NEWS SNIPPETS – 11th Dec 2017

Economic Times- Business Standard

  •  Bankers stare at Rs 1 lakh crore bad loan bomb ready to explode in next 2 days
  •  Satyam case: SC dismisses ED plea against TechM
  •  Largest automated container terminal opens in China
  •  Insolvency: IBBI notifies rules for complaint handling
  •  India to seek solution to food stock issue at WTO
  •  Firms, lenders ask RBI to extend insolvency deadline
  •  Mukesh Ambani drives 45% of India Inc’s capex since FY14
  •  FY19 Budget may assume crude oil price at $65/barrel
  •  Trade unions to make case for CIL contract workers’ 20% wage hike
  •  SBI changes names, IFSC codes of around 1,300 branches

Business Line-Mint

  •  Central banks buying gold in effort to diversify reserves
  •  India’s ultra-mega solar project to be discussed at France Summit: World Bank
  •  Aadhaar-PAN linking deadline extended to March 31
  •  Mahindra Electric to play key role in SsangYong’s EV drive
  •  Top eight BSE companies add Rs. 57,998 cr to market valuation
  •  Mutual funds log Rs. 1.26 lakh cr inflow in Nov
  •  Oil firms skip monthly LPG price hike for the first time in 17 months
  •  Telecom Commission to consider ministerial panel suggestions on 21 December
  •  Ultratech to set up Rs1,850 crore cement plant in Rajasthan

Financial Express-Financial Chronicle

  •  Government hints at reviewing rates in top GST bracket
  •  Coal imports rise 40% on restocking demand in Novembe
  •  Airtel to connect over 2100 uncovered villages in North East
  •  Delhi govt cancels licence of Max Hospital
  •  Bank of India to raise `3,000 crore via QIP
  •  Govt takes over Unitech, NCLT allows MCA to appoint 10 directors
  •  Forex reserves jump by $1.2 bn to $401.94 bn
  •  Bids for RCom’s spectrum, tower to open this week

CORPORATE AND PROFESSIONAL UPDATE DECEMBER 11 2017

DIRECT TAX:

  • Direct tax collections increased by 14.4% to Rs 4.8 lakh crore during April-November this financial year. The net direct tax collections represent 49% of the total Budget Estimates of direct taxes for 2017-18. The gross collections (before adjusting for refunds) have increased by 10.7% to Rs 5.82 lakh crore during April-November, 2017. Refunds amounting to Rs 1.02 lakh crore have been issued during April-November, 2017.
  • CBDT has issued Clarification on Indirect Transfer provisions in case of redemption of share or interest outside India under the Income-tax Act, 1961.
  • ITAT Ahmedabad held that wherever any irregularity crept in the proceedings, the proceedings itself cannot be declared void, rather irregularity deserves to be rectified.[Late Shri Atulkumar Mansukhlal Shah Vs. ITO (ITAT Ahmedabad)]
  • ITAT Mumbai held that the assessee is having sums deposited in the foreign bank account, it was incumbent upon the assessee to disclose the same in the subsequent years, unless the assessee produces necessary evidence that the afore-said deposit has been liquidated. Thus, once the Assessing Officer has come to the possession of the information that the assessee is beneficiary of deposits in foreign bank accounts and from the return of income filed by the assessee, the Assessing Officer notices that the interest from the said deposit in accounts has not been disclosed in the return of income, the reopening of the case is duly justified. The computation and assessment of interest is reasonable and justified. [Mr. Hasmukh I. Gandhi Vs. Dy. CIT (ITAT Mumbai)]
  • ITAT Ahmedabad held that addition based on Fake sale deed is not sustainable. [Shri Gopichand Chhabaria Vs. CIT (ITAT Ahmedabad)]

INDIRECT TAX:

  • Refund procedure for refund claims in respect of zero rated supplies has been initiated by the Government. However, the refund process for other cases has not been initiated as of now.

GST UPDATE:

  • GST Advisory* – If you opt for reset of GSTR3B, late fee inadvertently gets visible for months for which it has been waived off.
  • Finance:After slashing the GST rates of over 200 items last month, the Govt on Saturday hinted at reviewing levies on the items in the top 28% tax bracket.
  • Unsold inventory of imported chocolates, confectionery and cosmetics, which attracted 28% IGST during inbound shipments but are now retailing with an 18% levy, can claim refunds on the excess tax paid
  • GST: Unauthorized search and seizure by BIEO, HC grants interim relief. Case M/s. Kumar Traders And Company & Anr. Vs. The State of Assam (Guwahati High Court)

FAQ on GST: 

Query:  What will be the place of supply of banking services and other financial services, stockbroking services?

Answer: As per Section 12(12) of the IGST Act, 2017, the place of supply of banking services shall be the location of the recipient of service as available on the records of the supply of services. If the location of recipient of service is not on records of the supplier, the place of supply shall be the location of supplier of service.

