In the commercial world, generally what we see is transactions occurring between two unrelated entities. Though, sometime transactions may occur between units of one legal entity (what has been referred to as ‘inter-unit / intercompany transactions’ in commercial sense).
Transition provision is one time provision which shall be applicable at the time of migration to GST on the appointed day which is likely to be 1st July, 2017.
GST is a tax known throughout the world as practical business tax. It is not a tax on income but a tax on business as settled in courts of law in various country having GST regime. Thus, it was coined to be a practical business tax.
Penalty proceedings initiated U/s 275 on issues unrelated to assessment of income (such as for s. 269SS/ 269T & TDS defaults), time limit runs from date on which the AO wrote a letter to the ACIT recommending the issuance of the SCN.
The article discusses the need for business to be conducted through LLP, the need to migrate from LLP to Company structure, various ways for migration from LLP to Company structure and issues revolving around it.
