CIRC Newsletter February 2017

Central India Regional Council

of

The Institute of

Chartered Accountants of India

Central India Regional Council

of

The Institute of

Chartered Accountants of India

Central India Regional Council

of

The Institute of

Chartered Accountants of India

Central India Regional Council

of

The Institute of

Chartered Accountants of India

CA. Abhay Kumar ChhajedChairman CIRC

Mobile : 9303104477 E.Mail : chhajed_abhay@hotmail.com

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Chairman Writes.....

I walk alone and barefooted on the hot, dry sand. The countless specks of the desolate desert dust are piercing through the lens of my hopeful eyes-turning them red with strained and injured veins.

The online portal launched for government purchases of goods and services would result in savings of Rs 40,000 crore annually for the exchequer. "Demand aggregation for most of the common use goods and services is estimated to result in annual savings to the tune of Rs 40,000 crore per annum. The m i n i s t r y h a s l a u n c h e d a 'Government e-Marketplace' (GeM) with the aim to transform the way in which procurement of goods and services is done by g o v e r n m e n t m i n i s t r i e s / d e p a r t m e n t s , P S U s a n d autonomous bodies. If pursued to its logical conclusion, GeM would eventually emerge as the national publ ic procurement portal , keeping in tune with the global best practices. For procurements of higher value, it said the bidding facility on GeM is transparent and efficient, in comparison to e-procurement systems in vogue within the government s e c t o r.

This is my last epistle as I am leaving as the Chairman CIRC this month with a wealth of knowledge I

will always treasure. Working here has been a fantastic learning experience and I am thankful for the skills I've acquired. I feel as if being here with you all each day has made me a more complete and well-rounded person. I've learned how to take direction, criticism, and compliments. These are three things I wasn't so great at taking before, and now I feel as though I can apply that in many different situations. I've come to realize that being a part of a team is a lot more than just sharing credit. A team effort takes compromise. When you are on a team you have to at times lead, follow, and more often than not, meet in the middle.

Continue with our efforts in more and more changes and up gradation at CIRC for the benefit of members and students, we have taken quite a few initiatives. Some of them like,

· Number of examination centers have been added during the year more particularly in smal ler p laces which was desperately for students to avoid there movement and travel to distance places.

Examination centers created: H a l d w a n i ( U t t a r a k a h n d ) , Banswara city (Rajasthan),

Respected professional colleagues,

“Sacrifice is greater than love, character is greater than beauty, humanity is greater than wealth but nothing is greater than

keeping relations alive”

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Mandsaur (M.P), Muzaffarpur (Bihar), Neemuch (Rajasthan), Jhunjhunoo (Rajasthan), Chittorgarh (Rajasthan), Satna (M.P), Bundi (Rajasthan), Churu (Rajasthan) and Firozabad (Uttarpradesh)

Examination centers under process: Burhanpur (M.P), Ambikapur (Chattisgarh), Balotra (Rajasthan), Chhindwara (M.P) and Raigarh (Chattisgarh).

· Complete updation of Website of CIRC has been done and new features are added time and again to make it user friendly and also assist the members in day to day working. Features like updation of faculty database, Popup facility, Regular updations and requirement of Articles are now active part of our website.

· Enhancing the corpus of the CA Benevolent fund of ICAI in branches of our Central region. 16,127 life members are registered in CABF.

· We have opened up a help desk cell so that members and students issues are timely attended.

· We submitted suggestions to various committees of ICAI and also hosted the same on our website.

I would once again request all concerned members of our professional fraternity to please visit CIRC websites regularly and make their professional life more effective and successful by taking advantage of these contemporary initiatives. I am quite sure that all these useful developments will immensely benefit our members. Please do write to me for any valuable suggestions in improvement of working of CIRC for utmost betterment of Members and Students.

During the month I have my pleasure visit to some of the branches of our Region. I thank keeping my hand on heart to the branch committee members for the graceful welcome they have extended to me. I also wish all the branches for taking lot of initiative in carrying out various programs for members and students.

I express my gratitude to all my professional colleagues of Regional Councils, Branches, members and well-wishers for being the guiding beacons for all the attainments towards professional development. I am immensely thankful to them for reposing confidence in my governance, sharing their ideas, opinions and vision during my tenure as Chairman CIRC. I profusely thank each one of them for their relentless support to the professional interest.

Be informed that the Annual Function of CIRC would be held on 26th February at Agra hosted by Agra Branch of CIRC of ICAI. I would request all members to attend it where we would briefly report on the significant achievement and initiatives of CIRC during the year 2016-2017. It's time to say goodbye to you all respected professional colleagues as I am completing one year as Chairman CIRC. But I shall still keep dreaming and chasing happier landscapes wishing you all a very, joyous and prosperous coming years.

Warmest Professional Regards,

Abhay Kumar Chhajed Chairman CIRC

CA. Pramod Kumar BoobVice Chairman-CIRC

Mobile:9829015993E.Mail :pkboobcirc@gmail.com

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From Editors Desk...

Time always flies very fast. My term as the Editor of the CIRC Newsletter (2016-17) shall come to an end on 27th February, 2017. It has been surely an amazing time and a fantastic place to work. I enjoyed every bit of it, being a part of such a hardworking, honest, dedicated and committed team. The term has witnessed a plethora of activities and I am happy that almost all of them could be ach ieved success fu l l y and significant initiatives have been taken to achieve the remaining.

The year that has gone would have left memories, both sad and happy for all of us and no doubt we shall carry many of those memories to the years yet to come. As professionals, I think the test our mettle is the ability to discard those which are simply baggage – experiences from which we have not learnt, but we which hold on because they serve to increase a sense of self pity. And experiences which are positive but from which again we have not learnt and we hold on to them simply in the hope that they will repeat themselves. Give me a robust failure any time, said the wise man – I stand failure but I hope that I never make excuses that deny me the right to fail.

E x c e l l e n c e h a s s e v e r a l connotations. In today's fast paced dynamic changes, the future has no shelf life and today's technology is

yesterday's magic. There is, therefore, an imperative need to be continual ly creat ive to br ing excellence through innovation in our vision, mission and service delivery. This is a message for our profession, which is going through the phase of churning whereby old values, structures and practices are giving way to new paradigms comprising new rule of game. The scenario calls for bench marking standards of excellence in all spheres of service delivery and performance.

Finally, in concluding this message, I would ask all of you to spare more than a thought for the times that our country and our profession is going through. The examples of disarray everywhere pain all of us. And I am left to wonder, just as many of you would also be wondering, why we Indians, who have so much to give to the world, in reality give so little to ourselves. Friends, I am open to suggestions from all our members, therefore, please feel free to give your valuable suggestions for the progress and prosperity of the profession.

Looking for your support and cooperation,

Best Wishes,

CA. Pramod Kumar BoobEmail:

Mobile: 9829015993

pkboob@yahoo.com, pkboobcirc@gmail.com

Respected Esteemed Professional Colleagues,

“We are what we repeatedly do; Excellence then, is not an art but a habit.” - Mahatma Gandhi

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CIRC INITIATIVES AND SUGGESTIONS 2016

INITIATIVES AND DEVELOPMENT DURING THE YEAR 2016

1. We have gone in for saving of certain expenditures which was a very welcome step like non presentation of Bouquet/ mementoes during seminars to Central and Regional Council Members other than guest speakers.

Ÿ2. Number of examination centers have been added during the year more particularly in smaller places which was desperately for students to avoid there movement and travel to distance places.

Ÿ· Examination centers created: Haldwani (U t t a rakahnd ) , Banswara c i t y (Ra jas than) , Mandsaur (M.P) , Muzaffarpur (B ihar ) , Neemuch (Rajasthan), Jhunjhunoo (Rajasthan), Chittorgarh (Rajasthan), Satna (M.P),

Bundi (Rajasthan), Churu (Rajasthan) and Firozabad (Uttarpradesh)

Ÿ· Examination centers under process: B u r h a n p u r ( M . P ) , A m b i k a p u r (Chattisgarh), Balotra (Rajasthan), Chhindwara (M.P) and Raigarh (Chattisgarh).

Ÿ3. We have conducted Mega Career Counseling simultaneously at branches of CIRC with a record figure of 15,419 students been counseled.

Ÿ4. Complete updation of Website of CIRC has been done and new features are added time and again to make it user friendly and also assist the members in day to day working. Features like updation of faculty database, Popup facility, Regular updations, Matrimony of

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members and requirement of Articles are now active part of our website.

Ÿ5. Created Database of good faculties in different subjects as a speaker in various branches and also to create an expert panel so that members issues in various topics can be attended well on time. This database is created on our website out of the members present in our region.

Ÿ6. We have started facility of posting requirement of Qualified and Articles through our website. More than 500 Members have already registered on the portal and given the requirement. We are also sending communication to Newly Qualified Members and Students to search for such requirement on the portal.

Ÿ7. Uploading of background material of seminars/ programs held at branches of guest speakers on our website on different subjects to make the updates/changes in these subjects timely.

Ÿ8. We discontinued the hard copy have also decided to go for E-Newsletter from August 2016. All members will be receiving only E-Newsletter and circulation of Hard copies have stopped.

Ÿ9. Enhancing the corpus of the CA Benevolent fund of ICAI in branches of our Central region. 16,127 life members are registered in CABF.

Ÿ10. Lot of Infrastructure have been created

at branches and new land have been bought at branches under the Infrastructure policy.

Ÿ11. After implementation of GST Model Law, number of programs were organized at branches of CIRC. Seminars, Workshops, Classroom Training programs etc. at almost 40 branches. Also created GST faculties across the region. Photographs are Annexed (Annexure No. 5)

Ÿ12. We have also created a group at our Regional Office for submission of suggestions on GST Model to ICAI through our Indirect Tax Committee of CIRC.

Ÿ13. Creating SMS facility for receipt of any documents at CIRC office and attending the issues within a specified period of time.

Ÿ14. We have opened up a help desk cell so that members and students issues are timely attended

Ÿ15. We have created awareness of E-sahayaata of ICAI and timely closure of pending issues of members and students.

Ÿ16. We are creating a database of all such CA Inter/ IPCC Students who have discontinued the CA Course but are looking for good opportunity. This will greatly help these students to get good jobs through are members in service and practice. Even members can appoint such semi qualified students

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and take the best use of their experience.

Ÿ17. We have also submitted the Pre and Post Budget Memorandum to ICAI well on time.(Annexure no. 8).

Ÿ1.

Ÿ One of the key areas which CIRC would like to focus is on the identification of new avenues for the profession opportunities for members, especially to the younger members like the proposed GST Act etc. The Central Council may involve the Regional Councils during their discussion with the Government Agencies so that the Regional Councils may provide the input wherever required depending upon the requirements of the State. We can form State Level PDC Committees for coordinating with the Government officials and Central Council Members/ Regional Council member in each state can be members. This will greatly help to create more professional opportunities for members.

Ÿ2.

Ÿ We suggested that Members in Industry can be contacted and they can regularly send the requirement for Newly Qualified CA's opportunities to the

Professional Opportunities for Members

Opportunities in Industry for Newly Qualified CA's:

Ÿ18. We submitted suggestions to various committees of ICAI and also hosted the same on our website. Details are Annexed (Annexure no 9)

Regional Office and the same can be hosted on our website which in turn will help the CA's to apply and get recruited quickly.

Ÿ3.

Ÿ We suggested to create a database of good faculties and experts in different fields and same must be made available at our Website which can help the members to send their issues to the experts and get quick response on their issues. Also this database will also assist branches to invite them on various programs locally near to their place which will be very cost effective.

Ÿ4.

Ÿ At present any representation to a government body is restricted from Regional level. It is allowed only from the Head Office level. Therefore, it is suggested that, as, we all are the Regional Council members being elected from various branch of our seven s ta tes , and be ing the representative persons from the state, if

Database of Faculties/ Experts in Different Field:

CIRC-Chairman should be allowed for the Representation to Government:

CIRC SUGGESTIONSFOR MEMBERS:

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we feel the requirement to send any representation to any government bodies, it should be allowed and for that Chairman –CIRC should be allowed to send Representation.

Ÿ5.

Ÿ Quarterly meeting of Regional chairman or through video conferencing must be done so that we can discuss matters of our Region and issues concerning from Head office can be communicated to Branches, Members and students on timely manner.

Ÿ6.

Ÿ CIRC requests that the Central Council may take up with the appropriate authorities in the States of Central region for allotment of co-operative audit in the respective States with a minimum acceptable fees (as prescribed by the Council).

Ÿ 7.

Ÿ Fees from Company's participating in Campus Placement may be considered for reduction. This will bring in many more companies and new CA's will be in a much better chance to get a good job, which is presently going to only those students who have qualified in 1st attempt.

