Attention is invited to the Board Circular No.33/2005-Customs dated 2.08.2005 which contains the instructions regarding provisional releas of goods entered for exportation and is seized on the ground of mis-declaration in terms of quantity and value
References have been received that divergent practices are being followed by field formations regarding classification of polyester bonded fabrics and that classification disputes of polyester bonded fabrics are pending at various fora. The issue was also discussed in
Income Tax Appellate Tribunal (ITAT) has pointed out that despite the Indian government’s order against the appointment of middlemen in defence deals by foreign companies, Bofors had entered into a fresh consultancy agreement with AE Services Limited of UK on November 15, 1985, at the behest of Ottavio Quattrocchi, whom the CBI in its chargesheet had described as having unhindered access to 7, Race Course Road (the residence of Rajiv Gandhi, the then Prime Minister).
: A senior executive of the Hero Group was arrested by Gurgaon police on Monday as the investigative net on the Rs. 300 crore fraud at the local branch of Citibank was cast wider. The arrest of Sanjay Gupta, associate vice-president of Hero Corporate
Even as the Munjal family-run Hero Group clarified on Friday that its exposure to the Citibank fraud was a tenth of what has been reported so far, police investigators are widening the scope of the inquiry to probe both the clients as well as
The Department of Commerce, Ministry of Commerce and Industry has issued Instruction Nos. 65 and 66 on 27 October, 2010 and Nos. 67 and 68 on 28 October, 2010 to Development Commissioners (
Any defunct company desirous of getting its name struck off from the Register under Section 560 of the Companies Act, 1956 shall make an application (accompanied by filing fee of Rs. 3000) in Form EES, 2011, electronically on the Ministry of Corpora
Query:-Acquirer Limited acquired an engineering unit of Acquiree Limited, on a going concern basis. The unit has various fixed assets such as building, plant and machinery and furniture, which were recognized in the books of Acquirer Limited at their fair value, on the date of acquisition. Acquiree has already used these assets for certain periods and claimed the depreciation thereon. For example, it has used the building for 20 years and its remaining useful life as per schedule XIV to the Companies Act, 1956, in the books of Acquiree, is 38 years. Acquirer Limited is evaluating whether it can consider the useful lives of these assets afresh or it needs to reduce the period of usage by the acquiree in arriving at useful lives as per Schedule XIV?
Investor Limited (the company) acquired 1,000,000 equity shares of Rs. 10 each in Investee Limited (investee), for the acquisition date fair value of Rs. 9 million. In the past, Investee Limited had incurred losses, which were attributable to the investee’s venture in a new line of business and exceptional events such as economic recession. Over the period, the line of business has stabilized and started generating profits. In addition, the economic environment has improved significantly. Therefore, the investee expects to generate significant profits in the future periods. However, to write off the past losses, the investee has entered a capital reduction scheme. According to the scheme, it will reduce the face value of each share to Rs. 7 per share and adjust the resulting amount against the past losses.
A fire broke out in the factory premises of Manufacture Limited (the company), destroying 40% of its major plant. At the date of fire, the carrying amount of the plant (including destroyed portion) was 2160 million. The company needs to incur an amount of 2100 million to restore the destroyed portion. At the reporting date, the restoration work is in progress. The management believes that the company has not followed the component accounting under Indian GAAP and it will therefore apply the subsequent expenditure-related guidance. The application of this guidance will require the company to write off any subsequent expenditure incurred on the asset. Therefore, there is no need to write off the damaged portion of the plant.
