May 2, 2021
GST Revenue hit all time high in April 2021
GST collections in April touched a record high of over Rs 1.41 lakh crore, indicating sustained economic recovery, the Finance Ministry said on Saturday. The revenues for the month of April 2021 are 14 percent higher than Rs 1.23 lakh crore collected in March.
The gross GST revenue collected in the month of April 2021 is at a record high of Rs 1,41,384 crore, of which CGST is Rs 27,837 crore, SGST Rs 35,621 crore, IGST Rs 68,481 crore (including Rs 29,599 crore collected on import of goods) and cess Rs 9,445 crore (including Rs 981 crore collected on import of goods).
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May 2, 2021
Welcome judgement of Madras HighCourt
No GST can be demanded from Buyer for the fault of Seller of non-payment of taxes to the Govt.
The Hon’ble Madras High Court in M/s. D. Y. Beathel Enterprises v. the State Tax Officer quashed the order passed by the officer levying the entire tax liability on the purchasing dealer without involving the seller, where the payment of tax has been made by the purchasing dealer, but the same has not been remitted to the Government by the Seller.
Held, the omission on the part of the Seller to remit the tax should have been viewed very seriously and strict action ought to have been initiated against the seller and not buyer.
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Apr 27, 2021
ICAI has postphoned CA Final and CA Intermediate exams which are supposed to commence from 21st (Final) / 22nd (Intermediate) May 2021 due to COVID 19. Students are advised to visit the website www.icai.org for further udates. Fresh dates will be intimated to students.
Apr 03, 2021
Tax Alert! TDS to be levied at higher rate for non-filers of ITRs – Check details
For those who have not filed their income tax return (ITR) but their income is liable for TDS deduction, there will be a levy of TDS at a higher rate. And, in case one does not have the PAN, the rate of tax deduction will even be higher. This new TDS rule will be effective from July 2021 as per the Budget announced by the Finance Minister. Archit Gupta, Founder and CEO, ClearTax explains the new TDS rule, whom it will impact and who all are excluded from it.Ministry of Corporate Affairs defers mandatory audit trail rule by a year
The ministry of corporate affairs (MCA) has deferred by a year’s time its week-old order requiring companies to use only accounting software that have ‘audit trail’ and otherspecified features.
Earlier on March 24, the MCA had notified that starting April 1, 2021, companies must only use such accounting software that has a feature of recording audit trail for transactions, create logs of changes made to the books, and ensure that the audit trail feature cannot be disabled.
Posted on 10/03/2021
Appeals under any laws for which last date for filing falls between 15/03/2020 to 14/03/2021 can be filed on or before 90 days from 15/03/2021 : Hon'ble. Supreme Court of India
It means that proper officer cannot reject the Appeal application under any laws filed after 90 days from the date of order which falls between 15/03/2020 to 14/03/2021 as the same limitation of laws has been extended beyond 15/03/2021. The Hon'ble. Supreme Court of Indiia has directed the Central Govt. in this regard. A grace period has been given from 15.03.2021 for filing of cases without limitation.
The Hon’ble Supreme Court of India in Re: Cognizance for extension of limitation [Suo Motu Writ Petition (Civil) No.3 of 2020, decided on March 8, 2021] lifted the extension of the limitation period for filing of cases, granted by the Court vide Order dated March 23, 2020 on account of COVID-19 pandemic and the national lockdown which was extended from time to time and held as under:
· In computing the period of limitation for any suit, appeal, application or proceeding, the period from March 15, 2020 till March 14, 2021 shall stand excluded. Consequently, the balance period of limitation remaining as on March 15, 2020, if any, shall become available with effect from March 15, 2021.
· In cases where the limitation would have expired during the period between March 15, 2020 till March 14, 2021, notwithstanding the actual balance period of limitation remaining, all persons shall have a limitation period of 90 days from March 15, 2021. In the event the actual balance period of limitation remaining, with effect from March 15, 2021, is greater than 90 days, that longer period shall apply.
