Latest e-Hand Book on Revised GST Law - CA Pritam Mahure.

The Central Government is targeting to implementation the new indirect tax system w.e.f. April 1st, 2017, its called GST.

"The revised drafts of the Model GST Law, iGST Law, GST Compensation Law have been uploaded on our website (Central Board of Excise and Customs). These laws will be considered by the GST Council on December 2-3 and finalized,"

The revised drafts of three Goods and Service Tax laws have been released after incorporating suggestions from stakeholders, the government said on Saturday. These will now be placed before the Goods and Services Tax Council in its next meeting on December 2 and 3.

Revised GST law containing :

  • Revised Model CGST /SGST Law
  • Revised IGST Law
  • GST Compensation Cess Law
  • GST Rules for registration, payment, return, refund and invoices.

To Download Latest Free e-Handbook on Revised GST Law Click Here

D.A. From Jan-2017 will be 5 Percent of 7th CPC and 137 Percent of 6th Pay.

Dearness Allowance Rate will be increased 3% of 7th Pay and 5% of 6th Pay from January-2017

Recently, All India Consumer Price Index for Industrial Workers authority has been published a press released on 30th Nov-2016 for the month of October-2016.  

As per the Press Released the value of AICPI-IW increases 1 point i.e. from 277 to 278, therefore, if this point is constant for upcoming months i.e. November and December-2016, in this condition the Dearness Allowance Rate may be increased 3% for 7th Pay Commission and 5% for 6th Pay Commission.

The Press Released is as under :

Key Highlights of Proposed Amendment in Income Tax Law after Demonetisation.

Changes proposed in income tax law after demonetisation in 10 points

The government moved an amendment in the Lok Sabha, seeking to change income tax laws for taxing of undisclosed income in the wake of demonetisation.

The government moved an amendment in the Lok Sabha, seeking to change income tax laws for taxing of undisclosed income in the wake of demonetisation. The proposed tax rate on people disclosing their unaccounted wealth is around 50 per cent, much higher than the 30 per cent tax rate at the highest slab.

The government said that “there have been representations and suggestions from experts that instead of allowing people to find illegal ways of converting their black money into black again, the government should give them an opportunity to pay taxes with heavy penalty and allow them to come clean.”

This will help the government mobilise “additional revenue for undertaking activities for the welfare of the poor but also the remaining part of the declared income legitimately comes into the formal economy,” the government said in its objective for introducing the amendment. 

Here are key highlights of the proposed amendment to tax laws:
  1. According to the proposed amendment, if the declarant comes clean on his undisclosed income he/she shall be required to pay tax at 30 per cent of the undisclosed income and penalty at 10 per cent of and a surcharge of 33 per cent.
  2. This comes around to an effective tax rate of around 50 per cent, say tax experts.
  3. This is higher than the 45 per cent tax rate that was charged under the Income Disclosure Scheme, 2016, which provided a one-time opportunity to domestic black money holders to disclose wealth and come clean. The Income Disclosure Scheme was open from June to September.
  4. The surcharge will be called ‘Pradhan Mantri Garib Kalyan Cess’.
  5. In addition, to tax surcharge and penalty, the declarant shall have to deposit 25 per cent of undisclosed income in a scheme to be notified by the central government under Pradhan Mantri Garib Kalyan Deposit Scheme, 2016′.
  6. The deposit shall earn no interest and the amount deposited shall be allowed to be withdrawn only after 4 years of deposit.
  7. This amount is proposed to be utilised for the programmes of irrigation, housing, toilets, infrastructure, primary education, primary health, livelihood, etc.
  8. For those who continue to hold onto undisclosed cash and are caught by tax authorities, the tax rate could go up to 85 per cent.
  9. Revenue Secretary Hasmukh Adhia said the deterrent provisions were necessary so that people have the fear of hoarding black money.
  10. Deposits which have been already made from November 10 will be covered under Pradhan Mantri Garib Kalyan Deposit Scheme.

Source: TDSMAN

Interest Rate Reduced by 0.10 Percent on PPF and KVP In 3rd Quarter.

3rd Quarter Interest Reduced on Long Term Saving Schemes

The interest rates of Public Provident Fund (PPF), Kisan Vikas Patra (KVP), Senior Citizens Savings Scheme, 2004, and Sukanya Samriddhi Account (the Girl Child Scheme) were reduced by 0.10 percentage point for the quarter 01.10.2016 to 31.12.2016, and not 0.10 percentage per annum.

The reduction in the rates of interest by 0.10 percentage point was necessitated by a significant fall in the yields on Government Securities of comparable maturities.

This was stated by Shri Arjun Ram Meghwal, Minister of State in the Ministry of Finance in written reply to a question in Rajya Sabha today.

Due Dates in the Month of December-2016

Today is the 1st day of December-2016 and this month is the last month of the calendar year 2016.  We have only 3 or 4 months remains to end of Accounting year. And this month is very very important for all purpose.  The following dates are very important for taxation purpose :

7 December 2016
​​Due date for deposit of Tax deducted/collected for the month of November, 2016. However, all sum deducted/collected by an office of the government shall be paid to the credit of the Central Government on the same day where tax is paid without production of an Income-tax Challan

7 December 2016
​​Due date for furnishing of challan-cum-statement in respect of tax deducted under Section 194-IA​ in the month of November, 2016

15 December 2016
​Third instalment for payment of advance income-tax for the assessment year 2017-18​

22 December 2016
​​Due date for issue of TDS Certificate for tax deducted under  Section 194-IA​​ in the month of November, 2016

30 December 2016
​​Due date for deposit of tax deducted at source under Section 194-IA​ for the month of November, 2016​​

Complete Procedure to Send Request for Re-Issue Income Tax Refund.

Many Taxpayers did not know how to get Income Tax Refund in case of Income Tax Refund Failure by any reason from Income Tax Department side.  The 7 simple steps to request for Income Tax Refund Re-issue, please follow the below steps :

STEP - 1 :
Login to e-Filing website with User ID, Password, Date of Birth/ Date of Incorporation and Captcha.

STEP - 2 :
Go to My Account and click on "Refund Re-issue Request".

STEP - 3 :
Enter PAN, Assessment Year, CPC Communication Reference Number, Refund Sequence Number (available on the 143(1) Intimation order and Click on 'Validate' button. 

STEP - 4 :
After validation, taxpayer can select the mode of Refund Reissue from the options.

The two modes of Refund Reissue are:
  • ECS
  • By Paper (Cheque)

STEP - 5 :
Taxpayer can select to update the Bank Account Details from the option under the field 'Do you want to update Bank Account details? 

'If the taxpayer selects 'Yes', taxpayer has to enter details in the additional fields i.e. Bank Account number, Type of Account and IFSC code/ MICR code.

STEP - 6 :
Taxpayer can select the address to which the cheque has to be sent under the dropdown 'Category'.
  • If the taxpayer selects 'ITR Address', address provided in the ITR uploaded is used.
  • If the taxpayer selects 'PAN Address', address provided in the PAN is used.
  • If the taxpayer selects 'New Address', taxpayer has to enter details in the additional fields displayed.

STEP - 7 :
Taxpayer clicks on "Submit" to validate the details. 

On successful validation, Taxpayer will get the message success message .

This ends the process of refund re-issue by Taxpayer.