VASAI BRANCH OF WIRC NEWSLETTER for August 2014.pdf · Raksha bandhan, Independence day,...

www.vasai-icai.org August 2014T E A Mogether veryone chieve ore

NEWSLETTER

VASAI BRANCH OF WIRCT E A M

The Institute of Chartered Accountants of India

` 25/- For Members Only

Happy Raksha Bandhan

The Institute of Chartered Accountants of India Vasai Branch of WIRC Newsletter2 August 2014

Regional Conference for CA Students 2014 held on 2nd & 3rd August 2014

PHOTO - GALLERY

Felicitation of Vasai WICASA Co-ordinator by gracious hand CA. Uttam Prakash Agarwal, Past President-ICAI

(L-R) : CA. Dayaram Paliwal (Chairman- Vasai Br. of WICASA), CA. Umesh Mestry (Vice–Chairman Vasai Br.), CA. Preksha Jain (Secretary & Treasurer -Vasai Br.), CA. Julfesh Shah, (Vice Chairman – WIRC), CA. Prafulla Chhajed (Vice Chairman–BOS), CA. Anil Bhandari, (Chairman – WIRC), CA Kishor Vaishnav (Chairman–Vasai Branch of WIRC), CA. Shruti Shah, (Secretary–WIRC),

CA. Satyanarayan Mundada, (Chairman–WICASA) & Ms. Pinky Mistry (Vice Chairperson–Vasai WICASA) at Regional Conference.

Group Photo taken at Inauguration session in the presence of CA. Prafulla Chhajed (Vice Chairman- BOS), CA. Anil Bhandari, (Chairman – WIRC), CA Kishor Vaishnav

(Chairman-Vasai Brnach of WIRC) & various eminent dignitaries.CA. Kishor Vaishnav (Chairman- Vasai Branch of WIRC) presenting Bouquet to

CA. Anil Bhandari (Chairman – WIRC)

CA. Umesh Mestry (Vice-Chairman Vasai Br.) presenting Bouquet to CA. Prafulla Chhajed(Vice Chairman- BOS)

CA. Vimal Agarwal (Committee Member-Vasai Br.) presenting Bouquet to CA. Sunil Patodia (RCM)

CA. K.B.Kothari (Committee Member-Vasai Br.) presenting Bouquet to CA. Jay Chhaira (CCM)

CA. Preksha Jain (Secretary & Treasurer -Vasai Br.) presenting Bouquet to CA. Julfesh Shah (Vice Chairman – WIRC)

CA. Ramanand Gupta (Imm. Past Chairman- Vasai Br.) presenting Bouquet to CA. Satyanarayan Mundada (Chairman – WICASA)

Ms. Pinky Mistry (Vice Chairperson-Vasai WICASA ) presenting Bouquet to CA. Shruti Shah (Secretary-WIRC )

3The Institute of Chartered Accountants of India Vasai Branch of WIRC Newsletter August 2014

I once again thank all of you for your strong support & neverending enthusiasm shown during this IRRC Tashkent.Forthcoming ProgrammeOn 24th August 2014, Seminar on Awareness Programme on Financial Reporting Practices as a measure for developing and maintaining a sound financial reporting system in the country by reviewing the General Purpose Financial Statements of various enterprises with regard to the compliance with generally accepted accounting principles and the standards of ICAI and, WIRC office bearers will be felicitated on the same day.Certificate Course on Indirect Taxes is schedule in October month which focus on key area such as Overview of indirect taxes, value added tax, central excise duty, customs duty, service tax, GST and Foreign Trade Policy, we request you to take advantage of the said course by early enrolment.Certificate Course on Concurrent Audit - The Internal Audit Standards Board of the ICAI is pleased to offer Certificate Course on “Concurrent Audit of Banks” to enable members to understand the intricacies of Concurrent Audit of Banks. By undergoing this Certificate Course you will be able to hone your skills in carrying out internal check of the transactions and other verifications and compliance with the procedures laid down. We request you to take advantage of said course by early enrolment.Campus Placement Programme for Newly Qualified Chartered Accountants on 3rd & 4th September at Bhayandar. This Placement Programme of the Institute provides an excellent opportunity to the recruiters to peruse the particulars of a large number of Chartered Accountants, interview and recruit the suitable ones in their organisation. The scheme provides an opportunity – both to employing organisations as well as the young professional aspirants to meet and explore the possibility of having a mutually beneficial relationship.We request your valuable involvement to popularizethe Campus Placement Programme and making the programme a resounding success.As CA results were declared. Some had cleared and some not, Never lose hope, come again and combat.“Pursue your goal, even in the face of difficulties. Convert difficulties into opportunities.”

