Service Tax on Auction Service- “Taxable Service” means any service provided or to be provided to any person, by any other person, in relation to auction of property, movable or immovable, tangible or intangible, in any manner, but does not include auction of property under the directions or orders of a court of law or auction by the Government;
Swiss banks have asked their government to reject any “mass-requests” for account details, even as the European nation plans to relax its norms for sharing banking information with countries such as India. Known for providing utmost secrecy to their customers and their assets, Swiss banks have also warned the Switzerland government against signing any automatic information exchange agreement with any foreign country.
Unearthing major tax evasion, Delhi Government has detected swindling of tax to the tune of staggering Rs 230 crore by mobile phone dealers who imported handsets from China and sold them “illegally”. Top officials in the tax department said apart from evasion of tax, the dealers were found selling Chinese mobile phones not having the mandatory International Mobile Equipment Identity (IMEI) number, which could pose a major security threat.
The Authority had investigated Actuarial valuation of the Indian Motor Third Party Insurance Pool (IMTPIP) under the Insurance Act, 1938 in order to assess the adequacy of the reserves which are to be calculated as per the IRDA Regulations and in particular as per reference 4 cited. The Report established that the ultimate loss ratios are 172.3%, 181.81,% and 194.15% for the years 2007-08, 2008-09 and 2009-10 respectively. Against this estimate, the pool has maintained reserves at 126% for all the years the pool has underwritten third party motor liability. The report under Ref No. 1 was communicated vide letter cited under Ref No. 2 to the CMD, GIC, the pool Administrator and a meeting of the General Insurance Council was convened for consideration of the Report cited at 1 above. The General Insurance Council, responded vide letter cited under Ref No. 3 on behalf of the members of the pool.
The IRDA had conducted an audit of the Third Party Motor Insurance Pool and has established that the pool reserves have to be significantly augmented in order to meet the higher compensation to be paid to the unfortunate victims of road accidents. Such augmenting of reserves will strengthen the insurance companies and will enable them to meet all claim obligations at all times expeditiously and without fail, The IRDA has required all general insurance companies to increase these reserves in a phased manner over a period of three years and till the reserves are augmented to a satisfactory level, companies have also been required to restrict theft expenditure in terms of bonuses. incentives etc., besides bringing in additional capital as might be necessitated.
In the present case, we are of the opinion that even if the websites had materialized, the expenditure could not have been viewed as capital expenditure because the website is put up for the purposes of day-to-day running of the business and even if one were to view that some enduring benefit is obtained by the assessee, the benefit cannot be said to accrue to the assessee in the capital field. A website is something where full information about the assessee’s business is given and it helps the assessee’s customers in dealing with it. A website constantly needs updating, otherwise it may become obsolete. It helps in the smooth and efficient running of the day-to-day business. The expenditure would have been allowable as revenue expenditure; as a corollary, when the website did not materialize, the amounts advanced to the companies who were engaged to develop the websites, when they became irrecoverable, can be written off and claimed as loss incidental to the business. The loss is thus allowable as business loss in terms of section 28 of the Act. We accordingly uphold the assessee’s alternative plea.
Centralized Processing Center (CPC), Bangalore has been actively processing of returns for AY 2010-11. As on 09/3/2011 it has processed over 38.42 lakh e-filed returns of AY 2010-11 in all categories of ITRs including Corporate Returns and generated refunds in over 10.44 lakh cases.
Update on CPC – Call Center To assist taxpayers a call center with 20 agents provides customer service and support for resolution of taxpayers queries. It provides information and updates on the following: 1. Status of receipt of ITR-V at CPC 2. Processing status of e-filed returns 3. Refund issues 4. Any other information related to processing of returns at CPC
Mines and Minerals (Development and Regulation) Act. The draft Mines and Minerals (Development and Regulation) Act, 2010 was hosted on the website of Ministry of Mines (http://mines.nic.in) on 3rd June, 2010. The proposals received from the State Governments with reference to new legislation being framed pursuant to the National Mineral Policy, 2008 are presently under consideration of a Group of Ministers (GoM). Final reaction of the Government will be known on receipt of recommendations of GoM. Since the process involves taking the approval of Parliament, the time by which such legislation would be available cannot be stated.
The Institute has received overwhelming response from the members and corporates for the Campus Placement scheduled to be held on 15th March 2011 at NIRO of ICSI. The following Companies have already sent their confirmation for participation in the Campus Placement:-
