CORPORATE AND PROFESSIONAL UPDATE JANUARY 29, 2016

CORPORATE AND PROFESSIONAL UPDATE JANUARY JANUARY 29,2016

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Central Govt. establishes Central Registration Centre for Reservation of Names under the Companies Act, 2016 w.e.f. 26th January, 2016 [Notification No.SO.218(E), and published in the Gazette of India Extraordinary, dated 22nd January, 2016]. 

Brief highlights of CRC are that it — 

  • Has territorial jurisdiction all over India
  • Is located at Indian Institute of Corporate Affairs [IICA], Plot No.6-7-8, Sector 5, IMT Manesar [Distt. Gurgaon, Haryana]
  • Will process applications, in e-Form No.INC-1 alongwith prescribed fee, for reservation of name(s)
  • Is under the administrative control of Registrar of Delhi [RoC, Delhi]
  • RoC, Delhi acts as Registrar, CRC [until appointment of separate registrar to CRC] 

Approval of name(s) proposed in e-Form NO.29 will continue to be processed by the respective Registrar of Companies having jurisdiction over incorporation of companies as per the provisions of, and the rules made under, the Companies Act, 2013.

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 9555555480

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CORPORATE AND PROFESSIONAL UPDATE JANUARY 28,2016

CORPORATE AND PROFESSIONAL UPDATE JANUARY 28,2016

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Amendments made to the The Companies (Incorporation) Rules, 2014, w.e.f. 26th January, 2016 [Notification dated 22nd January, 2016].

Highlights of these amendments, in brief, are :

Where the name proposed is —

  • Not in consonance with the principal objects of the company [(ii) of clause (b) of sub-rule (2) of Rule 8]
  • Vague [e.g. ABC Limited] or an abbreviated name [e.g. BMCD Limited (Bharat Mahesh Chandan and David)] [(x) of clause (b) of sub-rule (2) of Rule 8]
  • Likely to produce a misleading impression regarding the scope or scale of activities [(xvii) of clause (b) of sub-rule (2) of Rule 8]

which, inter alia, were earlier considered undesirable, omitted.

Similarly, the requirement of —

  • Changing its name where any company changed its activities [to bring it in line with changed activities]
    [sub-rule (3) of Rule 8]
  • ‘No objection’, where the key word used in the name proposed is of another person than that of the promoter etc., from that another person, or
  • ‘Proof of relation’ where the name includes the name of a relative [sub-rule (4) of Rule 8]

has been done away with.  In other words, the above are now not relevant for approval etc. of a name.

Regarding submission of documents —

  • one more opportunity to remove defects or deficiencies, as intimated by the Registrar.  In other words, an applicant will now have, in all, three opportunities, in place of the hitherto before two opportunities.
    [clause (ba) to sub-rule (12) of Rule 36 inserted]

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 9555555480

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CORPORATE AND PROFESSIONAL UPDATE JANUARY 20, 2016

 CORPORATE AND PROFESSIONAL UPDATE JANUARY  20, 2016

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  • Government of India has vide its Notification F.No. 4(19)-W&M/2014 dated 14.01.2016 announced that the Sovereign Gold Bonds, 2016 will be open for subscription from 18.01.2016 to 22.01.2016.
  • Refunds up to Rs.5,000/- and refunds in cases where arrear demand is up to Rs.5,000/- may be issued without any adjustment of outstanding arrears under section 245 of the Act during financial year 2015-2016.
  • SEBI looking to lower expense charges for mutual funds.
  • Protocol amending the agreement between Government of the Republic of India and the Government of the Republic of Belarus for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and on property (Capital) notified vide notification no. 2/2016.
  • Transfer pricing adjustment - TPO take the amount of ALP at NIL – determination of Management Consultancy Fee – foreign exchange loss in financial transactions cannot be considered as service charge for the intra group- (M/s. DQ Entertainment (International) Ltd, Versus Asst. Commissioner of Income Tax, Circle-1 (2) , Hyderabad – 2016 (1) TMI 451 – ITAT HYDERABAD).
  • DTAA: Amendment made in the Agreement between Republic of India and the Government of the Republic of Belarus to make the treaty effective from 19 NOV 2015 – Notification No.2/2016, Dt.13th Jan 2016.
  • Initiatives taken by CBDT to reduce litigation.
  • Now CBDT would issue refunds up to Rs. 5,000 without adjustment of outstanding tax liability.
  • CBDT notifies forms for accumulation of income by a trust.
  • Initiation of penalty proceedings u/s 271(1)(c) without specifying basis makes such proceedings void -ab-initio.
  • Tax Reforms Committee submits its first report :Recommends presumptive scheme for professionals, lower TDS rates.
  • ST:  is considering higher Service Tax Exemption Limit to benefit small service provides.
  • Likely to hike Service Tax exemption threshold for small service providers “service tax exemption threshold limit could be hiked from Rs 10 lakh to Rs 25 lakh.” said a government source.
  • Service-tax: ‘Mistaken payment’ of service tax in excess of actually payable amount amounts to ‘deposit’ and time-limit of section 11B would not apply to refund thereof [2016] 57 (Ahmedabad – CESTAT) Nobles Constructions Gujarat (P.) Ltd. v. Commissioner of Service Tax.
  • No denial of Cenvat credit availed on invoices issued in the name of branch offices, which were not registered [Manipal Advertising Services Pvt. Ltd. vs. C.C.E., Mangalore (2009 (10) TMI 434 – CESTAT, BANGALORE)].
  • Central Government hereby appoints the 13th day of January, 2016 as the date on which the provisions of sub-section (5), sub-section (6) [except with respect to the manner of administration of the investor Education and Protection Fund] and sub-section (7) of section 125 of the said act shall come into force.
  • No service tax on advance received as an earnest money for which bank guarantee of equal amount is given to the customers [Thermax Instrumentation Ltd. vs. Commissioner of Central Excise, Pune – I (2015 (12) TMI 1222 – CESTAT MUMBAI)].
  • All Govt. entities in Delhi to file return for purchases made by them for purpose of consumption.
  • Startup India: Hon’ble PM Modi launches Startup India Program on Sat, 16 JAN 2016 to boost innovation based business with many incentives and ease of doing business.
  • New Juvenile Justice Act comes into force from Jan 15, 2016.
  • SEBI: SEBI has established its Local Office at Jammu under the administrative control of its Northern Regional Office at New Delhi.
  • Minister of State for Finance Jayant Sinha on Thursday said that the government will present the Budget for 2016-17 on February 29, 2016.
  • TDS rates for individuals be reduced to 5% from 10%.
  • Making the process of refunds fasterand pay 12-18% interest if refund issued beyond 6 months.
  • Deferring the contentious Income Computation and Disclosure Standards (ICDS) provision.

