Employee P.F. Ceiling Limit increased by Rs. 8500/- i.e. from Rs. 6500/- to Rs. 15000/- for Fin. Year 2014-15.

The Hon'ble Union Minister of Finance in the Budget Speech of 2014-15 has announced enhancement in statutory wage ceiling for enrollment under the EPF and MP Act, 1952 to Rs. 15000/- per month from the current maximum of Rs. 6500/- per month. On this ground Central Board of Trustees’, Employees' Provident Fund (CBT, EPF) has been issued a circular regarding enhancement of wage ceiling from Rs. 6500/- to Rs. 15000/- per for Fin. Year 2014-15. This amendments related to the Employees’ Provident Fund Scheme, 1952 (EPF), Employees’ Pension Scheme, 1995 (EPS) Employees’ Deposit Linked Insurance Scheme, 1976 (EDLI) for implementing increase in wage ceiling to Rs. 15,000/- and Minimum Pension of Rs. 1,000/- - issues and modalities.

How get another copy (reprint ) of PAN card lost ?

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https://taxofindia.wordpress.com/2015/11/26/how-get-another-copy-reprint-of-pan-card-lost/ 

•Clarification on matters relating to Related Party Transactions [Circular No. 30]

There is a clarification from MCA in respect of related parties transaction. This will provide some relief to the operation of company. The link of notification is given below and the analysis of the same will be provided very shortly.

http://www.caalley.com/colaw14/Circular_No_30_17072014.pdf

POSSIBILITY OF PROXY

Section 105(2) of the Companies Act, 2013 says in every notice calling a meeting of a company, there shall appear with reasonable prominence a statement that member entitled to appoint a proxy and a proxy need not be a member. Prominent question on ‘proxy’ is where the institution of proxies stands under new corporate law regime.

Whether disallowance u/s 14A can exceed total administrative expenditure debited by assessee in Profit & Loss account - NO: ITAT

THE issue before the Bench is - Whether disallowance under section 14A can exceed the total administrative expenditure debited by the assessee in the Profit & Loss account. And the answer goes against the Revenue.

Facts of the case

The assessee is a non–banking financial company deriving interest income from money lending and income from investment. The assessee had shown short term capital gain and long term capital gain from the sale of shares. The assessee, during the course of assessment proceedings, in response to the show cause notice, filed details submissions with regard to the overall

Income Tax deduction on your children’s education u/s. 80C and 80E of the Income Tax Act, 1961

The cost of educating our children is rising consistently. It’s a matter of concern for all of us. One relief is the tax benefit provided for spending on children’s education. The Income Tax Act provides a direct deduction on account of fees paid for the education of dependent children. The act also provides for deduction on account of interest on loans taken for higher education of children.

Salary Perquisites u/s. 17(2) for Salaried Employee.

Perquisites mean any casual emoluments, fees or profit attached to an office in addition to salary and wages. In simple words, it’s a personal advantage. It does not cover a mere reimbursement of any expenditure incidental to the employment.

REGISTER OF DIRECTORS AND KEY MANAGERIAL PERSONNEL

Sub – Section (1) of Section 170 of the Companies Act 2013 mandate that every company shall keep at its registered office a register containing such particulars of its directors and key managerial personnel as may be prescribed, which shall include the details of securities held by each of them in the company or its holding, subsidiary, subsidiary of company’s holding company or associate companies.

Whether, based on subsequent decision of Supreme Court which was not available at time of decision given by Tribunal, rectification application u/s 254(2) is maintainable - YES: HC

THE issues before the Bench are - Whether, based on a subsequent decision of the Supreme Court which was not available at the time of decision given by the Tribunal, a rectification application u/s 254(2) is maintainable and Whether in the event of closure of a firm, stock of the said firm would be carry forward to the newly formed company, at cost only. And the verdict goes against the Revenue.

Facts of the case

Whether service would be applicable on the toll collection on highways under the category of business auxiliary service? Held, no

Patel infrastructure pvt. Ltd. vs. CCE, Rajkot (2014 (33) STR 701 (Tri- Ahmd)

.

Facts:

The Appellant collected toll charges from the users of high ways. The department demanded service tax under business auxiliary services on the entire collection of toll. The appellant relied upon the judgement in Interpol India Consultants(P) Ltd -2011(24) STR611 (Tri-Delhi)and contended non-applicability of service tax on toll collections.

Chennai ITAT rules that gift by corporates is valid in law and exempt from capital gain tax

This Tax Alert summarizes a recent ruling of Chennai Income Tax Appellate Tribunal (ITAT) in the case of Redington (India) Ltd. (Taxpayer) on the issue whether transfer of shares of subsidiary to its step down subsidiary by way of gift is valid and whether the same is taxable under the provisions of the Indian Tax Laws (ITL). The ITAT ruled that gift by corporates is valid in law and presence

Whether penalty u/s. 76 would be leviable where service tax was deposited along with interest before issuance of show cause notice?

