Hello Readers,
Greetings of the Day ! 🙏
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Today's Word of Wisdom -
You don't drown by falling in the water. You drown by staying there & not making any efforts to swim.
Ego is lack of self respect. In any situation if we react aggressively or get hurt, it is our ego, and if we remain stable and have faith in ourselves, it is self respect!
Happiness is an emotion which finds it's address. When you seek it for yourself. It cannot be found, But when you give it to others, It'll find its way back to you.
असफलताएं और गलतियां आशीर्वाद और वरदान हैं, यह जितने मिले उतना अच्छा है।
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26 December 2017 Updates 📄📄📄
GST #EWAY BILL Analysis
1. Who shall furnish details : Every registered person who causes movement of goods shall furnish information relating to the said goods in Part A of FORM GST EWB-01, electronically, on the common portal, before commencement of such movement.
2. When to submit: If the consignment value of such goods exceeds 50,000/-. Option is given to generate and carry e-way bill even if the consignment value is less than 50,000/-
3. When to submit: If movement is in relation to a supply or for reasons other than supply or due to inward supply from an unregistered person. For example, if movement is for:
Supply;Export or Import;Job Work;Removal in SKD or CKD form;Line Sales;Sales Return;Exhibition or fairs ;For own use (stock transfers etc.)
4. Supply by unregistered person: In case of supply by an unregistered person to a registered recipient, then the movement shall be said to be caused by registered recipient if such recipient is known at the time of commencement of the movement of goods.
5. When not required: Generation of e-way bill is not required in the following cases:
1. In case where the goods are transported for a distance of less than 10 Kms intra-state from the place of business of the consignor.
2. Where the goods being transported are specified in annexure to the Notification no 27/2017. (mainly it covers category of goods that are exempted/ nil rated)
3. Where the goods are being transported by a non-motorised conveyance;
4. Where the goods are being transported from the port, airport, air cargo complex and land customs station to an inland container depot or a container freight station for clearance by Customs; or
5. In respect of movement of goods within such areas as are notified under rule 138(14)(d) of the Goods and Services Tax Rules of the concerned State.
6. Who should enter details in Part B and Generate the E-way bill:
If goods are transported by the registered person himself as a co
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PIL on Double Taxation Issue: Delhi HC Issues Notices to Govt, GST Council & CBEC
Read more at: http://www.taxscan.in/pil-double-taxation-issue-delhi-hc-issues-notices-govt-gst-council-cbec/15368/
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GST On Tour Operators And Air Travel Agents*
GST @ 5% has been applied on services of tour operator without benefit of Input Tax Credit (ITC) on goods and services. 5% GST will be payable on the gross amount charged by the tour operator from the customer. This GST is uniform for all services – package tours, hotel accommodation only etc.
The expression “tour operator” is defined in entry No. 23 of notification No. 11/2017-Central Tax (Rate) dated 28.6.2017 as under:-
“Tour operator” means any person engaged in the business of planning, scheduling, organizing, arranging tours (which may include arrangements for accommodation, sight-seeing or other similar services) by any mode of transport and includes any person engaged in the business of operating tours”.
In the case of Intra-State supply of tour operator’s services, CGST @2.5% and SGST @ 2.5% will be levied making the total tax as 5%. On the contrary, in the case of Inter-State supply of services, 5% IGST will apply on services of tour operators, without ITC benefit.
The concessional GST rate of 5% is subject to meeting the following conditions:-
(i) Input Tax Credit on goods and services used in supplying output services of tour operator has not been taken.
(ii) The invoice / bill issued for supply of output service indicates that it is inclusive of charges of accommodation and transportation required for such a tour. This narration can be given by way of footnote in the invoice.
In case any of the above conditions are not met, the benefit of concessional rate of 5% would not apply and in that event the Department may demand full 18% GST from the tour operator.
While paying 5% GST, tour operators will not claim CGST, SGST and IGST charged by hotels, transporters, airlines, restaurants, travel agents, guide, house boats, cruise ships, luxury trains, monument entry fees, joy rides etc. as input tax credit. Secondly, GST charged by counterpart tour operator will also not be available as input tax credit to the tour operator.
Services provided by house boats (moving) in Kerala and cruise ships, in the opinion of our Association, are also covered as Tour Operators Services. In both these cases, accommodation, food, transportation, sightseeing and other value added services are provided as combo package.
