Latest news with #AO
Hindustan Times
3 hours ago
- Hindustan Times
Unauthenticated info from foreign country not evidence: HC
The Delhi high court has held that unauthenticated information received from a foreign country regarding an individual's Swiss bank account cannot be treated as evidence and form a valid basis for criminal prosecution for tax evasion under the Income Tax (IT) Act. Unauthenticated info from foreign country not evidence: HC The ruling was delivered by justice Neena Bansal Krishna on Monday, in a plea by Anurag Dalmia to quash the case registered by the IT department for tax evasion. The case was registered in 2016 on the basis of the information received by the French government regarding the existence of a Swiss Bank account in Dalmia's name till 2005. Pursuant to receipt of information and unauthenticated documents received in 2011, the department conducted a raid in his premises in December 2012, but failed to recover anything. It later reopened the assessment proceedings for assessment year (AY) 2006-07, 2007–08 in 2012, and imposed fresh penalties by way of an assessment order (AO). In 2016, it also registered a case under section 276C (wilful evasion of tax, penalty, or interest chargeable), 276D (failure to produce accounts and documents), 277 (false statement in verification) of the Income Tax Act. The department had alleged that he evaded taxes by not disclosing details of his HSBC Bank account in Switzerland in his income tax returns for the assessment years 2006–07 and 2007–08, and by refusing to sign a consent waiver form that would have allowed access to the Swiss account information. The Income Tax Appellate Tribunal (ITAT) in February, 2018, concluding that there was no basis for revising Dalmia's ITR. In his petition, Dalmia asserted that the Swiss authorities had failed to respond to the department's request of further information from about the Swiss account and mere surmises or conjectures were not enough for pressing criminal charges. He further argued that the assessment order, which formed the basis for the department's initiation of criminal proceedings, had already been quashed by the Income Tax Appellate Tribunal (ITAT), and this alone should be sufficient grounds for dropping the criminal case. On the contrary, the IT department had asserted that quashing of the AO, was not sufficient to exonerate Dalmia of the criminal charges and the ITAT's order was not binding on the criminal court. It was also asserted that the case was not solely based on the AO but also independent information received from the French government. Rejecting the department's contention, justice Krishna in her 33-page ruling said, 'Merely on some unauthenticated information received from a third Country with no material evidence, is not sufficient to make out a prima facie case and there cannot be a presumption that a person has committed any wrongdoing. Thus, mere surmise and conjectures is not enough to prosecute a person alleging a criminal offence under Section 276D.' She added, 'Respondent has no cogent evidence whatsoever, to establish that the Petitioner has any Swiss Bank accounts and the unauthenticated documents have no evidentiary value, to make out a prima facie case against the Petitioner. It, therefore, has to be concluded that the unauthenticated documents under DTAA cannot be a basis to conclude that there was no complete disclosure of the income by the Petitioner for the relevant Financial Years.' Ultimately, the court quashed the criminal proceedings observing that the department lacked 'cogent, credible and corroborative evidence' to establish the existence of Swiss accounts and the receipt of such information from the French and not Swiss government raised questions on the document's authenticity. The judge further noted that the department had failed to recover incriminating material during the raid and confront Dalmia with the bank details before imposition of penalty. 'There was nothing even remotely to suggest that either the Assessee was having any bank account in Switzerland with HSBC or he was in any way linked with these bank accounts It thus concluded that if no incriminating material has been found during the course of search, no additions can be made in the Assessment year where Assessments had attained finality,' the court maintained.
