*IndiaTaxLaws Update*
📌 *Major Recommendations of 49th GST Council Meeting*
1. GST Amnesty Scheme for GSTR 4, GSTR 9 and GSTR 10 by way of conditional waiver/ reduction of late fee.
2. Reduced late fee for GSTR 9 from 2022-23 onwards.
-> If T.O. upto 5 Crores = 50/day upto 0.04% of turnover
-> If T.O. is more than 5 crores to 20 Crores = 100/day upto 0.04% of turnover
3. Changes in GST rates:
Rab: From 18% to 5% if sold prepackaged and labelled otherwise Nil
Pencil Sharpener: From 18% to 12%
4. Extended time for filling application for revocation of cancellation of registration
Time limit for filling revocation of cancellation of registration to be increased to 90 days (extended by further period not exceeding 180 days). Revocation application can be filed If registration has been cancelled for non filling of returns and application could not be filed within the time specified in section 30
5. Relief by giving extended time for filling returns after service of deemed assessment notice
The best judgment assessment order (Section 62) will be deemed to be withdrawn if the relevant return is filed within 60 days of service of the said assessment order (extendable by another 60 days). Also one time amnesty for past cases shall be provided
6. Government of India to clear entire pending balance GST compensation of Rs. 16,982 crore for June’2022
7. GST Council adopts report of Group of Ministers (GoM) on GST Appellate Tribunal with certain modifications
8. GoM report on Capacity Based Taxation and Special Composition Scheme in certain Sectors on GST approved
*Regards*
*Team IndiaTaxLaws*
📌 *Major Recommendations of 49th GST Council Meeting*
1. GST Amnesty Scheme for GSTR 4, GSTR 9 and GSTR 10 by way of conditional waiver/ reduction of late fee.
2. Reduced late fee for GSTR 9 from 2022-23 onwards.
-> If T.O. upto 5 Crores = 50/day upto 0.04% of turnover
-> If T.O. is more than 5 crores to 20 Crores = 100/day upto 0.04% of turnover
3. Changes in GST rates:
Rab: From 18% to 5% if sold prepackaged and labelled otherwise Nil
Pencil Sharpener: From 18% to 12%
4. Extended time for filling application for revocation of cancellation of registration
Time limit for filling revocation of cancellation of registration to be increased to 90 days (extended by further period not exceeding 180 days). Revocation application can be filed If registration has been cancelled for non filling of returns and application could not be filed within the time specified in section 30
5. Relief by giving extended time for filling returns after service of deemed assessment notice
The best judgment assessment order (Section 62) will be deemed to be withdrawn if the relevant return is filed within 60 days of service of the said assessment order (extendable by another 60 days). Also one time amnesty for past cases shall be provided
6. Government of India to clear entire pending balance GST compensation of Rs. 16,982 crore for June’2022
7. GST Council adopts report of Group of Ministers (GoM) on GST Appellate Tribunal with certain modifications
8. GoM report on Capacity Based Taxation and Special Composition Scheme in certain Sectors on GST approved
*Regards*
*Team IndiaTaxLaws*
*IndiaTaxLaws Update*
1. Central Board of Direct Taxes (CBDT) has requested all tax officers to ensure that the procedure prescribed in Instruction no. 7/2017 is followed scrupulously and remedial action is taken after due application of mind. Instruction no. 7/2017 prescribes a process to invoke section 263/154 if a revenue audit objection is accepted.
2. TDS benefit to be given in Assessment year in which income is assessable even if the deductor inadvertently reported it in next Assessment year. – [Anup Rajendra Tapadia v. DCIT (2023) 147 taxmann.com 167 (ITAT Pune)]
3. Companies intending to file (i) Form GNL-2 (filing of prospectus related documents and private placement), (ii) MGT-14 (filing of Resolutions relating to prospectus related documents, private placement), (iii) PAS-3 (Allotment of Shares), (iv.) SH-8 (letter of offer for buyback of own shares or other securities), (v.) SH-9 (Declaration of Solvency) and (vi.) SH-11 (Retum in respect of buy-back of securities) from 22.02.2023 to 31.03.2023 on the MCA-21 Portal may file such Form in physical mode duly signed by the persons concerned as per requirements of the relevant forms.
4. Along with a copy thereof in electronic media, with the concerned Registrar without payment of fee and take acknowledgement (as per Annexure to this Circular) thereof. Such filing will be accompanied by an undertaking from the company that, the company shall also file the relevant Form in electronic form on MCA-21 Portal alongwith fee payable as per Companies (Registration Offices and Fees) Rules, 2014.
5. The GST Network has issued an update on “Introduction of Negative Values in Table 4 of GSTR-3B”dated February 17, 2023.
6. The Government vide Notification No. 14/2022 – Central Tax dated 05th July, 2022 has notified few changes in Table 4 of Form GSTR-3B for enabling taxpayers to report correct information regarding ITC availed, ITC reversal and ineligible ITC in Table 4 of GSTR-3B.
*Regards*
*Team IndiaTaxLaws*
1. Central Board of Direct Taxes (CBDT) has requested all tax officers to ensure that the procedure prescribed in Instruction no. 7/2017 is followed scrupulously and remedial action is taken after due application of mind. Instruction no. 7/2017 prescribes a process to invoke section 263/154 if a revenue audit objection is accepted.
2. TDS benefit to be given in Assessment year in which income is assessable even if the deductor inadvertently reported it in next Assessment year. – [Anup Rajendra Tapadia v. DCIT (2023) 147 taxmann.com 167 (ITAT Pune)]
3. Companies intending to file (i) Form GNL-2 (filing of prospectus related documents and private placement), (ii) MGT-14 (filing of Resolutions relating to prospectus related documents, private placement), (iii) PAS-3 (Allotment of Shares), (iv.) SH-8 (letter of offer for buyback of own shares or other securities), (v.) SH-9 (Declaration of Solvency) and (vi.) SH-11 (Retum in respect of buy-back of securities) from 22.02.2023 to 31.03.2023 on the MCA-21 Portal may file such Form in physical mode duly signed by the persons concerned as per requirements of the relevant forms.
4. Along with a copy thereof in electronic media, with the concerned Registrar without payment of fee and take acknowledgement (as per Annexure to this Circular) thereof. Such filing will be accompanied by an undertaking from the company that, the company shall also file the relevant Form in electronic form on MCA-21 Portal alongwith fee payable as per Companies (Registration Offices and Fees) Rules, 2014.
5. The GST Network has issued an update on “Introduction of Negative Values in Table 4 of GSTR-3B”dated February 17, 2023.
6. The Government vide Notification No. 14/2022 – Central Tax dated 05th July, 2022 has notified few changes in Table 4 of Form GSTR-3B for enabling taxpayers to report correct information regarding ITC availed, ITC reversal and ineligible ITC in Table 4 of GSTR-3B.
