Monthly Archives: December 2015


THE GAZETTE OF INDIA EXTRAORDINARY PART II — Section 1 MINISTRY OF LAW AND JUSTICE (Legislative Department) New Delhi, the 29th December, 2015/Pausha 8, 1937 (Saka) The following Act of Parliament received the assent of the President on the 26th December, 2015, and is hereby published for general information:— THE NEGOTIABLE INSTRUMENTS (AMENDMENT) ACT, 2015… Read More »

Stay of demand in case of high pitched assessments

Held The tendency of making high pitched assessments by the Assessing Officer is not unknown and it may result in serious prejudice to the assessee and miscarriage of justice & sometimes may even result into insolvency or closure of the business if such power was to be exercised only in a pro-revenue manner. Hence, I… Read More »

Government directions for Pollution Control in Delhi and NCR

Government Issues Directions for Pollution Control and Improving Ambient Air Quality in Delhi and NCR   The Centre today issued directions, to all agencies falling under Delhi airshed area, under Section 18 of Air Act, 1981, to control air pollution and improve the Ambient Air Quality in Delhi and National Capital Region (NCR).   The directions… Read More »

Rs 5000 Cr aproved for Solar rooftops in India

A BIG BOOST FOR SOLAR ROOFTOPS IN INDIA Cabinet approves Rs.5000 crore for promotion of Solar Rooftops in the country The Cabinet Committee on Economic Affairs, chaired by the Prime Minister Shri Narendra Modi has approved the scaling up of budget from Rs, 600 crore to Rs. 5,000 crore for implementation of Grid Connected Rooftops… Read More »

Waste Management System mandatory in Hotels & Guest Houses

Provisions of Sewage Treatment Plant, Waste Management & Rainwater Harvesting System in Hotels & Guest Houses As enunciated in the respective guidelines issued by the Ministry of Tourism for approval/classification, the provisions with respect to Sewage Treatment plant, Waste Management system and Rainwater Harvesting system in the Starred hotels, Heritage Hotels, Guest Houses, as well… Read More »

EDLI benefit in case of Death of EPF Member

EDLI benefits  ( Employees Deposit Linked Insurance) under the Employees Deposit Linked Insurance Scheme 1976 are admissible to dependants of EPF members EDLI benefit in case of Death of Member before completing one year :- At present, in case of demise of a subscriber before completing one year of continuous service in the same establishment,… Read More »

Who are Covered under PF Act , Answered

 Employees’ Provident Fund and Miscellaneous Provisions Act 1952 Who are Covered under PF Act ? Employees’ Provident Fund and Miscellaneous Provisions Act 1952 is applicable to: Every establishment which is engaged in any one or more of the industries specified in Schedule I of the Act or any activity notified by Central Government in the… Read More »

PF Members can correct name in PF records

Question : How to  correct name in PF records ? EPFO has made a provision for change the name of EPF members in the application software. Members who wish to get their name to be changed in the EPF Database can apply for the same through their employer alongwith supporting documents. In this regard a circular… Read More »

Period of default of TDS for Interest recovery is from date of deductibility till date of actual payment of tax

SUPREME COURT OF INDIA Commissioner of Income tax, New Delhi v. Eli Lilly & Co. (India) (P.) Ltd.  S.H. KAPADIA AND AFTAB ALAM, JJ. CIVIL APPEAL NOS. 5114 OF 2007 AND OTHERS MARCH 25, 2009 A perusal of section 201(1) and section 201(1A) shows that both these provisions are without prejudice to each other. It… Read More »

No TDs on interest on FDR made on direction of Courts :CBDT

F. No. 279/Misc/140/2015-ITJ Government of India Ministry of Finance Department of Revenue Central Board of Direct Taxes Circular No. 23/2015 New Delhi Dated- 28th December, 2015 Subject: TDS under section 194A of the Act on interest on fixed deposit made on direction of Courts-regd Section 194A of Income Tax Act, 1961 (“the Act”) stipulates deductions… Read More »

Integrated Incorporation form of Companies

Integrated Incorporation Process of Companies Can the applicant file separate application for allotment of DIN, reservation of name etc  or he is required to apply under  Integrated Incorporation Process of Companies ? The facility to file integrated application for incorporation in Form INC-29 is available as an option to the process for separate applications for allotment of Director Identification… Read More »

Application for incorporation of companies

What is the form for filing application for incorporation of companies ? As per Rule – 12, Companies (Incorporation) Rules, 2014:- Application for incorporation of companies shall be filed in Form No.INC.2 (for One Person Company) and Form no. INC.7 (other than One Person Company) along with the fee as provided in the Companies (Registration offices and fees)Rules,… Read More »

