31 August 2018 News

31st August 2K18

Economic Times

Ø  Tata Capital to raise Rs 7500 crore through public issue of NCDs
Ø  Warren Buffett says Berkshire buying own stock
Ø  Argentina now has highest interest rate in the world
Ø  Public co-op model need of the hour: RBI director
Ø  Irdai makes long-term 3rd-party insurance must
Ø  Indian Railways turns to natural gas to cut cost
Ø  Jet Airways confirms probe by Registrar of Companies

Business Standard

Ø  ICICI Bank votes for Kochhar's reappointment to ICICI Securities board
Ø  NCLT approves Idea-Vodafone unit merger; deal gets all regulatory approvals
Ø  Value of banknotes in circulation increases by 37.7% to Rs 18 bn in FY18
Ø  Decades of policy, regulation mismatch to haunt insolvency in power sector
Ø  Enterprise security costs to touch $1.7 bn as firms face skill shortage

Business Line

Ø  Adani plans ‘time of day’ power pricing in Mumbai
Ø  Demonetisation led to more tax collection, higher growth: Jaitley
Ø  India set to become world’s 5th largest economy next year
Ø  NCLT orders insolvency proceedings against Ind-Bharat Energy; appoints IRP
Ø  MCX Clearing Corp to take off on Monday

Mint

Ø  RBI concerned about non-adherence to IRAC
Ø  Rupee hits fresh record low of 70.86 against US dollar
Ø  DoT seeks ₹ 1,626 cr for clearing Airtel-Tikona merger
Ø  India’s textile sales likely to rebound on retail growth in US
Ø  Bankruptcy court admits insolvency plea against Lavasa Corp

Financial Express

Ø  Electricity demand grows 7.4 per cent in July, thermal PLF lower: ICRA
Ø  Yes Bank gets RBI’s nod for continuance of Rana Kapoor as MD & CEO
Ø  Economy to grow by 7.6pc in Q1 on favourable base effect: Report
Ø  Current account deficit expected to be largely financed by FDI flows

Financial Chronicle

Ø  Sebi to slap investment limit on retail investors
Ø  Mahindra Logistics acquires stake in startup to help digitisation
Ø  ICRA upgrades ABFL, ABHFL to AAA
Ø  DHFL to raise Rs 2,000 cr from NCDs
Ø  Sundaram MF launches service sector focused NFO
Ø  India pitches for rating upgrade with S&P 🙏

31.08.18 Economic News

👉Government of India and the Asian Development Bank (ADB) Signs a $375 Million Loan Agreement to contribute to Double Farming Incomes in Madhya Pradesh by Expanding Irrigation Networks and System Efficiency.

👉PNB, US Trustee seek probe into Mehul Choksi's US firm Samuels Jewelers, that has filed for bankruptcy.

👉In order to give effect to decisions taken in 28th GST Council meeting Govt has taken one more step i.e. Notification of GST Amendment Acts 2018. The Acts have been notified by Govt on 30th April 2018 and will be effective from this date.

👉CBDT Extends Date for inviting comments and suggestions of stakeholders, for Framing rules for determining Significant Economic Presence as per Section 9(1)(i) of the Income Tax Act,1961, from 10th August,2018 to 30th September, 2018.

👉NCLT Approves Idea-Vodafone Merger, clearing the last hurdle to the creation of India’s Largest Mobile Phone Company with the Most Subscribers and Revenue Share

👉NCLAT Reserves Judgment on Binani Cement Insolvency Matter, which owes more than Rs 6,500 Crore to Lenders. NCLAT asks all parties, including Rajputana Properties and UltraTech Cement , to submit additional written responses, if any, by 4 September

👉Banks will largely remain open in the first week of September and there will be no impact on the functioning of ATMs, contrary to social media buzz that claimed banks across India will be closed for six days during the week.

👉Department of Financial Services requests RBI to finalise Banks' Interchange Fee for Aadhaar Enabled Payment System (AePS).

👉RBI expresses concerns over Banks not adhering to the RBI’s Income Recognition and Asset Classification Norms (IRAC) and Reporting Divergences in bad loan numbers.

👉The Registrar of Companies(RoC) under the Ministry of Corporate Affairs(MCA) has Shut Down 35,741 Shell Companies in Telangana and Andhra Pradesh as on August 2018.

31 August 2018 Updates

CBDT has extended the due date for filing income tax returns (ITR) for all income tax assessees in Kerala to September 15, 2018, as per an official release.

CBDT has decided, in super-session of Circulars issued, that departmental appeals may be filed on merits before Income Tax Appellate Tribunal and High Courts and SLPs/ appeals before Supreme Court keeping in view the monetary limits and conditions specified.

CBDT told the Bombay High Court that 0.10% STT would be levied on physical delivery of shares in the equity derivatives segment. A division bench of justices B R Gavai and M S Karnik had last week sought clarity from the CBDT on the STT rate after the ANMI filed a petition.

Govt is planning to compare data filed by companies with different departments to detect discrepancies and check whether there’s been any leakage in tax collected, raising the prospect of even greater scrutiny, said people with knowledge of the matter.

Tax officials are working on a proposal to link electricity connection of some manufacturers with GSTIN to keep a tab on power consumption. This will act as an anti-evasion measure to dissuade taxpayers from underreporting sales.

RBI tightened norms for bad loan resolution by setting timelines for resolving large NPAs, failing which banks will have to mandatory refer them for insolvency proceedings. It also withdrew existing debt restructuring schemes such as SDR and S4A.

RBI has issued definitions of different resolution plans and an indicative list of financial difficultly, and directed lenders to share data on certain defaulted borrowers with the central bank’s database on large exposures on every Friday.

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Both ACIT and JCIT can sanction Notice for Re-Opening of Assessment: Allahabad HC* [Read Order]

Read more at: http://www.taxscan.in/acit-jcit-sanction-notice-re-opening-assessment-allahabad-hc/27604/
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Income from Sale of Plots under a Business Project is Business Income: ITAT [Read Order]

Read more at: http://www.taxscan.in/income-sale-plots-business-project-business-income-itat/27616/
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Delhi HC upholds Levy of Cost Recovery Charges: says such Charges covers Expense of Govt in deputing Customs Personnel to ICDs/CFSs/ACCs/EPZs* [Read Judgment]

Read more at: http://www.taxscan.in/delhi-hc-upholds-levy-cost-recovery-charges-charges-covers-expense-govt-deputing-customs-personnel/27624/
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Late Fee can’t be levied while processing TDS Statement: ITAT [Read Order]

Read more at: http://www.taxscan.in/late-fee-levied-processing-tds-statement-itat/27628/
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Input Tax Credit cannot be granted If Registration of Selling Dealer was cancelled: Kerala HC [Read Judgment]

Read more at: http://www.taxscan.in/input-tax-credit-granted-registration-selling-dealer-cancelled-kerala-hc/27632/
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Cost Accountants Body proposes Suggestions for Simplification of GST Return [Read Suggestions]

Read more at: http://www.taxscan.in/cost-accountants-body-proposes-suggestions-simplification-gst-return/27642/
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Input Tax Credit cannot be granted If Registration of Selling Dealer was cancelled: Kerala HC [Read Judgment]

Read more at: http://www.taxscan.in/input-tax-credit-granted-registration-selling-dealer-cancelled-kerala-hc/27632/
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# GSTIN has added a New facility for filing of refund application for multiple tax period, available for supplies made without payment of Tax for i). Export of Goods & Services; and ii) SEZ Unit / SEZ Developer.

# IBC : The presence of an arbitration clause in the SPA would not cause any impediment with regard to initiation of CIRP because u/s 7 of the Code the mentioning of an arbitration clause in the disputed agreement is no bar to the admission of the petition and initiation of CIRP unlike S 8 & 9 of the Code – Dinesh Chand Jain & Ors. Vs. Fantastic Buildcon Pvt. Ltd. & Ors (2018 (8) TMI 1541 - NCLT, New Delhi)

# IT: No penalty u/s.271D r.w.s. 269SS can be levied on an assessee where the loans have been accepted in an assessment u/s. 143(3) of the Act made by the AO as genuine – DCIT Vs. Akash InfraCom Project Pvt. Ltd. (2018 (8) TMI 1489 - ITAT Cuttack).

# IT: Bad debts – CIT (A) and Tribunal concurrently held that the respondent bank would also be a scheduled bank and consequently allowed the bad debts u/s 36(1)(viia)(a) of the Act. Such being the position, we find no error in the view – Pr. CIT Vs. Saurashtra Gramin Bank (2018 (8) TMI 1558 - Gujarat HC).