The services provided by static house boats (in Kashmir) by way of providing accommodation and food to the tourists are not covered within the ambit of tour operators as such. These services are akin to services of hotels, inns, guest houses, campsites and other commercial places for residential or lodging purposes. The rate of GST in these cases will be linked with the declared tariff per day.
In the case of camping, the service providers providing services such as tent, shamiana, catering etc. will get classified under the respective heads and not as tour operators. In case a tour operator purchases goods and services from unregistered vendors, GST needs to be paid by the tour operator on reverse charge principle.
Tours conducted through luxury trains like Maharaja Express, Deccan Odyssey, Heritage of India etc. are also covered as Tour Operators Services. Services such as accommodation, attached bathroom, meals, dining cars, bar, lounge, live TV, Wi-Fi, saloon facility, guide, local sightseeing at specified stoppage points etc.
are available in these luxury trains.
GST ON AIR TRAVEL AGENTS
As a general rule, air travel agents are required to pay 18% GST on commission earned from airlines and also service charges, handling charges etc. (by whatever name called) collected from the customers / passengers. There is no bar on air travel agents in availing ITC on input services to support the output services of travel agents.
As an alternate to GST payment in the above manner, rule 32 (3) of CGST rules, 2017 permits an air travel agent to discharge GST at fixed percentage of basic fare on which commission is normal
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📺 *Updates*
➡1. Sale of imported goods in customs bonded warehouse before clearance
Circular No. 46/2017-Customs dated 24-11-2017, issued by CBE&C.
➡2. Incorporation of new company by director with an intention to sabotage goodwill was an act of oppression: NCLT
S. Radhakrishnan v. Hyderabad Pollution Controls Ltd.
➡3. Expenses incurred on director education not deductible without his commitment to serve company post-education
Hunumesh Realtors (P.) Ltd. v. Principal Commissioner of Income-tax, 10 Mumbai*
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Income Tax - time barring assessments - all the Income Tax Offices in Delhi shall remain open from 23 DEC 2017 to 31 DEC 2017 – CCIT, Delhi (Office Order/2017-18/524, dt.22.12.2017).
Delhi High Court order CBEC to Allow manual filing of GST advance ruling application till online facility made available: Sanjeev Sharma Vs. Union Of India & Ors.
No action can be taken for delayed GST Return filing if User ID and Password were not working. M/S Radhey Lal Jaiprakash Neadarganj Dadri Vs. State Of U.P. And 5 Others (Allahabad High Court)
GST*: CBEC amends Form GSTR-1, Form GST RFD-01, Form GST RFD-01 – Notification.No.70/2017-CT, dt.21.12.2017.
Properties of struck off companies from ROC can’t be used, operated, transferred or alienated until restored: Shri P.P. Chaudhary, Minister of State for Law & Corporate Affairs in written reply to a question in Lok Sabha on 22nd December, 2017.
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GST Gyan- Now the Dashboard have been updated for those who opted for Composition after 16th August 2017.
Now GSTR- 3Bs for the Jul-Sept quarter can be filed Without any late fees a consolidated GSTR 1 for the Jul-Sep quarter.
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6 last laws of Trading
* There is no alternative to experience.
= trading without experience will ultimately lead to experience!
* do ph.d. in one or two indicators and stick to them
= if two are not good enough, neither will be twenty-two!
= difference of result comes not from the number of indicators, but the depth of understanding.
* trade only and only when relaxed. stop trading when excited
= the excited will be trapped, the relaxed will be spared and rewarded.
* no risk, no profit
= risk is and will always be there. nothing, i repeat, nothing will happen till you take it.
* use your own head
= others are only confident confused compulsive liars as successful as you.
* take only that much risk which you can afford to bear
= excessive risk hypnotizes good trading
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In a petition under Section 10 of IBC Code the NCLT sanctioned Scheme holding that the Scheme shall be binding on Corporate Debtor employees members creditors guarantors and other stake holders. Reinstatement of employees pay 5% to all corporate creditors, payment of electricity dues in instalments and payment to financial creditors and court vacated moratorium. The three dissenting banks in resolving the bad debts required to be scrutinised by Banking Sector Regulator for which reference was ordered to be made by NCLT. K vs Panini Steel & Power Ltd MANU/NC/1688/2017.