No LPG subsidy if income exceeds 10 lakhs from Jan 2016

Benefit of LPG subsidy will not be available if the consumer or his/her spouse had taxable income of more than Rs Ten lakh in previous financial year At present, there are 16.35 crore LPG consumers in the country. With the implementation of the PAHAL Scheme (DBTL), the subsidy is being transferred directly to the Bank… Read More »

How many articles CA can train : ICAI Announcement

Institute of Chartered Accountants of India ANNOUNCEMENT Date: 21.12.2015 43. Engagement of Articled Assistants Subject to the provisions of these Regulations and subject to such terms and conditions, as the Council may deem fit to impose in this behalf, the members designated as an associate or a fellow, who has been in practice continuously, whether… Read More »

e-Sampark IT policy of Govt of India

MINISTRY OF COMMUNICATION AND INFORMATION TECHNOLOGY (Department of Electronics and Information Technology) Vide NOTIFICATION  F. No. 3 (46)/2015-EG-II New Delhi, the 3rd December, 2015 issued  Updation and Usage Policy for the Sampark Database (IT platform for Messages) Ver 1.0 What is e-Sampark ? The IT platform for Messages is an initiative under the “Digital India” programme of… Read More »

SEBI Open Offer exemption if increase in voting rights due to Sec 106 of Companies act

  SECURITIES AND EXCHANGE BOARD OF INDIA NOTIFICATION  No. SEBI/LAD-NRO/GN/2015-16/026.— Mumbai, the 22nd December, 2015 In the Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, in regulation 10, in sub-regulation (1), after clause (i) the following clause shall be inserted, namely:- “(j) increase in voting rights arising out of… Read More »

Govt notify Nongkhyllem Wildlife Sanctuary Ecosensitive Zone

MINISTRY OF ENVIRONMENT, FOREST AND CLIMATE CHANGE NOTIFICATION New Delhi, the 18th December, 2015 S.O. 3497(E).—The following draft of the notification, which the Central Government proposes to issue in exercise of the powers conferred by sub-section (1), read with clause (v) and clause (xiv) of sub-section (2) and sub-section (3) of section 3 of the… Read More »

DTAA of India with Macedonia

[Notification No. 94/2015/ F. No. 503/08/2004-FTD-I] Dated 21st December, 2015 In exercise of the powers conferred by section 90 of the Income-tax Act, 1961 (43 of 1961), the Central Government hereby directs that all the provisions of the said Agreement between the Government of the  Republic of India and the Government of the Republic of Macedonia… Read More »

Govt allows export of onion without any Minimum Export Price

MINISTRY OF COMMERCE & INDUSTRY  vide Notification No No. 29/2015-20 [F. No. 01/91/180/922/AM08/PC-III/Export Cell] Dated  the 24th December, 2015 allowed the Export of onion without any Minimum Export Price (MEP) Para 2 of Notification No. 26 dated 11.12.2015 is amended to read as: “Export of onion for the item description at Serial Number 51 & 52 of Chapter 7… Read More »

Income tax refund : common questions and answers

How does Income tax Refund arises  ? Refunds generally arise due to (i) Excess payment of tax by way of advance tax, tax deducted at source and tax paid on self-assessment in the context of assessment proceedings; (ii) refund can arise consequent to relief in appellate proceedings; and (iii) there could be cases of direct refunds,… Read More »

CA held guilty of misconduct when he submitted forged income tax return to bank for taking loan

Facts of the Case The complainant-bank sanctioned a loan of Rs. 1,84,000 on the request of the respondent relying on the bona fides and authenticity of the income-tax returns submitted by the respondent to the complainant-bank which were forged and fabricated. The respondent intentionally submitted the forged and fabricated income-tax returns to induce the complainant-bank… Read More »

No bail if no grounds available for believing that applicant not guilty of offence under section 45 of the Prevention of Money Laundering Act

HIGH COURT OF GUJARAT Afroz Mohmad Hasanfatta v. Deputy Director MS. HARSHA DEVANI, J. CRIMINAL MISC. APPLICATION (FOR REGULAR BAIL) NO. 17000 OF 2014 OCTOBER  5, 2015 P.M. Thakkar, Sr. Advocate and R.J. Goswami, Advocate for the Applicant. Devang Vyas and Ms. Trusha K. Patel, Advocate for the Respondent. JUDGMENT 1. By this application under… Read More »

Assessee not required to prove genuineness /credit worthiness of sub-creditor,

Summary of Decision As per Gauhati High Court inNemi Chand Kothari v. Commissioner of Income Tax (2003) 264 ITR 254 :- Section 106 of the Evidence Act makes the Assessee liable to disclose only the source(s) from where he has himself received the credit and it is not the burden of the Assessee to show… Read More »

Dera is not a deemed trust, Dera Mukhi Income Taxable if no charitable activities carried out u/s 2(15)

