Corporate and Professional updates 9th march 2018

Corporate and Professional updates 9th march 2018

Direct Tax:

• Kolkata ITAT holds that sale of shares by Emami Infrastructure Ltd. (‘assessee’) to its second step down 100% subsidiary, not transfer u/s. 47(iv), rejects assessee’s claim of long term capital loss;
• Chandigarh ITAT upholds CIT(Exemption)’s order, rejects I. K. Gujral Punjab Technical University’s (‘assessee’) application for grant of approval for exemption u/s 10(23C)(vi) for AY 2016-17, observes that assessee is  generating huge surplus running into hundreds of crores from year to year, which are parked in FDRs instead of being redeployed into education;
• Salaried Persons not required to maintain Books of Accounts unless they are engaged in Business or Profession: ITAT Kolkata in the case of DCIT vs Subhas Chandra Agarwala & Sons (HUF).
• CBDT had issued a circular, making it mandatory to provide Aadhaar or the enrolment number with IT returns for everyone. Some of those without the unique identification number have managed to find a loophole in the system. They say they have been able to file tax returns by putting in all 0s or 1s instead of the 12-digit Aadhaar.

Indirect Tax:

• CBEC has amend the Central Goods and Services Tax Rules, 2017. These rules may be called the Central Goods and Services Tax (Second Amendment) Rules, 2018 which shall come into force on such date as the Central Government may, by notification in the Official Gazette.  Vide Notification No.12/2018, dated 7th March 2018.
• Assessee not liable to pay tax on goods purchased at concessional rate against Declaration Form for export : HC.
• E-SANCHIT (enabling the registered persons to file documents online) becomes mandatory w.e.f. 15.03.2018.  CBEC DO.No.09/CH(EC)/2018.

Gst updates

• GSTR-4 offline tool New version 2.0 is now available For preparing your Quarter 3 GSTR-4 (Oct – Dec) along with amendment of details furnished in Quarter 2 (Jul – Sep).
• CBEC extends Last Date for Submission of GST TRAN-2 to 31.03.2018. E-way bill Rules amended by CGST (Second Amendment Rules), 2018. Ntfcn No.12/2018.

RBI Update:

• The Reserve Bank of India (RBI) has imposed, on March 01, 2018, a monetary penalty of Rs. 4 million on State Bank of India (the bank) for non-compliance with the directions issued by RBI on Detection and Impounding of Counterfeit Notes. Vide Press Release 2017-2018/2385, dated 7th March 2018.

• RBI has notified the Separate limit of Interest Rate Futures (IRFs) for Foreign Portfolio Investors (FPIs). Currently, the FPI limit for Government Securities (G-secs) is fungible between investments in G-secs and investment in IRF.

SEBI updates

• SEBI has re- constituted its committee that suggests roadmap for developing corporate bond market in the country. The 27-member committee would now be chaired by Harun R Khan, former Deputy Governor RBI

Other updtes

• ICAI issued Advisory for the Members regarding Allocation of Work among the Joint Auditors in case of Bank Audits – (06-03-2018) : Standard on Auditing (SA) 299.
• The Ministry of Micro, Small & Medium Enterprises has issued a press release on 07.02.2018 wherein the Union Cabinet has amended the basis of criteria for classifying ‘Micro, Small and Medium enterprises u/s 7 of (MSMED) Act, 2006.

FAQ on Condonation of Delay Scheme (CODS):

• Query: What are the implications of non-compliance of this Scheme?
• Answer: The Scheme in its Para 7 clarifies this position that ROCs shall be allowed to prosecute defaulting companies which do not make compliance with provisions of law using this Scheme. 

Key Dates:

• Taxpayers with annual aggregate turnover more than Rs. 1.5 crore need to file GSTR-1 for Jan on monthly basis: 10/03/2018
• Taxpayers with annual aggregate turnover more than Rs. 1.5 crore need to file GSTR-1 for Jan on monthly basis: 10/03/2018
• Payment  of annual membership and COP fees for the year 2017-18: 15-03-2018
• PF & ESI Payment for the month of Feb 2018-:15-03-2018
• GSTR-3B for the Month of February 2018: 20-03-2018
• due date for linking of Aadhaar number with PAN, mobile, insurance policy, bank accounts etc:-31-03-2018
• ITR Filling last date for Income Tax Returns (ITRs) for FY 2015-16 and FY 2016-17:-31-03-2018
• Condonation of Delay Scheme 2018 which allows defaulting companies to file its overdue documents which were due for filing.:-31-03-2018

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