CA Online

The government might soon make it mandatory to furnish a permanent account number ( PAN) for cash transactions over a certain limit, Finance Minister Arun Jaitley reiterated on Sunday, in a Facebook post. The bulk of Indians’ black money was within the country, he said. There was aneed to change the national attitude, so that plastic currency becomes the norm and cash an exception. The government was working with various authorities to incentivise this change. The government has already said it is targeting undisclosed money abroad, with stringent action against those who’d chosen not to take advantage of the three- month compliance window in this regard, that ended on September 30. The minister said the monitoring regime of the income tax department had been strengthened and its capacity to access information and apply technology- driven analytical tools to expose evasion had been enhanced. In the 2015- 16 Budget, Jaitley had proposed making PAN details mandatory for all sal

To discourage the increasing trend of companies and individuals filing criminal cases in civil disputes, the Supreme Court issued strict directions to subordinate courts to prosecute such “vexatious litigants” and order monetary compensation for victims of such “malicious prosecution”. “While no one with a legitimate cause or grievance should be prevented from seeking remedies available in criminal law, a complainant who initiates or persists with a prosecution, being fully aware that the criminal proceedings are unwarranted and his remedy lies only in civil law, should himself be made accountable, at the end of such misconceived criminal proceedings, in accordance with law,” ordered a bench of justices JS Kehar and R Bhanumathi. Quoting the provision from criminal law — which provides for courts to award compensation to a person falsely prosecuted — the bench said: “One positive step that can be taken by the courts, to curb unnecessary prosecutions and harassment of innocent par

The Income Tax department does not withhold refunds of small taxpayers nor does it generally select their tax returns for scrutiny and detailed analysis, the CBDT has said in an attempt to dispel two of the biggest concerns of this category of assesses. The chief of the apex policy-making body of the I-T department, CBDT chairperson Anita Kapur, said she would like to bust the myth and “fear psychosis“ that once people file their tax returns, they automatically come on the radar of the taxman and then they are tracked. Kapur, in an interview to PTI, said in cases of neatly filed electronic Income Tax Returns (ITRs), the department has set a deadline of six months for refunds to be generated and sent to the taxpayer. “We tell the taxpayers that in e-file returns we take a maximum of six months to process it if you have a clean return and no TDS mis-match. But then there is a misinformation campaign that we hold refunds. I will say we don't hold refunds for small taxpayers. “Fo

Union cabinet is likely to consider this week an interest subvention scheme to provide cheaper credit to exporters & expansion of the Merchandise Exports from India Scheme The government may extend export incentives such as cheap credit to even large players in sectors like pharmaceuticals, chemicals and electronics, in a desperate bid to revive the sector after nine straight months of exports fall due to weak global demand and overvalued rupee. The Union cabinet is likely to consider this week an interest subvention scheme to provide cheaper credit to exporters and expansion of the Merchandise Exports from India Scheme (MEIS), an official privy to developments told ET. In the first five months of the current fiscal, exports fell 16.17% year on year, impacting the country's industrial growth as well as employment in a number of sectors, setting alarm bells ringing in the commerce ministry . While the ministry had moved a cabinet note on this last month, the Cabinet coul

FDI policy to be simplified, FIPB to meet twice a month for faster nod India is rolling out the red carpet for overseas investors with sweeping foreign investment policy reform and quicker approvals while Prime Minister Narendra Modi's monthly review of projects is ensuring that delays are getting resolved quickly . In his first interview after taking over as economic affairs secretary, Shaktikanta Das told ET that the Foreign Investment Promotion Board (FIPB) will now meet twice a month to speed up approvals, signaling the clear intent of the government to push ahead with reforms on a wide range of issues. The foreign direct investment (FDI) policy is being reviewed to make it simple and put the maximum possible sectors on the automatic route, obviating the need for government approval. The government is also responding to the Reserve Bank of India's call for quicker transmission of monetary policy.Das said small savings rates could be reset more frequently as opposed

Updates Of the Day 1.Time for filing Form DP-1 for dealers registered upto 30-09-2015 has been extended till 21-10-2015. 2.The Rajasthan Govt notified for providing exemption from payment of VAT leviable on transfer of property in goods involved in the execution of works contracts, with immediate effect. 3.MCA revised AOC-4 (Non-XBRL) (Form for filing financial statement and other documents with the Registrar ) and MGT-7 (Form for filing annual return by a company) w.e.f 30th Sep, 2015. 4.Income Tax Dept released file validation utility for TDS/ TCS FVU version 2.144 for FY 2007-08 to FY 2009-10. 5.CBDT has extended due date for e-filing ITR only for the state of Haryana, Punjab, Union Territory of Chandigarh and Gujarat. Notification No. F.No. 225/207/2016/ITA.II dated 30/9/2015. 6.CBDT has extended due date for e-filing ITR only for the state of Haryana, Punjab, Union Territory of Chandigarh and Gujarat. Notification No. F.No. 225/207/2016/ITA.II dated 30/9/2015. For more New

Govt feels tax battles with cos like Cairn India & Royal Dutch Shell have tarnished India's image The finance ministry, seeking to build on the recent success in pitching India as an attractive destination, is looking at burying for good the remaining high-profile acrimonious tax tangles involving Cairn India and Royal Dutch Shell, which have tarnished the country's administration. North Block is likely to replicate the Justice AP Shah panel mechanism, which helped address the issue of levying minimum alternate tax on foreign investors, to resolve the tax dispute with Cairn India and some remaining aspects of the Shell transfer pricing case. “We are looking at such a solution,“ a top finance ministry official told ET. The move is in line with finance minister Arun Jaitley's September 17 assurance that pending tax disputes would be put to rest by either judicial or executive resolution. The government could send these cases to the Shah panel itself, as provided for