Blog

Jul 23, 2018

Payment of tax under reverse charge on purchase of Priority Sector Lending Certificate

The Central Board of Indirect Taxes and Customs Vide Notification No 11/2018 –Central tax (Rate) dated 28th May 2018 had brought supply of Priority Sector Lending Certificate by a registered supplier to another registered person under reverse charge mechanism. So,now the recipient is liable to pay tax in case of purchase of the said certificate at the rate of 12%......

Jul 23, 2018

Applicability of Integrated tax on goods supplied while being deposited in a customs bonded warehouse

The Central Board of Indirect Taxes and Customs Vide Circular No 3/1/2018 –IGST dated 25th May 2018 had clarified that integrated tax shall be levied and collected on goods imported and stored in customs bonded warehouse at the time of final clearance of the warehoused goods for domestic consumption and at the time of filing the ex-bond bill of entry.It is also clarified that this circular is applicable for Supply of Warehoused goods i.e., deposited in a customs bonded warehouse, on or after the 1st of April, 2018.....

Jul 23, 2018

Trading Hours of Stock Exchanges

The Securities and Exchange Board of India Vide its circular NoSEBI/HO/MRD/DRMNP/CIR/78 dated 4th May, 2018 had permitted the stock exchanges to permit stock exchangesto set their trading hours in the Equity Derivatives segment between 9:00 AM and 11:55 PM, which was similar to the trading hours for commodity derivatives segment which were presently fixed between 10:00 AM and 11:55 PM.It had also stated that the above provisions will be applicable from 1st October 2018......

Jul 23, 2018

Deduction of tax under section 194C will come into operation only in case of payment made by assessee.

The Honorable Supreme Court of India Vide Commissioner of Income Tax-I vs. Daulat Enterprises held that assessee is liable to deduct TDS under Section 194C of the Income Tax Act, 1961 if and only if assessee is liable to make payment to the contractor. If assessee is not liable to make payment either by way of contract or otherwise, but still made the payment, then he need not deduct TDS......

Aug 06, 2018

Deferment of RCM on procurements made from unregistered person till September 30, 2018

The Central Board of Indirect Taxes and Customs Vide Notification No 12/2018 – Central Tax (Rate) dated 29th June, 2018 has deferred the payment of Goods and Services tax under Reverse Charge Mechanism (RCM) on purchases of taxable supplies from unregistered supplier till 30th day of September 2018. A Similar notification is being issued under IGST Act, vide Notification No 13/2018 – Integrated Tax (Rate)dated 29th June 2018 and under the UTGST Act vide Notification No 12/2018 – Union Territory Tax (Rate) dated 29th June,2018.....

Aug 06, 2018

Discontinuance of acceptance of cash by Stock brokers from clients

The Securities Exchange Board of India Vide its Notification No SEBI/HO/MIRSD/DOP/CIR/P/2018/113 dated 12th July stated that “All payments shall be received / made by the stock brokers from / to the clients strictly by account payee crossed cheques / demand drafts or by way of direct credit into the bank account through electronic fund transfer, or any other mode permitted by the Reserve Bank of India. The stock brokers shall accept cheques drawn only by the clients and also issue cheques in favour of the clients only, for their transactions. Stock Brokers shall not accept cash from the.....

Aug 06, 2018

Inclusion of bonds issued by specified financial institutions for the purpose of claiming exemption from long term capital gains under Section 54EC of the Income Tax Act, 1961.

The Central Board of Direct Taxes vide its Notification No 27/2018 and 28/2018 dated 18th June, 2018 had included the bonds issued by Indian Railway Finance Corporation Limited and Power Finance Corporation of India for claiming the exemption under Section 54EC of the Income Tax Act, 1961. So, for the purpose of claiming exemption from any long term capital gains, the tax payers can also invest in 54EC Capital gain bonds issued by the above institutions......

Aug 06, 2018

Further extension of time limit for date of linking PAN with Aadhar

The Central Board of Direct Taxes vide its order F.No 225/270/2017/ITA.II dated 30th June, 2018 has further extended the time limit for linking PAN with Aadhar till 31st March, 2019.....

Aug 18, 2018

Special procedure for completing migration of taxpayers who received provisional IDs but could not complete the migration process

Taxpayers migrating to GST from previous tax regime who could not complete the registration process have been provided a procedure by way of a Notification No. 31/2018 – Central Tax so that they can complete the registration process.....

Aug 18, 2018

Deferment of RCM on procurements made from unregistered person extended till September 30, 2019

The Central Board of Indirect Taxes and Customs Vide Notification No 22/2018 – Central Tax (Rate) dated 06th August, 2018 has deferred the payment of Goods and Services tax under Reverse Charge Mechanism (RCM) on purchases of taxable supplies from unregistered supplier till 30th day of September 2019. A similar notification was issued under IGST Act vide Notification No 23/2018 – Integrated Tax (Rate)dated 06th August 2018 and under the UTGST Act vide Notification No 22/2018 – Union Territory Tax (Rate) dated 06th August, 2018......

