Gift of House Property to spouse – Taxation thereof

Gift of House Property to spouse – Taxation thereof –Situation: - If a person gifts a house property to his/her spouse, taxation arising out of this transfer and taxation of income earned from this house property is discussed below.

Treatment of Excess stock found in survey

What would be the treatment given to value of excess stock found during survey conducted In the business premises, if there is loss in business during the year? This question haunts the minds of the tax officers. Many assessees adjust the value of excess stock found in survey against business loss at the same year and do not pay any tax as no net income is left. Sometimes the assessee makes investment in plant or machinery in the current year and adjusts the value of excess stock against the depreciation on such assets. Whether this kind of adjustment is in accordance with the provisions of the income tax Act? For giving an answer to this question. it is necessary to read certain provisions of the Act more carefully. 

How to use google earth in assessment

Google Earth can be utilised in assessments in some cases
1. Where an assessee claims that land was used for agricultural purposes
2. Where some development work has been claimed

Doctrine of merger

In a assessment which was completed by AO u/s 143(3), the assessee claimed that notice u/s143(2) was not served upon the assessee in time, hence order of AO is bad in law and it shoudl be quashed. Department failed to disapprove claim of the assessee hence CIT(A) decided in favour of the assessee and assessment order of the AO was quashed. PrCIT did not prefer appeal before ITAT and AO initiated action u/s 148. On reciept of notice u/s 148, the assessee filed writ before Gujarat HC. When AO discussed the matter with standing counsel, he said that the assessee has taken plea befoe HC that order of AO is merged with the order of CIT(A) in view of Doctrine of Merger, hence re-opening cannot be done on the same issue ? The issue was raised in ITKP for discussion.

Deduction 54F

Whether it is mandatory that construction of house should be complete to claim exemption u/s 54F ?