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Saturday, 28 December 2013

Implementation of Advance Information to be furnished by banquet halls, etc extended

The department of trade & taxes, Delhi has extended the date of implementation regarding furnishing of advance information in respect of functions organised in Banquet Halls, Farm Houses, Marriage/ Party Halls, Hotels and Open Grounds etc. as 2nd fortnight of January, 2014 instead of 1st fortnight of January, 2014.

Copy of Notification available

  

Last Date for filing of AR-1 Extended

The department of trade and Taxes, Delhi has extended the last date for filing of AR-1 from 31-12-2013 to 10-01-2014.

Copy of  Notification is available Here




Thursday, 26 December 2013

Advance Information About Booking From Banquet Halls, etc











Tuesday, 24 December 2013

Reversal of Input Tax credit in respect of Credit/ Debit Note

The VAT department, Delhi has clarified its stand on the reversal of input tax credit in respect of credit/ Debit Note vide circular no.30 dated 19/12/2013



Thursday, 19 December 2013

PROCEDURE FOR FILING R10 IN FORM 1


Saturday, 14 December 2013

Due Date for Deposit of Advance Income Tax extended

The CBDT vide its  Order dated 13.12.2013 under section 119(2)(a) of the Income-tax Act, 1961 has extended the last date of payment of the December Quarter Instalment of Advance Tax for the financial year 2013-14 from 15th December 2013 to 17th December 2013 for all the assessees, Corporate and other than Corporates.

Copy of Order is available here


Thursday, 12 December 2013

Last Date for Filing of R.10 block of Form1 for 2009-10, 2010-11, 2011-12 and 2012-13 and 2nd Quarter return of 2013-14 extended

The department of Trade & Taxes, Government of NCT Delhi has extended the Last Date for Filing of return for 2nd Quarter of 2013-14, including  block R.10 of CST Return in Form1 for 2009-10, 2010-11, 2011-12 and 2012-13, upto 31st December, 2013. The print/ hard copy of the acknowledgement in Form DVAT 56 should be submitted upto 3rd January, 2014. The dealer who have filed the 2nd Quarter return of 2013-14 in the old format shall also file the return in the amended format for 2nd Quarter return by the aforesaid dates.

Copy of Circular No. 29 of 2013-14



Tuesday, 10 December 2013

Procedure for Voluntary Disclosure of Tax Deficiency u/s 87(6) of the DVAT Act 2004.

 DVAT amendment Act 2013 dated 28/03/2013 wef 01/04/2013 inserted section 87(6) this sub-section gives AUTOMATIC MITIGATION (Reduction) of 80% penalty u/s 86 if:

          ·         A person liable to pay penalty
          ·         Voluntarily discloses IN WRITING
What
– Existence of tax deficiency
When
– During the course of proceeding u/s 60 ie. Survey etc.
Condition for mitigation
·         Pay such tax deficiency
·         within 3 working days of
·         Conclusion of the proceeding u/s 60.
Then
·         80% penalty against the
·         admitted and paid tax
·         shall be mitigated/Reduced AUTOMATICALLY

     Now, govt. has issued Circular No. 28 of 2013-14 dtd. 03/10/2013 which prescribes the procedure for      this voluntary disclosure u/s 87(6) discussed above, which is as follows:-
 
          1.      Admit the amount of cash variation, Stock variation and other discrepancies during the course of proceedings u/s 60.
   
          2.       Show the admitted amount as un-vouched/ unaccounted, retail cash sale,
·          for one or more tax periods
·         prior to the tax period during which proceeding u/s 60 is being carried out.
         
          3.       Make payment of the admitted tax within 3 working days of the conclusion of proceeding u/s 60.

          4.       Dealer can pass an accounting entry:
·         Cash a/c               Dr.          ………….
            To Sales A/c.                      ………….
(Being un-vouched/ unaccounted retail cash sale effected during the tax period from……. to……)

         5.       File Revised returns U/s 28 for earlier tax periods in which un-vouched/ unaccounted sale is admitted.

·      Now, once the A.O. (Enforcement) is satisfied with the revised return,
·     there shall be no need for DEFAULT ASSESSMENT of the dealer consequent to survey.