*Regards*
*Team IndiaTaxLaws*
*IndiaTaxLaws Updates*
1. CBDT has issued a corrigendum to its Notification G.S.R. 95(E), dated 14.02.2023 issued to notify new ITR-7 applicable for the Assessment Year 2023-24. The corrigendum is issued to correct minor errors/omissions in the ITR forms.
2. Delhi High Court in a case has held that the revision powers conferred under section 264 of the Income-tax Act, 1961, on the CIT were very wide and could give relief to the taxpayer in a case where the taxpayer detected mistakes due to which he was over-assessed.
3. Further, it held that when a substantive law confers a benefit on the taxpayer under a statute, it could not be taken away by the adjudicatory authority on mere technicalities. Furthermore, it held that the Tax Officer should not take advantage of any error or mistake that a taxpayer committed. – [TS-163-HC-2016(Delhi)]
4. Government plans to rope in more industry partners to increase the pace of training under its flagship SAMARTH scheme for skill development in the textile sector. The government aims to make the country's textile sector worth USD 250 billion by 2030 from USD 150-155 billion at present.
5. GSTN has onboarded four new IRPs (Invoice Reporting Portals) for reporting e-invoices in addition to NIC-IRP. As a result, the beta launch of a new e-Invoice portal (www.e invoice.gst.gov.in), has been done where taxpayers can find comprehensive information on e-invoice compliance in a user-friendly format, such as check your enablement status, self-enable themselves for invoicing, search for IRNs, web links to all IRP portals – all the relevant links/information in one convenient location. Taxpayers can log in to the new e-invoice portal using their GSTN credentials for select services pertaining to their GSTIN profiles.
6. CBIC issued Circular No. 214/1/2023-Service Tax dated February 28, 2023 regarding Leviability of Service Tax on the declared service “Agreeing to the obligation to refrain from an act, or to tolerate an act or a situation, or to do an act" under clause (e) of section 66E of the Finance Act, 1994.
*Regards*
*Team IndiaTaxLaws*
1. CBDT has issued a corrigendum to its Notification G.S.R. 95(E), dated 14.02.2023 issued to notify new ITR-7 applicable for the Assessment Year 2023-24. The corrigendum is issued to correct minor errors/omissions in the ITR forms.
2. Delhi High Court in a case has held that the revision powers conferred under section 264 of the Income-tax Act, 1961, on the CIT were very wide and could give relief to the taxpayer in a case where the taxpayer detected mistakes due to which he was over-assessed.
3. Further, it held that when a substantive law confers a benefit on the taxpayer under a statute, it could not be taken away by the adjudicatory authority on mere technicalities. Furthermore, it held that the Tax Officer should not take advantage of any error or mistake that a taxpayer committed. – [TS-163-HC-2016(Delhi)]
4. Government plans to rope in more industry partners to increase the pace of training under its flagship SAMARTH scheme for skill development in the textile sector. The government aims to make the country's textile sector worth USD 250 billion by 2030 from USD 150-155 billion at present.
5. GSTN has onboarded four new IRPs (Invoice Reporting Portals) for reporting e-invoices in addition to NIC-IRP. As a result, the beta launch of a new e-Invoice portal (www.e invoice.gst.gov.in), has been done where taxpayers can find comprehensive information on e-invoice compliance in a user-friendly format, such as check your enablement status, self-enable themselves for invoicing, search for IRNs, web links to all IRP portals – all the relevant links/information in one convenient location. Taxpayers can log in to the new e-invoice portal using their GSTN credentials for select services pertaining to their GSTIN profiles.
6. CBIC issued Circular No. 214/1/2023-Service Tax dated February 28, 2023 regarding Leviability of Service Tax on the declared service “Agreeing to the obligation to refrain from an act, or to tolerate an act or a situation, or to do an act" under clause (e) of section 66E of the Finance Act, 1994.
*Regards*
*Team IndiaTaxLaws*
*IndiaTaxLaws updates*
1. Industry has suggested that the Vivad se Vishwas scheme announced in the Budget for MSMEs should be made attractive in terms of reimbursements and interest rates. They also demanded a robust grievance redressal system on digital portals and a mechanism to resolve disputes before the initiation of an arbitration process.
2. GSTN has launched the e-invoice registration services through multiple private IRPs at the recommendation of the GST Council. Four private companies viz. ClearTax, Cygnet, E&Y and IRIS Business Ltd were empaneled by GSTN for providing these e-invoice registration services.
3. India's fiscal deficit for April to January of the current fiscal year came in at ₹11.91 lakh crore or 67.8 percent of revised annual estimates.The Centre made an upward revision in its fiscal deficit target for 2022-23 in the 2023 Budget to ₹17.55 lakh crore from ₹16.61 lakh crore.
*Regards*
*Team IndiaTaxLaws*
1. Industry has suggested that the Vivad se Vishwas scheme announced in the Budget for MSMEs should be made attractive in terms of reimbursements and interest rates. They also demanded a robust grievance redressal system on digital portals and a mechanism to resolve disputes before the initiation of an arbitration process.
2. GSTN has launched the e-invoice registration services through multiple private IRPs at the recommendation of the GST Council. Four private companies viz. ClearTax, Cygnet, E&Y and IRIS Business Ltd were empaneled by GSTN for providing these e-invoice registration services.
3. India's fiscal deficit for April to January of the current fiscal year came in at ₹11.91 lakh crore or 67.8 percent of revised annual estimates.The Centre made an upward revision in its fiscal deficit target for 2022-23 in the 2023 Budget to ₹17.55 lakh crore from ₹16.61 lakh crore.
*Regards*
*Team IndiaTaxLaws*
*IndiaTaxLaws Updates*
1. Deadline to link your Permanent Account Number (PAN) and Aadhaar is March 31, 2023. Do note that now there is a penalty applicable for linking PAN with Aadhaar. If you link your PAN with your Aadhaar now, then you are liable to pay a late fee of Rs 1,000 as the last date for linking without penalty was June 30, 2022 which is already past.
2. Calcutta High Court allows Assessee’s writ petition, quashes notice under Section 148A(b), issued in the name of non-existing entity; Reprimands the Revenue for non-application of mind and issuing notice on the same non-existing entity despite the fact that notice under Section 148 was quashed by the coordinate bench on earlier occasion on the same ground, imposes personal cost of Rs. 20,000 on concerned officer to be realised from his salary and to be paid to assessee. – [Orbit Projects (P) Ltd. v. ITO.
3. Reserve Bank of India governor Shaktikanta Das said payments through UPI (unified payment interface) have grown exponentially in the past 12 months with daily transactions crossing 36 crore, which is up 50 per cent from 24 crore in February 2022.
4. After gold jewellery, the government plans to make hallmarking of gold bullion mandatory and is ready with the draft guidelines, Bureau of Indian Standard (BIS) Director General Pramod Kumar Tiwari said. Hallmarking -- a quality certification -- has been made mandatory with effect from July 1, 2022 for gold jewellery (14, 18, and 22 carat) and artifacts in 288 districts of the country.