Al-Ahram Weekly
12 hours ago
- Health
- Al-Ahram Weekly
INTERVIEW: Nothing in medicine as cost effective as vaccination - Professor Jaime Fergie - Health - Life & Style
In an interview with Ahram Online, Professor Jaime Fergie, Director of Paediatric Infectious Diseases at Driscoll Children's Hospital, USA, expressed his concern about the rebound of several infectious diseases. Speaking to Ahram Online during his visit to Cairo, Professor Fergie pointed out that many people around the world are vulnerable to viral and bacterial infections as they did not receive their routine vaccinations during the pandemic. AhramOnline (AO): What is the purpose of your visit to Egypt, and what are the main themes you'll be discussing with Egyptian paediatricians? Jaime Fergie: I'm here to speak with colleagues about the importance of using the newer pneumococcal conjugate vaccine (PCV) to protect children from both invasive and mucosal pneumococcal infections. The US introduced the first conjugate PCV in 2000, starting with a vaccine that covered seven strains. We've since progressed to broader vaccines covering 13, and now 20 of the most relevant pneumococcal types. The aim is to expand protection for both children and adults. AO: Do PCV types vary between high-income and low-to middle-income countries? JF: There are slight regional differences, but overall, the top 20 types included in the newer vaccines cover the most important strains globally. AO: How has paediatric infectious disease evolved, especially post-pandemic? JF: During the pandemic, infections like RSV, flu, and pneumococcus dropped due to social distancing. Post-pandemic, we've seen a sharp rebound. A major concern is the number of children who have missed routine vaccinations, leaving them vulnerable. We're still working to catch up. AO: What are the main challenges in diagnosing infectious diseases in children compared to adults? JF: Young children often can't describe symptoms, so we rely on caregivers. Early symptoms—such as fever, fatigue, and poor appetite—can appear similar across various infections. Differentiating between viruses and bacterial infections can be tricky. Additionally, children's conditions can deteriorate rapidly, making early intervention and prevention through vaccination crucial. Vaccination remains the most cost-effective tool in paediatrics. AO: Why is it important to vaccinate children with cancer? JF: Ideally, children should be vaccinated before any cancer diagnosis. But even during early treatment stages, vaccination remains vital. Cancer weakens the immune system, making infections more dangerous. Pneumococcal infections, in particular, can lead to severe outcomes such as meningitis and pneumonia. Therefore, protection is critical. AO: What other high-risk groups face threats from infectious diseases? JF: Children with HIV, sickle cell disease, immune deficiencies, or no spleen are at high risk. Similarly, those with cochlear implants, kidney disease, or asthma. These children are more vulnerable to severe infections. The best approach is to include vaccines like the PCV in national immunisation programmes. I've seen firsthand how vaccination has reduced the incidence of serious diseases such as meningitis and pneumonia in the US. AO: What is the best paediatric immunisation strategy for low-and middle-income countries? JF: The WHO recommends key vaccines for all national programmes, including those for rotavirus, polio, diphtheria, tetanus, pertussis, and measles. Pneumococcal vaccines are also essential. Recently, vaccines for RSV have been introduced, given to pregnant women to protect newborns. While some vaccines, such as meningococcal, are less common globally, they're vital in specific settings, such as during pilgrimage travel. Immunisation should ideally start at two months of age. Financial barriers can be addressed by working with the WHO and organisations like Gavi, which help low-income countries access vaccines. AO: What would you say to people still sceptical about vaccines? JF: It's frustrating, considering how far we've come in preventing disease. Vaccines go through rigorous testing before being approved. While mild side effects like fever or soreness are possible, vaccines prevent illnesses we no longer see thanks to immunisation. The evidence for safety and effectiveness is overwhelming. AO: Finally, what's your message to parents, paediatricians, and policymakers? JF: To parents: Vaccines are safe, effective, and life-saving. I vaccinated my children and want the same protection for all. To paediatricians: Use the best tools available—the latest vaccines offer broader protection. To policymakers: You hold the power to improve children's health. Prioritising vaccination saves lives and is one of the wisest investments a country can make. Follow us on: Facebook Instagram Whatsapp Short link:
The Independent
13 hours ago
- Business
- The Independent
How much it costs to run a dehumidifier, according to experts
With soaring bills, inflating grocery prices and surging living costs, every pricey purchase feels even more costly. That's especially true when buying appliances like dehumidifiers. Though a little expensive, these machines have plenty of benefits. They not only extract moisture and dampness from your surroundings and, in turn, reduce the risk of mould, but they can potentially halve your laundry-drying times and save you spending money on tumble drying. The multipurpose machines are also great for allergy sufferers, tend to be noise-free and have the added benefit of neutralising harmful bacteria in your home. If you've noticed mould, condensation or a musty odour around your home, it may be time to invest in a dehumidifier. But before you take the plunge, it's worth knowing that some of these appliances can add to your energy bills. We consulted the experts to find out exactly how much dehumidifiers cost to run, and some tips for saving money when you use them. How much does it cost to run a dehumidifier? 'On average, a dehumidifier might be used for 4-6 hours daily, especially during colder months or in damp environments. In particularly humid conditions or larger spaces, it could be used for longer,' explains Katie Lilywhite, air treatment expert at AO. 'The exact cost depends on how often they're used and how energy-efficient the model is.' Chris Michael, founder and chair of leading dehumidifier company Meaco, elaborates: 'Choosing an energy-efficient model is key; regardless of size, as a cheaper model with high energy consumption is a false economy.' However, size can be a factor. 