Facts of the Case The appellant case was selected for scrutiny. The Assessing Officer made an addition of Rs. 1,21,67,653/- by treating the bank deposits as his income from profession and vocation while, inter alia, disallowing the expenses towards insurance and 1/5th expenses towards telephone, travelling and vehicle etc. amounting to Rs. 6,12,725/- besides, adding back… Read More »

Business Responsibility report by Top 500 listed companies


CBDT Instructions on applicability of MAT on foreign companies

Instruction No. 18/2015 F.No.153 /12/2015-TPL Government of India Ministry of Finance Department of Revenue Central Board of Direct Taxes (TPL Division) New Delhi, Dated- 23rd December, 2015 Subject: Applicability of Minimum Alternate Tax (MAT) on foreign companies for the period prior to 1.04.2015-reg On the issue of applicability of Minimum Alternate Tax (MAT) under section… Read More »

Now Email ID of Income Tax officers on Notices of departments

F.No.Dir. (Hqrs.)/CH(DT)/29/2015/2030 GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF REVENUE CENTRAL BOARD OF DIRECT TAXES North Block, New Delhi, Dated : 15/12/2015 To 1. All Members of CBDT 2. All Pr. CCsIT (CCA)s CBDT 3. All Pr. DGsIT CBDT 4. JS (Admin) CBDT Subject: Facilitating Taxpayers’ electronic interface with the Department – reg.- Sir/… Read More »

Guide on how to file Income Tax Return

 File Income Tax Return 1.  Register yourself to file Income Tax Return Register yourself on the website . Create your account .Permanent Account Number (PAN) will be your user ID. 2. Check 26AS to file Income Tax Return  your tax credit statement — View Form 26AS . The statement will reflect the taxes deducted and actually deposited… Read More »

Place of effective management Draft Guidelines of CBDT

F. No. 142/11/2015-TPL Government of India , Ministry of Finance ,Department of Revenue ,Central Board of Direct Taxes Dated: 23rd December, 2015 issued  Draft Guiding Principles for determination of Place of Effective Management (POEM) of a Company. Why place of effective management  for Companies ? Section 6(3) of the Income-tax Act, 1961, prior to its… Read More »

Exchange pre-2005 banknotes before June 30, 2016

RBI/2015-16/275 DCM (Plg) No.G-8/2331/10.27.00/2015-16 December 23, 2015 The Chairman / Managing Director / Chief Executive Officer All Scheduled Commercial Banks Primary (Urban) Co-operative Banks / RRBs Madam / Dear Sir, Withdrawal of all old series of Banknotes issued prior to 2005 Please refer to our circular DCM (Plg) No.G-15/5486/10.27.00/2014-15 dated June 26, 2015 and the… Read More »

Insurance Companies to Comply Foreign Account Tax Compliance Act

Registration and submission of information to CBDT for compliance with obligations under Foreign Account Tax Compliance Act (FATCAI/ Common Reporting Standards(CRS) 1. The Authority, vide circular dt. 31.12.2014, had advised all insurers (excluding GIC) to get themselves registered with the United States Internal Revenue Service (US-IRS) and obtain a Global Intermediary Identification Number (GIIN), in… Read More »

Reporting of Compliance for Indian Ownership and Control by Insurance Companies

Attention is drawn to the Guidelines on Indian Owned and Controlled issued by the Authority Ref. IRDA/F&A/GDL/GLD/180/10/2015 on the 19th October, 2015. The Guidelines envisage confirmation of compliance with the criteria of Indian Ownership and Control by all the Indian Insurance Companies within a period of three months, i.e. by the 18th of January, 2016.… Read More »

Why Should I buy Travel Insurance ?

Travel Insurance Why Should I buy Travel Insurance ? Following are some  reasons for buying Travel Insurance You have to cut your trip short because of illness You have to cancel your nonrefundable trip because a family member had an accident Your flight is delayed overnight because of bad weather, and you need a hotel… Read More »

Steps before buying Life Insurance Policy

Steps For buying Life Insurance Policy   Step 1 : What is my financial goal which i wants to meet from Life Insurance ? Your objective  may be :- Protection or financial security, saving for your children’s education, Retirement Saving ownership of some valuable assets, or Marriage of Your Daughter You have to do the cost benefit… Read More »

IRDA regulations for Issuance of Capital by Indian Insurance Companies

Insurance Regulatory and Development Authority of India (Issuance of Capital by Indian Insurance Companies transacting other than Life Insurance Business) Regulations, 2015 Notification No [ADVT-III/4/Exty./161/15(292)] Ref No F. No. IRDAI/Reg/21/111/2015.—  Dated   15th December, 2015  What is the approval requirement for issuance of Shares by by Indian Insurance Companies transacting other than Life Insurance Business ?… Read More »