Income-tax (Seventh Amendment) Rules, 2009 - Insertion of rule 37BB
Notification No. 30/2009 [F. No. 142/19/2007-TPL]/S.O. 857(E), dated 25-3-2009
In exercise of the powers conferred by section 295 read with sub-section (6) of section 195 of the Income-tax Act, 1961, the Central Board of Direct Taxes hereby makes the following rules further to amend the Income-tax Rules, 1962, namely:-
1. (1) These rules may be called the Income-tax (Seventh Amendment) Rules, 2009.
(2) They shall come into force with effect from 1st July, 2009.
2. In the Income-tax Rules, 1962, after rule 37BA, the following rule shall be inserted, namely:—
"Furnishing of information under sub-section (6) of section 195.
37BB. (1) The information under sub-section (6) of section 195 shall be furnished by the person responsible for making the payment to a non-resident, not being a company, or to a foreign company, after obtaining a certificate from an accountant as defined in the Explanation to section 288 of the Income-tax Act, 1961.
(2) The information to be furnished under sub-section (6) of section 195 shall be in Form No. 15CA and shall be verified in the manner indicated therein and the certificate from an accountant referred to in sub-rule (1) shall be obtained in Form No. 15CB.
(3) The information in Form No. 15CA shall be furnished electronically to the website designated by the Income-tax Department and thereafter signed printout of the said form shall be submitted prior to remitting the payment.
(4) The Director-General of Income-tax (Systems) shall specify the procedures, formats and standards for ensuring secure capture, transmission of data and shall also be responsible for the day-to-day administration in relation to furnishing the information in the manner specified."
FORM NO. 15CA
(See rule 37BB)
Information to be furnished under sub-section (6) of Section 195 of the Income-tax Act, 1961 relating to remittance of payments to a non-resident or to a foreign company
Ack. No -
Part A
GENERAL
INFORMATION : REMITTER
Name of Remitter (Person responsible
For making payment u/s 195 of IT Act, 1961)
PAN of Remitter
Flat/Door/Block No.
Name of Premises/Building/Village
TAN of Remitter
Road/Street/Post Office
Area/Locality
Status-
Write 1 if company, Write 2 if firm, and write 3 if others
In case of company-If domestic, write ‘1’ and if other than domestic, write ‘2’
Town/City/District
State
Pin code
Principal Place of Business
Email Address
(STD code)-Phone Number
( )
Area Code
AO Type
Range Code
AO No
INFORMATION : RECIPIENT OF REMITTANCE
Name of recipient of Remittance
PAN of recipient of Remittance
Complete Address:
Country to which remittance is made :
Status-
Write 1 if company, write 2 if firm, and write 3 if others
Principal Place of Business
In case of company- If domestic, write ‘1’ and if other than domestic, write ‘2’
Email Address
(ISD code)-Phone Number
( )
INFORMATION : ACCOUNTANT
(a)
Name of the Accountant* signing the certificate
(b)
Name of the proprietorship/ firm of the Accountant
(c)
Address
(d)
Registration no. of the Accountant
(e)
Date of Certificate : (DD/MM/YYYY)
**Certificate No :
* Accountant (other than an employee) shall have the same meaning as defined in the Explanation to Section 288 of Income-tax Act, 1961.
** Please fill the serial number as mentioned in the certificate of the accountant.
For Office Use Only
For Office Use Only
Receipt No.
Date
Seal and Signature of receiving official
Part B
PARTICULARS OF REMITTANCE AND TDS (as per certificate of the Accountant)
PARTICULARS OF REMITTANCE AND TDS
1.
Country to which remittance is made
Country:
Currency:
2.
Amount of remittance
In foreign currency
In Indian Rs.
3.
Name of the bank
Branch of the bank
4.
BSR Code of the bank branch (7 digit)
5.
Proposed date of remittance
(DD/MM/YYYY)
6.
Amount of TDS
In foreign currency
In Indian Rs.
7.
Rate of TDS
As per Income-tax Act (%)
As per DTAA (%)
8.
Actual amount of remittance after TDS
In foreign currency
In Indian Rs.
9.
Date of deduction of tax at source
(DD/MM/YYYY)
10.
Nature of remittance as per agreement/ document
11.
In case the remittance is net of taxes, whether tax payable has been grossed up?
(Tick) Ö Yes No
12.
If the remittance is for royalties, fee for technical services, interest, dividend, etc., please indicate:-
(Tick) Ö Yes No
(a) The clause of the relevant DTAA under which the remittance is covered along with reasons
Clause of DTAA
(b) Rate of TDS required to be deducted in terms of such clause of the applicable DTAA
As per DTAA (%)
(c) In case TDS is made at a lower rate than the rate prescribed under DTAA, reasons thereof
13.
In case remittance is for supply of articles or things (e.g. plant, machinery, equipment etc.), please indicate,
(Tick) Ö Yes No
(a) Whether the recipient of remittance has any permanent establishment (PE) in India through which the beneficiary of the remittance is directly or indirectly carrying on such activity of supply of articles or things?
(Tick) Ö Yes No
(b) Whether such remittance is attributable to or connected with such permanent establishment
(Tick) Ö Yes No
(c) If the reply to Item no. (b) above is ‘yes’, the amount of income comprised in such remittance which is liable to tax.
(d) If not, the reasons in brief thereof.
14.
In case the remittance is on account of business income, please indicate:-
(Tick) Ö Yes No
(a) Whether such income is liable to tax in India
(Tick) Ö Yes No
(b) If so, the basis of arriving at the rate of deduction of tax.
(c) If not, the reasons thereof.
15.
In case any order u/s 195(2)/ 195(3)/ 197 of Income-tax Act has been obtained from the Assessing Officer, details thereof:
(Tick) Ö Yes No
(a) Name and Designation of the Assessing officer who issued the order/ certificate
(b) Date of the order/ certificate
(DD/MM/YYYY)
(c) Specify whether u/s 195(2)/ 195(3)/ 197 of I T Act
16.
In case of any other remittance, if tax is not deducted at source for any reason, details thereof.
VERIFICATION
I/We, _____________________________________(full name in block letters), son/ daughter of ______________________________solemnly declare that the information given above is true to the best of my/our knowledge and belief and no relevant information has been concealed. I/We certify that a certificate has been obtained from an accountant, particulars of which are given in this Form, certifying the amount, nature and correctness of deduction of tax at source. In a case where it is found that the tax actually deductible on the amount of remittance has not been deducted or after deduction has not been paid or not paid in full. I/we undertake to pay the amount of tax not deducted or not paid, as the case may be along with interest due. I/We shall also be subject to the provisions of penalty for the said default as per the provisions of the IT Act, 1961. I/We further undertake to submit the requisite documents for enabling the Income-tax Authorities to determine the nature and amount of income of the recipient of the above remittance as well as documents required for determining my/our liability under the Income-tax Act as a person responsible for deduction of tax at source. I/We further declare that I/we am/are furnishing this information in my/our capacity as ____________________and I/we am/are also competent to sign the return of income as per provisions of section 140 of the Income-tax Act, 1961 and verify it.
Place Date Sign here Ô
FORM NO. 15CB
(See rule 37BB)
Certificate of an accountant*
I/We have examined the agreement (wherever applicable) between Mr./Ms./M/s…………………………and Mr./Ms./M/s…………………requiring the (remitters) (beneficiary) above remittance as well as the relevant documents and books of account required for ascertaining the nature of remittance and for determining the rate of deduction of tax at source as per provisions of sub-section (6) of section 195. We hereby certify the following:—
A
Name and address of the beneficiary of the remittance
B
1.