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 9555555480

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PROFESIONAL UPDATES JANUARY 19, 2016

PROFESIONAL UPDATES JANUARY 19, 2016

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STARTUP INDIA: Hon’ble PM Modi launches Startup India Program on Sat, 16 JAN 2016 to boost innovation based business with many incentives and ease of doing business.

  • Income Tax exemption for First 3 years.
  • Fund of ₹ 10,000 Crore (with ₹ 2,500 crore each year) to be invested in Startups in next 4 years and a Credit Guarantee Fund for ₹ 500 crore each year for next 5 years.
  • Capital Gain exemption if Startups invest capital by selling their personal assets.
  • 80% Rebate in registering Patent.
  • Easy Exits in 90 days.
  • Self-certification compliances.
  • No kind of Inspection for first 3 years.
  • Incubation program to be started in 5 Lac Schools and setting up of 35 new Incubation Centres.
  • No Govt intervention in Startups.
  • A scheme for Women Entrepreneur to be announced soon.
  • A group of lawyers to be setup who will help resolving Patent related problems for free.
  • 7 New Research Parks to be started with a fund of ₹ 100 crore each.
  • Organising Startup Fest all over India and abroad regularly.
  • Mobile App based registration for Startups from April 1, 2016.
  • Atal Innovation Mission (AIM) for encouraging Innovation among Startups.

The following are the Conditions for taking benefits of Startup Scheme:

1)It must be an entity registered/incorporated as

  • Private Limited Company under the Companies Act, 2013; or
  • Registered Partnership firm under the Indian Partnership Act, 1932; or
  • Limited Liability Partnership under the Limited Liability Partnership Act, 2008.

2) Five years must not had elapsed from the date of incorporation/registration.

3)  Annual turnover (as defined in the Companies Act, 2013) in any preceding financial year must not exceed Rs. 25 crores.

4)Startup must be working towards innovation, development, deployment or commercialization of new products, processes or services driven by technology or intellectual property.

5)The Startup must aim to develop and commercialise:

  •   A new product or service or process;
  • A significantly improved existing product or service or process,  that will create or add value for customers or workflow.

6)The Startup must not merely be engaged in:

  • Developing products or services or processes which do not have potential for commercialization; or
  • Undifferentiated products or services or processes; or
  • products or services or processes with no or limited incremental value for customers or workflow

7)The Startup must not be formed by splitting up, or reconstruction, of a business already in existence.

8) The Startup has obtained certification from the Inter-Ministerial Board, setup by DIPP to validate the innovative nature of the business and

  • Be supported by a recommendation (with regard to innovative nature of business), in a format specified by DIPP, from an Incubator established in a post-graduate college in India; or
  • Be supported by an incubator which is funded (in relation to the project) from GoI as part of any specified scheme to promote innovation; or
  • Be supported by a recommendation (with regard to innovative nature of business), in a format specified by DIPP, from an Incubator recognized by GoI; or
  • Be funded by an Incubation Fund/Angel Fund/ Private Equity Fund/ Accelerator/Angel Network duly registered with SEBI* that endorses innovative nature of the business; or
  • Be funded by GoI as part of any specified scheme to promote innovation; or
  • Have a patent granted by the Indian Patent and Trademark Office in areas affiliated with the nature of business being promoted.

* DIPP may publish a ‘negative’ list of funds which are not eligible for this initiative.

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 9555555480

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CORPORATE AND PROFESSIONAL UPDATE JANUARY 18, 2016

CORPORATE AND PROFESSIONAL UPDATE JANUARY 18, 2016

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  1. Addition u/s 68 cannot be made solely on the ground of non-production of payer’s bank statement [Shri Ashutosh Garg vs. ACIT (ITAT Delhi), IT Appeal No.-5642/2012, A.Y 2003-04].
  2. SEBI looking to lower expense charges for mutual funds.
  3. Extension of last date of filing of online return in Form 9 for the year 2014-15, prescribed under Rule 4 of Central Sales Tax (Delhi) Rules, 2005 to 29/2/2016[Circular No.34 of 2015-16].
  4. Defunct company to pay back wages [Narendra & Co vs Workmen- Supreme Court].
  5. Interest on loans not allowable if loan utilized to finance sister concern with no direct or indirect benefit to assessee [Late Sh. Jagat Singh vs. ITO (ITAT Chandigarh), IT Appeal No.-327/2012, A.Y 2007-08].
  6. Assessee borrower not liable to prove the source of funds in the hands of lender [Sh. Dushiant Kumar vs. ITO (ITAT Amritsar Bench), ITA No.-468/2014, A.Y 2010-11].
  7. Whether the interest earned by way of temporary investment of surplus funds inextricably linked with the setting up of a power plant, prior to commencement of business, is revenue receipt and is taxable as “Income from other sources”?

Held_No

The Assessee Company was in the process of setting up a power project for which additional share capital was raised from share holders. The amount was invested in FDRs for a temporary period till the orders for machineries were placed wherefrom various payments were made to the vendors. The Ld. AO treated the interest earned on FDRs as revenue receipt and assessed the same as income from other sources.

The Hon’ble High court relying on the judgement of Indian Oil Panipat Power Consortium Limited 315 ITR 255 (Delhi High Court) held that interest income was earned in a period prior to commencement of business and the money invested in the fixed deposit was inextricably linked with the setting up of the power plant hence it is in the nature of capital receipt liable to be set off against pre-operative expenses. The appeal was dismissed. Pr. CIT Vs. Facor Power Ltd., I.T.A. No. 1011/2015, Date of Judgement: 07.01.2016, High Court of Delhi

  1. Whether hon’ble High Court has the jurisdiction to consider certain undisputed additional facts, already on record, not considered by hon’ble ITAT during appellate proceedings?