'Smaller models, which are ideal for flats or smaller homes, can cost as little as 4p per hour to run, while larger models, suited to bigger or damper properties, may cost up to 15p per hour,' Michaels says. What affects costs? Several factors can influence how much it costs to run a dehumidifier, including room temperature. 'Dehumidifiers are more efficient in warmer conditions,' says Lilywhite. Air flow is also important: 'Placing the unit centrally with good air circulation helps it work faster and use less energy.' Finally, leaving windows and doors open can impact costs. 'Leaving these open during use means the dehumidifier has to work harder to constantly remove new moisture that continually enters from outside,' Lilywhite explains. According to Michaels, other factors to consider include: 'Room size, how often the dehumidifier runs, the model's energy efficiency and electricity prices, which all play a role.' Michaels also suggests that the initial investment matters. 'Better quality machines often cost more but last longer and consume less energy, leading to savings in the long term.' Tips for saving money 'To reduce costs, try to keep the windows and doors closed whilst the dehumidifier is in use,' suggests Lilywhite. Location is just as important. 'One of the biggest mistakes many people make when using a dehumidifier is putting them in the wrong location,' Lilywhite says. 'Most people tend to put them in a corner, when instead you should be positioning the dehumidifier in the centre of the room to remove moisture. This ensures that there is enough space around the dehumidifier for the air to circulate.' Another mistake is neglecting regular maintenance or drainage. 'Doing so can lead to the growth of mould and bacteria inside the dehumidifier. Many dehumidifiers have a removable tank that needs to be emptied regularly,' Lilywhite explains. 'Proper maintenance is key to ensuring that your appliance lasts longer and performs effectively.' Michaels also suggests choosing an energy-efficient model with a humidistat. 'This allows the dehumidifier to maintain a set humidity level, switching off automatically when that level is reached and only turning back on if humidity rises,' he says. 'It means the unit only runs when needed, saving electricity.' He adds that it's also worth looking for models with a long warranty, 'as this often reflects better build quality and means you're less likely to need a replacement every couple of years.' Dehumidifiers have also become a popular way to dry laundry. Martin Lewis suggested this method as a money-saving technique as dehumidifiers are far cheaper to run than tumble dryers. It's also much faster than many other drying methods. 'When drying washing indoors, place the dehumidifier next to the clothes rack and keep the door closed. To reduce drying time, position a cooling fan opposite the dehumidifier,' Michaels suggests. 'Fans are energy efficient and help create airflow that pushes moisture out of the clothes and into the air for the dehumidifier to capture.' The best dehumidifier to buy Our expert guide to the best tried and tested dehumidifiers has plenty of recommendations, and Duux's bora smart 30l dehumidifier secured the top spot. Tester and air quality expert Joanne Lewsley found that 'It's a high-performance model that's as stylish as it is functional. It might be large, but it features a premium, minimalist design, which is ideal if you're after a dehumidifier that won't ruin your home aesthetic.' With a 30l per day extraction rate and a generous 4l water tank, it's great for larger rooms or open-plan spaces. Joanne says, 'What really sets it apart is its smart functionality. The Duux app is intuitive, responsive, and packed with helpful features. It provides real-time air quality readings and enables you to control everything from fan speed to humidity settings, whether you're on the sofa or away from home.'
News18
4 days ago
- Business
- News18
ITAT Verdict: Capital Gains Exemption Under Sec 54 Allowed On Property Gifted By Spouse
Section 54 of the Income Tax Act offers exemption from long-term capital gains tax if the profit from selling a residential house is reinvested in buying another residential property within 2 years, or used to construct a new one within 3 years from the date of sale. The above verdict pronounced by the Income Tax Appellate Tribunal (ITAT) Mumbai came following the appeal of Kavita Manoj Damani. Her claim for long-term gain exemption was rejected by the Income Tax Officer (AO), calling it as a 'tax avoidance attempt'. Even the Commissioner of Income Tax (Appeals) sided with the AO. So, she was forced to knock on the doors of the Income Tax Appellate Tribunal (ITAT) Mumbai to get the tax relief as per rules and process. The case revolves around a Powai property jointly purchased by a couple in 2002, as per Live Mint report. In 2017, the husband gifted his 50% stake to his wife. She sold the entire property in 2020, earning a long-term capital gain of Rs 4.21 crore. To claim exemption under Section 54, she bought a flat from her husband for Rs 3.85 crore and paid Rs 11 lakh in stamp duty—totaling Rs 3.96 crore. Though AO rejected her claim. The Live Mint report said that the tax officer believed her husband was the real owner, and she didn't pay for the original flats. The Assessing Officer initially denied the exemption, arguing that the sale was a sham meant to transfer capital gains back to the husband. The Commissioner of Income Tax (Appeals) also sided with the AO. However, ITAT Mumbai ruled in favour of the wife, stating that the sale was genuine. She had paid through banking channels, registered the deed, reinvested within two years, and deducted TDS. The tribunal clarified that the relationship between the buyer and seller is irrelevant under Section 54 if the transaction is authentic. However, the tribunal looked at the matter from a fresh perspective. It noted that the property was legally gifted in 2017 and so the new property was bought within the allowed 2-year window. Moreover, the legal process including full payment and stamp duty were done properly. The tribunal in its verdict accepted the deal as a legally valid and allowed the claimant to take the benefits under Section 54. What This Means for You You can claim Section 54 exemption on capital gains from property gifted by your spouse. But you must complete the purchase of a new property within 2 years of selling the old one. Use a proper gift deed to transfer ownership.