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Amount Paid to obtain Membership of Delhi Stock Exchange can’t be treated as Doubtful Advance since no Steps was taken to Recover: ITAT [Read Order]

Read more at: http://www.taxscan.in/amount-paid-obtain-membership-delhi-stock-exchange-doubtful-advance-itat/27637/
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No Disallowance of Expenditure merely on the basis of Surmises and Conjectures of AO: ITAT [Read Order]

Read more at: http://www.taxscan.in/no-disallowance-expenditure-surmises-conjectures-ao-itat/27659/
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Firm cannot be Assessed for Unexplained Cash Credit in respect of Capital introduced by Partner: ITAT [Read Order]

Read more at: http://www.taxscan.in/firm-unexplained-cash-credit-capital-partner-itat/27664/
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MCA releases report of ‘Committee to Review Offences under Companies Act, 2013* [Read Report]

Read more at: http://www.taxscan.in/mca-releases-report-committee-review-offences-companies-act-2013/27647/
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RBI may soon do away with MCLR

The Reserve Bank of India (RBI) has said that it would review guidelines on the marginal cost of funds based lending rate (MCLR), potentially preparing to do away with the system for lending rate calculation less than three years after it was introduced.

In its 2017-18 annual report, RBI said it would review the MCLR guidelines as well subsidiarisation of foreign banks “for the purpose of fostering competition and re-orienting the banking structure in India.” It did not give more detail.

Read more at:
//economictimes.indiatimes.com/articleshow/65601857.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst
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RBI panel to study feasibility of digital currency

The Reserve Bank of India has constituted an inter-departmental group to explore the feasibility of introducing a rupee-backed digital currency to battle the rising costs of managing paper currency. This is RBI’s first take on the possible use of digital currency.

“In India, an inter-departmental group has been constituted by the Reserve Bank to study and provide guidance on the desirability and feasibility to introduce a central bank digital currency,” said the Reserve Bank of India in its Annual Report 2017-18 on Wednesday.

It posited the need for a centrally backed digital asset saying, “(Globally) the rising costs of managing fiat paper/metallic money, have led central banks around the world to explore the option of introducing fiat digital currencies”. For the financial year 2018, the total cost of printing paper notes in India was Rs 636 crore, according to RTI response to India.

Read more at:
//economictimes.indiatimes.com/articleshow/65601646.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst
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Financial fraud: Ministry of corporate affairs to crack down on firms

In a bid to check companies from doing financial frauds, the Ministry of Corporate Affairs will crack down on firms committing such wrongs. This could include arrests of directors of the company, approaching the National Company Law Tribunal to take over the company or even appointing government nominated directors in the company, a senior government official said.

The move comes in the wake of a series of resignations of auditors from listed companies. Auditors in over 200 listed companies have resigned so far since the start of the year. In the Mumbai region alone, the number is around 60.

Read more at:

https://www.financialexpress.com/industry/financial-fraud-ministry-of-corporate-affairs-to-crack-down-on-firms/1296961/
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DGFT

DGFT has issued a Public Notice regarding shifting of Capital Goods imported under the EPCG Scheme. EPCG authorisation holders are permitted to shift the capital goods imported during the entire export obligation period to their other units mentioned in the lEC and RCMC subject to conditions specified. The authorization holder shall be permitted to shift capital goods during the entire export obligation period to other units mentioned in the lEC and RCMC of the authorization holder subject to production of fresh installation certificate to the RA concerned within six months of the shifting."
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Government to vet GST, income tax and transfer pricing filings to find leakage

The government is planning to compare data filed by companies with different departments to detect discrepancies and check whether there’s been any leakage in tax collected, raising the prospect of even greater scrutiny, said people with knowledge of the matter. Goods and services tax (GST) returns, income tax filings and transfer pricing submissions will be analysed and synchronised in a manner that hasn’t been possible before, they said.

Read more at:

//economictimes.indiatimes.com/articleshow/65584614.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst
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MCA

The 10-member committee, which submitted its report, has made various recommendations as part of larger efforts to promote ease of doing business and better compliance levels. Suggesting strict measures, the panel has pitched for disqualification of directors in case they have directorships beyond permissible limits and capping an independent director's remuneration "in terms of percentage of income". This is to prevent any material pecuniary relationship which could impair his independence on the board of the company, an official release said about the panel's recommendations. Among other suggestions is de-registration of companies in case of non-maintenance of registered office. Existing rigour of the law should continue for serious offences, covering six categories, whereas, for lapses that are essentially technical or procedural in nature, mainly falling under two categories may be shifted to in-house adjudication process, the panel has recommended. Apart from the restructuring of corporate offences to relieve special courts from adjudicating routine offences, the panel has mooted "re-categorisation of 16 out of the 81 compoundable offences" under the Act. This would be done by shifting them from the jurisdiction of special courts to an "in-house E-adjudication framework wherein defaults would be subject to levy of penalty by the authorised adjudicating officer (Registrar of Companies).

CBDT

CBDT has decided, in super-session of Circulars issued, that departmental appeals may be filed on merits before Income Tax Appellate Tribunal and High Courts and SLPs/ appeals before Supreme Court keeping in view the monetary limits and conditions specified. Amendment are made w.r.t the adverse judgments should be contested on merits notwithstanding that the tax effect entailed is less than the monetary limits specified or there is no tax effect. For this purpose, ‘tax effect’ means the difference between the tax on the total income assessed and the tax that would have been chargeable had such total income been reduced by the amount of income in respect of the issues against which appeal is intended to be filed.
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SEBI

SEBI with an intent to streamline the existing process of issuance of debt securities has decided to reduce the time taken for listing after the closure of the issue to 6 working days as against the present requirement of 12 working days and to make the process of listing of NCRPS and SDI easier, simpler and cost effective for both issuers and investors under the SEBI ILDS, SEBI ILDM,SEBI NCRPS and SEBI SDI regulations respectively. The SCSBs, stock exchanges, depositories and intermediaries shall co-ordinate with one another to ensure completion of listing of debt securities, NCRPS, SDI and commencement of trading by T+6. This circular shall be applicable for all public issues of debt securities, NCRPS and SDI opening on or after October 01, 2018. Further, all the investors applying in a public issue shall use only Application Supported by Blocked Amount (ASBA) facility for making payment.
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Panel for internal e-adjudication system to take load Off NCLTs

The expert committee set up by the government to review penal provisions of the Companies Act, 2013, has favoured decentralisation of power to regional directors and setting up of an in-house e-adjudication mechanism to free up the overburdened National Company Law Tribunals (NCLTs) and Special Courts.

The panel suggested that 16 out of the 81 compoundable offences should be dealt through the in-house e-adjudication mechanism, instead of going to special courts.

Read more at:
//economictimes.indiatimes.com/articleshow/65568134.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst
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National Anti-profiteering Authority starts consumer helpline to file GST profiteering complaints

The National Anti-profiteering Authority (NAA) has started a helpline to encourage consumers to file complaints against the companies that are not passing GST rate cut benefits.

The helpline number 011-21400643 will guide the consumers to register their complaints, provide information and resolve queries related to profiteering under the Goods and Services Tax (GST) law.

Consumers can call the helpline number between 9:30 am-1 pm and 1:30pm - 6pm on all working days, as per the latest post on the NAA website.

Read more at:
//economictimes.indiatimes.com/articleshow/65562863.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst
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Highlights of the report of Committee to review offences under The Companies Act, 2013

Big relief to special courts

One of the major recommendations by the committee is re-structuring of the offence which will help to provide fresh approach by special courts for adjudicating routine offences by shifting offence from the jurisdiction of special courts to an in-house E-adjudication framework.

Enlarging jurisdiction

The legislature has explicated the pecuniary limits for compounding of offences by the Regional Director, ROC, MCA and the Courts. So, it has suggested to enlarge jurisdiction with enhanced pecuniary limits for compounding of offences so that superior courts will get extra-time to take care of other cases.

Disclosures with respect to Public deposit

It has been proposed to refurbish the disclosures norms with respect to deposits in order to cover loopholes. This would surely, increase compliances for the companies and the directors.

Tackling the Shell companies

It also recommended the companies to declare commencement of business in order to curb shell companies.

Speedy disposal of offences

In order to have speedy disposal of offences, it has suggested to number prosecutions filed in the special courts.