Held_Yes

In the given case, the Ld. AO during the assessment proceedings recorded some undisputed facts on the basis of which the Ld. AO disallowed the claims of the assessee. The same was upheld by the Ld. CIT (A). However, the Hon’ble ITAT allowed the claim of assessee considering the order passed by them in assessee’s own case in previous assessment year where similar facts were in question. The Hon’ble High Court disallowed the claim of assessee, after considering the facts brought on record during the assessment proceedings, which are independent of the facts considered by the hon’ble ITAT.

The Hon’ble Supreme Court upheld the order of High court stating that the Tribunal is the final fact finding authority and it is beyond the power of the High Court, in the exercise of its reference jurisdiction, to reconsider such findings on a reappraisal of the evidence and materials on record unless a specific question with regard to an issue of fact being opposed to the weight of the materials on record is raised in the reference before the High Court.  The appeal was dismissed. M/s. Ganapathy & Co. Vs. CIT, Civil Appeal No. 1964 of 2008, Date of Pronouncement: 18.01.2016, Supreme Court of India

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 9555555480

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CORPORATE AND PROFESSIONAL UPDATE JANUARY 17, 2016

CORPORATE AND PROFESSIONAL UPDATE JANUARY 17, 2016

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INCOME TAX ACT

SECTION 2(42C)

CAPITAL GAINS – SLUMP SALE

Where assessee sold its entire shareholding in its subsidiary company to a third party, since sale consideration was received by assessee itself and not by said subsidiary, it could not be treated as slump sale within meaning of section 2(42C) – [2016]  161 (Mumbai – Trib.)

SECTION 13

CHARITABLE OR RELIGIOUS TRUST – DENIAL OF EXEMPTION

Sub-section (1)(c) : Where there was failure by Assessing Officer to indicate in assessment order that salary paid by assessee-society to executive director was unreasonable, no violation of provision of section 13(1)(c) could be alleged and exemption could not be denied – [2016]  95 (Hyderabad – Trib.)

SECTION 40A(2)

BUSINESS DISALLOWANCE – EXCESSIVE OR UNREASONABLE PAYMENTS

Others : Where assessee had sold molasses to its sister concern at sale price varied between Rs. 6,000 to Rs. 3,500 per metric ton and Assessing Officer adopted Rs. 6,000 as being uniform price throughout year and Tribunal confirmed this, since assessee had sold molasses only at rate being fixed by Sales Committee, order of Tribunal was erroneous – [2016] 108 (Karnataka)

SECTION 119

CENTRAL BOARD OF DIRECT TAXES – INSTRUCTIONS TO SUBORDINATE AUTHORITY

Delay in filing return : Where assessee had miserably failed to convince that he had any ‘genuine hadrship’ in filing his income-tax return late by 30 months, no benefit of section 119(2) could be given to him to claim any refund – [2016]  104 (Punjab & Haryana)

SECTION 145

METHOD OF ACCOUNTING – REJECTION OF ACCOUNTS

Qualitative records : Books of account could not be rejected merely because qualitative records was not maintained – [2016]  106 (Rajasthan)

METHOD OF ACCOUNTING – VALUATION OF STOCK

Illustrations : Where assessee adopted cost value for purpose of computation of closing stock of molasses and bagasse and Assessing Officer held that assessee should have adopted market value and Tribunal confirmed this, since Tribunal had overlooked material available, matter required reconsideration – [2016]  108 (Karnataka)

SECTION 234E

DEDUCTION OF TAX AT SOURCE – FEES FOR DEFAULTS IN FURNISHING STATEMENTS

Position prior to 1-6-2015 : Prior to 1-6-2015, there was no enabling provision in section 200A for raising demand in respect of levy of fees under section 234E in respect of default in furnishing TDS statements – [2016]  105 (Amritsar – Trib.)

SECTION 255

APPELLATE TRIBUNAL – PROCEDURE OF SPECIAL BRANCH

Special Bench : Where Competent Authority placed matter before a Division Bench of Tribunal for giving effect to majority opinion of Accountant Member and Third Member and assessee raised objections urging to adjourn matter or refer matter to President for Constitution of a Special Bench, objections were liable to be rejected and majority view deserved to be confirmed – [2016]  109 (Ahmedabad – Trib.)

SECTION 256

HIGH COURT

In a reference u/s 256,it is not permissible for High Court to make a fresh determination of facts found by ITAT. However, HC can take into account additional facts already on record but not taken note of by ITAT to arrive at its findings. HC can also construe certain facts found by ITAT of significance as against the contrary view of ITAT that they were of no significance. There is all the difference between making determination of new or additional facts by HC(which is not permissible) and emphasis on facts found by ITAT on which there is no dispute(which is permissible) – [2016] 194 (SC)

CENVAT CREDIT RULES

RULE 3

CENVAT CREDIT – UTILIZATION OF, IN CASE OF REVERSE CHARGE

In case of import of services under section 66A, assessee is deemed to be service provider only for purpose of paying service tax; insofar as Cenvat credit is concerned, imported service cannot be regarded as output service and, therefore, credit balance cannot be used to pay service tax under reverse charge on imported services. – [2016]  100 (New Delhi – CESTAT)

STATUTES

DIRECT TAX LAWS

Sovereign Gold Bond Scheme, 2016 – NOTIFICATION [F.NO.4(19)-W&M/2014], DATED 14-1-2016

CORPORATE LAWS

Guidance note on meeting of the Board of Directors (SS-1) and General Meetings (SS-2) PRESS RELEASE DATED 18-01-2016

INDIRECT TAX LAWS (ST./EX./CUS. & (CST & VAT))

Filing of Reconciliation Return for the Year 2014-15 – CIRCULAR NO.34 OF 2015-16, DATED 15-1-2016

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 9555555480

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CORPORATE AND PROFESSIONAL UPDATE JANUARY 16, 2016

CORPORATE AND PROFESSIONAL UPDATE JANUARY 16, 2016

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INCOME TAX ACT

SECTION 24

INCOME FROM HOUSE PROPERTY – DEDUCTION

Interest : Where assessee undertook to pay loan of financial institutions as a condition for acquiring its mortgaged property, interest paid on such loan would be deductible under section 24(1)v(i) against rental income from said property – [2016]  72 (Punjab & Haryana)

SECTION 68

CASH CREDIT

Share application money : Mere fact that some of investors in share capital of assessee-company had a common address was not a valid basis to doubt their identity or genuineness, nor fact that shares of assessee were subsequently sold at a reduced price was germane to question of genuineness of investment in share capital of assessee – [2016]  71 (Delhi)

SECTION 73

LOSSES – IN SPECULATION BUSINESS

Futures and options transaction : Where assessee during year earned dividend income and interest income and it claimed set off of loss arising out of trading in Futures and Options/derivatives against other income, assessee’s case would fall within purview of exception carved out in Explanation to section 73 and, therefore, it was entitled to set off of loss against other income – [2016]  62 (Delhi – Trib.)