Ÿ8.

Meeting Through Video Conferencing :

Role of Chartered Accountants in Co-operative Sector in each State

New qualified CAs should be given support in Practice as well in Campus placement.

Decentralization of activities of

Members and Students

Special Invitees in ICAI Committees:

Regular Training and Updation of Diploma and Post Qualification Courses:

Ÿ There was a proposal by the Council to decentralize the activities of members and students in relation to registration of students, distribution of study materials, enrolment of members, issue of COP, grant of Fellowship and other areas of activities but yet to be implemented. In view of the increasing number of members and students and in order to have more effective and speedy disposal of such activities with an objective of achieving quality service to the members and students, the Council may consider decentralizing the activities state-wise.

Ÿ9.

Ÿ There was a proposal to include 1 Regional Council Member who may be a special invi tee in important Committees of ICAI for smooth working and understanding of scope so that we can undertake events at Regional Level.

10.

Ÿ We suggested for Training and Consultancies on Start ups, Labour laws, IT related, DISA, GST, IFRS, Forensic Audit (FAFD) on regular basis so that members are updated and can make best use of them. We also proposed to have webcast of good two days program which are held at different branches so that members may wish to listen to the topics of their interest and

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get CPE benefit over and above updation of knowledge.

Ÿ11.

Ÿ12.

Ÿ Institute is asking to submit the educational qualification certificates of students which remain the same from the first time registering in the CA Course till the last. This repetitive required submission is a very difficult as well as wastage of time for both i.e students as well as the office. So, it is suggested that we should generate some type of online mechanism in which once the students submit his/her qualification certificate can be obtained by the office in a very simple manner and not required to submit it again and again unless until there is any requirement for some changes.

Ÿ13.

Ÿ New process of appointment of checker needs to be relooked into because in the new system, instead of Qualified Chartered Accountants, anyone can be appointed as CA checker. This should

Ex-officio Members should be form p a r t o f B r a n c h Building/infrastructure committee: R e g i o n a l C o u n c i l M e m b e r s suggested that Branch Ex-officio member should form part of their r e s p e c t i v e b r a n c h building/infrastructure committee as second representative member.

Submission of repetitive certificate should be stopped:

Representation to the Examination Committee of ICAI:

be avoided as this would be very hard ship for our newly qualified Chartered Accountants. It is suggested that we should send a Representation to the Examination committee of ICAI to remove this system and only qualified Chartered Accountants should be appointed as CA Checkers.

Ÿ14.

Ÿ To reduces the pending cases before the courts as well as to extend the scope of services for Chartered Accountants, we suggest that The Institute should put a proposal to the Ministry of Law and Just ice to author ize chartered Accountants to submit a finding of the cases relating to financial matters like cheque bouncing, taxation matters, amalgamation proceedings, contractual disputes etc. as an independent report which the judges can resort while giving the judgment as it will save their time to re analyze the cases which are primarily of civil nature from scratch. The members in profession have sufficient exposure in these areas by virtue of their academic studies and relevant practical exposure. There can also be an entrance/license exam conducted by the Ministry of Law and Justice relating to judicial practices of evaluating evidence, civil procedure Code etc.

Ÿ15.

Chartered Accountants should be authorize to submit a finding of the cases relating to financial matters like cheque bouncing, taxation matters, amalgamation proceedings, contractual disputes etc:

Know your Candidate programme

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should be conducted at Branch level:

Group Term Insurance Scheme for members and spouse:

Database of ATC/ Group 1/ Group 2 Students:

eleconferencing with Branch :

Ÿ It is suggested that there should be a programme at Branch level namely KNOW YOUR CANDIDATE at the time of election so that it could be easier for the Election contestants as well as the members to know each other as well as there will be a common platform to share the problems and views.

Ÿ16.

Ÿ ICAI is having tie up with Birla Sun Life and WIRC for LIC for group term insurance but the Coverage is just 10 lakhs/ 5 lakhs for members/ spouse which is very less in current scenario. The Health Insurance scheme of ICAI with New India Assurance Ltd is very good and members are enjoying the benefits like 45 % discount and many exemptions

Ÿ17.

Ÿ We would like if a Database of ATC/ Group 1/ Group 2 students can be consolidated to be uploaded on CIRC website and detail mail can be circulated to all the members in Practice and in Industry to use this database for recruitment.

Ÿ19. T

Ÿ Head office have communicated the Regional SOP and Finance Manual as well Branch Operating procedures and

Finance Manual. We suggest to have a teleconferencing with all the Managing Committee Members of the branch can be done for better understanding and smooth functioning of the branches.

Ÿ20.

Ÿ Problem being faced by the students while choosing their preference for the CA exam centers in the big centers because in the big Branch city/centers there are multiple exam centers and all the centers are very far from each others. To clarify the problem by giving the example of Jaipur branch it is informed that Jaipur branch is a big branch having 18 exam centers and while filling the examination form only option comes is Jaipur and when a student chooses the jaipur centre, it may be possible that he gets an exam venue which is at far away distance from their place, and this creates time wastage and unwanted travelling for the student at the time of examination. It is suggested that there should be Pin code wise option for choosing the exam centers for the students so that the students can choose the most comfortable nearby exam centers for themselves to save their precious travelling time.

Ÿ21.

Ÿ(i) Urgently desired Grievance Cell for attending Members and Students issues timely.

Ÿ(ii) Sending of membership acknowledgment

Choosing of Examination centers should be Pin code wise:

Other General Issues:

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through post should be stopped since every member is getting mail in the same evening on which day the fee is entered into the system. Member should be given the facility to take the print out of the fee acknowledgement as and when they desired so.

Ÿ(iii) In the Month of Jan every year we are sending about more than 20 pages circular to all the members which should be modified. Only membership fee circular with member's card should be sent to members and other materials should be hosted on the website of the ICAI for the reference of the members.

Ÿ(iv) Members must be allowed to edit their personal and professional details online through One time password instead of sending physical documents.

Ÿ(v) Submission of various Forms online instead of sending hard copies to the office.

Ÿ(vii) Since only one % of total members are taking the benefit of paying the fee through ECS Mandate and it was introduced before the online payment facility hence ECS facility should be withdrawn.

Ÿ(viii) There should be some facility from where members can know about the dues of their annual fee through their Login/ Password.

Ÿ(ix) Online payment of fees can be directly linked to the CIRC office which will ease the process and updation can be done

on the same day or next day.

Ÿ(x) Popularise E-Sahayaata so that Members and Students can make best use of this facility.

Ÿ(xi). Lot of Material is being sent to Branches without any requisition and this material remains at branch for years and then had to be destroyed. This incurs huge cost of the Institute.

Ÿ(xii). Each branch should be equipped with digital library so that new members can utilise the online available resources.

Ÿ(xiii). Branch must be provided with the updated List of Members once in six months for better communication and events/ programs can be organised with good presence.

Ÿ(xvi). We suggest that during the Convocation of New Members, Regional Council Member of that branch where Convocation is held must be given proper recognition.

Ÿ(xv). Pendency letter should be generated in the system automatically. Normally, following are the discrepancies.

ŸCOP-

Ÿa. Short feesŸb. Signature mismatchŸc. Photograph required.Ÿc. Permission for other engagementŸ

ŸCOP Cancellation

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Ÿa. Short feesŸb. Application not within 30 days.Ÿ

ŸFellowship

Ÿa. Engagement details between break periodŸb. Self declaration formŸ Ÿ(xvi). All the qualifications like DISA DIRM

IFRS should directly uploaded against members qualification. It is a small issue being raised since long is not getting resolved. Even we have requested to Examination Department to provide the region wise result of these qualifications that also could not make available to us otherwise we would have done it manually one by one.

Ÿ

Ÿ(xvii). Revenue Grant of branches may reasonably increased as the same has not been done for more than 5 years more particularly in our region where the Regional office has only 1400 members out the total strength of 42500 members in our Region.

Ÿ

Ÿ(xviii). Matter of Salary of Branch employee is pending for long time. This must be pursued at the earliest in order to retain the existing and sincere staff at the branches.

Ÿ(Xix) For issuing the Removal and Restoration Notifications we should skip the names of retrospective restoration as already being done in case of COP cancellation.

Ÿ(xx) Change in address module of citrix system should have one more field that i.e. the effective date of change in

address like other modules like COP issuance Admission as fellow member etc then while issuing change in address letter we will inform the member that your address has been changed w.e.f. .....................

ŸIf it is done then it will be easier to take the address of the member as on 01/04/ of every year for LOM or LOV purpose

Ÿ

ŸSTUDENTS RELATED MATTERS:Ÿ1. Study Material:

Ÿ To ensure Timely Delivery of Latest Edit ion CPT/IPCC/FINAL Study Material round the year & especially during rush period of Registrations.

Ÿ2. ITT Course:

Ÿ ITT certificates is to be issued from any Regional office irrespective of the region where the student is registered in IPCC/IIPCC. This will ensure timely delivery of ITT certificates to the student & reduce the hardship faced by the student.

Ÿ3. Popularization of CA Course:

Ÿ In order to popularize the CA Course across the Region, the Regional Councils and Branches have been extens ive ly conduct ing Career Counselling Programmes either at the College or School Premises or at a designated place depending upon the number of students likely to participate.

Ÿ Committee on Career Counseling may bring out advertisements about CA

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Course in vernacular language newspapers with contact details of relevant Regional and Decentralised Offices, Regional Councils and its Branches.

Ÿ Committee on Career Counseling, either directly or through Regional Councils or its Branches should participate in all p o s s i b l e C a r e e r C o u n s e l i n g Programmes organized by NGOs and Event Management Companies and Newspaper organizations.

Ÿ The number of Scholarships (merit as well as merit cum need based) granted by the Institute is minuscule when compared to the number of students on rolls in various levels of the CA Course.

Ÿ4. Other General Issues:

Ÿ· As per recent Central Govt. Directions there is no need of attestation copies of the relevant documents from Notary or Gazetted officers, only self attested documents is sufficient, so please consider the matter appropriately for the benefits of students as 90% of Discrepancy cases are due to non compliance of Educational certificates attestation.

Ÿ· E-mail/SMS is to be send to the student automatically whenever Study Material (CPT/IPCC/FINAL) is issued to the student. This will make students informed in advance that their study material is dispatched & will reduce unnecessary enquiry regarding study material.

Ÿ· Discrepancy letters for CPT/Final Course on l ine mus t genera te automatically.

Ÿ· Auto generation of Note sheet for refund of fees related to CPT/IPCC/Final Course.

Ÿ· Free distribution study material statement should be made system Generated instead of manual.

Ÿ· Virtual Classes to be started as cheap cost in all the branches more particularly in big branches to start with and cover all the branches in the region.

Ÿ· Nationwide uniform coaching delivery under the supervision of a Board of Studies with standardised methodology, faculty empanelment and regular training for trainers ( facult ies) programme.

Ÿ· Databank of questions should be developed by inviting questions from all (for remuneration) and model questions should be available for self evaluation.

Ÿ· To constitute Paper wise Expert groups at all levels of Examination (existing and new) to review the gaps between training and examination and provide suggestions to overcome those gaps and time bound implementation of those suggestions.

Ÿ· Starting of Sunday test at all branches.

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INDEX

Page No.

2 to 3

15 to 19

20 to 22

23 to 32

33 to 35

36 to 38

39 to 43

44 to 47

5 to 13

48 to 54

55 to 66

67

68

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Contents

Chairman’s Message

Vice Chairman’s / Editor’ Message

Article 1:

Article 2:

Article 3:

Article 4:

Article 5:

Article 6:

Article 7:

Announcements

CIRC Initiatives & Suggestions.

Photo Galleries

Regional Council and Editorial Board

Back Page

SR.

No.

1

5

2

6

9

3

7

10

4

8

11

12

13

14

Compiled by:

Compiled by:

Compiled by:

Compiled by:

Compiled by:

Compiled by:

Compiled by:

Time of supply of Goods & Services

CA. Jatin Harjai

View Beyond the Indepth Analysis of Union Budget 2017…..

CA. Pramod Kumar Boob,Vice Chairman-CIRC

Will Anti Profiteering Measure in GST curb excessive price hikes?

CA. Ankit Khandelwal

Main Proposals Regarding Income tax in Union Budget – 2017-18

CA. Govind Agrawal

Tax Deducted at Source [as per proposed model gst law]

CA. Atin Harbhajanka

The “Uttam” Budget-2017

CA. Harsha Ramnani

Share-based Payment

CA. Pankaj Sharma

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A. INTRODUCTION:

The Government has placed Model GST Law, i.e. the draft of the Indian GST framework, in the public domain in June 2016, which had been revised in November 2016. In short proposed tax is destination based consummation tax levied on multiple points in series of commercial activities or transactions of goods and services with availability of credit of taxes paid on goods and services used in the regular course of business.

