No new addition of services in the exempt list; those currently exempt to remain so under GST
Source: GST rate: Most services to be taxed at 18%, say govt sources
Author: Karthik & Sunil
GST Rates finalised by GST Council
GST council in the meeting on 18th May, 2017 decided rates for commodities under GST regime, which is proposed to roll out from 01st July, 2017. Of the 1,211 items, seven per cent are on the exempt list, 14 per cent will be taxed at five per cent, 17 per cent will be taxed at 12 per cent, 19 per cent will be taxed at 28 per cent and the others at 18 per cent.
Highlights are as follows:
- Cereals, food grain, milk and jaggery will be wholly exempt
- 5% tax on coal
- Sugar, tea, coffee, edible oil, life saving drugs @ 5%
- Automobile might get costlier with 28% GST plus cess
- Rate structure of textiles, jewellery, biscuits, foot wear, biris, agricultural implements not decided.
To see the GST rates and proposed cess rates, please click the link below:
https://drive.google.com/open?id=0BwfaVqFwg9yDZUJDd1d0cWw5SXc
Source: Business Standard and Business Line
Service Charges on ATM Withdrawals & Others – Revised circular issued by SBI
SBI issued a revised circular on the revision of service charges w.e.f. 01-06-2017. The charges for ATM withdrawals is restricted to State Bank Buddy Wallet Customers. The free ATM withdrawal for the customers will continue.
To see the circular, please click the link below:
ATM withdrawals for SBI Customers to cost more…SBI to revise Service charges from 01-06-2017
State Bank of India, issued revised rate of Services Charges for IMPS, ATM withdrawals, Cash deposits over bank counter etc effective from 01st June, 2017. The free ATM withdrawals will not be available from next month except for Basic Savings Bank Account, which have four free withdrawals including ATM in a month.
Service charges will be applicable for exchange of spoiled/imperfect notes, cheque books, ATM cards other than Rupay Classic Cards
To see the circular in SBI website, click the link below:
Know your due dates for Statutory Compliance – May 2017
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May-17 |
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| DATE | COMPLIANCE REQUIRED | FORM NO. / CHALLAN NO. |
| 07/05/2017 | INCOME TAX : TDS/TCS REMITTANCE FOR APRIL 2017 | 281 |
| 6/5/2017 | EXCISE: E-PAYMENT OF EXCISE DUTY FOR APRIL 2017 BY CORPORATES | GAR 7 |
| SERVICE TAX: E-PAYMENT OF SERVICE TAX FOR APRIL 2017 BY CORPORATES | ||
| 10/5/2017 | EXCISE: MONTHLY RETURNS FOR PRODUCTION AND REMOVAL OF GOODS AND CENVAT CREDIT FOR APRIL 2017 | ER 1 |
| EXCISE: MONTHLY RETURNS OF EXCISABLE GOODS MANUFACTURED & RECEIPT OF INPUTS & CAPITAL GOODS BY UNITS IN EOU, STP, HTP FOR APRIL 2017 | ER 2 | |
| EXCISE: MONTHLY RETURNS OF INFORMATIONS RELATING TO PRINCIPAL INPUTS FOR APRIL 2017 BY MANUFACTURER OF SPECIFIED GOODS WHO PAID DUTY>=RS. 1 CRORE DURING FY 2016-17 BY PLA/CENVAT/BOTH | ER 6 | |