The NCLT has allowed petition under Section 14 (1) seeking permission allowing conversion from public to private in view the fact that there are only seven shareholders and company does not wish to go public and company completing procedural formalities, allowed the company to convert from public to private. MANU/NC/1835/2017.
NCLT has observed that pendancy of notice under Section 13 (2) of SARFASEI Act by the bank for takeover of assets of borrower company and proceedings under Section 138 of NI ACT is no bar to filing of petition under Section 10 IBC Code by the company itself. Dreamland Realtor P Ltd MANU/NC/1827/2017.
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PIL on Double Taxation Issue: Delhi HC Issues Notices to Govt, GST Council & CBEC
( -----December 25, 2017 )
In a petition relating to double taxation issue on imported goods sold from one Customs-bonded warehouse to another, the Delhi High Court issued notices to the Union government, the GST Council and the Central Board of Excise and Customs (CBEC). Recently, the CBEC had issued a circular clarifying that any supply of imported goods taking place before the goods crosses Customs frontiers of India should be treated as an inter-state supply and such transaction for sale and transfer would be subject to IGST. This is without prejudice to the levy of Customs duty and collection of duty at ex-bound stage. Advocate Abhishek Rastogi, who appeared for the petitioners contended that raised fears of the government imposing integrated goods and services tax (GST) twice on these kinds of transaction. He pointed out another issue that the company paying the taxes will not be able to get input tax credit. Suppose a company imports goods and keeps it in its Customs-bonded warehouse. It then sells it to another company which keeps the goods in its own bonded warehouse. The second company will have to pay Customs duty and integrated GST (IGST) twice. Also since the first company has not paid duties, the second one will not get the credit. The matter listed for hearing on March 8.
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# *IT*: Income Tax - time barring assessments - all the Income Tax Offices in Delhi shall remain open from 23 DEC 2017 to 31 DEC 2017 – CCIT, Delhi (Office Order/2017-18/524, dt.22.12.2017).
# *GST*: CBEC extends the time limit for making a declaration in FORM GST ITC-01 till the 31 JAN 2018 – Noti.No.67/2017-CT, dt.21.12.2017.
# *GST*: CBEC extends the time limit for furnishing the return by a non-resident taxable person in FORM GSTR-5 for the months of Jul, Aug, Sep, Oct, Nov & Dec, 2017 till 31 JAN 2018 – Noti.No.68/2017-CT, dt.21.12.2017.
# *GST*: CBEC extends the time limit for furnishing the return by a by a person supplying online information and database access or retrieval services from a place outside India to a nontaxable online recipient in FORM GSTR-5A for the months of Jul, Aug, Sep, Oct, Nov & Dec, 2017 till 31 JAN 2018 – Noti.No.69/2017-CT, dt.21.12.2017.
# *GST*: CBEC amends Form GSTR-1, Form GST RFD-01, Form GST RFD-01 – Noti.No.70/2017-CT, dt.21.12.2017.
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THE MYSTERY OF WHITE BANDS OF LAWYERS IN INDIA
A band is a form of formal neckwear which is worn by some clergy or lawyers, with some forms of academic dress. They can be in the form of two rectangle pieces of cloth, usually in white, which is tied to the neck. Bands are normally plural because they need two similar parts and it did not come as one piece of cloth. The bands which are worn by clergy are called as preaching bands, tabs or Geneva bands; and those worn by lawyers are called as barrister's bands.
Bands vary from small white turn-down collars as well as ruffs to point lace bands. In the mid-17th century, plain white bands came to be the neckwear of all judges, barristers, students, sergeants, and clerical and Academicals men.
The bands are two strips of lightened Holland or similar material which falls down on the front collar. About 1640 plain linen 'falling bands', emerged from the falling collar replaced the ruff. The original form was a wide collar, tied with a lace in front. By 1680s they had moderated to the traditional form of 2 rectangles of linen tied at the throat.
Gowns and wigs gave a degree of secrecy to judges as well as lawyers. In our country, the Advocate's Act 1961 defines that it is mandatory for advocates appearing in the Supreme Court, subordinate courts, high courts, tribunals or any authorities to wear a dress which is sober and dignified.
The Advocates Act 1961 is an act passed by the Parliament of India which provides laws which govern the legal practitioners in India.
In our country this small piece of neckband worn by advocates symbolizes them. The normal black and white dress can be worn by anyone in our country. But the white neckband is only for the lawyers of our country.