The term 'Time of Supply' signifies the Point of time when liability to pay any tax arises. Before checking 'Time of Supply' it is necessary that any activity or transaction is 'Supply' and is chargeable to tax in terms of Sec. 8 of the MGST Law. In other words provisions of 'Time of Supply' doesn't throw any light on taxability or non-taxability of particular supply, rather if chargeable to tax as per other provisions of law then provisions of Time of Supply contained in sec. 12 & 13 of model GST Law provides the point of time or the date when liability for

payment of tax arises.

The concept and provisions of 'Time of Supply' is not new to the Service Tax assessee's, whereas the assessee's paying tax on goods in the form of Sales Tax the concept is altogether new whereby as per existing practices the tax liability is discharged at the time actual sale. Further in the case of excise duty, the levy is on manufacture whereas the Point of Tax is Removal of goods. It may be noted that in both the cases i.e. Sales Tax Laws and Excise duty liability to pay tax is nothing to do with receipt of consideration, i.e. any kind of advance payment against supplies doesn't attract any tax, which is there in case of service tax.

B. TIME OF SUPPLY IN GENERAL:

As per Sec. 12 (In case of Goods) & Sec. 13 (In case of Services) of the model law time of supply of goods & services shall be earliest of the following:

1. Date of issue of invoice by the Supplier.

TIME OF SUPPLY OF GOODS & SERVICES

jatin.harjai@jharjai.com

CA. Jatin Harjai

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2. Last date on which Supplier is required to issue Invoice for any Supply.

3. Date of receipt of the payment in respect of Supplies.

However, the supplier of the goods and services have the option to pay tax on the basis of invoices if the advance amount received is not in excess of Rupees One Thousand.

It can be said that Time of Supply of goods in general shall be the earliest of Issue of Invoice, Date of Payment for Supply and Date of Removal or Delivery of Goods. It is well evident from the above provisions and chart that in GST regime, even if the supply of any goods has not been materialized in full but the advance payment is received, the GST has to be paid on

B. REVERSE CHARGE

In line with service tax practices, Sec. 8(3) of the Model GST Law, creates charge on the recipient of the goods and/or services to pay tax in notified cases, i.e. payment of tax

It may be noted that Sec. 12 doesn't make any direct reference to Delivery or Removal of goods, however Sec. 28 of the Model law mandates Issue of Invoice either Before OR at the time of removal, delivery or making available the goods to the Recipient as the case may be. The provisions for Time of Supply of Goods can be illustrated as under:

such advances.

In case of supply of services, as per Sec. 28 of MGL r/w Rule 1 of Invoices Rules the Invoice is to be issued within 30 days from the date of supply of service. The provisions for time of supply of services can be illustrated as under:

under reverse charge.

Time of supply of goods and services under reverser charge can be summarised as under:

Date of Removal Date of Invoice Date of Payment Time of Supply

06/10/2017 30/09/2017 03/10/2017 30/09/2017

05/10/2017 05/10/2017 25/09/2017 25/09/2017 05/10/2017 10/10/2017 06/11/2017 05/10/2017

Provision of Service Date of Invoice Date of Payment Time of Supply

06/10/2017 30/09/2017 03/10/2017 30/09/2017

05/10/2017 05/10/2017 25/09/2017 25/09/2017 05/10/2017 10/10/2017 06/11/2017 10/10/2017

05/10/2017 10/11/2017 16/11/2017 04/11/2017

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Where it is not possible to determine the 'Time of Supply' from above provisions the Time of Supply shall be the date of Entry in the books of accounts of the recipient.

D. CONTINUOUS SUPPLY:

Continuous supply of goods is defined to mean a supply of goods which is provided, or agreed to be provided, continuously or on recurrent basis, under a contract, whether or not by means of a wire, cable, pipeline, or other conduit, and for which the supplier issues invoices to the recipient on a regular or periodic basic. For example Supply of Gas or Water through pipeline and Supply of Electricity through cablemay be continuous supply of goods.

On the same analogy continuous supply of services means a supply of services which is provided, or agreed to be provided, continuously or on recurrent basis, under a contract, for a period exceeding three months with periodic payment obligations. For example Supply of telecommunication services or leasing of property or machinery may be continuous supply of services. The State and Central government will be able to notify any supply of services to be be treated as

Continuous Supply of services.

Looking to operational difficulties for issue of invoice as per normal provisions of sec. 28, MGL provides special provisions for issuance of Invoices in case of continuous supply of goods and services, which directly affects Time of Supply in these cases. Relevant provisions for Issues of Invoice are as under:

· In case of continuous supply of goods, where successive statements of accounts or successive payments are involved, the invoice shall be issued before or at the time each such statement is issued or, as the case may be, each such payment is received.

· In case of continuous supply of services,

* Where the due date of payment is ascertainable from the contract, the invoice shall be issued within 30 days from the date when liability to payment arises as per contract.

* Where the due date of payment is not ascertainable from the contract, the invoice shall be issued within 30 days from the date of receipt of the payment.

* Where the payment is linked to the

GOODS – SEC. 12(3) SERVICES – SEC. 13(3) Earliest of the following:

1. Date of receipt of goods.

2. Date on which payment is made.

3. Date immediately following 30 days from the date of issue of Invoice.

Earliest of the following: 1. Date on which payment is

made. 2. Date immediately following 60

days from the date of issue of Invoice.

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completion of an event, the invoice shall be issued within 30 days from the completion of that event.

For example if the gas (Assuming not exempted) is supplied through the pipeline on a continuous basis and the monthly statement of the gas supply is given to the recipient for a period from 11th of April to 10th May and so on. In this case the time of supply will be 10th May, whereas if the statement is given from 1st April to 30th April the time of supply will be 30th April and the liability to pay tax will arise accordingly.

E. GOODS SENT ON APPROVAL:

At times in some trades, goods are being sent on approval basis that means goods are first removed from the premises/ place of business of supplier to the recipient's place and the ultimate supply takes place when recipient confirms it. The same practice may be on account of quality or specifications of goods or any other reason as per contract between supplier and recipient. If recipient rejects the goods same may be taken back by the supplier and property in such goods doesn't pass to the recipient.

As per model GST Law, If the goods are being sent/ taken on approval or return basis without knowing whether a supply will finally take place or not,the invoices shall be issued before or at the time when it becomes known that the supply has taken place or six months from the date of removal, whichever is earlier.

For example, a company sent 'Diamond Segments' to a marble slab manufacturer on approval basis, so as to check the quality of segments in the specific type of stone block, on 20th April 2018, for whom these are tools to be

used in manufacturing process. In such a case if the recipient gives confirmation about supply on 15th June 2018, the time of supply shall be 15th June 2018, whereas if the recipient doesn't give confirmation till six months from the date of removal i.e. 19th October 2018, the time of supply shall be treated as 19th October 2018 (assumed payment for such supplies has been made after confirmation of supply).

F. TIME OF SUPPLY OF VOUCHERS:

Since actionable claim will be in tax net of GST, it will be all together new aspect of taxability. Accordingly MGL provides that In case of supply of vouchers, the Time of Supply shall be:· The date of issue of voucher, if the supply is identifiable at that point, or · The date of redemption of voucher, in other cases.

G. ISSUES OF INDUSTRY:

Apart from adaption of systems some common issues are there which needs special attention. There may be situations whereby supplier has received consolidated advance for multiple supply of goods and/or services which are chargable at different rate of tax and not identifiable at the time of receipt of advance. Further in case of a company having multiple registrations may receive the advance at its Head Office or Corporate Office for supplies to be made from different locations which are not yet identified at the time of supply. Since payment of taxes under GST shall be on the basis of Self Assessment, as per provisions under the Model Lawin such situations, the tax payer may have to to work out tax liability on the basis of plan and expected supplies. However, in case of deviation from the expected supply plan, tax payer may have to face Interest cost or

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additional working capital investment in the form of GST.

Further it may be noted that the model law itself makes distinction between Advance Payment and Deposits. The Deposit will not be considered as payment for supply unless the supplier applies such deposit as consideration for the supply. It may be the area whereby tax payer may efficiently plan their business model, however due care has to be given to provisions of other statues such as Income Tax and Companies Act.

H. SUMMARY:

It appears to be a challenge for all existing suppliers, mainly of goods, to adapt such a great change in the time of payment of taxes. If provisions of Model GST Law, as far as in relation to Time of Supply are concerned, remains intact all business houses have to get themselves ready to modify their systems so as to adapt for payment of taxes on the basis of advances received, unlike existing practices of actual sales and/or removal. The tax payer has to maintain a track of all events for all supplies and has to make regular reconciliation among Delivery, Invoicing and Payments. Further in case of continuous supply of goods it will be prudent to review existing contracts and suitable amendments can be made.

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According to IMF, The Prime Minister's and the Finance Minister's hunt for the black buck could temporarily slow down India of its status as the world's fastest economy. The challenge for them is to revive business and consumer confidence, boost private investment and create jobs, knowing the fact that they prepare for new uncertainties in the form of GST and Trump driven protectionism. With the Government tempering its earlier pro rich image with actions and policies that resonate with a wider base of voters and with the state elections coming up, this Budget aims at combining clever politics with sound economics.

The Finance Minister spent a large part of his speech, more than an hour stressing that his 10 focus areas included farmers and village folk, the poor and youth, which while not unusual, became even more necessary because of the criticism that demonetization had hurt the informal sector and the rural economy. In his 110 minute speech, he said “My overall approach…has been to spend more on rural

areas, infrastructure and poverty alleviation and yet maintain the best standards of fiscal prudence.”

A record Rs. 10 lakh crore as the target for farm credit and increased coverage of the crop insurance scheme highlighted the focus of agriculture. The continuing theme of attacking black money was evident in the move to ban all cash transactions of over Rs. 3 lakh and in the attempt to clean up the political funding, Parties will now have to disclose the identities of those donating over Rs. 2000, though electoral bonds will be introduced to allow anonymity for clean donors. The Government's appropriation of Gandhi and of successful UPA schemes continued apace. Mahatma Gandhi and his 150th birth anniversary were repeatedly mentioned, Rs. 48000 crore being allocated to MNREGA was a record. In addition, the Government has decided to launch an offensive against those who have fled the country by arming itself with legal powers to confiscate assets of such persons, although the Finance Minister promised constitutional safeguards against potential misuse.

View beyond the indepth analysis of Union Budget 2017…..

pkboobcirc@gmail.com

CA. Pramod Kumar BoobVice Chairman- CIRC

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The budget proposes to spend about Rs. 21.5 lakh crore in the next fiscal year. Of this, the single biggest component, as always, is interest payment on past debt, which is about Rs. 5.2 crore. However, the fiscal deficit has been remarkable capped at 3.20% of GDP which will bring good cheer to fiscal fundamentalists. It would mean that the Government will borrow a gross amount of Rs. 5.8 lakh crore this year, adding to the already large debt mountain. To the extent that this extra debt goes to finance creation of new infrastructure which wil l help future generations, it is a good quality spending. Indeed a record Rs. 3.9 lakh crore has been allocated to be spent on infrastructure such as roads, railways, airports and port.

This also means less borrowing pressure on the banking system causing interest rate to remain soft. That would be good news for new borrowers like home loans and small businesses. Affordable housing gets higher interest subsidy. Lower interest rates would also mean lower yields on government bonds, bringing higher profits to bank treasuries. Banks will be happy as they can use these profits to tackle bad loans provisions.

The budget proposes Rs. 1.9 lakh crore to farm and rural sector. India cannot make a significant dent on poverty without increasing farmers' incomes which government aims to double in five years. Hints at greater liberalization with the abolition of FIPB, alongside legislative priority to contract farming and improvements in labour laws point towards a continued push on ease of doing business. The model law on contract farming will help enable flow of credit to tenant farmers who make up 30% of farming.The Finance Minister has apparently managed the rather delicate balance between populism

and fiscal prudence. Political expediency called for spending huge amounts on key constituencies like farmers and other rural sections while his fiscal commitments demanded that he not stray too far from the roadmap laid down for bringing down deficits. The numbers present in the budget would suggest he has achieved this. The budget documents say that the GDP is assumed to grow at 11.75% in nominal terms next year. That would presumable translate into a real growth rate of about 6.75% and inflation of around 5%, neither of which seems an unreasonable assumption.

