Misc. Provisions

The Tonnage Tax Scheme is a special taxation regime introduced under Chapter XII-G (Sections 115V to 115VZC) of the Income Tax Act, 1961, to provide a simplified and globally competitive tax framework for Indian shipping companies. Instead of taxing actual profits, this scheme calculates tax based on the net tonnage of ships operated by the company, ensuring a stable and predictable […]

Section 230 of the Income Tax Act, 1961 mandates certain individuals to obtain a Tax Clearance Certificate (TCC) before departing India. This requirement aims to ensure tax compliance and prevent tax evasion by individuals with outstanding liabilities. The provisions distinguish between Indian residents and non-residents, with different rules applying to each category. 1. Understanding Section

Section 245MA of the Income Tax Act, 1961, introduces a faceless dispute resolution mechanism for small and medium taxpayers to reduce litigation and provide faster resolution of tax disputes. Below is a detailed breakdown of its provisions: 1. Objective of DRC To provide early tax certaintyto small taxpayers by resolving disputes at the initial stage. To reduce pendencyin appellate

Section 293D empowers the Central Government to implement a faceless (digital) scheme for granting approvals or registrations under the Income Tax Act, aiming to enhance efficiency, transparency, and accountability. Here’s a detailed breakdown: 1. Key Features of the Scheme The faceless approval/registration scheme is designed to: Eliminate Physical Interface: Minimize direct interaction between taxpayers and tax authorities through digital

1. Overview Section 293C of the Income Tax Act, 1961 empowers the Central Government to withdraw approvals granted to: Institutions Funds Trusts Any other entities that were previously approved under various sections of the Act (e.g., Sections 10(23C), 12AA, 35, etc.). 2. Grounds for Withdrawal Approval may be withdrawn if: The entity violates conditionsof approval Engages in activities contrary

Section 293B of the Income Tax Act, 1961, empowers the Central Board of Direct Taxes (CBDT) to condone delays in obtaining approvals for certain tax-related actions. This provision ensures that procedural delays do not invalidate otherwise valid tax proceedings. 1. When Does Section 293B Apply? This section covers delays in obtaining approvals for: ✅ Reopening of Assessments (Section 147/148) ✅ Search &

Section 285BB of the Income Tax Act, 1961, mandates the Income Tax Department to provide taxpayers with an Annual Information Statement (AIS), a comprehensive summary of their financial transactions. Introduced in 2020, AIS replaces the older Form 26AS and includes expanded details to improve tax transparency and compliance. 1. What is AIS? AIS is a consolidated financial statementthat includes:

Section 285BA of the Income Tax Act, 1961, mandates specified entities to report high-value financial transactions to the tax authorities. This helps curb tax evasion and ensures transparency. Below are the key provisions: 1. Who Must File? The following “specified persons” must report transactions: Banks & Co-operative Banks(cash deposits, withdrawals, credit card payments) . Post Offices(time deposits ≥ ₹10 lakh) .

Section 285B of the Income Tax Act, 1961, mandates producers of cinematograph films and persons engaged in specified activities to submit detailed statements of payments exceeding ₹50,000. Rule 121A prescribes the procedural framework for compliance. 1. Who Must File? Producers of cinematograph films(movies, documentaries, etc.). Persons engaged in specified activities, including: Event management Sports event management Documentary production Production

Section 292B of the Income Tax Act, 1961, protects income tax proceedings from being invalidated due to technical or procedural defects, provided they are substantially compliant with the Act’s intent. Key Provisions of Section 292B Protection from Technical Defects: No return, assessment, notice, summons, or proceedingshall be invalid merely due to: Mistake(e.g., wrong section quoted). Defect(e.g., unsigned notice). Omission(e.g.,