With Warm Regards

CA Kishor Vaishnav

“Keep your thoughts positive because your thoughts become your words. Keep your words positive because your words become your behavior. Keep your behavior positive because your behavior becomes your habits. Keep your habits positive because your habits become your values. Keep your values positive because your values become your destiny.”

― Mahatma GandhiI would like to extent my wishes to all of you on the occasion of Raksha bandhan, Independence day, Janmashtami.May Lord Ganapathi shower you with success in all your endeavors. Happy Ganesh Chaturthy.A hard beginning maketh a good ending….It’s another year, another opportunity and yet another extravagant event. Vasai Branch of WIRC & Vasai Branch of WICASA has been consistent in delivering successful events year on year. The dream of organizing a Regional Conference for CA Students came true, mainly because of the efforts of CA. K. Raghu – President of ICAI, CA Manoj Fadnis– Vice-President of ICAI, CA. M. Devaraja Reddy-Chairman of Board of Studies and CA Anil Bhandari – Chairman of WIRC.It is said that ‘Guidance is like a flash tunnel, it does not shine in all corners at once, but provides with enough light to keep moving’. The grand occasion was inaugurated by by CA. Prafulla P Chhajed Vice Chairman –BOS and CA. Anil Bhandari, Chairman – WIRC & his team and various eminent dignitaries.I am also thankful to all Technical Chairmen and Special Session Chairmen who chaired and enlightened the Subject Knowledge and motivated the Paperwriter and Participants. My heart fills with pride in acknowledging the efforts, enthusiasms and perseverance of those who were committed to create their presence and their contributions in making it a success and a mark of professional triumph. Our aim is to groom the students to be good and successful Chartered Accountants so that they can use their talents for the welfare of the society in the process of nation building and bringing up our grand image as Good and useful Regulators on the field of accounting, auditing, management i.e. Good governance. Acknowledging the efforts, enthusiasm and perseverance of all My Committee Team and Vasai WICASA Team.Seventh IRRC at Tashkent- It has indeed been a fantastic event, the memories of which shall be remembered & cherished throughout. I would extent my heartiest thanks to Committee for Members in Industry for giving us the opportunity to organise this IRRC.

CHAIRMAN’S COMMUNICATION

T E A M

MANAGING COMMITTEE

CA. Kishor Vaishnav Chairman CA. Umesh Mestry Vice-ChairmanCA. Preksha Jain Secretary & Treasurer

CA. Dayaram Paliwal WICASA-ChairmanCA. Ramanand Gupta Imm. Past ChairmanCA. K. B. Kothari Committee Member

CA. Vimal Agarwal Committee MemberCA. Sumeet Doshi Committee MemberCA. Shruti Shah WIRC-Nominee

3August 2014

EDITORIAL BOARDEditor : CA. Kishor Vaishnav Joint Editor : CA. Vimal Agarwall CA. Unmesh Narvekar, l CA. Haresh Mehta, l CA. Pramod Dhamankar, l CA. Hemant Shah, l CA. Haresh Kenia, l CA. Lalit Munoyat, l CA. Kamal Dhareva, l CA. Preeti Agarwal, l CA. Rajesh Utkur, l CA. Sanjay Paharia.


FORTHCOMING PROGRAMMES FOR MEMBERS

Date Seminar on Timings Venue Speakers Co-ordinators Fees CPE12th Aug 2014 to 17th Aug 2014

IRRC at Tashkent – Tashkent CA. Durgesh Kabra CA. Sanjay Sonawane CA. Lalit Bajaj CA. Dayaram Paliwal

CA. Ramanad Gupta 9322231113 – 9 Hrs

24th Aug 2014 Felicitation of WIRC office Bearers & Awareness Programme on Financial Reporting Practices

9.30 am to 5.30 pm

New Zaika, Opp. Venkatesh, Bhayandar (West)

CA. Nilesh S. Vikamsey CA. Nihar Jambusaria CA. N. Jayendran CA. Abhay Mehta

CA. Preksha Jain 9029877140 CA. Dayaram Paliwal 9320331010

` 300/- 6 Hrs

3rd & 4th September 2014

Campus Placement for Newly CA.