| 15/5/17 | INCOME TAX: QUARTERLY STATEMENT OF TCS FOR THE QUARTER ENDING 31ST MARCH, 2017 | 281 |
| INCOME TAX : DUE DATE FOR ISSUE OF TDS CERTIFICATE FOR TAX DEDUCTED UNDER SECTION 194-IA IN THE MONTH OF APRIL 2017 | 26QB | |
| INCOME TAX: DUE DATE FOR FURNISHING OF STATEMENT BY AN OFFICE OF THE GOVERNMENT WHERE TDS FOR THE MONTH OF APRIL 2017 HAS BEEN PAID WITHOUT PRODUCTION OF A CHALLAN | 24G | |
| KERALA VAT: MONTHLY RETURNS OF EVERY DEALER WHOSE ANNUAL NET TAX PAYABLE FOR THE PRECEDING YEAR WAS RS.10 LAKHS & ABOVE FOR THE MONTH OF APRIL 2017 | 10, 10B, 10C, 10D, 10E, 10F | |
| EPF: PAYMENT OF EPF CONTRIBUTION FOR APRIL 2017 | 27EQ | |
| EPF: CONSOLIDATED STATEMENTS OF DUES AND REMITTANCES UNDER EPF AND EDLI FOR APRIL 2017 | 12A | |
| EPF: MONTHLY RETURNS OF EMPLOYEES WHO JOINED/LEFT THE ORGANISATION IN APRIL 2017 | 5/10 | |
| 20/5/17 | KERALA VAT: MONTHLY RETURNS OF EVERY DEALER WHOSE ANNUAL NET TAX PAYABLE FOR THE PRECEDING YEAR WAS MORE THAT RS.2 LAKHS AND LESS THAN RS.10 LAKHS FOR THE MONTH OF APRIL 2017 | 10, 10B, 10C, 10D, 10E, 10F |
| CST/TN VAT: MONTHLY RETURNS AND PAYMENT OF CST AND VAT COLLECTED DURING APRIL 2017 IF THE MODE OF PAYMENT OF VAT AND CST IS BY CASH/CHEQUE/DD | FORM 1 / FORM I | |
| 21/5/17 | ESI: DEPOSIT OF ESI CONTRIBUTIONS AND COLLECTIONS FOR APRIL 2017 | |
| 25/5/17 | KERALA VAT: MONTHLY RETURN OF EVERY DEALER WHOSE ANNUAL NET TAX PAYABLE FOR THE PRECEDING YEAR WAS LESS THAN RS.2 LAKHS FOR THE MONTH OF APRIL 2017 | 10, 10B, 10C, 10D, 10E, 10F |
| 30/5/17 | INCOME TAX: QUARTERLY TCS CERTIFICATES IN RESPECT OF TAX COLLECTED AT SOURCE DURING THE QUARTER ENDED 31ST MARCH 2017 | 20B |
| INCOME TAX: DUE DATE FOR FURNISHING OF CHALLAN-CUM-STATEMENT IN RESPECT OF TAX DEDUCTED UNDER SECTION 194-IA IN THE MONTH OF APRIL 2017 | 26QB | |
| INCOME TAX: SUBMISSION OF A STATEMENT BY NON-RESIDENT HAVING LIAISON OFFICE IN INDIA FOR THE FINANCIAL YEAR 2016-17 | 49C | |
| 31/5/17 | INCOME TAX: QUARTERLY STATEMENT OF TDS/TCS DEPOSITED FOR THE QUARTER ENDING MARCH 31, 2017 | 24Q/26Q |
| INCOME TAX: CERTIFICATE OF TAX DEDUCTED AT SOURCE TO EMPLOYEES IN RESPECT OF SALARY PAID AND TAX DEDUCTED DURING 2016-17 | 16 | |
| INCOME TAX: RETURN OF TAX DEDUCTION FROM CONTRIBUTIONS PAID BY THE TRUSTEES OF AN APPROVED SUPERANNUATION | ||
| INCOME TAX: DUE DATE FOR FURNISHING OF STATEMENT OF FINANCIAL TRANSACTIO AS REQUIRED T BE FURNISHED UNDER SUB-SECTION (1) OF SECTION 285BA OF THE ACT IN RESPECT OF FINANCIAL YEAR 2016-17 | 61A | |
| INCOME TAX: DUE DATE FOR E-FILING OF ANNUAL STATEMENT OF REPORTABLE ACCOUNTS AS REQUIRED TO BE FURNISHED UNDER SECTION 285BA(1)(k) FOR CALENDER YEAR 2016 BY REPORTING FINANCIAL INSTITUTIONS | 61B | |
Service tax return due date extended..
CBEC extended the due date for filing Service Tax Return ( ST – 3) for the period Oct-16 to Mar-17 from 25-04-2017 to 30-04-2017.
The assesses will be able to file for the second half of financial year 2016-17 without filing late fee till 30th April, 2017.