MCA UPDATE:

  • MCA has issued circular to give Relaxation of additional fees and extension of last date of filing of Form CRA – 4 under the Companies Act, 2013
  • MCA has notified the Companies (Filing of Documents and Forms in Extensible Business Reporting Language), Second Amendment, Rules, 2017 which shall come into force from the date of their publication in the Official Gazette

RBI UPDATE:

  • RBI’s latest guidelines on merchant discount rates (MDR) have brought some respite to the digital payments industry, many payment executives ET spoke to feel that the central bank needs to ensure equitable distribution of MDR between the various participants of digital transactions
  • RBI has permitted overseas branches and subsidiaries of Indian banks to refinance the existing External Commercial Borrowings (ECBs), giving them a level playing field vis-à-vis their global counterparts.

OTHER UPADATE:

  • RBI* has launched an SMS campaign and a ‘missed-call’ helpline to warn people against prize money frauds.
  • RERA Registration requirement* of any Project under RERA – No registration of the real estate project shall be required where the area of land proposed to be developed does not exceed five hundred square meters or the number of apartments proposed to be developed does not exceed eight units inclusive of all phases.
  • The Financial Resolution and Deposit Insurance Bill, 2017 (FRDI Bill),* introduced in the Lok Sabha on August 10, 2017, is presently under the *consideration of the Joint Committee* of the Parliament.
  • ICAI Clarifies* on Rumors of Reservations in CA course – The general public is hereby advised not to pay any heed to such messages as being circulated by unscrupulous persons.
  • IBC*: Clause (e) of Section 2 of the Code has been substituted with three clauses. This would facilitate the commencement of Part III of the Code relating to individuals and partnership firms in phases.
  • IBC*: NCLT has struck down an attempt by a group of banks to block an insolvency resolution plan by citing the 75% vote share requirement prescribed under Section 30(4) of the IBC, 2016.
  • BITCOIN*: Government is planning to set up panel to decide on bitcoin policy. The RBI has last week warned the public of the risks related to virtual currencies (VCs).
  • NIRC Seminar on Impact Analysis Of GST* On Various Sectors On Saturday 16th December, 2017 at Hotel The Park, Parliament Street, New Delhi register at http://www.nircseminars.org/
  • Real estate firms are once again adding inventory at a faster clip as sales offtake fails to keep pace with the rising supply of new properties. At the end of March this year, top listed developers were sitting on unsold inventory worth Rs 99,000 crore. If receivables (the amount due from buyers for partial sales) are included, the amount comes up to Rs 1.16 lakh crore, highest in the last decade. The total value of unsold inventory is equivalent to 26 months’ worth of sales and highest in the last seven years. This was around 23 months during the end of FY16.
  • The CII Business Confidence Index has climbed up to the level of 59.7 during October-December 2017 compared to 58.3 in the previous quarter, reflecting an improvement in perception regarding overall economic conditions amidst indications of a normalisation in business situation post the recent disruptions like GST. The survey underscores the perception that the economy is on a sustainable recovery path, with the many Govt interventions having an impact on the ground. The climb in business confidence underpins the hope that the upward trend one is seeing on macro figures would be sustained.
  • The SBI has changed the names and IFSC codes of branches located in major cities such as Mumbai, New Delhi, Bengaluru, Chennai, Hyderabad, Kolkata and Lucknow, among others.The bank has put up the list of branches with old and new names and IFSC codes on its website.

KEY DATES:

  • 15 DEC 2017* is the last date for payment of 3rd installment of Advance Tax for AY    2018-19.
  • 11 DEC 2017* GSTR-5 for July to October  2017

WORD OF WISDOM:

*चन्द्रगुप्त*: किस्मत पहले ही लिखी जा चुकी है, तो कोशिश करने से क्या मिलेगा ! *चाणक्य*: क्या पता किस्मत मैं लिखा हो की कोशिश से ही मिलेगा।

“Life is found in the dance between your deepest desire and your greatest fear.”

We look forward for your valuable comment

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W: www.carajput.com    E: info@carajput.com   T: 011-9811322785, 9-555-555-480

Disclaimer:  All efforts are made to keep the content of this site correct and up-to-date. But, this site does not make any claim regarding the information provided on its pages as correct and up-to-date. The contents of this site cannot be treated or interpreted as a statement of law. In case, any loss or damage is caused to any person due to his/her treating or interpreting the contents of this site or any part thereof as correct, complete and up-to-date statement of law out of ignorance or otherwise, this site will not be liable in any manner whatsoever for such loss or damage.The visitors may visit the web site of Government site Like Income Tax Department, Services Tax, Excise, GST Etc for resolving their doubts or for clarifications.

PROFESSIONAL UPDATES

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*GST*: Govt. has initiated procedure for GST refund claims in respect of zero rated supplies.

