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2017

Regulatory Bodies in India Securities Exchange Board of India SEBI 


Securities Market and Need for a Regulator:

Amid many debates and differences, all economists agree that Securities market plays a vital role in the development of any economy. The Securities market is the backbone of an economy. Without a sustainable securities market, an economy cannot get the required finance to fund the development projects. Hence, for any economy to survive and grow in long run the presence of a well regulated and transparent securities market is a must. India is no exception to this fact. It is only through securities market that even a common man in India can become an investor in a multi-national company. The securities market ensures that savings are properly channelized so that sufficient finance is available where it is needed the most.

2017

Important Accounting Terminologies - "Deferred Revenue Expenditure"

The modern accounting system of double entry book keeping is based on certain principles and standards. One of them is the concept of matching costs with the revenue or benefits derived from such costs. However, in real life business scenario, not all income and costs directly match up with the goods and services sold or the assets purchased. In many cases, the cost is incurred at present but value received from such expenditure is actually delayed over time. According to generally accepted accounting principles, money and value should be matched whenever possible. This means that a business must account for expenditures that may not immediately generate profit in the current accounting period. 

While revenue expenditure is a simple concept, deferred revenue expenditure is slightly more complicated. In this case, the value received from the expenditure is not immediate.

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 Ministry of External Affairs just recently announced a new set of rules for applying for a passport. And we’ve summarized some of the major changes that these new rules have bought in.

DOCUMENTATION FOR PROOF OF BIRTH:

As per the earlier rules, submitting a birth certificate was compulsory for all applicants born on/after 26th January 1989. But the new rules have bought in a relaxation in this regards. Now, any of the following documents containing the DOB of the applicant will suffice:
  • Birth Certificate (BC) issued by the Registrar of births and deaths or the Municipal Corporation or any other prescribed authority whosoever has been empowered under the Registration of Birth & Deaths Act, 1969 to register the birth of a child born in India
  • Transfer/school leaving/matriculation certificate issued by the school last attended/recognized educational board
  • PAN card

2017
  • As we are approaching towards the end of this financial year, there are certain things we should do before the year comes to an end.

1. File pending IT for financial year 2015-2016 to avoid penalty

  • Though the general due date of filing of income tax returns is 31st July of the year following the financial year, a few of us wouldn’t have been able to file the return by the due date and then must have forgotten the matter altogether. Please file your pending income tax return for the financial year 2015-2016 by 31st March 2017. In case you have taxable income and fail to file the returns for the financial year 2015-2016 by 31st March 2017, the assessing officer can levy a penalty of Rs. 5,000 for this default. However, the assessing officer cannot do so without giving you an opportunity to explain the reason for such failure.
  • If the return has not been filed by due date, you cannot revise the return later on. So be very careful while filing the return and ensure that all the particulars are correctly stated and all the income is correctly included in the return. Note that in case the tax payable in respect of any of the returns which you are planning to file now, was not paid either as advance tax or TDS, you may have to pay the interest for non payment of advance tax as well as for delay in filing of income tax return @ 1% for each of the default. So effectively if adequate tax was not paid earlier you land up paying exorbitant interest @ 2% for each month of the delay.

2017
  • With inflation catching the headlines too often have you been worried about expenses draining your income? The Income Tax Act offers some reason to lift your spirits amidst the gloom of expenses. There are more than a handful of expenses that help you slash taxes.

House Rent

  • If your landlord has increased the rent the ‘n’ th time and zooming real estate prices have been keeping your dream house out of your reach then the rising rent has a silver lining of tax saving. You can claim the lowest of – a. The actual HRA, b. 40% of the basic pay (50% for metros) or c. rent paid less 10% of basic pay.

Financial Management