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KNOW YOUR DUE DATES |
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Apr-17 |
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| DATE | COMPLIANCE REQUIRED | FORM NO. / CHALLAN NO. |
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07-04-17 |
SECURITIES TRANSACTION: PAYMENT OF SECURITIES TRANSACTION TAX FOR MARCH 2017 |
STT |
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10-04-17 |
EXCISE: MONTHLY RETURNS FOR PRODUCTION AND REMOVAL OF GOODS AND CENVAT CREDIT FOR MARCH 2017 |
ER 1 |
| EXCISE: MONTHLY RETURNS OF EXCISABLE GOODS MANUFACTURED & RECEIPT OF INPUTS & CAPITAL GOODS BY UNITS IN EOU, STP, HTP FOR MARCH 2017 |
ER 2 |
|
| EXCISE: EXCISE RETURNS FOR SSI FOR QUARTER ENDING 31ST MARCH 2017 |
ER 3 |
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| EXCISE: MONTHLY RETURNS OF INFORMATIONS RELATING TO PRINCIPAL INPUTS FOR MARCH 2017 BY MANUFACTURER OF SPECIFIED GOODS WHO PAID DUTY>=RS. 1 CRORE DURING FY 2016-17 BY PLA/CENVAT/BOTH |
ER 6 |
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| EXCISE: MANUFACTURERS OF PRODUCTS OF COAL, ARTICLES OF JEWELLERY, SILVER JEWELLERY FOR MARCH 2017 |
ER 8 |
|
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14-04-17 |
INCOME TAX: DUE DATE OF ISSUE OF TDS CERTIFICATE FOR TAX DEDUCTED U/S. 194-IA IN THE MONTH OF FEBRUARY 2017 |
26QB |
| TN VAT/CST: REMITTANCE OF VAT/CST – E-REMITTANCE AND RETURN FILING. TURN OVER > 200 CRORES IN PREVIOUS YEAR 2016 – 2017 |
FORM 1 / FORM I |
|
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15-04-17 |
KERALA VAT: MONTHLY RETURNS OF EVERY DEALER WHOSE ANNUAL NET TAX PAYABLE FOR THE PRECEDING YEAR WAS RS.10 LAKHS & ABOVE FOR THE MONTH OF FEBRUARY 2017 | 10, 10B, 10C, 10D, 10E, 10F |
| PROFESSIONAL TAX (TN): REMITTANCE OF PROFESSIONAL TAX FOR THE HALF YEAR ENDING 31ST MARCH, 2017 |
1 |
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| EPF: PAYMENT OF EPF CONTRIBUTION FOR MARCH 2017 |
27EQ |
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| EPF: CONSOLIDATED STATEMENTS OF DUES AND REMITTANCES UNDER EPF AND EDLI FOR MARCH 2017 |
12A |
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| EPF: MONTHLY RETURNS OF EMPLOYEES WHO JOINED/LEFT THE ORGANISATION IN MARCH 2017 |
5/10 |
|
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20-04-17 |
KERALA VAT: MONTHLY RETURNS OF EVERY DEALER WHOSE ANNUAL NET TAX PAYABLE FOR THE PRECEDING YEAR WAS MORE THAT RS.2 LAKHS AND LESS THAN RS.10 LAKHS FOR THE MONTH OF MARCH 2017 | 10, 10B, 10C, 10D, 10E, 10F |
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21-04-17 |
ESI: DEPOSIT OF ESI CONTRIBUTIONS AND COLLECTIONS FOR MARCH 2017 | |
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22-04-17 |
TN VAT/CST: REMITTANCE OF VAT/CST – E-REMITTANCE AND RETURN FILING. TURN OVER < 200 CRORES IN PREVIOUS YEAR 2016 – 2017 |
FORM 1 / FORM I |
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25-04-17 |
SERVICE TAX: HALF YEARLY RETURN FOR THE HALF YEAR OCTOBER 2017 TO MARCH 2017 |
ST-3 |
| KERALA VAT: MONTHLY RETURN OF EVERY DEALER WHOSE ANNUAL NET TAX PAYABLE FOR THE PRECEDING YEAR WAS LESS THAN RS.2 LAKHS FOR THE MONTH OF MARCH 2017 | 10, 10B, 10C, 10D, 10E, 10F | |
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30-04-17 |
EXCISE: ANNUAL INSTALLED CAPACITY STATEMENT |
ER 7 |
| INCOME TAX : TDS/TCS REMITTANCE FOR MARCH 2017 |
281 |
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| INCOME TAX: TDS REMITTANCE – ON SALE OF IMMOVABLE PROPERTY FOR MARCH 2017 |
26QB |
|
| INCOME TAX: E-RETURN OF DECLARATION RECEIVED IN FORM 60 TO DIT/JDIT BETWEEN 1ST OCTOBER 2016 TO 31ST MARCH 2017 |
61 |
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Income Tax: Changes w.e.f. 01-04-2017
The details of major changes that will take effect from 01st April, 2017 is given below:
- Limit for payment of Expenses:
Limit for payment of expenses (both capital and revenue) reduced from Rs.20000 to Rs.10000 per day in aggregate per person. Capital expenses paid in cash beyond the said limit will not be taken into account for depreciation purposes. However, the cash payment limit for lorry fright etc. remains the same at Rs.35000.
2. Penalty for receiving amount of Rs. 2 Lakhs or more
No person shall receive an amount of two lakh rupees or more, by cash (Sec. 269ST)
- in aggregate from a person in a day; or
- in respect of a single transaction; or
- in respect of transactions relating to one event or occasion
The penalty for violation of above is to be a sum equal to the amount of such receipt. The existing provisions (in vogue from 1.6.2016) relating to collection of TCS @ 1% on cash sales exceeding Rs.2 lakhs (Rs.5 lakhs, in the case of jewellery) are deleted. Consequently, there is no need to collect TCS on cash sales exceeding Rs.2 lakhs. Straight away it will attract equal amount penalty now.