Reduction in time limit for e-filing

The Committee has suggested to reduce the time-limit for filing documents related to creation, modification and satisfaction of charges.

Cap on Independent directors

There is dire need to have a cap on independent director who draws remuneration from companies in terms of percentage of income in order to prevent any material pecuniary relationship.

Online platform of E-adjudicating

The Committee has focused on introducing a transparent online platform for E-adjudication and E- publication of orders which will help in ease of doing business. Offences such as failure to attach mandatory documents, non-filing of resolution, and default in respect of DIN and so on would be looked after through E-adjudication platform.

E-notices

An online system of issuing e-notices should be created, wherein notices would be issued online and responses thereto would also be filed online on the same platforms. In case of no response within reasonable time frame, physical notices would be sent to the parties automatically.

30 August 2018 Updates

Due Date for Income Tax Return (AY 2018-19) for assessee whose account not required to be Audited- Aug 31, 2018.

GST Council cut rates on over 100 items, including footwear, refrigerator, washing machine and small screen TV, while the widely demanded sanitary napkins have been exempted from the levy. The revised tax rates will come into effect from July 27.

GST portal has added a new facility for filing of refund application for multiple tax period.“Taxpayers filing refund application for ITC accumulated on account of export of goods or services without payment of tax and on account of supplies of goods and services made to SEZ units/SEZ developers without payment of tax, has now been provided.”

GST returns comprises of two types of return - periodic and annual returns. Periodic returns are monthly or quarterly returns for reporting transactions during the month or quarter, while annual return is for reporting the summary of the periodic returns filed during a financial year.

As per section 16(4) of the GST Act a registered person shall not be eligible to take adjustment of any input tax credit in respect of any invoice pertaining to FY 2017-18 after the due date of filing GSTR3B for the month of Sept 2018 i.e. 20.10.2018.

SEBI plans ‘on tap’ bond market which gives corporates the flexibility to time the market, prune cost, and dramatically cut down on paperwork for raising money, will soon be a reality in India.

Punjab National Bank, Multi Location , Multi State
Description :Empanelment of CA firms for concurrent audit assignment
Last Date: 20/9/2018
Address :Multi Location, Multi State

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NCLAT : In Ashish Mohan Gupta vs. Hind Motors Limited

Once the ‘Resolution Process’ reaches finality and the ‘Committee of Creditors’ reject the ‘Resolution Plan’ in view of Sections 30 & 31 of the ‘I&B Code’, the Adjudicating Authority had no other option but to order for initiation of Liquidation Process as in such case, there is no occasion to grant further extension of time, as all the procedural has been followed in letter and spirit._*

Read full case law at : https://dasgovernance.com/2018/08/29/nclat-in-ashish-mohan-gupta-vs-hind-motors-limited/
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GST payable on Promotion of Courses of Foreign Universities: AAAR* [Read Order]

Read more at: http://www.taxscan.in/gst-payable-on-promotion-of-courses-of-foreign-universities-aaar/27583/
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Both ACIT and JCIT can sanction Notice for Re-Opening of Assessment: Allahabad HC [Read Order]

Read more at: http://www.taxscan.in/acit-jcit-sanction-notice-re-opening-assessment-allahabad-hc/27604/
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NAA launches Consumer Helpline to receive Anti-Profiteering Complaints

Read more at: http://www.taxscan.in/naa-helpline-anti-profiteering/27562/
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GST Council to consider Kerala’s proposal to impose Calamity Tax

Read more at: http://www.taxscan.in/gst-council-keralas-calamity-tax/27590/
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No Further Extension: Income Tax Dept cautions Taxpayers to file Returns by 31st Aug

Read more at: http://www.taxscan.in/income-tax-dept-taxpayers-returns-31st-aug/27598/
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Income from Sale of Plots under a Business Project is Business Income: ITAT [Read Order]

Read more at: http://www.taxscan.in/income-sale-plots-business-project-business-income-itat/27616/
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No TDS on License Fee paid for mere use of Copyrighted Article: ITAT [Read Order]

Read more at: http://www.taxscan.in/no-tds-license-fee-paid-copyrighted-article-itat/27611/
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MCA releases report of ‘Committee to review offences under the Companies Act, 2013’

The report presents the detailed reasoning along with the recommendations of the Committee on the need to review the existing regulatory mechanism in order to foster a better corporate compliance environment. The main recommendations of the Committee are Restructuring of Corporate Offences to relieve Special Courts from adjudicating routine offences, De-clogging the NCLT and recommendations related to corporate compliance and corporate governance.

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Annual Return Filing under the Company Law FAQ

_Q.1. As per the Act, the Statutory Auditor shall be appointed for 5 FYs subject to ratification by members in every AGM. However, the 2017 amendment removed the provision of ratification from the Act. In such case whether Notice of AGM required to mention point in relation to Statutory Auditor?_

*Ans:* Before notification of section 139 of CAA, 2017 w.e.f. 07.05.2018 every year in AGM notice companies have to mention about ratification of auditor.

However, this provision has been removed from Act w.e.f 07.05.2018 therefore every notice of AGM to be issued on or after 07.05.2018 no need to mention point in relation to auditor until unless there is appointment of auditor.

However, one can opine that even point in relation ratification of auditor no need to mention in Directors Report also.

_Q.2. Where a Company can hold Annual General Meeting?_

*Ans:* As per the Act section 96, AGM of Companies shall be held either at the registered office of the company or at some other place within the city, town or village in which the registered office of the company is situated.

However, this provision has been amended by CAA, 2017 w.e.f. 13.06.2018 i.e. now annual general meeting of an unlisted company may be held at any place in India if consent is given in writing or by electronic mode by all the members in advance.

_Q.3 Whether there is any difference in disclosure of Directors Report of OPC/ Small Company or Other Companies?_

*Ans:* As per CA, 2013 section 134, Disclosures under Directors Report was same for all type of companies.

However, this provision has been amended by CAA, 2017 w.e.f. 31.07.2018 i.e. MCA has provided separate form of disclosures in Directors Report for OPC and Small Companies. It is less than half in comparison to other Companies? There are only 10 disclosures in Directors report of OPC and Small Company.

_Q.4 Whether Rule 8 i.e. “Matters to be Included in Board’s Report” shall be applicable on OPC and Small Company?_

*Ans:* A new sub Rule 6 added after sub Rule 5 in Rule 8; I.e. “This Rule shall not apply to OPC and Small Company”.
Therefore, Rule 8 shall not apply on the OPC and Small Company.

_Q.5 Whether Companies are required to prepare MGT-9?_

*Ans:* As per CA, 2013 section 134, Companies were required to prepare MGT-9 extract of Annual Return and such MGT-9 was required to file with Directors Report.

However, this provision has been amended by CAA, 2017 w.e.f. 31.07.2018 i.e. as per notification dated 31-07-2017 provision in relation to MGT-9 has been removed from Section 134 and a new provision is added i.e. “the web address, if any, where annual return referred to in sub-section (3) of section 92 has been placed”.

Therefore, one can opine that MGT-9 is not required to prepare by any Company if Directors Report approved in Board Meeting on or after 31st July, 2018.

_Q.6. If a Company doesn’t having website, whether it is mandatory to Prepare MGT-9?_

*Ans:* As per Section, 134 Companies have to give the link of Annual return in Directors Report only in the condition if Company having website.

If Company doesn’t have website then don’t have to give anything. Therefore, one can opine that irrespective of Fact Company having website or not requirement of MGT-9 has been done away with.

_Q.7. Who will sign the Directors Report and all the Annexure like (AOC-1, AOC-2 etc)?_

*Ans:* As per Act, Directors report should be sign by the any Two Directors or Chairman of the Company. All the annexure should be sign in the same manner in which Directors report were signed.

_Q.8. Who will sign the financial statement of the Company?_

*Ans:* W.e.f. 07-05-2017 following persons shall sing the financial statement of the Company

    Any 2 directors one of them shall be MD, if any
    Company Secretary of Company
    CFO, if any
    CEO, if any

Whether provisions of Section 203 KMP applicable on Company or not but if Company having CS, CEO, CFO or any of them they need to sign the Financial statement.

_Q.9 What is minimum age for appointment of Director under Companies Act, 2013?_

*Ans:* As Per Companies Act, 2013 Section 152(3) “ No person shall be appointed as a director of a company unless he has been allotted the Director Identification Number”.

DIN can be applied through e-form DIR-3. As per e-form DIR-3 ‘Person should be minimum 18 years of age while applying for this application”.