*Regards*
*Team IndiaTaxLaws*
1. Deadline to link your Permanent Account Number (PAN) and Aadhaar is March 31, 2023. Do note that now there is a penalty applicable for linking PAN with Aadhaar. If you link your PAN with your Aadhaar now, then you are liable to pay a late fee of Rs 1,000 as the last date for linking without penalty was June 30, 2022 which is already past.
2. Calcutta High Court allows Assessee’s writ petition, quashes notice under Section 148A(b), issued in the name of non-existing entity; Reprimands the Revenue for non-application of mind and issuing notice on the same non-existing entity despite the fact that notice under Section 148 was quashed by the coordinate bench on earlier occasion on the same ground, imposes personal cost of Rs. 20,000 on concerned officer to be realised from his salary and to be paid to assessee. – [Orbit Projects (P) Ltd. v. ITO.
3. Reserve Bank of India governor Shaktikanta Das said payments through UPI (unified payment interface) have grown exponentially in the past 12 months with daily transactions crossing 36 crore, which is up 50 per cent from 24 crore in February 2022.
4. After gold jewellery, the government plans to make hallmarking of gold bullion mandatory and is ready with the draft guidelines, Bureau of Indian Standard (BIS) Director General Pramod Kumar Tiwari said. Hallmarking -- a quality certification -- has been made mandatory with effect from July 1, 2022 for gold jewellery (14, 18, and 22 carat) and artifacts in 288 districts of the country.
*Regards*
*Team IndiaTaxLaws*
*IndiaTaxLaws Update*
Maharashtra Govt introduces ‘Maharashtra Settlement of Arrears of Tax, Interest, Penalty or Late Fee Act, 2023’ as an Amnesty Scheme to grant full/partial waiver of arrears pending as on May 1, 2023.
Waiver would be provided in respect of various laws implemented before GST enactment; Presenting Maharashtra Budget 2023-2024, the State FinMin and Dy CM Devendra Fadnavis enumerated the following key features of the said scheme, viz.
(i) Complete waiver of the arrears in cases where arrears are Rs. 2,00,000 or less per year,
(ii) 80% waiver for Dealers having arrears up to Rs. 50 lakhs or less as per statutory order, who will then have to pay only 20%
(iii) Scheme will be in force from May 1, 2023 to October 31, 2023
(iv) Other indirect tax sops include reduction of VAT on Aviation Turbine Fuel (ATF) from 25% to 18%
(v) Also, proposes waiver of professional tax for female employees drawing a monthly salary of upto Rs 25,000.
*Regards*
*Team IndiaTaxLaws*
Maharashtra Govt introduces ‘Maharashtra Settlement of Arrears of Tax, Interest, Penalty or Late Fee Act, 2023’ as an Amnesty Scheme to grant full/partial waiver of arrears pending as on May 1, 2023.
Waiver would be provided in respect of various laws implemented before GST enactment; Presenting Maharashtra Budget 2023-2024, the State FinMin and Dy CM Devendra Fadnavis enumerated the following key features of the said scheme, viz.
(i) Complete waiver of the arrears in cases where arrears are Rs. 2,00,000 or less per year,
(ii) 80% waiver for Dealers having arrears up to Rs. 50 lakhs or less as per statutory order, who will then have to pay only 20%
(iii) Scheme will be in force from May 1, 2023 to October 31, 2023
(iv) Other indirect tax sops include reduction of VAT on Aviation Turbine Fuel (ATF) from 25% to 18%
(v) Also, proposes waiver of professional tax for female employees drawing a monthly salary of upto Rs 25,000.
*Regards*
*Team IndiaTaxLaws*
*IndiaTaxLaws Updates*
1. E-way bill generation in February dropped to a three-month low of over 8.18 crore. It was over 8.24 crore and 8.41 crore in January and December. Technically, data for February are for 28 days while preceding two (January and December) months’ total numbers are for 31 days.
2. However, during fiscal year 2021-22, the number of e-way bills generated in December was 7.16 crore which dropped to 6.88 crore in January but rose to 6.91 crore in February.
3. E-way bill generation of a month gives an indication about GST collection in the next month. This means, lesser number of e-way bills in February may end in lower collection.However, e-way bill generation is not directly linked to revenue collection.
4. GST collection, during the 12-month period of March 2022 and February 2023, has been ₹1.40-lakh crore or more every month. In fact, April 2022 saw an all time high collection of ₹1.68-lakh crore while second highest collection was ₹1.56-lakh crore plus in January this year.
Now, the government expects over ₹1.50-lakh crore plus in coming months.
5. GSTN has introduced a new feature on the GST Portal. This feature enables taxpayers to geocode their principal place of business address, which means that the address is converted into geographic coordinates (latitude and longitude) using a mapping tool.
*Regards*
*Team IndiaTaxLaws*
1. E-way bill generation in February dropped to a three-month low of over 8.18 crore. It was over 8.24 crore and 8.41 crore in January and December. Technically, data for February are for 28 days while preceding two (January and December) months’ total numbers are for 31 days.
2. However, during fiscal year 2021-22, the number of e-way bills generated in December was 7.16 crore which dropped to 6.88 crore in January but rose to 6.91 crore in February.
3. E-way bill generation of a month gives an indication about GST collection in the next month. This means, lesser number of e-way bills in February may end in lower collection.However, e-way bill generation is not directly linked to revenue collection.
4. GST collection, during the 12-month period of March 2022 and February 2023, has been ₹1.40-lakh crore or more every month. In fact, April 2022 saw an all time high collection of ₹1.68-lakh crore while second highest collection was ₹1.56-lakh crore plus in January this year.
Now, the government expects over ₹1.50-lakh crore plus in coming months.
5. GSTN has introduced a new feature on the GST Portal. This feature enables taxpayers to geocode their principal place of business address, which means that the address is converted into geographic coordinates (latitude and longitude) using a mapping tool.
*Regards*
*Team IndiaTaxLaws*
*IndiaTaxLaws updates*
1. Delay in filing Form 67 does not result in the disallowance of a foreign tax credit. [Purushothama Reddy Vankireddy v. ADIT (International Taxation) [2023] 147 taxmann.com 398 (ITAT Hyderabad)]
2. NCLT Jaipur Bench, while adjudicating a petition filed in M/s Packwell (India) Ltd. v M/s Emgee Cables and Communication Ltd., has held that PMLA would cease to have the power to attach the property of the Corporate Debtor, when the order of the Liquidation has already been passed.
3. Government is mulling over bringing in a formal legal framework relating to crypto assets. Further, criminal investigation by Enforcement Directorate (ED) at a large crypto exchange revealed grave violations of Anti-Money Laundering Regulations.
