The Finance Act 2021 has introduced two new changes in rules relating to TDS (Tax deducted at source) or TCS (Tax collected at source). A. Higher TDS/TCS rate for non-filer of IT returns Till now, a higher TDS rate was deducted only for those who did not have PAN. But from July 1st, a higher rate would be deducted if you have not filed IT returns in the last 2… Read More »New Rules in TDS/TCS, Effective from 01 July 2021
The Goods and Service Tax (GST) is a value-added tax inflicted on the supply of non-exempted goods and services. GST was implemented with an aim- One Nation One Tax, as it replaces various indirect taxes such as CST, service tax, VAT, and many more. According to the Section 25 (1) of the CGST Act, GST registration is essential to all the suppliers of non-exempted goods & services regardless of their… Read More »How to Avail Two GST Registration on One PAN Card
FSSAI (The Food Safety and Standards Authority of India) makes FSSAI license Number mandatory for food businesses to communicate FSSAI license Number on invoice/bills from 1st October 2021. The food business ecosystem is huge and the 14-digit FSSAI no. of any food business operator is not easily visible & available to consumer/service recipient. If the FSSAI number is not available to consumer, expecting him/her to complain about complete coordinates is… Read More »FSSAI License Number Mandatory On Invoices from 1st October 2021
The following would not be recognized as ‘transfer’, and thus, no capital gain to be arise on the same: -Any transfer of an intangible asset or capital asset by a PVT. company or unlisted public company to a LLP. -Any transfer of a share held in the company by a shareholder as a result of conversion of the company into a LLP as per the Limited Liability Partnership Act, 2008-… Read More »Conversion of Company into LLP – Taxation involved?
In the Budget 2021-22, a new section 194Q introduced which will be effective from 1st July 2021. In order to broaden and deepen the tax base, it is proposed to levy a TDS of 0.1% on purchase transactions exceeding INR 50 lacs in a year. In order to minimize the compliance burden, it is also proposed to endow that the responsibility of deduction shall lie only on the persons whose… Read More »Applicability of Section 194Q TDS on Purchase of Goods
In this pandemic time many companies coming ahead and helping by donating oxygen concentrator, Ventilators, make COVID centres available to the needy institutions, etc. Many companies have donated to COVID relief funds or PM Care Funds. Most of these expenses done by the companies are through their Corporate Social Responsibility Fund (CSR Fund). Compliance under Provisions of Corporate Social Responsibility notified from 01 April, 2014 u/s 135 of The Companies… Read More »Basic Understanding of Corporate Social Responsibility (CSR) Rules
Charge according to the Companies Act, 2013 – section 2(16) refers to interest creation or a right on a property/asset of a company as a security against loan provided to the company in respect of such interest. Charge is created by Companies who have the requirement of financial assistance to make their companies productive and in doing so creating any right or interest in assets of companies. Charge also includes… Read More »Charge and Hypothication under Companies Act, 2013
As we are aware that income of Individuals/HUFs are taxable according to the progressive tax slabs. The maximum rate of tax payable is @30%, when income of Individual/HUF exceeds INR 10.00 Lacs in relevant previous year. The Central Government has inserted Section 115BAC w.e.f. AY 2021-22 to endow Optional Tax Regime to HUFs/individuals. Income Tax Rate under Alternative Tax Regime [As per Section115BAC]; Total Income Rate of Tax Up to… Read More »Alternative Tax Regime for Individuals/HUFs u/s. 115BAC
The Government has increased the deposit threshold limit to INR 5 lacs per annum in the provident fund for which interest would continue to be tax-exempt if there is no employer contribution. This announcement by the Finance minister Mrs. Nirmala Sitharaman was part of the amendments which was made to the Finance Bill, 2021 at the time of passing of the Bill on 23 March. Provident Funds Where Employer Do… Read More »Taxability Of Interest On Excess PF Contribution-New Threshold Limit & Manner Of Tax Computation
Major Change in GST to be executed in GSTR 1 filed from 01st May 2021 onwards. 01st April 2021 marked the new change for imposition of 4 digit/6 digit /8 digit Harmonized System of Nomenclature (HSN)/ Services Accounting Code (SAC) codes. These are the important points need to be noted for the GSTR-1 for the month of April 2021 to be filed from 01st May 2021 onwards: GST returns need… Read More »Important Points While Filing GSTR-1 From 01st May 2021 Onwards