The Tax Publishers2020 TaxPub(DT) 0253 (SC)

INCOME TAX ACT, 1961

Section 261 Section 37(1)

Where the department preferred SLP to appeal against the judgment of Bombay High Court in Pr. CIT v. M/s. Rajaram Bandekar (Sirigao) Mines (P) Ltd. [Tax Appeal No. 4 of 2019, dt. 25-6-2019] : 2019 TaxPub(DT) 6007 (Bom-HC), whereby the High Court held that what assessee received from its foreign buyers was the net FOB value and it was not claiming any expenditure on account of commission paid and there was, thus, no question of any revised return, that there was no tax effect, whatsoever, by reason of expenditure made by foreign buyers by way of commission paid outside India, thus, no substantial question of law arose for consideration. The Supreme Court dismissed the SLP on the ground of law tax effect.

Appeal (Supreme Court) - Special leave petition - Business expenditure - Disallowance of commission paid to non-resident foreign agents--Allowability

Department preferred SLP to appeal against the jdugment of Bombay High Court in Pr. CIT v. M/s. Rajaram Bandekar (Sirigao) Mines (P) Ltd. [Tax Appeal No. 4 of 2019, dt. 25-6-2019] : 2019 TaxPub(DT) 6007 (Bom-HC), whereby the High Court held that what assessee receivbed from its foreign buyers was the net FOB value and it was not claiming any expenditure on acount of commission paid and there was, thus, no question of any received return, that there was no tax effect, whatsoever, by reason of expenditure made by foreign buyers by way of commission paid outside India, thus, no substantial question of law arose for consideration. Held: The Supreme Court dismissed the SLP on the ground of low tax effect.

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