Blog

2020

Treatment and Taxability of Slump Sale under GST

What is Slump Sale?

  • Slump sale is a sale of an undertaking as a going concern. As per section 2(42C) of Income-tax Act 1961, ‘slump sale’ means the transfer of one or more undertakings as a result of the sale for a lump sum consideration without values being assigned to the individual assets and liabilities in such sales.
  • The main elements of a slump sale are:
    1. Sale of undertaking;
    2. As a going concern;
    3. For a lump sum condensation; and
    4. No separate value is assigned to individual assets and liabilities.

Archive


2020

Common mistakes while filing Income Tax Returns

While filing your tax return, you should do it with utmost care. If you make a mistake you could end up with a tax notice from the department asking you to explain the discrepancy and pay tax, if any. Incorrect filing of tax returns will lead to many troubles. It’s better to file return correctly as well as on time to ensure mental peace.

Today we will discuss some common mistakes tax payers make while filing their income tax returns.

2020

Frequently Asked Questions on Section 269SU of the Income Tax Act 1961

As we all know the Government is pushing towards cashless economy and digital payment. In line with this policy GoI has introduced Section 269SU under the Income Tax Act, 1961. Section 269SU prescribes for accepting payment through certain electronic modes. In this article, we will discuss about some Frequently Asked Questions on Section 269SU.

2020

Compliances for Private Limited Companies under the Companies Act 2013

A private limited company is the most popular form of business entity. Private limited companies in India are governed by the Companies Act under the Ministry of Corporate Affairs (MCA). Every private limited company has to follow numbers of compliance as laid down by various statutes and other regulatory bodies. These include but are not limited to the periodic filing of tax and other returns, holding the board and other meetings, maintaining statutory books and accounts etc.

Recently, Government strike off more than 2 Lakh companies and disqualified more than 3 Lakh directors for non-compliance of various provisions of Companies Act, 2013. Such type of historic action came at the time when government came to know about the various techniques used by corporate entity to evade taxes.

2020

Further Extension of certain Income Tax Due Dates

After more than 2 months of nationwide lockdown, the Center announced Unlock – 1 from June 1st granting certain relaxations especially in non-red zones. However, social distancing norms and other guidelines, protocols& precautions are being violated by many people ever since the relaxations have been granted. Though the fatality rate has improved, the situation in Delhi and Mumbai is still not under control. Giving due consideration to the outbreak of novel corona virus in various states, Government has further extended certain dates pertaining to Income Tax law.

2020

Treatment of Unexplained Transactions under the Income Tax Act 1961

This Article discusses Tax Treatment of Cash Credit, Unexplained investments, Unexplained money, Amount of investments not fully disclosed in books of account, Unexplained expenditure and Amount borrowed or repaid on hundi in cash under section 68, Section 69, Section 69A, Section 69B, Section 69C and Section 69D respectively of the Income Tax Act, 1961.

Financial Management