Tag: Related Party Transactions
NFRA finds significant deficiency in the verification of related party transactions and arm’s length price by PWCA LLP Section 132 of the Companies Act, 2023 inter alia, mandates NFRA, to monitor compliance with Auditing and Accounting Standards, to oversee the quality of service of the professions associated with …
Disallowance u/s 40(A)(2)(b) – Onus is on Assessing Officer to made comparable study In a recent judgment, ITAT has deleted disallowance u/s 40(A)(2)(b) towards payments to related parties and held that onus is on Assessing Officer to made comparable study to show unreasonableness ABCAUS Case Law Citation:ABCAUS 3937 …
Disallowance u/s 40A(2)(b) AO has to form opinion if expenses more than FMV according to legitimate needs of business. ABCAUS Case Law Citation:ABCAUS 3344 (2020) (07) ITAT Important case law relied upon by the parties:Flour Mills Vs. ACIT (2009) 314 ITR 1 (Guj.)CIT Vs. Shatrunjay Diamonds (2003) 261 …
MCA amends rules for related party transactions by companies requiring special resolution- Read Notification Rule 15 of the Companies (Meetings of Board and its Powers) Rules, 2014 provides the various percentage/criteria etc. for the purpose of proviso to section 188(1) of the Companies Act, 2013 related to transactions …
Disallowance u/s 40A(2)(b) merely for common Directors not sustainable. Invoking the section necessarily implies that such expenses are otherwise allowable – ITAT ABCAUS Case Law Citation: ABCAUS 2653 (2018) (11) ITAT Important Case Laws Cited/relied upon: CIT vs. Enviro Control Associate Pvt. Ltd. 43 taxman.com 291 The appellant …
Related Party Transactions special resolution requirement revised. Proviso to section 188(1) enlarged making it 10% or more. MCA Notification Section 188 of the Companies Act, 2013 deals with Related Party Transactions. Sub section (1) provides the type of transactions for which which a company can not enter without …