Country to which remittance is made
Country:
Currency:
2.
Amount of remittance
In foreign currency
In Indian Rs.
3.
Name of the bank
Branch of the bank
4.
BSR Code of the bank branch (7 digit)
5.
Proposed date of remittance
(DD/MM/YYYY)
6.
Amount of TDS
In foreign currency
In Indian Rs.
7.
Rate of TDS
As per Income-tax Act (%)
As per DTAA (%)
8.
Actual amount of remittance after TDS
In foreign currency
In Indian Rs.
9.
Date of deduction of tax at source
(DD/MM/YYYY)
10.
Nature of remittance as per agreement/ document
11.
In case the remittance is net of taxes, whether tax payable has been grossed up? If so computation thereof may be indicated.
(Tick)Ö Yes No
12.
If the remittance is for royalties, fee for technical services, interest, dividend, etc, please indicate:-
(Tick)Ö Yes No
(a) The clause of the relevant DTAA under which the remittance is covered along with reasons
Clause of DTAA
(b) Rate of TDS required to be deducted in terms of such clause of the applicable DTAA
As per DTAA (%)
(c) In case TDS is made at a lower rate than the rate prescribed under DTAA, reasons thereof
13.
In case remittance is for supply of articles or things (e.g. plant, machinery, equipment etc.), please indicate,
(Tick)Ö Yes No
(a) Whether the recipient of remittance has any permanent establishment (PE) in India through which the beneficiary of the remittance is directly or indirectly carrying on such activity of supply of articles or things?
(Tick)Ö Yes No
(b) Whether such remittance is attributable to or connected with such permanent establishment
(Tick)Ö Yes No
(c) If the reply to Item no. (b) above is ‘yes’, the amount of income comprised in such remittance which is liable to tax.
(d) If not, the reasons in brief thereof.
14.
In case the remittance is on account of business income, please indicate:-
(Tick)Ö Yes No
(a) Whether such income is liable to tax in India
(Tick)Ö Yes No
(b) If so, the basis of arriving at the rate of deduction of tax.
(c) If not, the reasons thereof.
15.
In case any order u/s 195(2)/ 195(3)/ 197 of Income-tax Act has been obtained from the Assessing Officer, details thereof:
(Tick)Ö Yes No
(a) Name and Designation of the Assessing officer who issued the order/ certificate
(b) Date of the order/ certificate
(DD/MM/YYYY)
(c) Specify whether u/s 195(2)/ 195(3)/ 197 of I T Act
16.
In case of any other remittance, if tax is not deducted at source for any reason, details thereof.
(Attach separate sheet duly authenticated wherever necessary)
**Certificate No.:
Signature:
Date : Name:
Place: Name of the proprietorship/firm
Address:
Registration number:
* (To be signed and verified by an accountant (other than an employee) as defined in the Explanation to section 288 of the Income-tax Act, 1961).
** Certificate number is an internal reference number to be given by the Accountant
Monday, March 30, 2009
Notification for change in the Format of Form 16/16AA
NOTIFICATION NO 31/2009, Dated: March 25, 2009
In exercise of the powers conferred by section 295 of the Income-tax Act, 1961 (43 of 1961), the Central Board of Direct Taxes hereby makes the following rules further to amend the Income-tax Rules, 1962, namely:
1. (1) These rules may be called the Income-tax (8th Amendment) Rules, 2009.
(2) They shall come into force on the 1st day of April, 2009.
2. In the Income-tax Rules, 1962,
(a) for rules 30, 31, 31A and 31AA, the following rules shall be substituted, namely:
“Time and mode of payment to Government account of tax deducted at source or tax paid under Chapter XVII -B
30.(1) All sums deducted in accordance with the provisions of Chapter XVII-B shall be paid to the credit of the Central Government
(a) within two months from the end of the month in which the amount is credited by the payer to the account of the payee if the crediting is on the date up to which the accounts of the payer are made; and
(b) in any other case, within one week from the end of the month in which the (i) deduction is made; or
(ii) income-tax is due under sub -section (1A) of section 192.
(2) Notwithstanding anything contained in sub -rule (1), the Assessing Officer may permit, in special cases,
(a) quarterly payment of the amount on June 15, September 15, December 15 and March 15 if the amount is deducted from any income chargeable under the head “Salaries”; and
(b) quarterly payment of the amount on July 15, October 15, January 15 and April 15 if the amount is deducted from any income by way of
(i) interest, other than interest on securities; (ii) insurance commission; or
(iii) commission or brokerage referred to in section 194H.
(3) No permission under sub -rule (2) shall be granted without the prior approval of the Joint Commissioner.
(4) The person responsible for making deduction, or payment of tax, under Chapter XVII-B shall, within the time specified in sub -rule (1), or sub -rule (2),
(a) electronically furnish an income-tax challan in Form No.17; and
(b) pay the amount so deducted to the credit of the Central Government by electronically remitting it into the Reserve Bank of India, State Bank of India or any authorised bank.
(5) For the purposes of this rule, the amount shall be construed as electronically remitted to the Reserve Bank of India or of the State Bank of India or of any authorised bank, if the amount is remitted by way of
(a) internet banking facility of the Reserve Bank of India or of the State Bank of India or of any authorised bank; or (b) credit or debit card.
Certificate of tax deducted at source or tax paid under sub -section (1A) of section 192
31.(1) The certificate of deduction of tax at source or, the certificate of payment of tax by the employer on behalf of the employee, under section 203 shall be in
(a) Form No.16 if the deduction or, payment of tax, is under section 192; and (b) Form No.16A if the deduction is under any other provision of Chapter XVII-B.
(2) The certificate referred to in sub -rule (1) shall be furnished to the deductee
(a) within one week after the date on which the sum of tax deducted at source is paid to the credit of the Central Government if the payment in respect of which the tax so deducted is by way of crediting on the date upto which the accounts of the deductor are made;
(b) within one month from the end of the financial year in which the payment is made to the deductee if (i) the deduction of tax is made under sub -section (1) of section 192;
(ii) the certificate relates to payment of tax by the employer on behalf of the employee under section (1A) of section 192;
(iii) the deduction of tax is made under section 194D; or
(iv) more than one certificate is required to be furnished to a deductee for deductions of income-tax made during a financial year and the deductee has requested for issue of a consolidated certificate in respect of such deductions;
(c) within fourteen days from the date of payment of income-tax if the payment is made quarterly under sub -rule (2) of rule 30;
(d) within one month from the end of the month in which the deduction of tax at source is made, in all other cases.
(3) The deductor may issue a duplicate certificate in Form No.16 or Form No.16A, as the case may be, if the deductee has lost the original certificate so issued and makes a request for issuance of a duplicate certificate and such duplicate certificate is certified as duplicate by the deductor.
(4) The Assessing Officer, before giving credit for the tax deducted at source on the basis of duplicate certificate referred to in sub -rule (3), shall
(a) obtain an Indemnity Bond from the deductee; and
(b) get the payment certified by the Assessing Officer designated in this behalf by the Chief Commissioner or the Commissioner.
