IMPORTANT UPDATES FOR CHARTERED ACCOUNTANTS - 24 Aug 2015

➡ IMPORTANTS NEWS

1. Govt. enables online filing of form FC-TRS for transfer of shares between NRs and Residents via e-Biz portal

➡ INCOME TAX

1. Even if advance forfeited by supplier wasn't allowable as bad-debt, yet it could be considered as business loss. 60 taxmann.com 82 (Guwahati - Trib.)

2. 60 taxmann.com 206 (Bombay)Where assessee- joint venture company did not execute contract work on its own and same was done by one of its constituents, as there was no finding of receipt of any income by assessee on account of said contract, same would not be taxable in its hands.

➡ BANKING AND CORPORATES LAWS
1. SEBI proposes to allow Infra Investment Trusts to invest in two level SPVs and to reduce sponsor's commitment.

➡ CST AND VAT LAWS
1. August 22, 2015[2015] 60 taxmann.com 191 (Karnataka) CST & VAT: Karnataka VAT - Only condition for making further reassessment under section 39(2) in addition to earlier reassessment is when authority takes notice of further evidence

2. The purchaser need not to reversed input tax credit unless seller has claimed refund in case of incentive given or credit note issued ruled by Delhi high Court.

➡ SERVICE TAX AND EXCISE LAWS.

1. Service Tax could not be levied to indivisible works contract prior to 1-6-2007.

2. 59 taxmann.com 460 (Bombay) Excise & Customs : Tribunal does not have power to dismiss appeal for default or for want of prosecution, without adjudication on merits; and if appeal has been so dismissed, Tribunal must restore same subject to reasonable conditions.

- CA Kasliwal Ambar

IMPORTANT NEWS & UPDATES FOR CHARTERED ACCOUNTANTS - 20th Aug 2015

➡ IMPORTANTS NEWS

1. Govt. notifies 'Challan No. ITNS 284' for depositing taxes under Black Money Act.

2. RBI grants approvals for 11 payment banks including Reliance, Airtel, Vodafone

➡ INCOME TAX

1. Compounding fee paid to Municipal Corporation is in nature of penalty disallowable.

2. 60 taxmann.com 287 (Chennai - Trib.) ITAT allows sec. 11 tax exemption to Tamil Nadu Cricket Association.

3. High Court has inherent power to review its own judgment, says Supreme Court.

4. 60 taxmann.com 135 (Bombay) No concealment penalty if sum treated as capital receipt was disclosed in notes to accounts and return.

➡ BANKING AND CORPORATES LAWS
1. 60 taxmann.com 285 (SAT - Mumbai) Where in guise of running real estate business, PACL was running sham Collective Investment Schemes (CIS) which were detrimental to interest of investors, decision of SEBI directing PACL to wind up existing CIS and refund money collected from investors with promised return could not faulted.

➡ CST AND VAT LAWS
1. 60 taxmann.com 123 (Gujarat) Gujarat VAT - Where Assessing Authority cancelled registration certificates of assessee on ground that alleged purchases made by it from two dealers were bogus and not genuine and even assessee had indulged into billing activities only, registration certificates had been rightly cancelled.

➡ SERVICE TAX AND EXCISE LAWS.
1. 60 taxmann.com 122 (SC): Wharfage charges and lease rent recovered by port authorities cannot be regarded as 'service' in relation to 'a vessel or goods' and cannot be said to be a service provided by 'port or person authorised by it'; hence, same is not liable to service tax under port services.

2. Excise :No personal penalty on directors where issue relates to interpretation of law and situation is revenue neutral.

- CA Kasliwal Ambar