The white neck bands have their origins in England. In older English Courts the lawyers at law used to wear white bands as a part of their uniform. These two pieces of white cloth joined together to form lawyer’s band and it represents the “Tablets Of the Laws” or “Tablets Of Stone”.
Bands are considered the emblem of the profession of advocacy and judiciary alike. Remember, it is not the black coat or white shirt that symbolizes an advocate but bands. One can see the symbol of bands as shown as a symbol for this profession for all practical purposes.
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CBDT issued Circular dt. 14/12/17 regarding Repeated Adjournments by Department Representatives before ITAT in view of Delhi High Court Order.
CBDT has amended the tax payers address rules and now the tax authorities can send notices to such taxpayers at any address which is mentioned and available elsewhere such as banks, post offices, insurance companies, other wings etc.
Clarification on Cash sale of agricultural produce by cultivators/agriculturist. Circular No. 27 of 2017, dated November 3, 2017 Not result in any disallowance of expenditure under section 40A(3) of the Act.
Govt introduced a bill in the Lok Sabha that would replace an ordinance wherein tax rates on various motor vehicles were hiked to a maximum of 25 per cent under GST.
Delhi High Court has issued notices to the Union government, the GST Council and the CBEC over the issue of double taxation on imported goods sold from one Customs bonded warehouse to another.
ICSI has issued a new set of Secretarial Standard in relation to the declaration and payment of Dividend on equity as well as on preference share capital in accordance with the provisions of the Companies Act, 2013.
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MCA
MCA has notified the Companies (Cost Records and Audit) Second Amendment Rules, 2017 which shall come into force retrospectively from the 1st day of July' 2017. The Rule 2(aa) of the principle rules has been substituted with the new rule w.r.t Customs Tariff Act Heading which shall mean the heading as referred to in the Additional Notes in the First Schedule to the Customs Tariff Act, 1975 (51 of 1975). Further, for the words "Central Excise Tariff Act Heading", occurring at any place in rules and in Form CRA - 2, Form CRA - 3 & Form CRA - 4 the words "Customs Tariff Act Heading" shall be substituted. It is further certified by the MCA that no person is being adversely affected by giving retrospective effect to this notification. The proposed amendments have been made on account of enactment of the Central Goods and Services Tax Act, 2017.
SEBI
SEBI has issued circular w.r.t Disclosure of holding of specified securities and Holding of specified securities in dematerialized form. Accordingly, the details of the shareholding of the promoters and promoter group, public shareholder and non-public non-promoter shareholder must be accompanied with PAN Number (first holder in case of joint holding). Further, the shareholding of the promoter and promoter group, public shareholder and non-public non-promoter shareholder is to be consolidated on the basis of the PAN and folio number to avoid multiple disclosures of shareholding of the same person. This Circular is issued in exercise of the powers conferred under Section 11 and Section 11A of the Securities and Exchange Board of India Act, 1992 read with Regulation 31 and Regulation 101(2) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
IBBI - Information Utilities
RBI has issued instruction for Submission of Financial Information to Information Utilitiesto all Scheduled Commercial Banks (Including RRBs), Small Finance Banks, Local Area Banks, All Co-operative Banks, All NBFCs and All India Financial Institutions. According to Section 215 of Insolvency and Bankruptcy Code (IBC), 2016, a financial creditor shall submit financial information and information relating to assets in relation to which any security interest has been created, to an information utility (IU) in such form and manner as may be specified by regulations. Chapter V of the Insolvency and Bankruptcy Board of India (Information Utilities) Regulations, 2017, which has come into force with effect from April 1, 2017, has specified the form and manner in which financial creditors are to submit this information to IUs. Further, as per Section 238 of the IBC, 2016 the provisions of the Code shall have effect, notwithstanding anything inconsistent therewith contained in any other law for the time being in force or any instrument having effect by virtue of any such law. The Insolvency and Bankruptcy Board of India (IBBI) has registered National E-Governance Services Limited (NeSL) as the first IU under the IBBI (IUs) Regulations, 2017 on September 25, 2017.