Quarterly statement of deduction of tax or collection of tax
31A.(1) Every person who has been allotted a tax deduction and collection account number under section 203A shall deliver, or cause to be delivered the following quarterly statements; namely:
(a) the TDS Compliance Statement in Form No.24C;
(b) the Quarterly Statement of deduction of tax under section 192 in Form No.24Q; (c) the Quarterly Statement of deduction of tax under sections 193 to 196D in
(i) Form No.27Q in respect of the deductee other than a company, being a non-resident or resident but not ordinarily resident, or the deductee being a foreign company; and
(ii) Form No.26Q in respect of all other deductees; and
(d) the Quarterly Statement for collection of tax under section 206C in Form No.27EQ.
(2) Every person, who is required to deliver, or cause to be delivered, under sub -rule (1), the statements referred to therein, shall deliver, or cause to be delivered, such statements electronically to the Director General of Income Tax (Systems) or the person authorised by the Director General of Income Tax (Systems).
(3) The statement in Form No.24C referred to in sub -rule (1), shall be delivered, or caused to be delivered, on or before
the 15th July, the 15th October, the 15th January in respect of the first three quarters of the financial year,
respectively, and on or before the 15th June following the last quarter of the financial year.
(4) The statements in Form No.24Q, Form No.26Q, Form No.27Q and Form No.27EQ referred to in sub -rule (1), shall be delivered, or caused to be delivered, on or before the 15th June following the financial year.”;
(b) rule 37A shall be omitted;
(c) for rules 37CA and 37D, the following rules shall be substituted, namely:
“Time and mode of payment to Government account of tax collected at source under Chapter XVII -BB
37CA. (1) All sums collected in accordance with the provisions of Chapter XVII-BB shall be paid to the credit of the Central Government within one week from the end of the month in which the collection is made.
(2) The person responsible for making collection under Chapter XVII-BB shall, within the time specified in sub -rule (1),(a) electronically furnish an income-tax challan in Form No.17; and
(b) pay the amount so collected to the credit of the Central Government by electronically remitting it into the Reserve Bank of India, State Bank of India or any authorised bank.
(3) For the purposes of this rule, the amount shall be construed as electronically remitted to the Reserve Bank of India or of the State Bank of India or of any authorised bank, if the amount is remitted by way of
(a) internet banking facility of the Reserve Bank of India or of the State Bank of India or of any authorised bank; or (b) credit or debit card.
Certificate of tax collected at source
37D. (1) The certificate of collection of tax at source under sub -section (5) of section 206C shall be in Form No.27D.
(2) The certificate referred to in sub -rule (1), shall be furnished to the deductee within one month from the end of the month in which the amount is debited to the account of the buyer or licensee or lessee or payment is received from the buyer or licensee or lessee, as the case may be.
(3) The person responsible for collecting tax at source may issue a duplicate certificate in Form No.27D, if the buyer or licensee or lessee has lost the original certificate so issued and makes a request for issuance of a duplicate certificate and such duplicate certificate is certified as duplicate by the person responsible for collecting tax at source.
(4) The Assessing Officer, before giving credit for the tax collected at source on the basis of duplicate certificate referred to in sub -rule (3), shall
(a) obtain an Indemnity Bond from the buyer or licensee or lessee; and
(b) get the payment certified by the Assessing Officer designated in this behalf by the Chief Commissioner or the Commissioner.”;
(d) for Form No.16, Form No.16A and Form No.16AA, the following forms shall be substituted, namely:
F.No.142/22/2008-TPL
(Vijay K. Jaiswal)
Under Secretary to the Government of India
Note:- The principal rules were published vide Notification No.S.O.969(E) dated the 26th March, 1962 and last amended by Incometax (6th Amendment) Rules, 2009 vide Notification S.No.740(E) dated 16.3.2009.
In exercise of the powers conferred by section 295 of the Income-tax Act, 1961 (43 of 1961), the Central Board of Direct Taxes hereby makes the following rules further to amend the Income-tax Rules, 1962, namely:
1. (1) These rules may be called the Income-tax (8th Amendment) Rules, 2009.
(2) They shall come into force on the 1st day of April, 2009.
2. In the Income-tax Rules, 1962,
(a) for rules 30, 31, 31A and 31AA, the following rules shall be substituted, namely:
“Time and mode of payment to Government account of tax deducted at source or tax paid under Chapter XVII -B
30.(1) All sums deducted in accordance with the provisions of Chapter XVII-B shall be paid to the credit of the Central Government
(a) within two months from the end of the month in which the amount is credited by the payer to the account of the payee if the crediting is on the date up to which the accounts of the payer are made; and
(b) in any other case, within one week from the end of the month in which the (i) deduction is made; or
(ii) income-tax is due under sub -section (1A) of section 192.
(2) Notwithstanding anything contained in sub -rule (1), the Assessing Officer may permit, in special cases,
(a) quarterly payment of the amount on June 15, September 15, December 15 and March 15 if the amount is deducted from any income chargeable under the head “Salaries”; and
(b) quarterly payment of the amount on July 15, October 15, January 15 and April 15 if the amount is deducted from any income by way of
(i) interest, other than interest on securities; (ii) insurance commission; or
(iii) commission or brokerage referred to in section 194H.
(3) No permission under sub -rule (2) shall be granted without the prior approval of the Joint Commissioner.
(4) The person responsible for making deduction, or payment of tax, under Chapter XVII-B shall, within the time specified in sub -rule (1), or sub -rule (2),
(a) electronically furnish an income-tax challan in Form No.17; and
(b) pay the amount so deducted to the credit of the Central Government by electronically remitting it into the Reserve Bank of India, State Bank of India or any authorised bank.
(5) For the purposes of this rule, the amount shall be construed as electronically remitted to the Reserve Bank of India or of the State Bank of India or of any authorised bank, if the amount is remitted by way of
(a) internet banking facility of the Reserve Bank of India or of the State Bank of India or of any authorised bank; or (b) credit or debit card.
Certificate of tax deducted at source or tax paid under sub -section (1A) of section 192
31.(1) The certificate of deduction of tax at source or, the certificate of payment of tax by the employer on behalf of the employee, under section 203 shall be in
(a) Form No.16 if the deduction or, payment of tax, is under section 192; and (b) Form No.16A if the deduction is under any other provision of Chapter XVII-B.
(2) The certificate referred to in sub -rule (1) shall be furnished to the deductee
(a) within one week after the date on which the sum of tax deducted at source is paid to the credit of the Central Government if the payment in respect of which the tax so deducted is by way of crediting on the date upto which the accounts of the deductor are made;
(b) within one month from the end of the financial year in which the payment is made to the deductee if (i) the deduction of tax is made under sub -section (1) of section 192;
(ii) the certificate relates to payment of tax by the employer on behalf of the employee under section (1A) of section 192;
(iii) the deduction of tax is made under section 194D; or
(iv) more than one certificate is required to be furnished to a deductee for deductions of income-tax made during a financial year and the deductee has requested for issue of a consolidated certificate in respect of such deductions;
(c) within fourteen days from the date of payment of income-tax if the payment is made quarterly under sub -rule (2) of rule 30;
(d) within one month from the end of the month in which the deduction of tax at source is made, in all other cases.
(3) The deductor may issue a duplicate certificate in Form No.16 or Form No.16A, as the case may be, if the deductee has lost the original certificate so issued and makes a request for issuance of a duplicate certificate and such duplicate certificate is certified as duplicate by the deductor.