Excise duties are projected to yield just 5% more than in 2016-17, corporation tax 9.1% more and even service tax only 11.1% over the current year's level. All of this would suggest a modest economic performance. But individual income tax collections are estimated to rise by 24.9%. This is despite the fact that the FM said in his budget speech that he would stand to lose about Rs. 15500 crore from the changes made in personal income tax. This explains that the Government expects a huge impact on tax compliance on the basis of its campaign against black money. The arithmetic also rests on the assumption that proceeds from disinvestment will rise sharply from Rs. 45500 crore in the revised estimates for the current year to Rs. 72500 crore. This included strategic disinvestment to the tune of Rs. 15000 crore and Rs. 11000 crore from listing of insurance firms. Another assumption is that while the food subsidy bill is likely to rise by about Rs. 10000 crore over the current year's level, the fertilizer subsidy will remain unchanged and petroleum subsidy will actually fall in spite of the fact that all indications are that international crude oil prices are set to climb.

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The fact is that when income and consumption is taxed more than production and sales, a tax system gets more progressive because the rich earn and consume more than the poor and therefore pay a higher tax. But, for a long time in India, bulk of tax revenues came from production and sales (excise, customs and VAT). This has changed. Income and Service Tax now bring a higher share and are growing much faster than other taxes.

There was a Give and Take: IT rate halved to 5% on income below Rs. 5 lakh but 10% surcharge slapped on those in Rs. 50 lakh-1 crore bracket; On Capital Gain: Holding period for immovable property to qualify for long term capital gains reduced from 3 to 2 years; Small is beautiful as tax on MSMEs, accounting for 96% of firms filing returns, cut to 25%; sops for start-ups; For making Swachh India, no cash transactions over Rs. 3 lakh; donors of over Rs. 2000 to political parties to be identified; On PSU makeover Oil and Gas PSUs to be merged to create a global giant. IRCTC. 2 other rail cos on disinvestment list; On investment push Fillip to foreign investors as FIPB to be abolished, FDI and FII rules to be eased, labour reforms coming; More NPS benefits for self employed; one page form for make return filing easier,

Quote PAN for deals or pay fine at double the rate,

Like Doctors, Budget should start with the Hippocratic oath: Do no harm.” It would have been easy to violate the oath this year given the minefield the budget had to traverse. Ever since demonetization, markets have been clamoring relentlessly for a large consumption stimulus in the budget to jumpstart growth even if it meant completely abandoning the fiscal consolidation path. Against this backdrop, it would have been easy for the FM to play to the gallery, present a populist budget, peppered with consumption giveaways and tax cuts and argue that fiscal consolidation needed to be paused in light of demonetization. But, he resisted his temptation for the second successive year. If the Finance Minister's last two budgets were about giving evaders a chance to come clean by paying additional tax and penalty, his fourth budget has focused on introducing measures to squeeze unaccounted money and discourage the use of cash across the economy. To use a cricket analogy, this was a good knock that preserved the momentum of government's economic policies, but it may not stand out in terms of accelerating the run rate.

“I’ve taken another close look at the BUDGET, and I’m sorry I’m going to have two of you GO”

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Main Proposals Regarding Income tax in Union Budget – 2017-18

gbagrawal@hotmail.comCA Govind Agrawal

The Union Budget 2017-18 is unique as this year the Budget was presented on February 1, departed from the tradition of presenting it on the last working day of February. Further, for the first time, the Railways Budget was not a separate event. Instead it is merged with the Union Budget.

The new change was heartily welcomed, previously Union Budget was announced on the last working day of February and since the procedure is cumbersome new financial year commenced before the budget got approved in the house and funds being allocated for various policies. The new change will put an end to such problems and facilitate effective budget functioning.

Finance minister presented Union Budget for the year 2017-18 in the parliament in background of after effect of demonetization, slow down in the economy, elections in the five states, need for giving boost to infrastructure and housing sector, to fulfill the commitment of reducing the Income Tax Rate on corporate etc.

One of the objectives of the demonetisation exercise was intended to return to the formal economy unaccounted money that was hoarded in the form of high denomination currency notes. This exercise was intended to yield tax revenues to the government and combat the economic effects arising out of non-circulation of the hoarded unaccounted money. However, the exercise also had caused disruption of economy in the short-term. In the Union Budget,2017 it was expected to (i)Prevent generation of black money in future (ii) Incentivise channelisation of funds returned to the banking system into productive sectors and iii) Promote digitalisation in the economy.

In this article in the above background an attempt has been made to examine in short the main proposals in the union budget.

The thrust of tax proposals in Union Budget is on the followings:–

(1)Stimulating growth (2) Relief to middle class affordable housing (3) Curbing black money (4)

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Promoting digital economy (5) Transparency of political funding (6) Simplification of tax administration.

Main proposals in union budget regarding Income Tax affecting the general tax payers are as follows:

Minimum Income Tax Slabs

Change in tax slabs is expected each year specially to benefit salaried and nominal income earners. In the budget speech the finance minister presented detailed statistics to justify his claim that only a small percentage of population is income tax payer. Perhaps in view of this fact the finance minister thought it fit not to raise the basic exemption limit for non corporate assessee.

However to give relief to non corporate income tax payers it is proposed to reduce the existing rate of taxation for individual assesses between income of Rs. 2.5 lakhs to Rs.5 lakhs to 5% from the present rate of 10%.In order not to have duplication of benefit, the existing benefit of rebate available to the same group of beneficiaries is being reduced to Rs.2500 available only to assesses up to income of Rs 3.5 lakhs. The combined effect of both these measures will mean that there would be zero tax liability for people getting income up to Rs 3 lakhs p.a. and the tax liability will only be Rs 2,500 for people with income between Rs 3 and Rs 3.5 lakhs. If the limit of Rs 1.5 lakh under Section 80C for investment is used fully the tax would be zero for people with income of Rs 4.5 lakhs. While the taxation liability of people with income up to Rs 5 lakhs is being reduced to half, all the other categories of tax payers in the subsequent slabs will also get a uniform benefit of Rs 12,500/- per person.

Surcharge

It is proposed to levy a surcharge of 10% of tax payable on categories of individuals whose annual taxable income is between Rs 50 lakhs and Rs 1 crore. The existing surcharge of 15% of Tax on people earning more than Rs 1 crore will continue.

Corporate Income tax

In Budget proposals in 2015, an announcement was made that the corporate income tax rate would cut down to 25% gradually. In 2016 Budget, a reduction by 1% in case of those companies whose turnover is less than 5 crore was made. In the same Budget, It was also announced that new manufacturing companies who do not avail of any exemption would be charged only 25% income tax. Since they do not get many exemptions, they end up paying more taxes as compared to large companies. In order to make MSME companies more viable and also to encourage firms to migrate to company format, it is proposed to reduce the income tax for smaller companies with annual turnover up to Rs 50 crore to 25%. This will make our MSME sector more competitive as c o m p a r e d t o l a r g e c o m p a n i e s .

Measures for Promoting Affordable Housing and Real Estate Sector

I- Rationalisation of Provisions of Section 80-IBA to promote Affordable Housing

In order to make affordable housing scheme more attractive, following changes have been proposed in the scheme:-

(1)Instead of built up area of 30 and 60 sq.mtr,

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the carpet area of 30 and 60 sq.mtr.will be counted.

(2) The 30 sq.mtr. Limit will apply only in case of municipal limits of 4 metropolitan cities while for the rest of the country including in the peripheral areas of metros, limit of 60 sq.mtr. will apply.

(3)In order to be eligible, the scheme was to be completed in 3 years after commencement. It is proposed to extend this period to 5 years.Above proposals will certainly promote affordable housing projects.

II- Incentives for Promoting Investment in immovable property-Section 2(42A)

With a view to promote the real-estate sector and to make it more attractive for investment, it is proposed to amend section 2 (42A) of the Act so as to reduce the period of holding from the existing 36 months to 24 months in case of immovable property being land or building or both, to qualify as long term capital asset.This amendment will take effect from 1st April, 2018 and will, accordingly, apply in relation to the assessment year 2018-19 and subsequent years.

Above proposal will encourage investors to invest in immovable property.

III- Notional rental Income in case of Builders-Section 23

At present, Builders in whose case constructed buildings are stock-in-trade and the same remains unoccupied after getting completion certificates are subjected to tax on notional rental income. It is proposed to amend section 23 so as to provide that where the house

property consisting of any building and land appurtenant thereto is held as stock-in-trade and the property or any part of the property is not let during the whole or any part of the previous year, the annual value of such property or part of the property for the period up to one year from the end of the financial year in which the certificate of completion of construction of property is obtained from the competent authority, shall be taken to be nil.This amendment will take effect from 1st April, 2018 and will, accordingly apply in relation to assessment year 2018-19 and subsequent years.

The above proposal will give relief to property builders from notional rental income in case of unsold stock in trade held in the initial years.

IV- Shifting base year from 1981 to 2001 for computation of capital gains

It is also proposed that, the base year for indexation to be shifted from 1.4.1981 to 1.4.2001 for all classes of assets including immovable property. This move will significantly reduce the capital gain tax liability while encouraging the mobility of assets.

The cost of improvement shall include only those capital expenses which are incurred after 01.04.2001.

Consequential amendment is also proposed in section 48 so as to align the provisions relating to cost inflation index to the proposed base year.

These amendments will take effect from 1st April, 2018 and will, accordingly, apply in relation to the assessment year 2018-19 and subsequent years.

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Expanding the scope of long term bonds under 54EC

It is also proposed to extend the basket of financial instruments in which the capital gains can be invested to avail of the benefit of exemption from capital gain tax.

It is proposed to amend section 54EC so as to provide that investment in any bond redeemable after three years which has been notified by the Central Government in this behalf shall also be eligible for exemption.

This amendment will take effect from 1st April, 2018 and will, accordingly, apply in relation to the assessment year 2018-19 and subsequent years.

The above proposal will extend the options of investments for long term capital gain.

Additional benefit for Start-ups-Section 80IACIncome tax exemption to start-ups was given with certain conditions last year. For the purpose of carry forward of losses in respect of such start-ups, the condition of continuous holding of 51% of voting rights has been relaxed subject to the condition that the holding of the original promoter/promoters continues. Also the profit linked deduction available to the start-ups for 3 years out of 5 years is being changed to 3 years out of 7 years.

Presumptive Income Tax –Section 44AD

There is a scheme of presumptive income tax for small and medium tax payers whose turnover is up to Rs 2 crore. It is proposed to amend section 44AD of the Act to reduce the existing rate of deemed total income of 8% to 6% in respect of the amount of such total

turnover or gross receipts received by an account payee cheque or account payee bank draft or use of electronic clearing system through a bank account during the previous year or before the due date specified in sub-section (1) of section 139 in respect of that previous year. However the existing rate of deemed profit of 8% referred to in section 44AD of the act, shall continue to apply in respect of total turnover or gross receipts received in any other mode.

This benefit will be applicable for transactions undertaken in the current year also.

This amendment will take effect from 1st April, 2017 and will, accordingly, apply in relation to the assessment year 2017-18 and subsequent years.

Measures to discourage Cash transactions

I- Restricting cash donations-80G

In order to provide cash less economy and transparency, it is proposed to amend section 80G so as to provide that no deduction shall be allowed under the section 80G in respect of donation of any sum exceeding two thousand rupees unless such sum is paid by any mode other than cash.This amendment will take effect from 1st April, 2018 and will, accordingly, apply in relation to the assessment year 2018-19 and subsequent years.

II- Cash Expenditue-Section 40A(3)

It is proposed to amend the provision of section 40A of the Act to provide the followings:

(i) To reduce the existing threshold of cash

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payment to a person from twenty thousand rupees to ten thousand rupees in a single day, i.e. any payment in cash above ten thousand rupees to a person in a day, shall not be allowed as deduction in computation of Income from "Profits and gains of business or profession";

(ii) Deeming a payment as profits and gains of business of profession if the expenditure is incurred in a particular year but the cash payment is made in any subsequent year of a sum exceeding ten thousand rupees to a person in a single day; and

(iii) Further expanding the specified mode of payment under respective sub-section of section 40A from an account payee cheque drawn on a bank or account payee bank draft to by an account payee cheque drawn on a bank or account payee bank draft or use of electronic clearing system through a bank account.

These amendments will take effect from 1st April, 2018 and will, accordingly, apply in relation to the assessment year 2018-19 and subsequent years.

III-Restriction on Cash Transactions above Rs 3 Lakh-Section 269ST

The Special Investigation Team (SIT) set up by the Government for black money has suggested that no transaction above Rs. 3 lakh should be permitted in cash. The Government has decided to accept this proposal.

It is proposed to insert section 269ST in the Act to provide that no person shall receive an amount of three lakh rupees or more,—

(a) In aggregate from a person in a day;(b) In respect of a single transaction; or

(c) In respect of transactions relating to one event or occasion from a person,

Otherwise than by an account payee cheque or account payee bank draft or use of electronic clearing system through a bank account.

The said restriction shall not apply to Government, any banking company, post office savings bank or co-operative bank and such other persons or class of persons or receipts may be notified by the Central Government.