*CBDT* has extended Aadhar-PAN linking deadline by 3 months to 31st March, 2018.

*CBDT* has issued Clarification on Indirect Transfer provisions in case of redemption of share or interest outside India under the Income-tax Act, 1961.

*NCLT* suspends the Unitech board for alleged mismanagement of funds and barred its directors from selling either personal or company assets, while allowing the Centre to name 10 nominee directors and paving the way for a government takeover of the floundering property developer.

*MCA* amends the Companies (Cost records and Audit) Rules, 2014 by inserting in Rule-2, a new clause (fa) “Indian Accounting Standards” means Indian Accounting Standards as referred to in Companies (Indian Accounting Standards) Rules, 2015 and substituting Form CRA-I & Form CRA-3 w.e.f. 01.04.2016.

*RBI* has issued a Press release to cautions the general public regarding risk of trading and dealing in virtual currencies including Bitcoins.

*IT*: Proviso to Section 264 (3) confers a statutory power on the Commissioner to condone the  delay. Therefore it was not necessary for the Commissioner to have taken recourse to Section 5 of the Limitation Act, 1963 – EBR Enterprises & Anr Vs Union of India (2017 (12) TMI 425 – Bombay High Court).

 

REPORT SUBMITTED BY GST LAW PANEL TO REVENUE SECRETARY REGARDING CHANGES IN GST ACT

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Although GST LAW PANEL has given more than 100 recommendations but some of them are as follows:
  • Reverse Charge Mechanism should be abolished
  • E-Way bill should be deferred till 2019 and efforts may be made to bring some alternate method in place of E-Way Bill.
  • Inter-state transactions should be allowed in Composition Scheme.
  • 1% tax in Composition for traders, manufacturers and restaurants.
  • Refund process should be automated
  • In place of all other returns there should be a single consolidated return.
  • Return process should be simplified and rationalised.
  • The ITC should be released within same month. Matching and adjustment may be done later.
  • FORM 3B is to be continued till March 2018
  • Return should be filed quarterly but tax may be paid monthly.
  • Doing away with HSN code in the invoice for easier return filing.
  • Classification of items should be such that the raw material and finished product are in the same slab. This would make refunds process easier.
  • Exempted or Nil rated goods should not be counted in aggregate turnover.
  • All job work should be taxed@5%
  • Service providers should also be allowed to take composition schemes
  • Allowing revision in returns.
  • Formation of a National Advance Ruling Authority
  • Search/raid only if Authority is having credible evidence against a person and that too only with orders of Commissioner.
  • Scrutiny of returns should be 0.5% to 1% only.
  • Registration of persons even after July should be granted registration with retrospective effect from 1st July 2017
  • Purchasers can claim ITC provided has made payment of tax and received the goods. If supplier does not pay tax the purchaser cannot be asked to reverse the credit.
  • GST on interest charged for late payment should not be charged.
  • Formula of deemed credit to weavers and fabric traders on the stock held as on 30.6.2017.
  • No requirement of reversal of VAT credit in the absence of Form C, F, H.
  • ITC on business expenses like, food, insurance, gift to employees, business assets
  • Consolidated debit note instead of invoice wise debit note.
  • Threshold exemption of Rs.20lakhs to all types of commission agents
  • Place of supply in many cases should be the registered place of the recipient in case of B2B transactions.
  • Withdrawal of Form ITC-4.
  • Many relaxations to casual taxable person.
  • Common tax pool for payment of tax.
  • No restrictions on  refund of accumulated credit.
  • Premises of assessee cannot be visited casually by the officers, prior written permission of the Commissioner required
  • No penalty in case of wrong classification
  • No denial of credit on the purchases made from 1.7.2017 till the date of registration for textile traders and other segment as well.

​The panel received more than 700 representations on problems faced by industry over return filing, the E-way bill, Input tax credit, and Exports.

All the above Recommendations are some major out of many more Recommendations of A 6 -Member Advisory Group set up by Ministry of Finance on 2nd November 2017 and Group was asked to submit its report by 30th November on proposed changes in GST Act.

REVISION IN RATES OF GST

Rate of GST reduced on large number of goods and services - As decided by the GST Council in its 23rd meeting held on 10thNovember, the rates of GST on number of products and services have been reduced.

  • List of 28% GST rated goods has been pruned substantially, from 224 tariff headings to 50 tariff headings,
  • Rates have also been reduced on several goods from 18% to 12% (Condensed milk; Pasta; Curry paste, mayonnaise and salad dressings; Medicinal grade oxygen, etc.),
  • from 18% to 5% (fly ash; puffed rice chikki, peanut chikki, sesame chikki, revdi, tilrevdi, khaza, kazuali, groundnut sweets gatta, kuliya, etc.) and
  • from 12% to 5% (finished leather, chamois and composition leather; fly ash brick, etc.).
  • Similarly, rate of GST on guar meal, khandsari sugar, bangles of lac / shellac, uranium ore concentrate and specified dried vegetables has come down to nil.
  • In respect of services, stand-alone restaurants irrespective of being air conditioned or otherwise, would be liable to GST at the rate of 5%, without the facility of input tax credit (ITC).
  • Restaurants in hotel premises having room tariff of less than Rs. 7500 per unit per day are also covered under this rate of tax, without ITC.