IBBI
IBBI has issued the guidelines which shall be known as Insolvency Professionals to act as Interim Resolution Professionals or Liquidators (Recommendation) Guidelines, 2017 through which IBBI has proposed to prepare a Panel of IPs for appointment as IRP or Liquidator and share the said Panel with AA. The AA may pick up any name from the Panel for appointment of IRP or Liquidator for a CIRP or Liquidation, as the case may be. The Panel will have Bench wise list of IPs based on the registered office of the IP. It will have a validity of six months and a new Panel will replace the earlier Panel every six months. The eligible IPs will be included in the Panel in order of the volume of ongoing assignments they have in hand. The IP who has the lowest volume of ongoing assignments will get a score of 100 and will be at the top of the Panel. The IP who has the highest volume of ongoing assignments will get a score of 0. The difference between the highest volume and the lowest volume will be equated to 100 and other IPs will get scores between 0 and 100 depending on volume of their ongoing assignments.
IBBI
The Insolvency and Bankruptcy Board of India (IBBI) has notified the IBBI (Grievance and Complaint Handling Procedure) Regulations, 2017. The regulations enable a stakeholder, namely, debtor, creditor, claimant, service provider, resolution applicant or any other person having an interest in an insolvency resolution, liquidation, voluntary liquidation or bankruptcy transaction under the Insolvency and Bankruptcy Code, 2016, to file a grievance or a complaint against a service provider, namely, insolvency professional agency, insolvency professional, insolvency professional entity or information utility. The regulations provide for an objective and transparent procedure for disposal of grievances and complaints by the IBBI, that does not spare a mischievous service provider, but does not harass an innocent service provider. A stakeholder may file a complaint in the specified form along with a fee of rupees two thousand and five hundred. A complaint needs to state the details of the alleged contravention of any provision of the Code, or rules, regulations, or guidelines made thereunder or circulars or directions issued by the IBBI by a service provider or its associated persons; details of alleged conduct or activity of the service provider or its associated persons, along with date and place of such conduct or activity, which contravenes the provision of the law; and details of evidence in support of alleged contravention.
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Abbreviations in GST
*CPIN* - Common Portal Indentification Number. (14 Digit, Valid for 15 days.)
*CIN* - Challan Indentification Number. (17 Digit where 14 Digit CPIN + 3 Digit Bank Code.)
*BRN* - Bank Reference Number ( Transaction Number)
*E-FPB* - Electronic Focal Point Branch.
*Major Heads* - IGST, CGST, SGST/UTGST, CESS
*Minor Heads* - Tax, Interest, Penalty, Fee, Others
*E-Ledgers* - E-Cash, E-Credit, E-Liability.
*GSPs* - GST Suvidha Providers
*ASPs* - Application Service Providers
*ITC* - Input Tax Credit
*ISD* - Input Service Distributor
*LUT* - Letter of Undertaking
*SEZ* - Special Economic Zone
*EOUs* - Export Oriented Units
*BoS* - Bill of Supply
*JsON* - JavaScript Object Notation
*P2P* - Principal to Principal
*P2A* - Principal to Agent
*B2B* - Busines to Business
*B2C* - Business to Customer
*B2BUR* - Business to Unregistered Business
*HSN* - Harmonized System of Nomenclature Code
*SAC* - Service Acconting Code
*EBN* - E-Way Bill Number
*EVC* - Electronic Verification Code
*ARA* - Application for Advance Ruling
*FC* - Facility Center
*UIN* - Unique Identification Number
*GSTIN* - Goods & Service Tax Identification Number
*UTGST* - Union Territory Goods & Service Tax
*CGST* - Central Goods & Service Tax
*SGST* - State Goods & Service Tax
*IGST* - Integrated Goods & Service Tax
*NEFT* - National Electronic Fund Transfer
*RTGS* - Real Time Gross Settlement
*SCN* - Show Casue Notice
*RCM* - Reverse Charge Mechanism
*OCPB* - Over the Counter Payment in Branches
*ARN* - Application Reference Number
*DSC* - Digital Signature Certificate
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The hurried launch of GST without proper infrastructure in place has made the indirect tax system more "primitive" than the VAT.
*The Centre, is using ledger for manual record of refunds due to lack of interface between the GST network and customs electronic date interchange (EDI) as well as the Directorate General of Foreign Trade (DGFT). *
Owing to the GST system, exporters were unable to get refunds and at least 10-15 per cent of their working capital was locked.
*"The delay in disbursing refunds means your capital is blocked. The committee's report said the (quantum of) blocked capital (stuck up with the government for refunds) could be between 15-20 per cent of the working capital. Declining of the working capital would lead to losing of jobs by the workers,"*
🙏Thank you🙏
Have a nice day