– Amruta Building, Indralok Phase-II, New Golden Nest Road, Bhayandar (East)

– CA. Umesh Mestry 9320473468 CA. Preksha Jain 9029877140 CA. Vimal Agarwal 9320617447 CA. K.B. Kothari 9594196090 CA. Sumeet Doshi 9896525956

` 250/- –

13th Sept 2014 Seminar on Tax Audit 5.30 pm to 8.30 pm

Amruta Building, Indralok Phase-II, New Golden Nest Road, Bhayandar (East)

CA. Avinash Ravani CA. K.B.Kothari 9594196090 CA. Lalit Bajaj 9867692321

` 100/- 3 Hrs

11th Oct 2014 to 23rd Nov 2014 (Every Sat & Sun)

Certificate Course on Indirect Taxes

9.30 am to 5.30 pm


Eminents CA. Umesh Mestry 9320473468 CA. Vimal Agarwal 9320617447 CA. K.B. Kothari 9594196090

` 15000/- 70 Hrs

27th Dec 2014 to 11th Jan 2015 (Every Sat & Sun)

Certificate Course on Concurrent Audit of Banks

9.30 am to 5.30 pm


Eminents CA. Dayaram Paliwal 9820331010 CA. Preksha Jain 9029877140 CA. Sumeet Doshi 9869525956

` 12500/- 36 Hrs

FORTHCOMING PROGRAMMES FOR STUDENTS

Date Seminar on Timings Venue Speakers Co-ordinators Fees CPE30th Aug 2014 Quiz & Elocution Contest – Amruta Building,

Indralok Phase-II, New Golden Nest Road, Bhayandar (East)

– Ms. Pinky Mestry 8286287730 Ms. Archana Sakpal

– –

Sept 2014 Debate Competition – Amruta Building, Indralok Phase-II, New Golden Nest Road, Bhayandar (East)

– Ms. Pinky Mestry 8286287730 Mr. Kalpesh Dhakad 9769332789

– –

FORTHCOMING - PROGRAMMES

Quiz & Elocution Competition- 2014Day & Date- Saturday, 30th August 2014

-: Venue :-Amruta Building, Indralok Phase-II, New Golden Nest Road, Bhayandar (East),

Details Contact-02265568900/01.

Topics for Branch Level Elocution Contest, 2014-151. Role of Practical Training in Developing Competent Professionals.

2. Rotation of Auditors.

3. Corporate Social Responsibility Reporting Obligations under the Companies Act, 2013.

4. Implementation of Ind AS: Final Step Towards Convergence.

5. Input Service under CENVAT Credit Rules, 2004 : Issues and probable solutions.


CAMPUS PLACEMENT - PROGRAMME


PROGRAMME - SCHEDULE

Venue Vasai Branch of WIRC Amruta Building, Indralok Phase II, New Golden Nest Road, Bhayander ((E)

Day & Date 27th Dec 2014 to 11th Jan 2015 (Every Sat & Sun)Timing 9.30 am to 5.30 pmParticipation Fees ` 12500/- Payable by Cheque/DD in favour of

Secretary, ICAI payable at DelhiCourse Chairperson CA. Jyoti Singh

Secretary, Internal Audit Standards BoardCourse Director CA. Kishor Vaishnav

Chairman – Vasai Branch of WIRCCourse Co-ordinators CA. Dayaram Paliwal 9820331010

CA. Preksha Jain 9029877140CA. Sumeet Doshi 9869525956

For Registrations 022-65568900/01

CPE 36

HRS

Certificate Course on Concurrent Audit of Banks

Venue Vasai Branch of WIRC Amruta Building, Indralok Phase II, New Golden Nest Road, Bhayander (E)

Day & Date 11th Oct 2014 to 23rd Nov 2015 (Every Sat & Sun)Timing 9.30 am to 5.30 pm

Participation Fees ` 15000/- Payable by Cheque/DD in favour of Secretary, ICAI payable at Delhi

Course Chairperson CA. Surbhi Jain Secretary, Indirect Taxes Committee

Course Director CA. Kishor VaishnavChairman – Vasai Branch of WIRC

Course Co-ordinators CA Umesh Mestry 9320473468CA. Vimal Agarwal 9320617447CA. K.B. Kothari 9594196090

For Registrations 022-65568900/01

CPE 70

HRSCertificate Course on Indirect Taxes

Date Particular27-Dec-14 Inaugural Session

Legal and Regulatory Frame work, KYC norms & Obligation of banks under Prevention of Money Laundering Act (PMLA 2002)Negotiable Instrument Act, 1881Effective Concurrent AuditDiligence Reports for Banks

28-Dec-14 Loans and Advances, Book Debts and Stock Audit, Banker Panel Discussion (GMs of Banks to Address)

03-Jan-15 Concurrent Audit Procedures

04-Jan-15 FOREX & TRADE Fraud Detection, Classification and Reporting, Discussion on Case Studies on Frauds Occurred in Banking Industries

10-Jan-15 Treasury and Investment Function Part ITreasury and Investment Function Part IIPrudential norms on Income Recognition, Assets Classification and Provisioning pertaining to AdvancesImplementation of Basel Capital Regulatory Requirements in India.Disclosure Requirements

11-Jan-15 Audit in CBS EnvironmentSoftware Usage in Banks – CBS DemonstrationObjective Assessment

