Embark on a Journey Through the Byzantine Bureaucracy of Political Party Financing - Unveiling the Mysteries of Electoral Bonds, Anonymous Donations, and Tax Exemptions

Summary:

In a groundbreaking move, the Supreme Court has struck down the controversial electoral bonds scheme, citing a violation of the fundamental right to information. This landmark decision has sent shockwaves through the political landscape, nullifying amendments that facilitated anonymous donations to political parties. Simultaneously, the court has scrutinized corporate funding provisions, advocating for reforms to curb undue influence and ensure transparency. Amidst these developments, the Income Tax Appellate Tribunal has reinforced the strict interpretation of exemption rules for political parties, denying exemptions for non-compliance with auditing and disclosure norms. These rulings underscore the judiciary's commitment to upholding democratic principles, accountability, and the public's right to know the sources of political funding.

Detailed Narrative:

Article #31321: In a pivotal development, the State Bank of India has unveiled the identities of financial service firms that participated in the now-defunct electoral bonds scheme, shedding light on the opaque realm of political funding.

Article #31429: The Income Tax Appellate Tribunal dismissed the stay application filed by the Indian National Congress against the recovery of tax demand, upholding the strict interpretation of exemption rules and the mandatory nature of compliance with auditing and disclosure norms.

Article #31430: The court held that the Bharatiya Janata Party's publication activities did not constitute a 'business,' and the surplus received on redemption of mutual fund units was taxable as 'income from other sources,' not capital gains, establishing principles for the taxation of political parties' income.

Article #31388: The Income Tax Appellate Tribunal dismissed the Indian National Congress's stay application against a tax demand, affirming the mandatory nature of filing returns by the due date and prohibiting cash donations exceeding the prescribed limit to claim exemption under Section 13A.

Article #31428: The Delhi High Court ruled that the Indian National Congress was not entitled to claim exemption for the assessment year 1994-95 due to its failure to maintain properly audited accounts, a mandatory condition for claiming such exemption under Section 13A.

Article #31386: The Supreme Court has questioned the validity of Section 182 of the Companies Act, 2013, which enables companies to contribute unlimited amounts to political parties without adequate safeguards, advocating for reforms to uphold transparency, accountability, and fairness in the electoral process.

Article #31385: In a landmark verdict, the Supreme Court has upheld transparency and accountability in political funding, declaring the electoral bonds scheme unconstitutional and directing the State Bank of India to disclose bond details to the Election Commission for public disclosure.