"02 August 2020" Archive

A Bird’s Eye view on JOB WORK under GST

As word define itself that goods whether input or capital goods supplied by principal for further processing. As per Section 2(68) of CGST Act 2017 defines job work as ‘any treatment or process undertaken by a person on goods belonging to another registered person. The one who does the said job would be termed as ‘job work...

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Taxability of gains or losses arising from Intraday Trading

Since the covid-19 pandemic, many people started direct trading in stocks. Even brokerages have seen a surge in the number of new demat accounts after February this year. In this article let’s understand what is a meaning of intraday trading, it’s taxability, where to report them in the income tax return and which ITR form […]...

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Is Ban on RO Water Purifiers by NGT justified?

In our country drinking RO water is stark necessity for some, essential for many and just a splurge for the others. Most of us use RO water as an abundant caution to protect ourselves from waterborne diseases. It is pertinent that atleast 4 parts of water is needed to produce 1 part of RO water […]...

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Investment in Penny Stock- Bogus or Cash Credit U/s. 68?

Now-a-days Income Tax department investigates alleged trading/investment in shares and securities with collusion/connivance with any listed companies or with share broker by conducting Search/ Survey or by asking details u/s 133(6) of the Income Tax Act 1961....

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Tax-treatment in respect of receipt on transfer / sale of Transferable Development Rights (TDRs)

Of late, the concept of Transferable Development Rights (TDRs) has been very much in vogue, in regard to the developers and builders engaged in the business of estate development, as also the Central, State Governments or other semi-Government agencies, which are required to provide civic amenities like roads, playgrounds, parks, etc....

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New Corporate Taxation regime (Section 115BAA) and MAT

Section 115BAA was introduced by way of a mid year budget in FY 2019-20 and is applicable to certain domestic companies from 1st April 2020. The new section gives a one-time option to Domestic Companies to pay tax on their taxable income at 22% (instead of 25%/30%) subject to certain conditions: 1. Deductions for SEZ […]...

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Advance Ruling | Section 100 to 106 | CGST ACT 2017 | Part II

Simplified GST Series –Section 100-106/CGST ACT 2017 /PART-2 In part II of the Article author explains provisions  of  Section 100- Appeal to Appellate Authority, Section 101 -Orders of Appellate Authority, Section 102- Rectification of advance ruling, Section 103– Applicability of advance ruling, Section 104– Advance Ruling to be...

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Analysis of amendment to Section 194J of Income-tax Act 1961

1. Background: Finance Act 2020, has reduced withholding tax rates for fees for technical services under Section 194J of the Act to 2 percent from the existing rate of 10 percent.  Memorandum to Finance Bill 2020, clarified that this amendment is introduced to reduce existing litigation on account of classification of services under sect...

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Issue of Convertible Notes by an Indian Start-up Company

Start-ups eco system is always dynamic and volatile. They are always in search of the innovative funding and that also in a cost effective manner. In order to promote start-ups, government always comes out with innovative initiatives either they give exemption from regulatory requirements or provide cost effective funding. One of the step...

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High Value Transactions under Income Tax Act 1961

1. Introduction High Value transactions are transactions which are incurred in high denominations. From last few years income tax department is shaking hands with all the other related Govt. departments from which it can procure financial information and trace all the persons who are spending high amount but are not filing income tax retu...

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