{"id":2671,"date":"2016-09-03T12:12:56","date_gmt":"2016-09-03T06:42:56","guid":{"rendered":"http:\/\/carajput.com\/blog\/?p=2671"},"modified":"2022-12-27T16:47:23","modified_gmt":"2022-12-27T11:17:23","slug":"corporate-and-professional-update-sept-3-2016","status":"publish","type":"post","link":"https:\/\/carajput.com\/blog\/corporate-and-professional-update-sept-3-2016\/","title":{"rendered":"CORPORATE AND PROFESSIONAL UPDATE SEPT 3, 2016"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_58 counter-hierarchy ez-toc-counter ez-toc-light-blue ez-toc-container-direction\">\n<p class=\"ez-toc-title\">Page Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-69ea6d58f28ac\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #000000;color:#000000\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #000000;color:#000000\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-69ea6d58f28ac\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><ul class='ez-toc-list-level-3'><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/carajput.com\/blog\/corporate-and-professional-update-sept-3-2016\/#Professional_Update_For_the_Day\" title=\"Professional Update For the Day:\">Professional Update For the Day:<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/carajput.com\/blog\/corporate-and-professional-update-sept-3-2016\/#Direct_Tax\" title=\"Direct Tax:\">Direct Tax:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/carajput.com\/blog\/corporate-and-professional-update-sept-3-2016\/#Indirect_Tax\" title=\"Indirect Tax:\">Indirect Tax:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/carajput.com\/blog\/corporate-and-professional-update-sept-3-2016\/#FAQ_on_Company_Law\" title=\"FAQ on Company Law:\">FAQ on Company Law:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/carajput.com\/blog\/corporate-and-professional-update-sept-3-2016\/#Key_Dates\" title=\"Key Dates:\">Key Dates:<\/a><\/li><\/ul><\/nav><\/div>\n<h3 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Professional_Update_For_the_Day\"><\/span>Professional Update For the Day:<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<h3 style=\"text-align: justify;\"><img loading=\"lazy\" decoding=\"async\" class=\"\" src=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2016\/02\/Untitled8.png\" alt=\"Untitled8\" width=\"910\" height=\"561\" \/><\/h3>\n<h2 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Direct_Tax\"><\/span><strong><span style=\"text-decoration: underline;\">Direct Tax:<\/span><\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p style=\"text-align: justify;\">IT:\u00a0<a href=\"https:\/\/carajput.com\/tds.php\">TDS<\/a> u\/s 194C &#8211; non tds on Vehicle \/ dumper Hire Charges &#8211; No contract either verbal or written is entered into with the owners \/ drivers in these cases of purely temporary transporting arrangements &#8211; No disallowance \u2013\u00a0ACIT, Cir-1, Asansol Vs. Raja Transport (2016 (8) TMI 1046 &#8211; ITAT Kolkata)<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-23820\" src=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2016\/09\/194C.jpg\" alt=\"Time of deduction u\/s 194C\" width=\"1280\" height=\"328\" srcset=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2016\/09\/194C.jpg 1280w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2016\/09\/194C-300x77.jpg 300w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2016\/09\/194C-1024x262.jpg 1024w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2016\/09\/194C-768x197.jpg 768w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2016\/09\/194C-800x205.jpg 800w\" sizes=\"(max-width: 1280px) 100vw, 1280px\" \/><\/p>\n<p style=\"text-align: justify;\">CBDT:\u00a0<a href=\"https:\/\/carajput.com\/income-tax-services.php\">Income Tax<\/a> Notices mandatorily to have email IDs &amp; contact details to reduce interaction with the officials.<\/p>\n<p style=\"text-align: justify;\">Sum received from developer due to hardship caused on redevelopment of flat not a revenue receipt Jitendra Kumar Soneja v. Income-tax Officer, Ward 6(3)(3), Mumbai[2016] 72\u00a0taxmann.com\u00a0318 (Mumbai &#8211; Trib.)<\/p>\n<p style=\"text-align: justify;\">Sec. 50(1)(iii) doesn&#8217;t contemplate usage of acquired property falling within the block of assets Indogem v. Income-tax Officer- 19 (1) (5), Mumbai [2016] 72\u00a0taxmann.com\u00a0315 (Mumbai &#8211; Trib.).<\/p>\n<p style=\"text-align: justify;\">Secured asset rightly taken by Commissioner as tenant failed to show that tenancy existed prior to mortgage Otoklin Global Business v.State of Maharashtra [2016] 72\u00a0taxmann.com\u00a0213 (Bombay).<\/p>\n<p style=\"text-align: justify;\">No tax on income from offshore supplies as supplier had no agency PE in India Ion Geophysical Corporation v. Deputy Commissioner of Income-tax, Circle-2, Dehradun [2016]2\u00a0taxmann.com\u00a0298 (Delhi &#8211; Trib.)