(4) The Assessing Officer, before giving credit for the tax deducted at source on the basis of duplicate certificate referred to in sub -rule (3), shall
(a) obtain an Indemnity Bond from the deductee; and
(b) get the payment certified by the Assessing Officer designated in this behalf by the Chief Commissioner or the Commissioner.
Quarterly statement of deduction of tax or collection of tax
31A.(1) Every person who has been allotted a tax deduction and collection account number under section 203A shall deliver, or cause to be delivered the following quarterly statements; namely:
(a) the TDS Compliance Statement in Form No.24C;
(b) the Quarterly Statement of deduction of tax under section 192 in Form No.24Q; (c) the Quarterly Statement of deduction of tax under sections 193 to 196D in
(i) Form No.27Q in respect of the deductee other than a company, being a non-resident or resident but not ordinarily resident, or the deductee being a foreign company; and
(ii) Form No.26Q in respect of all other deductees; and
(d) the Quarterly Statement for collection of tax under section 206C in Form No.27EQ.
(2) Every person, who is required to deliver, or cause to be delivered, under sub -rule (1), the statements referred to therein, shall deliver, or cause to be delivered, such statements electronically to the Director General of Income Tax (Systems) or the person authorised by the Director General of Income Tax (Systems).
(3) The statement in Form No.24C referred to in sub -rule (1), shall be delivered, or caused to be delivered, on or before
the 15th July, the 15th October, the 15th January in respect of the first three quarters of the financial year,
respectively, and on or before the 15th June following the last quarter of the financial year.
(4) The statements in Form No.24Q, Form No.26Q, Form No.27Q and Form No.27EQ referred to in sub -rule (1), shall be delivered, or caused to be delivered, on or before the 15th June following the financial year.”;
(b) rule 37A shall be omitted;
(c) for rules 37CA and 37D, the following rules shall be substituted, namely:
“Time and mode of payment to Government account of tax collected at source under Chapter XVII -BB
37CA. (1) All sums collected in accordance with the provisions of Chapter XVII-BB shall be paid to the credit of the Central Government within one week from the end of the month in which the collection is made.
(2) The person responsible for making collection under Chapter XVII-BB shall, within the time specified in sub -rule (1),(a) electronically furnish an income-tax challan in Form No.17; and
(b) pay the amount so collected to the credit of the Central Government by electronically remitting it into the Reserve Bank of India, State Bank of India or any authorised bank.
(3) For the purposes of this rule, the amount shall be construed as electronically remitted to the Reserve Bank of India or of the State Bank of India or of any authorised bank, if the amount is remitted by way of
(a) internet banking facility of the Reserve Bank of India or of the State Bank of India or of any authorised bank; or (b) credit or debit card.
Certificate of tax collected at source
37D. (1) The certificate of collection of tax at source under sub -section (5) of section 206C shall be in Form No.27D.
(2) The certificate referred to in sub -rule (1), shall be furnished to the deductee within one month from the end of the month in which the amount is debited to the account of the buyer or licensee or lessee or payment is received from the buyer or licensee or lessee, as the case may be.
(3) The person responsible for collecting tax at source may issue a duplicate certificate in Form No.27D, if the buyer or licensee or lessee has lost the original certificate so issued and makes a request for issuance of a duplicate certificate and such duplicate certificate is certified as duplicate by the person responsible for collecting tax at source.
(4) The Assessing Officer, before giving credit for the tax collected at source on the basis of duplicate certificate referred to in sub -rule (3), shall
(a) obtain an Indemnity Bond from the buyer or licensee or lessee; and
(b) get the payment certified by the Assessing Officer designated in this behalf by the Chief Commissioner or the Commissioner.”;
(d) for Form No.16, Form No.16A and Form No.16AA, the following forms shall be substituted, namely:
F.No.142/22/2008-TPL
(Vijay K. Jaiswal)
Under Secretary to the Government of India
Note:- The principal rules were published vide Notification No.S.O.969(E) dated the 26th March, 1962 and last amended by Incometax (6th Amendment) Rules, 2009 vide Notification S.No.740(E) dated 16.3.2009.
Friday, March 27, 2009
Luxury Tax on luxuries provided in hotels from 1st May 04 to 30th Apr 05
8th floor, Vikrikar Bhavan,
Mazgaon, Mumbai-400010.
TRADE CIRCULAR
To
…………………………
…………………………
No.LTR-2009/1/Adm-29/B-139 Mumbai, Dt.25.03.2009
Trade Cir. No. 11 T of 2009
Sub: Luxury Tax on luxuries provided in hotels from 1st May
2004 to 30th April 2005.
Ref: 1) Notification No.LTA-1090/179/ Taxation-2 dated 21st
January, 1992.
2) Notification No.LTA-1090/CR-47/ Taxation-2 dated
18th November, 2008
Gentlemen/Sir/Madam,
Sub-section (1) of section 22 of the Maharashtra Tax on Luxuries Act,
1987 empowers the Government of Maharashtra to exempt any specified
class of luxuries provided in a hotel from payment of the whole or any part
of tax payable if it is necessary to do so in the public interest.
2. It has been decided by Notification dated 18th November, 2008 to
exempt the Luxury Tax in excess of six per cent on the luxuries provided
during the period from 1st May, 2004 to 30th April, 2005, in hotels which are
covered by clause ( c) of sub-section (2) of section 3 of the Maharashtra Tax
on Luxuries Act, 1987.
3. To avail this exemption, certain conditions have been prescribed.
(a) The claimant dealer is required to have collected tax not in excess
of six per cent. from the customer in the bill, cash memo or
invoice issued to customer, i.e. The amount of tax paid by the
dealer in excess of six per cent. should not have been collected
from the customer.
(b) If the amount mentioned in the bill, cash memo or invoice issued
is inclusive of the tax, then it must be considered that the tax
collection is made from the customer is of ten per cent.
(c) The amount of tax paid by the dealer in excess of six per cent,
shall not be refunded back but has to be adjusted against the tax
liability of the dealer for any subsequent period.
4. This circular cannot be made use of for legal interpretation of
provisions of law as it is clarificatory in nature. If any member of the trade
has any doubt, he may refer the matter to this office for further clarification.
5. You are requested to bring the contents of this circular to the notice
of the members of your association.
Yours faithfully,
(SANJAY BHATIA)
Commissioner of Sales Tax,
Maharashtra State, Mumbai.
No.LTR-2009/1/Adm-29/B-139 Mumbai, Dt.25.03.2009
Trade Cir. No.11 T of 2000
1. Copy forwarded To :
a. All the Addl. Commissioners of Sales Tax in the State.
b. All the Joint Commissioners of Sales Tax in the State.
c. All the Sr. Dy. Commissioners of Sales Tax in the State.
d. All the Dy. Commissioners of Sales Tax in the State.
e. All the Asstt. Commissioners of Sales Tax in the State.
f. All the Sales Tax Officers in the State.
2. Copy forwarded with compliments for information to:
a. The Officer on Special Duty , Finance Department, Mantralaya,
Mumbai.
b. The Under Secretary, Finance Department, Mantralaya,
Mumbai.
c. The Accounts Officer, Sales Tax Revenue Audit, Mumbai and
Nagpur.
3. Copy to all the Desks and Desk Officers in the office of the
Commissioner of Sales Tax, Maharashtra State, Mumbai.
Deputy Commissioner of Sales Tax (Adm)29,
Maharashtra State, Mumbai.
Mazgaon, Mumbai-400010.