Notification Nos. 41, 42 and 46/2017-Central Tax (Rate), all dated 14-11-2017 and effective from 15-11-2017.

  • Exemption to tax payment at time of receipt of advance – Notification No. 66/2017-Central Tax, dated 15-11-2017to exempt all registered persons [except taxpayers who opted for composition levy under Section 10 of CGST Act] from payment of tax on advances received in case of supply of goods
  • Registration exemption to specified service provider providing service through electronic commerce operator- This exemption is available to service providers having an aggregate turnover of less than Rs. 20 lakh (Rs. 10 lakh in case of special category States) in a financial year. Notification No. 65/2017-Central Tax, dated 15-11-2017.
  • Reduced rate of GST for specified supplies to research institutions, etc. (Effective form 15-11-2017)- Notification No. 45/2017-Central Tax (Rate), dated 14-11-2017 has been issued to provide for 2.5% CGST on specified goods supplied to public funded research institutions, universities, IITs, NITs, IISC (Bangalore), research institutions, departments and laboratories of Central / State Governments and Regional Cancer Centre (Cancer Institute). This list excludes hospitals.
  • IGST exemption to inter-State movement of rigs, tools and spares- Inter-State movement of such goods between distinct persons shall be treated neither supply of goods nor supply of services and no IGST will be levied. Circular No. 21/21/2017-GST, dated 22-11-2017 issued, however notes that such exemption will not be available if movement is for further supply of such goods, and that GST will be payable on repairs and maintenance of such goods.
  • EOUs –Procedure for procurement from DTA- CBEC has prescribed procedure and safeguards in respect of supply of goods to EOU, in order to ensure smooth processing of refund claims in respect of such deemed exports. EOU in this regard is required to intimate, in a prescribed form, to the registered supplier and to jurisdictional officers of the supplier and that of EOU. As per Circular No. 14/14 /2017-GST, dated 06-11-2017, tax invoice as endorsed by EOU will be considered as proof of deemed export supplies made by the registered supplier to the EOU.
  • Refund of unutilised ITC in case of export of fabrics, available- Manufacturer of fabrics is eligible for refund of unutilized ITC of GST paid on inputs (other than ITC of GST paid on capital goods) in respect of fabrics manufactured and exported by him. Circular No. 18/18/2017-GST, dated 16-11-2017 clarifying this, observes that restriction on refund of unutilised ITC under Notification No.5/2017-Central Tax (Rate) would not apply to zero rated supplies.
  • Terracotta idols eligible for nil GST rate-Tax Research Unit of the Ministry of Finance has clarified that as terracotta is clay based, terracotta idols will be eligible for Nil rate under Sl. No.135A of Notification No. 2/2017-Central Tax (Rate), dated 28-6-2017, which prescribes nil rate for clay idols. Circular No. 20/20/2017-IGST, dated 22-11-2017.
  • Milling of paddy into rice liable to GST -Circular No. 19/19/2017-GST, issued by Ministry of Finance clarifying that milling of paddy into rice on job work basis is liable to GST at the rate of 5%, on the processing charges (and not on the entire value of rice) under Sl. No. 26 -of Notification No. 11/2017-Central Tax (Rate). According to this circular milling of paddy is not an intermediate production process in relation to cultivation of plants.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; Hope the information will assist you in your Professional endeavours. For query or help, contact:   info@carajput.com or call at  09811322785/4, 9555 555 480

LATEST UPDATE ON NOTIFICATION ON GST RETURN FILLING AND COMPLIANCE

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GST Returns –Due date for filing specified returns extended – Notification Nos. 59-63/2017–Central Tax, all dated 15-11-2017 have been issued for this purpose.

Return Month/Quarter Revised due date Additional comments
GSTR-4 For the quarter July to September 2017 24-Dec-2017 To be filed by Composition supplier.
GSTR-5 For the month July, August, September & October 2017 11-Dec-2017 To be filed by a non-resident taxable person.
GSTR-5A For the month July, August, September & October 2017 15-Dec-2017 To be filed by person supplying online information and database access or retrieval services from a place outside India to a non-taxable online recipient.
GSTR-6 For the month July 31-Dec-2017 To be filed by Input Service Distributor (ISD).
ITC-04 For the quarter July to September 2017 31-Dec-2017 In respect of goods dispatched to a job worker or received from a job worker or sent from one job worker to another.

