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Showing posts from March 7, 2018

E-way bill may not be needed for small orders

E-way bill may not be needed for small orders Small orders that are part of a large consignment out for multiple deliveries within a state may not require an electronic-way (e-way) bill in the goods and services tax (GST) regime. This will come as relief for e-commerce and consumer goods suppliers. The e-way bill requirement will be limited to items priced over Rs 50,000 for intrastate supply This is among changes expected in the GST e-way bill to ease the compliance burden and will likely be taken up by the GST Council during its meeting on Saturday. The exemption, however, will not apply to interstate movement of consignments. “Changes will be made in the rules to do away with the requirement for multiple e-way bills for small orders within a state. The aim is to remove difficulties faced by companies,” an official said.This essentially means if a truck out for delivery is carrying 20 orders, of which four orders are priced over Rs 50,000, only four e-way bills will need to be generate…

Tax cloud over IFSC dividend payout

Tax cloud over IFSC dividend payout DDT waiver only on what is paid from current income, not accumulated profit; experts say Centre should clarify There is concern that a portion of the dividend to be declared by companies operating out of the International Financial Services Centre (IFSC) could come under the tax net. The central government had announced various tax sops for new businesses engaging in financial services at IFSC, set up at GIFT City in Gujarat. Among these, waiver of dividend distribution tax (DDT) on profits distributed by IFSC companies was considered a major relief, as it would help them to repatriate profits without additional cost to the business. However, the waiver has been provided for dividend distributions made by IFSC companies only from current income. The present company law provisions, which apply to companies set up at the IFSC, permit declaration of dividends out of accumulated profits.Given these, companies could potentially bifurcate the amount of divide…

Digital transactions decline in February

Digital transactions decline in February February saw total digital transactions worth Rs115.5 trillion, down 12.5% from Rs131.9 trillion in January, provisional data by the RBI showed Digital transactions in February fell from the previous month in terms of both value and volume, provisional data released on Tuesday by the Reserve Bank of India (RBI) showed. The month saw total digital transactions worth Rs115.5 trillion, down 12.5% from Rs131.9 trillion in January, according to the data. The number of digital transactions also declined marginally to 1.09 billion in February from 1.12 billion in January. The highest volume was recorded in January. Digital transactions include those conducted via credit and debit cards, unified payments interface (UPI), unstructured supplementary service data (USSD), prepaid payment instruments (PPIs) and internet banking.Transactions across UPI yet again reached a new peak in February. The transaction volume was 171.2 million, up 13% from 151.7 million t…

Government probing 53 cases of profiteering in GST regime

Government probing 53 cases of profiteering in GST regime MoS finance Shiv Pratap Shukla informed Rajya Sabha that out of 354 petitions received, a standing committee attached to NAA has forwarded 65 to the Directorate General of Safeguards for investigation The Directorate General of Safeguards, which probes complaints of profiteering by businesses under the goods and services tax (GST) regime, has initiated investigation in 53 cases, the finance ministry said on Tuesday.In a written reply, minister of state for finance Shiv Pratap Shukla informed Rajya Sabha that out of 354 petitions received, a standing committee attached to the National Anti-profiteering Authority (NAA) has forwarded 65 to the Directorate General of Safeguards for investigation. The NAA’s task is to ensure that businesses do not pocket the benefit of tax cuts meant for consumers.“Notices of initiation of investigation have been issued by the Directorate General of Safeguards in respect of 53 applications,” the minist…

Corporate social responsibility spends of firms warrant audit, says P.P. Chaudhary

Corporate social responsibility spends of firms warrant audit, says P.P. Chaudhary MoS P.P. Chaudhary said the government was in the process of improving procedures relating to CSR spending outlined in the Companies Act of 2013 Corporate social responsibility (CSR) spending by businesses warrants auditing as their total spend of about Rs15,000 crore a year has the potential to transform the rural economy by complementing government efforts, said P.P. Chaudhary, minister of state for law and justice and corporate affairs Speaking at the India Sustainability Conclave organized by industry chamber Federation of Indian Chambers of Commerce and Industry (Ficci), Chaudhary said the government was in the process of improving procedures relating to CSR spending outlined in the Companies Act of 2013. The law mandates that firms with a net worth of at least Rs500 crore or revenue of Rs1,000 crore or net profit of Rs5 crore should spend at least 2% of net profit on CSR. It also mandates that any fai…