Date Area Topics11-Oct-14 General Covering overview of

Indirect TaxesOpportunities in Practice or Employment- Indirect taxes / Overview of Indirect Taxation in India

Constitution related taxation aspects

Aspects of Constitution

Excise Introduction of Excise Law 12-Oct-14 Custom Introduction to Custom Law

Foreign Trade, SEZ and Refunds

Foreign Trade Policy

Duty drawback and Export Promotion Schemes under Foreign Trade Policy like SEZ, Refund under Exports of Goods for Service tax

18-Oct-14 Service Tax Levy of Service Tax and Negative List, Declared Services (With Recent Case Law, Notification and Circulars)

Major Exemptions including Mega Exemption Notification / Abatements (With Recent Case Law, Notification and Circulars)

19-Oct-14 Service Tax Service Tax Rules ,1994 (Rule by Rule) and Reverse Charge and Joint Charge (With Recent Case Law, Notification and Circulars)

Point of Taxation Rules and (Rule by Rule) (With Recent Case Law, Notification and Circulars)

01-Nov-14 Service Tax Place of Provision of Service Rules (Rule by Rule) (With Recent Case Law, Notification and Circulars)

Determination of Value Rules 2006 (With Recent Case Law, Notification and Circulars)

02-Nov-14 CENVAT CENVAT Credit Rules both excise/ Service tax (With Recent Case Law, Notification and Circulars)

08-Nov-14 CENVAT CENVAT Credit Rules with Practical Illustration and Case Studies

Service Tax Interest, Penalties, and Appellate Procedure (Refer Material of One day Course)

09-Nov-14 Service Tax Handling Show Cause Notice, like analysis of show cause notice, drafting reply of show cause notice, preparation of evidences, etc.

Introduction to Suggested Service Tax Audit Format for Preparedness of Desk Review and Audit Under Service tax

15-Nov-14 Service Tax Case Study on Practical Review of Learning

16-Nov-14 Service Tax Mock TribunalWorks Contract Tax Introduction of Works Contract,

Applicability of VAT and Service tax on Works Contract

22-Nov-14 Central Sales Tax Introduction, Levy and Principal of CST

State VAT law Introduction, Levy and Principal of VAT (State Law relevant to State where program is being organized)

23-Nov-14 GST Introduction, Levy and Principal of GST

Programme Schedule

Programme Schedule

Organized by : Internal Audit Standard Board of the ICAIHosted By : Vasai Branch of WIRC of ICAI

Organized by : Indirect Taxes CommitteeHosted By : Vasai Branch of WIRC of ICAI


RECENT CASE LAWS – & OTHER DEVELOPMENT

— Compiled by — CA. Hemant R. Shah | e-mail: [email protected] |9869011148

HIGH COURT DECISIONS1) Aroni Commercials Ltd vs. ACIT (Bombay HC)WRIT PETITION NO. 1327 of 2013, Dated 16 JULY, 2014

Power to reassess cannot be exercised on the basis of mere change of opinionIn this Case Honourable High Court has held that Writ Petition challenging lack of jurisdiction to issue Notice U/s 148 of the Income Tax Act, 1961 on the ground that it is based on ‘change of opinion’ & preconditions of Section 147 of the Income tax Act,1961 are not satisfied is maintainable.TRIBUNAL DECISIONS1) ACIT vs. M. Baskaran (ITAT Chennai)Section 14A / Rule 8D: No disallowance can be made if there is no exempt income. Cheminvest (SB) & CBDT Circular are not good law:No doubt in Cheminvest Ltd. vs. ITO 121 ITD 318 (SB) the Special Bench of the Tribunal has held that disallowance U/s 14A can be made even in the year in which no exempt income has been earned or received by the assessee. This decision of Special Bench of the Tribunal has been impliedly overruled by the decisions of High Courts in Shivam Motors Pvt. Ltd. (All HC), CIT vs. Corrtech Energy Pvt. Ltd. (Guj HC), CIT vs. Delite Enterprises (Bom HC), CIT vs. Lakhani Marketing (P&H HC), CIT vs. Winsome Textiles Industries Ltd. 319 ITR 204 (P&H) where it has been held that when there is no exempt income and no claim for exemption, section 14A and Rule 8D have no application and no disallowance can be made.Other amendments/developments:1) Form no.3CD Report uploaded in old format not valid + Withdrawal of OLD Utility:The existing Form no.3CA, Form no.3CB and Form no.3CD have been substituted vide Notification no.33/2014 dated 25/07/2014 with immediate effect. Taxpayers and CAs are advised to await the release of the new schema and the Utility to submit in the newly notified aforementioned Forms. Taxpayers and CAs are advised that any upload using the old Forms will not be valid even for previous Assessment Years in view of the notification of CBDT. The new schema and updated utility for e-Filing of the same will be deployed shortly.CBDT has withdrawn old Utility of Form No.3CD. CBDT is expected to release new Utility soon.2) Cenvat Credit on GTA Service- A dilemma solvedGoods Transport Agency (GTA) service is a misconception since its inception. The light of mess ignites more with its coverage under reverse charge mechanism.As per the provisions applicable for GTA Service,o This service is covered under Reverse Charge Mechanism; therefore, the service tax liability is to be paid by the service recipient that being a manufacturer or a Service provider.