 Late fees for delayed filing of GSTR-3B waived 

Late fee payable by any registered person for failure to furnish the return in FORM GSTR-3B for the month of October, 2017 which is in excess of an amount of twenty five rupees for every day. Provided that where the total amount of central tax payable in the said return is nil, waived to the extent which is in excess of an amount of ten rupees for every day, Notification No. 64/2017-Central Tax, dated 15-11-2017.

GSTR-3B made mandatory till March 2018 - Notification Nos. 56/2017-Central Tax, dated 15-11-2017.

SI. No. Month Last date for filing of  return in FORM GSTR-3B
1 January 2018 20th February 2018
2 February 2018 20th March 2018
3 March 2018 20th April 2018

Due date for filing GSTR-1 – Notification Nos. 57-58/2017-Central Tax, dated 15-11-2017 Time limit for furnishing the details of outward supplies in FORM GSTR-1 by such class of registered persons, having aggregate turnover of more than 1.5 crore rupees in the preceding financial year or the current financial year

SI No.
Months for which the details in FORM GSTR-1 are furnished
Time period for furnishing the details in FORM GSTR-1
1 July – October, 2017 31st December, 2017
2 November, 2017 10th January, 2018
3 December, 2017 10th February, 2018
4 January, 2018 10th March, 2018
5 February, 2018 10th April, 2018
6 March, 2018 10th May, 2018

having aggregate turnover of up to 1.5 crore rupees in the preceding financial year or the current financial year

SI No.
Months for which the details in FORM GSTR-1 are furnished
Time period for furnishing thedetails inFORM GSTR-1
1 July – September 2017 31st December, 2017
2 October – December 2017 15th February, 2018
3 January – March 2018 30th April, 2018

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; Hope the information will assist you in your Professional endeavours. For query or help, contact:   info@carajput.com or call at  09811322785/4, 9555 555 480

COMMON COMPLIANCE’S WHICH A PRIVATE LIMITED COMPANY HAS TO MANDATORILY ENSURE

COMPLETE FILING OF YOUR COMPANY  ROC ANNUAL COMPLIANCE- COMMON COMPLIANCE’S WHICH A PRIVATE LIMITED COMPANY HAS TO MANDATORILY ENSURE- TIME IS RUNNING OUT-: -

While you are busy planning the business strategies, there are various compliance’s which are required to be followed once your business is incorporated. Managing the day to day operations of your business along with complying the corporate laws can be little taxing for any entrepreneur. Hence, it is essential to take help of a professional and also understand such legal requirements to ensure timely fulfillment of compliance’s, without any levy of interest or penalty.

 If You are Private Limited / Public Limited Company or LLP:

We have elaborated below some of the common compliance’s which a private limited company has to mandatorily ensure:

Compliance Requirement- Description and Timeline

  • Appointment of Auditor- Auditor will be appointed for the 5 (Five) years and form ADT-1 will be filed for 5-year appointment.
  • Appointment of Auditor- within one month
  • Statutory Audit of Accounts- Every Company shall prepare its Accounts and get the same audited by a Chartered Accountant at the end of the Financial Year   compulsorily. The Auditor shall provide an Audit Report and the Audited Financial Statements for the purpose of filing it with the Registrar.
  • Filing of Annual Return (Form MGT-7)- within 60 days
  • Filing of Financial Statements (Form AOC-4)- within 30 days
  • Holding Annual General Meeting- It is mandatory for every Private Limited Company Company to hold an AGM in every Calendar Year. Companies are required to hold their AGM within a period of six months, from the date of closing of the Financial Year.
  • Preparation of Directors’ Report- Directors’ Report will be prepared with a mention of all the information required under Section 134.

Besides this. Do you know?

  • Being a Pvt Ltd Company / LLP you are liable for paying Profession Tax of Company, Directors & Employees from the 1stday of company inception.
  • You are liable for deducting TDS in various rates applicable for various slabs from 1st

Non-Compliance;

If a Company fails to comply with the rules and regulations of the Companies Act, then the Company and every officer who is in default shall be punishable with fine for the period for which default continues. If there is delay in any filing, then additional government fees is required to be paid, which keeps on increasing as the time period of non-compliance increases.

Please take note of this very important proposed amendment in companies act. This is passed by Lok sabha and presented to Rajysabha. Once it is passed, for annual return and balance sheet late fees will be Rs. 100 per day. And if there is a repeat default (means for more than one year) for second year late fee will be Rs. 200 per day. If any company has not filed returns for 2015-16 or for earlier years; late fee per form will be minimum 36500 per year. We need to file all old returns before this amendment gets passed.

Rajput Jain & Associates (www.carajput.com) can become your trusted partner in ensuring that all vital compliance’s are seamlessly met. We are committed towards making your company fully compliant through a team of competitive professionals with comprehensive knowledge of the subject matter. We request you for an opportunity to discuss our proposition further and embark a journey of trust, comfort and success together.  The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances; Hope the information will assist you in your Professional endeavors. For query or help, contact:   info@carajput.com or call at 09811322785/4, 9555 555 480, You can call or Whatsapp us on +91 9811322785.

