anti-national or terrorist activities

Shah Rukh Khan wins tax case as ITAT dismisses dispute over RA.One earnings

The Income Tax Appellate Tribunal bench held that reassessment of Bollywood actor Shah Rukh Khan's case by the income-tax department was not legally justified

Clubbing of Income: Tax rules on asset transfer to family members explained

The income from the transferred asset is added to the taxable income of the transferor and taxed at their applicable slab rate

Income Tax notice demands details of haircut, perfumes, monthly ration cost

If expenses appear significantly higher than what can be accounted for by these records, individuals may be required to provide detailed expense breakdowns

PPF to EPF: Best tax-saving investments for people opting for old regime

The regime allows taxpayers to claim deductions on various investments and expenses, which can significantly lower their taxable income