Categories: Others

Corporate and Professional Updates on 9th February 2019

Direct Tax Updates:

  • May Raise Investment Limit of Angel Tax Concessions for Startups from existing INR 10 Crore to INR 25-40 Crore.
  • Monetary limits prescribed for filing of IT appeals are made applicable to wealth tax appeals.
  • Startups are demanding complete exemption from angel tax but the government may increase investment limit for tax exemption to Rs 25-40 crore. CBDT Chairman Sushil Chandra has recently stated that they have received several suggestions from startups on exempting them from Section 56(2) (viib) of the Income Tax Act.
  • Officials of the department for promotion of industry and internal trade (DPIIT) and Central Board of Direct Taxes (CBDT) are holding series of meetings to find a solution of the angel tax issue being raised by startups. These meetings come against the backdrop of various startups raising concerns on notices sent to them under the section 56 of I-T Act to pay taxes on angel funds they have received.
  • The section provides that the amount raised by a startup in excess of its fair market value would be deemed as income from other sources and would be taxed at 30 per cent.

Indirect Tax:

  • Residential properties A Group of Ministers (GoM) favours cut in GST to 5% from effective rate of 12%
  • GST is levied at 12 per cent with input tax credit (ITC) on payments made for under construction property or ready to move in flats where the completion certificate has not been issued at the time of sale.
  • A Group of Ministers (GoM) formed to analyses tax rates and issues being faced by the real estate sector under the goods and services tax (GST) regime has favored reducing GST rate on under-construction residential properties to 5 per cent without input tax credit from current effective rate of 12 per cent, after abatement of value of land. The panel is also leaning in favour of a lower rate for affordable housing at 3 per cent from 5 per cent at present.

Other Updates:

  • ITAT benchmarked LIBOR and EURIBOR to determineALP of interest charged on sum advanced to AE.
  • Transmission of shares of deceased to his widow without considering other legal heirs was illegal.
  • High Court quashes notification on ‘Disqualification of Directors of MCA.
  • RBI cuts repo rate by 25 basis points, changes policy stance to neutral.
  • Fortis denies violating order on sale of controlling stake to IHH Healthcare.
  • Govt. has the right to demand interim dividend.
  • MRF Q3 profit skids 18% to 279 crore.
  • RBI doubles limit, banks to treat 2 crore and more as bulk deposits.
  • ICICI Bank-Videocon loan case.
  • RBI permits cos participating in insolvency process to tap ECB route.
  • to set up unified authority for regulating financial services in IFSCs.
  • Debt ETF may have G-Secs in portfolio.
  • Dish TV declares Q3 results, reports operating revenues of Rs. 1,517 crore.

Key Due Dates:

  • TDS return for the month of January 2019 is 10th February 2019.
  • Return of outward supplies for January month by regular and casual suppliers having turnover more than 1.5cr. Is 11th January 2019.
  • ISD return for the January month is 13th February 2019.

Quote of the Day:

“Courage is rightly esteemed the first of human qualities because it is the quality which guarantees all others.”

Rajput Jain & Associates

Rajput Jain & Associates is a Chartered Accountants firm, with it's headquarter situated at New Delhi (the capital of India). The firm has been set up by a group of young, enthusiastic, highly skilled and motivated professionals who have taken experience from top consulting firms and are extensively experienced in their chosen fields has providing a wide array of Accounting, Auditing, Taxation, Assurance and Business advisory services to various clients and their stakeholders. Rajput jain & Associates, a professional firm, offers its clients a full range of services, To serve better and to bring bucket of services under one roof, the firm has merged with it various Chartered Accountancy firms pioneer in diversified fields. We have associates all over India in big cities. All our offices are well equipped with latest technological support with updated reference materials. We have a large team of professionals other than our Core Team members to meet the requirements of our prospective clients including the existing ones. However, considering our commitment towards high quality services to our clients, our team keeps on growing with more and more associates having strong professional background with good exposure in the related areas of responsibility.

Recent Posts

Loan Against Shares Interest Rates Explained: Investors Know

Loan Against Shares Interest Rates Explained: What Investors Should Know In India’s dynamic financial market, investors often look for flexible… Read More

1 week ago

Why and How to Avoid Useless Expenses this Diwali

Why and How to Avoid Useless Expenses This Diwali – A Nature Lover’s Perspective  October 2025 Diwali, the festival of… Read More

1 week ago

How to manage repayment effectively personal loan of 3 lakhs

How to manage repayments effectively on a personal loan of three lakhs Taking a Rs. 3 lakh personal loan can… Read More

1 week ago

Procedure of Member’s Voluntary Winding Up under Co Act 1956

Procedure of Member’s Voluntary Winding Up under the Companies Act, 1956 A Members’ Voluntary Winding Up is a mode of… Read More

1 week ago

Financial Transactions That Can Trigger Income Tax Scrutiny

Top 10 Financial Transactions That Can Trigger Income Tax Scrutiny : The Income Tax Department keeps a close watch on… Read More

2 weeks ago

Overview of the Internal Audit Iceberg Concept

Overview of the Internal Audit Iceberg Concept Apache Iceberg introduces a powerful feature called Integrated Audits, which allows organizations to… Read More

2 weeks ago
Call Us Enquire Now