o There is an abatement of 75%, therefore the service tax liability is payable on 25% portiono This being an Input Service, the cenvat credit of this service is also available.Now the general rule is that, the cenvat credit is not available when we are providing services availing the benefit of abatement. But this is applicable only on service provider and not on service recipient.Therefore, the cenvat credit of GTA service is available to a service recipient even though the service tax under reverse charge has been paid after claiming abatement of 75%.However, the Central Excise and Service tax department were constantly taking a view that the cenvat credit is not available as the tax is paid after claiming abatement. Or the recipient has to get an undertaking from the provider that they have not claimed the abatement.This issue is set at rest. A new Notification no 08/2014 applicable w.e.f. 11th July 2014 has been introduced.The amendment clarifies that the condition for non- availment of credit is required to be satisfied by the service providers only. Service recipient will not be required to establish satisfaction of this condition by the service provider.2) 18 Key Changes in New / Revised Tax Audit Report Form 3CDCBDT has vide notification no. 33/2014 dated 25.07.2014 revised the format of Tax Audit Report to be furnished under section 44AB of the Income tax Act with effect from 25.07.2014. We have compiled below the key amendments made to the old Form 3CD:-1. Particulars of registration under excise duty, service tax, sales tax, and customs duty etc. – Revised Form 3CD requires Auditors to report registration number or any other identification in respect of all other types of tax liabilities which Assessee is liable to pay. Although Tax Auditor have to report only the Registration details of taxes payable under other statues but he has to check under what other statues Assessee is liable to pay taxes and has to report accordingly. Auditor may also obtain such list from his client. (Clause 4)2. Relevant clause of section 44AB under which the tax audit has been conducted – Now Auditor has to report under which clause of Tax Audit the Audit is been conducted. Now Auditor has to report if the Audit is of Business or Profession or under Presumptive taxation scheme. (Clause 8)3. Location(s) (address(s)) of keeping books of accounts to be given - Revised Audit Report prescribes the requirement to report address of place where books of accounts Audited by the Tax Auditor are kept by the Assessee. If the books of accounts are not kept at one location, Auditor has to furnish the addresses of all such locations along with details of books of accounts maintained at each location. (Clause 11(b))4. Particulars of sale of Land/Building less than Stamp value to be given – Now Auditor has to report where any land or building or both is transferred during the previous year for a consideration less than value adopted or assessed or assessable by any authority of a State Government referred to in section 43CA or 50C. (Clause 17)5. Detailed information to be given on amount debited to P & L a/c of Capital Expenses, Personal Expenses, and Advertisement. (Clause 21(a))


6. Amounts inadmissible under section 40(a) – Revised report restricted the reporting only to sub-clause (i) and (ia). Sub-Clause (i) deals with allowability of payment made to non-resident of such sums on which TDS is deductible, while sub-clause (ia) deals with payment to resident dedcutees. It further requires Auditor to report the name and address of the payee in respect of whom default has been committed. (Clause 21(b))7. Additional Reporting of disallowance U/s. 40A(3A) - Earlier Auditor had to report only the cash payment for expenses incurred during the year in excess of prescribed limit but now the CBDT has casted additional responsibility on auditor to report the cash payment made during the year in respect of expenses incurred in earlier years exceeding the prescribed limit U/s. 40A(3A). Now auditor has to verify all the cash payments in excess of prescribed limits to report under section 40A(3) and 40A(3A). In addition to this auditor also needs to report Cash payment under section 269T if the same relates to any loan or deposit exceeding the limit prescribed under section 269T. (Clause 21(d)).Clause has further removed the reporting requirement of certificate if any been obtained by the Auditor from the Assessee U/s. 40A(3).8. Word Modvat been replaced by the word Cenvat. (Clause 27(a)).9. Reporting of shares acquired without consideration or inadequate consideration- Now Tax Auditor has to report Whether during the previous year the assessee has received any property, being share of a company not being a company in which the public are substantially interested, without consideration or for inadequate consideration as referred to in section 56(2)(viia). It is not clear how a Tax Auditor can determine the Value of shares of a company of which he is not the auditor. This clause applies only to Firms and Companies in which Public are not substantially interested. (Clause 28)10. Reporting of Issue of share at Premium- Whether during the previous year the assessee received any consideration for issue of shares which exceeds the fair market value of the shares as referred to in section 56(2)(viib), if yes, please furnish the details of the same. Clause applies to Companies in which Public are not substantially interested. (Clause 29).11. Non reporting of Certificate Under section 269SS and 269T – Now Auditor not required to report whether or not he has obtained any certificate from Assessee Under section 269SS and 269T of the Income Tax Act,1961.12. Additional Reporting of Losses in speculation business (Section 73) and of carry forward and set-off of losses by specified business (Section 73(A) – Auditor has to furnish the following details.(1) details of speculation loss referred to in section 73 during the previous year(2) details of loss referred to in section 73A in respect of any specified business(3) Auditor has to state whether the company is deemed to be carrying on a speculation business as referred in explanation to section 73 and details of speculation loss from such business.(Clause 36(c’), 32(d) and 32(e)13. Section wise details of TDS/TCS deducted/collected and paid - In addition to details of TDS/TCS auditor has to disclose amount short deducted, TAN of the Assessee, Amount on which TDS /TCS deducted or collected, amount paid and also details of