However, one can opine that minimum age for appointment of Director is 18 years.

MINIMUM AGE for MD & WTD?

No Person can be appoint as MD/ WTD or Manger if such person is below the age of twenty-one year.

_Q.10 What is the maximum age for a Director to serve company as Director?_

*Ans:* As per CA, 2013 section 197, Maximum age for a Managing Director is 70 years. If Company want to appoint a person as MD even after attainment of age of 70 can do by passing of Special Resolution.

There is no maximum age limit for director other then MD/ WTD/ Manager.

_Q.11 Company falls under the limit of applicability of filing of financial statement into XBRL for some years. However, afterwards due to any reason, it doesn’t fall under the applicability requirement of XBRL. Whether such Company required preparing the financial statement into XBRL in future also?_

*Ans:* As Per the applicability of filing of financial statement into XBRL amendment Rules, 2018, such Company required to file financial statement into XBRL in future years also irrespective whether falling in limit or not.

_Q.12 Director of Company has resigned from the Company and filed DIR-11. However, Company fails to file his DIR-12 and fails to file financial statement for continue period of 3 financial years. Whether Resigned director shall consider as disqualified or not?_

*Ans:* As per Companies Act, 2013 if a person has filed his DIR-11 as resignation from the Company. His resignation shall be update in the record of ministry. Even on MCA signatory details his “end date” shall be mentioned as per DIR-11.

Therefore, one can opine that in this case resigned director shall not be disqualified.
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Tax Evasion Petitions in earlier years couldn't be basis of reopening of assessment of later years: SC

August 29, 2018[2018] 96 taxmann.com 424 (SC)
IT: Tax evasion petitions received for previous years could not have formed basis for reopening of assessment for relevant year, as Assessing Officer had not referred to orders passed therein at time of recording reasons for reopening assessment for current year; SLP dismissed

IT: Where Income-tax Officer had not been authorized to exercise his powers under section 131(1A), reports submitted by him could not have formed valid basis for re-opening assessment; SLP dismissed

[2018] 96 taxmann.com 424 (SC)

SUPREME COURT OF INDIA
Income-tax Officer, Ward 23(4), New Delhi
v.
Sky View Consultants (P.) Ltd.*

I. Section 69A, read with section 147, of the Income-tax Act, 1961 - Unexplained money (Bogus entries) - Assessment year 2009-10 - Tax Evasion Petitions (TEPs) were received in case of assessee for previous assessment years 2007-08 and 2008-09 showing that assessee was claiming expenses on account of 'contractor's charges' which was in fact bribe amount distributed by it, hence concealing income - However, said TEPs did not result in adding back entire amount and only 7 per cent of contractor's expenses had been disallowed for previous year 2007-08- Assessing officer despite being aware of above orders for previous year 2007-08 did not refer to them in his reasons for re-opening assessment for current year - High Court by impugned order held that tax evasion petitions received for previous years could not have formed basis for reopening of assessment for relevant year as Assessing Officer had not referred to orders passed therein at time of recording reasons for reopening assessment for current year - Whether Special Leave Petition against said impugned order was to be dismissed - Held, yes [Para 2][In favour of assessee]

II. Section 131 of the Income-tax Act, 1961 - Discovery, production of evidence, power regarding (Sub-section (1A)) - Assessment year 2009-10 - High Court by impugned order held that where Income-tax Officer had not been authorized to exercise his powers under section 131(1A), reports submitted by him could not have formed valid basis for re-opening assessment - Whether Special Leave Petition against said impugned order was to be dismissed - Held, yes [Para 2] [In favour of assessee]

ORDER

1. Delay condoned.

2. The Special Leave Petition is dismissed.

30 August 2018 News

Quote of D-DAY

*Happiness and self-confidence* come naturally *When You Feel Yourself Moving and Progressing forward* to be the Very Best Person you can possibly be.

Have a Progressing Day !!!

Happy Reading on 30.08.2018

*Mint*

=> *Demonetisation comes to haunt govt as RBI says 99.3% notes back*

=> Disclose names and action taken against wilful defaulters: CIC

=> Aditya Birla, Varde to set up $1 billion JV to buy stressed assets

=> ICICI Prudential cuts 2.05% stake in Tata Chemicals

=> RInfra sells Mumbai power utility to Adani

=> LIC Board to meet on 4 September to decide modalities for raising stake to 51% in IDBI Bank
...........................................

*Business Standard*

=> Reliance Infra completes Rs 188 billion Mumbai power biz sale to Adani

=> Government mulls action against India heads of social media on fake news

=> Prepare a list of the public sector banks that can be merged: Govt asks RBI

=> PSBs reduce their NPAs by Rs 641.06 mn via actual recoveries in FY18: RTI

=> Varde Partners, Aditya Birla Capital creating joint venture to invest $1 bn

=> Rupee continues downward journey, touches lowest ever value of 70.51 to USD
...........................................

*Economic Times*

=> Bharti Airtel shareholders approve merger proposal with Tata Teleservices

=> Demonetisation achieved objectives quite substantially: Government

=> Awaiting banks' reply on Reliance Naval resolution plan: Anil Ambani

=> Cabinet approves additional funding of Rs 635 crore for IPPB

=> Air India disinvestment, not happening soon

=> Bharti Airtel to offer free Netflix for limited time
...........................................

*Financial Express*

=> Petrol and diesel prices going up by almost a rupee per litre within a fortnight

=> Tough message by Modi govt likely to be sent to India heads of social media platforms

=> India Post Payments Bank to be launched in Telangana on Sept 1

=> Smoking rates among youth declining in countries that allow vaping: AVI

=> Jet Airways to start 28 new flights next month

=> Pradhan Mantri Kaushal Vikas Yojana: Skill India introduces insurance cover for PMKVY certified candidates
...........................................

*Hindustan Times*

=> Asian Games highlights: Arpinder, Swapna bag gold, women reach hockey final

=> Democracy not safe without dissent, says SC on activists’ arrests

=> Lynching due to social media content, says govt panel

=> Pune court orders police to send arrested activists back home

=> Heavy rains in Nagaland kill 12 in a month, CM appeals for help

=> 99.3% demonetised notes came back, concedes RBI
...........................................

*Indian Express*

=> Elgar Parishad event: SC gives arrested activists a breather, says dissent is safety valve of democracy

=> *Asian Games 2018, Day 11: Arpinder Singh, Swapna Barman win gold*

=> SP divide resurfaces: Day after he meets BJP minister, Shivpal Yadav floats Morcha within party

=> RBI demonetisation report: Govt claims note ban achieved its objective

=> Ludhiana shelter home case: Owner held for trafficking, religious conversion; 30 kids still missing

=> India not guaranteed US sanctions waiver for Russian missiles, says Pentagon official
...........................................

*The Hindu*

=> Anti-lynching measures: social media sites to be held responsible

=> Arpinder ends 48-year wait, Swapna makes history

=> Activists arrest: Pune court orders police to comply with Supreme Court direction

=> 99.3% of demonetised currency returned, says Reserve Bank

=> Facing protests, Russia's Putin offers pension concessions

=> South Indians watch TV more, says BARC survey
...........................................

*The Times of India*

=> SC orders house arrest for five rights activists

=> Asian Games: History-makers Swapna, Arpinder shine as India extend golden run in athletics

=> ISRO sets December 2021 target for human

=> HC raps CBI for not showing SP transfer letters

=> Patna University gears up for NAAC tag

=> Liver transplant at IGIMS from September
...........................................

*अमर उजाला*

=> अब उग्रवादियों-नक्सलियों को चुन-चुन कर मारेंगे अर्धसैनिक बल, मिलेंगी 1057 धमाका रोधी गाड़ियां

=> भीमा-कोरेगांव हिंसा: सभी आरोपी नजरबंद, सुप्रीम कोर्ट ने असहमति को बताया लोकतंत्र का सेफ्टी वॉल्व

=> संघ के कार्यक्रम में राहुल गांधी के जाने का सवाल ही पैदा नहीं होता : खड़गे

=> अगर गांव में हुआ बाल विवाह, तो निपट जाएंगे सरपंच! नपेंगे बैंड-बाजा और कैटरर भी

=> INDvCHN: 20 साल बाद एशियन गेम्स के फाइनल में पहुंचा भारत, रचा इतिहास

=> स्वपना-अरपिंदर को मिला गोल्ड, दुती की हुई चांदी, ऐसा रहा एशियाई खेल में 11वें दिन भारत का प्रदर्शन
...........................................