Sen Brothers vs. CCE, Bolapur (2014(33) STR 704 (Tri – Kolkata)

Whether penalty u/s. 76 would be leviable where service tax was deposited along with interest before issuance of show cause notice? Held, no

Bombay HC rules on time limit for withholding tax proceedings

This Tax Alert summarizes a recent ruling of the Bombay High Court (HC) in the case of DIT v. Mahindra and Mahindra Ltd. (Taxpayer) on the issue of time limit for the Tax Authority to initiate action against the payer for default in withholding tax.

In absence of specific time limit prescribed under the Indian Tax Laws (ITL), jurisprudence is divided on time limit for initiating withholding tax proceedings. While some High Courts have held that proceedings should be initiated within a reasonable time (viz. four years from the end of relevant tax year), some other High Courts have held that there is no time limit for initiating such proceedings. It

Budgetry changes affecting non-resident taxation

Income of FIIs from transaction in securities to be treated as capital gains:

There have been litigations involving characterization of income of FIIs from purchase and sale of securities - whether the same represents business income or capital gains. Apparently, this uncertainty has also kept away the fund managers from setting up base in India. Accordingly, the Finance( No 2) Bill, 2014 proposes to amend the definition of capital asset in section 2(14) of the Act to make it clear that investments by FIIs in securities in accordance with SEBI regulations will be treated as capital asset and income arising from transfer of such securities will be treated as

RESIGNATION OF A DIRECTOR

According to Section 168 of the Companies Act 2013 A director may resign from his office by giving a notice in writing to the company and the Board shall on receipt of such notice take note of the same and the company shall intimate the Registrar in such manner, within such time and in such form as may be prescribed and shall also place the fact of such resignation in the report of directors laid in the immediately following general meeting by the company. A director shall also forward a copy of his resignation along with detailed reasons for the resignation to the Registrar within thirty days of resignation in such manner as may be

TAX PLANNING FOR DAUGHTER-IN-LAW

	NEW TAX REBATE FOR WOMEN :
	The Finance Act, 2000 has introduced a new section 88C (w.e.f. Assessment Year 2001-02) which confers tax rebate upto Rs.5,000 for resident women assessees below the age of 65 year at any time during the relevant previous year. This rebate is available to women irrespective of their source of income. Even, this rebate is available against tax on Long Term Capital Gains. Thus, all women assessees should take full benefit of the rebate. [It may also be noted that in case of assessees (both male and female)

Facilitating Investment linked incentives and foreign borrowings

THE Finance (No.2) Bill 2014, in an attempt to boost manufacturing sector, has proposed amendments granting additional allowance at 15% of the value of the new plant and machinery to small manufacturing industries as well under section 32AC of the Income tax Act, 1961 ("the Act"). Further, investment linked incentives (allowance of capital investment) available to certain specific industries, under section 35AD of the Act, is proposed to be extended to two more

Service Tax relief for SEZ in Budget 2014

IN terms of Notification No.12/2013-ST from 1st July 2013 SEZ's were provided exemption, whether upfront or by way of refund of service tax paid on Specified Input Services meant for use in Authorized Operations (AO). This has done away with the requirement of submission of original invoices as well as the Certificate from the Statutory Auditor. There were other minor changes on the positive side as well.

However the mandatory Authorisation in Form A-2 to be issued by Central Excise (CE) Authorities even after the Development Commissioner (DC) of SEZ issued the Form A-1 became a sore point.

Whether if Revenue declines to grant exemption u/s 10(23C)(vi), such denial automatically leads to refusal of registration u/s 12AA - NO: HC

THE issues before the bench are - Whether if the exemption under Section 10 (23C)(vi) is declined, it would amount to refusal of registration under Section 12AA and whether registration u/s 12A can be denied without recording the reasons for satisfaction that the activities of assessee are not genuine or are not being carried out in accordance with the objects of the trust or the institution. And the verdict goes against the Revenue.

Tax Calculation Method with exemption Allowances & Perquisites, Deductions u/s. 80C & Others for Asstt. Year 2015-16

After Indian Union Budget-2014, Income Tax Exemption regarding Allowances & Perquisites, Deductions u/s. 80C & Others with Tax Calculations for Asstt. Year 2015-16 for Individual Taxpayers are as under :

Some Exempted Receipts /Special allowances & Perquisite which are not chargeable to tax are

Exempted Receipts -