CA. Praveen Sharma GST Mitra

  The Central Board of Indirect Taxes & Customs (CBIC) has issued a standard operating procedure for the scrutiny of GST returns for financial years 2017-18 and 2018-19, the first two years of the roll-out of the new taxation regime. "Till the time a module for online scrutiny of returns is made available on the CBIC-GST application, as an interim measure, the following Standard Operating Procedure (SOP) is being issued by the board in order to ensure uniformity in selection/ identification of returns for scrutiny, methodology of scrutiny of such returns and other related procedures," the CBIC said. It said that selection of returns for scrutiny is to be based on specific risk parameters. The Directorate General of Analytics and Risk Management (DGARM) has been assigned the task to select the GSTINs registered with central tax authorities, whose returns are to be scrutinised, and to communicate the same to the field officers from time to time. The guidelines aim to ensure...

  The Excise and Taxation Department today conducted a raid at a business house near here and seized transaction records. Sources said the department initiated the action after getting inputs on GST evasion by the firm that deals in steel, iron hardware and other items. The department officials also investigated data in the computers of the company. Rakesh Bhartiya, Joint Commissioner of the Excise and Taxation Department, said the records of the company were seized and would be examined tomorrow. The owner of the company had been asked to report at the department office at Una tomorrow, he added.— Source: https://www.tribuneindia.com/news/himachal/excise-dept-raids-firm-over-gst-evasion-seizes-records-380187 Download our App to get knowledge updates: https://play.google.com/store/apps/details?id=com.app.gstmitra Join Our Telegram Channel for more updates : https://t.me /praveengst :

  As the ongoing financial year 2021-22 draws to a close, there has been a lot of chatter pertaining to crypto-tax in India. The central government in Union Budget 2022 proposed the introduction of a specific tax regime for virtual digital assets. Finance Minister Nirmala Sitharam in the Union Budget announced the details of the taxation of virtual digital assets, stating that the magnitude and frequency of transactions in virtual digital assets have increased phenomenally. The government has proposed any income from the transfer of any virtual digital asset be taxed and a provision has been made for Tax Deducted at Source (TDS) on payment made in relation to the transfer of a virtual digital asset in order to capture the transaction details. INCOME TAX ON DIGITAL ASSETS FM Sitharama proposed that "any income from the transfer of any virtual digital asset shall be taxed at the rate of 30 per cent." Basically, this means you have to pay a tax of 30 per cent on any income fro...

  In the Union Budget 2020-21, the government announced a new tax regime with more slabs with lower tax rates. The new tax regime, however, took away the benefits of major exemptions and deductions that were available to taxpayers in the old regime. Exemptions mean the taxpayer is free from the tax burden on income from certain sources or categories, for example – income from agriculture is exempt under the I-T rules. On the other hand, deductions imply that certain investments and expenditures are kept aside while calculating tax liability of a taxpayer. For example, insurance premium, tuition fees, provident fund investments, etc allow taxpayer benefits of deductions under various sections of the Income Tax Act. Tax savings and return in mind? Here are the 10 best ELSS schemes! But these exemption and deduction benefits are applicable to those who opt for the old taxation regime, Under the new regime, a taxpayer has to forgo all these benefits in lieu of lower tax spread across m...

  The government has stated that infrastructure costs incurred in the mining of cryptocurrencies or any virtual digital assets will not be allowed as deductions under the Income Tax Act. In the Budget 2022, the government proposed to levy income tax on crypto assets . It was proposed that from April 1, a 30 per cent I-T plus cess and surcharges would be levied on such transactions in the same manner as it treats winnings from horse races or other speculative transactions. TAX ON CRYPTO MINING In a written reply to the Lok Sabha, Minister of State for Finance Pankaj Chaudhary said the government would come out with a definition of Virtual Digital Assets (VDA) with a view to levy 30 per cent tax on income from the transfer of such assets. Also, loss from the transfer of VDA will not be allowed to be set off against the income arising from the transfer of another VDA, Chaudhary said. He also said that currently, cryptocurrencies are unregulated in India. The minister said that while c...

  The income tax department on Wednesday morning conducted searches at multiple premises linked to the top officials of Hero Motocorp, including that of promoter Pawan Munjal, news agency ANI reported, citing sources. Reports said searches at the residence and office in Gurugram started on Wednesday morning. Premises linked to other top officials of the two-wheeler company are also being searched. According to news agency PTI, the income tax department is investigating tax evasion allegations against Hero Motocorp. A team of officials of the department are looking at financial documents and other business transactions of the company and the promoters. The raids come following the income tax department's recent searches at 45 premises across Delhi-NCR, Chandigarh, Ludhiana, Lucknow, and Indore of a leading real estate firm in North India which led to the seizure of unaccounted cash of more than ₹25 crore and jewellery worth ₹5 crore. Hero Motocorp has a presence in 40 countries in A...

  Taxing insurance premiums at 18 per cent at a time when insurance penetration in the country is merely 4.2 per cent is, perhaps, not the best way forward. Instead, the goods and service tax (GST) on life, health, and term premiums should either be reduced to 5 per cent or a “nil” rate so as to cover the maximum population of the country, SBI research said in its report on Tuesday. In India the insurance penetration is low; the introduction of tax in the realm of insurance may not represent the best step forward. After Covid19 pandemic's effect on the economy, it seems this is the right time to reduce the GST rate to 5 per cent or “Nil” rate on Life/Health/Term insurance to cover the maximum population of India,” the research note said. Twenty years after India’s insurance sector was opened up, unshackling the control of state-owned companies, as many as 50 private players have set up shop. But India’s insurance penetration needle has moved little. The overall insurance penetrat...