Update
April 11
BL
No MAT here
How
U.S. Corporations Print Their Own Money: The REIT ...
An Update >
<AAR...on MAT
Aside:
1977
(Recommended Citation
Linkedin
Dreams are easy and so interchangeable when we’re young. But as John Lennon put it: “Life is what happens while you’re busy making other plans.” As we get more established in life and in our careers, it can seem harder and harder to consider a career change… no matter how badly you still want to pursue your lifelong ambition of launching your own tech startup or writing a hit TV comedy.
Yes; it must be a truly great, but mixed feeling of satisfaction, joy, etc., bundled up together. Only, perhaps, each component will, in comparison, be of varying measure, depending mainly on, besides individual’s EQ (- level of emotional quotient), his set goal of professional achievement in its ideal and profound sense!
https://www.linkedin.com/pulse/9-hidden-qualities-only-exceptional-bosses-possess-jeff-haden
April 11
BL
Real estate trusts may remain stillborn
After effect of AAR controversial Ruling in Timken...?????????
While market regulator SEBI provided a workable
structure, the mindset of the tax department has, unfortunately, not
changed enough to help this innovative product that has been a success
in many other parts of the world.
The sponsors,
bankers and investors had mooted a few key demands. These included not
levying taxes (capital gains or MAT on accounting profit) on swapping of
shares of asset holding special purpose vehicles with units of BTs. A
clarification is awaited from SEBI on whether existing multi-tier
structures should be accepted.
The two major issues
of levy of minimum alternate tax (MAT) on accounting profits and DDT on
distribution of surplus by a BT are the reasons why BTs in India would
likely be a still-born this time as well.
If a company swaps its shares or assets with units of a BT, it will be
required to value the units of the BT at fair market value (FMV) and
recognise the difference in FMV and cost of the shares or assets as a
profit. This will result in a MAT of over 20 per cent being levied on
the entire unrealised accounting profit, giving rise to a serious cash
outflow without any inflow.
The tax department must
realise that this is not a tax on profits earned but an unrealised
accounting profit on the swap, and, hence, must not attract MAT.
An Update >
Govt to press ahead with Rs. 40,000 cr tax demand on FIIs: Jaitley
Comment: Ref. BL Col. ; Facebook
<AAR...on MAT
Source of provocation:
A Tale Of Two X Rulings (Author: AAR)
itatonline.org » In Re The Timken Company (AAR)» Latest ...
KEY NOTE:
The two Rulings of AAR on the issue of MAT are mutually
contradicting; in that, in Timken case the Ruling has turned out to be adverse,
whereas in the previous Carleton case it is in its favour. Albeit,the matrix of facts,
of relevance,is indisputably no different but is on all fours. As perceived,
if at all, the cause for the contradictory Rulings seems to lie in reading and understanding the
implications of the cinching sub-section (2) of section 115JB differently.
Said sub-section (2) (before its amendment w.e.f. reads:
“(2) Every assessee,being a company, shall, for the purposes of
this section, prepare its profit and loss account for the relevant previous
year in accordance with the provisions of Parts II and III of Schedule VI to
the Companies Act, 1956 (1 of 1956):“
The point to critically consider is this: Is not, in Timken
case, the provision has been read and understood, wrongly so, as if, it reads:
“(2) Every assessee, being
a company, shall, for the purposes of this section, prepare its profit and loss
account for the relevant previous year, AND in accordance with the provisions
of Parts II and III of Schedule VI to the Companies Act, 1956 (1 of 1956):“(FONT
supplied)
Over to experts active in the field for further deliberation and sharing individual
thoughts, should that happen to be at variance.
Aside:
1977
Punctuation and the Interpretation of Statutes
Raymond B. Marcin
The Catholic University of America, Columbus School of
Law
(Recommended Citation
Raymond B. Marcin,
Punctuation and the Interpretation of Statutes, 9 CONN. L. REV. 227 (1977)
According to a school of thought, as is found echoed by
case law in India, - be that as it could not have been normally expected
otherwise, more so in the commonly given /faced context in which inept and resultant clumsy drafting
has come to be increasingly recognized, nay admitted, as the hallmark of today’s legislation in
general,-punctuation need not be given so much importance as a puritan may
think.
Should anyone care to and scout around- say, through Google
search, should be able to locate a plethora of interesting material holding out
a different school of thought founded on a varying stroke of reasoning. For instance, look up the
random instance, in criminal law regime – HERE http://scholarship.law.edu/cgi/viewcontent.cgi?article=1882&context=scholar
THE CASEMENT CASE
Resource:
Resource:
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Dreams are easy and so interchangeable when we’re young. But as John Lennon put it: “Life is what happens while you’re busy making other plans.” As we get more established in life and in our careers, it can seem harder and harder to consider a career change… no matter how badly you still want to pursue your lifelong ambition of launching your own tech startup or writing a hit TV comedy.
Yes; it must be a truly great, but mixed feeling of satisfaction, joy, etc., bundled up together. Only, perhaps, each component will, in comparison, be of varying measure, depending mainly on, besides individual’s EQ (- level of emotional quotient), his set goal of professional achievement in its ideal and profound sense!
https://www.linkedin.com/pulse/9-hidden-qualities-only-exceptional-bosses-possess-jeff-haden
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