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Updates Of the Day 1.Particulars of candidates for election of ICAI is availabe at http://icai.org/post.html?post_id=12122 and the details of your polling booth are also available on – www.icai.org and the link being 'Election-2015'. 2.SEBI has prescribed format for financial results and limited review report for listed entities which have listed their debt securities and/or non-cumulative redeemable preference shares wef 1st December 2015. 3.DVAT issued Circular No. 31 of 2015-2016 directing zonal authorities to restore registration within 3 days after the proposal is approved by Competent Authority. 4.DVAT notified extending time for submissions of Form DP-1 latest by 31.12.2015. 5.Transfer pricing provisions requires comparison of a controlled transaction with uncontrolled transaction, comparison within two controlled transaction is immaterial. [ITAT Mumbai: Greaves Cotton Ltd. vs. ITO] 6.Reassessment proceeding based on ED information without correlating with returns...

Options include raising both excise and service tax rates in FY16 The Centre is confident of rolling out a combined goods and services tax ( GST) at the national level in time to meet the April 2016 deadline, even before states get their legal structures in order. “Nothing in the law stops the Centre from doing so in this financial year ( FY16),” said an officer in the know of the developments. The plan is afallback option, to be resorted to only if the government is unable to make the first of the three Constitution amendment Bills sail through in the current session of Parliament. One of the options is to raise both excise and service tax rates in FY16, as these are way below any expected GST rates. Sources say the government is very serious about meeting the April deadline. Doing so will restore confidence among investors, domestic and foreign, about the government’s ability to make reforms happen, especially when it involves Parliament. The prime minister has already announ...

Sebi perusing Amfi panel report on this, likely to set investment cap The Securities and Exchange Board of India ( Sebi) will soon introduce new norms governing investment by mutual funds ( MFs) in rated debt instruments. The regulator might change the investment limit in asingle issuer to less than 15 per cent, depending on the rating associated with the paper. For example, in the case of an AAA- rated paper, the investment cap could be left unchanged at 15 per cent, for AA- rated paper at 12 per cent and so on. At present, Sebi restricts investment in rated investment- grade debt instruments issued by a single issuer to 15 per cent of the net assets of the scheme. “The lower the rating, the lower should be the exposure to the paper,” said a member of the valuation committee set up Association of Mutual Funds in India ( Amfi), on condition of anonymity. The markets regulator is likely to come out with new investment norms in debt papers soon, based on the recommendations of th...

Meets Sonia, Manmohan to end stalemate; both sides to meet again, says Jaitley Prime Minister Narendra Modi on Friday hosted Congress president Sonia Gandhi and former Prime Minister Manmohan Singh over tea at his official residence at 7 Race Course Road to find middle ground on the government’s key tax reform, the goods and services tax ( GST) Constitution amendment Bill. It was the first time in his 18- month tenure that the PM reached out to the Congress leaders in the manner he did on Friday. Sources in the Congress said the only other occasion when the PM had spoken to the Congress president was over the Naga peace accord earlier this year. Sources in the government and the Congress party termed the 45- minute long meeting an ‘ icebreaker’. While both the Congress and the government viewed it as an ‘ introductory meeting’, there was hope in the government camp that this could pave the way for passage of the GST Bill in the ongoing winter session of Parliament. The Bill is ...

Updates Of the Day 1.Transfer of capital assets not completes if Terms and Conditions of agreement not performed by both parties. ITAT Jaipur held in the case of ITO vs. Alok Mukherjee. 2.The Reserve Bank of India (RBI) said on Thursday it would allow foreign portfolio investors   (FPIs) to invest in bonds that are in default, partly or fully. 3.The Securities and Exchange Board of India (SEBI) is set to unveil rules on monitoring the end use of green bonds, and might propose incentives for companies. 4.Excise Duty exemption to EOUs on raw materials/parts consumed in manufacture of certain specified ships/vessels and cleared to DTA. For more News Like us on https://www.facebook.com/caonlineofficial Or Subscribe on mail visit : www.caonline.in

Updates Of the Day 1.SEBI and the Bangladesh Securities and Exchange Commission (BSEC) signed a (MoU) on bilateral cooperation and technical assistance at Dhaka, Bangladesh on November 22, 2015. 2.Custom and Excise duty exemption to EOUs on raw materials/parts consumed in manufacture of certain ships/vessels and cleared to DTA. Notification No. 55/2015. 3.DVAT Authorities have issued circular regarding the status of the forms downloaded by the dealers for central statutory forms/declarations which are mainly required by the dealers for making inter-state purchases at concessional rate or for inward stock transfer. 4.Only companies are eligible for deduction u/s 80IA(4) under Income Tax Act. [ITAT Chennai: ACIT vs. B. Dhanasekaran] 5.Excess of expenditure over trust’s income for a previous year can be claimed as income applied in subsequent previous year. [ITAT Bangalore: Karnataka Food and Civil Supplies Ltd] For more News Like us on https://www.facebook.com/caonlineofficial Or ...