SECTION 69

UNEXPLAINED INVESTMENTS

Vehicles : Where consideration for imported vehicle and its initial duty had been paid by one ‘S’, it could not be concluded that assessee had made unexplained investment in purchase of same vehicle – [2016]  69 (Delhi)

SECTION 92C

TRANSFER PRICING – COMPUTATION OF ARM’S LENGTH PRICE

Comparables and adjustments/Adjustment – AMP expenses : Where for determining ALP of AMP functions performed by assessee, AMP functions performed by external comparables, were neither submitted by assessee before Assessing Officer/TPO nor examined by TPO, matter should be readjudicated afresh – [2016]  74 (Delhi – Trib.)

Comparables and adjustments/Adjustments :Since agency and distribution services rendered by assessee to its AE were functionally different and even risk assumed in both services were different, benchmarking of these functions was to be done separately for determining ALP – [2016]  75 (Delhi – Trib.)

SECTION 271C

PENALTY – FOR FAILURE TO DEDUCT TAX AT SOURCE

Reasonable cause : Where view adopted by assessee based upon certificate of CA that engineering services availed by it were not technical services, was one of possible views, there was reasonable cause as envisaged under section 273B for not deducting tax at source by assessee and, thus, penalty under section 271C was not to be imposed – [2016] 68 (Mumbai – Trib.)

COMPETITION ACT

SECTION 48

CONTRAVENTION BY COMPANIES

Where appellant had resigned from office of Executive Committee of Chemist and Druggists association and he did not have any knowledge about decision taken to restrain sale of drugs/medicines below Maximum Retail Price (MRP) etc., penalty could not be imposed upon appellant holding him guilty of anti-competitive conduct with help of section 48 – [2016]  70 (CAT – New Delhi)

CENTRAL EXCISE ACT

SECTION 11B

REFUND – PERIOD OF LIMITATION

‘Mistaken payment’ of service tax in excess of actually payable amount amounts to ‘deposit’ and time-limit of section 11B would not apply to refund thereof – [2016]  57 (Ahmedabad – CESTAT)

SECTION 11BB

INTEREST – ON DELAYED REFUNDS

If refund is sanctioned on 2-6-2008 by credit to Consumer Welfare fund but, subsequently on order of Tribunal, it is paid to assessee on 10-3-2010, then, interest on belated refunds is payable only upto date of sanction viz. 2-6-2008 – [2016]  56 (Ahmedabad – CESTAT)

CST & VAT

SECTION 2 (c) OF THE UTTAR PRADESH TRADE TAX ACT, 1948

DEALER

Where assessee entered into a contract with a club for supply of cooked food to its members and club allowed assessee to use its infrastructure and further club received sale consideration from customers and entered same in account books and after deducting 12 per cent commission made balance payment to assessee, assessee was a dealer and liable to pay tax on amount received from club – [2016]  55 (Uttarakhand)

CENVAT CREDIT RULES

RULE 5

CENVAT CREDIT

Round of  in case of service exporters, quarterly refund claim of cenvat credit under rule 5 of the CENVAT Credit Rules, 2004 must be filed within 1 year from date of export invoice – [2016]  58 (Ahmedabad – CESTAT)

CENTRAL EXCISE RULES, 2002

RULE 18

DUTY OF EXCISE

Where assessee had exported goods so manufactured by it after payment of duty and filed rebate applications in incorrect format, which were returned by Adjudicating Authority and thereupon assessee represented rebate applications in correct format, these applications would relate back to original date of filing of rebate applications – [2016]  54 (Gujarat)

STATUTES

DIRECT TAX LAWS

Section 90 of the Income-tax Act, 1961 – Double Taxation Agreement – Agreement for Avoidance of Double Taxation and Prevention of Fiscal Evation with Foreign Countries – Belarus – Amendment in Notification No. GSR 392(E) [No.10646 (F.No.501/7/92-F.T.D.)], Dated 17-7-1998 –  NOTIFICATION NO.2/2016 [F.NO.501/07/1999-FTD-I], DATED 13-1-2016

INDIRECT TAX LAWS (ST/CE. & CUS/ CST & VAT)

Furnishing of an online quarterly return of purchases made by All Government Entities having their offices functioning within National Capital Territory of Delhi -NOTIFICATION NO.F3(619) /POLICY/VAT /20 16 /      1291 -1304, DATED 12-1-2016

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 9555555480

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CORPORATE AND PROFESSIONAL UPDATE JANUARY 15,2016

CORPORATE AND PROFESSIONAL UPDATE JANUARY 15,2016

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INCOME TAX ACT

SECTION 2(15)

CHARITABLE PURPOSE

Object of general public utility/Trade promotion association : Where assessee-association was formed with an object to promote leather trade, in view of fact that assessee’s receipt of rent from non-members by allowing them to keep their stalls in trade fairs organised by assessee was negligible in comparison to total trade receipts, assessee’s case could not be said to be covered under proviso to section 2(15) – [2015] 406 (Kolkata – Trib.)

SECTION 10(23C)

EDUCATIONAL INSTITUTIONS

Profit motive : At stage of registration, under section 10(23C) authority is only required to examine nature, activity and genuineness of institution and mere existence of some profit does not disqualify applicant if sole purpose of its existence is not profit making but educational activities – [2016] 30 (Allahabad)

SECTION 44AD

CIVIL CONSTRUCTION BUSINESS

Merely because, assessee’s income from civil construction work had been accepted at six per cent of contract receipt in earlier year, it could not be ground to claim that for relevant year also, assessee’s income was to be assessed at six per cent of contract receipt – [2016]  19 (Patna – Trib.)