4. In order to put in place a mechanism to increase accountability of persons handling crypto transactions and to bring them under the ambit of the Prevention of Money Laundering Act, 2002 (‘PMLA’), the Ministry of Finance (‘MoF’) has issued the relevant notifications. It is now provided that persons carrying out certain activities relating to Virtual Digital Assets (‘VDA’) will be subject to stringent reporting requirements and compliances under the PMLA. This will enable the government / ED to track information relating to VDA transactions and its money trail.
*Regards*
*Team IndiaTaxLaws*
1. Delay in filing Form 67 does not result in the disallowance of a foreign tax credit. [Purushothama Reddy Vankireddy v. ADIT (International Taxation) [2023] 147 taxmann.com 398 (ITAT Hyderabad)]
2. NCLT Jaipur Bench, while adjudicating a petition filed in M/s Packwell (India) Ltd. v M/s Emgee Cables and Communication Ltd., has held that PMLA would cease to have the power to attach the property of the Corporate Debtor, when the order of the Liquidation has already been passed.
3. Government is mulling over bringing in a formal legal framework relating to crypto assets. Further, criminal investigation by Enforcement Directorate (ED) at a large crypto exchange revealed grave violations of Anti-Money Laundering Regulations.
4. In order to put in place a mechanism to increase accountability of persons handling crypto transactions and to bring them under the ambit of the Prevention of Money Laundering Act, 2002 (‘PMLA’), the Ministry of Finance (‘MoF’) has issued the relevant notifications. It is now provided that persons carrying out certain activities relating to Virtual Digital Assets (‘VDA’) will be subject to stringent reporting requirements and compliances under the PMLA. This will enable the government / ED to track information relating to VDA transactions and its money trail.
*Regards*
*Team IndiaTaxLaws*
*IndiaTaxLaws updates*
1. Delhi High Court allows Assessee’s writ petition, quashes the demand arising from TDS by Kingfisher Airlines (Assessee's employer) which was not duly deposited; Holds that the Assessee cannot be called upon to pay the tax which has been deducted at source from his income, even though not deposited by his employer, under Section 205 read with CBDT Instruction dated 01.06.2015;
2. Further holds that the said demand cannot be adjusted against the future refund payable to the Assessee, as it will amount to indirect recovery of tax and grants Assessee the refund of Rs. 1.94 Lacs due to him for Assessment year 2015-16; - [Sanjay Sudan v. ACIT [TS-93-HC-2023(DEL)] – Date of Judgement : 17.02.2023 (Del.)]
3. Government has amended rules under the anti-money law, making it mandatory for banks and financial institutions to record financial transactions of politically exposed persons (PEP). Also, financial institutions or reporting agencies will be required to collect information about the financial transactions of non-profit organisations or NGOs under the provisions of the Prevention of Money Laundering Act (PMLA).
4. ITAT Chennai held that deduction under section 54 of the Income Tax Act restricted to only for one floor (3rd floor) as the assessee failed to establish that two floors (3rd and 4th floor) is one residential house. Case Name : Mohamed Ibrahim Vs ITO Date of Order : 15/02/23
5. Taxpayers will get relief from recovery if they file a declaration of their intent to appeal against the order of lower authorities, even as the GST Appellate Tribunal is yet to be constituted, ruled the Bombay High Court. Once the declaration is put on record, there would be no recovery, the court ordered.
6. Companies continue to face technical challenges in using the MCA upgraded Version 3 portal for corporate filings, despite the government's efforts to address such problems. Industry associations may seek physical filings of more forms until the portal is fully functional.
*Regards*
*Team IndiaTaxLaws*
1. Delhi High Court allows Assessee’s writ petition, quashes the demand arising from TDS by Kingfisher Airlines (Assessee's employer) which was not duly deposited; Holds that the Assessee cannot be called upon to pay the tax which has been deducted at source from his income, even though not deposited by his employer, under Section 205 read with CBDT Instruction dated 01.06.2015;
2. Further holds that the said demand cannot be adjusted against the future refund payable to the Assessee, as it will amount to indirect recovery of tax and grants Assessee the refund of Rs. 1.94 Lacs due to him for Assessment year 2015-16; - [Sanjay Sudan v. ACIT [TS-93-HC-2023(DEL)] – Date of Judgement : 17.02.2023 (Del.)]
3. Government has amended rules under the anti-money law, making it mandatory for banks and financial institutions to record financial transactions of politically exposed persons (PEP). Also, financial institutions or reporting agencies will be required to collect information about the financial transactions of non-profit organisations or NGOs under the provisions of the Prevention of Money Laundering Act (PMLA).
4. ITAT Chennai held that deduction under section 54 of the Income Tax Act restricted to only for one floor (3rd floor) as the assessee failed to establish that two floors (3rd and 4th floor) is one residential house. Case Name : Mohamed Ibrahim Vs ITO Date of Order : 15/02/23
5. Taxpayers will get relief from recovery if they file a declaration of their intent to appeal against the order of lower authorities, even as the GST Appellate Tribunal is yet to be constituted, ruled the Bombay High Court. Once the declaration is put on record, there would be no recovery, the court ordered.
6. Companies continue to face technical challenges in using the MCA upgraded Version 3 portal for corporate filings, despite the government's efforts to address such problems. Industry associations may seek physical filings of more forms until the portal is fully functional.
*Regards*
*Team IndiaTaxLaws*
*IndiaTaxLaws Updates*
1. Minister of State (Finance) in a parliamentary question on capital gains tax structure, responds that “there is no proposal under consideration for Capital Gain tax rates and holding periods for investments.
2. As many as 68,000 cases have been picked up for e-verification by the income tax department for unreporting or under-reporting of income in tax returns for 2019-20 fiscal, CBDT chief said.
3. Bombay High Court quashes reassessment proceedings on account of mere change in opinion against Jetair. Jetair Pvt Ltd vs. Deputy Commissioner of Income Tax & Ors. (WP No. 3446 of 2022, 1901 of 2022 and 1996 of 2002).
4. Digital or e-rupee worth over Rs 130 crore is in circulation on a pilot basis as of February 28, the finance minister said on Monday. The Reserve Bank of India had launched pilots in digital rupee in the wholesale segment (e-W) on November 1, 2022.
5. The Supreme Court has held that producing invoices or payments through cheques are NOT Sufficient to claim ITC sufficient to claim ITC . Over and and above the invoices and the particulars of payment, the purchasing dealer has to produce further material like the name and address of the selling dealer, details of the vehicle which has delivered the goods, payment of freight charges, acknowledgement of taking delivery of goods including actual physical movement of the goods, alleged to have been purchased from the concerned dealers.
*Regards*
*Team IndiaTaxLaws*
1. Minister of State (Finance) in a parliamentary question on capital gains tax structure, responds that “there is no proposal under consideration for Capital Gain tax rates and holding periods for investments.
2. As many as 68,000 cases have been picked up for e-verification by the income tax department for unreporting or under-reporting of income in tax returns for 2019-20 fiscal, CBDT chief said.