CORPORATE AND PROFESSIONAL UPDATE SEPTEMBER 27 2017

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DIRECT TAX:

  • Delhi HC quashes assessment order passed pursuant to ITAT’s remand in case of Nokia India (‘assessee’) for AY 2007-08, holds that the order was barred by limitation u/s. 153(2A) [which prescribes time-limit for framing assessment pursuant to ITAT order setting aside or cancelling assessment]. [TS-425-HC-2017(DEL)]
  • SC allows Revenue’s appeal and sets-aside Punjab & Haryana HC ruling. Rules that enhanced compensation along with interest thereon received by assessee-HUF pursuant to HC’s interim order in pending appeals relating to land acquisition matter, taxable in the year of receipt;

INDIRECT TAX:

  • CBEC notifies changes in GST rates and exemptions in respect of various commodities, including 5% on cereals, pulses and flours put up in unit container and bearing registered brand name or bearing brand name on which actionable claim or enforceable right in court of law is available.

GST UPDATE:

  • Collections under the GST dropped marginally to Rs 90,669 crore for August from therevised figure of Rs 94,063 crore for July.
  • GST Network (GSTN) has tweaked some of the features on its portal over the past month to make the system more robust and allow glitch-free tax payment facility to almost 35 lakh assessees, CEO Prakash Kumar said on Sunday. Of the total 87.33 lakh registered businesses on the GSTN, which manages the IT infrastructure of the new tax regime, 68 lakh.
  • GST e-way Bill and Returns & Burden of Proof & Evidentiary Law with Discussion on recent Update under Income Tax (OTHERS) Date: From: 04-10-2017 – To: 04-10-2017 POU Name: North Campus Study Circle of NIRC Event Venue: ART OF CURRY, OPP-FUN CINEMA, NETAJI SUBHASH PLACE,DELHI-34. City: DELHI …
  • The Goods and Services Tax (GST) Council has put in place an elaborate framework for division of taxpayers between the state and central tax authorities, in a move aimed at bringing clarity and effectiveness in the administration of the new indirect tax regime. The guidelines for the division of the taxpayer base between the Centre and states will…
  • In view of difficulties of online filing, the industry body suggested that “the due dates for filing GSTR-1, GSTR-2 and GSTR-3 should be deferred for another month or two” Industry chamber CII today sought extension of time by two months for filing of GST returns in view of difficulties being faced by businesses. The GST Council has already exten.
  • This article discusses in detail  “whether GSTR-3B is to be filed mandatorily or not when it entails huge tax liability due to submission of some wrong information & non revision of the same or filing of the same can be avoided filing of GSTR-1, 2 & 3?” Query : Sir, i have done mistake..

FAQ on GST: 

Query: How should the assessee disclose the details of inward supplies on which he wishes to avail input tax credit?

Answer: In Form GSTR-2, against each inward supply at invoice level, the assessee has to state whether he is fully eligible, partially eligible or not eligible for availing credit on such inward supply. Further, in case invoice level details cannot be mentioned, the assessee can specify the quantum of ineligible input tax credit on inward supplies, which are relatable to non-taxable supplies or for purpose other than business

MCA UPDATE:

  • Banks have started the process of scanning account details of directors disqualified by the MCA to analyze their links with shell companies and check whether they diverted funds.

RBI UPDATE:

  • RBI has notified the amendments to Foreign Exchange Management (Transfer or Issue of Security by a Person Resident outside India) Regulations, 2000 as per the existing norms.
  • RBI/2017-18/66DBR.No.FSD.BC.89/24.01.040/2017-18 September 25, 2017 All Scheduled Commercial Banks(excluding RRBs) Dear Sir/ Madam, Amendments to Master Direction- Reserve Bank of India (Financial Services provided by Banks) Directions, 2016 Considering the suggestions and queries received from SEBI, banks and other stakeholders, Reserve Bank …
  • Ahead of the monetary policy review by the Reserve Bank of India early next month, the Finance Ministry is hoping for a further cut in key rates to boost domestic demand. “Inflation has picked up in the last one month but all the analyses we had done was based factoring in a rise in inflation. The medium-term inflation target is kept at 4 pe…

OTHER UPADATE:

  • The Central Government has notified the Customs and Central Excise Duties Drawback Rules, 2017 to replace the Customs, Central Excise Duties and Service Tax Drawback Rules, 1995 which shall be effective from 1.10.2017.
  • SEBI allowed Stock brokers to submit monthly data on their clients’ funds to the exchanges within three trading days after the month-end. Currently, brokers need to submit this data by the next trading day.
  • Prime Minister constituted a five member Economic Advisory Council (EAC) headed by Niti Aayog member Bibek Debroy, at a time when concerns are being raised over the declining growth in India.