It is also proposed to insert new section 271DA in the Act to provide for levy of penalty on a person who receives a sum in contravention of the provisions of the proposed section 269ST. The penalty is proposed to be a sum equal to the amount of such receipt.

Political Parties

(1)The maximum amount of cash donation that a political party can receive will be Rs.2000/- from one person.

(2) Political parties will be entitled to receive donations by cheque or digital mode from their donors.

(3) Every political party would have to file its return within the time prescribed in accordance with the provision of the Income-tax Act. The existing exemption to the political parties from payment of income-tax would be available only subject to the fulfillment of these conditions.

Transfer pricing provisions

· As an anti-avoidance measure, the provision of domestic transfer pricing in respect of related entities was brought in the Finance

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Act of 2012. Since then the number of entities being covered under domestic pricing has gone up substantially necessitating a longer scrutiny, which causes hardship to domestic companies. In order to reduce the compliance burden due to domestic transfer pricing provisions, it is proposed to restrict the scope of domestic transfer pricing only if one of the entities involved in related party transaction enjoys specified profit-linked deduction.

· In order to align the transfer pricing provisions with the OECD transfer pricing guidelines and international best practices, it is proposed to insert a new section to provide that the assessee shall make secondary adjustment where the primary adjustment to the transfer price has been made in certain cases. The provision shall apply if the primary adjustment exceeds one crore rupees and the excess money attributable to the adjustment is not brought to India within the prescribed time.

Maintenance of books by Individuals and HUFThe threshold for maintenance of books for individuals and HUF is being increased from turnover of Rs.10 lakhs to Rs.25 lakhs or income from Rs.1.2 lakhs to Rs.2.5 lakhs.

Reduction in Rate of TDS for Insurance Agents TDS of 5% is being deducted from commission payable to individual insurance agents even if the income of some of them may be below taxable limit. It is proposed to exempt them from the requirement of TDS subject to their filing a self-declaration that their income is below taxable limit.

Payment of Advance Tax in one installment by Professionals

Last year, a new scheme for presumptive

taxation was announced for professionals having receipt up to Rs.50 lakhs p.a. In respect of such assesses, they are being given further benefit in terms of paying advance tax in one installment instead of four.

Period for Revising ITR

In order to allow the people to claim the refund expeditiously, the time period for revising a tax return is being reduced to 12 months from completion of financial year, at par with the time period for filing of return.

Time for complet ion of Scrut iny assessments

The time for completion of scrutiny assessments is being compressed further from 21 months to 18 months for Assessment Year 2018-19 and further to 12 months for Assessment Year 2019-20 and thereafter.

Simple one-page form of Income Tax Return

In order to expand tax net, plan to have a simple one-page form to be filed as Income Tax Return for the category of individuals having taxable income up to Rs 5 lakhs other than business income. Also a person of this category who files income tax return for the first time would not be subjected to any scrutiny in the first year unless there is specific information available with the Department regarding his high value transaction.

Rationalization of taxation of income by way of dividend - section 115BBDA

Under the existing provisions of section 115BBDA, income by way of dividend in excess of Rs. 10 lakh is chargeable to tax at the rate of

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10% on gross basis in case of a resident individual, Hindu undivided family or firm. With a view to ensure horizontal equity among all categories of tax payers deriving income from dividend, it is proposed to amend section 115BBDA so as to provide that the provisions of said section shall be applicable to all resident assessees except domestic company and certain funds, trusts, institutions, etc.

This amendment will take effect from 1st April, 2018 and will, accordingly apply in relation to the assessment year 2018-19 and subsequent years.

Widening of the scope of section 56

In order to prevent the practice of receiving the sum of money or the property without consideration or for inadequate consideration, it is proposed to insert a new clause (x) in sub-section (2) of section 56 so as to provide that receipt of the sum of money or the property by any person without consideration or for inadequate consideration in excess of Rs. 50,000 shall be chargeable to tax in the hands of the recipient under the head "Income from other sources". It is also proposed to widen the scope of existing exceptions by including the receipt by certain trusts or institutions and receipt by way of certain transfers not regarded as transfer under section 47.

Consequential amendment is also proposed in section 49 for determination of cost of acquisition.

These amendments will take effect from 1st April, 2017 and the said receipt of sum of money or property on or after 1st April,2017 shall be chargeable to tax in accordance with the provisions of proposed clause (x) of sub-

section (2) of section 56.

Transfer of unquoted equity shares

It is proposed to insert a new section 50CA to provide that where consideration for transfer of share of a company (other than quoted share) is less than the Fair Market Value (FMV) of such share determined in accordance with the prescribed manner, the FMV shall be deemed to be the full value of consideration for the purposes of computing income under the head "Capital gains".

This amendment will take effect from 1st April, 2018 and will, accordingly, apply in relation to the assessment year 2018-19 and subsequent assessment years.

Long term capital gains in case of transfer of listed shares

It is proposed to restrict the exemption from long term capital gains in case of transfer of listed shares by providing that the exemption, subject to notification of certain exceptions, shall be available if security transaction tax has been paid at the time of acquisition of such shares where they have been acquired after 1st October, 2004.

New provision regarding TDS on Rent

It is proposed to introduce a new provision in the Income-tax Act to provide for tax deduction at source at the rate of five per cent. by an individual or HUF, other than those whose books of account are required to be audited, while making payment of rent of an amount exceeding Rs 50,000 per month. It is also proposed to provide that such tax shall be deducted and deposited only once in a financial

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year through a challan cum-statement. Further, the deductor shall not be required to obtain TAN or file any separate TDS return for this purpose.

Set off of loss from House Property

In order to address the existing anomaly of interest deduction in respect of let out property vis-à-vis self-occupied property, it is proposed to restrict set off of loss from house property against income under any other head during the current year up to Rs two lakhs. The loss not so set off would be allowed to be carried forward for set off against house property income for eight assessment years.

Chief Minister's Relief Fund

It is proposed that exemption available to the Prime Minister's Relief Fund and certain other funds be extended to the income of the Chief Minister's Relief Fund and the Lieutenant Governor's Relief Fund .

Withholding of Refund

It is proposed to do away with the provisions enabling the Assessing Officer not to process the return and thus withhold the refund in cases where the return is selected for scrutiny till the completion of assessment. It is however proposed that in cases where grant of refund is likely to adversely affect the interest of revenue, it can be withheld with the approval of the higher authority after recording the reasons in writing.

Timely filing of Returns

In order to ensure timely filing of returns of income, it is proposed to levy a fee in case of delay in filing the return. Under Sec. 234 F filing of the return after due date will attract late fees.

Filing of return after due date but before 31st Dec. will attract a fee of Rs. 5000 and after filing of return after 31st Dec. will attract a fee of Rs. 10,000 with an exception that if the returned income is less than Rs. 5 lac than the late fee will be Rs. 1,000 only.

Interest in case of refund of excess payment of TDS.

It is proposed to provide for grant of interest in case of refund of excess payment of TDS.

Powers to C.B.D.T

· It is proposed to authorise the Central Board of Direct Taxes (CBDT), to issue directions or instructions in order to remove hardships faced by the taxpayers in connection with imposition of penalty relating to tax deduction or collection at source.

· It is proposed to authorise the CBDT to frame a scheme for centralised issuance of notice calling for information and documents for the purpose of verification of information in its possession, processing of such documents and making the outcome thereof available to the Assessing Officer.

Exemption of long term capital gains tax u/s 10(38)

It is proposed to amend section 10(38) to provide that exemption under this section for income arising on transfer of equity share acquired or on after 1st day of October, 2004 shall be available only if the acquisition of share is chargeable to Securities Transactions Tax under Chapter VII of the Finance (No 2) Act, 2004. However, to protect the exemption for genuine cases where the Securit ies

31

Transactions Tax could not have been paid like acquisition of share in IPO, FPO, bonus or right issue by a listed company acquisition by non-resident in accordance with FDI policy of the Government etc., it is also proposed to notify transfers for which the condition of chargeability to Securities Transactions Tax on acquisition shall not be applicable.

This amendment will take effect from 1st April, 2018 and will, accordingly, apply in relation to the assessment year 2018-19 and subsequent assessment years.

Higher rate of TCS in case of non furnishing of PAN.

In order to strengthen the TCS regime, it is proposed to provide that the collectee shall furnish his PAN to the collector, failing which, tax shall be collected at a higher rate.

Proposal to omit section 197(C) of the Finance Act, 2016

In order to remove hardship, it is proposed to omit section 197(C) of the Finance Act, 2016 which provided for assessment of undisclosed income relating to any period prior to commencement of the Income Declaration Scheme, 2016. However, in search cases, it is proposed to provide that in case tangible evidence is found during the search, the Assessing Officer can assess income upto ten years preceding the year in which search took place.

Disallowance in case of no TDS

In order to strengthen the TDS provisions, it is proposed to provide that a disallowance shall be made in respect of an expenditure incurred

against income from other sources unless tax has been deducted thereon at applicable rates. Contribution to National Pension System Trust. The existing provision of section 10(12A) provides that payment from National Pension System (NPS) trust to an employee on closer of his account or opting out shall be exempt up to 40% of total amount payable to him. In order to provide further relief to an employee subscriber of NPS, it is proposed to amend the section 10 so as to provide exemption to partial withdrawal not exceeding 25% of the contribution made by an employee in accordance with the terms and conditions specified under Pension Fund Regulatory and Development Authority Act, 2013 and regulations made there under.

This amendment will take effect from 1st April, 2018 and will, accordingly, apply in relation to the assessment year 2018-19 and subsequent assessment years. Miscellaneous

· It is proposed to authorise the Joint Director, Deputy Director or the Assistant Director of Income-tax to call for information for the purpose of any enquiry without seeking approval of the higher authority.

· It is proposed to expand the provision of section 133A of the Income-tax Act so as to include any place at which activity for charitable purpose is carried on

· It is proposed to provide a concessional tax rate of 10% in case of income arising from sale of carbon credit.

· It is proposed to lower the rate of deduction of tax in case of payments made to a person engaged only in the business of

32

operation of call centre.

· It is proposed to provide that the authorised officer can, subject to conditions as specified, provisionally attach a property for a period of six months in order to protect the interest of revenue. It is also proposed to provide that he can make a reference to the valuation officer for the purpose of estimation of FMV of a property.

· For Joint Development Agreement signed for development of property, the liability to pay capital gain tax will arise in the year the project is completed.

· Minimum Alternate Tax - Increase in time limit to carry forward MAT and AMT credit -

Sections 115JAA and 115JD

Currently, Section 115JAA allows carry forward of MAT credit up to ten

assessment years. The time period is proposed to be increased to fifteen assessment years. Similar amendment is proposed in section 115JD so as to allow carry forward of AMT Credit up to fifteen assessment years in case ofNon-corporate assessee. Applicable from AY 2018-19.

In the present state of affairs and the background in which the Union Budget is presented, it can safely be concluded that this is a balanced budget.

WHY BOTHER TO BUDGET

SO WE CAN WORRYBEFORE WE SPENDMONEY AS WELL AS AFTER WE SPENDMONEY

33

Will Anti Profiteering Measure in GST curb excessive price hikes?

Shri. Narendra Modi, Hon’ble Prime Minister of India

The Revised Model Goods and Services Tax (GST) law has been released by the Government, taking into consideration various representations received from the stake-holders through CBEC on 25.11.2016. Anti Profiteering Measure has been incorporated under the Revised Model GST Act, 2016.

What is Anti Profiteering Measure ?

Anti-Profiteering measure consists of actions to be taken against a person who seeks or extracts exorbitant profits from a certain opportunity, herewith the implementation of a new indirect tax regime. The government's

“Great Step by Team India, Great Step towards Transformation, Great Step towards Transparency, this is GST”

commitment to protect consumers from u n s c r u p u l o u s t r a d e r s d u r i n g t h e implementation of new tax regime in the form of Price Control and Anti-Profiteering measure. It is a preventive step to counter initial inflation which is highly anticipated as an impact of GST implementation in India. Such measures are essential to control undesired price rise due to change in tax structure.

Need of Anti Profiteering Measure ?

Canada, New Zealand, Malaysia and other like countries have witnessed a significant increase in inflation for a very short period, after implementation of GST. As per the existing tax regime Excise, Service Tax, VAT etc results into levy of higher taxes on various products. GST is a multi-stage, consumption-based value added tax which proposes to abolish the cascading effect in the present tax structure.

Will Anti Profiteering Measure in GST curb excessive price hikes?

caankitkhandelwal02@gmail.com

CA. Ankit Khandelwal

34

Such change in the tax structure provides room for improved profit margin at every stage of supply chain. Therefore, strict measures are proposed to be implemented to ensure that the benefit of an efficient tax system are passed on to consumers. Whereas, after GST, certain products will see reduction in prices.