Saturday, 30 November 2013

Last Date For Filing R10 block of form1 for 2009-10 extended

The department of trade and taxes, government of NCT of Delhi has extended the last date for filing of R10 block for 2009-10 in Form 1 for 2nd Quarter of 2013-14 to 15.12.2013. The hard copy of the same is to be submitted upto 16th December 2013.

Copy of Notification also available




Friday, 29 November 2013

LAST DATE FOR FILING AR-1 EXTENDED

The Value Added Tax Department has vide notification No. F-3(384)/Policy/VAT/2013/1029-1041 dated 29.11.2013 extended the last date of submission of audit report in Form AR-1, by dealers having turnover of Rs 10 crore or more in 2011-12 or 2012-13 from 02/12/2013 to 31/12/2013

Copy of notification also available 


Thursday, 21 November 2013

LAST DATE FOR FILING VAT RETURN FOR SECOND QUARTER OF 2013-14 FURTHER EXTENDED



The Value Added Tax Department has vide Circular No. 26 dated 20.11.2013 further extended the last date for filing online Return for the second quarter of 2013-14 in form DVAT-16, DVAT-17 and DVAT-48 along with required annexures , and submission of hard copy alongwith required enclosures as per schedule given below


Type of Dealer
Last date for online filing
Last date for filing Hard Copy

All Dealers

25/11/2013
28/11/2013

However, the tax due shall continue to be paid in the usual manner as per the provisions of section 3(4) of the Delhi Value Added Tax Act, 2004.

Copy of notification also available

Tuesday, 12 November 2013

LAST DATE FOR FILING VAT RETURN FOR SECOND QUARTER OF 2013-14 FURTHER EXTENDED



The Value Added Tax Department has vide Circular No. 24 dated 11.11.2013 extended the last date for filing online Return for the second quarter of  2013-14 in form DVAT-16 and DVAT-17 along with required annexures , and submission of hard copy of acknowledgement in Form DVAT-56 as per the schedule  given below

Type of Dealer
Last date for online filing
Last date for filing Hard Copy
GTO >Rs 10.00 crore for in the year 2012-13
20/11/2013

22/11/2013


However, the tax due shall continue to be paid in the usual manner as per the provisions of section 3(4) of the Delhi Value Added Tax Act, 2004.

Copy of notification also available




Friday, 8 November 2013

Clarification for filing online return of DVAT for 2nd qtr

The DVAT department has issued clarification in respect of returns being filed for 2nd qtr.

1.Block R10 of CST return filed in Form 1 is part of the return. For the convenience of  dealers relaxation for filing the said block by 30th November, 2013 for the year 2009-10 and 31st December, 2013 for other years have been given for 2nd quarter return of 2013-14 only. However, non-filing of this block after the extended date shall involve imposition of penalty under section 86 of the DVAT Act, 2004.

2. Filling up tax contribution in block R3 of DVAT return filed in Form DVAT-16 is being made non-mandatory for the 2nd quarter return of 2013-14 only. In future, information would need to be supplied while filing the return.



Monday, 28 October 2013

ITAT Has No Power To Dismiss Appeal For Non-Appearance: Bombay High Court

Bharat Petroleum Corporation Ltd vs. ITAT (Bombay High Court)

