Manager - Direct Tax
The Union Budget 2024-25 introduces several pivotal changes aimed at enhancing the financial landscape of India. Among the key highlights are the revised tax slabs, increased deductions and exemptions for salaried employees and pensioners, and the abolition of the angel tax, each designed to foster economic growth, simplify the tax system, and support innovation.
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UJA Tax Team
As we approach 2025, various proposed tax changes are on the horizon that could significantly impact individual taxpayers and businesses. While some of these changes are still in the discussion phase, understanding them now can help you plan effectively for the upcoming tax year.
As 2025 approaches, taxpayers should stay informed about potential tax changes that may impact their financial planning and filing strategies. While some proposals are still in discussion, proactive preparation can help you navigate any adjustments effectively. Consider consulting with a tax professional to ensure you’re ready for whatever changes may come your way. By planning ahead, you can optimize your tax situation and make informed decisions for the upcoming year
Facts: The assessee was a firm. Since the assessee was a non-filer of the return for the year under consideration and in the assessee”s PAN, certain high-value transactions were captured by the system, proceedings under section 148A were initiated and show cause notice under section 148A(b) was issued to the assessee requiring the assessee to show cause as to why notice under section 148 should not be issued for the year under consideration.
Held:
As per the first proviso to section 148, it is evident that for issuing notice under the section, the Assessing Officer is required to obtain prior approval of the Specified Authority. The second proviso to section 148 further provides that no such approval shall be required where the Assessing Officer, with the prior approval of the Specified Authority, has passed the order under section 148A(d). Further, Explanation ( 3 )clarifies that the Specified Authority for the purpose of section 148 shall be the Specified Authority as referred to in section 151. [Para 8]
Accordingly, the notice issued under section 148 is void ab initio and bad in law and therefore is quashed. Consequently, the entire reopening proceedings and assessment order passed under section 147 read with section 144B is also quashed. [Para 13].
In Favor of: The Assessee
Facts: The assessee was a tenant/occupant of a shop. As per the Articles of Agreement of October 2016, the assessee agreed to surrender his tenancy rights in lieu of the allotment of a permanent alternate accommodation. As per the agreement, the assessee was assured of certain areas on the second floor of the proposed building and certain areas on the first floor immediately over and above. Since no alternate accommodation was provided in the impugned year, no transaction was reported by the registering authority.
Held: The undisputed fact is that the assessee is a tenant/occupant of a shop. It is also not in dispute that, as per the Articles of agreement of October 2016, assessee agreed to surrender his tenancy rights in lieu of the allotment of a permanent alternate accommodation. As per the agreement, the assessee was assured 351.87 sq. ft. on the second floor of the proposed building and 105.81 sq. ft. on the first floor immediately over and above. Since no alternate accommodation was provided in the impugned year, no transaction was reported by the registering authority. [Para 9]
In Favor of: The Assessee.
More than 34 lakh Audit Reports filed till 7th October, 2024, on the e-filing portal of the Income Tax Department The Income-tax Department extends its appreciation to taxpayers and tax professionals for their timely compliance in filing Tax Audit Reports (TARs) in Form Nos. 10B, 10BB, 3CA-CD, 3CB-CD and other audit reports in Form Nos. 29B, 29C, 10CCB, etc. More than 34.84 lakh audit reports, including about 34.09 lakh Tax Audit Reports (TARs), have been filed for AY 2024-25 on the e-filing portal till the end of the due date. It is observed that there is an increase in the filing of Tax Audit Reports (TARs) for the AY 2024-25 by around 4.8% compared to the filings of TARs on the due date for AY 2023-24. To assist taxpayers, the department conducted extensive outreach programs through emails, SMSs, social media and information messages on the Income Tax portal to create and raise awareness among the tax payers about filing Tax Audit Reports and other audit forms by the due date. Various user awareness videos were uploaded on the Income Tax portal to provide guidance. These concerted efforts have been helpful to taxpayers and tax professionals in filing the audit reports within the due date. The e-filing Helpdesk team handled around 1.23 lakh queries from taxpayers during September and October 2024, proactively supporting them throughout the filing period. The team assisted taxpayers and tax professionals in resolving complexities and facilitated the smooth submission of audit forms. Helpdesk support was provided through inbound calls, outbound calls, live chats, WebEx, and co-browsing sessions. The team also supported the resolution of queries received on the Department’s X handle (formerly Twitter) through Online Response Management (ORM), by proactively reaching out to taxpayers and stakeholders and providing assistance to them on various issues in near real-time basis. Various webinars related to filing of audit forms were conducted to guide tax professionals. The Department expresses its gratitude to all tax professionals and taxpayers for their support in compliance efforts.
PRESS RELEASE, DATED 09-10-2024
S.O. 4400(E).—In exercise of the powers conferred by clause (46) of section 10 of the Income-tax Act, 1961 (43 of 1961), the Central Government hereby notifies for the purposes of the said clause, ‘Real Estate Regulatory Authority, New Delhi (PAN AAALR1691Q)’ an Authority constituted under sub-section (1) of Section 20 of the Real Estate (Regulation and Development) Act, 2016 (16 of 2016), in respect of the following specified income arising to that Authority, namely:- (a)Amount received as Grant-in-aid or loan/advance from Government; (b)Fee/penalty received from builders/developers, agents or any other stakeholders as per the provisions of the Real Estate (Regulation and Development) Act, 2016; and (c)Interest earned on (a) & (b) above. 2. This notification shall be effective subject to the conditions that the ‘Real Estate Regulatory Authority, New Delhi –(a)shall not engage in any commercial activity; (b)activities and the nature of the specified income shall remain unchanged throughout the financial years; and (c)shall file return of income in accordance with the provision of clause (g) of sub-section (4C) of Section 139 of the Income-tax Act, 1961; 3. This notification shall be applicable for the financial years 2018-2019 to 2022-2023 relevant to assessment years 2019-2020 to 2023-2024 respectively.[Notification No. 109 /2024/F. No. 300196/57/2018-ITA-I] VIKAS SINGH, Director ITA-I Explanatory Memorandum It is certified that no person is being adversely affected by giving retrospective effect to this notification. Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064 and Published by the Controller of Publications, Delhi-110054. SARVESH KUMAR SRIVASTAVADigitally signed by SARVESH KUMAR SRIVASTAVA Date: 2024.10.12 14:53:20 +05’30’www.taxmann.com.
Notification No. 109 /2024/F. No. 300196/57/2018-ITA-I
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