SECTION 69

UNEXPLAINED MONEY

Seized books : Addition to assessee’s income merely on basis of papers seized from possession of assessee’s brother was unjustified when material sought to be relied on was not corroborated – [2016]  29 (Calcutta)

SECTION 92C

TRANSFER PRICING – COMPUTATION OF ARM’S LENGTH PRICE

Comparables and adjustments – Method of computation/RPM v. TNMM : Where Tribunal held in earlier year in assessee’s case that RPM was appropriate method as assessee was distributor, but prima facie facts of relevant year suggested that assessee was not merely a distributor, matter should be reconsidered afresh -[2016]  21 (Mumbai – Trib.)

SERVICE TAX

SECTION 65(25b)

TAXABLE SERVICES – COMMERCIAL OR INDUSTRIAL CONSTRUCTION SERVICES

Abatement in respect of construction services cannot be denied where ‘minor credit’ inadvertently taken by assessee has been reversed with interest – [2016]  27 (Ahmedabad – CESTAT)

SECTION 80

PENALTY – NOT TO BE IMPOSED IN CERTAIN CASES

Where internal auditor of company perpetrated fraud by booking ‘service tax due’ as ‘income’/’commission’ in books of account and it was found that directors of company were aware thereof, company was liable to evasion penalty for consequent non-payment of service tax – [2016] 25 (Mumbai – CESTAT)

Where delayed payment was not due to any bona fide confusion occurring in prevalent statue and related provisions were quite crystal clear, penalty cannot be waived merely on ground of ignorance of law, as it is not a reasonable cause under section 80 – [2016]  23 (Ahmedabad – CESTAT)

CST & VAT

SECTION 8 OF KERALA VALUE ADDED TAX ACT, 2003

TAX INCIDENCE AND LEVY – COMPOUNDED TAX RATES

Where for assessment years 2005-06 and 2006-07, assessee applied for payment of tax on compounded basis at lower rate under section 8(a)(i) and in meanwhile section 8(a)(i) was amended on 28-8-2005 with effect from 1-4-2005 and assessee in order to satisfy conditions laid down in amended section 8(a)(i) applied for cancellation of its central sales registration for assessment year 2005-06 after 28-8-2005 and for assessment year 2006-07 at commencement of said year, assessee was not entitled to concessional rate of tax for assessment year 2005-06 but not for assessment year 2006-07 – [2016]  22 (Kerala)

CENVAT CREDIT RULES

RULE 2(l)

CENVAT CREDIT – INPUT SERVICE – INSURANCE SERVICES

Mediclaim of employees is in nature of welfare measure and is voluntary and is not taken in compliance with any statutory requirement; therefore, a provider of advertising services cannot take input service credit of mediclaim insurance premium – [2016]  26 (Ahmedabad – CESTAT)

STATUTES

CORPORATE LAWS

Competition Commission of India (Procedure in Regard to the Transaction of Business Relating to Combinations) Amendment Regulations, 2016 – Amendment in Regulations 5, 6, 9, 13, 14, Schedule I & Form I and Omission of Regulation 31 – NOTIFICATION F.NO.CCI /CD /AMEND / COMB.REGL./2016, DATED 7-1-2016

Establishment of Local Office of SEBI at Jammu – NOTIFICATION NO.SEBI/LAD-NRO/GN/2015-16/028, DATED 1-1-2016

Payment of Contribution by Employers by 15th of following Mont H – Removing of Grace Period of 5 Days -CIRCULAR  NO.WSU/9(1)2013 / SETTLEMENT, DATED 8-1-2016

Securities Contracts (Regulation) (Stock Exchanges and Clearing Corporations) (Amendment) Regulations, 2016 – Amendment in Regulation 2 – NOTIFICATION NO.SEBI/LAD-NRO/GN/2015-16/29, DATED 11-1-2016

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 9555555480

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PROFESSIONAL UPDATE JANUARY 14, 2016

PROFESSIONAL UPDATE JANUARY 14, 2016

Untitled8Period to grant Amnesty- Extended under Haryana VAT

  • On 13-01-2016, the much awaited Amnesty Scheme for recovery of dues upto 01-April-2015 has been provided for by substituting section 59A vide Notification No. Leg. 1/2016 dated 13th January, 2016. The new section 59 A can be read as under:
  • “59A Amnesty Scheme.-
  • Notwithstanding anything to the contrary contained in this Act and rules framed thereunder, the Government may, by notification in the Official Gazette, notify amnesty scheme covering payment of tax, interest, penalty or any other dues under the Act, for the period prior to the 1st April, 2015, subject to such conditions and restrictions, as may be specified therein, covering tax, rates of tax, period of limitation, interest, penalty or any other dues payable by a class of dealers or classes of dealers or all dealers.”.

The benefit for amnesty scheme has now extended in the legislature, as prior to the substitution, the state was empowered to notify an amnesty scheme for the recovery of dues upto 01-April-2014.

  • Now, with the substitution, the benefit of amnesty scheme has been extended to recovery of dues upto 01-April-2015.
  • However, the notification granting benefit of the same to a certain class of dealers and the corresponding rules & conditions is still awaited.

