Page Contents
IT: Assessee has directly deposited cash in the supplier’s account and has produced the bills, no evasion of tax by claiming the bogus expenditure in cash – Arun Kumar Mondal Vs ITO, W-2(2), Burdwan (2016 (9) TMI 995 – ITAT Kolkata)
SC modifies Karnataka HC order on the issue of taxability of amount received by assessee-company (engaged in real estate business) on account of share capital from various share-holders.
ITAT has held that share capital received by the assessee was in the nature of of capital receipt and cannot be treated as business income despite the same having been received towards allotment of flats/ units. [TS-513-SC-2016]
Rajasthan High Court in the below citied case held that once it has been held as deemed income of the assessee or an addition u/s.68, has been made the character of the said amount/addition will not remain as a loan or deposit and section 269-SS will not be applicable.
Hence no penalty u/s 271D shall be imposed. (Gyarsi Lal Vijay Vs. CIT & Others)
Madras High Court in the below citied case held that In between agricultural land and the nearest municipality, if there is a mountain, or lake or private lands or government properties, and in such other cases, where the public has no access to reach the municipality, the distance has to be measured only through the access road and not in a straight line or horizontal plane.(The CIT, Chennai Vs. Dr. R. Rangarajan)
CBDT has entered 20 unilateral advance pricing agreements (APAs) with Indian taxpayers on 29-30 Aug 2016 in order to reduce litigation by providing certainty in transfer pricing.
CBEC amended the Notification No. 25/2012- Service Tax dated 20/06/2012 vide Notification no. 39/2016 dated on 02/09/2016. In the said notification, in the first paragraph, in entry 62, for the words and figures “during the financial year 2015-16”, the words, figures and letters “during the period prior to 1st April, 2016” shall be substituted. (Click here to view)
Where only service of Clinical Research is provided then such service would be not taxable under the Act in light of Rule 3 of the Place of Provision of Services (POP) Rules 2012 as the applicant renders said services to its customers and the place of provision is located outside India (M/s Steps Therapeutics Limited, Hyderabad Versus Commissioner of Customs)-2016 (9) TMI 143 – AUTHORITY FOR ADVANCE RULINGS – Service Tax
All religious places shall be considered to fall within the purview of clause (a) of entry 5 of Notification No. 25/2012- Service Tax, to be exempted from payment of service tax. No. 40/2016-Service Tax. [F. No.3354/45/2016 -TRU]
MCA: The Ministry of Corporate Affairs has amended the Investor Education and protection Fund Authority (Appointment of Chairperson and Members, holding of meeting and provision for offices and officers) Rules, 2016.
These rules may be called the Investor Education and protection Fund Authority (Appointment of Chairperson and Members, holding of meeting and provision for offices and officers) Amendment Rules, 2016.
They shall come into force on the date of their publication in the Official Gazette. In the said rule after rule 3, Rule 3A inserted.
“3A. The Authority shall be a body corporate by the name aforesaid having perpetual succession and a common seal with power to acquire, hold and dispose of property both movable and immovable, and to contract and shall, by the said name, sue or be sued.”
MCA: IEPF Forms are likely to be available on the IEPF portal w.e.f 7th Sep 2016.
MCA: The Central Govt. designates as Special Courts for Chhattisgarh, Rajasthan, Punjab, Haryana, UT of Chandigarh, UT of Puducherry, Manipur and some Distrct of Tamilnadu for the purposes of providing speedy trial of offences punishable with imprisonment of two years or more under the Companies Act, 2013 – F. No. 01/12/2009-CL-I (Vol-IV), dt.01.09.2016.
MCA made Annual filing forms available for Companies Act, 1956 – Form 23AC, Form 23ACA, Form 23B, Form 20B, Form 21A, Form 66 on MCA21 Forms Download page. Further, IEPF Forms are likely to be available on the IEPF portal with effect from 07.09.2016.
Provisions of Companies Act, 2013 relating to IEPF (Investors Education and Protection Fund) to be effective from 07.09.2016.
CLB if inclined to injunct appellants from using information derived from statutory records, would have to first deal with the submission that it would have no jurisdiction to prevent them from using information. [Jasmohan Singh vs. Freeze King Ind (P.) Ltd. High Court Of Delhi].
CBEC has made amendments in various notification u/s 25(1) in Custom Act 1962 vide Notification No. 52/2016 –Custom-Tariff dated 23/09/2016.(Click here to view)
Reg. Service Tax exemption on advancement of Yoga [Notification No. 42/2016-Service Tax]
In the below citied case petitioner had calculated and deposited tax 10.3% whereas the tax had to be calculated 12.36% as per department.Delhi high court held that here is no provision in the VCES which permits correction of errors of this nature by the Petitioner.
