By Rajat Juneja

Problem Statement

Multi-national enterprises (MNEs) do make monthly provision for various expenses in their ERP system at the end of each month. This might be a nearer approximation of the expenditure to be incurred. It is a method of generating a debit entry in the accounting system for an expendi...

By   V. Sivasubramanian

Besides being a source of funding of public expenditure, taxes also enable influencing expenditure patterns thereby distorting individual behavior. Indirect taxes distort expenditures primarily by affecting the price of consumption goods. In India, the existing indirect tax system has become extremely distortionary with ...

By Amar Gahlot

I. Introduction

It is basic economics - when it comes to consumption, government has the largest appetite. Government purchases include goods and services obtained from domestic and international suppliers and deployed in myriad projects ranging from defence and railways to infrastructure a...

By Varun Chablani & Sumitha Krishnan

Introduction

Taxation is a subject over which each State exercises its sovereign right. The basic charge of taxation can be traced to the domestic taxation law of a State. Each State, under its domestic law, exercises its right to tax a subject, based on a connection or lin...

By S.Sriram

Affiliates of Multi National Enterprises (‘MNEs’), in the recent past, are moving more towards functioning independently from their parent, operational and financial.  The freedom given in managing their own affairs in growing economies like India, has helped the affiliates to grow faster in the local markets.  However, ...

By K. Srikanth

Much has been said about the introduction of levy of additional 1% tax proposed under clause 18 of the Constitutional (122nd Amendment) Bill 2014, (duly passed in Lok Sabha and which is now placed before a special committee, pending for approval by the Rajya Sabha, and subsequently by 50% of State Legislatures) on supply o...

By Sumitha Krishnan

International law is generally considered as the law of the nations and therefore, the rules of international law have developed into a long standing custom that they are dutifully followed by the individual countries. International taxation is one among such areas of law which is widely encroached by the international law and...

By Amar Gahlot
 
Introduction

Res Judicata is the Latin term for "a matter (already) judged", or "a thing adjudicated". It means a case or suit already decided. It was recently defined as “a final judgment on the merits by a court having jurisdiction is conclusive bet...

By Tapas Misra

With a view to enhance detection capabilities of the tax department and enforcing better compliance Section 206AA was inserted by Finance (No.2) Act, 2009 with effect from 01.04.2010. This new provision mandated all recipients of income to furnish Permanent Account Number (PAN) and in order to discourage non-compliance it required tax to be deducte...

By Dipa Devani The term ‘service’ is defined under Section 65(44) of the Finance Act, 1994 (“the Finance Act”) as under: Service means any activity carried out by a person for another for consideration, and includes a declared service, but shall not include- (a) An activity which constitute merely-     (i)  A transfer of title in goods or immovable property, by way of sale, gift or in an...

By S. Sriram Subsidiaries of Multi National Enterprises (‘MNEs’) generally avail the services of their group companies for routine business operation and management.  When such intra group services are paid for, questions often arise as to whether the services received are essential for business operations of the subsidiary, or are the services carried out by the MNE group with a view to secu...

By Tushar Aggarwal With the passage of time, different technologies and standards evolve. Similarly, law cannot stand still; it must change with the changing social concepts and values [see end note 1]. Tax laws though necessarily enacted in its own time, are nevertheless to be construed as taking note of the advances in technology. Entertainment tax in India is being levied for more than a...