Tax Management India. Com
Law and Practice  :  Digital eBook
Research is most exciting & rewarding
  TMI - Tax Management India. Com
Follow us:
  Facebook   Twitter   Linkedin   Telegram
Income Tax - Highlights / Catch Notes

Home Highlights April 2016 Year 2016 This

Merely because there is down fall in profit of the company due ...


Change in Accounting Policy Causing Profit Drop May Still Be Genuine and Bona Fide.

April 13, 2016

Case Laws     Income Tax     AT

Merely because there is down fall in profit of the company due to change in accounting policy cannot lead to a conclusion that it is not bonafide. - AT

View Source

 


 

You may also like:

  1. Method of accounting – the assessee had right to adopt the changed system of accounting and by changing the system of accounting from mercantile to cash was a bona fide change - AT

  2. Penalty u/s 271(1)(c) - The Revenue may or may not agree with this understanding of law of the assessee but the fact that there can be a bona fide view to that effect...

  3. The ITAT addressed a case involving a change in accounting policy from Percentage of Completion Method (POCM) to Project Completion Method (PCM) for revenue recognition....

  4. Change in accounting policy - the change in accounting policy is a result of the audit objection raised by CAG. The appellant has claimed deduction in profits in the...

  5. Penalty u/s 271B was levied on the assessee for failure to get accounts audited despite turnover exceeding prescribed limit u/s 44AB. The Assessing Officer relied solely...

  6. Addition of profit shifted out and the loss shifted in by way of Client code modification - Profit or the loss during the time when code were modified - transactions in...

  7. The CIT(A) partly allowed and restricted the addition on account of commission expenses at 0.25% as compared to 2% adopted by the Assessing Officer. The coordinate bench...

  8. Addition u/s 43B - Method of accounting - unpaid statutory dues of service tax, Excise and PF by changing the method of accounting - The assessee followed the exclusive...

  9. Change of policy - Restriction of Letter of Permission – Constitutional Validity of para 7 of Appendix 14IC of Exim policy – Curtailment of period of licence – Change of...

  10. MAT - AO had committed an error in redrawing the profit and loss account by making changes by adding depreciation debited to profit and loss account by the assessee,...

  11. Accrual of income - recognition of revenue - change in method of accounting policy from recognition of Commission for insurance agency business from month of...

  12. The assessee failed to file the original return of income, and the Assessing Officer initiated penalty proceedings for underreporting income. The assessee's authorized...

  13. Penalty for non deduction of tax at source - bona fide belief proved - penalty set aside - AT

  14. Change in method of valuation of stock - from “lowest price during the year” to the “weighted average cost” formula - So long as the change made by the assessee in his...

  15. Method of accounting - Change in method valuation of closing stock – if there is a bona fide change in the method of accounting which is consistently followed, no...

 

Quick Updates:Latest Updates