*हिन्दुस्तान*

=> जरूरत पड़ी तो परमाणु समझौता छोड़ने को तैयार-अयातुल्ला अली खामेनी

=> Asian Games 2018: भारत के खाते में 11वें दिन आए 2 स्वर्ण, 1 रजत और 1 कांस्य पदक

=> भीमा-कोरेगांव केस: SC का 5 मानवाधिकार कार्यकर्ताओं की गिरफ्तारी पर रोक

=> खुशखबरीःकेंद्रीय कर्मचारियों को मोदी सरकार का तोहफा, महंगाई भत्ता बढ़ा

=> जम्मू-कश्मीर: शोपियां में आतंकियों ने किया बड़ा हमला, चार जवान शहीद

=> लालू यादव पहुंचे रांची, गुरुवार को सीबीआई कोर्ट में करेंगे सरेंडर
...........................................

*दैनिक जागरण*

=> भीमा कोरेगांव केसः SC ने कहा-मतभेद लोकतंत्र का सेफ्टी वॉल्व, नहीं तो हो जाएगा विस्फोट

=> जम्मू-कश्मीरः भाजपा में फिर से सरकार बनाने की सुगबुगाहट तेज

=> IND vs ENG: चौथे टेस्ट से पहले विराट ने घोषित की प्लेइंग इलेवन

=> नकली नोटों की बाढ़ः 50 गुना तक बढ़ी 2000 और 500 रुपए की जाली करेंसी

=> दिल्ली के 32 विधायकों पर चल रहे आपराधिक केस, केजरीवाल सरकार को मिले

=> सत्ता विरोधी लहर थामने को वसुंधरा राजे चुनावी मैदान में उतार सकती हैं दर्जनभर सांसद
...........................................

*प्रभात ख़बर*

=> छत्तीसगढ़ सरकार ने सुप्रीम कोर्ट में लगाया आरोप, बस्तर में बच्चों की भर्ती कर रहे हैं माओवादी

=> Fake News के खिलाफ WhatsApp का रेडियो पर अभियान, बिहार-झारखंड समेत 46 स्टेशनों से प्रसारण

=> चीन के 14.40 करोड़ टूरिस्टों को आकर्षित करेगा भारत

=> AsianGames2018 अरपिंदर सिंह ने ट्रिपल जंप में 48 साल बाद भारत को दिलाया गोल्‍ड, स्वप्ना का भी गोल्डन रेस

=> बिहार के नियोजित शिक्षकों के वेतन का मामला : SC में शिक्षकों की तरफ से नामचीन वकीलों ने दी दलील

=> IRCTC Scam : 31 अगस्त को पटियाला हाउस कोर्ट में पेश होंगे राबड़ी देवी और तेजस्वी
...........................................

30.08.18 Economic News

👉 GST Council to consider Kerala Govt’s proposal to impose Calamity Tax on the State’s Share of GST/SGST, a Special Tax or Cess to raise additional resources aimed at meeting the cost of reconstruction in Kerala in the aftermath of floods.

👉Cabinet approves Additional 2% DA to Central Govt Employees and Dearness Relief to Pensioners

👉Govt asks RBI to Identify PSU Banks that can be Merged. The Finance Ministry also asks RBI to suggest a time frame for the consolidation. The move is aimed at creating better capitalised and fewer lenders and improving regulatory oversight.

👉With an increase in Digital Payments and Netbanking Transactions, the threat of hacking and other types of online fraud has increased. The RBI, in its Annual Report 2017-2018, has made it clear as to who will bear the Financial Liability in case of all Unauthorised Electronic Banking Transactions.

👉NCLAT admits Cyrus Mistry's petition against NCLT order upholding his removal and issues notice to Tata Sons seeking a response on the matter within 10 days.

👉Confederation of All India Traders (CAIT) files petition in NCLAT against CCI's approval to Walmart Flipkart deal

👉BSE, NSE places Pfizer Ltd and Adani Transmission Ltd under the Additional Surveillance Measure (ASM) framework from today. In two separate communications, the exchanges said that a price band of 5%  will be applicable from August 30 on the firms placed under the ASM framework.

Economic Times

Ø  Supply risks building, crude oil can hit $80 a barrel
Ø  DeMo achieved objectives quite substantially: Govt
Ø  Airtel shareholders approve merger proposal with Tata
Ø  Varde, Birla are said to create $1 bln joint venture
Ø  Indian Oil earmarks Rs 22,000-crore capex for FY19
Ø  Nalco pays record dividend of Rs 1,102 cr for FY18
Ø   'Awaiting banks' reply on Reliance Naval resolution plan'

Business Standard

Ø  Almost all of demonetised currency came back; 99.3% returned, says RBI
Ø  ICICI Bank tells Sebi it was unaware of conflict of interest
Ø  Anil Ambani's RInfra completes sale of Mumbai power assets biz to Adani
Ø  Centre to ask Johnson & Johnson to pay up in hip implants case
Ø  RBI urges govt to expedite reforms for twin balance sheet problem

Business Line

Ø  NCLAT admits Mistry’s plea against NCLT order upholding his removal
Ø  Rupee slides 49 paise to end at record low of 70.59 vs dollar
Ø  MUDRA launches major impact study of loans to SMEs
Ø  Lanco Babandh faces insolvency proceedings; NCLT appoints IRP
Ø  To reduce debt, IL&FS to go for Rs.4,500-cr rights issue, divest assets

Mint

Ø  LIC Board to meet on 4 September to decide modalities for raising stake to 51% in IDBI Bank
Ø  Aston Martin makes long-awaited move for IPO in London
Ø  Disclose names and action taken against wilful defaulters: CIC
Ø  Aditya Birla, Varde to set up $1 billion JV to buy stressed assets
Ø  Tata Power-backed Resurgent set to buy 75% stake in Prayagraj

Financial Express

Ø  Stressed power assets: Panel to discuss ARC, no fiat to RBI under Section 7
Ø  IOC to invest Rs 286 crore to expand LPG bottling output in north-east India by 2020
Ø  Financial fraud: Ministry of corporate affairs to crack down on firms
Ø  All realty projects to eventually come under RERA ambit, says minister
Ø  Nomura pegs total stressed assets at Rs 16.30 lakh cr

Financial Chronicle

Ø  India remains preferred destination for FDI
Ø  Principal buys out Punjab National Bank in AMC
Ø  Wipro bags multi-year deal with Denmark company
Ø  FPIs pullout $280m, DIIs pour $10b so far this year
Ø  Electrosteel Steels trade at wide gaps on bourses
Ø  Vedanta corners 41 oil blocks in OALP Round-1

29 August 2018 Updates

CBDT extends due date for filing Income Tax Returns for Kerala

https://taxpedia.net/cbdt-extends-due-date-for-filing-income-tax-returns-for-kerala/

Due Date for furnishing Income Tax Returns extended from 31st August 2018 to 15th September, 2018 for all Income Tax assessees in Kerala
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Committee on Review of Penal provisions of Company Act 2013 submits final report to Finance Minister Arun Jaitley

Read more at: http://www.taxscan.in/committee-review-penal-provisions-company-act-2013-final-report-finance-minister-arun-jaitley/27537/
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NCLAT : In Dr. Nitin Modi and Ors. vs. Dr. Rakesh Shivhare and Ors.

*_The Appellate Tribunal has no power to review or modify its own order._*

*_Read full case law at :_* https://dasgovernance.com/2018/08/28/nclat-in-dr-nitin-modi-and-ors-vs-dr-rakesh-shivhare-and-ors/
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CBDT has mandated ‘e-proceeding’ for all income-tax scrutiny in 2018-19. It has also specified seven situations where e-proceeding will not be mandatory this year. These include search cases, cases where returns were filed in paper mode and the assessee doesn’t have an e-filing account, and geographical areas with limited bandwith.

GST complaints can be filed at Consumer Helpline No. 011-21400643 regarding GST input credit and profiting under National Anti Profiting Authority Act (NAA).

Government of India has notified the Common Application Form (CAF) for the purpose of registration, opening of bank and dematerialized accounts, as well as for Permanent Account Number (PAN) application by Foreign Portfolio Investors (FPIs).

MCA: As per the extant rules, in respect of an individual who is in possession of Duplicate/Multiple DINs, he can retain the Oldest DIN only. DINs obtained later have to be surrendered.
Further DIN once associated is NOT eligible for surrender.

