corporate and professional updates 29th aug 2018

Direct Tax :

• Mumbai ITAT grants vacancy allowance u/s 23(1)(c)  to Saif Ali Khan Pataudi (‘assessee’)  in respect of his Bandra flats that could not be let out during AY 2012-13;  Notes that assessee had offered Rs.11.83 lakh  as taxable rent, however, Revenue had substituted a sum of Rs. 50 lakh as reasonable rent for the property, accepts assessee’splea that due to inherent defects/ construction, the flat could not be let out; [TS-488-ITAT-2018(Mum)]
• Kolkata ITAT delivers double blow to a Kolkata based Vijay Mallya group entity (‘assessee’), holds that the sale of its pledged shares by Citicorp would result in a capital gain of Rs. 267 cr for MAT purposes, while also disallowing the deduction of write-off of a similar amount in normal computation for failing to meet the “business expediency” test; Mallya group entities United Breweries Holding Ltd. (UBHL) & Bangalore Beverages Ltd. (BBL) availed short term loan of Rs. 200 cr & Rs. 73 cr respectively from Citicorp, for which the assessee stood guarantor by pledging its 6.2 million shares in United Breweries Ltd.; [TS-451-ITAT-2018(Kol)]
• CBDT has mandated ‘e-proceeding’ for all income-tax scrutiny in 2018-19. It has also specified seven situations where e-proceeding will not be mandatory this year. These include search cases, cases where returns were filed in paper mode and the assessee doesn’t have an e-filing account, and geographical areas with limited bandwith.
• Government of India has notified the Common Application Form (CAF) for the purpose of registration, opening of bank and dematerialized accounts, as well as for Permanent Account Number (PAN) application by Foreign Portfolio Investors (FPIs).

Read more : income tax rebate u s 87a

INDIRECT TAX

• GST complaints can be filed at Consumer Helpline No. 011-21400643 regarding GST input credit and profiting under National Anti Profiting Authority Act (NAA).

FAQ on GST Audit:

• Query: Can any conveyance carrying goods without cover of prescribed documents be subject to confiscation?
• .Answer: Section 130 provides that any conveyance carrying goods without the cover of any documents or declaration prescribed under the Act shall be liable to confiscation. However, if the owner of the conveyance proves that the goods were being transported without cover of the required documents/declarations without his knowledge or connivance or without the knowledge or connivance of his agent then the conveyance shall not be liable to confiscation as aforesaid.

 MCA update

• As per the extant rules, in respect of an individual who is in possession of Duplicate/Multiple DINs, he can retain the Oldest DIN only. DINs obtained later have to be surrendered. Further DIN once associated is NOT eligiblefor surrender. Stakeholders may kindly take note and plan accordingly.
• MCA:As per the extant rules, in respect of an individual who is in possession of Duplicate/Multiple DINs, he can retain the Oldest DIN only. DINs obtained later have to be surrendered. Further DIN once associated is NOT eligible for surrender.

SEBI UPDATES

• SEBI is likely to let cos use stock exchanges to sell bonds directly to investors, including retail investors, any time and as many times during a financial year, after filing a single prospectus Sugata Ghosh & Reena Zachariah ‘Bond tap’, which gives corporates the flexibility to time the market, prune cost, and dramatically cut down on paperwork for raising money, will soon be a reality in India.
• Credit of units of Alternative Investment Funds in dematerialised form
  Securities and Exchange Board of India has prescribed timelines & processes to be complied by Alternative Investment Funds for dematerializing or crediting the units issued. You may refer the complete details at below link
• SEBI given the Extension of Time limit for implementation of provisions on Redressal of investor grievances via New SEBI Complaint Redressal (SCORES) PlatformSecurities and Exchange Board of India is making & Pertaining to implementation of provisions on investor grievances Redressal via Securities and Exchange Board of India Complaint Redressal (SCORES) Platform, The timelines for regulations pertaining to the workflow of entities processing investor grievances have been extended by Securities and Exchange Board of India. For more details may refer the attached link

OTHER UPDATES

• ICAI Invites Application for Awards for Excellence in Financial Reporting for the year 2017-18, to all business entities that publish annual reports, to participate in this annual competition of the Institute by 30th Sept 2018

KEY DUE DATES 

• GSTR-3B (aug 2018)-sep 20th, 2018
• GSTR-6 (JULY 17 – AUG’18)- SEP 30TH, 2018
• GSTR-4 (JULY-SEP, 2018)-OCT 18th, 2018
• Quarterly return for registered persons with aggregate turnover up to Rs. 1.50 Crores– GSTR-1 (JULY- SEP, 2018)-sep 15TH, 2018.
• Quarterly return for registered persons with aggregate turnover more than Rs. 1.50 Crores- GSTR-1-(aug 2018)-sep 11th 2018