· The period from March 15, 2020 till March 14, 2021 shall also stand excluded in computing the periods prescribed under Sections 23 (4) and 29A of the Arbitration and Conciliation Act, 1996, Section 12A of the Commercial Courts Act, 2015 and provisos (b) and (c) of Section 138 of the Negotiable Instruments Act, 1881 and any other laws, which prescribe period(s) of limitation for instituting proceedings, outer limits (within which the court or tribunal can condone delay) and termination of proceedings.
· Directed the Government of India to amend the guidelines for containment zones. Further, stated that regulated movement will be allowed for medical emergencies, provision of essential goods and services, and other necessary functions, such as, time bound applications, including for legal purposes, and educational and job-related requirements.
Posted on 28/02/2021
CBIC has further extended the due date for filing GSTR 9 & 9C for F.Y. 2019-20 to 31/03/2021
(Earlier due date was 28/02/2021)
Posted on 09/01/2021
Gujarat HC request IT Dep to take decision on ITR and Audit Due date extension before 12 Jan 2021. See the order here
Posted on 30/12/2020
Some of the Compliance Due Dates extended by Ministry of Finance. For Press Release, Click Here
Why you are not getting IT refund for AY 2020-21 (FY 2019-20) yet?
In this concern, I-T Department tweeted “As part of our commitment to provide improved taxpayer services, we are moving to a new, technologically upgraded platform (CPC 2.0) for faster processing of ITRs. ITRs for AY 2020-21 will be processed on CPC 2.0. We thank you for your patience while we migrate to the new system."
Your I-T return will be processed at "CPC-Bengaluru" after e-verification / sending your acknowledgement to CPC.
I-T department is upgrading their Return Processing System called as CPC 2.0. Therefore, there is lag in implementing the system and all the returns filed pertaining to A.Y. 2020-21 (F.Y. 2019-20) will be processed in CPC 2.0.
You will get your Tax refund only when return got processed.
Posted on 31/08/2020
Don’t collect levy charges on electronic payments, says Finance Ministry
The Union Ministry of Finance has advised all the banks not to collect any charges on transactions or payments made through electronic mode, the Central Board of Direct Taxes (CBDT) said in a statement on Sunday.
According to the CBDT, some representations were made that some banks are imposing and collecting charges on transactions carried out through UPI.
A certain number of transactions were allowed free by these banks beyond which every transaction bears a charge, the CBDT noted.
“This is in violation of the Circular no 32/2019 dated December 30, 20219, which was issued by CBDT to clarify that based on section 10A of (Payment and Settlement System (PSS) Act, any charge including MDR (Merchant Discount Rate) shall not be applicable on or after January 1, 2020 on payments made through electronic modes,” the release said.
Hence, it said that the Ministry has advised the banks to immediately refund the charges collected, if any, on or after January 1, 2020, on transactions carried out using electronic mode prescribed under section 269SU of the IT Act and not to impose charges on any future transactions carried through electronic mode.
(Source : PDICAI, 31/08/2020)
Aatma Nirbhar Bharat Abhiyan Part 1, 2, 3 & 4
Posted on 16/05/2020
Aatma Nirbhar Abhiyan (PART-4)
Policy reforms for Fast track Investments
Upgradation of Industrial Infrastructure
Defence commodities Production - Make in India (FDI Limit Raised to 74%), Banning notified weapons & Others
Devlopement of effiecient Airspace mgmt-Reduce Flying Cost
More World class Airports through PPP
Measures taken to reduce airlines maintenance cost - Engine repairs unit to be set up in India
Posted on 16/05/2020
Aatma Nirbhar Abhiyan (PART-3)
For Agriculture : Amendments to Essential Commodities Act to enable better price realisation for farmers
Animal Husbandry : Additional Steps during COVID
For Fisheries
For Fisheries
Herbal Cultivation
Posted on 14/05/2020
Aatma Nirbhar Abhiyan (PART-2)
Highlights
For Farmers & Rural Economy
For Migrants and Urban Poors - Free Foodgrains etc;
For Laborers and Workers
One Nation-One Ration Card
Interest Subvention - Mudra Shishu Loan
Financial help to Street Vendors
Affordable Rental Housing Complex (ARHC) for Migrant Workers and Urban Poors
Affordable Hsg Scheme (ELSS) Extension
Posted on 13/05/2020
Aatma Nirbhar Abhiyan (PART -1)
For Business Units :
Collateral Free Loan to MSME Units for business (Total Cost : Rs. 3 Lakh Cr.)