Anti-profiteering is one such effective learning that may prospectively avoid extreme inflation in the economy, or at least control the rate of inflation that may occur, as also protect the cus tomers f rom un reasonab le and unwarranted extortions by the supplier and keep a check on those who hope to fetch undue benefits or profits in the tax-fluctuation scenario. Such reduction of cost should be passed over to the consumer. This will be sole intention to have an inbuilt anti profiteering clause in GST under GST Act, 2016 so that the benefit will transfer to ultimate consumer.

Section 163. Anti-Profiteering Measure

· The Central Government may by law constitute an Authority, or entrust an existing authority constituted under any law, to examine whether input tax credit availed by any registered taxable person or the reduction in the price on account of any reduction in the tax rate have actually resulted in a commensurate reduction in the price of the said goods and/or services supplied by him.

· The Authority referred to in sub-section (1) shall exercise such functions and have such powers, including those for imposition of penalty, as may be prescribed in cases where it finds that the price being charged has not been reduced as aforesaid.

Anti Profiteering in Malaysia -

GST has most recently been implemented in Malaysia in 2015. The concept of anti profiteering in GST already exists in Malaysia. There is Price Control and Anti-Profiteering Act 2011, in Malaysia which was enforced by way of National Price Council.

In Malaysia, the price control mechanism on account of GST does not fall under the purview of the GST Act, but under the Ministry of Domestic Trade and Consumer Affairs. The Price Control and Anti-Profiteering Act, 2011 has been enacted to control price of goods and charge for services and to prohibit unreasonably high profiteering by suppliers. The mechanism to identify unreasonably high profit is governed by the amendments brought about to the Act in 2014, read with the Price Control and Anti-Profiteering Regulations, 2014. They have an inbuilt provision for imposition of heavier fines and penalties for those traders which fail to comply such requirement of price.

Anti-profiteering in Indian Context

Anti-profiteering measures are not new to India. Concept of price control and anti-profiteering has previously been implemented by the Government of West Bengal way back in 1959 (under the West Bengal Anti-Profiteering Act, 1958), to fix maximum price or rate chargeable by a dealer for items of daily use such as rice, wheat, pulses, spices, edible oil, sugar, paper, drugs and medicines, etc. In 2010, the Act was amended to intensify the drive against dealers who store scheduled items illegally for profiteering. The Act provides for punishment with rigorous imprisonment upto 2 years, or fine or both and also for forfeiture of the stock of goods.

35

How to protect your business :-

At the minimum, businesses should consider the following :

· Maintain documentation of the due process of stripping out the legacy sales tax and service tax from its costs;

· Estimate the impact of non-recoverable input tax; and

· Maintain proper cost sheet of all the manufactured goods.

· Link this process to pricing decisions. How is the government going to control prices with anti profiteering clause?

· It will be validated by way of section 163 of Revised Model Good and Service Tax Law 2016.

· Setting up of ministries like the Ministry of Domestic Trade, Cooperatives as well as Consumerism to monitor, control and take action on any price increase due to excessive profiteering .

· The Government will undertake various measures to ensure that savings by the businesses is ultimately passed on to the consumers.

· They may impose heavier fines and penalties on those traders who fail to comply such requirement of price.

Conclusion :-

This will result into various unforeseen litigation and provisions relating to anti profiteering would lead to lot of debate. While this is aimed at protecting consumers, it might be difficult to implement . Companies should cautiously revisit their costing strategy so that unwanted disputes can be prevented.

Disclaimer : The above article is purely formed on the views & opinions of the author & author in no way is responsible for any discrepancy in the facts of the same. No one should act on such information without appropriate professional advice, after a thorough examination of the particular situation. The technical contents therein are solely meant for communicating information and not as professional advice.

36

Synopsis

1. Who isDeductor and deductee?

2. What is the rate of TDS?

3. What is the limit on which TDS provisions are applicable?

4. What is the due date by which TDS deducted should be deposited?

5. Issuance of TDS Certificate and details to be mentioned therein?

6. Due date of Furnishing the TDS Certificate?

7. Late fees if Certificate not furnished within due date?

8. Whether any interest is chargeable if TDS not deposited within due date?

9. Refund in case of excess or erroneous deduction?

1.1 Deductor

Sec. 46(1) Notwithstanding anything contained to the contrary in this Act, the Central or a State Government MAY mandate, -

[Deductor]

(a) A department or establishment of the Central or State Government, or

(b) Local authority, or

(c) Governmental agencies, or

(d) Such persons or category of persons as may be notified, by the Central or a State

G o v e r n m e n t o n t h e recommendations of the Council,

1.2 Rate of TDS?

Tax should be deducted at the rate of 1% from the payment made or credited to the supplier [hereinafter referred to in this section as “the d e d u c t e e ” o f t a x a b l e g o o d s a n d / o r services,notified by the Central or a State Government on the recommendations of the

TAX DEDUCTED AT SOURCE[As per proposed Model GST Law]

atinharbhajanka.ca@gmail.com

CA Atin Harbhajanka

37

Council.

1.3 When TDS is required to be made?

Where the total value of such supply, under a contract, exceeds five lakh rupees.

Explanation. – For the purpose of deduction of tax specified above, the value of supply shall be taken as the amount excluding the tax indicated in the invoice.

Q.1 Mr. A enters into the following contract with Mr. B in the month of April, Nov. and Dec. of Rs. 5 Lacs, Rs. 5 Lacs and Rs. 5 Lacs in total aggregating Rs. 15 Lacs. Whether A is liable for TDS?

Ans: Section 46 of the proposed model GST Law if read along with the Sec. 194C of the Income Tax Act, then it is clear that aggregate of the amount of contract will be considered if entered with a single person. Since in the given case aggregate amount in a financial year exceeds Rs. 5 Lacs i.e. 15 Lacs. TDS provisions will be applicable on entire 15 Lacs i.e. 15*1%=Rs. 15000/-.

Q.2 In the above case if Mr. A enters into a contract with Mr. B of Rs. 5 Lacs, Mr. C of Rs. 5 Lacs and with Mr. C of Rs. 5 lacs in total aggregating to Rs. 15 Lacs? Whether A is liable for TDS?

Ans: In the given since Mr. A enters individual contract with different persons, hence limit is to be seen for each contract separately. Since the amount in each contract do not exceeds Rs. 5 Lacs hence no liability of TDS would arrive in the given case.

Q.3 Mr. A total value of supply under a contract including tax of Rs. 10,000/- is Rs. 5,10,000/-? Whether TDS Liability in such case will arise?

Ans: TDS Liability will arise only if total value of a supply excluding the Tax under a contract exceeds Rs. 5 Lacs. Since in the given case excluding the tax element total value of supply is only Rs. 5 lacs hence no liability of TDS will arise in the given case.

Q.4 Mr. A total value of supply under a contract excluding tax of Rs. 10,000/- is Rs. 5,10,000/-? Whether TDS Liability in such case will arise?

Ans: TDS Liability will arise only if total value of a supply excluding the Tax under a contract exceeds Rs. 5 Lacs. Since in the given case excluding the tax element total value of supply exceeds Rs. 5 lacs i.e. Rs. 5,10,000/- hence liability of TDS will arise in the given case.

1.4 When TDS should be paid to the account of appropriate government?

As per sub section (2) of section 46the amount deducted as tax under this section shall be paid to the account of the appropriate Government by the deductor within ten days after the end of the month in which such deduction is made, in the manner prescribed.

1.5 Details to be furnished in TDS Certificate?

As per sub section (3) of section 46, the deductor shall, in the manner prescribed, furnish to the deductee a certificate mentioning therein the contract value, rate of deduction, amount deducted, amount paid to the appropriate Government and such particulars as may be prescribed in this behalf. 1.6 When TDS certificate to be furnished by deductor?

As per sub section (4) of section 46, the deductor should furnish to the deductee the certificate, after deducting the tax at source, within five days of crediting the amount so

38

deducted to the appropriate Government.

1.7 Failure to furnish TDS certificate within due date and penal provisions?

As per sub section (4) of section 46, if any deductor fails to furnish to the deductee the certificate, after deducting the tax at source, within five days of crediting the amount so deducted to the appropriate Government, the deductor shall be liable to pay, by way of a late fee, a sum of one hundred rupees per day from the day after the expiry of the five day period until the failure is rectified: PROVIDED that the amount of fee payable under this sub-section shall not exceed five thousand rupees.

Q.5 Mr.A, deductor have deducted TDS for the month of June and deposited to the credit

of government on 15th July? He issued the TDS certificate on 18th July? Whether he liable for to pay late fees or interest or both?

Ans: TDS certificate should be issued within 5 days of crediting the amount so deducted to the appropriate government, since in the given case the amount is credited on 15th July and the certificate is issued on 18th July hence no Liability of late fees is going to arise,but since the amount is not deposited within the due date i.e 10th July Hence the liability of interest will arise.( Interest rate not yet specified).

Q.6 Mr.A, deductor have deducted TDS for the month of June and deposited to the credit

of government on 15th July? He issued the TDS certificate on 21st July? Whether he liable for to pay late fees or interest or both?

Ans: TDS certificate should be issued within 5 days of crediting the amount so deducted to the appropriate government, since in the given case the amount is credited on 15th July and the certificate is issued on 28th July hence Liability of

late fees is going to arise i.e. Rs. 100/- since the delay is by one day only, but since the amount is not deposited within the due date i.e 10th July Hence the liability of interest will arise.( Interest rate not yet specified).

1.8 When deductee can claim TDS credit?

As per sub section (5) of section 46, the deductee shall claim credit, in his electronic cash ledger, of the tax deducted and reflected in the return of the deductor furnished under sub-section (3) of section 34, in the manner prescribed.

1.9 What if the deductor fails to deposit the tax deducted within due date?

As per sub section (6) of section 46, if any deductor fails to pay to the account of the appropriate Government the amount deducted as tax under sub-section (1), he shall be liable to pay interest in accordance with the provisions of sub-section (1) of section 45, in addition to the amount of tax deducted. 1.10 How to determine the amount in default under this section?

As per sub section (7) of section 46, determination of the amount in default under this section shall be made in the manner specified in section 66 or 67, as the case may be.

1.11 Refund to the deductor or deductee on account of excess or erroneous deduction?

As per sub section (8) of section 46,refund to the deductor or the deductee, as the case may be, arising on account of excess or erroneous deduction shall be dealt with in accordance with the provisions of section 48.

Provided that no refund to deductor shall be granted if the amount deducted has been credited to the electronic cash ledger of the deductee.

39

The “Uttam” Budget-2017

harsha.ramnani@sba-ca.com

CA. Harsha Ramnani

“Vasant Panchami” (Spring) is the season of optimism and on this auspicious day, Finance Minister presented his fourth Union Budget i.e. on 1st Feb, 2017 with agenda of "Transform, Energise and Clean India", i.e, “TEC India”. The agenda of TEC India seeks:

· To Transform the quality of governance and the quality of life of our people,

· To Energise our youth and enable them to unleash their true potential; and

· To Clean the country from the evils of corruption, black money and non-transparent political funding.

Following are some proposed key changes for various segments:

Segment

Personal Taxation

Reduced income tax rate

10 per cent surcharge

87A Amendment

Amendment

01.04.17

01.04.17

Income tax rate on income between Rs. 2.5 lakh and Rs. 5 lakh reduced to 5 per cent from 10 per cent. However,he reduced rebate u/s 87A fromRs. 5,000 to Rs 2,500 and no rebate will be applicable for taxpayers having income above R s . 3 . 5 l a k h .

A 10 per cent surcharge has been proposed for individuals having income ranging from . (Existing surcharge of 15 per cent will remain same for individuals having income above Rs. 1 crore.)

Rs.50 lakh toRs.1 crore

Amendment/ Newly Inserted

Brief of Amendment Applicable W.e.f.

Section reference

Particulars of Amendments

Tax Returns

Reopening of tax cases

Relaxation of TDS requirement

Deemed Income for Presumptive Taxation.

Business & Profession

Restriction on claiming deduction u/s 80 CCG

Reduction in holding period of a property

No tax on Partial withdrawals from National Pension System (NPS)

Newly Inserted

Amendment

Amendment

Amendment

Amendment

Amendment

New sub section to section 80CCGinserted Sub suction (5)

80CCG

2(42A) and 55

80 CCD(1)

149

194D

44AD

01.04.17

01.04.17

01.04.17

01.04.17

01.04.17

01/04/2018

01/04/2018

A simple one-page form will be introduced for filing tax return for individuals having taxable income up to Rs. 5 lakh other thanbusiness income. A person in this categorywho files income tax return for the first time would not be subjected to any scrutiny in thefirst year unless there is specific information available with the tax department regarding his high value transaction.