SEBI is likely to let cos use stock exchanges to sell bonds directly to investors, including retail investors, any time and as many times during a financial year, after filing a single prospectus Sugata Ghosh & Reena Zachariah ‘Bond tap’, which gives corporates the flexibility to time the market, prune cost, and dramatically cut down on paperwork for raising money, will soon be a reality in India.

ICAI Invites Application for Awards for Excellence in Financial Reporting for the year 2017-18, to all business entities that publish annual reports, to participate in this annual competition of the Institute by 30th Sept 2018

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👉🏻Rs 3 lakh crore loans to come under IBC for resolution
(As much as Rs 3 lakh crore worth of loans of 70-80 companies is likely to come in for resolution under the Insolvency and Bankruptcy Code)
👇🏻 👇🏻 👇🏻
https://goo.gl/sNLmmY

👉🏻NCLT orders liquidation of Lanco Infratech
(NCLT ordered the liquidation of Lanco Infratech after the committee of creditors rejected the revised resolution plan submitted by Thriveni Earthmovers)
👇🏻 👇🏻 👇🏻
https://goo.gl/AT2UcL

👉🏻Opportunities for Professionals to act as Insolvency Professional & Registered Valuer
(IBBI provides opportunities to the Professionals to act as Insolvency Professional & Registered Valuer. Members can act as IRP, RP, IP, Liquidators and Registered Valuers)
👇🏻 👇🏻 👇🏻
https://goo.gl/6xpMev

👉🏻Govt seeks applications to fill judicial, technical member posts at NCLT
(Govt has sought applications for filling up as many as 36 posts of judicial and technical members at the National Company Law Tribunal (NCLT)
👇🏻 👇🏻 👇🏻
https://goo.gl/PNF7hv

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*Election 2018: ICAI restricts publication of Photographs of Candidates in Journals, Newsletters etc

Read more at: http://www.taxscan.in/election-2018-icai-restricts-publication-photographs-candidates-journals-newsletters/27541/
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Supply of UPS and Battery under a Single Contract is Mixed Supply: AAAR [Read Order]

Read more at: http://www.taxscan.in/supply-ups-battery-single-contract-mixed-supply-aaar/27557/
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NAA launches Consumer Helpline to receive Anti-Profiteering Complaints

Read more at: http://www.taxscan.in/naa-helpline-anti-profiteering/27562/
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Kerala HC allows uploading of Form GST Tran-1 if its filing failed due to system error
[2018] 96 taxmann.com 324 (Kerala)

[2018] 96 taxmann.com 324 (Kerala)

HIGH COURT OF KERALA

B.M. Reeja
v.
State Tax Officer*

Section 140 of the Central Goods and Services Tax Act, 2017 - Transitional provisions - Input tax credit - Transitional arrangement for (NR) - Assessee had failed to upload Form GST TRAN-1 because of some system error - He filed a writ petition seeking directions to enable him to take credit of available input tax - Whether in view of Circular No. 39/13/2018-GST, dated 3-4-2018 issued by Government of India, assessee was to be directed to apply to Nodal officer in this regard, who would look into issue and facilitate assessee's uploading Form GST TRAN-1 - Held, yes [Para 5] [In favour of assessee]

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Partial Relief to Saif Ali Khan: ITAT allows Vacancy Allowance in respect of his Property in Bandra [Read Order]

Read more at: http://www.taxscan.in/aif-ali-khan-itat-allows-vacancy-allowance-property-bandra/27551/
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Rental Income can be treated as ‘Business Income’ even if Principal Object of Company is not Letting out of Properties: Madras HC [Read Judgment]

Read more at: http://www.taxscan.in/rental-income-business-income-company-letting-out-properties-madras-hc/27573/
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Insolvency Professional punished for Authorizing Firm to raise Invoices for his Professional Fee [Read Order]

Read more at: http://www.taxscan.in/insolvency-professional-punished-authorizing-firm-raise-invoices-professional-fee/27566/
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Govt to amend Warehousing Provisions to Ease Trade

Read more at: http://www.taxscan.in/govt-amend-warehousing-provisions-ease-trade/27579/
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Rental Income can be treated as ‘Business Income’ even if Principal Object of Company is not Letting out of Properties: Madras HC [Read Judgment]

Read more at: http://www.taxscan.in/rental-income-business-income-company-letting-out-properties-madras-hc/27573/
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Attention: LATE FEE ON DELAY IN FILING INCOME TAX RETURN FOR THE YEAR ENDED *31ST MARCH, 2018 (Asst.Yr: 2018-19) under sec. 234F:

1. If Return filed during 01/04/2018 – 31/08/2018 : Late Fee - NIL

2.  If Return filed during 01/09/2018 – 31/12/2018 : Late fee - Rs. 5000

If total income does not exceed Rs.5 Lakhs then this Late fee will be restricted to Rs.1000

3.  If Return filed during 01/01/2019 – 31/03/2019 : Late Fee - Rs.10000

If total income does not exceed Rs.5 Lakhs then this Late Fee will be restricted to Rs.1000 only.

Better Get your ITR filed by 31/08/2018.
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Govt. Extends date for filing of Income Tax Returns for Taxpayers in Kerala

Read more at: http://www.taxscan.in/govt-extends-date-filing-income-tax-returns-taxpayers-kerala/27585/
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ITax-
Assessee primary agricultural credit co-operative society would not be entitled to benefit of exemption under section 80(P)(2)(a)(i) in respect of cash credit brought to tax under section 68 held by HIGH COURT OF Kerala in the case of Mundela Service Co-Operative Bank Ltd. Vs. Income-tax Officer, Ward-2(3), Trivandrum

29 August 2018 News

Quote of D-DAY

Run your race. What works for one person may be that which will kill you. Focus on your gifts and talents and don’t be envious of the blessings of others.

Good Afternoon !!!

Happy Reading on 29.08.2018

*Mint*

=> Banks treating RBI’s 15-day window as grace period on NPAs

=> Paytm sealed the Warren Buffett deal with 1 meeting, 2 phone calls

=> Gadkari comes to rescue of ₹8,500 crore rail corridor project

=> Amazon Pay said to acquire Tapzo in digital payments push

=> Health ministry calls for halting sales of e-cigarettes, smoking devices

=> Goyal Gases emerges highest bidder for Avantha Power unit
...........................................

*Business Standard*

=> Google may steal Amazon, Flipkart's Diwali bonus; set for e-commerce debut

=> 30 stressed power accounts set to go to NCLT as RBI's NPA deadline ends

=> Govt wants 50 mbps broadband for all, but no one knows who'll pay for it

=> Jet Airways-Godrej Buildcon land deal under Income Tax department scanner

=> Mistry moves NCLAT against NCLT order upholding his ouster as Tata chairman

=> 'Rafale scam' a direct deal between Modi and failed industrialist: Congress
...........................................

*Economic Times*

=> Government to vet GST, income tax and transfer pricing filings to find leakage

=> Google collects more data from users via android, says study

=> Maharashtra FDA ex-chief accuses DCGI of delaying action against J&J

=> DIPP rules out 49% FDI plan in inventory model

=> Gold loan NBFCs may offer respite to Kerala borrowers

=> Jet Airways gets $300 million as lease incentives & debt from banks
...........................................

*Financial Express*

=> Vistara set to fly on international routes, to start flights to Phuket, Colombo

=> GE's diesel locomotives to be used as back-up by Indian Railways, says Piyush Goyal

=> GAIL opens up its pipeline network for users to book surplus capacity online

=> Jio Institute row: Finance Ministry warned HRD against granting Institute of Eminence tag in 2017, claims report

=> NT Rama Rao's son, TDP leader Nandamuri Harikrishna dies in road accident in Telangana

=> As Apple Music starts composing its India song, it bets big on independent musicians, indie bands
...........................................

*Hindustan Times*

=> Kochi airport to resume ops after 15 days; first flight at 2 pm

=> Activists arrested for conspiring with banned groups: Pune Police

=> From ‘commander’ to chief, Stalin rose through the ranks of DMK

=> Right wing group Sanatan Sanstha planned blast at Pune Sunburn: Cops

=> Atishi drops second name Marlena, denies caste angle

=> Parents’ literacy, income level no bar for IIT entry, study shows
...........................................

