• On May 15, 2014, as the nation waited for the general election results and it was almost certain that Narendra Modi would be the CEO of India for the next five years, I had recommended 10 things India’s new Prime Minister should do. With just over a year since then and the government about to complete year 1 in power, a lot has happened in the country.
  • Modi has traveled the world, his party, in coalition, has formed the state government in Jammu & Kashmir; BJP has had moderate successes in other elections but was routed in Delhi by the Aam Aadmi Party. Most visibly, the government, although having an absolute majority in the Lok Sabha, is struggling to take the opposition along in the Rajya Sabha, where it is woefully short in numbers, and that has meant several important legislations are stuck.



The Finance Minister in his budget speech for the Union Budget 2015-16 made the following announcement:

  • India is one of the largest consumers of gold in the world and imports as much as 800-1000 tonnes of gold each year.
  • Though stocks of gold in India are estimated to be over 20,000 tonnes, most of this gold is neither traded, nor monetized.


Changes in Service Tax…!!!

  • Please note that the increase in rate of Service Tax from 12% (plus cesses) to 14% (including cesses) as proposed in Union Budget – 2015–16 will come effect from 1st June 2015. Accordingly the provisions levying Education Cess and Secondary and Higher Education Cess would also cease to have effect from 1st June, 2015. [Notification No.14/2015-Service Tax, dated 19th May, 2015]
  • Further the following amendments proposed in Union Budget – 2015–16 would also be effective from 01-06-2015:
    • Service Tax shall be levied on the service provided by way of access to amusement facility providing fun or recreation by means of rides, gaming devices or bowling alleys in amusement parks, amusement arcades, water parks and theme parks.

  • The present Government, under the leadership of Shri Narendra Modi, has presented its second budget on 28th February 2015.
  • The Finance Minister, Shri Arun Jaitley, stated in the Para 4 of his budget speech that his proposals lay out a roadmap for accelerating growth, enhancing investment and passing on the benefit of the growth process to the common man, woman, youth and child, i.e. those, whose quality of life needs to be improved.
  • To achieve this objective, he has proposed several steps in his speech.
  • In the field of taxation he has adopted six broad themes, viz.
    • Measures to curb black money
    • Job creation through revival of growth and investment


A. TDS-related amendments


Several amendments have been proposed in the sections dealing with the deduction of tax at source.

1. Requirement for obtaining evidence/ particulars by employer for TDS–Section 192

  • CBDT has vide Notification No. 41/2015 Dated 15.04.2015 notified Form ITR-1, ITR-2 and ITR-4S for Assessment Year 2015-16 i.e Financial Year 2014-15.
  • The Notification also made Several Change in Rule 12 of Income Tax Rules, 1962 which is related to Condition of Filing of Income Tax Return.
  • A brief summary of Changes is as follows :-

Financial Management