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Showing posts from September 19, 2015

Gold deposits over 500gm without known income sources will attract tax

Govt says existing tax regulations for gold holdings will apply to the gold monetization scheme as well Gold deposits over 500gm, not explained by known source of income, will attract income tax under the gold monetization scheme, the government in an internal note dated 15 September that was released on Friday. It is likely to discourage large depositors with undisclosed source of income but will encourage small depositors as it brings clarity on the tax implications of the scheme. It is in line with the government’s intent to ensure the scheme does not facilitate conversion of black to white money. Banks will not be allowed to use the gold deposits to meet their statutory liquidity ratio and cash reserve ratio requirements as proposed by the earlier draft. The finance ministry, in a recent circular, said the existing income-tax regulations for gold holdings will apply to the gold monetization scheme as well. A certain amount of the gold holdings as explained by known sources of income ca…

Reference to Transfer Pricing Officer in Specified Domestic transaction cases reg.-

Instruction No 11/2015
Government of India
Ministry of Finance
Department of Revenue
Central Board of Direct Taxes
North Block, IT (A-II) Division
New-Delhi, dated the 16th of September, 2015

Subject:  Reference to Transfer Pricing Officer in Specified Domestic transaction cases reg.-
Clarifications have been sought from the Board as to which authority will function as Transfer Pricing Officer (‘TPO’) for the purposes of determining Arms Length Price (‘ALP’) in respect of Specified Domestic Transactions (‘SDTs’) as per the provisions of section 92CA of the Income-tax Act, 1961(‘Act’). 2. The Board has considered the matter and it is hereby clarified that such cases involving SDTs shall continue to be handled by the TPOs working under the Commissioner (Transfer-Pricing). The Board, under section 120 of the Act, has already issued Notification No.(s)  58 & 59/2014 (F.No.  187/29/2014/ITA.I) dated 03.11.2014 effect. 3. This may be brought to the notice of all concerned. Enclosure: as above (cop…

MSMEs to get one page e-registration

To ease the registration process of the micro, small and medium enterprises (MSMEs), the government would soon notify a simple online registration system, MSME secretary Anup K Pujari said on Friday. The “one page” registration system “will be called Udyog Aadhaar Memorandum,” he said on the sidelines of a MSME summit organised by industry body Ficci. The notification is awaiting the approval of the law ministry. Under this platform the establishments will have to self-certify details of their existence, bank account, business activity, and employment and ownership. This one page form will replace the cumbersome Enterprise Memorandum (EM) I and EM II forms, that exists now. Hindustan Times, New Delhi, 19th Sept. 2015

Sebi notifies norms to dilute powers of chairman

Markets regulator Sebi has notified new norms that will dilute its chairmans powers on conduct of search and seizure of defaulters properties, with permission for such operations being required from a special court. Under the new norms, Sebi will have to seek permission from special courts to conduct search and seizure operations, as against earlier regulations that had provided the capital markets regulator chief to directly authorise such actions. These regulations would be called the Securities and Exchange Board of India (Procedure for Search and Seizure) Repeal Regulations, 2015. The move comes following demands that the greater powers need to be balanced with necessary safeguards. The Sebi Chairman was earlier authorised to conduct search and seizure operations against suspected entities, but the new notification provides that permission for such actions would need to be obtained from a Magistrate or Judge of a designated court. Business Standard, New Delhi, 19th Sept. 2015