TRADE CIRCULAR
To
…………………………
…………………………
No.LTR-2009/1/Adm-29/B-139 Mumbai, Dt.25.03.2009
Trade Cir. No. 11 T of 2009
Sub: Luxury Tax on luxuries provided in hotels from 1st May
2004 to 30th April 2005.
Ref: 1) Notification No.LTA-1090/179/ Taxation-2 dated 21st
January, 1992.
2) Notification No.LTA-1090/CR-47/ Taxation-2 dated
18th November, 2008
Gentlemen/Sir/Madam,
Sub-section (1) of section 22 of the Maharashtra Tax on Luxuries Act,
1987 empowers the Government of Maharashtra to exempt any specified
class of luxuries provided in a hotel from payment of the whole or any part
of tax payable if it is necessary to do so in the public interest.
2. It has been decided by Notification dated 18th November, 2008 to
exempt the Luxury Tax in excess of six per cent on the luxuries provided
during the period from 1st May, 2004 to 30th April, 2005, in hotels which are
covered by clause ( c) of sub-section (2) of section 3 of the Maharashtra Tax
on Luxuries Act, 1987.
3. To avail this exemption, certain conditions have been prescribed.
(a) The claimant dealer is required to have collected tax not in excess
of six per cent. from the customer in the bill, cash memo or
invoice issued to customer, i.e. The amount of tax paid by the
dealer in excess of six per cent. should not have been collected
from the customer.
(b) If the amount mentioned in the bill, cash memo or invoice issued
is inclusive of the tax, then it must be considered that the tax
collection is made from the customer is of ten per cent.
(c) The amount of tax paid by the dealer in excess of six per cent,
shall not be refunded back but has to be adjusted against the tax
liability of the dealer for any subsequent period.
4. This circular cannot be made use of for legal interpretation of
provisions of law as it is clarificatory in nature. If any member of the trade
has any doubt, he may refer the matter to this office for further clarification.
5. You are requested to bring the contents of this circular to the notice
of the members of your association.
Yours faithfully,
(SANJAY BHATIA)
Commissioner of Sales Tax,
Maharashtra State, Mumbai.
No.LTR-2009/1/Adm-29/B-139 Mumbai, Dt.25.03.2009
Trade Cir. No.11 T of 2000
1. Copy forwarded To :
a. All the Addl. Commissioners of Sales Tax in the State.
b. All the Joint Commissioners of Sales Tax in the State.
c. All the Sr. Dy. Commissioners of Sales Tax in the State.
d. All the Dy. Commissioners of Sales Tax in the State.
e. All the Asstt. Commissioners of Sales Tax in the State.
f. All the Sales Tax Officers in the State.
2. Copy forwarded with compliments for information to:
a. The Officer on Special Duty , Finance Department, Mantralaya,
Mumbai.
b. The Under Secretary, Finance Department, Mantralaya,
Mumbai.
c. The Accounts Officer, Sales Tax Revenue Audit, Mumbai and
Nagpur.
3. Copy to all the Desks and Desk Officers in the office of the
Commissioner of Sales Tax, Maharashtra State, Mumbai.
Deputy Commissioner of Sales Tax (Adm)29,
Maharashtra State, Mumbai.
Wednesday, March 25, 2009
PTI Report: Tax on CER's
India wants to close tax loopholes on CERs: report
Published: 23 Mar 2009 19:12 CET
India is planning to make companies pay more in tax from sales of carbon credits. That's according to a report by the Press Trust of India, citing an unnamed official with India's finance ministry.The PTI cited a study commissioned by the government which found that 98 per cent of companies had not made tax provisions against the profits out of the sale of carbon credits, and were ploughing the earnings into other areas of the business."More than 98 per cent of the companies are not following Section 28 of the Income-Tax Act, which requires profits and gains of business or profession to be parted as tax. This will fetch the exchequer around Rs 1,000 crore ($1.94 billion)," the PTI reported the tax official as saying.India is one of the world's biggest sellers of UN-backed carbon credits known as cerified emissions reductions (CERs).So far, companies based in India have been awarded with around 80 million CERs, and over a third have been issued to just two companies, chemicals producers Gujarat Fluorochemical and SRF, which own projects that cut HFC-23, a highly potent greenhouse gas.Deepak Asher, a vice president with Gujarat Fluorochemical, told Point Carbon: "We include CER income in our normal business income, and it gets taxed like our other business income."SRF could not be reached for comment.CriticsSeveral other large Indian companies have been issued with carbon credits in sectors such as cement production, metals processing, power generation, paper and pulp and food production.Green groups have criticised the participation of some Indian companies in the Kyoto protocol's clean development mechanism, alleging they have ploughed big profits earned from carbon trading into production process that harm the environment.India has repeatedly ruled out the introduction of a specific carbon tax, arguing that a separate levy on sales of CERs would dissuade the development of Kyoto projects in the country.So far, only China, Egypt and Vietnam have imposed stand-alone levies on revenues earned from carbon trading.
Published: 23 Mar 2009 19:12 CET
India is planning to make companies pay more in tax from sales of carbon credits. That's according to a report by the Press Trust of India, citing an unnamed official with India's finance ministry.The PTI cited a study commissioned by the government which found that 98 per cent of companies had not made tax provisions against the profits out of the sale of carbon credits, and were ploughing the earnings into other areas of the business."More than 98 per cent of the companies are not following Section 28 of the Income-Tax Act, which requires profits and gains of business or profession to be parted as tax. This will fetch the exchequer around Rs 1,000 crore ($1.94 billion)," the PTI reported the tax official as saying.India is one of the world's biggest sellers of UN-backed carbon credits known as cerified emissions reductions (CERs).So far, companies based in India have been awarded with around 80 million CERs, and over a third have been issued to just two companies, chemicals producers Gujarat Fluorochemical and SRF, which own projects that cut HFC-23, a highly potent greenhouse gas.Deepak Asher, a vice president with Gujarat Fluorochemical, told Point Carbon: "We include CER income in our normal business income, and it gets taxed like our other business income."SRF could not be reached for comment.CriticsSeveral other large Indian companies have been issued with carbon credits in sectors such as cement production, metals processing, power generation, paper and pulp and food production.Green groups have criticised the participation of some Indian companies in the Kyoto protocol's clean development mechanism, alleging they have ploughed big profits earned from carbon trading into production process that harm the environment.India has repeatedly ruled out the introduction of a specific carbon tax, arguing that a separate levy on sales of CERs would dissuade the development of Kyoto projects in the country.So far, only China, Egypt and Vietnam have imposed stand-alone levies on revenues earned from carbon trading.
Pending P’s under B.S.T. & C.S.T. Acts up to P year 2004-05 and instructions for disposal thereof
Office of the Commissioner of Sales Tax,
Vikrikar Bhavan, 9th Floor, E-Wing,
Mazgaon, Mumbai - 400 010.
Tel.No.- 022/23760957/0958
Trade Circular
To,
----------------------------------------,
----------------------------------------,
----------------------------------------,
----------------------------------------.
No.IMC10.09/PP/Adm-12/B- 523 Mumbai, dt.- 23.03.2009
(Circular No. 10 T of 2009)
Subject :- Pending P’s under B.S.T. & C.S.T. Acts up to P year
2004-05 and instructions for disposal thereof.
