CORPORATE TAX (HONS.

)
B.A.LL.B SEMESTER VIII
Academic Session January-April 2014
-Mr.Y.Papa Rao
&
Ms. Apoorvi Shrivastava
INTRODUCTION:
Our ancient history and culture give us in India our unique identity. Ancient lawgivers and
philosophers, like Manu and Chanakya, wrote extensively on the duties of a sovereign and their
relationship with the subjects. They laid foundations of mighty empires and enabled the spread of
Indias unique culture and civilization across many countries. When Mr. James Wilson
introduced Income Tax in India in its modern form, he was only following in the footsteps of this
illustrious tradition. The ancient dictum, Kosh Mul Danda continues to be as relevant today as
it was thousands of years back. At that time, though the existence of industrialization and trading
was at its acute stage, but taxation of the transactions by these above bodies prevailing.
The concept of tax planning, tax avoidance and tax evasion has received extensive judicial
attention in India. However in recent times this subject has gained much importance because of
the increasing tendency of the Revenue to examine with microscope any transaction that leads to
reduction in tax liability.
The study of Corporate Tax or Corporation Tax has received huge importance in modern times as
globalization has led to entry of companies in India which not only generate employment but
also bring revenue to state. The implication of tax and its study commences from the very birth
of any company and continues till the liquidation of the company under the study of corporate
tax. Tax authorities have to support the object of the policies framed by State, and in this sense
we study various provisions which facilitate the companies to develop and generate economy to
the nation. Nevertheless, the provisions are amended to support the policies but the tax
authorities will continue to charge tax on these corporate bodies having different status.
Recently we have seen the law courts trying to compute tax on the overseas transactions of the
companies, which proves the competency and power of the tax authorities in India and their
vigilance over the transactions which draw some impact in India. So the reconstructions or
rehabilitation of the companies have separate importance and scope of study under the tax
perspectives. We need to study the classifications of companies done by the financial
perspectives and social object.
MODULE----1
INTRODUCTION
1. Historical Development of Income Tax and Corporate Tax.
2. Tax structure in India
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3. Company under Income Tax Act, 1961?

4. Residential Status of Company and its relation with tax
-Receipt of Income and Income Accrued
5. POEM- Place of Effective Management
MODULE----2
TAXATION OF COMPANIES
1. Carry forward and Set off of business losses and depreciation.
2. Taxable Income and Tax Liability
3. MAT (Minimum Alternative Tax)
4. Concept of Slump Sale

MODULE----3
TAX IMPLICATION
1. Taxation with reference to Newly Established Business.
a. Location of a Business.
b. Nature of Business.
c. Form of Business.

MOUDLE----4
BUSINESS TAX PROCEDURE AND MANAGEMENT
1. Double Taxation Avoidance Agreement.
2. Advance Payment of Tax.
3. Tax Planning, Tax Management, Tax Avoidance and Tax Evasion
4. Transfer of Pricing

MOUDLE----5
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TAX ON BUSINESS RESTRUCTURING

1. In case of Amalgamation
2. In case of Demerger

Reference:
BOOKS: --1. Income Tax Law by Chaturvedi & Pithisaria (Wadhwa Publication).
2. Income Tax Law by V.K.Puri (Jain Books Agency Publication)
3. Law of Income Tax by Sampath Iyengar (Bharat Publication).
4. Corporate Tax Planning by V.K.Singhania (TAXMAN PUBLICATION).
5. Corporate Tax Planning and Management Direct Tax Law & Practice by Girish Ahuja &
Ravi Gupta (Bharat Publication).
6. Guide on Foreign Collaboration by Rajiv Jain (India Investment Publication).
7. Tax Incentives for Foreign Direct Investment by Alex Easson (Kluwer Law Internation).
8. Double Taxation, Tax Treaties, Treaty Shopping by Christiana HJI Panayi (Kluwer Law
International).

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