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Recent Updates

Expenditure on giving freebies to doctors not allowable as deduction u/s 37(1) of Income-tax Act, 1961

The Supreme Court has recently held that since acceptance of freebies by doctors was 'prohibited by law', the expenditure incurred by pharma companies on giving such freebies was to be disallowed as expenditure.

Independent and Non-Executive Directors cannot be held criminally liable if not responsible for conduct of business of the company

The Supreme Court recently held that no liability could be fixed on independent, non-executive directors who were not involved in the day-to-day functioning of the defaulting company. Directors of a company cannot be held criminally liable under section 138 read with section 141 of the Negotiable Instruments Act, 1881, if they were not responsible for conducting the business of the company.

Reassessment not maintainable if the assessee is only 'likely' to have claimed incorrect deduction

The Bombay High Court has quashed the reassessment proceedings in a case where the reasons for reopening by the Assessing Officer recorded that it was 'likely' that the assessee might have claimed incorrect deduction.

Sale of TDRs not taxable if cost of acquisition not determinable

The ITAT recently held that capital gains arising on account of sale of transferable development rights are not taxable if the cost of acquisition is not determinable

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