3. Bombay High Court quashes reassessment proceedings on account of mere change in opinion against Jetair. Jetair Pvt Ltd vs. Deputy Commissioner of Income Tax & Ors. (WP No. 3446 of 2022, 1901 of 2022 and 1996 of 2002).
4. Digital or e-rupee worth over Rs 130 crore is in circulation on a pilot basis as of February 28, the finance minister said on Monday. The Reserve Bank of India had launched pilots in digital rupee in the wholesale segment (e-W) on November 1, 2022.
5. The Supreme Court has held that producing invoices or payments through cheques are NOT Sufficient to claim ITC sufficient to claim ITC . Over and and above the invoices and the particulars of payment, the purchasing dealer has to produce further material like the name and address of the selling dealer, details of the vehicle which has delivered the goods, payment of freight charges, acknowledgement of taking delivery of goods including actual physical movement of the goods, alleged to have been purchased from the concerned dealers.
*Regards*
*Team IndiaTaxLaws*
*IndiaTaxLaws Updates*
1. The government has made it mandatory to link Aadhaar to Permanent Account Number (PAN) on or before March 31. Failing to do so may lead to PAN being inoperative or attract a penalty. If you do not link your Aadhaarwith your PAN by 31st March 2023.
2. This will have a number of implications such as:
(i) You shall not be able to file a return using the inoperative PAN
(ii) Pending returns will not be processed
(iii) Pending refunds cannot be issued to inoperative PANs
(iv) Pending proceedings as in the case of defective returns cannot be completed once the PAN is inoperative
(v) Tax will be required to be deducted at a higher rate as PAN becomes inoperative.
3. In addition to the above, you might face difficulty at various other fora like banks and other financial portals, as PAN is one of the important KYC criteria for all kinds of financial transactions.—-CCATAX.
4. ITR can not be treated as invalid until assessee’s request for condonation of delay in furnishing ITR-V is pending. [Anagha Vijay Deshmukh v. DCIT (2023) 147 taxmann.com 477 (ITAT Pune)].
*Regards*
*Team IndiaTaxLaws*
1. The government has made it mandatory to link Aadhaar to Permanent Account Number (PAN) on or before March 31. Failing to do so may lead to PAN being inoperative or attract a penalty. If you do not link your Aadhaarwith your PAN by 31st March 2023.
2. This will have a number of implications such as:
(i) You shall not be able to file a return using the inoperative PAN
(ii) Pending returns will not be processed
(iii) Pending refunds cannot be issued to inoperative PANs
(iv) Pending proceedings as in the case of defective returns cannot be completed once the PAN is inoperative
(v) Tax will be required to be deducted at a higher rate as PAN becomes inoperative.
3. In addition to the above, you might face difficulty at various other fora like banks and other financial portals, as PAN is one of the important KYC criteria for all kinds of financial transactions.—-CCATAX.
4. ITR can not be treated as invalid until assessee’s request for condonation of delay in furnishing ITR-V is pending. [Anagha Vijay Deshmukh v. DCIT (2023) 147 taxmann.com 477 (ITAT Pune)].
*Regards*
*Team IndiaTaxLaws*
*IndiaTaxLaws updates*
1. Delhi South CGST unearths fake invoicing racket involving tax evasion of Rs. 17 crore, 2 held
2. Strike off of Companies & other ‘Corporate Exits’ to become centralised from 1-4-2023. MCA established the Centre for Processing Accelerated Corporate Exit (C-PACE). C-Pace facilitates and speeds up the voluntary winding-up of companies from the currently required two years to less than six months.
3. Assessee being in tea plantation business, post disallowance of EPF, 40% will be taxable as per rule 8(1) Case Name: Hanuman Plantations Limited Vs ITO (ITAT Kolkata)
4. No ITC to purchasing dealers in absence of proof of genuine transactions & physical movement of goods. The Hon’ble Supreme Court in the State of Karnataka v. M/s. Ecom Gill Coffee Trading Pvt. Ltd. [Civil Appeal No. 230 of 2023 dated March 13, 2023].
5. Minimum Alternate Tax (MAT) applicable only to companies registered under Companies Act; not applicable to deemed Company under Income-tax Act. – [DCIT v. Rajasthan Financial Corporation [2023] 147 taxmann.com 525 (ITAT Jaipur)]
6. Central Goods & Services Tax Act, 2017 does not restrict GST registration of Management consultants, Architects and other professionals operating from residential premises, due to covid-19 pandemic or otherwise.
*Regards*
*IndiaTaxLaws*
1. Delhi South CGST unearths fake invoicing racket involving tax evasion of Rs. 17 crore, 2 held
2. Strike off of Companies & other ‘Corporate Exits’ to become centralised from 1-4-2023. MCA established the Centre for Processing Accelerated Corporate Exit (C-PACE). C-Pace facilitates and speeds up the voluntary winding-up of companies from the currently required two years to less than six months.
3. Assessee being in tea plantation business, post disallowance of EPF, 40% will be taxable as per rule 8(1) Case Name: Hanuman Plantations Limited Vs ITO (ITAT Kolkata)
4. No ITC to purchasing dealers in absence of proof of genuine transactions & physical movement of goods. The Hon’ble Supreme Court in the State of Karnataka v. M/s. Ecom Gill Coffee Trading Pvt. Ltd. [Civil Appeal No. 230 of 2023 dated March 13, 2023].
5. Minimum Alternate Tax (MAT) applicable only to companies registered under Companies Act; not applicable to deemed Company under Income-tax Act. – [DCIT v. Rajasthan Financial Corporation [2023] 147 taxmann.com 525 (ITAT Jaipur)]
6. Central Goods & Services Tax Act, 2017 does not restrict GST registration of Management consultants, Architects and other professionals operating from residential premises, due to covid-19 pandemic or otherwise.
*Regards*
*IndiaTaxLaws*
*IndiaTaxLaws updates*
1. The Income Tax Department has launched a mobile app AIS for Taxpayers Install & view TDS etc https://play.google.com/store/apps/details?id=io.lntinfotech.AIStaxpayer
2. CIT(E) does not have authority to condone any delay in submitting an application for approval under section 10(23C)(vi). – [Manav Rachna Education Society v. CIT (Exemptions) [2023] 148 taxmann.com 24 (ITAT Raipur)]
3. Income tax department raised tax demands amounting to Rs 13,566 crore during the last four financial years under the black money law to deal with undisclosed foreign income and assets.
4. The Supreme Court of India, in the case of Ecom Gill Coffee Trading Private Limited, held that a dealer claiming Input Tax Credit (‘ITC’) ought to prove and establish actual physical movement of goods and genuineness of the transaction. To establish the same, the Court observed that the dealer should furnish the name and address of the selling dealer, details of the vehicle which has delivered the goods, payment of freight charges, acknowledgement of taking delivery of goods, tax invoices and payment particulars etc.