Income tax officials can now reopen tax cases for up to 10 years (currently it is six years) if search operations reveal undisclosed income and assets of over Rs. 50 lakh.

TDS requirement has been relaxed for commission payable to individual insurance agents subject to the condition of submitting a self declaration form that their income falls below threshold limit

For small and medium tax payers which are covered under presumptive taxation scheme ,there is a big relaxation in computing their deemed income @ 6% from present 8% of turnover if turnover is below Rs. 2 Crores which is by no cash means.

No deduction will be allowed u/s 80CCG for investment in Rajiv Gandhi Equity Saving Scheme from Assessment Year 2018-19.

The holding period of a property for qualifying as long-term gains u/s 2 (42A) has been reduced from 3 years to 2 years. It has also been proposed to amend Section 55 by shifting the base year of indexation from 1 April 1981 to 1 April 2001 for all classes of assets including immovable property.

Partial withdrawals from u/s 80 CCD(1) will not attract tax. According

to the proposed changes, an NPS subscriber can withdraw 25 per cent of his/her contribution to the corpus for emergencies before retirement

National Pension System (NPS)

40

41

115JBMAT credit

Reduced income tax rate

Application of Tax paid

Relief for Carry forward and set off of loss to startups

Extension of concessional tax rate to ECB

Reducing the time for filing revised return

Fee for delayed filing of return

Compliances ‘section

Amendment

Amendment

Amendment

Amendment

Amendment

Amendment

Newly Inserted

79

194 LC subsection 2 clause 1, Sub clause (a & c)

139

234F

01.04.17

01.04.17

01.04.17

01.04.17

01/04/2018

01/04/2018

01/04/2018

MAT will continue and credit will be allowed to be carried forward for a period of 15 years instead of only 10 years at present

There is a big and rewarding relief to the small and medium sized enterprises which account for 96% of our industry. Income tax rate has been reduced from 30% to 25% with turnover upto Rs. 50 crores. It's a boost to SME's & MSME's sector.

For builders carrying constructed buildings as stock-in-trade, tax they are currently paying on notional income will apply after one year of the end of the year in which completion certificate has been received. This is a sign of giving them rest for 1 year from paying tax.

In respect of carry forward of losses for start ups, the condition of continuous holding of voting rights of 51% has been relaxed in the budget subject to the condition that the holding of the original promoter continue. Not only that, the profit linked exemption available for 3 out of 5 years has been changed to 3 out of 7 years.

Beneficial withholding tax rate of 5 per cent on interest on ECBs of Indian firms extended by three yrs till June 2020.

For revision of return, time period has been reduced to twelve months from completion of financial year at par with the time period of filing of return.

Government has prescribed a late filing fee of Rs 5,000 for delay up to December 31 and Rs 10,000 for further delay. However, if the total income of the assesse does not exceed Rs. 5 lakh, the fee payable under this section shall not exceed Rs. 1,000.

42

Threshold limit for maintenance of books of accounts

Restriction on cash transactions

Disallowance of capital expenditure under section 35AD on cashpayment

Measures for promoting digital payments in case of small unorganized businesses

Restriction on cash Transaction

Restricting cash donations

Moving toward Cashless Economy

P e n a l t y o n professionals for furnishing i n c o r r e c t information in statutory report or certificate

Time Period for scrutiny assessments.

Amendment

Newly Inserted

Amended

Amended

Newly Inserted

Amended

Amendment

Insertion/ Amendment

Section 44AA(2) clause (i) & (ii)

269ST

35AD

44AD

269ST

80G(5D)

271J newly insertion / 273B

01/04/2018

01/04/2017

01/04/2017

01/04/2017

01/04/2017

01/04/2017

01/04/2017

Regarding maintenance of books of accounts for individuals and HUF's, threshold limit has been increased from present turnover of Rs. 10 Lakhs to Rs. 25 Lakhs or income from present Rs. 1.2 Lakhs to Rs. 2.5 Lakhs.

Cash transaction of above Rs.3 lakh not to be permitted. The penalty of equal amount to be levied in case of breach.

Limit on Daily Cash payment restricted to Rs 10000/- to a person in a day.

Reduced Tax rate for transacting in modes other than cash for small businessman at 6% instead of 8%.

Restrictions on cash receipt exceeding Rs 3 lacs for digitized economy (New section 269ST proposed)

Cash donation limit for section 80G reduced to Rs 2000 from Rs 10000.

Rs.10000 penalty has been proposed on accountant, registered valuer and merchant banker for furnishing incorrect information.

For scrutiny assessments, time period has been compressed from 21 months to 18 months for Assessment Year 2018-19 and further to 12 months for Assessment Year 2019-20 and onwards.

43

Exclusion of certain specified person from requirement of audit of accounts under section 44AB

Advance Tax under presumptive taxation

Scope ofsection 92BAof theIncome-taxAct relatingto SpecifiedDomesticTransactions

thresholdlimit formaintenanceof books ofaccounts

Clarityrelating toIndirecttransferprovisions

Ease of doing Business

Amendment

Amendment

Amendment

Amendment

Amendment

Section 44AB (First Proviso) Inserted

211

Section92BAClause(i)omitted

Section44AA(2)clause (i) & (ii)

9

01/04/2017

01/04/2017

01/04/2017

01/04/2018

01/04/2012 (A.Y. 2012-13)(retrospectivebasis)

The audit limit for business entities opting for presumptive scheme u/s 44AB to be increased from Rs.1 crore to Rs.2 crore.

For professionals going for presumptive taxation u/s 44AD with receipts upto Rs. 50 Lakhs, there is now an option to pay advance tax installment in one go instead of earlier paying 4 installments

Domestic transfer pricing u/s 40(A)(2b) to be applied only if one of the two companies enjoys s p e c i f i e d p r o f i t - l i n k e d d e d u c t i o n .

Individuals and HUFs not required keeping books of accounts if their turnover is up to Rs.25 lakhs or income is upto Rs.2.5 lakhs.

Investment in Category 1 and 2 foreign portfolio investors registered with SEBI to be exempted from provisions of indirect transfer.

FIPB or the Foreign Investment Promotion Board has been done away with, leading to more emphasis on foreign direct investment (FDI) through the automatic route.

- - - - -

To conclude, this Budget seems to be a good one, which has addressed quite a few concerns of foreign investors and the Indian small and medium enterprise sector. The reduction of corporate tax rates and overall rationalisation seem to be good.

44

Share-based Payment

Overview and background

Earlier some employers use share-based payments as a part of remuneration package for their employees. Such payments generally take the forms of Employee Stock Option Plans (ESOPs), Employee Stock Purchase Plans (ESPPs) and stock appreciation rights.

But In today's modern business world entities are also issuing shares or share options to pay to third parties like suppliers for receiving or acquiring goods or services.

Prior to the converging with IFRS's there was no Accounting Standard covering the recognition and measurement of these types of transactions. In India there was only a Guidance Note issued by ICAI on “Accounting

for Employee Share-based Payments” issued in 2005. SEBI has issued related guidelines for Employee Stock Option Scheme and Employee Stock Purchase Scheme

The objective of Ind AS 102 Share-based Payment is to prescribes the recognition and measurement principles for all share-based payment transactions with employees and third parties.

The broad principle of this standard is that an entity recognises an asset or expense with the credit entry recognised either in equity or as a liability.Scope

This standard includes comprehensively three types of transactions:

Equity-settled share-based payment transactions

Eentity receives goods or services as consideration for its own equity instruments or those ofanother entity in the same group.

Eentity receives goods or services and incurs a liability totransfer cash or other assets to the supplier based on the value of the entity’s shares or other equity instruments of the entity or

another group entity

Either the entity or the supplier of the goods or services has a choice of settling the transaction in cash, other assets, or by issuing equity

instruments

Cash-settled share-based payment transactions

Share-based payment transactions with cash alternatives

pankaj.dutt.sharma@icai.org

CA. Pankaj Sharma

45

ŸInd AS 102 does not apply to following transactions Ÿ

Ÿ Share-based payment transactions to acquire goods as part of a business

ŸEquity-settled SBP transactions

ŸMeasurement principle

ŸFor equity-settled SBP transactions the basic measurement principle, is that an entity measures the fair value of goods obtained or services received, and recognises a corresponding increase in equity.

ŸBut, if an entity cannot reliably estimate the fair value of the goods obtained or services received, it must measure their value by reference to the fair value of the equity instruments granted.

ŸTo apply the above requirement:

combination to which Ind AS 103 Business Combinations applies.Ÿ Transactions within the scope of Ind AS 32 and Ind AS 109).

Ÿi. For transactions with employees, an entity must use the fair value of the equity instruments, measured at the grant date.

Ÿii. For transactions with non-employees, there is a rebuttable presumption that the fair value of the goods or services can be estimated reliably and fair value is measured when the goods or services are received or obtained. In a rare case, if entity rebuts this presumption it requires measure by reference to the fair value of equity instrument granted. Ÿ

Ÿiii. If there are no quoted market prices for share-based transaction awards, entities are required to estimate the grant date fair value using option-pricing models (Intrinsic value).

Timing Debit Entry Credit Entry

Goods Services Asset Expense Equity Liablity

Cash-Setled SBP

Goods or Services qualify as asset

Goods or Services does not qualify as

asset

Equity -Settled SBPWhen obtained When received

46

Black-Scholes-Merton and Binomial models as two acceptable methods.

ŸGrant Date

ŸGrant date is defined as the date on which the reporting entity and the employee have a shared understanding of the terms of the arrangement.

ŸVesting and Non – Vesting Conditions

ŸVesting Conditions

ŸA grant of equity instrument might be condit ional upon satisfying specif ied conditions. The point at which cost is recognised for goods or services depends upon vesting conditions. Vesting conditions are either:

Ÿi. Service conditions, which has the requirement to complete a specified period of service by the counterparty. or

Ÿii. Performance conditions, which has the requirement to complete a specified period of service by the counterparty (i.e., a service condition) and involves specified performance targets to be met while the counterparty is rendering the required service.

Ÿ Performance condition can be further classified as either a market condition or a non-market condition.

Ÿi. Market condition is a performance condition which is related with the market price (or value) of the equity instruments.

Ÿii. Non-Market condition is that condition which is based on the entity's operations or

activities rather market price of equity instruments.

ŸAn entity recognises the cost for goods and services received when all service and non-market vesting conditions are met.

ŸNon-vesting conditions

Ÿon-vesting condition is a condition that is neither a service condition nor a performance condition.

ŸVesting period

ŸVesting period is a period during which all the specified vesting conditions must be satisfied, which is not the same as the exercise period. Entities are required to recognise expense or equity over the vesting period using “modified grant date method”.

ŸCash-settled SBP transactions

ŸFor cash-settled SBP transactions, the general principle is that an entity measures the fair value of the goods or services received based on the fair value of the liability. Entities are is required to re-measures the fair value at each reporting date and on settlement. Allocate grant date measurement over vesting period (same approach as equity-settled).

ŸThe ultimate cost is the cash paid to the counterparty, which is the fair value at settlement date. Until the settlement, an entity presents the cash-settled SBP transactions as a liability and not as equity. Changes in the measurement of the liability are reflected in the statement of profit or loss.

ŸNon- Market vesting conditions must be taken

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into account in the measurement of the liability incurred by adjusting the number of awards that are expected to vest. Such an estimate must be revised when the liability is re-measured at each reporting date and until the vesting date.

ŸModif icat ions, cancel lat ions and settlements

ŸModification

ŸSometimes an entity may modify or cancels share-based payment plan. If an entity modifies the plan, it must recognise, at a minimum, the cost of the original option as if it had not been modified.

ŸIf such modifications decrease fair value of the equity instruments, recognition is based on the original grant date fair value i.e. such modifications are ignored.

ŸIf such modifications increase the fair value of the equity instruments, recognition is the sum of original grant date fair value and incremental fair value.

ŸCancellation and settlement

ŸCancellation or settlement during the vesting period is treated as an acceleration of vesting and the entity immediately recognises the remaining amount that it otherwise would have recognised for services over the remaining vesting period.

ŸWhen an entity pays compensation for a cancelled or settled award:

ŸAny compensation paid up to the fair value of

the award at cancellation or settlement date is treated as a deduction from equity.ŸAny compensation paid in excess of the fair value at cancellation or settlement date is treated as an expense in profit or loss.

ŸAny payment made to settle a liability is treated as an extinguishment of the liability.

ŸShare-based payment awards with a cash alternative

ŸThe accounting approach differs depending on whether the choice is with the counterparty or the entity.

