1. Personal income tax to GDP ratio rises to 2.94 in FY 2021-22 The Finance Minister, Smt. Nirmala Sitharaman chaired a periodic review meeting with the Central Board of Direct Taxes (CBDT). During the review meeting, the FM was apprised about the impact of various initiatives. Introducing new data sources in SFT has led to an 1118% increase in reported information. Further, FM was also apprised of the fact that the Personal Income Tax to GDP ratio has been steadily
Category: Direct Tax
Direct Tax Alert- September 2022
Vide this circular the Central Board of Direct Taxes (CBDT) has issued additional guidelines for removal of difficulties under sub-section (2) of section 194R of the Income-Tax Act, 1961. Earlier, the CBDT had issued guidelines vide Circular no. 12 of 2022, dated 16th June, 2022. Vide this letter dated 16.09.2022 the Central Board of Direct Taxes (CBDT) has issued Guidelines on Compounding of Offences under the Income-tax Act, 1961 have been reviewed by the Board with a view to simplify
Direct Tax Alert- August 2022
Recent Updates CBDT notifies books & other documents to be maintained u/s 10(23C)/12A. Notification No. 94/2022 dated 10-08-2022. CBDT amends Rule 17CB to replace ‘trust or institution’ with ‘specified person’ in relation to Method of valuation for the purposes of sub-section (2) of section 115TD. CBDT extends time-limit for furnishing of Form-67. Foreign Tax Credit (FTC) can be claimed at time of filing belated and updated ITR. Amendment in Rule 128. Notification G.S.R. 636(E) [NO. 100/2022/F.NO. 370142/35/2022-TPL], DATED 18-08-2022. CBDT notifies Form 29D to
Direct Tax Alert- July 2022
CBDT reduces time limit to verify ITR from 120 days to 30 days for returns filed on or after 01-08-2022 The Central Board of Direct Taxes (CBDT) has reduced time limit for e-verification or submission of ITR-V from 120 days to 30 days for the Income-tax returns filed on or after 01-08-2022. This notification will come into effect from 01.08.2022. It is further, clarified that the date of dispatch of Speed Post of duly verified ITR-V shall be considered for the
DIRECT TAX ALERT-JUNE 2021
Finance Act, 2022 inserted section 194R, providing for withholding tax on the provision of any benefit perquisite provided by any person to any resident, in the exercise of the business or profession by such resident. Applicable in case the value of such benefit or perquisite provided in the aggregate exceeds Rs. 20,000/- during the F.Y. This section is applicable from 01.07.2022. Finance Act, 2022 inserted a new section 194S in the Act w.e.f. 1st July 2022. The new section mandates
Direct Tax Alert
Recent Updates ITR Form-U for Updated Income Tax Return: CBDT notifies form and manner for filing Updated Return in Notification no. 48/2022 dated 29.04.2022. Updated return can be filed from the assessment year 2020-21 inwards. CBDT issues revised norms for constitution of committee to deal taxpayer’s grievance from high pitched assessment. Instruction F. No. 225/101/2021-ITA-II, DATED 23-4-2022 Important Judicial Precedents OECD and Indian TP guidelines don’t prohibit selecting foreign AE as tested party for TP Study Indian Transfer Pricing guidelines issued
Direct Tax Alert
Loss from one Virtual Digital Asset (VDA) cannot be set off against income from another VDA. In our February month’s tax alert we mentioned the new scheme of taxation on virtual digital assets and also brought up the issue regarding the set-off of loss from one VDA with income of another VDA. Relevant extracts of the February tax alert: “Whether the loss from the transfer of virtual digital assets can be set off from the income earned from the transfer
Direct Tax Alert
Union Budget 2022-23 Highlights Updated Income Tax Return: Sub-section (8A) has proposed to be inserted into section 139 to provide an additional 2 years to a taxpayer to update his return. Updated returns can be filed irrespective of the fact whether the taxpayer has earlier filed the original, revised or belated return in respect of the relevant assessment year. However, an updated return cannot be filed if it is a return of a loss or has the effect of decreasing
Central Board of Direct Taxes gave the Guidelines under Section 194Q of Income Tax Act, 1961. The CBDT Circular also covers the linkage between Sections 194Q, 194-O and 206C(1H).
E-auction services carried out through electronic portal, where the final price and payments are settled by seller/ buyer independently; Adjustment of various state levies and taxes other than GST; Applicability of section 194Q in the cases where exemption has been provided u/s 206C(1A); and Applicability of the provisions of section 194Q in the case of Government Departments (not a PSU). Important Judicial Precedents Provision for foreign travel expenses payable, as per binding contract, in respect of dealers/distributors who have achieved
Roll out of the new Annual Information Statement (AIS)
Important Judicial Precedents RNM was established by Late Mr. R.N. Marwah in the year 1946. RNM India is one of the top ca firm in Delhi. Commencing from the pre-independence era to the modern age of science and technology, RNM has loyally stood as a witness to the sequence of events that have gradually molded the nation and led to the rise of a new India, over the past 75 years. RNM has been one of the best audit firm