Borrowings up to Rs.25 Cr. & Turnover up to Rs. 100 Cr. are eligible
4 Years of loan tenure. No need to pay principal amount for first 12 months. Only Interest will we charged.
Scheme can be availed till 31/10/2020. (Procedure to avail loan will be updated)
No guarantee fee, no fresh collateral
EPF Support for Business & Workers for 3 more months (Cost : Rs. 2,500 Cr)
Extended for the months June 2020 to Aug. 2020 (Earlier provided to March, April & May 2020)
Under Pradhan Mantri Garib Kalyan Package payment of 12 % of employer and 12% employee contributions was made into EPF accounts of eligible establishments.
statutory PF contribution of both employer and employee will be reduced to 10% (earlier 12%) each for all establishments covered by EPFO for next 3 months (June, July & Aug 2020).
CPSEs and State PSUs will however continue to contribute 12 as employer contribution.
For Taxpayers :
I-T Refund Release Immediately (Good News)
All pending refunds to charitable trusts and non corporate businesses professions including proprietorship, partnership, LLP and Co operatives shall be issued immediately.
TDS & TCS Rate Reduction (Cost : Rs. 50,000 Cr)
TDS (Other than Salary) and TCS Rates have been reduced to 25%. i.e. TDS rate for Contractors is currently 1%, revised rate will be 0.75%)
With effect from 14/05/2020 and will be in force until 31/03/2021 only.
Vivaad Se Vishwas Scheme Extended
Vivad se Vishwas Scheme for making payment without additional amount will be extended to 31/12/2020.
Income Tax Assessments Date Extended
Earlier Assessment Barring Date : 30/09/2020 is extended to 31/12/2020.
Earlier Assessment Barring Date : 31/03/2021 is extended to 30/09/2021
Relief to Contractors
Covers construction/ works and goods and services contracts
Covers obligations like completion of work, intermediate milestones etc. and extension of Concession period in PPP contracts.
Extension of up to 6 months (without costs to contractor ) to be provided by all Central Agencies (like Railways, Ministry of Road Transport & Highways, Central Public Works Dept, etc)
Government agencies to partially release bank guarantees, to the extent contracts are partially completed, to ease cash flows.
For Builders & Developers as well as Home buyers :
Extension of Registration and Completion Date of Real Estate Projects under RERA
Extend the registration and completion date suo moto by 6 months for all registered projects expiring on or after 25 th March, 2020 without individual applications. Regulatory Authorities may extend this for another period of upto 3 months, if needed.
Issue fresh ‘Project Registration Certificates’ automatically with revised timelines.
Extend timelines for various statuary compliances under RERA concurrently.
Benefit : These measures will de-stress real estate developers and ensure completion of projects so that homebuyers are able to get delivery of their booked houses with new timelines.
For MSME units :
MSME Definition changed - More Units will be included in MSME (Cost : Rs.6,750 Cr.)
Same definition for Manufacturing, Trading and Service Providers.
Additional criteria of turnover also being introduced.
Micro : Investment below Rs. 1 Cr. & Turnover below Rs.5 Cr.
Small : Investment between Rs. 1 Cr. to Rs. 10 Cr. & Turnover between Rs.5 Cr. to Rs. 50 Cr.
Medium : Investment between Rs. 10 Cr. to Rs. 20 Cr. & Turnover between Rs.50 Cr. to Rs. 100 Cr.
Subordinate Debt Facility (Cost :Rs.20,000 Cr)
Promoters of the MSME will be given debt by banks, which will then be infused by promoter as equity in the Unit.
Govt will provide a support of Rs 4 000 Cr to CGTMSE.