Aug 18, 2018

Clarification regarding the applicability of GST on petroleum gases retained for the manufacture of petrochemical and chemical products

The Central Board of Indirect Taxes and Customs Vide Circular No. 53/27/2018-GST dated 09/08/2018 has clarified that:- In cases where petroleum gases are supplied by oil refineries to manufacturers on a continuous basis through dedicated pipelines, GST will be payable by the refinery only on the value of net quantity of petroleum gases retained for the manufacture of petrochemical and chemical products......

Aug 18, 2018

Levy of Anti-Dumping Duty on import of Methylene Chloride

Central Board of Indirect taxes and Customs issued Notification No. 38/2018-Customs (ADD) which states that “Levy of Anti-dumping duty on the import of Methylene Chloride from European Union or USA extended till 20-10-2019.”.....

Aug 18, 2018

Discontinuation of registration of Sub-brokers as intermediary with SEBI

SEBI Board in its meeting held on 21-06-2018 decided to discontinue the registration of sub-brokers with SEBI. Consequently, SEBI vide its Circular No. SEBI/HO/MIRSD/DoP/CIR/P/2018/117 has decided the following:  No fresh registration shall be granted to any person as Sub-Broker. Any pending applications for registration, shall be returned to the concerned Stock Exchanges for onward transmission to the applicant.  The registered Sub-Brokers shall have time till March 31, 2019 in order to migrate to act as an AP and / or Trading Member. The Sub-Brokers, who do not choose to migrate into A.....

Aug 18, 2018

Amendments & Insertions made in Form 3CD

The Central Board of Direct Taxes Vide Notification No. 33/2018. Income Tax 8th Amendment) Rules has made substantial changes in Form 3CD whereby reporting requirements relating to GST, Cash Transactions,Transfer Pricing, etc. have been prescribed, applicable w.e.f. 20th August 2018......

Aug 18, 2018

Extension of due date for filing Income Tax Return for AY 18-19

The Central Board of Direct Taxes Vide Order F.No 225/242/2018/ITA.II dated 26/07/2018 has extended the due date for filing Income Tax Return from 31-07- 2018 to 31-08-2018......

Aug 18, 2018

Updation of KYC of Directors

The Ministry of Corporate affairs vide Companies (Appointment and Qualification of Directors) dated 05/07/2018 has notified format of E-form DIR-3 KYC under new Rule 12A , which states as follows:  “Every individual who has been allotted a Director Identification Number (DIN) as on 31st March of a financial year as per these rules shall, submit e-form DIR-3-KYC to the Central Government on or before 30th April of immediate next financial year.”  Provided that every individual who has already been allotted a Director Identification Number (DIN) as at 31st March, 2018, shall submit e-.....

Aug 18, 2018

Monetary Policy - Changes in various rates

Repo rate - 6.5% w.e.f 01.08.2018 Reverse Repo rate - 6.25% w.e.f 01.08.2018 Marginal Standing Facility rate - 6.75% w.e.f 01.08.2018 Bank rate - 6.75% w.e.f 01.08.2018.....

Aug 18, 2018

Assessee can claim depreciation on the assets if he could not run the factory on account of stay from the Court and If the assessee had not written of its liability in books of account, said liability could not be ceased under section 41(1) - Vide Decision of High Court of Gujarat in Babul Products (P.) Ltd.vs. Assistant Commissioner of Income-tax, OSD, Range-1, Ahmedabad

The Honorable High Court of Gujarat in the above case has held that if the assessee has closed the business due to a stay order received from the court, he shall be entitled to claim depreciation under section 32. Further, if the assessee has not written off a liability in the books of accounts, it cannot be brought to tax under section 41(1)......

Aug 18, 2018

For issuing a consolidation order for consolidation of appeals pending for a long time, Revenue shall move a comprehensive application before the ITAT, serving a copy in advance to the assessee - Vide decision of High Court of Delhi in BPTP Ltd. vs. Prinicpal Commissioner of Income Tax

The Honorable High Court of Gujarat in the above case has held that if the revenue were to issue consolidation order to the assessee, it can do so only after making an application to the ITAT(Income Tax Appellate Tribunal) supported by a proper reason and should also serve a notice in advance to the assessee......

Aug 18, 2018

Assessees were permitted to file their returns without any insistence of linkage of their Aadhaar with their PAN numbers in view of extension of deadline for PANAadhar linkage till 31-03-2019 - Vide decision of High Court of Delhi in Shreyasen vs Union Of India.

The Honorable High Court of Delhi in the above case has held that the assessees can file their Income Tax Returns for the relevant year without having to link their Aadhar number with PAN......