The June 2025 edition of the Grant Thornton Bharat Monthly Tax Bulletin captures key developments under the direct taxes, transfer pricing, indirect taxes, and FEMA, for May 2025.
Key highlights:
- The US Court of Appeals grants a stay against the US Court of International Trade’s ruling invalidating Trump’s ‘Liberation Day’ tariffs.
- The ITAT rules that a surcharge on income for private discretionary trusts should apply at slab rates.
- The ITAT rules that equity/debt mutual funds and shares constitute distinct asset classes for tax purposes.
- The US Tax Court upholds the IRS use of the income method in the Facebook transfer pricing case.
- The ITAT holds that the provision for bad debt lacks a direct nexus with operating income and cannot be considered operating in nature.
- The Supreme Court (SC) dismisses a review petition in the Safari Retreats case, upholding relief on the input tax credit.
- The SC upholds the levy of service tax and entertainment tax on DTH broadcasting services.
