The Income Tax Department in India has clearly entered a new era of data intelligence and real-time monitoring. Recent communications sent to certain restaurant businesses demonstrate just how vigilant, technology-driven, and proactive the tax administration has become. For years, many…
Background & Case Facts: This landmark Madras High Court case involved a legal challenge to the constitutional validity of Section 194N of the Income Tax Act, 1961. Section 194N mandates the deduction of tax at source (TDS) at 2% on…
Background & Case Facts In 2016, Mr. Vijay Krishnaswami’s house was searched by Income Tax officers under Section 132 of the Income Tax Act. They found nearly ₹5 crore in unaccounted cash. Based on this, the Department initiated criminal prosecution…
Background & Context: Imagine running an Indian business that pays Amazon Web Services (AWS), the world’s biggest cloud company, for online data storage, servers, and software. For years, there was confusion: Should these payments be taxed as “royalty” or “fees…
Have you ever wondered why the government cares about how much you sell or buy a property for? Or why sometimes, even if you sell for less, the taxman still says you sold for a higher value? Let’s break it…
The Income Tax (IT) department assigns the Tax Deduction and Collection Account Number (TAN) to entities and individuals who are responsible for deducting or collecting taxes on behalf of the government. It is a unique alphanumeric code and serves as…
A new section 194Q has been introduced in the Finance Act 2021 where a buyer, who is responsible for paying any sum to any resident with respect to the purchase of any goods aggregate value of which if exceeds ₹…
