Corporate Snippets on Jan 20
Ø State-owned firms may be able to dodge the Rs 2.4L cr AGR bullet
Ø Passenger vehicle exports rise 6% in April-Dec
Ø Government mulls corporatising KVIC’s marketing unit
Ø Govt. considering specific excise duty on ATF
Ø National database of workers in informal sector in the works
Ø RIL's earnings parity expected by FY22 in consumer, core business
Ø China to increase US imports according to 'market principles': Official
Ø Piramal Enterprises' Rs 3,650-cr rights issue subscribed 8% ahead of close
Ø ArcelorMittal-Nippon plans to take control of captive jetty at Hazira
Ø IOC ties up with Cummins for bulk dispensing of diesel exhaust fuel ‘ClearBlue’
Ø Commerce Ministry wants tighter curbs on duty-free sale of alcohol, tobacco
Ø Govt’s reforms have been transformative: Sitharaman
Ø Power generation, demand continue to slide for fourth straight quarter
Ø Kia Motors eyes full capacity utilisation with slew of new models
Ø RIL outperforms industry in petrol, diesel sales from its 1,400-odd outlets
Ø Despite its limited success, RBI needs to persevere with Operation Twist
Ø Tailwinds to domestic growth may add more potency to pharma’s Q3
Ø India may miss tax collection target for 2019-20 by nearly Rs. 2.5 lakh cr: Garg
Ø Interim dividend issue may be on the agenda of next RBI board meeting
Ø Neighbourhood First: India-Bangladesh to sign trade agreement soon
Ø DLF asked to register transfer of shares to investor’s legal heirs
Ø HCL Technologies expects strong demand across sectors in coming quarters
Ø Stainless steel industry seeks zero duty on ferro-nickel, scrap in upcoming Budget
Ø Investment in equity MFs drops 41% to Rs 75,000 cr in 2019 on slow economy
Ø M&M subsidiary to acquire e-com market platform Fifth Gear Ventures
Ø Over 70 per cent dip in 100 days work under MGNREGA
Ø Bank unions call two-day strike from Jan 31
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GST In an Appeal filed before Appellate AAR under GST, West Bengal by Ashish Ghosh [2020 (32) G.S.T.L 225]- Applicant procured contracts for filing in the compound, tank, lowland with silver sand and earthwork in layers. WBAAR held that such activity is not the contract for supply of goods but transfer of property in such goods in the course of site preparation and thus Works Contract. Applicant contention that in the said involves 90% as supply of sand and 10% being service, hence the said contract is "composite supply". WBAAAR held that appellant work is improvement and modifications of land for future construction and hence appellant content that supply of sand being principal supply is not correct.
*- In an Application filed before AAR under GST, Jharkhand by P.K Agarwalla [2019 (20) G.S.T.L 605]- Major part of contract involving earth related to clearing of earth, excavation, supplying and laying of earth and impervious clay.
a. Clearing of site of all permanent construction
b. Supply and transport of earth
c. Supply and transport impervious clay
d. Supplying laying and compacting uniformly graded filters of crushed stone
e. Providing and laying stone
The major part of the contract involves earth work i.e., more than 75% of the work involves earth work, we hold the same. Earth Work’, we find that the said work order qualifies for the benefit of Serial No. 3 of Notification No. 39/2017, dated 13-10-2017. GST will be applicable at the rate of 5%
* In an application filed before AAR under GST, Mizoaram by Sheldia Associates, INC, USA [2020 (32) G.S.T.L 240] – Applicant to provide services by way of providing engineering, Project Management, Project Planning, Construction Supervision Services of 81KM length of State Highways and major District Roads to PWD, Govt of Mizoram.
Pure Services are exempted subject to
a. Excluding works contract service or other composite supplies involving supply of any goods)
b. provided to the Central Government, State Government or Union territory or local authority or a Governmental authority by way of any activity
c. in relation to any function entrusted to a Panchayat under article 243G of the Constitution or in relation to any function entrusted to a Municipality under article 243W of the Constitution.
State Highways and District Roads are not within the limits of Panchayats and Municipalities. Since third condition could not be satisfied, hence such services are outside the ambit of exemption.