*Indian Express*

=> Finance Ministry told HRD: Eminence tag to non-existent institute defies logic, hurts education ecosystem

=> Actor Nandamuri Harikrishna dies in road accident

=> Adani loses case in Singapore, moves Bombay HC to stall DRI probe into it

=> Told about job 2 hours before announcement, says new J&K Governor, want sifarish-free system

=> Johnson & Johnson’s faulty hip implants: Adverse report is out after patients asked for it

=> Kerala floods: Factories and mills closed, migrant workers head home
...........................................

*The Hindu*

=> SC questions second chance for those left out of NRC Assam

=> NT Rama Rao’s son Harikrishna killed in accident

=> Faridabad CJM grants transit remand of activist Sudha Bhardwaj to Maharashtra police

=> Only 54 of 2,874 children's homes received positive reviews, finds NCPCR audit

=> There is no second chance for the Taj, SC warns U.P.

=> Trump accuses Google of rigging search results
...........................................

*The Times of India*

=> Elgar Parishad: Raids in 7 cities, 5 activists held

=> India won't remove copters before Male polls

=> NT Rama Rao's son Nandamuri Harikrishna dies

=> *Antibiotics you throw may be breeding superbugs*

=> Asiad: Unheralded Manjit's gold steals the show

=> Uber Elevate may launch aerial taxi service in India
...........................................

*अमर उजाला*

=> बारिश से बेहाल पहाड़: उत्तराखंड के घनसाली में फटा बादल, सात लोग मलबे में हुए दफन

=> गूगल से नाराज हैं ट्रंप, पूछा- इडियट लिखते ही क्यों खुलती है मेरी फोटो

=> भीमा कोरेगांव हिंसा पर बोले राहुल- 'भारत में एक ही एनजीओ, जिसका नाम है आरएसएस

=> Asian Games 2018 11वां दिन : दुती चंद लगाने उतरेंगी गोल्डन दौड़

=> सीएम चंद्रबाबू के साले और अभिनेता नंदमूरी हरिकृष्णा की सड़क हादसे में मौत

=> भूख के कारण हो जाते थे बेहोश, नीरज चोपड़ा ने कठिनाइयों से ऊपर उठकर देश को दिलाया गोल्ड
...........................................

*हिन्दुस्तान*

=> भीमा कोरेगांव हिंसा : पुलिस ने देशभर में की छापेमारी, 5 लोग गिरफ्तार

=> आंध्र के पूर्व मंत्री एनटी रामाराव के बेटे की सड़क दुर्घटना में मौत

=> जम्मू कश्मीर: अनंतनाग में सुरक्षा बलों और आतंकवादियों के बीच मुठभेड़

=> Asian Games Day-11: 200 मीटर दौड़ में दुती चंद से गोल्ड की उम्मीद

=> UGC NET 2018: यूजीसी नेट के लिए एक सितंबर से रजिस्ट्रेशन

=> सुषमा स्वराज अपनी पहली आधिकारिक यात्रा पर कंबोडिया पहुंची
...........................................

*दैनिक जागरण*

=> रची जा रही थी पीएम मोदी की हत्या की साजिश, पांच माअोवादी विचारक गिरफ्तार

=> J&K: अनंतनाग में दो आतंकियों को सुरक्षाबलों ने घेरा, मुठभेड़ जारी

=> लड़ाकू विमानों में 10 फीसद बायोजेट फ्यूल प्रयोग करेगी वायुसेना

=> हिमाचल में महेंद्र सिंह धौनी को स्टेट गेस्ट बनाने पर गरमायी सियासत

=> भविष्य के लिए खतरे की घंटी, दवाओं ने बढ़ाया दिल्ली-एनसीआर में बीमारी का खतरा

=> राहुल गांधी ने पेश की सद्भावना की मिसाल, एयर एंबुलेंस के लिए रुकवाया अपना हेलिकॉप्‍टर
...........................................

*प्रभात ख़बर*

=> भीमा कोरेगांव मामले में झारखंड में भी छापा, स्टेन स्वामी के घर व दफ्तर से 22 सीडी, लैपटॉप व फोन जब्त

=> कश्मीर मुठभेड़: अनंतनाग में सुरक्षाबलों ने दो आतंकियों को मार गिराया

=> 2022 में अंतरिक्ष में मानव भेजेगा भारत, इसरो की योजना तैयार, 16 मिनट में ही तीन भारतीय पहुंचेंगे अंतरिक्ष

=> तेलंगाना : अभिनेता और टीडीपी नेता नंदमूरी हरिकृष्णा की सड़क हादसे में मौत

=> एशिन गेम्स : 50 पहुंची भारत के पदकों की संख्या, मधुमिता रजत जीतनेवाली झारखंड की पहली तीरंदाज, 10 लाख देगी सरकार

=> रांची : कैंसर अस्पताल के साथ छह केयर सेंटर स्थापित करने में मदद करेगा टाटा समूह
...........................................

29th August 2K18

Economic Times

Ø  Petrol crosses Rs 78, diesel rates at new high
Ø  Walmart-Flipkart deal: CAIT approaches NCLAT
Ø  FMCG to grow 12-13 in calendar year 2018: Nielsen
Ø  'Coal imports may rise to 62 mt in FY19 to meet power demand'
Ø  Jet Airways gets $300 mn as lease incentives & debt

Business Standard

Ø  LIC board gives in principle approval to acquire 14.9% stake In IDBI Bank
Ø  Vedanta gets 41 oil blocks out of 55 in first round of open acreage auction
Ø  Warren Buffet's Berkshire Hathaway takes Rs 25-billion stake in Paytm
Ø  Fertiliser shares in focus; FACT, SPIC, Chambal Fertilisers up over 10%

Business Line

Ø  Nestle, Starbucks seal $7.15 bn licensing deal
Ø  Adani set to acquire Reliance Energy’s Mumbai power biz
Ø  Cotton output likely to decline by 3-4% this season, says CAI
Ø  Foodgrain output to hit all-time high of 285 mt
Ø  Lupin gets USFDA nod to market Gabapentin tablets

Mint

Ø  SBI plans to sell 3.89% stake in NSE
Ø  RBI cancels licence of Tech Mahindra for issuing pre-paid cards
Ø  Ruchi Soya sells over 1 crore shares in open market
Ø  RBI deadline over, 20 new NPA accounts to go to NCLT
Ø  Reliance Jio seen eroding Vodafone Idea, not Airtel

Financial Express

Ø  RIL’s 2% gain fuels Sensex 202-point jump, Nifty ends above 11,700 for first time in Indian history!
Ø  FDI inflow becomes India's star performer in Q1; Care Ratings bets on higher GDP growth than last year
Ø  PepsiCo India Beverages head Vipul Prakash resigns
Ø  Substantial debt may impact company’s ability to raise finance: Tata Steel
Ø  MCFL gets green nod for Rs 1,547-crore expansion project in Karnataka

Financial Chronicle

Ø  Empower Sebi to crack down on erring CAs, says panel
Ø  Steel industry hopes govt will bring clear policy to boost ecosystem
Ø  PNB eyes IBC route for Rs 6,000cr power NPA recovery

29.08.18 Economic News

👉Govt is planning to compare data filed by companies with Different Departments to detect Discrepancies and check whether there’s been any Leakage in Tax Collected, raising the prospect of even greater scrutiny. For this, GST Returns, Income Tax Filings and Transfer Pricing Submissions will be analysed and synchronised in a manner that hasn’t been possible before.

👉CBDT Extends Deadline for Filing Income Tax Returns for Flood-Hit Kerala Till September 15

👉Bombay HC upholds STT levy on Physically Settled Contracts after the CBDT tells the Court that 0.10% Securities Transactions Tax (STT) would be levied on Physical Delivery of Shares in the Equity Derivatives Segment

👉Govt to amend Warehousing Provisions to Ease Trade. The amendment would provide a Single Point for the Importer or owner to Seek Extension of the Warehousing Period and Pay Duties Online.

👉The Disciplinary Committee of IBBI levies penalty of Rs. 1 Lakh on EY partner CA Dinkar T Venkatasubramanian, who acted as IRP in a NCLT Case, as he authorized payment of his professional fee to Ernst & Young LLP. The Payment was released to EY LLP based on IRP instruction to bank, which is a violation of section 5(13) of the Code

👉Department of Industrial Policy and Promotion  (DIPP) rules out 49% FDI plan in E-Retailing of Limited Inventory Indian Goods and said that there is no plan as such. India allows FDI in Ecommerce Sector through the Marketplace Model wherein the portal cannot hold inventory sold through customers.

