The Hyderabad bench of ITAT recently declared that any loan taken from the closely held company to discharge the payment of salary is ‘commercial transaction’ for the purpose of ‘Deemed Dividend’ under Section 2(22)(e) of

Dividend usually refers to the distribution of profits by a company to its shareholders. However, in view of Section 2(22) of the Income Tax Act, 1961, the dividend shall also include the following: (a) Distribution

The Chennai Bench Income Tax Appellate Tribunal (ITAT) held that completion of assessment in the hand of the company is enough to prove the expense incurred for business and section 2(22) e cannot be invoked.

The Central Board of Direct Taxes (CBDT) has clarified that trade advances would not attract the provisions of “deemed dividend” under the provisions of Section 2(22)(e) of the Income Tax Act. As per section 2(22) clause

The Mumbai bench of the Income Tax Appellate Tribunal (ITAT) has recently held that the provisions of deemed dividend under Section 2(22)(e) of the Income Tax Act, 1961 would not attract in case of reimbursement

The Chennai bench of the Income Tax Appellate Tribunal ( ITAT ) has deleted an addition made under Section 2(22)(e) of the Income Tax Act, 1961 ruling that shareholding prerequisite is essential to qualify for

The Bengaluru Bench of the Income Tax Appellate Tribunal (ITAT), Bengaluru consisting of George George K and Jason P. Boaz has clarified the actions of the revenue in regarding treating of Loans/advances for sale as

The Delhi Bench of Income Tax Appellate Tribunal (ITAT) presided by Mr. Anil Chaturvedi, Accountant Member, and Ms. Astha Chandra, Judicial Member has held that gratuitous loan by the company to shareholders in return to

A division bench of the Allahabad High Court recently ruled that the provisions of deemed dividend would not attract in case of mere issuance of a cheque that was subsequently cancelled and returned. While quashing

While dismissing a departmental appeal, a division bench of the Gujarat High Court held that the provisions relating to ‘deemed dividend’ would not attract when the borrowing by one person and some other person holding

The Delhi bench of the Income Tax Appellate Tribunal, in a recent ruling, held that section 2(22)(e) of the Income Tax Act, 1961 is not applicable to pure business transactions. While quashing the order of

The Ahmedabad Bench of Income Tax Appellate Tribunal (ITAT) has deleted the additional holding that the deemed dividends could not be taxed in the hands of non-shareholders. The Assessing Officer (AO) during the impugned order

The Hyderabad bench of the Income Tax Appellate Tribunal ( ITAT ) has held that the provisions relating to deemed dividend under section 2(22)(e) of the Income Tax Act is applicable only to the extent

The Income Tax Appellate Tribunal ( ITAT ), Delhi bench held that the director cannot be assessed for the deemed dividend when the Assessing Officer had accepted the Company’s return without any objection. The assessee,

The Mumbai bench of the Income Tax Appellate Tribunal (ITAT) has held that when a company purchases flat for providing accommodation facility to its Managing Director, the tax benefits shall not be denied to it