Other Updates

  • No denial of Cenvat credit availed on invoices issued in the name of branch offices, which were not registered [Manipal Advertising Services Pvt. Ltd. vs. C.C.E., Mangalore (2009 (10) TMI 434 – CESTAT, BANGALORE)].
  • Central Government hereby appoints the 13th day of January, 2016 as the date on which the provisions of sub-section (5), sub-section (6) [except with respect to the manner of administration of the investor Education and Protection Fund] and sub-section (7) of section 125 of the said act shall come into force.
  • Refunds up to Rs.5,000/- and refunds in cases where arrear demand is up to Rs.5,000/- may be issued without any adjustment of outstanding arrears under section 245 of the Act during financial year 2015-2016.
  • No service tax on advance received as an earnest money for which bank guarantee of equal amount is given to the customers [Thermax Instrumentation Ltd. vs. Commissioner of Central Excise, Pune – I (2015 (12) TMI 1222 – CESTAT MUMBAI)].
  • Government of India has vide its Notification F.No. 4(19)-W&M/2014 dated 14.01.2016 announced that the Sovereign Gold Bonds, 2016 will be open for subscription from 18.01.2016 to 22.01.2016.
  • 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 9555555480

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CORPORATE AND PROFESSIONAL UPDATE JANUARY 13,2016

CORPORATE AND PROFESSIONAL UPDATE JANUARY 13,2016

Untitled5A

DIRECT TAX:

  • Income Tax 1st Amendment Rules, 2016 Notified vide notification no. 3/2016/2015.
  • Corrigendum to Notification No. 93/2015 dated 16/12/2015 has been issued vide Notification No 1/2016 – Dated 12-1-2016.
  • Service of an independent contractor - whether would be taxable as salary contrary to the contract of service – Whether it is professional or skilled work; nature of establishment and the right to reject are also required to be scanned before arriving at the conclusion of the employer-employee relations. Suresh Kumar Hooda Versus The Commissioner of Income Tax, Rohtak and another.
  • Allowability of exemption u/s 10(1) – For earning agricultural income it is not necessary that the assessee must own the land and it is enough if it is established that the agricultural organizations have been actually carried on by the assessee. Monsanto India Ltd Versus Addl Commissioner of Income Tax.
  • Protocol amending the agreement between Government of the Republic of India and the Government of the Republic of Belarus for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and on property (Capital) notified vide notification no. 2/2016.
  • Transfer pricing adjustment – TPO take the amount of ALP at NIL – determination of Management Consultancy Fee – foreign exchange loss in financial transactions cannot be considered as service charge for the intra group- (M/s. DQ Entertainment (International) Ltd, Versus Asst. Commissioner of Income Tax, Circle-1 (2) , Hyderabad – 2016 (1) TMI 451 – ITAT HYDERABAD).
  • Reopening of assessment - it is evident that the AO did not corroborate or examine the information received from the investigation wing before recording his own satisfaction of escaped income and initiating the reassessment proceedings. – Notice u/s 148 quashed – Tri – Income Tax- (Vardai Overseas (P) Ltd. C/o Shri V.K. Sabharwal, Adv. Versus Income Tax Officer, Ward-8 (3) , New Delhi-2016 (1) TMI 450 – ITAT DELHI)
  • IT:Service of an independent contractor – nature of establishment and the right to reject are also required to be scanned before arriving at the conclusion of the employer-employee relations – Suresh Kumar Hooda Vs. CIT, Rohtak and anr (Punjab & Haryana High Court).
  • DTAA:Amendment made in the Agreement between Republic of India and the Government of the Republic of Belarus to make the treaty effective from 19 NOV 2015 – Notification No.2/2016, Dt.13th Jan 2016.
  • IT:  Addition u/s 68 – cash credit – the alleged surplus cash accumulated in the cash book out of the withdrawals from the bank is to be considered as source of re-deposit – Minalben Dipakbhai Mehta Vs. ITO, W-3(3) Suat (ITAT Ahmedabad)
  • ITAT affirms sanctity of CA certificate; denies to impose penalty for TDS default relying upon such certificate [2016] 65 taxmann.com 68 (Mumbai – Trib.)  ADIT (IT) v. Leighton Welspun Contractors (P.) Ltd.
  • On foreign travel of directors disallowed as company had no business in such locations [2016]  92 (Bombay) Advance Power Display Systems Ltd. v. CIT
  • Trading in derivate can’t be held as speculative if co. has only income from other sources
    [2016]  62 (Delhi – Trib.) A.K. Capital Markets Ltd. v. DCIT
  • TDS u/s 194J – Procurement of ready study data by the parent company from another foreign company and supplying it to the assessee amounts – Non deduction of tds on technical services rendered to a resident – No TDS required. Commissioner of Income Tax (Tds) Versus Heramec Ltd – 2016 (1) TMI 503 – ANDHRA PRADESH HIGH COURT
  • Addition u/s 68 cash credit – the alleged surplus cash accumulated in the cash book out of the withdrawals from the bank is to be considered as source of re-deposit. Smt. Minalben Dipakbhai Mehta Versus ITO, Ward-3 (3) Suat. – 2016 (1) TMI 489 – ITAT AHMEDABAD
  • Initiatives taken by CBDT to reduce litigation
  • Now CBDT would issue refunds up to Rs. 5,000 without adjustment of outstanding tax liability
  • CBDT notifies forms for accumulation of income by a trust
  • Disallowance on account of interest expenses u/s.40A(2)(b) – the unsecured loan was required to be paid on demand but in the case of related parties there was no such condition. We are of the considered view that the interest 18 is reasonable- (Asian Mills Pvt. Ltd. Versus Deputy Commissioner of Income Tax, Addl. Commissioner of Income Tax – 2016 (1) TMI 449 – ITAT AHMEDABAD).
  • Disallowance u/s 14A gets attracted even if a mix of interest bearing & non-bearing funds used to make investments earning exempt income [M/s Thermotech Engineering vs. ACIT, Pune (ITAT Pune), ITA No.- 533/PN/2013, A.Y 2009-10].
  • Cancellation of Registration u/s 12AA(3) should be based on activities of Trust and not of Trustees [Friends of WWB India vs Director of Income Tax-Exemption (ITAT Ahmedabad), ITA No. 2076/Ahd/2014, A.Y 2009-10].
  • IT: Addition u/s 68 – The existence of shares of 1,50,000 in the hands of assessee was established by filing concerned demat account. Therefore the conditions for making addition under section 68 were missing – ACIT-13(3), Mumbai Vs.  Late Shri Himatlal H. Dadia (ITAT MUMBAI)
  • Initiation of penalty proceedings u/s 271(1)(c) without specifying basis makes such proceedings void -ab-initio.
  • Benefit of reduced penalty allowed if duty and interest paid within 30 days of communication of SCN/order [Principal Commissioner of Service Tax vs. Tops Security Ltd (Delhi High Court); CEAC 42/2015].
  • Tax Reforms Committee submits its first report – Recommends presumptive scheme for professionals, lower TDS rates
  • IT: Easwar Committee suggested several taxpayer-friendly measures to improve ease of doing business, reduce litigation and accelerate the resolution of tax disputes, such as:
  • Simplifying provisions related to TDS and increase in threshold for payment subject to TDS
  • TDS rates for individuals be reduced to 5% from 10%
  • Deletion of Section 143 (1D) to avoid undesirable delay in issue of refund
  • Making the process of refunds faster and pay 12-18% interest if refund issued beyond 6 months.
  • Payment of Interest on refund due out of Self Assessement Tax
  • Stock trading gains of up to Rs.5 Lac to be treated as capital gains and not business income
  • Deptt. to desist from the practice of adjusting tax demand of a taxpayer whose tax return is under assessment against legitimate refunds due.
  • Deferring the contentious Income Computation and Disclosure Standards (ICDS) provision.
  • IT:  Disallowance on account of bogus purchases – Merely because notices u/s 133(6) could not be served on the suppliers assessee- buyer cannot be put to an inconvenience of disallowance when he has provided the correct address of those parties – DCIT Versus Norma India Ltd. (ITAT Delhi)