5. Reserve Bank of India (RBI) has directed all banks to keep their branches open till March 31 for annual closing.
6. According to The Ministry of Company Affairs (MCA) notification dated March 24, 2021 (Companies (Accounts) Amendment Rules, 2021), every company that uses accounting software to maintain its books of account shall use only Accounting Software that has a feature of recording an - Audit Trail of each and every transaction, Creating an edit log of each change made in books of account along with the date when such changes were made. Ensuring that the audit trail cannot be disabled.
*Regards*
*Team IndiaTaxLaws*
1. The Income Tax Department has launched a mobile app AIS for Taxpayers Install & view TDS etc https://play.google.com/store/apps/details?id=io.lntinfotech.AIStaxpayer
2. CIT(E) does not have authority to condone any delay in submitting an application for approval under section 10(23C)(vi). – [Manav Rachna Education Society v. CIT (Exemptions) [2023] 148 taxmann.com 24 (ITAT Raipur)]
3. Income tax department raised tax demands amounting to Rs 13,566 crore during the last four financial years under the black money law to deal with undisclosed foreign income and assets.
4. The Supreme Court of India, in the case of Ecom Gill Coffee Trading Private Limited, held that a dealer claiming Input Tax Credit (‘ITC’) ought to prove and establish actual physical movement of goods and genuineness of the transaction. To establish the same, the Court observed that the dealer should furnish the name and address of the selling dealer, details of the vehicle which has delivered the goods, payment of freight charges, acknowledgement of taking delivery of goods, tax invoices and payment particulars etc.
5. Reserve Bank of India (RBI) has directed all banks to keep their branches open till March 31 for annual closing.
6. According to The Ministry of Company Affairs (MCA) notification dated March 24, 2021 (Companies (Accounts) Amendment Rules, 2021), every company that uses accounting software to maintain its books of account shall use only Accounting Software that has a feature of recording an - Audit Trail of each and every transaction, Creating an edit log of each change made in books of account along with the date when such changes were made. Ensuring that the audit trail cannot be disabled.
*Regards*
*Team IndiaTaxLaws*
Google Play
AIS for Taxpayers - Apps on Google Play
AIS is comprehensive view of taxpayer information displayed in Form 26AS.
*IndiaTaxLaws updates*
1. The Income Tax Department has launched the 'AIS for Taxpayers' mobile app. Now taxpayers can view their Annual Information Statement (AIS) and Tax Information Summary (TIS) easily. Simply register with your PAN number, authenticate via OTP sent on your mobile/email, and set a 4-digit PIN.
2. CBDT, vide Notification No. 14/2023 dated 21.03.2023 under Section 120, authorises the Principal Chief Commissioners of Income-tax (PCCIT) to issue orders for the exercise of powers and performance of functions by Commissioner of Income-tax (Appeals) [CIT(A)]; The Notification is effective from 01.04.2023.
3. Mumbai ITAT has settled in a recent order the contentious issue relating to determining the cost of acquisition and the indexed cost in case of inherited assets. It held that the indexed cost of acquisition has to be computed with respect to the year in which the initial owner first held the asset.
4. Last date to file Updated ITR for AY 2020-21 is 31.03.23. Don't miss this last chance! Updated ITRs for AY 2021-22 & 2022-23 can also be filed by 31.03.23 to avoid paying higher tax later. Pl refer to S. 139(8A) of IT Act, 1961.
*Regards*
*Team IndiaTaxLaws*
1. The Income Tax Department has launched the 'AIS for Taxpayers' mobile app. Now taxpayers can view their Annual Information Statement (AIS) and Tax Information Summary (TIS) easily. Simply register with your PAN number, authenticate via OTP sent on your mobile/email, and set a 4-digit PIN.
2. CBDT, vide Notification No. 14/2023 dated 21.03.2023 under Section 120, authorises the Principal Chief Commissioners of Income-tax (PCCIT) to issue orders for the exercise of powers and performance of functions by Commissioner of Income-tax (Appeals) [CIT(A)]; The Notification is effective from 01.04.2023.
3. Mumbai ITAT has settled in a recent order the contentious issue relating to determining the cost of acquisition and the indexed cost in case of inherited assets. It held that the indexed cost of acquisition has to be computed with respect to the year in which the initial owner first held the asset.
4. Last date to file Updated ITR for AY 2020-21 is 31.03.23. Don't miss this last chance! Updated ITRs for AY 2021-22 & 2022-23 can also be filed by 31.03.23 to avoid paying higher tax later. Pl refer to S. 139(8A) of IT Act, 1961.
*Regards*
*Team IndiaTaxLaws*
*IndiaTaxLaws Updates*
1. Calcutta High Court quashed an assessment order holding as classic example as to how assessment should not be made and observed that Standard Operating Procedure (SOP) should be followed in faceless assessment.
2. Delhi High Court sets aside order rejecting Assessee’s application under Section 270AA seeking immunity from penalty proceedings without affording the opportunity of being heard as mandated in Section 270AA(4); – [Rohit Kapur v. DCIT [TS-132-HC-2023(DEL)]
3. The Assessing Officer initiated reassessment proceedings just to verify the deposits and withdrawals from the bank account of the assessee. LAlchand Mehrumal Jagwani Vs. ITO, 11/12/2022, ITA.No.1240/Pune/ 2019 (ITAT Pune) (Favour of Assessee).
4. Government has plugged a loophole in the taxation of pan masala and assorted tobacco products, including cigarettes, by clearly defining the value - maximum retail price (MRP) - on which the GST compensation cess would apply on these demerit items.
*Regards*
*IncomeTaxLaws*
1. Calcutta High Court quashed an assessment order holding as classic example as to how assessment should not be made and observed that Standard Operating Procedure (SOP) should be followed in faceless assessment.
2. Delhi High Court sets aside order rejecting Assessee’s application under Section 270AA seeking immunity from penalty proceedings without affording the opportunity of being heard as mandated in Section 270AA(4); – [Rohit Kapur v. DCIT [TS-132-HC-2023(DEL)]
3. The Assessing Officer initiated reassessment proceedings just to verify the deposits and withdrawals from the bank account of the assessee. LAlchand Mehrumal Jagwani Vs. ITO, 11/12/2022, ITA.No.1240/Pune/ 2019 (ITAT Pune) (Favour of Assessee).
4. Government has plugged a loophole in the taxation of pan masala and assorted tobacco products, including cigarettes, by clearly defining the value - maximum retail price (MRP) - on which the GST compensation cess would apply on these demerit items.
*Regards*
*IncomeTaxLaws*
*IndiaTaxLaws updates*
1. CBDT notifies procedure for filing of application in Form 15C/15D for grant of nil TDS certificate u/s 195. Notification no. 1/2023, dated 29-03-2023. Section 195(3) of the Income-tax Act provides for the grant of a certificate to a person entitled to receive interest or other sums without deduction of tax at source.