3. Net profit for presumptive taxation cases (below Rs.2 crores turnover cases)
👉 For Non Cash Sales (through Digital, Online, cheque, Bank etc.) : Net Profit will be taken as 6% of Turnover/Gross Receipt.
👉 For Cash Sales : Net Profit will be taken as 8% of Turnover/Gross Receipt.
4. Change in tax rate, surcharge for individuals
Tax Exemption limit is Rs.2,50,000/- (same as earlier) –
👉 After that, upto Rs.5 lakh, Tax Rate is 5% (earlier it was 10%). Tax rebate of maximum Rs.2500 will be allowed, for total income upto Rs.3.50 lakhs(earlier it was Rs.2000 for total income upto Rs.5 Lakhs).
👉 Individuals having total income exceeding Rs.50 lakhs but below Rs.1 crore, are to pay surcharge @ 10% of the tax. Those having total income exceeding Rs. 1 crore shall continue to pay surcharge @ 15%.
5. Corporate Tax
Corporate tax rate for the account year 2017-18 for companies with annual turnover up to Rs. 50 crores (in the account year 2015-16) is reduced to 25%. No change in firm tax rate of 30%.
6. Capital Gain in respect of Land & Buildings
- Periodicity for long term Capital Gain is reduced from 3 years to 2 years.
- Base year shifted from 01.04.1981 to 01.04.2001 for all assets including Immovable property.
7. TDS on rent by individual who are not subject to tax audit requirements
Payment of rent by Individual or HUF is Rs.50,000 or above in a month, then TDS will be applicable @ 5%. The tax shall be deducted on such income at the time of credit of rent, for the last month of the previous year or the last month of tenancy if the property is vacated during the year, as the case may be, to the account of the payee or at the time of payment thereof in cash or by issue of a cheque or draft or by any other mode, whichever is earlier
8. Sec. 80G Eligible Donations
Donations made exceeding Rs.2000 will be not be eligible for deduction under section 80G, unless these are made using modes other than cash. Consequently, trusts accepting 80G donations may advise their donors to give donations exceeding Rs.2000 vide cheque / RTGS / digital modes.
9. Sale of unquoted shares
If the 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”.
10. Fee for Delayed filing of Return of Income
From financial year 2017-18, if Return is not filed within due date, late fee of Rs.5000 for delay up to 31st December, and Rs. 10000 thereafter.
11. Quoting Aadhar Number in Return of Income
Every person who is eligible to obtain AADHAR number, should quote such number, on or after 1 July 2017, in the Return of income. Furthermore, every person who has been allotted PAN as on 1st July 2017 must intimate the AADHAR number to the Tax Authority, failing which, PAN allotted to such person shall be deemed to be invalid. Please take necessary steps to make changes in Aadhar if your name is not exactly matching with the details in PAN.
12. Modification in object clause in 12AA registered Trust
Where a trust or an institution has been granted registration under section 12AA or has obtained registration at any time under section 12A [as it stood before its amendment by the Finance (No. 2) Act, 1996] and, subsequently, it has adopted or undertaken modifications of the objects which do not conform to the conditions of registration, it shall be required to obtain fresh registration by making an application within a period of thirty days from the date of such adoption or modifications of the objects in the prescribed form and manner.
CBDT Notifies new Income Tax Return forms for AY 2017-18
CBDT notified Income Tax Return forms for Assessment year 2017-18.
The major reform made in the notified forms is the designig of one page ITR From -1 (Sahaj), which can be filed by an individual having income upto Rs.50 Lakhs and who is receiving Income from Salary, One house property/Other income (interest etc).
The number of ITR forms have been reduced from the existing nine to seven forms. The existing ITR Forms ITR-2, ITR-2A and ITR-3 have been rationalized and a single ITR-2 has been notified in place of the three forms. Consequently, ITR-4 and ITR-4S(Sugam) have been renumbered as ITR-3 & ITR-4 (Sugam) respectively.
There is no change in the manner of filing of ITR forms as compared to last year.
To see the press release and the new ITR Form -1, click the link below:
https://drive.google.com/open?id=0BwfaVqFwg9yDbG1LNTc5aUNEMFk
GST – Migration: Date extended till 30th April, 2017
The GST Network, which provided IT infrastructure and services for implementation of GST extended the time limit for migration from VAT/Central Excise/Service Tax from 31-03-2017 to 30-04-2017.
According to the sources, only 73% of the business have registered and to enable others to enroll, the date has been extended till 30th April, 2017.
Karthik & Sunil 