INDIRECT TAX:

  • It is here by seeked to further amend notification No 12/2012-Central Excise dated 17.03.2012 so as to increase the Basic Excise Duty rates on Petrol and Diesel(both unbranded and branded).
  • Introduction of Tariff Notification in respect of fixation of tariff value of Edible Oil, Brass, Poppy Seed, Areca Nut, Gold & Silver.
  • Activities of street light maintenance cannot be equated with maintenance of road bridge tunnel etc. – Exemption not available – In Re : K. Ram Mohan – 2016 (1) TMI 543 – AUTHORITY FOR ADVANCE RULINGS, NEW DELHI
  • Area based exemption - substantial expansion by way of installed capacity by not less than 25 – Notification No. 50/2003-CE dated 10/6/03 – it was contended that production capacity of the both the units are to be counted as one – benefit of exemption allowed- CCE, Meerut – II Versus M/s Prakash Straw Board Pvt. Ltd. – 2016 (1) TMI 521 – CESTAT NEW DELHI
  • ST: Activities of street light maintenance cannot be equated with maintenance of road bridge tunnel etc. – Exemption not available – K. Ram Mohan (Authority for Advance Rulings, New Delhi).
  • ST: Govt. is considering higher Service Tax Exemption Limit to benefit small service provides.
  • Likely to hike Service Tax exemption threshold for small service providers “service tax exemption threshold limit could be hiked from Rs 10 lakh to Rs 25 lakh.” said a government source.
  • Service-tax: ‘Mistaken payment’ of service tax in excess of actually payable amount amounts to ‘deposit’ and time-limit of section 11B would not apply to refund thereof [2016] 57 (Ahmedabad – CESTAT) Nobles Constructions Gujarat (P.) Ltd. v. Commissioner of Service Tax.
  • Mobile phone and courier services used for business purposes are eligible for credit [2016] 65 taxmann.com 88 (Ahmedabad – CESTAT) Commissioner of Central Excise & Service Tax v. Miranda Tools
  • ST: Restoration of appeal – CESTAT dismissed the appeal for non compliance of stay order – the delay of 5 days in depositing the amount is condoned – appeal restored before the tribunal – M/s MPA Marketing Pvt. Ltd. Vs. CESTAT & anr (Punjab And Haryana High Court)
  • Levy of personal penalty on co-noticees – when the proceedings against the manufacturer/assessee stand concluded on payment of disputed amount of duty plus interest plus 25 of the duty as penalty there would be no sense in continuing the proceedings for imposition of penalty under Rule 26 against other persons like traders who had purchased the goods – (Commissioner of Central Excise And Customs Aurangabad / Nashik – II Versus Ambika Waste Management Pvt Ltd, Ambadas Santosh Ngargoje, Harishkumar Harjivandas Gandhi, Shree Salasar Ispat Pvt Ltd – 2016 (1) TMI 438 – CESTAT MUMBAI).
  • Cenvat Credit – Eligible input services – Other welfare service i.e. service tax paid on the services of purchase of gift and setting up of mandap in the factory premises for celebrating Dussera festival is not eligible to be held as credit as this seems to be not connected with the business of the appellant- (Mahindra Casting Ltd. Versus Commissioner of Central Excise, Pune I – 2016 (1) TMI 437 – CESTAT MUMBAI).
  • VAT: Form GE-I & GE-II for the period from Apr, 2015 to Dec, 2015 to be furnished by 15 FEB 2016. Notification, dt.12 JAN 2016.
  • DVAT:- All Govt Entities having their offices functioning within NCT of Delhi are required to furnish an Quarterly Return in ‘Form GE-II’, of purchases made by them for purpose of consumption or use by them from the dealers registered under the Act and having a valid TIN.
  • Restoration of appeal - CESTAT dismissed the appeal for non compliance of stay order – the delay of 5 days in depositing the amount is condoned – appeal restored before the tribunal- M/s MPA Marketing Pvt. Limited Versus Customs, Excise and Service Tax Appellate Tribunal and another – 2016 (1) TMI 482 – PUNJAB AND HARYANA HIGH COURT
  • ST: Incentive received for achieving the targets is not excludible from the assessable value of the service which as per Sec-67 is the gross amount received for the service rendered – M/s Hari Om Telecom Vs. CCE, Chandigarh (CESTAT New Delhi)
  • Likely to hike Service Tax exemption threshold for small service providers
    It may enhance to 25 lacs.
  • Delhi VAT authority isn’t empowered to pass an order until power thereof is delegated by Commissioner[2016]  103 (Delhi) Yongnam Engineering & Construction (P.) Ltd. v. Commissioner, DVAT
  • DVAT: Due date to file Form-9 (Online Reconciliation Return) extended to 29.2.16. Cir.No.34, dt.15.01.2016.
  • Delhi VAT-Filling of reconciliation return for year 2014-15- Date extended to 29.02.2016.
  • Increase in Excise Duty on Petrol by 75 paise and on Diesel by Rs. 2 per litre [Notification No. 2/2016-Central Excise]
  • ST: Refund – service tax was mistakenly paid – amount paid by the appellant under Manpower Recruitment Agency Services is required to be refunded because no tax can be collected without the authority of law -Sharam Sewa Associates Vs. CCE, Allahabad (CESTAT Allahabad)

COMPANY LAW:

Query: A Private Limited company accepted unsecured loan from its existing two Directors. This is exempt deposit under section 73 of the Companies Act, 2013. Subsequently above two Directors resigned from the Directorship of the Company. Is the loan becomes deposits after their resignation? Is the loan becomes repayable after resignation not to attract deposit Rules?