Tribunal has no power to dismiss appeal for non-appearance of appellant. It has to deal with the merits. An application for recall of an ex-parte dismissal order is under s. 254(2) & must be filed within 4 years from the date of the order. The Tribunal must permit “mentioning” of matters
The assessee’s appeal was fixed for hearing before the Tribunal on 4.12.2007. As nobody appeared for the assessee, the Tribunal dismissed the appeal for want of prosecution. The assessee filed a Miscellaneous Application before the Tribunal on 6.8.2012 seeking to recall the exparte order. The Tribunal dismissed the MA on the ground that the application for recall had been filed beyond a period of 4 years from the date of the ex-parte order. The assessee filed a Writ Petition contending that (a) the Tribunal had no power under Rule 24 to dismiss an appeal for want of prosecution, (ii) an application for recall of an ex-parte order does not fall u/s 254(2) and the time limit of 4 years does not apply to it. It was also contended that the Tribunal ought to allow the system of “mentioning” matters as is done in the High Court. HELD by the High Court dismissing the Petition.
(i) It is a little strange that the Tribunal does not permit the practice of mentioning matters at any time of the day. If it had done so, the exercise of filing an application for recall may not have been necessary. The ultimate object of the Tribunal is to decide a dispute between the revenue and assessee in accordance with law to ensure that justice is done. In the aid of ensuring that justice is done, the Tribunal cannot as a matter of practice bar any Advocates/representative from mentioning their matters before the Tribunal. If indeed this is so, the Tribunal must do away with such a practice. The mentioning of matters should be allowed by the Tribunal. It is of course in the Tribunal’s discretion to allow the request made by the parties while mentioning but prohibiting mentioning of matters before a Court/Tribunal is a likely recipe for injustice. We request the Tribunal to henceforth do away with such a practice and allow mentioning of matters;
(ii) Under Rule 24, the Tribunal has no power to dismiss an appeal for non-appearance of the assessee. It has to decide the appeal on merits. The dismissal order is consequently erroneous and the assessee is entitled to have the order set aside (S. Chenniappa Mudaliar 74 ITR 41 (SC) followed; Chemipol (244) ELT 497 (Bom) distinguished);
(iii) However, because dismissing an appeal for non-prosecution in the face of Rule 24 is an error apparent on the face of the record, an application to set right the error of dismissal for non-prosecution is an application u/s 254(2) and not under s. 254(1). Where Parliament has provided a specific provision to deal with a particular situation, it is not open to ignore the same and apply some other provision. Such an application has to be filed within a period of 4 years from the date of the order;

(iv) Though the Proviso to Rule 24 empowers the Tribunal to recall an ex-parte order without specifying any period of limitation, this applies only where the appeal is decided ex-parte on merits. Where the appeal is dismissed ex-parte for non-prosecution, it is a case of an erroneous order which only be rectified u/s 254(2). Also an order passed in breach of Rule 24 is an irregular order but not a void order. Assuming the said order is a void order, yet it continues to be binding till it is set aside by a competent authority (Sultan Sadik v/s. Sanjay Raj Subba 2004 (2) SCC 277 followed)

Thursday, 24 October 2013

Last Date for filing income tax returns extended to 31st Oct 2013 where due date was 30.09.2013

The CBDT vide its order u/s 119 of Income Tax Act 2013 dated 24th October 2013 extends the due of furnishing report of audit and corresponding income tax returns from 30th September 2013 to 31st October 2013 where the same are furnished electronically. 

Copy of order enclosed

Wednesday, 23 October 2013

LAST DATE FOR RECTIFICATION OF MISMATCH IN 2A & 2B EXTENDED

The Value Added Tax Department has extended the last date for rectifying the mismatch in 2A & 2B to 31st October 2013

Thursday, 3 October 2013

Extension of due date of filing of VAT return for 2nd Qtr of 2013-14

LAST DATE FOR FILING VAT RETURN FOR Second QUARTER OF 2013-14 EXTENDED


The Value Added Tax Department has vide Circular No. 18 dated 01.10.2013 extended the last date for filing online Return for the second quarter of  2013-14 in form DVAT-16 and DVAT-17 along with required annexures , and submission of hard copy of acknowledgement in Form DVAT-56 as per the schedule  .