amount of TDS/TCS not paid by the Assessee . (Clause 34(a)).14. Auditor has to give details of Late filing of TDS/TCS return. (Clause 34(b))15. Auditor has to give details of Interest Payable u/s 201(1A) and 206C(7). (Clause 34(c))16. Separate reporting of tax on distributed profits under section 115-O(1A)(i) and 115-O(1A)(ii). (Clause 36)17. Audit under Service tax to be reported – Report on Audit conducted under section 72A – Auditor has to report Whether any audit was conducted under section 72A of the Finance Act andf has to give details, if any, of disqualification or disagreement on any matter/item/value/quantity as may be reported/identified by the auditor. (Clause 39)18. Details of Demand and Refund- Auditor has to furnish the details of demand raised or refund issued during the previous year under any tax laws other than Income Tax Act, 1961 and Wealth tax Act, 1957 alongwith details of relevant proceedings. (Clause 41)3) Company Law Settlement Scheme – Opportunity for defaulting CompaniesThe Ministry of Corporate Affairs, in order to give an opportunity to companies who have failed to file annual statutory documents (Annual Return and Financial Statements), has launched Company Law Settlement Scheme, 2014 (CLSS-2014), vide General Circular no. 34/2014 dated 12.08.2014.The scheme gives an opportunity to the defaulting companies to enable them to make their default good by filing belated documents.Corporate can avail the following benefits:1. Immunity from prosecution for delayed filing2. A reduced additional fee of 25% of the actual additional fees payable3. Escape for directors disqualified under section 164(2) of Companies Act, 2013CLSS shall not apply to the filing of belated documents other than the following:1. Form 20B- Form for filing annual return by a company having share capital.2. Form 21A-Particulars of Annual Return for the company not having share capital.3. Form 23AC, 23ACA, 23AC-XBRL and 23ACA-XBRL- Forms for filing Balance Sheet and Profit & Loss account.4. Form 66- Form for submission of Compliance Certificate with the Registrar.5. Form 23B- Form for intimation for Appointment of Auditors.Further, CLSS shall not apply in the following cases:1. Companies against which action for striking off the name under sub-section(5) of section 560 of Companies Act, 1956 has already been initiated by the Registrar of Companies or2. Where any application has already been filed by the companies for action of striking off name from the Register of Companies or3. Where applications have been filed for obtaining Dormant status under section 455 of the Companies Act, 20134. Vanishing companiesThe scheme shall remain in force for a period of two month, i.e., from 15th August, 2014 to 15th October, 2014.

RECENT CASE LAWS – & OTHER DEVELOPMENT


— Compiled by — Haresh P. Kenia|e-mail:[email protected] |9821351838

WEALTH-TAX (FIRST AMEND-MENT) RULES, 2014 - SUBSTITUTION OF RULE 3 AND INSERTION OF FORM BB {224 TAXMANN (St.) 1}

NOTIFICATION 32/2014 [F.NO.143/1/2014-TPL]/SO 1576(E), DT 23-6-2014In exercise of the powers conferred by clause (ba) and clause (bb) of sub-section (2) of section 46 read with section 14A and section 14B of the Wealth-tax Act, 1957 (27 of 1957), the Central Board of Direct Taxes hereby makes the following rules further to amend the Wealth-tax Rules, 1957, namely:—

1. (1) These rules may be called the Wealth-tax (First Amendment) Rules, 2014.

(2) They shall come into force on the date of their publication in the Official Gazette.