The government has announced a slew of tax sops to spur shipbuilding in the country as part of measures aimed at boosting the Make in India programme. These include exemption from customs and central excise duties on all raw material and parts for use in the manufacture of ships, vessels, tugs and pusher crafts, the finance ministry said in a statement on Thursday. Besides, raw material used for manufacturing of ships or vessels in export oriented units or EOUs will be exempt from basic customs duty and excise duty. “Suitable amendment is being made to the relevant notifications so as to provide that EOUs become eligible for duty exemption on raw materials or parts consumed in manufacture of such ships or vessels etc which are cleared to DTA (domestic tariff area), even if such ships or vessels are exempt from basic customs duty and central excise,“ the ministry said. The Economic Times, New Delhi, 27th Nov. 2015

The government is working on a law that will seek to raise minimum wages in both formal and informal sectors as well as ensure that the higher wages are paid to workers. “We will increase the wages under Minimum Wage Act, so that workers have decent wages aligned with inflation and have some money to buy goods and services,“ Labour Secretary Shankar Aggarwal said at a CII event here. Through an amendment to the Minimum Wage Act, the ministry can fix a mandatory minimum level of wages applicable across the country for all categories of workers. It will be benchmarked to inflation. “We will create a law to give certain minimum wages across the country in all trades and not only in scheduled employments,“ Aggarwal said at the inaugural session of the CII National Conclave on Em ployee Relations. ET had first reported on August 11 that the government may raise the minimum wages in the country by as much as 25% and also make them binding on all states, a move aimed at giving an indi...

The Reserve Bank of India may make the gold monetisation scheme simpler to give it a push as the plan to collate idle gold from households has failed to take off in its current form. The bank may remove one layer of the gold tendering process or make it optional, two people familiar with the development said. This is going to make life much simpler for designated banks and bulk gold depositors like Tirumala Tirupati Devasthanams or Shri Saibaba Sansthan Trust of Shirdi. The scheme was launched on November 6 by Prime Minister Narendra Modi but it has not seen any momentum whatsoever due to procedural glitches. According to the plan that has now been envisaged, banks would be allowed to deposit the tendered metal directly at refin eries, instead of involving collection and purity testing centres (CPCT). The present rule says that each designated bank can authorise a CPTC to collect deposits of gold on its behalf.These centres then deposit the gold at refineries. However, none of ...

The government on Thursday exuded confidence of having the Goods and Services Tax Bill passed, with several Opposition parties coming out in open support. The government assured the Congress, which is insisting its concerns over the Bill should be addressed, that it will engage in consultations. On a day that the Lok Sabha discussed the Commitment to the Constitution - the Rajya Sabha was adjourned over the death of a sitting member - Bahujan Samaj Party supremo Mayawati told reporters, "The government is assuring us that the GST Bill will strengthen the economy. So we support it." Praful Patel and Tariq Anwar of the Nationalist Congress Party also extended support to the tax reform, saying, "The GST Bill should be passed in this session." Anwar added the government should look into issues being raised by the Opposition. Congress president Sonia Gandhi was overheard in Parliament corridors that the three points raised on the Bill by her party must be addre...

Central bank to allow buying of bonds in default, with some conditions, easing way for banks to make their balance sheets cleaner The Reserve Bank of India ( RBI) said on Thursday it would allow foreign portfolio investors ( FPIs) to invest in bonds that are in default, partly or fully, if the residual maturity is at least three years. This means banks which have given loans to companies in stress can clean their balance sheet by selling these stressed assets. The buyers of these bonds, usually foreign “vulture funds” looking for distressed assets worldwide, can buy these at a steep discount and then put a lot of pressure on companies to perform. Excluding financial companies, the BSE 500 entities together have Rs.27 lakh crore of debt in their books. According to RBI, 11.1 per cent of total bank advances of  Rs.68 lakh crore were stressed as on March 2015. While 4.6 per cent of these loans were bad debts, the rest of the stress came from restructuring. Bankers expect man...