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www.caonline.in News... 1. Net realizable of stock to be taken as value it would fetch on actual sale in future. [ITO vs. M/s. Mahendra Traders (ITAT Kolkata)]. 2.TDS not deductible on web hosting and marketing services procured from US based entity. [DCIT vs. M/s Matrimony.Com Pvt. Ltd. (ITAT Chennai)]. 3.Threshold limit of PF withdrawal for deduction of tax, raised to Rs. 50,000 from Rs. 30.000 with effect from 1st June, 2016 vide Finance Act, 2016. 4.MCA issues the Limited Liability Partnership (second amendment) Rules 2016. MCA notification dated 10.06.2016. 5.Furnish 15G/15H declarations for the period 1.10.2015 to 31.03.2016 through e-filing portal by 30th June, 2016. CBDT notification no. 9/2016.

The Securities and Exchange of Board of India (Sebi) chairman UK Sinha on Tuesday raised foreign investors’ concerns on retrospective taxation, saying global players need assurances about India’s tax-friendly regime. “We have to be very mindful that whatever we do, it shouldn’t be a negative surprise for those who have invested in the country. Retrospective implementation of laws is something we should frown upon,” he said while speaking at the Gateway of India dialogue. “If there is one protection to the domestic investors, same level of protection should be available to them (foreign investors),” Sinha added. “Should there be an element of reciprocity or not? Can one country impose its will over others without caring for reciprocity,” Sinha said, adding that: “Unfortunately the current situation is that where reciprocity is not adequate.” Finance Minister Arun Jaitley has tried to assure investors on several occasions that there will be no retrospective taxation in future.

Foreign investors need have no unnecessary worries about the recent changes in the tax agreement with Mauritius or the measures regarding Participatory Notes ( P- notes), says the capital markets regulator. UK Sinha, chairman of the Securities and Exchange Board of India ( Sebi), said investors from abroad did have various queries on both. “ The details were given and they were assured that whatever has been thought of is from a prospective date,” he said on the sidelines of ‘ The Gateway of India Dialogue’ here. Sebi recently notified new rules on P- notes to bring in more transparency and curb misuse of the route. P- notes, also called offshore derivatives instruments, allow foreign investors to take exposure to Indian stocks without registering with Sebi. These are issued by foreign portfolio investors registered with Sebi. Sinha said US investors were optimistic on our economy and the development of India’s regulatory regime was widely appreciated. He’d recently met investo

Incentives on mobilising assets from small centres could be done away with The Securities and Exchange Board of India ( Sebi) is likely to lower the ceiling for the total expense ratio ( TER) charged by mutual funds ( MFs). The TER is a percentage of ascheme’s corpus that a fund house charges towards administrative, management, and all other expenses. Sources said Sebi wanted the TER ceiling to be lowered to two per cent from 2.5 per cent. The regulator might further bring it down to 1.5 per cent in phases, sectoral players said. Sebi is also considering doing away with the incentive programme for garnering assets from smaller cities. Currently, Sebi allows MFs to charge an extra 30 basis points ( a basis point is a hundredth of a percentage point) of the TER for garnering assets from beyond the country’s top 15 cities. Sebi has been consulting industry sectors on bringing down MF costs to help investors. The proposal to reduce the expense ratio is in line with last year’s

The central government’s draft of the national goods and services tax (GST) law says all types of purchases made online will attract a uniform rate. The tax, in lieu of local levies, will be imposed at the first point of a financial transaction. Every ecommerce operator shall, at the time of payment to suppliers, deduct the GST at a rate recommended by the GST Council. The model law has 162 clauses and four schedules. It suggests jail up to five years and a fine for breach of the statute. The tax collection at source system proposed for e- commerce companies would make any payment to a supplier subject to this at the notified rate. “ This will mean significant compliance burden on e- commerce companies, as many of them deal with thousands of vendors,” said Pratik Jain, leader, indirect tax, PwC India. And, this could lead to a refund issue for many suppliers, operating on a thin margin. “ In addition, e- commerce companies will need to provide details of all supplies made thr

Draft laws state that a uniform tax shall apply to all intra-State supplies of goods and services at the rates to be specified late r Individuals and entities with an annual turnover of Rs 10 lakh or more could soon be under goods and service tax laws, widening the tax base of the government, according to the draft central and integrated laws released on Tuesday. According to the proposal of the draft laws, in the northeastern states the threshold is even lower at Rs 5 lakh. The draft laws also propose collection of taxes at source for e-commerce companies, including aggregators, and simplify the definition of “services” to include intangibles such as software and work contracts. These were released on the Union finance ministry website for public feedback, hours after a meeting of the Empowered Committee of Finance Ministers on GST. All states except Tamil Nadu were on board, Union Finance Minister Arun Jaitley told reporters. According to the draft laws, GST shall apply to

www.caonline.in News... 1. NIRC of ICAI is organising workshop on TDS on 22 June at 5PM at Hindi Bhawan ,ITO, Delhi & Workshop on VAT on 23 June at 5PM at ICAI Bhawan , Vishwas Nagar, Delhi. Register at (www.nircseminars.org) 2.Non Furnishing of reopening reasons render reassessment invalid. [Shri  Inderjeet  Singh Sachdeva  vs. DCIT  (ITAT Delhi)]. 3. Get ICAI now mobile app for latest ICAI Updates - Available on Android, iOS, Windows and Blackberry 10. To download please visit (http://www.icai.org/mobile) 4. Due date to file MVAT return for the month of April, 2016, extended to 30th July, 5. I-T dept. launches ATM-based validation system for filing e-ITRs. Now EVC can be generated by pre-validating the Automated Teller Machine (ATM). 6. 15-06-2016 is last day for payment of first installment of advance Income Tax for A.Y. 2017-18,in challan No ITNS-280 by all Assesses.