Corporate and professional Updates on 17th July 2019

Direct Tax Updates:

• The increase in effective tax rate to 43% for those earning Rs 5 crore and more has spread disquiet in India Inc’s Csuite, raising the possibility of salary reviews. As per the latest records available, 144 executives of BSE 500 companies on average earned Rs 11.4 crore annually.
• CBDT new guidelines says that any offence connected to undisclosed foreign bank account or assets in any manner cannot be compounded. Revised guidelines of Income Tax and to make strict decision against tax invaders new Income Tax guidelines has came into effect from June 17, 2019.
• Due date for tax filing (Non-audit case) for FY 2018-2019 is *31 July, 2019. Non filling of ITR may result in: Imposition of penalty of Rs. 1000/Rs.5000/Rs.10,000. Notice from Income Tax department. Not being able to obtain refund of excess TDS Deducted. Penal interest of 1% per month or part thereof on tax liability.

Indirect Tax Updates:

• GST collection of states and union territories increased to Rs 5.18 lakh crore in the financial year 2018-19, a significant rise from Rs 2.91 lakh crore in 2017-18, Finance Minister said the Centre government released Rs 81,177 crore compensation to the states during the fiscal year 2018-19 against Rs 48,178 crore released in FY18.

SEBI Updates:

• SEBI came out with a new format for compliance reports on corporate governance to be submitted by listed companies to stock exchanges. In a circular, the regulator prescribed a new format for disclosures to be made on a quarterly basis, the annual basis for the whole of the financial year, and within six months from the end of the financial year that can be submitted along with the second-quarter report.
• The Securities and Exchange Board of India (SEBI) is looking at options to limit the use of Articles of Association (AoA) of a company by some shareholders to get special power over others, a source has told Money control.

Other Updates:

• Panacea Biotec’s lenders approve a one-time settlement of outstanding dues.
• Standard Chartered to pay $1.1 billion for sanctions violations.
• Fitch affirms ‘BBB-‘ rating to Exim Bank, stable outlook.
• ‘No deal’ Brexit risks severe economic shock, IMF warns.
• India highest recipient of remittances at USD 79 billion in 2018.
• India probes dumping of ‘aluminum, zinc-coated flat products’ from China, Vietnam, Korea.
• Gold falls Rs 235 on muted demand.
• The government meets FY19 fiscal deficit goal of 3.4%.
• India to grow at 7.3% in 2019 and 7.5% in 2020.
• Tatas take over Usha Martin’s steel business.
• Current economic atmosphere a delicate moment.
• PSEs to stay PSUs even with below 51% govt stake.
• BSNL collects record Rs 6,500 crore in revenue.
• Exports grow 11% in March; trade deficit narrows.
• Jet lenders still undecided on funding; board to meet Tue.
• Infosys’ digital strategy to curb attrition.
• Samsung says it sold 2 million series smartphones in 40 days, clocks USD 500 million in sales.
• India’s trade deficit narrows to $10.89 bn in March, exports grow 11%.
• Trump asks Boeing to rebrand 737 Max in ‘what the hell do I know’ tweet.
• Wipro Q4FY19 preview: Analysts see a dip in margins; modest rise in PAT.
• Net interest margin of NBFCs likely to come under pressure.
• India’s cotton output to decline to 343 lakh bales in FY19.
• Export of oil meals rose 31% to Rs 6,222 cr in FY19.
• Maruti Suzuki retains top slot even in tough FY19.
• Work hard stocks rise; firm says USFDA inspection yields no observations.
• Firms with turnover over ₹2 cr. can now start filing GST audit reports for FY18.
• IBC cases admitted over RBI circular to continue, says IBBI chief.
• Lakshmi Vilas Bank to allot near 5% shares to Indiabulls Housing Finance.
• Gold falls by Rs 200 on muted demand, extends losses for 4th day.
• Metropolis Healthcare makes a strong stock market debut; lists up 9% from IPO price.
• SpiceJet shares surge more than 8% on the launch of new international flights.
• NBFC-MFIs raise Rs 26,000 cr through securitization in FY19.
• Rupee drops 25 paise to close at 69.42 vs USD.
• TCS shares jump nearly 5 pc after Q4 results; m-cap rises by Rs 36,136 cr.
• Sensex ends 139 pts higher; TCS rallies nearly 5 pc.

Key Due Dates:

• 07-07-2019 – Deposit of TDS/TCS for the month of June 2019.
• 07-07-2019 -Equalisation levy deposit which is withheld at the time of payment by the service recipient where the annual payment made to one service provider exceeds Rs.1,00,000 in one financial year for the specified and notified services.
• 10-07-2019 – GSTR 8 for E-Commerce Companies for the m/o June 2019.
• 10-07-2019 – Filing GSTR-7 (for the assessee who is required to deduct TDS under GST) for the m/o June 2019.
• 10-07-2019 – Issue of TDS Certificate for salary for the financial year 2018-19.
• 11-07-2019 – GSTR-1 for the month of June 2019 for taxpayers with Annual Aggregate turnover more than 1.50 Crore.
•  13-07-2019 – GSTR-6 for Input Service Distributor.
• 14-07-2019 – Issue of TDS Certificate for tax deducted under section 194-IA/194-IB in m/o           May’19.
• 15-07- 2019 – Quarterly statement of TCS for the quarter ending 30 June 2019.
• 15-07-2019- ESI/PF Payment for m/o June 2019.
• 15-07-2019- FLA Report it is required to be submitted directly by all Indian Companies which have received  FDI or made FDI abroad for m/o June 2019.
• 18-07-2019- GSTR-4 Quarterly return for taxpayers opting for composition scheme.
• 20-07-2019 – GSTR-3B for the m/o June 2019.
• 20-07-2019 – GSTR-5 for the m/o June 2019.
• 20-07-2019 – GSTR-5A for the m/o June 2019.
• 25-07-2019-  EPF returns filing for the month of June 2019.
• 30 -07-2019 -Quarterly TCS certificate in respect of tax collected by any person for the quarter ending June 30, 2019.
• 30-07-2019 – Furnishing challan-cum-statement in respect of tax deducted u/s 194-IA/194IB in the month of June’19.
• 31-07-19 – GSTR-1 for June Quarter applicable for taxpayers with Annual Aggregate turnover up to Rs. 1.50/- Crore.
• 31-07- 2019 – Quarterly statement of TDS for the quarter ending 30 June 2019.
• 31-07- 2019 – Income Tax return for the F.Y 2018-19 (A.Y 2019-20) for all assessee other than (a) corporate-assessee or (b) non-corporate assessee (whose books of account are required to be audited) or (c) working partner of a firm whose accounts are required to be audited or (d) an assessee who is required to furnish a report u/s 92E.
• 31-07-2019- Payment of Professional Tax and Shop and Establishment taxes.
• 31-07-2019- Form 67 Due date for claiming Foreign Tax Credit, upload statement of Foreign income offered for tax for the previous year 2018-19 and of Foreign tax deducted or paid on such incomes.