It was not obligatory for the Respondent to inform the Petitioner what the correct rate of service tax was. It was for the Petitioner to have ascertained the correct rate of tax and calculated the service tax.(Techno Concept India Pvt. Ltd. Versus The Deputy Commissioner of Service Tax, Delhi)
Under GST, registration required in each state from where supplies to be made. File 3 Returns p.m. for each Registration & 1 Annual Return. (Min 37 per regn)
GST Department to nominate Chartered / Cost Accountant for Special Audit if in scrutiny etc it seems that value has not been correctly declared or excess credit is availed.
Under GST, mandatory audit of books of account of all registered persons shall be carried on by Chartered/ Cost Accountant, if the turnover in Financial Year exceeds the specified limit.
Under GST,all cesses to be subsumed in GST. Only 5% assessees would be audited in GST regime, against 70-80% by some states now
Q . How to compute ‘aggregate turnover’ to determine eligibility for composition scheme?
Ans. The methodology to compute aggregate turnover is given in Section 2(6). Accordingly, ‘aggregate turnover’ means ‘Value of all supplies (taxable and non-taxable supplies + Exempt supplies + Exports) and it excludesTaxes levied under CGST Act, SGST Act and IGST Act, Value of inward supplies + Value of supplies taxable under reverse charge of a person having the same PAN.
Q . What are the penal consequences if a taxable person violates the condition and is not eligible for payment of tax under the Composition scheme?
Ans. Taxable person who was not eligible for the composition scheme would be liable to pay tax, interest and in addition he shall also be liable to a penalty equivalent to the amount of tax payable. (Section 8 (3) of the MGL).
Q . What is the minimum rate of tax prescribed for composition scheme?
Ans. 1%
Q . When exemption from whole of tax collected on goods and/or services has been granted unconditionally, can taxable person pay tax?
Ans. No, the taxable person providing such goods or services shall not collect the tax on such goods or services.
Query: In case of a right issue of shares by a private limited company for which board meeting we should file MGT 14 u/s 179(3)(c). Is it for the Board Meeting where rights issues offer is made or the Board Meeting where rights issue shares are issued and allotted?
Answer: In case of Rights issue, you shall be required to file Form MGT-14 under section 179(3) within 30 Daysof passing the Board Resolution in which Shares are issuedand allotted and put its SRN in Form PAS 3 accordingly.
MCA has made an amendment to the Companies (Management and Administration) Rules, 2014. These rules may be called the Companies (Management and Administration) Amendment Rules, 2016 which shall come into force on the date of their publication in the Official Gazette.
DIPP has clarified that Internet broadcasting companies shall also come under the purview of statutory licensing under section 31D of the Copyright Act.
ESIC raises wage threshold to Rs 21,000 w.e.f 1st October, 2016.
IDBI entitled to auction property if it had issued notice to borrower prior to attachment order passed by TRO Suresh Kumar Goyal v. Chief Commissioner of Income-tax-2 [2016] 73 taxmann.com 10 (Delhi)
COMPAT rejected time barred complaint of unfair trade practices Wing Commander S.K. Puri v. Swatantra Land & Finance (P.) Ltd. [2016] 72 taxmann.com 336 (CAT – New Delhi)
Appellant couldn’t be held guilty of unauthorized dealing in Forex in absence of any evidence Prakash Bafna v. Special Director , Directorate of Enforcement [2016] 72 taxmann.com 354 (ATFFE – New Delhi)
DGFT has amended the Clause 3(1)(i)(h) of Foreign Trade to allow individuals to import CIF value of consumer electronic items at any one time for personal use upto Rs. 50,000/-.
Last date for MEF 2016-17 is 10.09.16. Members are requested to apply at www.meficai.org.
“In order to carry a positive action we must develop here a positive vision.”
We look forward for your valuable comments. www.carajput.co
FOR FURTHER QUERIES CONTACT US:
W: www.carajput.com E: singh@carajput.com T: 011-233-4-3333, 9-555-555-480
Read our articles:
All about Financial Forensics & its Applications Financial Forensics and Forensic Audit Techniques Financial forensics and forensic audit techniques are… Read More
Code of Conduct in Forensic Audit: Introduction: A forensic audit is a specialized examination that investigates financial records to uncover… Read More
When is the cancellation revocation applicable? Procedure for Implement Revocation for GST cancellation This applies only if, on its own… Read More
Enhancement Made to the GST Portal - Significant Update Goods and Services Tax Network is pleased to inform that an… Read More
ITC Mismatch GSTR-2B vs GSTR-3B - DRC-01C Intimation under Rule 88D New mechanism to deal with Input Tax Credit mismatches… Read More
Hurdles with Hindu Undivided Family Dissolution: The Hindu Undivided Family (HUF) is a recognized legal entity under the Income-tax Act,… Read More