corporate and professional updates 9th oct 2018

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Direct tax

  • 244: The Dept should bring some order and discipline to the aspect of granting refunds. All pending refund applications should be processed in the order in which they are received. It is the bounden duty of the Revenue to grant refunds generated on account of orders of higher forums and disburse the amount expeditiously. In the absence of a clear policy, the Courts may impose interest on the quantum of refund at such rates determined by the Court. SICOM Ltd vs. DCIT (Bombay High Court)
  • 80-IC: An assessee who avails of deduction for a period of 5 years @ 100% of profits and gains is entitled to deduction on ‘substantial expansion’ for remaining 5 Assessment Years @ 25% (or 30% where the assessee is a company) and not @ 100% (Mahabir Industries v. PCIT 256 TM 201 (SC) distinguished) CIT vs. Classic Binding Industries (Supreme Court)


  • Foreign embassies to comply CGST notifications to claim compensation cess refund.Representations have been received by the Board regarding the entitlement of UN and specified international organizations, foreign diplomatic mission or consular posts, diplomatic agents and consular offices post therein to refund of Compensation Cess.
  • CBDT has extended the due date for filling of return of income and reports of audit pertaining to assessment year 2018-19 from 15thOctober 2018 to 31st October 2018. Vide notification no 225/358/2018/ITAT.II, dated 8th October 2018

FAQ on GST Audit:

  • Query:Can a consolidated ‘revised invoice’ be issued to every recipient for supplies made during the period before registration is granted?
  • Answer:As Per Proviso to Rule 6 (2) of Tax Invoice, Credit and Debit note Rules, it is mandatory to issue separate tax invoices in the following cases:
    • Supplies to registered persons;
    • Inter-state supplies to unregistered persons where the taxable value of the supplyexceeds Rs. 250,000.

A consolidated invoice can be issued to an unregistered recipient (State- wiseconsolidation) not covered above.


  • MCA has decided to relax the additional fees payable to companies having registered office in the State of Kerala on e-forms AOC-4, AOC (CFS) AOC-4 XBRL and e- Form MGT-7 upto 31.12.2019, wherever additional fee is applicable.
  • URC-1 notified vide Companies (Authorised to Register) Second Amendment Rules, 2018, dated 5th July 2018 would be available for filing purposes w.e.f 9th October 2018. Web-service RUNand SPICe form are also likely to be revised due to the impact of introduction of URC-1 form. Stakeholders are advised to check the latest version before filing.


  • RBI lowered its retail inflation projection for the second half of the current fiscal to 3.9-4.5 per cent mainly because of an unusually benign trend in food prices. Food inflation has remained unusually benign, which imparts a downward bias to its trajectory.
  • RBI proposed new norms for foreign portfolio investors (FPIs) to attract long-term and stable FPI investments into debt markets while allowing them operational flexibility. RBI, in consultation with the government and Sebi, has proposed the voluntary retention route to encourage FPIs willing to make long-term investments in debt.


  • ICAI submitted representation suggesting non-deduction of TDS under MVAT Act after implementation of GST:Certain Govt Departments  like PWD & other Municipal Corporations and Local Self Govt bodies continue to deduct TDS as per the provisions of Section 31 of MVAT Act.


October 2018 Due Dates:

  • 14th October- ADT 1 for Appointment of Auditor
  • 15th October- TCS Return for Jul to Sep 2018
  • – Tax Audit & ITR for FY 2017-18
  • 18th October- GSTR 4 for Composition Dealer for Jul 2017 to Sep 2018
  • 20th October- GSTR 3B – Sep 2018 Month
  • 30th October- AOC 4 for FY 2017-18
  • 31st October- GSTR 1 for July 2017 to Sep 2018
  • 31st Oct- TDS Return for Jul to Sep 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; Before making any decisions do consult your Professional / tax advisor. For misrepresentation or interpretation of act or rules Author does not take any responsibility. Neither the author nor the firm accepts any liability for the loss or damage of any kind arising out of information in this document or for any action taken in reliance there on. The author is a Chartered Accountant and the Chief Gardener & Founder Director of Rajput Jain & Associates , a leading Tax & Investment Planning Advisory Service Provider. His blog can be found at any query you can write to Hope the information will assist you in your Professional endeavors. For query or help, contact: or call at 09811322785/4 9555 5555 480)