<\/p>\n<p style=\"text-align: justify;\">\u00a0IT:\u00a0Reopening of assessment &#8211; the information was available only in the valuation report. Giving the information in this manner shall be of no help to the appellant as the AO was not expected to go through the said information available in the valuation report for the purpose of ascertaining the actual construction of the plot &#8211;\u00a0<strong>M\/s Girilal &amp; Company Vs. ITO, Mumbai &amp; Others (2016 (8) TMI 1010 &#8211; Supreme Court).<\/strong><\/p>\n<p style=\"text-align: justify;\">IT:\u00a0Addition u\/s 68 &#8211; the loan which has been returned to the respective creditors cannot be taxed in the hands of assessee as its income &#8211;\u00a0<strong>DCIT, Cir-6(1), New Delhi Vs. Minda Investment Ltd. and Vica-Versa (2016 (8) TMI 1007 &#8211; ITAT Delhi)<\/strong><\/p>\n<p style=\"text-align: justify;\">SC dismisses Revenue\u2019s appeal against Rajasthan HC ruling in Hissaria Brothers deleting penalty u\/s 271D\/E for Sec 269SS\/T default (accepting\/repaying loan in cash). HC had held that penalty order was barred by limitation under clause (c) of Sec. 275(1) which prescribes six months\u2019 time-limit rejecting Revenue\u2019s contention that the case would fall under clause (a) of Sec. 275(1) which provides\u00a0for extended period of limitation commensurating with completion of appellate proceedings.[TS-471-SC-2016]<\/p>\n<p style=\"text-align: justify;\">IT:\u00a0Addition u\/s 145A &#8211; inclusion of service tax as part of trading receipts &#8211; ection 145A of the Act would have no application in cases where service is provided by the Assessee \u2013\u00a0<strong>CIT-2, Mumbai Vs Knight Frank (India) Pvt. Ltd. (2016 (8) TMI 1096 &#8211; BOMBAY HIGH COURT)<\/strong><\/p>\n<p style=\"text-align: justify;\">IT:\u00a0Exemption u\/sec. 54F &#8211; net consideration computation to be invested or value fixed u\/s 50C as stamp valuation &#8211; Under provisions of Sec. 54F of the Act net consideration has to be invested in the Residential property but not the deeming value being fiction &#8211;\u00a0<strong>Shri. R. Srinivasan (HUF) Vs ITO, Ward-I (1), Trichy (2016 (8) TMI 1092 &#8211; ITAT CHENNAI<\/strong><\/p>\n<h2 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Indirect_Tax\"><\/span><strong><span style=\"text-decoration: underline;\">Indirect Tax:<\/span><\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p style=\"text-align: justify;\">ST:\u00a0CENVAT credit CHA services are utilized by the appellant before the goods were loaded on to the ship and therefore the same falls within the definition of input services-\u00a0Kennametal India Ltd. Vs. CST, Large Taxpayers Unit (2016 (8) TMI 1031 &#8211; CESTAT Bangalore)<\/p>\n<p style=\"text-align: justify;\">No penalty will be imposed on non filling of ER-5 and ER-6 returns within the period prescribed &#8211; contravention is only a procedural violation and subsequently the required return has been filed.(M\/s Dharampal Satyapal Ltd. Versus C.C.E. Delhi-II) &#8211; 2016 (8) TMI 1021 &#8211; CESTAT NEW DELHI &#8211; Central Excise<\/p>\n<p style=\"text-align: justify;\">HC rules in favour of assessee, directs unconditional release of seized imported goods u\/s 110(2) of Customs Act absent show cause notice\u00a0within 6 months\u00a0from seizure as contemplated u\/s 124(a); Rejects Revenue\u2019s \u2018strange\u2019 stand that there was no seizure at all and hence, the limitation for notice would not apply, in view of the order passed in application for provisional release u\/s 110-A.\u00a0[TS-336-HC-2016(MAD)-CUST]<\/p>\n<h2 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"FAQ_on_Company_Law\"><\/span><strong><span style=\"text-decoration: underline;\">FAQ on Company Law:<\/span><\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p style=\"text-align: justify;\">Query\u00a0:\u00a0\u00a0One of our client companies is a section 8 company, and its AGM is scheduled to be conducted in September, and company has sent notice of AGM with proxy form. A member of the company has appointed another as proxy to present in AGM on his behalf and such person is not a member of the section 8 company. Whether such person can be appointed as proxy or membership is precondition to be eligible to be proxy ?<\/p>\n<p style=\"text-align: justify;\">Answer :\u00a0As per SS-2, a member of section 8 company may appoint proxy on his behalf to another person if such person is also a member of the section 8 company, no other person can be appointed as proxy if such person is also not a member.<\/p>\n<p style=\"text-align: justify;\">Therefore, only a member of the section 8 company may be appointed as proxy for another member.<\/p>\n<p style=\"text-align: justify;\">Here, in this case, member of the company cannot appoint such person.