All tax deductors / collectors are required to file the TDS / TCS returns in Form No.24Q (for tax deducted from salaries), Form No.26Q (for tax deducted from payments other than salaries) or Form No.27EQ (for tax collected at source). These forms require details of all tax deductions with name and permanent account number (PAN) of parties from whom tax was deducted.
How is the FBT to be valued? And when is the tax payable? The fringe benefit is to be valued at the fair market value (FMV) of the security or sweat equity share on the date of vesting of the option minus any amount paid by / recovered from the employee for such security or shares. The FMV is to be determined a s per the method to be prescribed by the Central Board of Direct Taxes (CBDT). The employer company is required to pay advance tax of estimated FBT progressively: 15 per cent by June 15, 45 per cent by September 15, 75 per cent by December 15 and 100 per cent by March 15 of the fiscal year.
Return of Income Tax [with/without FBT Return]: 1. Person not required to be audited – 31st July. 2. Person required to be audited – 31st October. Payment of Advance Taxes of Income Tax – Individual/Firms: * 1st Payment of 30% – 15th September. * 2nd Payment of 60% – 15th December. * 3rd Payment of 100% – 15th March.
ITD has notified revised file formats for preparation of TDS and TCS returns in electronic form. Deductors/collectors can prepare the e-TDS/TCS returns as per these file formats using in-house software or any other third party software and submit the same to any of the TIN-FCs established by NSDL. Deductors/collectors can also directly upload the e-TDS/TCS returns through NSDL-TIN website. NSDL has developed software called e-TDS/TCS Return Preparation Utility (RPU) to facilitate preparation of e-TDS/ TCS returns. This is a freely downloadable MS excel based utility. Separate utilities are available for preparation of each type of return.
Income Tax Department has notified the file format (data structure) for preparation of Annual Information Returns. Filers can prepare the AIR as per the file format using in-house software or any other third party software or the return preparation utility developed by NSDL (AIR RPU) and submit the same to any of the TIN-FCs established by NSDL or directly upload through the NSDL-TIN website.
In MICR technology the information is printed on the instrument with a special type of ink which is made up of magnetic material. On insertion of the instrument in the machine, the printed information is read by the machine. MICR system is beneficial as it minimizes chances of error, clearing of cheques becomes easy and transfer of funds becomes faster in order to facilitate operations. For details of MICR branch codes please click on the link below.
As against 6000 surveys conducted u/s 133A in 2004-05 the Department has closely followed the data coming from all the scheduled banks and zeroed in on potential cases and organised 7400 surveys in 2005-06 and detected undisclosed income to the tune of Rs 2300 Crore. Last fiscal it was only 6200 Surveys but detected Rs 2600 Cr undisclosed income. With the Board putting additional officers at the disposal of CCITs for monitoring BCTT, the monthly mop-up which used to average about Rs 36 Cr in 2005-06 has gone up to Rs 46 Cr last fiscal. In fact, the current fiscal opened the account with a collection of Rs 60 Cr in April. Last year BCTT collections were Rs 535 Crore.
Employing muscle power to recover vehicle loans cannot be permitted in a civilised society where there is effective rule of law – procedure of law may be slow, but that is no excuse for use of force: National Consumer Commission. It is well known that the private banks use muscle power to recover loans. The National Consumer Redressal Commission in a recent order came down heavily on such barbaric methods of collection. What more, the Commission held that even the hire purchase agreement is ab initio void.
Making things easier for the business process outsourcing (BPO) units, other call centres and the manufacturing sector, the government is likely to amend Section 66 of the Factories Act, 1948 to enable these entities to put women on night shifts, particularly between 7 pm and 6 am, which is otherwise prohibited under the Act.
The government is likely to introduce biometric PAN cards soon to address the problem of duplicate cards. A joint working group in the ministry of finance has given its report after obtaining technical and commercial proposals from leading biometric solutions providers, finance minister P Chidambaram said in the Lok Sabha during Question Hour. “The report is at present under consideration,” the minister said. He said the number of individuals suspected to have duplicate PANs is estimated to be 13,10,127 throughout the country.