KEY DATES:

  • Return of input service distributer for August: 27.09.2017

WORD OF WISDOM:

  • “Great minds discuss ideas; average minds discuss events; small minds discuss people.”

We look forward for your valuable comment www.carajput.com

FOR FURTHER QUERIES CONTACT US:

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Disclaimer:

All efforts are made to keep the content of this site correct and up-to-date. But, this site does not make any claim regarding the information provided on its pages as correct and up-to-date. The contents of this site cannot be treated or interpreted as a statement of law. In case, any loss or damage is caused to any person due to his/her treating or interpreting the contents of this site or any part thereof as correct, complete and up-to-date statement of law out of ignorance or otherwise, this site will not be liable in any manner whatsoever for such loss or damage.The visitors may visit the web site of Government site Like Income Tax Department, Services Tax, Excise, GST Etc for resolving their doubts or for clarifications.

 

CORPORATE AND PROFESSIONAL UPDATE 26 SEPTEMBER 2017

DIRECT TAX UPDATE:

  • Mumbai ITAT allows assessee-company’s claim of exemption u/s 54G  for AY 2004-05 with respect to capital gains arising on sale of land, rejects Revenue’s denial on the ground that investment was made in plant and machinery after 9 years of shifting of industrial undertaking. Hence, assessee can purchase machinery even after shifting and commissioning of business from the new premises, however, opines that most important and decisive factor for claiming the deduction is ‘transfer’ of capital asset. [TS-410-ITAT-2017(Mum)].
  • Rajasthan high court held that deemed registration of an application under section 12AA of the Income Tax Act if not responded to within six months, it would be taken that the application is registered under the provision. CIT Vs Sahitya Sadawart Samiti (Rajasthan High Court)

INDIRECT TAX UPDATE:

  • High Court Allows Clean Energy Cess credit utilization until CBEC evolves appropriate process therefor.
  • CBEC madeamendments in the notification of the Government of India in the Ministry of Finance (Department of Revenue), No.5/2017-Central Tax (Rate), dated the 28th June, 2017, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 677(E), dated the 28th June, 2017. Vide notification no 29/2017, dated 22th September 2017
  • CBEC made in the notification of the Government of India in the Ministry of Finance (Department of Revenue), No.2/2017- Central Tax (Rate), dated the 28th June, 2017, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 674(E), dated the 28th June, 2017. Vide notification no 28/2017, dated 22th September 2017.

GST UPDATE:

  • GST network has tweaked some of the features on its portal over the past month to make the system more robust and allow glitch-free tax payment facility to nearly 35 lakh assessees, its CEO Prakash Kumar Said.

FAQ on GST:

Query: Where a supplier transfers a running business as a whole either due to sale,     merger, amalgamation of such business, whether the portion of the un-utilized input tax credit by the supplier can be claimed immediately by the recipient?

Answer: There is no specific provision under the Act prohibiting transfer of such unutilized credit. Rather, Section 18(3) specifically provides that when there is a change in constitution of a registered person on account of sale, merger, or amalgamation of business with specific provision of transfer of liabilities, the registered taxable person shall be allowed to transfer the input tax credit which remains unutilized. Therefore, if the recipient is registered under the Act, he should be eligible to claim such unutilized credits. In a situation, where the recipient is not registered under the Act, he may have to make a fresh application for registration and claim such unutilized credits after making an intimation to the department.

MCA UPDATE:

  • MCA has notified the Companies (Restriction on Number of Layers) Rules, 2017 which shall come into force from 20-09-2017. Now no company, other than a company belonging to a class specified, shall have more than two layers of subsidiaries.
  • MCA has notified the amendments to the Companies (Acceptance of Deposits) Rules, 2014 applicable from   19-09-2017.

OTHERS UPDATE:

  • CBDT asks I-T department to take urgent steps for collection from the TDS category witnessing a sluggish pace, It asked the I-T dept to pull up its socks and take “urgent” steps and also conduct survey operations to shore up the funds.
  • The Department of Industrial Policy and Promotion (DIPP) will facilitate the process of ranking and it would be done by a third party. The Centre has initiated an exercise to rank states and Union territories on the basis of measures being taken by them to promote buddi entrepreneurs.

KEY DATES:

  • Return of input service distributer for August: 26/09/2017

WORD OF WISDOM:

  • Clear, written goals have a wonderful effect on your thinking. They motivate you and galvanize you into action. They stimulate your creativity, release your energy, and help you to overcome procrastination as much as any other factor.”
  • The most common way people give up their power is by thinking they don’t have any.

