It is a well settled legal
proposition that on the death of any of the parties to a suit,
the suit automatically abates on non-substitution of legal representatives
within the period of limitation. However, the death of a plaintiff
or defendant does not cause the suit to abate if the right to
sue survives.
The Supreme Court had to consider
the nature & scope of “deemed gift” in section 4(1)(a) of
the Gift Tax Act in Reva Investment Pvt Ltd v Comm of Gift Tax
Gujarat (2001 AIR SCW 1946).
Would a discount be a commission
and therefore be subject to the provisions of section 194-H
of the Income-Tax Act, 1961 (“the Act”) which would require
deduction of tax at source.
It is a well-settled principle
of law in conformity with international practice that if a Double
Tax Avoidance Agreement (DTAA) does not contain a specific clause
pertaining to a class of income, the provisions of the Income-tax
Act, 1961 will apply.
