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Section 16(2)(c) of CGST Act: Gujarat High Court’s Awaited Decision and Its National Impact
Introduction: The Core Issue of Section 16(2)(c) and Its Constitutional ChallengeThe Central Goods and Services Tax Act, 2017, under Section 16(2)(c), stipulates that an assessee can only claim Input...
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Unaddressed Shortcomings in the Income-tax Act, 2025 from a Mergers and Acquisitions Standpoint
OverviewThe Income-tax Act, 2025 (ITA, 2025), which supersedes the long-standing Income-tax Act, 1961 (ITA, 1961), has been operational since April 1, 2026. The principal aim of this legislative overh...
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Trust Registration and Donor Approval Under the Income-tax Act, 2025: Key Provisions and Compliance Roadmap
Introduction: Shifting Landscape for Charitable TrustsCharitable organisations in India have long benefitted from special tax exemptions, provided they met the statutory requirements. With the coming...
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Re-examining Director’s Vicarious Liability: Supreme Court Defines the Boundaries across Fiscal Statutes
OverviewThe Supreme Court’s ruling in Saroj Pandey v. Govt. Of NCT Of Delhi ([2026] 185 taxmann.com 280 (SC)) offers critical insight into the scope of directors’ liability under fiscal and penal stat...
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Deduction of Interest Income for Cooperative Societies under Section 80P(2)(d) and Its Successor Section 149: The Effect of Legislative Changes and Judicial Interpretation
Overview: Cooperative Societies and Their Tax BenefitsCooperative societies in India have traditionally benefited from specific tax incentives, notably under Section 80P of the Income-tax Act, 1961. T...
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Allowability of Deductions for Vastu Consultancy Expenditure under the Income-tax Act, 2025
Overview of Deduction Principles under Section 34Section 34 of the Income-tax Act, 2025, which is a re-enactment of the earlier Section 37, sets forth the general framework for claiming business-relat...
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Interpretational Challenges in Determining ‘Cost of Acquisition’ under Section 49(1)(iii)(c) and Explanation to Section 55(2), Income-tax Act, 1961
OverviewCapital gains taxation remains one of the more contentious areas within Indian tax law, often leading to disputes over the correct interpretation of statutory provisions. Central to several of...
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The McLeod Russel Doctrine: Interpreting Section 16(2)(aa) of the CGST Act for Genuine ITC Recipients
Background: The Intractable Condition of Section 16(2)(aa)Section 16(2)(aa) of the Central Goods and Services Tax Act, 2017 (CGST Act), introduced by the Finance Act, 2021 and effective from January 1...
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Analysis of the Interrelationship Between Section 5(2) and the Provisions Relating to Unexplained Credits: A Non-Resident’s Viewpoint
OverviewNon-resident assessees frequently confront situations where the Assessing Officer (AO) invokes additions under section 68 or 69 of the Income Tax Act, 1961, or under the corresponding sections...
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Tax Implications of Share Buy-Backs under Section 56(2)(x): Examination of the Delhi High Court’s Globe Capital Market Ltd. Decision
Introduction: The Evolving Tax Landscape Around Share Buy-BacksRecent years have seen increased scrutiny of share buy-back arrangements, especially concerning their tax treatment under the Income-tax...
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Is a Single Member Sufficient for Quorum in a Private Limited Company's General Meeting?
1. Minimum Membership and Quorum Essentials(i) Legal Baseline for Private Companies(a) As per the Companies Act, 2013, a private limited company must have at least two members at the time of incorpora...
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Director Duty Compliance Confirmation under Section 166: Advancing from Statutory Duty to Robust Governance Practice
1. Introduction: Section 166 and the Evolution of Director DutiesSection 166 of the Companies Act, 2013, formalizes the essential responsibilities of company directors, ranging from adherence to the A...
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Reframing the Enforceability of Term Sheets in Indian Corporate Transactions
1. IntroductionTerm sheets serve as the initial framework for most corporate deals, outlining the intended structure and objectives of a transaction. Governed primarily by the Indian Contract Act, 187...
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Private Discretionary Trusts and the Surcharge Dilemma: A Contemporary Analysis
Understanding Trusts in Indiai) What is a Trust?A trust refers to a legal arrangement where a person, known as the settlor (or author/creator), transfers property or assets to a trustee, who then mana...
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Resolving the TDS Dilemma for Non-Resident Partners: Section 194T Versus Section 195
Background: Overlapping TDS Regimes and Legislative AmbiguityThe Finance (No. 2) Act, 2024, brought in section 194T to the Income-tax Act, 1961, effective from 1 April 2025. This provision obliges par...
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Obligation of Legal Heirs to Explain the Source of the Source under Section 68: A Comprehensive Review
IntroductionIn professional practice, a recurring question arises regarding whether legal heirs must establish the "source of the source" of credits in the books of a deceased assessee, especially in...
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Critical Analysis of the Rollmet LLP Order: Misinterpretation of SLP Dismissal in Mathur Polymers
OverviewThe Bombay High Court's ruling in Rollmet LLP v. Union of India (WP No. 16848 of 2025) has generated considerable discussion, particularly because it referred the debate regarding consolidated...
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Rethinking Input Tax Credit: Addressing Supplier Default and Reinventing the GST Credit Ecosystem
1. Overview: The Unfulfilled Vision of Seamless GST CreditThe Goods and Services Tax (GST) was introduced with the fundamental goal of ensuring tax neutrality through an uninterrupted flow of Input Ta...
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Buy-back of Unexercised ESOPs: Interpreting Section 68 of the Companies Act, 2013 – A Practical Perspective
IntroductionThe distinction between unexercised and exercised Employee Stock Options (ESOPs) has significant implications when considering buy-backs under Indian company law. Section 68 of the Compani...
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The Expanding Role of Forensic Auditors in Addressing India’s NPA Challenge and Promoting Financial Clarity
Introduction: Unveiling the NPA Dilemma in Indian BankingThe Indian banking industry has consistently faced the persistent issue of Non-Performing Assets (NPAs). While recent years have seen progress...