Type of Dealer
Last date for online filing
Last date for filing Hard Copy
GTO <Rs 1.00 crore for in the year 2012-13
25/11/2013
28/11/2013
GTO > Rs 1.00 crore but <Rs10 crore in the year 2012-13
20/11/2013
22/11/2013
GTO > Rs 10.00 crore in the year 2012-13
11/11/2013
18/11/2013


However it may be noted that the due date for depositing tax is not changed.

Copy of notification also available



Wednesday, 18 September 2013

FREQUENTLY ASKED QUESTIONS (FAQs) ON e-FILING OF TAX AUDIT REPORT

FREQUENTLY ASKED QUESTIONS (FAQs) ON e-FILING OF TAX
AUDIT REPORT
(Developed by Direct Taxes Committee of ICAI in consultation with the Officials of Directorate
of Income-Tax (Systems)

Note: This document deals with those FAQ’s which are not covered in the e-filing portal. The
members may visit the www.incometaxindiaefiling.gov.in for other FAQ’s.
[Go to home page of www.incometaxindiaefiling.gov.in, click on ‘Help’ menu at right topmost corner of the page, then click on the link as may be considered necessary]

1. What is the complete procedure to upload tax audit reports by Tax Professionals?
The procedure of e- filing is explained at the following path of e-filing website:
https://incometaxindiaefiling.gov.in/e-Filing/Portal/StaticPDF/Registration_Services.pdf?0.2231070064008236
However, the procedure in brief is mentioned below:

Step- I Registration on e-filing portal Action by Chartered Accountant
a) Access www.incometaxindiaefiling.gov.in

b) Click on ‘Register Yourself’ tab and select the user type under Tax Professional as ‘Chartered
Accountant’

c) Enter Basic details:
§ Details of membership of ICAI: MRN, Enrollment date
§ Personal Details: Surname, Middle Name, First Name, Date of Birth, PAN, E-mail id
§ Digital Signature Certificate: upload .pfx file or USB token
§ Click ‘Submit’

d) After successful submission of above basic details, enter details in registration form:
§ Set Password.
§ Set primary secret question and answer thereof.
§ Set secondary secret question and answer thereof
§ Enter contact details: Landline number, mobile number; alternate number; e-mail id &
      alternate e-mail id; Fax number
§ Postal Address
§ Subscribe to e-mail and alerts
§ Captcha Code

    After successful submission of all above details, the user will receive a confirmation e-mail
containing an activation link. The user account will be activated as soon as the user triggers that link,
thereby updating the database of Income-tax Department. An SMS will also be sent at the registered
contact number of the user notifying that a confirmation mail was sent to his/her registered e-mail id.

Step- II Add Chartered Accountant Action by Assessee
a) Assessee is required to login into his/her account by entering user id and password at
www.incometaxindiaefiling.gov.in
b) Go to ‘My Account’ tab and select ‘Add CA
c) Enter MRN of the CA. After entering correct 6 digits MRN of CA, the name of CA will
automatically get prefilled.
d) Select the Form no. for which CA is supposed to be added.
e) Select Assessment Year
f) Enter the image of the captcha code
g) Click ‘Submit
After successful submission of above, a message will be displayed notifying the addition of CA in
assessee’s profile.

Step- III Submit Tax Audit report Action by Chartered Accountant
After successful uploading of tax audit report, the said form will go to assessee for approval.

Step- IV Approval or Rejection of uploaded tax audit
report
Action by Assessee
a) Login the account and navigate to ‘Work list’ tab (Assessee will be able to view list of forms
submitted by Chartered Accountant along with attachment)
b) Click on ‘View Form
c) Assessee can verify the form and approve/reject the form (other than ITR).
d) The acceptance of the form (other than ITR) by the assessee is to be made under his/her
Digital Signature.
e) If assessee is rejecting the form, reason for such rejection has to be provided.
An email will be sent to the registered e-mail id after successful submission of the form
along with the acknowledgement number.