In order to complete the assessments pending under the
B.S.T. and the C.S.T. Acts before 31.3.2010, the Government has taken a
decision that -
No assessments will be done from “C” & “D” category of the dealers
except priority P’s falling in 7 categories enumerated in Annexure – E of the
said GR. These 7 categories of the cases are reproduced below:
i) P.S.I. dealers
ii) Dealers dealing in liquor
iii) Assessment of investigation period
iv) Refund claim in returns more than Rs. 5000/-
v) Additional demand raised in the assessment of immediate previous year is
more than 20% of admitted liability in returns or is more than Rs.1 lakh,
whichever is less.
vi) Assessment of first year of registration.
vii) Assessment of the last year of the dealer, of whom registration
certificate is cancelled.
3. Further, in the Budget speech for the year 2008-09, the Hon’ble Finance
Minister relaxed the criteria of mandatory assessments of first and last year
(as vi & vii above) and empowered the Commissioner of Sales Tax to take a
decision whether it would be necessary to assess the first and last years of
registration of the dealer.
4. Compulsory Assessment Criteria: Considering the Government
decision, all the pending P’s, pertaining to financial year in which gross tax
liability (before adjusting set-off) is Rs. 6 lakh or less under the BST and
CST Acts, shall not be assessed except those falling in any of the following
criteria:
i) P.S.I. dealers
ii) Dealers dealing in liquor
iii) Assessment of period/s under investigation.
iv) Refund claim in returns is more than Rs. 5000/-
v) Additional demand raised in the assessment of immediate previous year is
more than 20% of admitted liability in returns or is more than Rs.1 lakh,
whichever is less.
vi) Assessment of first year of registration, if refund is claimed in the returns
vii) Returns are not filed for the pending assessment period/s.
viii) Period prior to the cancellation of Registration Certificate, if any dues
exist for earlier period/s.
ix) Un-registered period of the dealer.
5. It is needless to mention that the Commissioner of Sales Tax has powers
to assess any dealer for any periods which are otherwise not falling in
compulsory assessment criteria. The final decision in this regard shall be
taken by the concerned Joint Commissioner of Sales Tax (Adm). If the
officer is of the opinion that a particular case is required to be assessed,
which is otherwise not covered by the criteria of compulsory assessments,
then the concerned officer shall seek the prior approval of his Joint
Commissioner of Sales Tax (Adm)
6. This circular cannot be made use of for legal interpretation of provisions
of law as it is clarificatory in nature. If any member of the trade has any
doubt, he may refer the matter to this office for further clarification.
7. You are requested to bring the contents of this circular to the notice of
the members of your association.
Yours faithfully,
(Sanjay Bhatia)
Commissioner of Sales Tax
Maharashtra State, Mumbai
No.IMC10.09/PP/Adm-12/B- 523 Mumbai, dt.- 23.03.2009
(Circular No.10 T of 2009)
1. Copy forwarded to :-
a. All the Addl.Commissioner of Sales Tax in the State.
b. All the Joint Commissioner of Sales Tax in the State.
c. The Joint Commissioner of Sales Tax( Mahavikas), with a request to
upload this Trade Circular to the Department web-site.
d. All the Senior Deputy Commissioner of Sales Tax in the State.
e. All the Deputy Commissioner of Sales Tax in the State.
f. All the Assistant Commissioner of Sales Tax in the State.
g. All the Sales Tax Officer in the State.
2.Copy forward with compliments for information to :-
a. The officer on special Duty, Finance Department, Mantralaya, Mumbai.
b. The under Secretary, Finance Department, Mantralaya, Mumbai.
c. The Accounts officer, Sales Tax Revenue Audit, Mumbai and Nagpur.
3. Copy to :-
All the Desks and Desks Officers in the office of the Commissioner of
Sales Tax, Maharashtra State, Mumbai.
(P. S. Salvi)
Additional Commissioner of Sales Tax (VAT-3)
Maharashtra State, Mumbai
Vikrikar Bhavan, 9th Floor, E-Wing,
Mazgaon, Mumbai - 400 010.
Tel.No.- 022/23760957/0958
Trade Circular
To,
----------------------------------------,
----------------------------------------,
----------------------------------------,
----------------------------------------.
No.IMC10.09/PP/Adm-12/B- 523 Mumbai, dt.- 23.03.2009
(Circular No. 10 T of 2009)
Subject :- Pending P’s under B.S.T. & C.S.T. Acts up to P year
2004-05 and instructions for disposal thereof.
In order to complete the assessments pending under the
B.S.T. and the C.S.T. Acts before 31.3.2010, the Government has taken a
decision that -
No assessments will be done from “C” & “D” category of the dealers
except priority P’s falling in 7 categories enumerated in Annexure – E of the
said GR. These 7 categories of the cases are reproduced below:
i) P.S.I. dealers
ii) Dealers dealing in liquor
iii) Assessment of investigation period
iv) Refund claim in returns more than Rs. 5000/-
v) Additional demand raised in the assessment of immediate previous year is
more than 20% of admitted liability in returns or is more than Rs.1 lakh,
whichever is less.
vi) Assessment of first year of registration.
vii) Assessment of the last year of the dealer, of whom registration
certificate is cancelled.
3. Further, in the Budget speech for the year 2008-09, the Hon’ble Finance
Minister relaxed the criteria of mandatory assessments of first and last year
(as vi & vii above) and empowered the Commissioner of Sales Tax to take a
decision whether it would be necessary to assess the first and last years of
registration of the dealer.
4. Compulsory Assessment Criteria: Considering the Government
decision, all the pending P’s, pertaining to financial year in which gross tax
liability (before adjusting set-off) is Rs. 6 lakh or less under the BST and
CST Acts, shall not be assessed except those falling in any of the following
criteria:
i) P.S.I. dealers
ii) Dealers dealing in liquor
iii) Assessment of period/s under investigation.
iv) Refund claim in returns is more than Rs. 5000/-
v) Additional demand raised in the assessment of immediate previous year is
more than 20% of admitted liability in returns or is more than Rs.1 lakh,
whichever is less.
vi) Assessment of first year of registration, if refund is claimed in the returns
vii) Returns are not filed for the pending assessment period/s.
viii) Period prior to the cancellation of Registration Certificate, if any dues
exist for earlier period/s.
ix) Un-registered period of the dealer.
5. It is needless to mention that the Commissioner of Sales Tax has powers
to assess any dealer for any periods which are otherwise not falling in
compulsory assessment criteria. The final decision in this regard shall be
taken by the concerned Joint Commissioner of Sales Tax (Adm). If the
officer is of the opinion that a particular case is required to be assessed,
which is otherwise not covered by the criteria of compulsory assessments,
then the concerned officer shall seek the prior approval of his Joint
Commissioner of Sales Tax (Adm)
6. This circular cannot be made use of for legal interpretation of provisions
of law as it is clarificatory in nature. If any member of the trade has any
doubt, he may refer the matter to this office for further clarification.
7. You are requested to bring the contents of this circular to the notice of
the members of your association.
Yours faithfully,
(Sanjay Bhatia)
Commissioner of Sales Tax
Maharashtra State, Mumbai
No.IMC10.09/PP/Adm-12/B- 523 Mumbai, dt.- 23.03.2009
(Circular No.10 T of 2009)
1. Copy forwarded to :-
a. All the Addl.Commissioner of Sales Tax in the State.
b. All the Joint Commissioner of Sales Tax in the State.
c. The Joint Commissioner of Sales Tax( Mahavikas), with a request to
upload this Trade Circular to the Department web-site.
d. All the Senior Deputy Commissioner of Sales Tax in the State.
e. All the Deputy Commissioner of Sales Tax in the State.
f. All the Assistant Commissioner of Sales Tax in the State.
g. All the Sales Tax Officer in the State.