<\/p>\n<p style=\"text-align: justify;\">Query:\u00a0 \u00a0An Indian registered Private Limited company has transferred their shares, which were rightly held by its\u00a0two directors equally, to an Australian company\u00a0and company further wants to issue shares to that Australian company also, means FDI which is covered under automatic route.<\/p>\n<p style=\"text-align: justify;\">Now my question is whether company required to open share application account separately for that transaction or can get share capital in its current account. Is it mandatory to open share application account?<\/p>\n<p style=\"text-align: justify;\">Answer:\u00a0 After the transfer of shares to that Australian company, that company has become the shareholder of the company.<\/p>\n<p style=\"text-align: justify;\">Now, if company allots further shares to it through Rights issue of shares, then there shall not be any requirement of opening any account separately.<\/p>\n<p style=\"text-align: justify;\">But if company wants to allot shares through Private placement, then as per section 42(6) of the companies act 2013, monies received on application shall be kept in a separate bank account in scheduled bank and which shall not be utilized for any purpose other than \u2013<\/p>\n<p style=\"text-align: justify;\">(i)\u00a0\u00a0\u00a0\u00a0For adjustment against allotment of securities; or<\/p>\n<p style=\"text-align: justify;\">(ii)\u00a0\u00a0For the repayment of monies where the company is unable to allot securities.<\/p>\n<h2 style=\"text-align: justify;\"><span class=\"ez-toc-section\" id=\"Key_Dates\"><\/span><strong><span style=\"text-decoration: underline;\">Key Dates:<\/span><\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p style=\"text-align: justify;\">Filing of ITR returns by Individuals, HUF (With Audit):\u00a030\/09\/2016<\/p>\n<p style=\"text-align: justify;\">Filing of <a href=\"https:\/\/carajput.com\/income-tax-services.php\">ITR returns<\/a> by all companies (except TP audit):\u00a030\/09\/2016<\/p>\n<p style=\"text-align: justify;\">E-Payment of Service Tax for August by Companies:\u00a006\/09\/2016<\/p>\n<p style=\"text-align: justify;\">E-Payment of TDS for August :\u00a007\/09\/2016<\/p>\n<p style=\"text-align: justify;\">Success is not Accidental, It Is hard work, perseverance, learning, studying, sacrifice and most of all, love of what you are doing.<\/p>\n<p style=\"text-align: justify;\">Everyone may not be nice but there is something nice in everyone.<\/p>\n<p style=\"text-align: justify;\">We look forward for your valuable comments.\u00a0<a href=\"https:\/\/l.facebook.com\/l.php?u=http%3A%2F%2Fwww.carajput.com%2F&amp;h=gAQHsWv16AQFzlc4f70dAECucTda_B9jilKfCgneeqqu7PA&amp;enc=AZPUk1qSy7_DGmookvElFjnUXYX3K0FPXVQ6LxfUnjgljqDX0P6jFZnpNH5t7Yt6TpvPD_TBP30DWaadPDKvaBy4FKUuIg27nk64qxy4GjjzfG96BrSAO9DKSM7QZ-zRr0H_1seDnwx81zv7LENE7mngqEq05doeSutrNoPIQRvjIbEFb_PEZA8D1pUlJzy7MCsIwWN_xt9o3UmaFFdtL9S1&amp;s=1\">www.carajput.com<\/a><\/p>\n<p style=\"text-align: justify;\">FOR FURTHER QUERIES CONTACT US:<\/p>\n<p style=\"text-align: justify;\">W:\u00a0<a href=\"https:\/\/l.facebook.com\/l.php?u=http%3A%2F%2Fwww.carajput.com%2F&amp;h=SAQGflxq6AQEemiXU5m1Sleu5gX786YxP36euwMDL4osVrw&amp;enc=AZNOhiS8emvOi54UCNVnOtgbK0wGSKeEDPbJpQZAlf7cr5YxodSOowKyOSqQSaPOGvHdnvM7BqIC59kJjZSk01ga1fRZiYW43kCBMakJLj2AABFBk9rS2CYBcAfrJuc94lg0aPhuGpayaxGpsPeGoOhC-uzXppp1p3gEF_2Ypq758ZRU2ATuk77eX5g1paVf-MLMxpH-3DA9l9FUmq44lBe_&amp;s=1\">www.carajput.com<\/a>\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0\u00a0 E: <a href=\"mailto:singh@carajput.com\">singh@carajput.com<\/a> \u00a0\u00a0\u00a0\u00a0\u00a0 T: 011-233-4-3333, 9-555-555-460<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Professional Update For the Day: Direct Tax: IT:\u00a0TDS u\/s 194C &#8211; non tds on Vehicle \/ dumper Hire Charges &#8211; No contract either verbal or written is entered into with the owners \/ drivers in these cases of purely temporary transporting arrangements &#8211; No disallowance \u2013\u00a0ACIT, Cir-1, Asansol Vs. Raja Transport (2016 (8) TMI 1046 &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[18,150,172,9,4,15],"tags":[3984,5,333,4953,4952,4951,4948],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/2671"}],"collection":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/comments?post=2671"}],"version-history":[{"count":5,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/2671\/revisions"}],"predecessor-version":[{"id":2673,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/2671\/revisions\/2673"}],"wp:attachment":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/media?parent=2671"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/categories?post=2671"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/tags?post=2671"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}