2. Whether Schedules and Notes to Accounts are also required to be uploaded with Balance
Sheet and P&L?
    Form No. 3CA requires the tax auditor to annex a copy of the Statutory Audit Report along
with the copy of audited Profit and Loss Account/ Income & Expenditure Account, audited
Balance Sheet and documents declared by the said Act to be a part of / or annexed to the
Balance Sheet and Profit and loss Account/ Income & Expenditure Account. Accordingly, the
same are required to be uploaded.
    With regard to Form No.3CB, the tax auditor is required to annex the audited Balance Sheet,
Profit and loss account /Income & Expenditure Account along with notes to accounts and
schedules, if any, forming part of Balance Sheet, Profit and loss account /Income &
Expenditure Account.

3. Whether it is mandatory to upload a scanned copy of signed Balance Sheet, P&L and
other documents?
    Balance Sheet, Profit and Loss Account in Word, Excel Format, etc signed as “sd/-” can be
converted in to ‘.pdf’ file and uploaded on the portal. However, the auditor should maintain the
physically signed Audited Report in his records and ensure from that there is no difference
between physical report and PDF file uploaded.

4. Whether Name / Date of Birth (DOB) of the Chartered Accountant given in PAN database
(as per ITD e-filing website) is to be matched with the ICAI database for successful
registration in the e-filing portal?
    E-filing portal verifies the Name of Member and Date of Birth entered in Registration Form
from ICAI Database and also PAN Database. In case there is difference / mismatch of details
between the two Databases the portal will not allow registration. In case any member is facing
such difficulty, please refer to procedure given in the following link
http://220.227.161.86/30652dtc20622.pdf

5. Whether audit conducted under section 44AD, 44BB, 44BBB & 44AE is required to be
filed electronically?
    Sections 44AD, 44BB, 44BBB & 44AE provide that in specified cases the assessee is required
to get his accounts audited and furnish the report of such audit as required under section
44AB. Therefore, e-filing is applicable to such audits also.

6. Where the Firm Registration No. (FRN) should be mentioned in the e-forms?
   The present E-filing portal does not provide field to mention FRN, however, the department is
in the process of enabling this facility. Till the utility is configured to allow entering of FRN,
members need not mention their FRN.

7. Where should the comments/observations in respect of a particular clause of Form
No.3CD is to be mentioned in the e-form?
    Comments / observations, if any relating to the clauses may be given in Form 3CA/3CB
subject to space provided therein. Alternatively, they can be uploaded as PDF file in the field
‘Upload other report’ of the portal.

8. In case tax audit is conducted by joint auditors, what is the procedure to upload tax audit
report electronically?
    The e-filing portal allows the report to be uploaded by a single auditor. Therefore, the joint
auditors may mutually agree and decide the auditor who shall upload the report. However, all
the joint auditors should sign the hard copies.
As per the ICAI’s “Guidance Note on Tax Audit u/s 44AB of the Income-tax Act, 1961”, it is
possible for the assessee to appoint two or more chartered accountants as joint auditors for
carrying out the tax audit, in which case, the audit report will have to signed by all the chartered
accountants. As per Standards on Auditing 299 (Responsibility of Joint Auditors) issued by
ICAI, normally, the joint auditors are able to arrive at an agreed report. In such case, the
physical copy should be signed by all the auditors. Thereafter, any one of them may upload the
report.

      However, where the joint auditors are in disagreement with regard to any matters to be covered
by the report, each one of them should express his own opinion through a separate report. A
joint auditor is not bound by the views of the majority of the joint auditors regarding matters to
be covered in the report and is required to express his opinion in a separate report in case of a
disagreement. Such separate reports are also to be uploaded on the portal.

