Latest updates @ Chartered Accountants Section!

Professional update @ Chartered Accountants Section!

Latest updates @ Chartered Accountants Section

# GST:

UPS along with the battery cannot be held as naturally bundled but to be considered as Mixed Supply within the meaning of Sec-2(74) of the GST Act, as they are supplied under a single contract at a combined single price – AAR in Switching Avo Electro Power Ltd.

# CBDT

Invites comments on draft notification proposing the amendment to Rule 44E, Form 34C, 34D and 34DA as per BEPS Action 5, for improving transparency in tax rulings on Permanent Establishment (PE).

# A&CA: It is a cardinal principle of the Arbitration and Conciliation Act (A&CA) that the parties are free to decide the number of arbitrators, provided, it is an odd number, as well as the procedure for appointing them – IBI Consultancy India Pvt. Ltd. Vs, DSC Ltd. (2018 (4) TMI 781 – SC).

Income tax

# IT: No penal proceedings have been initiated against the assessee when he was alive. Assessment has not been done in the hands of the legal representatives and therefore, Section 159 of the Act, cannot be applied to the legal representative – CIT Vs. Late Dr. K.C.G. Verghese (2018 (4) TMI 801 – Madras HC).

# IT: As derivative transactions being separate from trading in shares, Exp. to Sec-73 will not be applicable to such transactions and hence, the loss incurred by the assessee in derivative transactions through recognized stock exchange has to be set off against other business income as per provisions of the Act – CIT Vs. Sri Vasavi Gold & Bullion Pvt. Ltd. (2018 (4) TMI 802 – Madras HC).

Truly for the Profession…

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Late Fee On Delayed ITR Filing

Late Fee For Delay In Filing Income Tax Return – Mar 2018

Late Fee For Delay in Filing Income Tax Return For the year ended 31ST MARCH, 2018 (Asst.Yr: 2018-19) under Sec. 234F for non-audit cases :

  1. If Return filed during 01/04/2018 – 31/07/2018: Late Fee NIL
  2. If Return filed during 01/08/2018 – 31/12/2018: Late fee Rs. 5000 (Five Thousand)Late Fee For Delay In Filing Income Tax Return

Income less than 5L

If total income does not exceed Rs.5 Lakhs then this Late fee will be restricted to Rs.1000 only.

If Return filed during 01/01/2019 – 31/03/2019: Late Fee Rs.10000 (Ten Thousand).

If total income does not exceed Rs.5 Lakhs then this Late Fee will be restricted to Rs.1000 only.

 

Better Get your ITR filed by 30/06/2018

To avoid last moment panic due to any technical problem such as AADHAR mismatch, server problem, personal problem, etc.

TIME FOR LINKING AADHAAR WITH PAN IS EXTENDED TILL 30.06.2018.

 

Finance as per Rule of 72 ?

Do you maintain your Finance as per Rule of 72?

In personal finance, if you divide the number 72 by the rate of interest, you get to know the number of years it will take for you to double the money.

Eg: if the rate of interest is 9%, simply divide the number 72 by 9% and the answer is 8. Thus it will take 8 years to double your money if you invest at 9% p.a. the rate of interest.

INTEREST

We can use this rule in reverse to know the rate of interest needed to double your money to achieve your set goal.

Eg: If you have 250k today and you need 500k in 5 years. Just divide the number 72 by 5, the answer is 14.41%. Thus you need a type of investment avenue, where you earn at least 14.41% p.a. as a rate of interest/returns to double your investment amount in 5 years.

finance, ca, incometax, gst, auditors

 

INFLATION

This ‘Rule 72’ helps you to understand about inflation also. It helps you to calculate the amount of time it will take for inflation to make the real value of money half. Let’s say present inflation is 5.5%. When you divide 72 by 5.5% the answer is 13.09 years. That is to say, if you have 100k in your kitty today, it would take around 13.09 years for the value of the money to be halved.

Hope it helps you in your day to day investments and other finance-related activities. Happy investing!!!!

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