Arjuna (Fictional Character): Krishna, On the occasion of Diwali everyone purchases different types of crackers. Now a day, so much discussion is being made on crackers. What type of crackers are there this Diwali in the Firecracker Tax stall?
Krishna (Fictional Character): Arjuna, Diwali is the festival of joy and happiness. There is very much importance to the adoration of Dhanateras, Lakshmipujan, etc. Similarly, we celebrate Diwali by bursting crackers (Law). Every year government burst some new types of crackers. This year, new and huge atom bomb have already been busted on the taxpayers before the Diwali some of them are treat to watch while others result in agony.
Arjuna (Fictional Character): Krishna, which is the ‘Sutali Bomb’?
Krishna (Fictional Character): Arjuna, ‘Sutali Bomb’ from Government is
1) ‘Taxation on Cryptocurrency’. Profit from trade in cryptocurrency is taxed at 30%, without allowance of any expenditure or setoff of loss. Carry forward of loss is also not allowed.
2) TDS u/s 194R- TDS at 10% will be deducted on any perquisite or benefit provided to doctors and social media influencers and any other person having income from business or profession.
Arjuna (Fictional Character): Krishna, in the crackers stall are there any ‘fancy crackers’ available?
Krishna (Fictional Character): Arjuna, Fancy crackers are very bright, they do not make sound. They are pleasant to view. This Diwali this fancy cracker is increase in due date for availment of ITC from 30th September to 30th November. This was a New welcomed cracker in the Cracker Stall.
Arjuna (Fictional Character): Krishna, is there any ‘Butterfly’ cracker?
Krishna (Fictional Character): Arjuna, ‘Butterfly’ is the cracker, which once ignited can go in any direction. Introduction of Clause 44 in Income Tax Audit report is one such ‘Butterfly’ where one would not come to know what will be the effects in future years.
Arjuna (Fictional Character): Krishna, Is there any ‘Lavangi Fataaka’ (Small Crackers) available in stall?
Krishna (Fictional Character): Arjuna, ‘Lavangi Fataaka’, the threshold for income tax audit was increased to 10cr with the condition that cash payment and cash receipts should be less than 5% of total payment and total receipts.
Arjuna (Fictional Character): Krishna, there may be variety of crackers in the Crackers Stall of Government. But which is the New ‘Rocket’ in it?
Krishna (Fictional Character): Arjuna, New ‘Rocket’ this Diwali is extension of registration of manufacturing entities by one year under slab rate of 15% from current 25% for (subject to fulfillment of some conditions).This amendment is hopeful to Boost the economy with the speed of rocket.
Arjuna (Fictional Character): Krishna, are there ‘Crackers lad’ (Garland Crackers)available in the stall?
Krishna (Fictional Character): Arjuna, Yes, Garland Crackers are also available. In case of Garland Crackersone firecracker is connected with another and if one cracker burst, then others also burst. Similarly, Introduction of AIS by Income tax department is a similar concept of matching-mismatching information available with IT Department and books of accounts.
Arjuna (Fictional Character): Krishna, Is there ‘Bhuichakra’ available in stall?
Krishna (Fictional Character): Arjuna,‘Bhuichakra’ means ‘Restriction of ITC as per 2B’.From 1st January’22 CBIC issued notification that ITC will be available only as per GSTR-2B. It means recipient will get ITC only if its supplier files his GSTR-1 on 11th . Due to this the supplier and recipient are going round and round behind each other. This leads to problems in reconciling the books and returns, finding out the differences between returns filed and books. The taxpayer should now also get ready for GST Annual returns GSTR-9 and GSTR-9C as the due date is 31st December 2022.
Arjuna (Fictional Character): Krishna, what lesson the taxpayer should take from this?
Krishna (Fictional Character): Arjuna, Diwali is the festival of lights. Everyone should celebrate the festival joyfully. If each and every Indian taxpayer follows the law, then the whole country will become enlightened. It means if laws are compiled then ‘Diwali’, otherwise ‘Diwala’ (Bankruptcy).
Author Bio