2. Direct tax payments facilities have been migrated from OLTAS 'e-payment: Pay Taxes Online' to e-Pay Tax facility of E-Filing portal for ALL BANKS. Now All Direct Tax Payments will be done through E-Filing portal only.
3. Bombay High court has held that All Appellable Orders would not be implemented till Tribunal becomes Functional & has advised CBIC to issue directions accordingly - Rochem India P Ltd vs UOI - 148.
4. GST AMNESTY SCHEME ANNOUNCED: Maximum Late fee for Annual Return for FY 2017-18, 2018-19, 2019-20, 2020-21 or 2021-22 is Rs. 20,000 total (CGST + SGST) if it will be filed between 01/04/23 to 30/06/23.
5. CBIC extends time limit under section 73(10) of CGST Act, 2017 for issuance of order under section 73(9), for recovery of tax not paid or short paid or of input tax credit wrongly availed or utilised for financial 2017-18,2018-19 and 2019-20 as follows: vide Notification No. 09/2023–Central Tax Dated: 31st March, 2023 -
(i) for the financial year 2017-18, up to the 31st day of December, 2023 (From existing 30th September 2023)
(ii) for the financial year 2018-19, up to the 31st day of March, 2024 (From existing 31st December 2023)
(iii) for the financial year 2019-20, up to the 30th day of June, 2024 (From existing 31st March 2024)
*Regards*
*IndiaTaxLaws*
1. CBDT notifies procedure for filing of application in Form 15C/15D for grant of nil TDS certificate u/s 195. Notification no. 1/2023, dated 29-03-2023. Section 195(3) of the Income-tax Act provides for the grant of a certificate to a person entitled to receive interest or other sums without deduction of tax at source.
2. Direct tax payments facilities have been migrated from OLTAS 'e-payment: Pay Taxes Online' to e-Pay Tax facility of E-Filing portal for ALL BANKS. Now All Direct Tax Payments will be done through E-Filing portal only.
3. Bombay High court has held that All Appellable Orders would not be implemented till Tribunal becomes Functional & has advised CBIC to issue directions accordingly - Rochem India P Ltd vs UOI - 148.
4. GST AMNESTY SCHEME ANNOUNCED: Maximum Late fee for Annual Return for FY 2017-18, 2018-19, 2019-20, 2020-21 or 2021-22 is Rs. 20,000 total (CGST + SGST) if it will be filed between 01/04/23 to 30/06/23.
5. CBIC extends time limit under section 73(10) of CGST Act, 2017 for issuance of order under section 73(9), for recovery of tax not paid or short paid or of input tax credit wrongly availed or utilised for financial 2017-18,2018-19 and 2019-20 as follows: vide Notification No. 09/2023–Central Tax Dated: 31st March, 2023 -
(i) for the financial year 2017-18, up to the 31st day of December, 2023 (From existing 30th September 2023)
(ii) for the financial year 2018-19, up to the 31st day of March, 2024 (From existing 31st December 2023)
(iii) for the financial year 2019-20, up to the 30th day of June, 2024 (From existing 31st March 2024)
*Regards*
*IndiaTaxLaws*
*IndiaTaxLaws Updates*
1. CBDT Circular No.04/2023 :
Each year the employer shall seek information from each of its employees regarding their intended Tax Regime (Old or New u/s 115 BAC) and deduct tax accordingly
If intimation is not made by an employee then the default tax regime is the new regime u/s 115BAC. 3:This intimation would not amount to the exercising option, it means a person can select any regime at the time of filing ITR u/s 139(1).
2. Delhi ITAT; wherein it is held that the words 'business' and 'profession' are different and non-compete fee received prior to AY 2017-18 in relation to non-compete in a profession is not taxable under section 28(va), as the said section only covered non-compete in relation to business. following decision of SC in Vodafone.
3. Supreme Court quashes Gujarat High Court judgment and holds the amendment made to Section 153C with effect from Jun 1, 2015 to be applicable to search operations conducted prior to June 1, 2015; Observes that Section 153C was amended to remedy the mischief as Delhi High Court ruling in Pepsico India Holdings (P) Ltd. v. ACIT, – [ITO v. Vikram Sujitkumar Bhatia & Others [TS-165-SC-2023] – Date of Judgement : 06.04.2023.
4. Bombay High Court has held that capital gains on investments made before April 1, 2017 are eligible for tax waiver under the India-Mauritius double taxation avoidance agreement (DTAA), if a valid tax residency certificate (TRC) was produced.
5. RBI has decided to keep the repo unchanged at 6.5% in its bi-monthly monetary policy meeting held on April 06, 2023. Despite RBI holding the repo rate the overall hike within the last 11 months stands at 2.5%.
*Regards*
*Team IndiaTaxLaws*
1. CBDT Circular No.04/2023 :
Each year the employer shall seek information from each of its employees regarding their intended Tax Regime (Old or New u/s 115 BAC) and deduct tax accordingly
If intimation is not made by an employee then the default tax regime is the new regime u/s 115BAC. 3:This intimation would not amount to the exercising option, it means a person can select any regime at the time of filing ITR u/s 139(1).
2. Delhi ITAT; wherein it is held that the words 'business' and 'profession' are different and non-compete fee received prior to AY 2017-18 in relation to non-compete in a profession is not taxable under section 28(va), as the said section only covered non-compete in relation to business. following decision of SC in Vodafone.
3. Supreme Court quashes Gujarat High Court judgment and holds the amendment made to Section 153C with effect from Jun 1, 2015 to be applicable to search operations conducted prior to June 1, 2015; Observes that Section 153C was amended to remedy the mischief as Delhi High Court ruling in Pepsico India Holdings (P) Ltd. v. ACIT, – [ITO v. Vikram Sujitkumar Bhatia & Others [TS-165-SC-2023] – Date of Judgement : 06.04.2023.
4. Bombay High Court has held that capital gains on investments made before April 1, 2017 are eligible for tax waiver under the India-Mauritius double taxation avoidance agreement (DTAA), if a valid tax residency certificate (TRC) was produced.
5. RBI has decided to keep the repo unchanged at 6.5% in its bi-monthly monetary policy meeting held on April 06, 2023. Despite RBI holding the repo rate the overall hike within the last 11 months stands at 2.5%.
*Regards*
*Team IndiaTaxLaws*
*IndiaTaxLaws Updates*
*E-invoice Reporting update*
1. Government has decided to impose a time limit on reporting old invoices on the e-invoice IRP portals for taxpayers with AATO greater than or equal to 100 crores.
2. To ensure timely compliance, taxpayers in this category will not be allowed to report invoices older than 7 days on the date of reporting.
3. Please note that this restriction will only apply to the document type invoice, and there will be no time restriction on reporting debit/credit notes.
