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2017
Goods and Services Tax is a game changer tax reform in India. Though Government has tried to keep the tax structure simple, there are still many misconceptions prevailing amid consumers. Not just businesses or tax professionals, the common consumers must also keep them well informed about GST so that we can discourage the malpractices by traders post GST implementation.

Charging GST over and above MRP Value:

Some shop keepers are found charging GST over and above MRP of the products. This is especially true in rural areas where consumer awareness is lower regarding GST rules. Please make sure you only pay the MRP. If any shop keeper is found charging GST over and above MRP, refuse to pay the same. Also, inform about such incidences to National Consumer Forum on toll free number or online.

2017

In the world nothing can be said to be certain, except death and taxes
– Benjamin Franklin

  • Quoted above is the famous statement by Benjamin Franklin about the inevitability of taxes in our life. This has increasingly become a reality in India after the Central Government’s efforts to reduce tax evasion and to bring more and more people in the tax net with the help of policy measures and analytics. However, the Income Tax Act has kept some windows open for the people, particular in the middle income group, to reduce their tax burden smartly. These come in the form of deductions, exemptions etc.
  • One such window for us to save tax smartly is “Benefit of Shifting LTCG to Basic Exemption Limit”. The topic under discussion today is related to reducing tax liability arising from Long Term Capital Gain. Let us first understand briefly as what is long term capital gain?

2017
  • World Trade Organization is a global intergovernmental organization that acts as the regulator in international trade among its member countries.
  • On 15th April 1994, 123 nations of the world signed Marrakesh Agreement which led to inception of the WTO.
  • Following the Marrakesh Agreement, WTO came into existence on 1st January 1995.
  • As of now it has 164 members. WTO is the largest international economic organization in the world.

2017
  • The tax department on Friday issued warning against those who undertake benami transactions as this would invite Rigorous Imprisonment (RI) of up to seven years under the normal I-T Act.
  • The tax department said the government will soon operationalize a 'Strong Team' to effectively deal with benami properties as well undisclosed foreign income and assets.
  • The Central Board of Direct Taxation (CBDT) is planning to form a special unit, which will dedicatedly investigate and act against 'benamidars' and black money holders having undisclosed foreign income and assets.

2017
  • The Income-Tax department has issued notices to tax assessees who have shown unusually high income from agricultural activities.
  • Notices have been sent to around 700 individuals who have shown more than Rs 20 lakh as farm income. In all these cases, the farm income turns out to be higher than their main source of income, and the department suspects the veracity of the claim.
  • In Mumbai alone, the I-T has sent notices to around 100 people. In quite a few cases, the so-called farm income is twice the income from the main source of income they have been reporting in the past.

2017
  • After much preparation, debates, and anticipation; GST was rolled out in India on the midnight of 30th June, i.e. on July 1, 2017. The One Nation One Tax formula is being hailed as a positive measure for India by international agencies like Moody’s and the World Bank. However, as soon as and even before the new GST regime came into force, there has been a lot of skepticism around it. Messages and pictures are doing rounds of WhatsApp and Facebook, demonstrating what a huge menace GST is. So, are these messages about GST myths or do they hold some truth?
  • We are here to make everything crystal clear for you. Read on to know whether these popular myths about GST have some credibility to them or not.

1. Eating out is more expensive now

Not necessarily. Earlier there was a service tax of 6 % on the total bill amount (for AC restaurants) and a VAT which varied from one state to another. VAT rates differ from one state to another and therefore pre GST and post GST bill amounts may be higher or lower, depending on the earlier VAT rate in a particular state. Further, as the benefits of input tax credit start seeping in, eating out is likely to be cheaper in the long run, and not dearer.

Financial Management