👉Days after RBI rejected Kotak Mahindra Bank's plan of taking the Preference Share Allotment Route to reduce promoter Uday Kotak's Shareholding below 20%, Asia's Richest Banker may acquire Another Bank to meet RBI's Promoter Shareholding Norms

28 August 2018 Updates

GST Credit on Motor Vehicle - Section 17(5)

GST is not easy I think you all also agree, and Section 17(5) of the CGST/SGST Act is a tough one to understand
Well after reading the bare act, various articles of other GST experts and consulting with other GST Consultants I have tried answering some queries related to Blocked Credit in respect of Motor Vehicles and other conveyances

Section 17(5) reads as follows

(5) Not withstanding anything contained in sub-section (1) of section 16 and subsection (1) of section 18, input tax credit shall not be available in respect of the following, namely:-
(a) motor vehicles and other conveyances except when they are used -
(i) for making the following taxable supplies, namely:-
(A) further supply of such vehicles or conveyances; or
(B) transportation of passengers; or
(C) imparting training on driving, flying, navigating such vehicles or conveyances;
(ii) for the transportation of goods;

Question 1
 
Company A is in Trading/Manufacturing Business. They have purchased a truck to transport goods to its customers. Can it avail the credit of GST it has paid on such Vehicle purchased??*

Answer 1:

As per my view the credit can be availed as the Vehicle is used for Transportation of goods. Therefore the same is in compliance with the exception provided by Section 17(5)*

Question 2:

Company A also purchased a car for use by its employees in the discharge of their duties or otherwise. Can it avail the credit of GST  it has paid on such car purchased?

Answer2:

The answer is No as the car purchased is not used for any of the purposes specified above  that is neither the car is used for further sale(as Company A is in Trading of goods) nor Company A is in business of Transportation of passengers nor Company A is business of imparting training of driving such Car and nor the car is used in Transportation of goods.
As none of the condition is fulfilled, there is no GST Credit availability.*

Question 3:

 Now the third question that may come to ones mind is that whether GST credit of repair/insurance of the abovesaid truck or car available?

*Answer 3:*
There are two school of thoughts.
Section says "17(5) which says ‘’tax credit shall not be available in respect of following, namely………..”
First view is that "in respect of" of only include purchase, hence credit allowable on expenses w.r.t. motor vehicles.

However, As per second view,
the GST credit of repair /insurance of the Truck shall be available but not of the car.In Here, the wording of Section 17(5) which says ‘’tax credit shall not be available in respect of following, namely………..”The words in respect of shall include purchase, repair, insurance and all related expenses to such vehicle or conveyance.
So if credit is available of GST on Vehicle purchased, then Credit on all expenses related to that vehicle shall be available.
Further, if credit is not available of GST on Vehicle purchased, the credit on all expenses related to that vehicle shall also be blocked
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CBDT has released parameters for manual selection of Income Tax Returns for Complete Income Tax Scrutiny during financial year 2018-19 vide Instruction No. 04/2018 Dated: 20th August 2018.

Niti Aayog has suggested the government to bring down import duty on gold from the existing level of 10 per cent and also slash the GST rate on the precious metal from the current 3 per cent. It has also recommended the govt to review and revamp the gold monetisation scheme and the sovereign gold bond scheme and introduce new gold savings account in banks.

CBIC extends the due dates for filing Form GSTR-3B for the m/o JUL’18 & AUG’ 18 for the registered persons in the flood affected Kerala, Kodagu district in Karnataka and Mahe in the UT of Puducherry to 05.10.18 & 10.10.18 respectively– NotiNo.36/2018 – CT, dt.24.08.18.

The office of the state GST (erstwhile commercial tax department) has issued a notification offering existing taxpayers a window till August 31 to complete their migration to GST.

SEBI extended the trading timings in securities lending and borrowing (SLB) segment by over two hours till 5 pm. "It has been decided to permit stock exchanges to set their trading hours in the SLB Segment... between 9 AM and 5 PM," the Securities and Exchange Board of India (Sebi) said in a circular.

ICAI releases ICAI Valuation Standards effective for the valuation reports issued on or after 1st July, 2018. https://resource.cdn.icai.org/51432vsb41162.pdf.

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No Penalty on Refund of Advance from Customers in Cash under a Bonafide Belief: ITAT [Read Order]

Read more at: http://www.taxscan.in/penalty-refund-advance-customers-cash-bonafide-belief-itat/27516/
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Election 2018: ICAI restricts publication of Photographs of Candidates in Journals, Newsletters etc*

Read more at: http://www.taxscan.in/election-2018-icai-restricts-publication-photographs-candidates-journals-newsletters/27541/
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MCA

As per the extant rules, in respect of an individual who is in possession of Duplicate/Multiple DINs, he can retain the Oldest DIN only. DINs obtained later have to be surrendered. Further DIN once associated is NOT eligible for surrender. Stakeholders may kindly take note and plan accordingly.
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Govt to make it compulsory for unlisted companies to issue shares in demat form

The government will soon make it mandatory for unlisted companies to issue new shares only in the dematerialised form . Besides, the unlisted corporates would have to ensure that shares are transferred only in dematerialised (demat) or electronic form.

Read more at:

//economictimes.indiatimes.com/articleshow/65550598.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst
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Non-filing of financials by companies to be decriminalised

In a major relief to the corporate sector, non-filing of financials by the companies with the government may soon be decriminalised and recategorised as a civil offence punishable with fine only. Currently, non-filing of financial statement and annual return is a criminal offence with a provision of imprisonment as well as fine.

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Now, FPIs need to fill only one form for registration, bank a/c, demat and PAN
The government has introduced a single application form for foreign investors to enter into the domestic capital market as part of the exercise to improve ease of doing business.

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SEBI

SEBI, with a view to facilitate physical settlement of equity derivatives contracts, market regulator has extended the trading timings in the securities lending and borrowing (SLB) segment till 5 pm. Currently, trading is allowed in the segment from 9.55 am till 3.30 pm. The SLB mechanism allows short-sellers to borrow securities for making deliveries. The move is aimed at facilitating physical settlement of equity derivatives contracts. The decision comes after the markets watchdog in May permitted exchanges to extend the trading time in equity derivatives contracts by more than eight hours till almost midnight from October 1. The extended timing is similar to the trading hours for commodity derivatives segment, which is presently fixed between 10 am and 11.55 pm. The move was part of SEBI’s efforts to enable integration of stocks and commodities trading on a single exchange.
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Govt panel suggests ways to curb shell companies, de-clog NCLT

🍬There were more than 11.89 lakh active companies at the end of June. Out of them, 71,506 were public companies and over 11.10 lakh companies were private ones, as per data compiled by the ministry.

⛱According to the officials, having shares in the dematerialised form would also bolster the Know Your Client (KYC) framework for unlisted companies and prevent instances such as pledging of duplicate shares

🚥 Officials said that to begin with, issuance of new shares and transfer of shares by unlisted companies would have to compulsorily be in the demat form and that the decision has been taken after extensive discussions with stakeholders. With respect to issuance of bonus shares and stock split also, the entities would have to issue them in the demat form, they added.

🍍 the unlisted corporates would have to ensure that shares are transferred only in dematerialised (demat) or electronic form.

🍧 Initially, these regulatory requirements, expected to be effective from the first week of October, would cover more than 70,000 public companies, two senior government officials told PTI.

Source input

https://www.financialexpress.com/market/dematerialisation-of-shares-government-to-make-it-compulsory-for-unlisted-companies-to-issue-shares-in-demat-form/1293502/
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First National CSR Awards: MCA invites entries for nominations

🥧The Corporate Affairs Ministry (MCA) has invited entries for nominations for the first ever National CSR Awards from central ministries/Departments; State and Union Territories Governments; professional institutions (ICAI, ICSI and ICMAI) and national level trade and industry chambers.

🍭 A nominating organisation can nominate up to a total of 10 entries in all categories of Awards. Companies may directly submit their applications in a suitable category to these organisations.

⛱The nominations can be made on www.csr.gov.in. Last date for submission of application and nominations is September 30.

🚥In all, there are 20 prizes for National CSR Awards, an official release said.

🍇There are three categories of Awards. These are. ' Corporate Awards for Excellence in CSR';
'Corporate Awards in CSR in Challenging Circumstances' and awards based on contribution to National Priority Schemes.

Srivats.kr@thehindu.co.in

https://www.thehindubusinessline.com/news/first-national-csr-awards-mca-invites-entries-for-nominations/article24780134.ece