We look forward for your valuable comment www.carajput.com

FOR FURTHER QUERIES CONTACT US:

W: www.carajput.com    E: info@carajput.com   T: 011-233-4-3333, 9-555-555-480

Disclaimer:

All efforts are made to keep the content of this site correct and up-to-date. But, this site does not make any claim regarding the information provided on its pages as correct and up-to-date. The contents of this site cannot be treated or interpreted as a statement of law. In case, any loss or damage is caused to any person due to his/her treating or interpreting the contents of this site or any part thereof as correct, complete and up-to-date statement of law out of ignorance or otherwise, this site will not be liable in any manner whatsoever for such loss or damage.

The visitors may visit the web site of Government site Like Income Tax Department, Services Tax, Excise, GST Etc for resolving their doubts or for clarifications.

 

CORPORATE AND PROFESSIONAL UPDATE SEPTEMBER 23rd 2017

DIRECT TAX:

  • Delhi ITAT allows deduction u/s 10B to assessee [(operating an Export Oriented Unit (EOU)] for AY 2010-11 and AY 2011-12 in respect of duty drawback receipts forming part of EOU’s profits, ITAT holds that manner of computing profits u/s 10B(4) does not require direct nexus with business unlike Sec 80(IB).  TS-408-ITAT-2017(DEL)
  • Mumbai ITAT treats interest earned by assessee company on fixed deposit as capital receipt for AY 2012-13, being inextricably linked with setting up of power project, directs set-off against pre-operative expenditure. [TS-409-ITAT-2017(Mum)

INDIRECT TAX:

  • CBEC made amendments in the notification of the Government of India, in the Ministry of Finance (Department of Revenue), No.11/2017- Central Tax (Rate), dated the 28thJune, 2017, published in the Gazette of India, Extraordinary, Part II, Section 3, Sub-section (i), vide number G.S.R. 690(E), dated the 28thJune, 2017. Vide notification no 24/2017, dated 21th September 2017
  • Income Tax Department at the time of login asking for Residential Status, Mobile and Email, Bank details and at last Mobile and E-mail OTP. Otherwise Login is not allowed. Also, one Mobile and E-mail address cannot be used for more than 3 Assessee.
  • CBDT via Notification No. 9 dated. 19.09.2017 notifies procedure for filing Statement of Income to avail foreign tax credit as per Rule 128 of Income Tax Rules 2016.
  • CBEC exempts intra state supply of heavy water and nuclear fuels falling in Chapter 28 of the First Schedule to the Customs Tariff Act, 1975 (51 of 1975) by the Department of Atomic Energy to the Nuclear Power Corporation of India Ltd from the whole of the central tax leviable thereon under section 9 of the Central Good and Services Tax Act, 2017. Vide notification no 26/2017, dated 21thSeptember 2017.

GST UPDATE:

  • Extension of last date for filing TRAN-1 to 10.2017. Now original TRAN1 can be filed and revised once till 31.10.2017.  [Order 03/2017-GST of 21.9.2017.]
  • As many as 2.97 million assessees have filed the summary input-output return under the GST for the month of August (‘GSTR 3B’), much less than the 4.6 million that came for the month of July.

FAQ on GST:

Query: I have a registration as an Input Service Distributor. Am I required to raise invoices even though no taxable supplies are made from this registration number?

Answer: Yes. An Input Service Distributor (ISD) should issue a tax invoice being an ‘ISD invoice’ for distributing credits to the GST registrations that have the same PAN as that of the ISD. Such invoice will be different from invoices reflecting supply of goods or services (refer Invoice Rules). This is a document required under Section 20 of the Act.

MCA UPDATE:

  • MCA made amendments in companies Act, 2013. These rules may be called the Companies (Restriction on number of layers) Rules, 2017 which shall come into force on the date of their publication in the official Gazette. Vide notification no 01/1312013 CL-V (Vol.IIl), dated 20.09.2017.
  • The last date for submission of research proposal for “Funding of Research Studies and Workshops conference, etc. under the CDM plan Scheme” is now extended up to 29th September, 2017.

OTHER UPADATE:

  • SEBI has empowered stock exchanges to conduct forensic audits on listed companies which seem dubious, being suspected of  use as conduits for illicit fund flow.

KEY DATES:

  • Return of input service distributer for August: 23/09/2017

WORD OF WISDOM:

  • To be successful, you must decide exactly what you want to accomplish, then resolve to pay the price to get it.
  • “There is only one corner of the universe you can be certain of improving, and that’s your own self”

We look forward for your valuable comment www.carajput.com

FOR FURTHER QUERIES CONTACT US:

W: www.carajput.com    E: info@carajput.com   T: 011-233-4-3333, 9-555-555-480

Disclaimer:

All efforts are made to keep the content of this site correct and up-to-date. But, this site does not make any claim regarding the information provided on its pages as correct and up-to-date. The contents of this site cannot be treated or interpreted as a statement of law. In case, any loss or damage is caused to any person due to his/her treating or interpreting the contents of this site