9. What is the procedure to furnish revised audit report electronically?
     In case of revision, the audit report should be given in the manner suggested by the Institute in
SA-560 (Revised) “Subsequent Events”. It may be pointed out that report under section
44AB should not normally be revised. However, sometimes a member may be required to
revise his tax audit report on grounds such as:
(i) revision of accounts of a company after its adoption in annual general meeting.
(ii) change of law e.g., retrospective amendment.
(iii) change in interpretation, e.g. CBDT’s circular, judgments, etc.
(iv) Any other reason like system/software error requiring change in report already
uploaded.
In case, where a member is called upon to report on the revised accounts, then he must
mention in the revised report that the said report is a revised report and a reference should be
made to the earlier report also. In the revised report, reasons for revising the report should also
be mentioned.
The e-filing portal allows uploading such Revised Audit Report by the CA for the same PAN
and Assessment Year.

10. Is there any upper limit on the no. of audit reports which can be uploaded by a
Chartered Accountant on e-filing portal?
    As per ICAI Council Guidelines No.1-CA(7)/02/2008, dated 8th August,2008, a member of the
Institute in practice shall not accept, in a financial year, more than the 45 tax audit assignments
under Section 44AB of the Income-tax Act, 1961. However, audits conducted under sections
44AD and 44AE shall not be included in this limit.
Since, the Income-tax Act,1961 does not provide any limit on number of tax audits assignments
which can be undertaken by a Chartered Accountant the e-filing portal does not provide any
restriction. However, members are required to comply with the prescribed ceiling limits.

11. If there are 10 partners in a firm of Chartered Accountants, then how many tax audits
reports can each partner sign in a financial year?
    As per Chapter VI of Council General Guidelines, 2008 (Tax Audit Assignments under Section
44AB of the Income Tax Act, 1961), a member of the Institute in practice shall not accept, in a
financial year, more than the specified number of tax audit assignments as prescribed under
Section 44AB of the Income Tax Act, 1961. The specified number of tax audit assignments
under Section 44AB of the Income Tax Act, 1961 is 45.
    It is further provided in Chapter VI of Council General Guidelines, 2008 that in case of firm of
Chartered Accountants in practice, specified number of tax audit assignments means 45 tax
audit assignments per partner of the firm, in a financial year.
    Therefore, if there are 10 partners in a firm of Chartered Accountants in practice, then all the
partners of the firm can collectively sign 450 tax audit reports. This maximum limit of 450 tax
audit assignments may be distributed between the partners in any manner whatsoever. For
instance, 1 partner can individually sign 450 tax audit reports in case remaining 9 partners are
not signing any tax audit report.
    It is needless to say that the tax audit assignment should be in accordance with the Standard on
Quality Control (SQC) 1: Quality Control for Firms that Perform Audits and Reviews of
Historical Financial Information, and Other Assurance and Related Services Engagements

12. What is recommended system requirements for facilitating e-filing?
    To increase the computer processing speed all the previous versions of java be removed from
the computer. To use the e-forms utility install Java Runtime Environment Version 7 update 13
(jre 1.7 is also known as jre version 7) or https://incometaxindiaefiling.gov.in

13. If tax audit report is issued and the ITR is filed prior to issuance of the Notification No.
34/2013, dated 01-05-2013 which mandates e-filing of audit reports. In such cases whether
e-filing of audit reports is required?
    CBDT Notification No. 34/2013 dated 1-05-2013 provides that the rules prescribed therein shall
be deemed to have come into force with effect from the 1st day of April, 2013. Accordingly,
even if ITR has been filed prior to issuance of said Notification, Tax Audit report is required to
be e-filed separately.

14. In case of e-filing of audit reports what is the date of audit report?
    Date on which the report is physically signed by the Auditor shall be the date of audit report.
15. Is it possible to e-file the ITR first and then e-file the audit report?
    E-filing of ITR and Tax Audit report are independent actions. However, it is advisable to first
upload tax audit report and then file IT return.

16. Even after filling complete details in the first page of ITR-7, one is not allowed to proceed
to second page. What should be done in such a case?
    The trust should first fill the status and then PAN.

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