Answer: There is no necessity to repay the loan immediately and at the time of acceptance of loan from the person who has given loan were directors of the company and the money can be retained till the date of maturity.

Query:Whether Security Deposit given to Director for taking his premises on rent will attract section 185? Please Guide.

Answer: Yes, it attract section 185 but not applicable in case of private company if- a) In share capital of private company, no other body corporate has invested any money and, b) If the borrowings of such company from banks/ Financial Institutions/ body corporate is less than twice of its paid-up capital or Rs. 50 Crore (Whichever is lower) and, c) Company has no default in repayment of such borrowings, and also not applicable in case of public company, if- loan given to a M.D or W.T.D as part of conditions of service or Approved by a Special Resolution.

Query:One company is having 1 subsidiary and 2 associates companies as on 31.03.2015. Whether consolidation of all the companies is required or only the consolidation of subsidiary companies?

Answer: As per Section 129(3) of the Companies Act 2013, where a company has one or more subsidiaries, it shall, in addition to financial statements provided under sub section (2), prepare a consolidated financial statement of the company and of all subsidiaries in the same form and manner as that of its own which shall also be laid before the annual general meeting of the company along with the laying of its financial statement under sub section (2). Further explanation to this sub section provides that “the word subsidiary shall include associate company and joint venture”.

Query: Kindly provide me the Consent letter format for conducting EGM at shorter notice?

Answer: Unlike the Companies Act, 1956, the MCA does not provide any format. Even there is no format provided in the Rules. In fact proviso to sub section 1 of section 101 only mentions that the shorter notice to be given by the shareholders. Wherever in the MCA the section mentions that “as may be prescribed” the same has been provided by the Rules. As the phrase “as may be prescribed” is not mentioned in the section, the presumption is that no format would be prescribed. Thus liberty has been granted to the shareholders with regard to the fomat of the notice. The safe course would be to follow the form 22A prescribed under the Companies Act, 1956 with requisite changes.

CORPORATE SOCIAL RESPONSIBILITY

Query:What is meaning of ‘any financial year’ mentioned in Section 135 (1) of the Companies Act, 2013?

Answer: “Any Financial year” referred under Sub- Section (1) of Section 135, implies any of the three preceding financial years

Query: Compliance under section 135 of the Act i.e. Corporate Social Responsibility, is applicable from which Financial Year?

Answer: the spending of requisite amount on CSR activities came into force from April, 2014.

  • Central Government has notified 13th day of January 2016 as the date from which commencement if section (5), (6), (7) of Section 125 of Companies Act, 2013 come into force except with respect to manner of administration of the Investor Education & Protection fund.
  • MCA has issued Frequently Asked Questions (FAQs) with regard to Corporate Social Responsibility under section 135 of the Companies Act,2013 vide General Circular 1/ 2016 dated 12.01.2016.
  • MCA: Services on the www.mca.gov.in portal will not be available from 08:00 AM to 06:00 PM on Saturday, 16th JAN 2016 due to periodic maintenance activities.

OTHER UPDATES:

  • Startup India: Hon’ble PM Modi launches Startup India Program on Sat, 16 JAN 2016 to boost innovation based business with many incentives and ease of doing business.
  • ICAI: Result of the CA Final Exams held in Nov’ 2015 and CPT Exams held in Dec, 2015 declared y’day (17-01-2016) – Congrats who cleared and all the Best who appears next time.
  • We congratulate our CA students, who have passed exams. CA result analysis: CA final both group 5.75 %, Group 1- 12.61%, Group 2- 11.99 %, CPT -34.45 %.
  • Sovereign Gold Bonds, 2016 to be open for subscription from 18.01.2016 to 22.01.2016 vide its Notification F.No. 4(19)-W&M/2014 dated 14.01.2016.
  • Rules for the Investor education & protection fund authority (Appointment of Chair Person and Members, holding meeting and provision for offices and officers) Rules 2016.
  • All Govt. entities in Delhi to file return for purchases made by them for purpose of consumption
  • New Juvenile Justice Act comes into force from Jan 15, 2016.
  • Stamp duty paid to increase authorised capital is capital expenditure [2016] 65 taxmann.com 94 (Mumbai – Trib.) Inventurus Knowledge Services (P.) Ltd. v. ITO
  • CCI: Shri Devender Kumar Sikri, an officer of 1975 batch IAS took oath as Chairman of Competition Commission of India (CCI).
  • SEBI: SEBI has established its Local Office at Jammu under the administrative control of its Northern Regional Office at New Delhi.
  • ICAI has extended last date “for complying with the CPE hours requirement for the Calendar Year 2015” – from 31st December, 2015 to 31st March, 2016.
  • Applicability of MRP based valuation to institutional buyers for goods specified U/s. 4A of Excise Act.
  • Refund allowable where Service tax is paid twice by Appellant due to clerical error [Tikaula Sugar Mills Ltd. Vs. CCE, Meerut-I (2015 (12) TMI 884 – CESTAT New Delhi)].
  • Rent-a-cab services to SEZ Unit for transportation of its staff to and from their residence is exempt from Service Tax.
  • Minister of State for Finance Jayant Sinha on Thursday said that the government will present the Budget for 2016-17 on February 29, 2016.
  • Section 80IB(10) – Canopy/ Porch cannot be treated as part of Built up Area as it is not habitable [DCIT vs. Smt. Suman Jagannath Pharande (ITAT Pune)].
  • Revision valid under section 263 where AO has not made any enquiry about quantification of losses claimed [ITAT Delhi in the case of G. E. Money Financial Services Ltd. vs. DCIT].
  • Being ownership vest with lessor in leased including sale & lease back assets, depreciation u/s 32 allowed [ITAT Mumbai in the case of ICICI Ltd. vs. ACIT].

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 9555555480

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