Direct Tax Updates:
- CBDT member Akilesh Ranjan, is arguing for a new tax regime for individuals. It has proposed dramatic changes to the Income Tax Act, which dates back 58 years. People earning between Rs 5 lakh and Rs 10 lakh per year may have to pay 10% income tax.
- Central Board of Direct Taxes Clarification on applicability of Tax Deduction at Source on cash withdrawals. 2% TDS on cash withdrawals of more than 1 crore in aggregate from a bank account. Applicable from 1 September 2019. Cash withdrawals done from 1 April 2019 till 31 August 2019 shall be counted for TDS purposes.
- Central Board of Direct Taxes instructions No 3/2003 dated 20.05.2003 makes it mandatory for the AO to make a reference to the TPO. The failure to make reference to the TPO renders the Transfer Pricing Adjustments made therein are bad in law though the assessment order is good. (Favour of Assessee) PCIT vs. S. G. Asia Holding (I) Pvt. Ltd (Supreme Court).
- DTC panel recommended A substantial cut in personal income taxes to bring relief to India’s middle classes as also a lower corporation tax. The panel has also likely proposed that dividend distribution tax (DDT) be taxed only in the hands of recipient and not in the hands of companies.
NEW SEC-194N OF I.TAX ACT– TDS@2% ON CASH WITHDRAWAL ABOVE RS. 1 CRORE
- Those who have withdrawn ₹one crore or more in cash from banks or post offices upto 31 August will be liable to a 2% tax deducted at source (TDS) on further cash withdrawals from 1 September 2019.
- Central Board of Direct Taxes said in a clarification that as per the TDS provision introduced in Finance (2) Act of 2019, the withdrawals made so far till 31st August will be counted in computing the ₹1 crore threshold for the levy. However cash withdrawal prior to 1st Sep will not be subjected to TDS
Indirect Tax Updates:
- Due date for GSTR-3B return for July 2019 has been extended to 22/08/2019.
- Appellants are not liable to penalty on wrong availment of GTA services up to the customer’s premises because it was an interpretation issue and was settled by the Apex Court in the year 2018 in the case of Ultra tech and therefore no intention to evade service tax can be imputed on the appellant.
- RBI released The macroeconomic environment remains “unsettled and financial markets are experiencing considerable flux” as the financial year 2019-20 progresses. “The key question that confronts the Indian economy as it looks ahead to the rest of 2019-20.
- Sebi is planning to ease its norms for buyback of shares by listed companies, especially those having subsidiaries in housing finance and NBFC sectors. the buyback offer cannot exceed 25 per cent of the aggregate paid-up capital and free reserves of the company, but shareholders’ approval is required through a special resolution in case of the size exceeding 10 per cent.
Central Board of Direct Taxes specified conditions for exemption of income under section 10(4E) of the Income-tax Act when non-deliverable forward contracts are transferred to an offshore banking unit of an International Financial Services Centre (IFSC)
- Aluminium body cautions govt about China
- WTO warns trade weakness to continue in Q2
- Australian election results bode well for Adani
- India adopts new standards for measuring units
- Irdai proposes to increase 3rd-party insurance premium
- MNC boardrooms open doors to Indian women leaders
- Power sector’s outstanding regulatory assets at Rs76,963 cr
- Full blow trade war will push world towards recession: Morgan Stanley
- Auditor exits mount at listed SMEs as scrutiny increases after IL&FS crisis
- Torrent Pharma reports Q4 net loss of Rs 152 crore, cites drug recall
- Lakshmi Vilas rejects Religare Finance’s disclosure, threatens action
- US seeks to join Japan-India consultations on IT product tariffs
- Tata Motors profit dips 47 % in Q4
- WTO quarterly trade growth indicator still at nine-year low
- HPCL Q4 net profit jumps 70% on inventory gains
- Gold imports rise 54% to $ 3.97 billion in April
- Ford to cut about 10% of global salaried workforce
- ICICI Bank to buy stake in BSE subsidiary INX for ₹31 crore
- BPCL Q4 net profit rises 16% to ₹3,125 cr; revenue up 10% at ₹83,942 cr
- JLR posts 1st profit in four quarters despite China woes
- Adani Green Energy’s 8.75 crore shares to be offered for sale on Tuesday
- Bitcoin roars back from ‘flash crash’ to breach $8,000 once more
- Bank credit to infra sector grows 18.5% in FY19: RBI data
- TRAI says up to government to take a call on Huawei issue
- ArcelorMittal to pay Rs 42,000 crore for Essar Steel takeover: Company tells NCLAT
- Dr Reddy’s to spend $300 million on R&D in FY 20
- Rupee records biggest gain in 2 months after exit poll results
- Gold loses sheen, falls Rs 150 on lacklustre demand
- BHEL bags 200 MW solar energy orders worth Rs 800 cr
- NBFC crisis to pull down home loan growth: Report
- Trai to determine the unique mobile subscribers base
- UCO Bank declares Yashovardhan Birla wilful defaulter
- FinMin assessing capital needs of PSU banks
- Lakshmi Mittal’s South African subsidiary facing charges
- Sebi likely to rejig mutual fund categorisation norms to curb credit risk
- Cross-border insolvency: Cabinet likely to take up new provisions soon
- RBI joins peers to buy gold insurance as US-China trade war escalates
- Hindustan Copper plans to increase ore production five times by 2025
- Lupin recalls more than 18,000 bottles of antibiotic drug in US market
- India imposes higher customs duty on 28 US products
- Suspect DeMo cash deposits again come under scanner
- GST Council may give 1-year extension to anti-profiteering authority
- India draws up plan to gain from US-China trade war
- Vedanta lost $200 m on Sterlite plant shutdown: Anil Agarwal
- Noose tightens on Swiss account holders; Details of at least 50 Indians shared
- India has wage problem, not job problem: Mohandas Pai
- Niti asked to follow due process for suggesting CPSE assets for monetisation
- Agrochemicals exporters widen their valuation gap vis-à-vis domestic plays
- ONGC to auction over 60 fields to private operators
- Rainfall deficiency hits 43 per cent; monsoon progress likely in the next 2-3 days: IMD
- FPIs remain net buyers in June, invest Rs 11,132 crore
- India can boost exports of 300 products to US, China amid trade war, says report
- Jaypee Infratech lenders moot fresh plan to complete housing projects
- CREDAI seeks bank funding for developers to buy land for affordable housing projects
- Round-tripping still rampant in gold exports
- Steel industry seeks safeguard duty to counter rise in imports
- Start-ups entering listed space via reverse merger.
Key Due Dates:
- INCOME TAX RETURN EXTENDED- Filing income tax for individual and non-corporates [who are not subject to tax audit] : 31 August
- 31 August: GSTR-9 RETURN FILLING DUE DATE – Annual Return to be filed by Regular Taxpayers filing GSTR 1, GSTR 2, and GSTR 3. It needs to be filed electronically on the GST portal directly or through a facilitation center.
- GSTR-9A RETURN FILLING DUE DATE – Taxable Persons paying tax under Section 10 of CGST Act, the composition scheme, are required to submit their annual returns in Form GSTR 9A : 31 August
- 31 August: GSTR-9B RETURN FILLING DUE DATE- Annual Return to be filed by e-commerce operators who have filed GSTR 8 during the financial year.
- GSTR-9C RETURN FILLING DUE DATE- Taxpayers whose annual turnover exceeds INR 2 crores in a Financial Year are required to get their accounts audited by a practicing Chartered Accountant or Cost Accountant before filing returns in Form GSTR 9C. : 31 August