The assesse is partnership firm engaged in the business of construction of apartments and real estate. During the Financial year 2006-07 they have acquired a piece of land at a cost of Rs. 1,84,00,000 in order to construct a commercial complex. Subsequently, during the financial year 2007-08 they have entered into an Agreement of Sale to sell this piece of land without any construction for a consideration of Rs. 1,92,00,000 and received Rs. 45,00,000 as advance in the month of December 2007.They have registered the Sale Deed in the month of Feb. 2008.By this time the market value of the land for the purpose of Stamp duty was enhanced by the Government and the assesse firm was forced to adopt the market value of Rs. 2,30,00,000 for the purpose of stamp duty.

What is the remedy available to the assessee to avoid the provisions of 50C

1] one advise is to round off to nearest rupee - as per sec 288
2] TDS chart developed by CA says round off TDS to nearest 10 rupees

pl tell me whether point 2 is correct, if so, give me section reference
my friend CA also suggested to round off to nearest 10 rupees, i am not getting section reference, pl help

i immensely thank CAs for quick respone on my previous service tax and TDS query

awaiting your response

from my NSS withdrawal,an amt. of Rs.10000/- was deducted as TDS in JULY 2007.
my advance tax instalment due on 15 sept was paid up which was Rs 500/-or so short of 30%.
but taking into a/c the TDS amt. it works out more than 30%.
i am charged with interest u/s234(C)
is this justified?
pl.guide

Generally exemption for HRA is allowed to all employees except those specifically stated in the Act i.e.. employees who are staying in their own house.One of my client who is a state govt. employee who is residing in the quarters provided by the Department and he claims for HRA exemption in respect of rent paid to the Dept.But the Department has not accepted his stand and stating that when the quarters is occupied by the employee he cannot claim HRA .
STATE WHETHER IT IS CORRECT

One Partnership Firm has paid many times Rs. 1500 as weighing charges which amount to total Rs. 55000/- during the year. All these payments are to the same person. Is it liable to TDS u/s. 194C or any other section ?

One partnership firm has got its motor car repaired at XYZ Motors P. Ltd. Bill amount is Rs. 39,000/- which includes Spares parts charges also. Should that firm deduct tax at source u/s. 194C ? Pls. give answer by considering the following supporting Circular of CBDT.

Maintenance contracts - Routine maintenance contracts including supply of spares would be covered under section 194C. However, where technical services are rendered, the provisions of section 194J will apply in regard to tax deduction at source—Circular : No., dated 8-8-1995.

Restriction on cash payment > Rs. 20,000 : FM has proposed to disallow cash all the expenses incurred other than by account payee cheque or demand draft in excess of Rs.20,000 or more in a single day as against earlier provision of Rs. 20,000/- per transaction.

pl clarify the effect .. means if any single day pmt under whatsoever head is made exceeding rs 20,000/- the same shall be disallowed.

Hello All members of CAClubIndia,

The question is on taxability of medical re-imbursement claims in the hands of Employee.

If employee claims the medical re-imbursement over and above of Rs. 15,000, say 16,000 in a particular financial year ,what will be the correct amount liable to Income Tax for Employee ?

Is it the whole amount claimed i.e. Rs. 16,000 or only the excess amount of Rs. 1000 ?

Beacuse I read different views. One is saying only Rs. 1000 and other saying whole Rs. 16,000 will get taxable in the hands of employee.

I have deducted the TDS for one of our employee by taxing the whole claim of Rs. 16,000. If it is wrong how shall I rectify it before the close of this F.Y. ?

Please Advise.......

Thanks and Best Regards,
Amit

X is an employee of AB ltd whose salary structure is as follows:
1). basic and allowances Rs. 30 lakhs p.a.
2). Perks Rs. 18 Lakhs p.a.

Query:
a). What is the best salary structure to minimise the tax liablity?
b). whether the assessee "X" is benefited by claiming HRA or Rent free accommodation?
please Urgent.

sir
in the case of company surcharge is applicable if total income exceeds 1cr.
in this total income inthe sense taxable income or before deducting expenses and deductions