4. For example, if an invoice has a date of April 1, 2023, it cannot be reported after April 8, 2023. The validation system built into the invoice registration portal will disallow the user from reporting the invoice after the 7-day window. Hence, it is essential for taxpayers to ensure that they report the invoice within the 7-day window provided by the new time limit.
5. It is further to clarify that there will be no such reporting restriction on taxpayers with AATO less than 100 crores, as of now.
6. In order to provide sufficient time for taxpayers to comply with this requirement, which may require changes to your systems, we propose to implement it from 01.05.2023 onwards.
7. The Finance Ministry has exempted the CBSE from paying income tax on earnings from examination fees, sale of text books and publications, besides others. The I-T exemption has been given retrospectively from the financial year 2020-2021 and will continue in the current fiscal and the next financial year (2024-25).
*Regards*
*IndiaTaxLaws*
*E-invoice Reporting update*
1. Government has decided to impose a time limit on reporting old invoices on the e-invoice IRP portals for taxpayers with AATO greater than or equal to 100 crores.
2. To ensure timely compliance, taxpayers in this category will not be allowed to report invoices older than 7 days on the date of reporting.
3. Please note that this restriction will only apply to the document type invoice, and there will be no time restriction on reporting debit/credit notes.
4. For example, if an invoice has a date of April 1, 2023, it cannot be reported after April 8, 2023. The validation system built into the invoice registration portal will disallow the user from reporting the invoice after the 7-day window. Hence, it is essential for taxpayers to ensure that they report the invoice within the 7-day window provided by the new time limit.
5. It is further to clarify that there will be no such reporting restriction on taxpayers with AATO less than 100 crores, as of now.
6. In order to provide sufficient time for taxpayers to comply with this requirement, which may require changes to your systems, we propose to implement it from 01.05.2023 onwards.
7. The Finance Ministry has exempted the CBSE from paying income tax on earnings from examination fees, sale of text books and publications, besides others. The I-T exemption has been given retrospectively from the financial year 2020-2021 and will continue in the current fiscal and the next financial year (2024-25).
*Regards*
*IndiaTaxLaws*
*IndiaTaxLaws Updates*
1. CBDT has released key statistics relating to Direct Tax collections and administration and Time-Series data as updated upto F.Y. 2021-22. Net Direct Tax Collections have increased by 121.18% from Rs. 6,38,596 crore in F.Y. 2013-14 to Rs. 14,12,422 crore in F.Y. 2021-22.
2. Net Direct Tax Collections have increased by 160.17% from Rs. 6,38,596 crore in F.Y. 2013-14 to Rs. 16,61,428 crore (provisional) in F.Y. 2022-23.
3. Gross Direct Tax Collections have increased by over 126.73% in F.Y. 2021-22, reaching a figure of Rs. 16,36,081 crore from Gross Direct Tax Collections of Rs. 7,21,604 crore in F.Y. 2013-14.
4. Gross Direct Tax Collections have increased by over 172.83% in F.Y. 2022-23, reaching a figure of Rs. 19,68,780 crore (provisional) from Gross Direct Tax Collections of Rs. 7,21,604 crore in F.Y. 2013-14.
5. Direct Tax Buoyancy at 2.52 in F.Y. 2021-22 is the highest Direct Tax Buoyancy recorded over the last 15 years. Direct Tax to GDP ratio has increased from 5.62% in F.Y. 2013-14 to 5.97% in F.Y. 2021-22.
*Regards*
*IndiaTaxLaws*
1. CBDT has released key statistics relating to Direct Tax collections and administration and Time-Series data as updated upto F.Y. 2021-22. Net Direct Tax Collections have increased by 121.18% from Rs. 6,38,596 crore in F.Y. 2013-14 to Rs. 14,12,422 crore in F.Y. 2021-22.
2. Net Direct Tax Collections have increased by 160.17% from Rs. 6,38,596 crore in F.Y. 2013-14 to Rs. 16,61,428 crore (provisional) in F.Y. 2022-23.
3. Gross Direct Tax Collections have increased by over 126.73% in F.Y. 2021-22, reaching a figure of Rs. 16,36,081 crore from Gross Direct Tax Collections of Rs. 7,21,604 crore in F.Y. 2013-14.
4. Gross Direct Tax Collections have increased by over 172.83% in F.Y. 2022-23, reaching a figure of Rs. 19,68,780 crore (provisional) from Gross Direct Tax Collections of Rs. 7,21,604 crore in F.Y. 2013-14.
5. Direct Tax Buoyancy at 2.52 in F.Y. 2021-22 is the highest Direct Tax Buoyancy recorded over the last 15 years. Direct Tax to GDP ratio has increased from 5.62% in F.Y. 2013-14 to 5.97% in F.Y. 2021-22.
*Regards*
*IndiaTaxLaws*
*IndiaTaxLaws Updates*
1. Supreme Court, in the case of M/s. US Technologies International Pvt. Ltd.(Civil Appeal No. 7934 of 2011) has ruled on whether penalty under section 271C of the Income-tax Act, can be levied in case of belated remittance of TDS. The Supreme Court held that no penalty under section 271C can be levied merely for delayed payment of TDS.
2. The assessee obtained an unsecured loan from four companies and failed to produce directors during Assessment. Amit Tyagi Vs. DCIT, ITA No.757/Del/2017, 05.04.2023 (ITAT Delhi) (Favour of Assessee)
3. CBIC is likely to soon introduce a system of publishing daily currency exchange rates on the integrated customs portal, replacing the existing system of notifying rates fortnightly. The move would help capture daily exchange rate fluctuations and help importers and exporters to precisely calculate customs duties based on daily exchange rate.
4. MSMEs finding it difficult to access loans to purchase electric vehicles (EVs) for their day-to-day operations and commercial use will now be able to access credit directly from SIDBI, the principal financial institution for MSMEs in India.
*Regards*
*Team IndiaTaxLaws*
1. Supreme Court, in the case of M/s. US Technologies International Pvt. Ltd.(Civil Appeal No. 7934 of 2011) has ruled on whether penalty under section 271C of the Income-tax Act, can be levied in case of belated remittance of TDS. The Supreme Court held that no penalty under section 271C can be levied merely for delayed payment of TDS.
2. The assessee obtained an unsecured loan from four companies and failed to produce directors during Assessment. Amit Tyagi Vs. DCIT, ITA No.757/Del/2017, 05.04.2023 (ITAT Delhi) (Favour of Assessee)
3. CBIC is likely to soon introduce a system of publishing daily currency exchange rates on the integrated customs portal, replacing the existing system of notifying rates fortnightly. The move would help capture daily exchange rate fluctuations and help importers and exporters to precisely calculate customs duties based on daily exchange rate.
4. MSMEs finding it difficult to access loans to purchase electric vehicles (EVs) for their day-to-day operations and commercial use will now be able to access credit directly from SIDBI, the principal financial institution for MSMEs in India.
*Regards*
*Team IndiaTaxLaws*