Ÿi. If counterparty chooses settlement either in shares or cash, this standard treats it as a compound transaction. Compound transaction is split into two components as liability component and an equity component. Once split, the entity accounts for the two components separately.

Ÿii. If an entity chooses the settlement method, it can treat the whole transaction as either cash-settled or equity-settled and account for accordingly.

ŸConclusion

ŸAs entities are increasingly using the share-based payment method in acquiring or receiving goods or services, it becomes crucial to understand the adequate accounting and disclosure treatment. The accounting implications of share-based payment plan should be considered at the beginning when plan is being developed rather after the fact.

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NewsletterUSEFUL TO OUR PROFESSION

SHOULD BE PROVIDED IN FORMAT.PDF & WORD BOTH

SHOULD BE SEND AT shailendra.saxena@icai.in circ@icai.in or at

SHOULD BE OF MAXIMUM 2000-3000 WORDS

For

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Exposure Draft on Annual Improvements to IFRS® Standards 2015–2017 Cycle

ŸExposure Draft issued by the International Accounting Standards Board (the Board) on proposed amendments to three Standards for public consultation as part of its annual improvements process. The document contains proposed amendments to IAS 12 Income Taxes, IAS 23 Borrowing Costs and IAS 28 Investments in Associates and Joint Ventures.

The proposed amendments to IAS 12 clarify that an entity should account for all income tax consequences of dividends in the same way, regardless of how the tax arises.The IASB also proposes to amend IAS 23 to clarify which borrowing costs are eligible for capitalisation as part of the cost of an asset in particular circumstances.The proposed amendments to IAS 28 clarify that an entity should apply IFRS 9 Financial Instruments to long-term interests in an associate or joint venture to which it does not apply the equity method.

Invitation to comment

ASB invites comments on the Exposure Draft from the public. The downloadable version of the draft is available at:

How to comment

Comments should be submitted using one of the following methods, so as to be received not later than February 20, 2017: 1. Electronically:Click on the below mentioned option to submit a comment letter or visit at the following link (Preferred method):

2. Email:Comments can be sent to: 3. Postal:Secretary, Accounting Standards Board,

The Institute of Chartered Accountants of India,ICAI Bhawan, Post Box No. 7100,Indraprastha Marg,New Delhi 110 002

ŸFurther clarifications on this Exposure Draft may be sought by e-mail to

http://www.ifrs.org/Current-Projects/IASB-Projects/Annual-Improvements/Documents/ED-Annual-Improvements-2015-2017.pdf

http://www.icai.org/comments/asb/commentsasb@icai.in

asb@icai.i

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ŸNo. 13-CA (EXAM)/M/2017: In pursuance of Regulation 22 of the Chartered Accountants Regulations, 1988, the Council of the Institute of Chartered Accountants of India is pleased to announce that the Intermediate (IPC) and Final examinations will be held on the dates given below at the following places provided that sufficient number of candidates offer themselves to appear from each centre.Ÿ

Ÿ Similarly, Examinations in Post Qualification Course under Regulations 204, viz.: International Taxation Course - Assessment Test (which is open to the members of the Institute) will be held on the dates given below at the above places (centres in India only) provided that sufficient number of candidates offer themselves to appear from each of the above places.Ÿ

ŸINTERMEDIATE (IPC) EXAMINATION Ÿ

Ÿ [As per syllabus contained in the scheme notified by the Council under Regulation 28 E (3) of the Chartered Accountants Regulations, 1988]

Group-I: 3rd, 5th, 7th & 9th May 201

Group-II: 12th, 14th & 16th May 20177

(Afternoon Session: 2.00 PM to 5.00 PM) (IST)

FINAL EXAMINATION

[As per syllabus contained in the scheme notified by the Council under Regulation 31 (ii) of the Chartered Accountants Regulations, 1988.]

Group -I: 2nd, 4th, 6th & 8th May 2017

Group -II: 11th, 13th, 15th & 17th May 2017(Afternoon Session: 2.00 PM to 5.00 PM) (IST)

INTERNATIONAL TAXATION – ASSESSMENT TEST (INTT – AT) 11th & 13th May 2017(Afternoon Session: 2.00 PM to 5.00 PM) (IST)

IMPORTANT ANNOUNCEMENT

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ŸThe Council reserves the right to withdraw any centre at any stage without assigning any reason. Ÿ

ŸApplications for admission to Intermediate (IPC) and Final examinations are required to apply online at from 6th February, 2017 to 27th February, 2017 and remit the examination fee online by using either VISA or MASTER Credit / Debit Card. They shall however, be required to remit additional ` 600/- towards late fee (for Domestic & Kathmandu centres) and US$ 10 (for Overseas centres) in case the application online is made after 27th February, 2017 and upto 6th March, 2017. Please note that sale & submission of OMR examination application form has been discontinued w.e.f. May 2017 examinations onwards.Ÿ

ŸWhereas the Examination application form for International Taxation – Assessment Test is to be filled up in the paper based form only and is priced at ` 100/- per application form. The form shall also be made available in the Regional and Branch Offices of the Institute and can be obtained there from on cash payment on or from 6th February, 2017. Payment of fees for the International Taxation – Assessment Test should be made by Demand Draft only. The Demand Draft may be of any Scheduled Bank and should be drawn in favour of The Secretary, The Institute of Chartered Accountants of India, payable at New Delhi only. Application together with the prescribed fee by Demand Draft of any Scheduled Bank may be sent so as to reach the Deputy Secretary (Examinations) at New Delhi not later than 27th February, 2017. However, application form duly completed for the Post Qualification Course Examination i.e. International Taxation – Assessment Test (INTT – AT), after the due date i.e. 27th February, 2017 and upto 6th March, 2017 with late fee of ` 600/- will be received only at the New Delhi office of the Institute.

OPTION TO ANSWER PAPERS IN HINDI:

Candidates of Intermediate (IPC) and Final Examinations will be allowed to opt for Hindi medium for answering papers. Detailed information will be found printed in the Guidance Notes, available on the abovementioned website. However the medium of Examination will be only English in respect of Post Qualification Course viz.: International Taxation – Assessment Test.

(B. MURALIDHARAN)

DEPUTY SECRETARY (EXAMINATIONS)

http://icaiexam.icai.org

IMPORTANT ANNOUNCEMENT

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IMPORTANT ANNOUNCEMENT

54

IMPORTANT ANNOUNCEMENT ŸAnnouncement

ŸUndergoing of Orientation Course (15 days) in lieu of GMCS-I Course by the students registered for articleship training on or after 1st May, 2012 uptill 31st December, 2014.

ŸIt has been decided by the Council that the students who were registered for practical training on or after 1st May, 2012 uptill 31st December, 2014 after completing Orientation Programme (35 hours) but not completed the GMCS-I course, shall be required to undergo new Orientation Course (15 days) w.e.f. 1st January, 2017 in lieu of GMCS-I.

ŸThe above students are advised to register at the online portal www.icaionlineregistration.org or contact the nearest POU (Programme Organising Unit) for registration in Orientation Course and complete the same at the earliest.

ŸDirector, Board of Studies

Look, A Gift from the Shareholders....

... Some RED CANDLESAnd a Clock!

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PHOTO GALLERY

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L-R: CA. Abhay Kumar Yadav, CA. Abhay Kumar Chhajed- Chairman CIRC, CA. M. B. Gabhawala, CA. Jai Pradhwani, CA . Ambrish Raj, CA Ved Jain during All India Conference held at Varanasi

on 28th & 29th January 2017.

Presentation of bouquet to CA. Manu Agrawal- Council Member on 28th & 29th January 2017.

during All India Conference held at Varanasi

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L-R: CA. Abhay Kumar Chhajed- Chairman CIRC, CA. Nitesh Gupta - Secretary CIRC & CA. Deep Kumar Misra- Treasurer CIRC. Attending All India Conference held at Varanasi on

28th & 29th January 2017.

A group view of the 28th & 29th January 2017. In the photo on right CA. Gyan Chandra Misra- RCM.

All India Conference held at Varanasi on

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L-R: CA. Rajesh Singi -Chairman Ujjain Branch, CA Pankaj Shah (Indore) during the occasion of CPE Seminar organised by Ujjain branch.

CA. Abhay Kumar Chhajed -Chairman CIRC,

L-R: CA Chandresh Jain -Executive Member Ujjain branch, CA. Rajesh Singi -Chairman Ujjain Branch, CA. Abhay Kumar Chhajed -Chairman CIRC, CA Pankaj Shah (Indore) during the occasion of

CPE Seminar organised by Ujjain branch.

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CA. Abhay Kumar Chhajed -Chairman CIRC addressing Ujjain Branch Members during the occasion of CPE Seminar organised by Ujjain branch.

CA. Abhay Kumar Chhajed -Chairman CIRC with Ujjain Branch Members during the occasion of CPE Seminar organised by Ujjain branch.

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Lighting the lamp during the CA Students National Conference held at Agra.On the right CA. Amarjeet Singh Chopra- Past President ICAI.

Presentation of memento to CA. Nitesh Gupta- Secretary-CIRC, CA. P. K. Boob- Vice Chairman CIRC & CA. Deep Kumar Misra- Treasurer CIRC during CA Students National Conference held at Agra.

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CA. Dhiraj Khandelwal- Vice Chairman BOS, CCM- CA. Kemsiha Soni & RCM- CA. Churchill Jain along with Executive members of Bhilai branch during the National Conclave held at Bhilai branch

Members of Bhialai Bhilai branch during the National Conclave held at Bhilai.

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Presentation of Trophy during the Sports weak organised by Gwailor branch of CIRC.

A group view of particpantsduring the Sports weak organised by Gwailor branch of CIRC.

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Executive members of Chittorgarh Branch of CIRC during State Level Summit hosted by ChittorgarhBranch of CIRC on 17/12/2016 on th topics: Complete Over View of GST- Penalty, Prosecution &

Notifiation under I.T Act, Input Tax Credits under GST & Assesment & Appeal uner I.T. Act.

A group view of members of during State Level Summit hosted by Chittorgarh Branch of CIRC on 17/12/2016 on th topics: Complete Over View of GST- Penalty, Prosecution & Notifiation under

I.T Act, Input Tax Credits under GST & Assesment & Appeal uner I.T. Act.

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CA. Manu Agrawal - Council Member Convocation 2016-17 held at Kanpur on 31.01.2017. Sitting on the dias

CA. Deep Kumar Misra- Treasurer CIRC

addressing Newly qualified Chartered Accountants during the

CA. Manu Agrawal - Council Member lighting the lamp Convocation 2016-17 held at Kanpur on 31.01.2017. On the left

CA. Deep Kumar Misra- Treasurer CIRC

during the

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CA. Deep Kumar Misra addressing Newly qualified Chartered Accountants during the Convocation 2016-17 held at Kanpur on 31.01.2017. Sitting on the dias

CA. Manu Agrawal - Council Member

- Treasurer CIRC

President and Vice- President addressing Newly qualified Chartered Accountants through tele-conference during the Convocation 2016-17 held at Kanpur on 31.01.2017.

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A group view of the Convocation 2016-17 held at Kanpur on 31.01.2017

Newly qualified Chartered Accountants rejoicing during the Convocation 2016-17 held at Kanpur on 31.01.2017. CA. Manu Agrawal - Council Member (4th from left) accompanied

the participants

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1. CA. Abhay Kumar Chhajed Editor-in- Chief

2. CA. Pramod Kumar Boob Editor

3. CA. Mukesh Bansal Member

4. CA. Nitesh Gupta Member

5. CA. Rohit Ruwatia Agarwal Member

6. CA. Nilesh Gupta Member

7. CA. Manu Agrawal Council Member

8. CA. Anil Kumar Saxena Co-opted Member

9. CA. Amit Jain Co-opted Member

10. CA. Sanjay Jain Singhai Co-opted Member

1. CA. Abhay Kumar Chhajed Chairman

2. CA. Pramod Kumar Boob Vice- Chairman

4. CA. Deep Kumar Misra Treasurer

3. CA. Nitesh Gupta Secretary

6. CA. Rohit Ruwatia Agarwal Regional Council Member

5. CA. Nilesh Gupta Chairman CICASA

7. CA. Mukesh Bansal Regional Council Member

8. CA. Churchill Jain Regional Council Member

9. CA. Gyan Chandra Misra Regional Council Member

10. CA. Gautam Sharma Regional Council Member

Disclaimer :

Address :PhonesEPABX

The views and opinions expressed or implied in this e-Newsetter are those of the authors and do not necessarily reflect those of CIRC of ICAI

CIRC of ICAI, ICAI BHAWAN, 16/77 B, Civil Lines, Kanpur-208001: (0512) 3011151*3011153*3011182: (0512) 3989398. Fax: (0512) 3011193*

Editorial Board

Central India Regional Council of ICAI

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