2.Copy forward with compliments for information to :-
a. The officer on special Duty, Finance Department, Mantralaya, Mumbai.
b. The under Secretary, Finance Department, Mantralaya, Mumbai.
c. The Accounts officer, Sales Tax Revenue Audit, Mumbai and Nagpur.
3. Copy to :-
All the Desks and Desks Officers in the office of the Commissioner of
Sales Tax, Maharashtra State, Mumbai.
(P. S. Salvi)
Additional Commissioner of Sales Tax (VAT-3)
Maharashtra State, Mumbai
Filing of revised return as advised by the Auditor in Audit Report
8th floor, Vikrikar Bhavan,
Mazgaon, Mumbai-400010.
TRADE CIRCULAR
To
…………………………
…………………………
No.VAT/MMB-1006/152/Adm-6 Mumbai, Dt.21.03.2009
Trade Cir. No. 9 T of 2009
Sub: Filing of revised return as advised by the Auditor in
Audit Report.
Ref: Trade circular No. 26T of 2006 dated 18.9.2006.
Gentlemen/Sir/Madam,
Certain queries have been received from the trade and
associations, as also from departmental authorities in connection with
the filing of the revised returns as advised by the auditor. The specific
query relates to, discrepancies noticed in more than one return. In
such circumstances, whether all such returns are to be revised or the
return for the period ending on 31st March of the respective year is to be
revised. The issue was under consideration.
2. Attention is invited towards the Trade circular cited above. In
para 15 of the said circular, it is stated that in such circumstances the
return for the period ending on 31st March of the respective year should
be revised to give effect to the observations of the auditor. However,
there may be cases where the effect of auditor’s observation can not be
given effect to by filing revised return electronically only for the period
ending on 31st March of that year. In view of this the instructions are
modified as under:
1) Where a revised return is to be filed to give effect to the
observations of the auditor the dealer may revise the return for
the period ending on 31st March of the year to which audit
report relates.
2) However, if it is not possible to give effect to all the observations
of the auditor by filing revised return for the period ending on
31st March of the respective year, then the dealers should revise
the returns for the respective periods for which discrepancies
have been pointed out by the auditor. Needless to state that all
such revised returns shall be filed electronically. It is again
emphasized that in no case any revised return shall be filed
manually.
3. This circular cannot be made use of for legal interpretation of
provisions of law as it is clarificatory in nature. If any member of the
trade has any doubt, he may refer the matter to this office for further
clarification.
4. You are requested to bring the contents of this circular to the
notice of the members of your association.
Yours faithfully,
(SANJAY BHATIA)
Commissioner of Sales Tax,
Maharashtra State, Mumbai.
No.VAT/MMB-1006/152/Adm-6 Mumbai, Dt.21.03.2009
Trade Cir. No. 9 T of 2009
1. Copy forwarded To :
a. All the Addl. Commissioners of Sales Tax in the State.
b All the Joint Commissioners of Sales Tax in the State.
(Jt. Commissioner of Sales Tax (MAHAVIKAS) with a request to upload
this Trade Circular to Departments website.)
c. All the Sr. Dy. Commissioners of Sales Tax in the State.
d. All the Dy. Commissioners of Sales Tax in the State.
e. All the Asstt. Commissioners of Sales Tax in the State.
f. All the Sales Tax Officers in the State.
2. Copy forwarded with compliments for information to:
a. The Officer on Special Duty, Finance Department, Mantralaya, Mumbai.
b. The Under Secretary, Finance Department, Mantralaya, Mumbai.
c. The Accounts Officer, Sales Tax Revenue Audit, Mumbai and Nagpur.
3. Copy to all the Desks and Desk Officers in the office of the Commissioner
of Sales Tax, Maharashtra State, Mumbai.
(G.B.Indurkar)
Joint Commissioner of Sales Tax,
(HQ)1 Maharashtra State, Mumbai.
Mazgaon, Mumbai-400010.
TRADE CIRCULAR
To
…………………………
…………………………
No.VAT/MMB-1006/152/Adm-6 Mumbai, Dt.21.03.2009
Trade Cir. No. 9 T of 2009
Sub: Filing of revised return as advised by the Auditor in
Audit Report.
Ref: Trade circular No. 26T of 2006 dated 18.9.2006.
Gentlemen/Sir/Madam,
Certain queries have been received from the trade and
associations, as also from departmental authorities in connection with
the filing of the revised returns as advised by the auditor. The specific
query relates to, discrepancies noticed in more than one return. In
such circumstances, whether all such returns are to be revised or the
return for the period ending on 31st March of the respective year is to be
revised. The issue was under consideration.
2. Attention is invited towards the Trade circular cited above. In
para 15 of the said circular, it is stated that in such circumstances the
return for the period ending on 31st March of the respective year should
be revised to give effect to the observations of the auditor. However,
there may be cases where the effect of auditor’s observation can not be
given effect to by filing revised return electronically only for the period
ending on 31st March of that year. In view of this the instructions are
modified as under:
1) Where a revised return is to be filed to give effect to the
observations of the auditor the dealer may revise the return for
the period ending on 31st March of the year to which audit
report relates.
2) However, if it is not possible to give effect to all the observations
of the auditor by filing revised return for the period ending on
31st March of the respective year, then the dealers should revise
the returns for the respective periods for which discrepancies
have been pointed out by the auditor. Needless to state that all
such revised returns shall be filed electronically. It is again
emphasized that in no case any revised return shall be filed
manually.
3. This circular cannot be made use of for legal interpretation of
provisions of law as it is clarificatory in nature. If any member of the
trade has any doubt, he may refer the matter to this office for further
clarification.
4. You are requested to bring the contents of this circular to the
notice of the members of your association.
Yours faithfully,
(SANJAY BHATIA)
Commissioner of Sales Tax,
Maharashtra State, Mumbai.
No.VAT/MMB-1006/152/Adm-6 Mumbai, Dt.21.03.2009
Trade Cir. No. 9 T of 2009
1. Copy forwarded To :
a. All the Addl. Commissioners of Sales Tax in the State.
b All the Joint Commissioners of Sales Tax in the State.
(Jt. Commissioner of Sales Tax (MAHAVIKAS) with a request to upload
this Trade Circular to Departments website.)
c. All the Sr. Dy. Commissioners of Sales Tax in the State.
d. All the Dy. Commissioners of Sales Tax in the State.
e. All the Asstt. Commissioners of Sales Tax in the State.
f. All the Sales Tax Officers in the State.
2. Copy forwarded with compliments for information to:
a. The Officer on Special Duty, Finance Department, Mantralaya, Mumbai.
b. The Under Secretary, Finance Department, Mantralaya, Mumbai.
c. The Accounts Officer, Sales Tax Revenue Audit, Mumbai and Nagpur.
3. Copy to all the Desks and Desk Officers in the office of the Commissioner
of Sales Tax, Maharashtra State, Mumbai.
(G.B.Indurkar)
Joint Commissioner of Sales Tax,
(HQ)1 Maharashtra State, Mumbai.
