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www.caonline.in News... 1.CBDT instruction denying refund in scrutiny cases is invalid. [Tata Teleservices Limited vs. CBDT (Delhi HC)]. 2.Export made through third parties eligible for deduction u/s 10B. [Earth Stone Group vs. Additional CIT (ITAT New Delhi)]. 3.Burden of proving unjust enrichment is on revenue. [ Balaji Pressure Vessels Ltd. vs. Commissioner of Central Excise (CESTAT Hyderabad]). 4.Companies while undertaking CSR activities u/s 135 of Companies 2013 shall not contravene any other prevailing laws of land including COTPA, 2003. MCA circular 05/2016. 5.The Direct tax dispute resolution scheme 2016 expected to come into force on 1st June, 2016. CBDT press release of 12.05.16. For more News Like us on https://www.facebook.com/caonlineofficial Or Subscribe on mail visit : www.caonline.in

The central government, in consultations with banks and the Reserve Bank, is finalising a fourth tranche of sovereign gold bonds ( SGB). This one is expected to be more investor- friendly and options under consideration include selling bonds also through a stock exchange, via an offer for sale (OFS), where member- brokers can put orders on behalf of investors. There is also some procedural simplification under consideration, say sources. In the earlier tranche, RBI was not able to complete issue of bond certificates; these are being issued now. RBI is sending these wherever possible through e- mails; a demat process is also said to be on. The government is also considering if the interest rate paid, now 2.75 per cent per annum, needs to be aligned with the overall rate structure. Recently, the government cut interest rates on all saving instruments, including postal savings, in line with an overall falling rate structure. At a fixed 2.75 per cent, the government knows the outgo...

The Insurance Regulatory and Development Authority of India ( Irdai) has brought out a new set of norms on expenses of management for general insurance and standalone health insurance companies, based on the line of business. These take effect from this financial year. In the segments of motor, health retail and miscellaneous retail ( like public liability), the expenses allowed are higher. There would be penalties if the expense limits are exceeded. Expenses of management would include all those in the nature of operating expenses —commission, brokerage, remuneration to agents and to intermediaries, charged to the revenue account. No general insurance or health insurance business can exceed the amount stipulated. In motor insurance, the allowable expense is 37.5 per cent of gross premium for the first Rs. 500 crore. It is 32.5 per cent for the next Rs. 250 crore and 30 per cent for the balance. Any violation of the limits on an overall basis could even lead to restriction on...

  Ekart Courier will be rolled out in Bengaluru next week and in 50 other cities by September Ekart, Flipkart's logistics unit, is set to launch a courier service that will take on the likes of DTDC Express and First Flight Courier, as it builds a consumer-facing vertical to complement its core supply-chain management business. The courier service will help bolster Ekart's new positioning as an independent logistics powerhouse, with Flipkart recently deciding to hive off the unit to allow it to cater to other companies. Ekart's clients now include Madura Garments as well as online retailers Jabong and Paytm. Ekart has aggressive plans for its courier service, with an aim to capture 510% of the market in the first year. Ekart Courier, which pegs the size of the consumer-to-consumer courier market at . 2,200 crore, expects ` revenue of more than ` . 200 crore in the next one year, effectively squeezing out more revenue per delivery executive. “We expect this service...

The finance ministry will launch an ‘ income declaration scheme’ from June 1. Those who have not declared their income correctly in earlier years will have an opportunity to do so during the four months the scheme remains open. The government had announced a 90- day amnesty- like window for foreign black money holders in the 2015 Budget. It has now come up with a similar scheme to curb domestic black money. But, the taxation will be at 30 per cent plus a Krishi Kalyan Cess of 25 per cent and a penalty of 25 per cent ( both on the tax payable). Altogether, a person will have to pay 45 per cent of the income declared. This scheme will apply both to undisclosed income and to investments in assets. In case of assets, the fair market value on June 1 will be deemed the undisclosed income. “Valuation should be done with utmost care, as any difference can result in hardship to the tax payer,” says Rakesh Nangia, managing partner, Nangia & Co, a chartered accountancy firm. Adds Sanj...

India needs to improve its ease of doing business, which continues to lag behind that of G20 ( Group Of Twenty, a group of finance ministers and central bank governors from 19 of the worlds largest economies, and the European Union) to attract foreign businesses to invest in the country, Arun M Kumar, director- general of the US ( United States) and Foreign Commercial Service, said on Wednesday. Speaking at an industry American Chamber of Commerce, Kumar said data pointed to a correlation between better growth, even among Indian states. According to a study by World Bank last year, Gujarat, Andhra Pradesh, and Jharkhand topped the list of states in this regard. Currently, the Department of Industrial Policy and Promotion ( DIPP) has formulated 340 parameters, on which states have been asked to update their performance till June 30. Kumar said ease of doing business represented amajor stumbling block to India- US business and trade prospects, which he said had massive potential in...

India might, if various other things happen, be able to reach its $ 400 billion ( bn) targeted electronics production by 2020, Manufacturers Association for Information Technology ( Mait) said on Wednesday. According to the ministry of IT ( information technology) and telecom, the Indian market is expected till 2020 to grow at a compound annual rate ( CAGR) of 66.1 per cent, to $ 400 bn from the $ 31.6 bn in 2015. But, Mait says, the government needs to take a slew of measures if it wants to achieve that target. For, the sector in India is like “ an athlete with its hands tied behind its back and weights tied to legs”. “Estimated electronics production will (otherwise) reach only $ 104 bn by 2020. At this rate, the electronics import bill is expected to far exceed the oil import costs by 2020 — given the drop in oil prices, this could happen earlier,” Mait said. It added the environment in China was far more conducive to electronics manufacturing and India could pick a few po...

E- wallet players have been kept out of the new Unified Payments Interface ( UPI) at the behest of banks. Banks felt including e- wallet services, which is set to make money transfer simpler, might not be in the interest of banks, said an official who is a part of the team working on UPI. The Payments Council of India, which represents these wallet players, had communicated to the National Payments Corporation of India ( NPCI) that they would like to be part of the UPI system. However, they have not been included so far. These non- bank players have an edge in the mobile wallet space as first movers. They established themselves before the banks entered the space. These players had cashed in on the rise of smart phones and offered safe and simpler transactions to consumers. Even though banks are late entrants to this space, they would be able to establish soon thanks to their customer base. Experts say the dynamics of the digital money transfer will change with banks getting a...