2. In the Wealth-tax Rules, 1957 (hereinafter referred to as the “said rules”),—

(i) for rule 3, the following rule shall be substituted, namely:—

“3. Form of return of net wealth.—(1) The return of net wealth referred to in section 14 shall—

(a) in respect of assessment year 2013-14 and earlier assessment years in the case of individuals, Hindu undivided families and companies, be in Form BA and shall be verified in the manner specified therein.

(b) in respect of the assessment year 2014-15 and any other subsequent assessment year in the case of individuals, Hindu undivided families and companies be in Form BB and shall be verified in the manner specified therein.(2) Subject to the provisions of sub-rule (3), for the assessment year 2014-15 and any other subsequent assessment year, the return of net wealth referred to in sub-rule (1) shall be furnished electronically under digital signature.(3) In case of individual or Hindu undivided family to whom the provisions of section 44AB of the Income-tax Act, 1961 (43 of 1961) are not applicable, the return of net wealth referred to in sub-rule (1) may be furnished for assessment year 2014-15 in a paper form.(4) The return of net wealth required to be furnished in Form BB shall not be accompanied by a statement showing the computation of the tax payable on the basis of the return, or proof of the tax and interest paid, or any document or copy of any account or form of report of valuation by registered valuer required to be attached with the return of net wealth under any provisions of the Act.(5) The Director General of Income-tax (Systems) shall specify the procedures, formats and standards for ensuring secure capture and transmission of data and shall also be responsible for evolving and implementing appropriate security, archival and retrieval policies in relation to furnishing the returns in the manners specified in sub-rule (2).”

SECTION 139 OF THE INCOME-TAX ACT, 1961 - RETURN OF INCOME - UPDATION AND VALIDATION OF TAXPAYER EMAIL ID AND MOBILE NUMBER FOR THEIR E-FILING ACCOUNT

PRESS RELEASE, DATED 4-7-2014

A valid Email ID and Mobile Number has to be registered/updated on the e-filing website of the Income Tax Department so that direct communication with taxpayer can be possible. For details, taxpayers can logon to: https://incometaxindiaefiling.gov.in/eFiling/Portal/StaticPDF/Update_Contact_Details.pdf)

SECTION 268A OF THE INCOME-TAX ACT, 1961 - APPEALS AND REVISION - FILING OF APPEAL OR APPLICATION FOR REFERENCE BY INCOME-TAX AUTHORITY - REVISION OF MONETARY LIMITS FOR FILING OF APPEALS BY THE DEPARTMENT BEFORE INCOME TAX APPELLATE TRIBUNAL, HIGH COURTS AND SUPREME COURT - MEASURES FOR REDUCING LITIGATION

INSTRUCTION 5/2014 [F. NO. 279/MISC142/2007-ITJ (PT.)], DT 10-7-2014

Reference is invited to Board’s Instruction No. 3/2011 dated 09/02/2011, wherein monetary limits and other conditions for filing departmental appeals (in Income-tax matters) before Appellate Tribunal, High Courts and Supreme Court were specified. In supersession of the above instruction, it has been decided by the Board that departmental appeals may be filed on merits before Appellate Tribunal, High Courts and Supreme Court keeping in view the monetary limits and conditions specified below.

Henceforth appeals shall not be filed in cases where the tax effect does not exceed the monetary limits given hereunder:–

S. No.

Appeals in Income-tax matters Monetary Limit (in `)

1. Before Appellate Tribunal 4,00,000/-2. U/s 260A before High Court 10,00,000/-3. Before Supreme Court 25,00,000/-

It is clarified that an appeal should not be filed merely because the tax effect in a case exceeds the monetary limits prescribed above. Filing of appeal in such cases is to be decided on merits of the case.

This instruction will apply to appeals filed on or after 10th July, 2014. However, the cases where appeals have been filed before 10th July, 2014 will be governed by the instructions on this subject, operative at the time when such appeal was filed.

FINANCE (NO. 2) BILL, 2014 {224 TAXMANN (St.) 9}

Minister of Finance, Shri Arun Jaitley presented Budget on 10th July, 2014 together with Finance (No.2) Bill, 2014. The above citation may be referred for complete details.

