Posts in Category: income tax

The Larger Purpose of Demonetisation (#NoteBandi) was to move INDIA from a Tax Non-compliant society to a Compliant society – Finance Minister

 

Demonetisation (#NoteBandi) and its impact on Tax collection and Formalisation of the Economy – Sh. Arun Jaitley

The Reserve Bank has twice released its reports stating that the demonetised Notes of `500 and `1000 have been substantially deposited in the Banks.  A widely stated comment has been that just because most of the currency came back into the Banks, the object of Demonetisation has not succeeded.

Was the invalidation of the Non-deposited currency the only object of demonetisation?  Certainly Not.  The larger purpose of demonetisation was to move INDIA from a Tax Non-compliant society to a compliant society.  This necessarily involved the formalisation of the Economy and a blow to the black money.

 

How has this been achieved?


Remarkable increase in Filing of Income Tax Return till 31st August 2018 – 5.42 Crores ITRs Filed as compared to 3.17 Crore upto 31st August 2017

Filing of Income Tax Returns registers an upsurge of 71% upto 31st August,2018

There has been a marked improvement in the number of Income Tax Returns(ITRs) filed during FY 2018 (upto 31/08/2018, the extended due date of filing) compared to the corresponding period in the preceding year. The total number of ITRs e-filed upto 31/08/2018 was 5.42 crore as against 3.17 crore upto 31/08/2017, marking an increase of 70.86%. Almost 34.95 lakh returns were uploaded on 31/08/2018 itself, being the last date of the extended due date of filing of ITRs.

A remarkable increase is seen in the number of ITRs in 2 categories ie ITRs filed by salaried Individuals (ITR-1& 2) as also those availing the benefit of the Presumptive Taxation Scheme( ITR-4).

54% Growth in Salaried ITR’s

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Director of a company arrested for evasion of Service Tax

Officers of CGST Delhi North Commissionerate have arrested one Director of a Company for evasion of Service Tax. The Company had collected more than Rs. 3 Crores as Service Tax from its clients but had not deposited the same with the Government Exchequer.

The power to arrest is provided under Section 91 of the Finance Act 1994 for violating the provisions of Section 89 of the Finance Act 1994 read with Section 174 of CGST Act, 2017. He was produced in the Court of Hon’ble CMM, Patiala House Court and has been sent to Judicial Custody for 15 days. Further investigations are being conducted and the amount of Service Tax evaded is bound to increase.

Government wants to assure taxpayers that compliant taxpayers donot run the risk of facing such punitive action

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Cabinet approves renewal of MoU between the Institute of Chartered Accountants of India & Saudi Organisation for Certified Public Accountants

The Union Cabinet chaired by the Prime Minister Shri Narendra Modi has given its ex-post facto approval for the Memorandum of Understanding (MoU) signed in 2014 and approval for renewal of MoU between the Institute of Chartered Accountants of India (ICAI) & Saudi Organisation for Certified Public Accountants (SOCPA) in Saudi Arabia to promote mutual co-operation framework in the areas of Corporate Governance, Technical Research & Advice, Quality Assurance, Forensic Accounting, issues for Small and Medium Sized Practices (SMPs), Islamic Finance, Continuing Professional Development (CPD) and other subjects of mutual interest related to Accountancy profession.

Major impact:

The aim is to work together to develop a mutually beneficial relationship inthe best interest of ICAI members, students and their organizations.

The MoU will provide an opportunity to the ICAI members to

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2nd Drive to be launched by MCA for striking off 2,25,910 Companies due to non-filing of financial statements – Final Opportunity of being heard will be given

During Financial Year 2017-18 ROCs identified and removed from the register of companies the names of 2,26,166 companies & 3,09,619 directors disqualified –

In a drive carried out under the supervision of the Ministry of Corporate Affairs in the Financial Year 2017-18 the Registrars of Companies (ROCs) identified and removed from the register of companies under Section 248 of the Companies Act, 2013 the names of 2,26,166 companies, which had not filed their Financial Statements or Annual Returns for a continuous period of two or more financial years. As many as 3,09,619 directors were also disqualified u/s.164(2)(a) read with Section 167(1) of the Companies Act, 2013 for non-filing of Financial Statements or Annual Returns for a continuous period of immediately preceding 3 financial years (2013-14, 2014-15 & 2015-16).

With the

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Pradhan Mantri Vaya Vandana Yojana (PMVVY) – Government has launched the ‘Pradhan Mantri Vaya Vandana Yojana (PMVVY)’ to provide social security during old age.

Pradhan Mantri Vaya Vandana Yojana (PMVVY)Government has launched the ‘Pradhan Mantri Vaya Vandana Yojana (PMVVY)’ to provide social security during old age.

Government has launched the ‘Pradhan Mantri Vaya Vandana Yojana (PMVVY)’ to provide social security during old age and to protect elderly persons aged 60 years and above against a future fall in their interest income due to uncertain market conditions. The scheme enables old age income security for senior citizens through provision of assured pension/return linked to the subscription amount based on government guarantee to Life Insurance Corporation of India (LIC).

The scheme provides an assured return of 8% per annum for 10 years. The differential return, i.e. the difference between returngenerated by LIC and the assured return of 8% per annum would be borne by Government

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No Income Tax Return can be filed after 31st March 2018 – Income Tax Offices to Remain Open on 29th, 30th and 31st March, 2018

QWho are required to file Income tax return as per the provisions of Income Tax Act,1961?

A – Following persons are mandatorily required to file their Income tax return within the due date –

1. All companies Registered under Companies Act,1956 or Companies Act,2013

2. All Partnership Firms registered under The Partnership Act,1932

3. All LLPs (Limited Liability Partnership) registered under LLP Act 2008

4. Trust, Associations and Political parties (Whose income prior to claim of exemptions exceeds the minimum amount chargeable to Tax)

5. Individual and Hindu Undivided Family (HUF) having Income more than Rs. 2,50,000 during the relevant financial Year. However for Senior citizen having age of 60 years upto 80 Years its threshold limit is Rs.3,00,000 and senior citizens above 80 Years the base limited for filing of ITR

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