Rajeev Onkarnath & Co, Chartered Accountants

13/02/2020

Required Accountant/CA inter for accounts, GST, Income tax, TDS work.
Due training will be provided for all fields in which the candidate lacks experience.
Rajeev Onkar Nath & Co.
Established: 1988
Location: Suryakiran Building, KG Marg, CP, New Delhi 110001
Please mail your CV at [email protected]

19/11/2019

20/09/2019

*Announcement by Finance Minster*

*Corporate tax rate to be 22% without exemptions

*Effective tax rate after surcharge to be at 25.17%

*The new tax rate is subject to the condition that companies won't avail any other incentive

*MAT reduced to 15% from 18.5%

*Effective tax for new company setting up from October 2019 shall be 17.1%

*FM says Cos enjoying tax holidays can avail concessional rates after exemption period

*Total revenue forgone for Government is estimated around Rs 1.45 lakh crore per year because of tax cut

*Enhanced surcharge announced in Budget shall not apply on capital gains arising on sale of any securities including derivatives in the hands of foreign portfolio investors

*Buyback tax for listed companies announcing buybacks pre-July 5 is exempted

*Enhanced surcharge will not apply to capital gains arising on equity sale or equity-oriented funds liable to STT stabilise flow of funds into capital markets.

*CSR 2% spending to include government, PSU incubators and public funded education entities, IITs

03/06/2019

GST EVADERS

India Business News: Back in office, the Modi government is set to take up the next stage of action against tax evasion and money laundering with data analysis helping de

28/07/2018

23/05/2018

12/04/2018

Amendments in company law:

Violation of Acceptance of Deposits, etc.: CA 2013 introduced stringent provisions in relation to acceptance/ renewal / repayment of deposits. However, no specific penalty was prescribed for non-compliance with the relevant provisions i.e. Section 73 and Section 76.

A new Section 76 A has been introduced for the above non-compliances. The defaulting company will be liable for fine of a minimum amount of INR 10,000,000 and a maximum of INR 100,000,000 in addition to the amount of deposit or part thereof, along with interest. Further, every officer of the company in default is punishable with imprisonment which may extend upto 7 years or with a fine amounting to a minimum of INR 2,500,000 and maximum of INR 20,000,000 or both. Such officer may attract additional penalty for fraud under CA 2013 if the non-compliance was done knowingly or with the intention to deceive the company, shareholders, depositors, creditors or tax authorities.Reporting by Auditors in respect of Fraud: CA 2013 introduced the reporting obligations on auditors of companies to the Central Government if the auditor has reason to believe that a fraud has been committed by officers or employees of the company, irrespective of the amounts involved. The CA Amendment 2015 has provided that thresholds will be prescribed for reporting of frauds to the Central Government, or the audit committee or the board of directors. All such instances of frauds falling below prescribed thresholds will be reported to the board or the audit committee and will need to be disclosed in the annual report of the company, instead of mandatory reporting to the Central Government.
Exemptions to Section 185: Section 185 includes restrictions on loans by a company to a director or other interested persons / entities. However, the rules prescribed under Section 185 exempted any loans / guarantee / security by a holding company to its wholly owned subsidiary, and any guarantee or security by a holding company to a financial institution for loan availed by its subsidiary, provided the loan in each of these cases is utilised by the subsidiary for its principal business.
Dividend: Section 123 is an enabling provision for companies to declare divided in a financial year, subject to fulfilment of prescribed conditions. The Amendment has introduced a new proviso which states that a company cannot declare dividend for a financial year, unless the losses and depreciation carried over from past years have been set-off against the profits of the company, in the year it proposes to declare a dividend.

11/04/2018

Kindly note that if return of income is not filed with in due dates for the assessment year 2018-19, late fee u/s 234F is payable as:- for if income is below basic exemption NIL. Where total income does not exceed RS. 5 lakhs RS.1000. Where total income exceed RS.5 lakhs if return is filed with in 31/12/2018 RS.5000/- there after RS.10,000/- Hence be alert, file the returns on time for assessment year 2018-19.

04/02/2018

17/12/2017

DHC: Admits Builder's challenge on vires of stamp duty value based taxation u/s. 43CA*

Dec 12th, 2017

Delhi HC admits Ansal Housing & Construction Ltd.’s (‘assessee’) writ challenging vires of Sec. 43CA (which deems stamp duty valuation as sales consideration for land and building held as stock in trade) and amendment to Sec. 56(2)(vii)(b); Assessee argues that these provisions attempt to tax notional income and result in double taxation; HC lists the matter for hearing on January 16, 2018.
The appeal was admitted by a division bench comprising of Justice Ravindra Bhat and Justice Sanjeev Sachdeva. Senior Advocate Arvind Datar, assisted by Advocates Kavita Jha and Bhuwan Dhoopar, are representing the taxpayer before the HC.
The information contained in the alert is source based. Assessee, Ansal Housing & Construction Ltd., filed a writ petition before Delhi HC challenging the insertion of section 43CA and amendment to Section 56(2)(vii)(b) of the Income Tax Act, 1961 by the Finance Act, 2013 on the following grounds:
i.The effect of application of sections 43CA and 56(2)(vii)(b) is that in cases where the consideration involved in a transaction of purchase or sale of land or building is less than the stamp duty value, then, the excess of such value over the actual consideration would be treated as income both in the hands of the transferor as per section 43CA as well as the transferee as per section 56(2)(vii)(b)(ii). Thus, these provisions result in double taxation and attempt to tax notional income.
ii. There is discrimination in application of sections 43CA and 56(2)(vii)(b)(ii) of the Act as it is a known fact that levy of stamp duty is a state subject. Each state in the Country provides for such a levy where the determination of value on which the levy is imposed is based on different principle methods and basis. There is no uniform method applied on a universal basis in the whole Country. Computation of Income in relation to transfer or receipt of land or building based on the stamp duty value de hors the differences in manner, method and basis of such levy in different States discloses a discriminatory treatment.
iii. Further universal presumption that stamp duty value would be regarded as the full value of consideration without looking into the factual aspects tantamount to discrimination.
iv.Further circle rate is not always the true indicator of the market value of the property as the market value keeps on fluctuating at different times. Further there could be various factors when market value can be less than the stamp duty value like location of the property, decrease in the prices, vastu compliant and auction sale etc. Delhi HC has issued notice in the matter and has listed the case on January 16, 2018.

Crux: If the case is decided in favour of the assessee, it would lead to two major clarities-(a) Property can be sold for less than stamp duty value as well if certain factors can be proved that actual market value is lesser
(b) if actual market value is more but assessee sells for less than stamp duty value, then, the excess of such value over the actual consideration is currently treated as income both in the hands of the transferor as well as the transferee. Thus, these provisions result in double taxation. So, now the difference shall be taxed only in one person's hands, either seller or the buyer, that will depend on the judgement