Why you should file your tax return by July 31 i.e due date of filing ITR

The due date for filing income tax return for individuals-July 31 - is fast approaching but several people think that if one has paid all one's taxes there is no adverse consequence even if one misses the tax return filing deadline. However, this is not correct. Even if all your taxes have been paid you would still lose out on certain benefits if you do not file your income tax return by the due date. 

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CBEC has formed a committee to identify the key concerns and sort them out through dialogue between center and States

There are a lot of square brackets or what are called unresolved issues with respect to the proposed GST, which may create hassle for the taxpayers.

In order to iron out administrative differences between the Centre and states over the proposed goods and services tax (GST)  regime, the Central Board of Excise and Customs (CBEC) has formed a committee to identify the key concerns and sort them out through dialogue. The issues include administrative threshold as well as revisionary powers.
 

“There are a lot of square brackets or what are called unresolved issues with respect to the proposed GST, which may create hassle for the taxpayers. Therefore, the committee has been formed to look into each of these issues and take them up with the states,” said a government official.

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Ananth Kumar Says Early Passage Of Goods And Services Tax Bill Will Be Priority

NEW DELHI:  The whole country is in favour of Goods and Services Tax (GST) Bill, Union Parliamentary Affairs Minister Ananth Kumar today claimed and said passage of this "very important" bill will be his priority for which government will talk to all political parties.

"GST is a very important bill. The whole country is in favour of passing this bill as early as possible. We will talk, discuss and request all political parties that this bill should be passed in this session (Monsoon), so that it can be implemented as early as possible," he told reporters after assuming his new charge.

Mr Kumar was given the portfolio in the reshuffle of ministries by Prime Minister Narendra Modi yesterday. He replaces Union Minister M Venkaiah Naidu.
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A Note on Krishi Kalyan Cess-KKC-Updated

Recently vide Notification 35/2012 ST dated 23 June 2016, Government has exempt from levy of KKC if the conditions mentioned in the notification satisfied.

Accordingly it has exempted taxable services from levy of Krishi Kalyan Cess (“KKC”) in cases which satisfies the following two conditions:

– Where invoices have been raised prior to 01.06.2016; and

– Where provision of service has been completed prior to 01.6.2016.

Thus no KKV shall be levied in case where provision of service completed and invoice has been raised prior to 01.06.2016 or.

If both conditions not satisfied , POT shall be determined as per Rule 5 of POT rules. Please download the note from the Link Below or write to me if not able to download "cackbajpai@gmail.com"

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Quarterly Revision of Interest Rates for Small Savings Schemes

Quarterly Revision of Interest Rates for Small Savings Schemes

On the basis of the decision of the Government, interest rates for small savings schemes are to be notified on quarterly basis. Accordingly, the rates of interest on various small savings schemes for the second quarter of financial year 2016-17, on the basis of the interest compounding/payment built-in in the schemes, shall be as under:

Builder/developer failed to deliver peaceful possession liable for compensation and Interest

Builder/developer, entered into registered agreement with the complainant on 13-9-2012 for sale of flat of the project developed by him. No date of possession was mentioned in clause 50 of the said registered agreement. Complainant has paid the entire consideration except the amount required to be paid at the time of handing over possession. The opponent failed to deliver peaceful and vacant possession of the subject flat even though opponent were in position to obtain occupation certificate from competent authorities on 12-8-2013. Consumer complaint has been filed praying for handing over possession of the subject flat and claiming monetary relief of Rs. 30,90,817/- for the deficiency of service on the part of the opponent.

The Hon’ble State Consumers Disputes Redressal Commission observed and held that failure on the part of opponent resulted into consumer dispute and the complainant was unnecessarily dragged to knock the doors of the State Commission subjecting to mental agony for his no fault. Therefore, suitable compensation on account of the avoidable delay to hand over the possession would meet the ends of justice.

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Self-Adjustment of excess service tax paid by Assessee

The hon’ble CESTAT NEW DELHI, in case of  'M/S PUNJAB NATIONAL BANK VERSUS C.C.E. & S.T.CHANDIGARH' held that Self adjustment of excess service tax paid can be done against the service tax liabilities for subsequent period.

Audit can be done by only Auditor- Delhi High court decision

The Delhi high court, in a leading judgement delivered on 3rd June, 2016, has declared service tax audit being conducted by Central Excise and Service tax department as ultra virus, in the matter of Mega Cabs Vs UOI. The matter was argued by Mr. J.K. Mittal, FCA as advocate of the petitioner.

The court held that audit is a specialized function and cannot be delegated to service tax department or Excise department. It has been a general practice of the service tax department to conduct Audit of Service tax assesses for the last 5 years by deputing own officers of the rank of inspectors and Superintendents. Service tax department also seeks voluminous details and seek information in self- specified formats/ annexures. Now this judgement made it clear that the officers of the department have no power to conduct Audit at all. The honorable High Court has also held that the CAG officers have no power to conduct audit of assessee's records.

Buy 1 get 1 free’ deals to come under GST

Free samples and gifts offered with purchases as well as popular ‘buy-one-get-one-free’ deals may attract the proposed Goods and Services Tax (GST) levy which government plans to roll out from April 2017.
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Input tax credit cannot be denied because seller has not deposited the tax collected

Fact of the Case:- the petitioner is a partnership firm under the name and style of M/s Gheru Lal Bal Chand, engaged in the business of sale and purchase of cotton. The petitioner procures material from different persons and sells the same in terms of the provisions of the relevant Act and the Rules and the tax which is paid by the dealer after deduction of Input Tax Credit is paid in the treasury. The firm is registered under the provisions of Act as well as the Central Sales Tax Act, 1956 (in short, the 'Sales Tax Act'). As per the petitioner, the scheme under the Act is that on the sale of goods, tax calculated would be treated as "output tax". But if the purchases are made from within the State of Haryana, the tax paid on such purchases is to be set off from the out-put liability and resultant tax liability is paid by the selling dealer. The assessing authority observed that the petitioner was not entitled for deducting input tax credit as per provisions of Section 8 of the Act, because the Value Added Tax (VAT) dealers from whom the petitioner had purchased certain goods had not deposited the full tax in the State Treasury. The stand of the dealer, however, is that it made bona fide purchases from the selling dealers who were duly registered by the Assessing Authority under the Act and irrespective of the fact, whether they paid full tax or not, he should be allowed the necessary input Tax Credit. The said selling dealers discharged their tax liability and deposited the tax payable by them by deducting the input tax credit available to them.