Mint
6 days ago
- Business
- Mint
Mumbai court allows capital gains tax exemption to woman who bought flat from her husband
When you sell a house, you can claim exemption from capital gains tax by reinvesting the profit in another residential property. This is allowed under Section 54 of the Income Tax Act. In Mumbai, Kavita Damani followed this rule by using ₹3.96 crore from the sale of a property to buy a flat from her husband. However, the assessing officer (AO) rejected her claim for tax exemption, arguing that the reinvestment wasn't genuine and that the transaction was merely a way to transfer the capital gains to her spouse and not a real purchase. However, the Mumbai Income Tax Appellate Tribunal (ITAT) ruled in Kavita's favour and allowed her the exemption under Section 54. What was the case? Kavita Damani and her husband Manoj Damani had jointly purchased two adjacent flats in Powai in March 2002. In April 2017, the husband gifted his 50% share to her, making Kavita the sole owner. In January 2020, she sold the flats for ₹5.98 crore, earning long-term capital gains of ₹4.21 crore. She then purchased a flat in Lodha Estella from her husband in March 2021 for ₹3.85 crore and paid ₹11.55 lakh in stamp duty to claim a total of ₹3.96 crore in exemption from capital gains tax under Section 54. She made the entire payment within the stipulated deadline under Section 54. However, the assessing officer denied the exemption on the grounds that the reinvestment in property was not a genuine transaction because it was bought from the spouse. The AO's argument was that Kavita had failed to prove her own contribution in the original Powai flats and that her name was included only nominally. Hence, the capital gains from the Powai flats should be taxed in her husband's hands, as per the clubbing provisions under Section 64. The ₹3.96 crore gains were added to her taxable income. The Commissioner of Income Tax (CIT Appeals) upheld the AO's findings, after which Kavita approached the ITAT. The ITAT, on reviewing the case documents, ruled that Kavita was indeed the sole legal owner of the Powai flats after the 2017 gift deed. The capital gains on the sale of the Powai flats were credited to her bank account and all disclosures were made in her income tax return. Naveen Wadhwa, vice president at Taxmann, said the court noted that irrespective of the fact that the details of the payments made while purchasing the Powai property in 2002 were not available, the husband had gifted his rights in the property to Kavita. True owner 'By virtue of the said gift, Kavita had become the owner of the said property. The court further noted that tax on the rental income earned from the property was also fully paid by Kavita from the day on which the husband of assessee gifted her share to the assessee," he explained. This reasoning established Kavita as the real and economic owner of the Powai property. The next question was whether the Lodha flat purchase was genuine because it was bought from her husband. Sujit Bangar, founder of Taxbuddy, said the ITAT considered the transaction genuine on four key grounds. 'One, Kavita paid her husband through a bank transfer, establishing a genuine payment trail. Second, a sale deed was registered. Third, she transferred the gains within two years, which is the requirement under Section 54. Last, she deducted TDS on the sale amount and deposited it with the government," Bangar said. Since Kavita met all the legal and tax requirements, the authenticity of the transaction took precedence over the relationship between the parties. 'The court observed that the relationship between the purchaser and seller is not relevant and there is no restriction on purchase of the residential property from the spouse for 54 exemption," Wadhwa said. Section 54 exemption between relatives This case shows that the Section 54 exemption can be claimed even in transactions between relatives provided the eligibility criteria are satisfied: a) the capital gains are reinvested in a residential property, and b) within two years, or three years if the property is being constructed. It is important that both the relatives maintain genuine transactions and proper documentation. However, there are still costs to bear. The buyer will need to pay stamp duty, though they are allowed to include stamp duty as part of cost of acquisition and investment for exemption under Section 54. The seller needs to pay tax on the capital gains made by selling the property since it's not a gift. Bangar said in the case of Kavita, since she has actually paid her husband, capital gain provisions will apply in her husband's hands. 'If the difference between the purchase and sale price is minimal, it can be advantageous for the spouses," Bangar explained. Prakash Hegde, a Bengaluru-based chartered accountant, said such transactions carry convenience value. 'The property and control over it stays within the family," Hegde said. He added it can be beneficial in specific cases such as when the husband reinvests the gains in tax-saving bonds or the capital gains liability in his hands is minimal after indexing the cost of the acquisition. Relatives can execute the sale based on the circle rate, even if the market value is higher, which helps reduce the capital gains tax liability for the seller. The stamp duty in such cases will also be lower as it is paid on the ready reckoner rate or the actual sale consideration, whichever is higher.
