Dear all

i'm a CA Fresher! I've a doubt on the aforesaid subject! I know it seems useless to have a doubt on it but I've as there's a conceptual mismatch between our CA Fraternity itself.

The case is - Mr.X pays Rs.2 lacs LIP from his bank a/c on policies in his wife Mrs.X's name! Now the question that arises is - WHO CAN AVAIL THE DEDUCTION?

Text of the Section 80-C reads as "ANY PAYMENT MADE BY AN INDIVIDUAL"

So in this case, me & my CA Fresher friends are of the opinion that only Mr.X can claim the deduction as HE has paid the sum & not Mrs.X!

HOWEVER, MY EMPLOYER CA IS OF THE OPINION THAT EITHER OF THE TWO SPOUSE CAN CLAIM DEDUCTION! HE FURTHER AFFIRMED THAT [u]IT IS NOT NECESSARY THAT PAYMENT OF LIP BE MADE BY ANY OF THE SPOUSE i.e. EVEN A THIRD PARTY CAN PAY LIP OR DEPOSIT SUM IN PPF A/C & DEDUCTION CAN BE CLAIMED BY MR.X OR MRS.X.[/u]

I find his opinion contrary to the text of the section as the principal of payment based deduction is violated!

Kindly advise me on the same as in what should be done in this case!

regards

Parag

Are there any restrictions on deposits and interest thereon :

1. From Directors in a closely held public ltd. company.

2. From Partners in a Partnership Firm?

Regards,
Rajiv Kaicker

What is the effect of the decision by the Larger bench of CESTAT in the case of Deliam Industries? Will one have to pay the service tax from 2004 on work contracts? What about the time barred case i.e. for the FY 2004-05?

If we make payment to NON residence Not Holding Pan and Grossup of TDS is there then i got fallowing Way by expert Please Comment on it
If Payment Need to Make is RS 100000
Tds under Income Tax Act/DTAA-10%

Grossup Amount=100000*100/90=111111.11
TDS will be 20%=111111.11*20%=22222.22
Now what should Book as expencess
a)Rs 111111.11 or
b)100000+22222.22=122222.22

Insurance has deducted TDS from commission for the past 4 years. I have not filed any ITR

Please guide me how to get the Refund, from income tax, which ITR From i have to file, to each year i have to file ITR or all 4years TDS form should be enclosed in the current year ITR FROMS.

Please advise.

1. in 80U how we will get %age disability

2. in 80QQB and 80RRB if royaty income is foreign income and assessee is forget to bring that money in home country so will it be taken as deduction in these sections

3. in workmen compasation if entity has alrady more then 100 employees and recruits another employee so will entity get deduction.

AUTHORISED CAPITAL=4,25,00,000
equity shares: 10,50,000 @ 10 each
preference shares: 3,20,000 @ 100 each

PAID UP CAPITAL=38,683,000
equity shares= 7,28,300 @ 10 each
convertible preference shares=3,14,000 @ 100 each

Now the company pans to convert the preference shares into equity shares at 10 + 90(premium) each. In this case what will be my new paid up equity capital? will it remain same or there will be a reduction of capital?

can you please tell me that if someone who had been running a computer institute for last 3 years has now affiliated the institute with a registered soceity under co opreative soceity act,1912.now shall he file the current year ITR in the name of that computer institute as he done previously or can he file the ITR in the name of that soceity under which the computer institute is running now. Please tell the answer giving reference to the concerned section(s) in the Indian Income tax Act,1960.

We have started an offshore project and have deputed some resources to work for the project. I would like to know more in detail about the cost-plus method and its applicability in accounts.

If my outgoing expenditure is say Rs.20 L p.a can i account a revenue of Rs.2 L per month. please explain the procedure

One of Our client who is a distributor, purchase Milk from manufacturer Rs.200000/-through cash.whehther this amount can be allowed or not.(whether exception rule 6DD applicable in this case as a Dairy prduct) pls give me a clarification