LLPs are a hybrid form of business enterprise which is a combination of a partnership firm and a company. A LLP is considered as a body corporate like any after company, enjoys tax treatment like a partnership firm, limits the liability of the partners to the extent of contribution as in case of company and entry or exit of partners is simpler. A LLP is easier to form and close with lesser regulatory compliances. World over, LLPs are a successful investment and business vehicle . LLPs are considered as an efficient alternative business model which provides the best of both worlds – a firm and a company. The LLP has lesser compliance requirements than a company and also lesser liability than a partnership firm.
Dredging Corporation Of India Ltd Vs ACIT (ITAT Visakhapatnam)- Tonnage income from the business of operating qualifying ships — Receipts emanating from the activities, which do not have a direct and necessary nexus with the shipping/ dredging activities of the assessee-company, cannot be exempted under the tonnage tax scheme.
More than Rs. 20000 crore of tax demand is stayed by the courts/ITAT. Our counsels should be advised to get the stays vacated or ensure early hearings by brining the direction of the Supreme Court in the Vodafone case to the taxpayer to pay 25% of the disputed taxes and provide bank guarantee for the remaining, thereby endorsing the principle that stay of recovery in litigated matters should not be the norm, to the notice of the concerned court/ITAT.
According to new procedure, application will be made in a new e-form with the prescribed fee. The relevant information like terms of contract and details of Board resolutions and special resolutions shall be captured in the e-form. The e-form shall also be certified by the practicing professional who shall specifically certify the correctness of the information and declarations given by the company in the e-form.
In order to simplify the procedures and cut timelines, the Ministry has decided to notify section 20 of the Companies (Second Amendment) Act, 2002 (1) of 2003 thereby the work relating to rectification of register of charges under section 141 of the Companies Act, 1956 shall be shifted from the jurisdiction of Company Law Board to the Central Government.
Notification No.37/2011 -Central Excise Central Government, on being satisfied that it is necessary in the public interest so to do, hereby makes the following further amendments in the notification of the Government of India in the Ministry of Finance (Department of Revenue), No. 3/2006-Central Excise dated the 1st March,2006, published in the Gazette of India, Extraordinary, vide number G.S.R. 93 (E), dated the 1st March, 2006, namely: – In the said notification, in the Table,- (i) after S.No.12 and the entries relating thereto, the following S. No and the entries shall be inserted, namely:-
Notification No.36 /2011-Central Excise – Nothing contained in this notification shall apply to food preparations including food preparations containing meat, falling under chapters 16 or 19 (except chapter heading 1905) which are prepared or served in a hotel, restaurant or retail outlet whether or not such food is consumed in such hotel, restaurant or retail outlet.
Dishonour / Return of Cheques – Need to Sign / Initial the Cheque Return Memo – Please refer to our circular DPSS. CO. CHD. No. 485 / 03.06.01 / 2010-11 dated September 1, 2010 on Dishonour / Return of Cheques – Need to Mention the ‘Date of Return’ in the Cheque Return Memo, wherein citing the criticality of the document in case of recourse to legal action, it has been indicated that instruments returned unpaid should have a signed / initialed objection slip on which a definite and valid reason for refusing
Detection of Counterfeit Banknotes – Revised Procedure- For cases of detection of counterfeit notes upto 4 pieces, in a single transaction, a consolidated report as per the format prescribed in the annex should be sent to the police authorities at the end of the month. For cases of detection of counterfeit notes of 5 or more pieces, in a single transaction, FIRs should be lodged with the Nodal Police Station / Police Authorities as per jurisdiction, in terms of our Master Circular ibid.
ICAI intends to draw a Panel from amongst its Members for acting as Observer at the examination centres in various cities during the CA Examinations to be held from 1st – 17th November, 2011 and the Common Proficiency Test (Paper-Pencil Mode) proposed to be held on 18th December, 2011.