DIRECT TAXES LAW UPDATE


CA. Students Festival held on 19th July, 2014

Seminar on New Companies Act 2013 held on 3rd July, 2014

Motivational Lecture for CA. Students held on 16th July, 2014

Seminar on Wealth Tax held on 26th July 2014

Union Budget 2014 Held on 13th July, 2014

(L-R) : Ms. Pinky Mistry (Vice Chairperson-Vasai WICASA), CA. Pramod Dhamankar (Speaker), Mr. Kalpesh Dhakad (Secretary-Vasai WICASA)

(L-R) : CA. Dayaram Paliwal (Chairman-Vasai WICASA), Dr. Mahesh Gaur (Speaker), Ms. Pinky Mistry (Vice Chairperson-Vasai WICASA)

(L-R) : CA. Kishor Vaishnav (Chairman-Vasai Branch), CA. Bhanwar Borana (Speaker), CA. Dayaram Paliwal (Chairman-Vasai WICASA),

CA. Preksha Jain (Secretary & Treasurer-Vasai Branch) addressing the session

(L-R) : CA. Dayaram Paliwal (Chairman–Vasai WICASA), CA. Ramanand Gupta (Imm. Past Chairman-Vasai Br.), CA. R. D. Lukad (Senior Member), CA. Vimal Punmiya (Speaker), CA. K. B. Kothari (Committee Member–Vasai Br.), CA.Vimal Agarwal (Committee Member–Vasai

Br.), CA. Preksha Jain (Secretary & Treasurer-Vasai Br.) addressing the Bhayandar Participants

(L-R) : CA. Dayaram Paliwal (Chairman-Vasai WICASA) CA. Anandi Bhase (Vasai-Virar Study Circle Member), CA. Mangesh Kinare (Speaker), CA. Umesh Mestry

(Vice Chairman-Vasai Br.), CA. Xavier Rajan (Convener Vasai-Virar Study Circle) addressing the Vasai Participants

Participants

Participants

Participants

PHOTO - GALLERY


PHOTO - GALLERY

Regional Conference for CA Students 2014 held on 2nd & 3rd August 2014

Special Session Chaired by CA. Uttam Prakash Agarwal, Past President-ICAI

Vasai WICASA Team Participants at the Students Conference

Panel of Judges

Best Paper Presenter at the Conference

CA. D. P. Revawala

Ms. Pooja Rajbhar taking Best Paper Presenter Award

Mr. Parth Sanjay Shah (2nd Runner up)

CA. Rajesh Kotak CA. Aniket Padhye CA. Rajesh Utkur CA. Suhas Kelkar CA. Bharat Dhonde CA. Sangeeta Gandhi

Paper Presenters

Mr. Parth Sanjay Shah

Ms. Bhumika B. Panchal

Ms. Kruti Patel

Ms. Mansi S. Vachharajani

Ms. Megha Parihar

Ms. Pooja Rajbhar

Ms. Sonali D. Shingade

Mr. Aijaz Deshmukh

Mr. Lokesh Vaishnav

Mr. Sushant Jadhav

Session Chairman

CA. Tarun Ghia, CCM

CA. Dhiraj Khandelwal

CA. Jay Chhaira, CCM

CA. Uttam Prakash Agarwal –

Past President – ICAI

CA. Madan M. Chaturvedi –

Past Chairman –WIRC

CA. Mahesh Madkholkar-RCM

CA. Nihar Jambusaria, CCM

CA. Nilesh Vikamsey, CCM

Ms. Kruti Patel (1st Runner up)


To

Undelivered please return to :

The Institute of Chartered Accountants of India,Vasai Branch of WIRCAddress: Amruta Building, Indralok Phase-II,New Golden Nest Road, Bhayander (East), Thane - 401 105.Telephone: 6556 8900.Email: [email protected]: www.vasai-icai.org

Editor: CA. Kishor Vaishnav Published by Vasai Branch of Western India Regional Council of The Institute of Chartered Accountants of India and printed at Finesse Graphics and Prints Pvt. Ltd., 309, Parvati Ind. Est., Sun Mill Compound, Lower Parel, Mumbai 400 013. Tel. : 4036 4600

The views and opinions expressed or implied are those of the authors or contribution and do not necessarily reflect those of Vasai Branch. Unsolicited articles and transparencies are sent in at the owner’s risk and the publisher accepts no liability for loss or damage. Material in this publication may not be reproduced, whether in part or in whole, without the consent of Vasai Branch.

DISCLAIMER: The Vasai branch is not in any way responsible for the result of any action taken on the basis of the advertisement published in the Newsletter. The members, however, may bear in mind the provision of the Code of Ethics while responding to the advertisements.

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CA Day Celebration 1st July to 31st July, 2014

IRRC at Tashkent Held on 12th August to 17th August 2014

Distribution of Food/Clothes to under privileged in old age homes.

Blood Donation Camp Tax Awareness Programs/Tax Clinics for general public

Distribution of Kits Health Check up

Sports Competition

Sports Competition Tree Plantation

PHOTO - GALLERY

VASAI BRANCH OF WIRC NEWSLETTER for August 2014.pdf · Raksha bandhan, Independence day,...

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Transcript of VASAI BRANCH OF WIRC NEWSLETTER for August 2014.pdf · Raksha bandhan, Independence day,...