GoI will facilitate provision of Rs 20 000 cr as subordinate debt
Equity infusion for MSMEs through Fund of Funds (Cost Rs. 50,000 Cr)
Meaning : A Fund of Fund is a mutual fund scheme that invests in other mutual fund schemes. In this, the fund manager holds a portfolio of other mutual funds instead of directly investing in equities or bonds.
Fund of Funds with Corpus of Rs 10,000 crores will be set up.
FoF will be operated through a Mother Fund and few daughter funds.
Fund structure will help leverage Rs 50,000 cr of funds at daughter funds level.
Global tenders to be disallowed up to Rs 200 cr.
This will be a step towards Self Reliant India and support Make in India
Global tenders will be disallowed in Government procurement tenders up to Rs 200 crores.
This will also help MSMEs to increase their business.
Other MSME Incentives
e market linkage for MSMEs to be promoted to act as a replacement for trade fairs and exhibitions.
Fintech will be used to enhance transaction based lending using the data generated by the e marketplace.
Amount Receivables from Govt. to MSME will be released in 45 Days.
For NBFC, Hsg Finaance Corp & MFIs (Micro Finance Institution)
Special Liquidity Scheme for NBFC / Hsg Fin. Corp & MFIs (Cost : Rs. 30,000 Cr.)
Under this scheme investment will be made in both primary and secondary market transactions in investment grade debt paper of NBFCs/HFCs/MFIs. Will supplement RBI/Government measures to augment liquidity.
Securities will be fully guaranteed by Govt. of India.
This will provide liquidity support for NBFCs/HFC/MFIs and mutual funds and create confidence in the market.
Partial Credit Guarantee Scheme 2.0 (Cost : Rs. 30,000 Cr.)
Existing PCGS scheme to be extended to cover borrowings such as primary issuance of Bonds/ CPs (liability side of balance sheets) of such entities.
First 20 of loss will be borne by the Guarantor i.e. Government of India.
AA paper and below including unrated paper eligible for investment (esp relevant for many MFIs).
For Electricity Cos.
Funds provison for DESCOMs. (Cost : Rs. 90,000 Cr)
PFC/REC to infuse liquidity of Rs 90,000 cr to DISCOMs against receivables.
Central Public Sector Generation Companies shall give rebate to DISCOMs which shall be passed on to the final consumers (industries).
Loans to be given against State guarantees for exclusive purpose of discharging liabilities of DISCOMs to Power Generation Cos.
Posted on 06/05/2020
The CKP Co-op. Bank Mumbai's licence cancelled
RBI has cancelled The CKP Co-op. Bank Ltd' s licence. The bank can not continue it's operation from 1st May 2020. RBI has issued the order in this regard on 28/04/202. The Registrar of Co-op. Soc. Pune has also requested to begin the liquidation process. Bank has been asked to issue liquidation order and to appoint a liquidator for bank.
Why Licence Cancelled?
The reasons to cancel the bank's licence are that financial position is not sustainable and it is fond adverse. There is no plan for merger or revival plan. And also bank is not satisfying the minimum capital requirement and reserves. Very importantly, bank is not in a capacity to repay its present and future Depositors. Thus it's not complying with the RBI Act. It is found that affair of the bank has been detrimental to public interest.
What Next?
Prohibited to acceptance & repayment Deposit from Public
Prohibited to conduct of banking business
What is left for Depositors?
Consequence to liquidation, every depositor is entitled to get maximum monetary cap of Rs. 5,00,000/- from Deposit Insurance & Credit Guarantee Corporation (DICGC) as per the terms and conditions.
Posted on 05/05/2020
Awareness towards fake email towards GST Refunds :
CBIC has issued awareness messages and Do's & Don'ts regarding GST Refunds after the Dept. came to know about fraud email is circulating.
There are some fake messages are being circulated regarding issuance of GST Refunds online during COVID-19. The message says " Dear Taxpayers, Due to COVID-19 outbreak, Central Govt. has started Online Processing of GST Refund. Click Below to claim your Refund http://Onlinefilingindia.in"
CBIC and GSTIN have urged taxpayers not to respond such messages, websites or emails. such emails can ask for personal details. GSTIN has released Do's and Dont's to safeguard from fake messages on GST Refund.