GST/ST Alert 286- In an Appeal filed before Appellate AAR, GST Odisha by Penguin Trading and Agencies Limited- Licensing services for Right to use Minerals including its exploration and evaluation being Lease by Government not being lease of any goods. Conditional rate of tax applicable to sale of like goods cannot be imported for prescribing the rate of GST applicable to leasing of Mining Area. Impugned service to be covered under revised Entry No (viii) of Notification No. 11/2017 C.T Rate attract GST @ 18%.
While Importing Goods Mention Correct HSN Code in Bill of Entry
Industry minister Piyush Goyal warned against imports under the ‘others’ category, the ministry issued a trade notice on Friday asking traders to strictly mention the respective tariff codes (called HS code in trade parlance) in their bills of entry at the time of imports, failing which the government will consider imposing restrictions for inbound shipments of those goods
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Revenue department has set a target of Rs 1.18 lakh crore of average monthly Goods and Services Tax (GST) collection in the remaining three months of the fiscal (January-March) and has asked the indirect tax department to specially focus on fraudulent input tax credit (ITC) claims as revealed in data analytics review.
GST authorities have zeroed in on about 40,000 companies for claiming excess or wrongful tax rebates, who will now be pursued for recovery of tax dues. If the authorities are not able to recover tax dues from the identified companies with the electronic communication such as emails and text messages, they will be visited by officials and further steps will be taken.
Ahmadabad bench of National Company Law Tribunal has admitted a petition filed by IDBI bank to initiate corporate insolvency resolution process (CIRP) against Anil Ambani's Reliance Naval and Engineering Limited (RNEL) for failing to repay the debt.
Central Government agreed to take over troubled real estate giant Unitech to streamline the management of the company which is in a financial mess caused by siphoning off of more than 50% of money deposited by individuals and financial institutions.
Reserve Bank of India has included the National Population Register letter as an officially valid document (OVD) for Know Your Customer (KYC) verification for opening bank accounts or applying for credit cards. The Reserve Bank of India has also allowed a video based customer identification process for verification.
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👉Pending Due Dates for JANUARY 2020
▶ Today 20 Jan 2020 :-
# GSTR-3B Return - Due date for filling GSTR – 3B return for Previous month
# GSTR-5A:- Return by person providing online information and database access or retrieval services by a person located outside India made to Non-Taxable persons in India for the previous month
*GSTR-5* - Due date of GSTR-5 (for Non-resident Taxable person) for the Previous month.
▶ 30-01-2020
# Furnishing challan-cum-statement in respect of tax deducted u/s 194-IA/IB in month of Dec 19.
# Furnishing challan-cum-statement in respect of tax deducted under section 194M in the month of December, 2019
▶ 31 Jan 2020 :-
# TDS Quarter Return: - Quarterly statement of TDS deposited for the previous quarter.
# GSTR – 01 - GST Filing of returns by registered person with aggregate turnover up to 1.50 crores.
# GSTR-9 Annual Return - Annual Return to be filed by Regular Taxpayers filing GSTR 1, GSTR 2, and GSTR 3. It needs to be filed electronically on the GST portal directly or through a facilitation center.
# GSTR-9A -Taxable Persons paying tax under Section 10 of CGST Act, the composition scheme, are required to submit their annual returns in Form GSTR 9A.
# GSTR-9B - Annual Return to be filed by e-commerce operators who have filed GSTR 8 during the financial year.
# GSTR-9C - Taxpayers whose annual turnover exceeds INR 2 crores in a Financial Year are required to get their accounts audited by a practicing Chartered Accountant or Cost Accountant before filing returns in Form GSTR 9C.
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Transitional Credit- GST- There were several decisions in 2019 that with proof of technical glitches one can seek opening of portal by revenue.
NOW ONE WITH - Proof of technical glitches not required- Delhi HC in the case of SRC AVIATION (P) LTD observed rightly –
The credit standing in favour of an assessee is “property” and the assessee could not be deprived of the said property save by authority of law in terms of Article 300 (A) of the Constitution of India. There is no law brought to the notice of the Court which extinguishes the said right to property of the assessee in the credit standing in their favour. Missed credits application to be made, where rejected resubmitted with the support of this case law.
Enterprises (Guj HC) in Sep 2019 discussed article 300A in same sprit.
And further P&H HC on 04.11.2019 in case of Adfert Technologies also dealt article 300A and given its verdict in bit twisted manner by allowing credit to persons who could not filed the form Tran 1 & also doesn’t have the evidence to show that they tried to file.