SMS BASED SERVICE FOR CHALLAN STATUS
SMS BASED SERVICE FOR CHALLAN STATUS
National Securities Depository Limited (NSDL) provides CIN (Challan
Identification Number) based view of direct tax challans to taxpayers to know
the status of challan on its web-site. In addition to the above facility, NSDL has
launched a Short Message Service (SMS) based facility to know the status of its
challans. The procedure for availing this facility is as under:
1. The tax payer can send an SMS to 575758 with a message containing the
word CSI followed by a space and CIN provided by the respective Bank at
the time of making the Direct tax payment.
2. The CIN should be separated by comma (,).
3. Challan Identification Number (CIN ) consists of details such as BSR Code
of Collecting Branch (seven digit) , Challan Tender Date (DDMMYYYY)
and Challan Serial No (length less than or equal to 5 digit) and Amount.
4. The amount is an optional field. If the amount is entered by the tax payer
he would get the confirmation whether amount entered is matched or
otherwise as per NSDL database.
For e.g., if the tax payer input “CSI 0510001,11032009,5,5000” where in
“0510001” is the BSR code of the collecting branch,
“11032009” is the Challan tender date,
“5” is the Challan serial number and
“5000 is the amount paid by the taxpayer.
The tax payer will get the information against which TAN/PAN the payment
has been accounted with the confirmation whether amount entered is matched or
not. (This is an illustrative challan identification number, actual CIN should be
provided in the SMS).
There will be special charges for these SMS. These charges may vary from one
mobile service-provider to another. The charge structure can be obtained from
the concerned service-provider. The status of the CIN based view will continue
to be available from NSDL-TIN web-site www.tin-nsdl.com or NSDL Call Centre
at 020-27218080 or Aykar Sampark Kendra at 0124- 2438000.
National Securities Depository Limited (NSDL) provides CIN (Challan
Identification Number) based view of direct tax challans to taxpayers to know
the status of challan on its web-site. In addition to the above facility, NSDL has
launched a Short Message Service (SMS) based facility to know the status of its
challans. The procedure for availing this facility is as under:
1. The tax payer can send an SMS to 575758 with a message containing the
word CSI followed by a space and CIN provided by the respective Bank at
the time of making the Direct tax payment.
2. The CIN should be separated by comma (,).
3. Challan Identification Number (CIN ) consists of details such as BSR Code
of Collecting Branch (seven digit) , Challan Tender Date (DDMMYYYY)
and Challan Serial No (length less than or equal to 5 digit) and Amount.
4. The amount is an optional field. If the amount is entered by the tax payer
he would get the confirmation whether amount entered is matched or
otherwise as per NSDL database.
For e.g., if the tax payer input “CSI 0510001,11032009,5,5000” where in
“0510001” is the BSR code of the collecting branch,
“11032009” is the Challan tender date,
“5” is the Challan serial number and
“5000 is the amount paid by the taxpayer.
The tax payer will get the information against which TAN/PAN the payment
has been accounted with the confirmation whether amount entered is matched or
not. (This is an illustrative challan identification number, actual CIN should be
provided in the SMS).
There will be special charges for these SMS. These charges may vary from one
mobile service-provider to another. The charge structure can be obtained from
the concerned service-provider. The status of the CIN based view will continue
to be available from NSDL-TIN web-site www.tin-nsdl.com or NSDL Call Centre
at 020-27218080 or Aykar Sampark Kendra at 0124- 2438000.
Thursday, March 19, 2009
Credit for tax deducted at source for the purposes of section 199
Income-tax (Sixth Amendment) Rules, 2009 - Insertion of rule 37BA and 37-I
NOTIFICATION NO. 28/2009, DATED 16-3-2009
In exercise of the powers conferred by section 295 read with sub-section (3) of section 199 and sub-section (4) of section 206C of the Income-tax Act, 1961 (43 of 1961), the Central Board of Direct Taxes hereby makes the following rules further to amend the Income-tax Rules, 1962, namely :-
1 (1) These rules may be called the Income-tax (Sixth Amendment) Rules, 2009.
(2) They shall come into force with effect from the 1st day of April, 2009.
2. In the Income-tax Rules, 1962,-
(A) after rule 37B, the following rule shall be inserted, namely:-
“Credit for tax deducted at source for the purposes of section 199.
37BA. (1) Credit for tax deducted at source and paid to the Central Government in accordance with the provisions of Chapter XVII, shall be given to the person to whom payment has been made or credit has been given (hereinafter referred to as deductee) on the basis of information relating to deduction of tax furnished by the deductor to the income-tax authority or the person authorised by such authority.
(2) (i) If the income on which tax has been deducted at source is assessable in the hands of a person other than the deductee, credit for tax deducted at source shall be given to the other person in cases where-
(a) the income of the deductee is included in the total income of another person under the provisions of section 60, section 61, section 64, section 93 or section 94;
(b) the income of a deductee being an association of persons or a trust is assessable in the hands of members of the association of persons, or in the hands of trustees, as the case may be;
(c) the income from an asset held in the name of a deductee, being a partner of a firm or a karta of a Hindu undivided family, is assessable as the income of the firm, or Hindu undivided family, as the case may be;
(d) the income from a property, deposit, security, unit or share held in the name of a deductee is owned jointly by the deductee and other persons and the income is assessable in their hands in the same proportion as their ownership of the asset:
Provided that the deductee files a declaration with the deductor and the deductor reports the tax deduction in the name of the other person in the information relating to deduction of tax referred to in sub-rule (1).
(ii) The declaration filed by the deductee under clause (i) shall contain the name, address, permanent account number of the person to whom credit is to be given, payment or credit in relation to which credit is to be given and reasons for giving credit to such person.
(iii) The deductor shall issue the certificate for decuction of tax at source in the name of the person in whose name credit is shown in the information relating to deduction of tax referred to in sub-rule (1) and shall keep the declaration in his safe custody.
(3) (i) Credit for tax deducted at source and paid to the Central Government, shall be given for the assessment year for which such income is assessable.
(ii) Where tax has been deducted at source and paid to the Central Government and the income is assessable over a number of years, credit for tax deducted at source shall be allowed across those years in the same proportion in which the income is assessable to tax.
(4) Credit for tax deducted at source and paid to the account of the Central Government shall be granted on the basis of –
(i) the information relating to deduction of tax furnished by the deductor to the income-tax authority or the person authorized by such authority: and
(ii) the information in the return of income in respect of the claim for the credit,
subject to verification in accordance with the risk management strategy formulated by the Board from time to time.”
(B) after rule 37H, the following rule shall be inserted, namely:–
“Credit for tax collected a source for the purposes of sub-section (4) of section 206C.
37I. (1) Credit for tax collected at source and paid to the Central Government in accordance with provisions of section 206C of the Act, shall be given to the person form whom the tax has been collected, on the basis of the information relating to collection of tax furnished by the person responsible for collection of tax at source (hereinafter referred to as the collector) to the income-tax authority or the person authorized by such authority.
(2) (i) Where tax has been collected at source and paid to the Central Government, credit for such tax shall be given for the assessment year for which the income is assessable to tax.
(iii) Where tax has been collected at source and paid to the Central Government and the lease or license is relatable to more than one year, credit for tax collected at source shall be allowed across those years to which the lease or license relates in the same proportion.
(3) Credit for tax collected at source and paid to the account of the Central Government shall be granted on the basis of –
(i) the information relating to collection of tax furnished by the collector to the income-tax authority or the person authorized by such authority; and
(ii) the information in the return of income in respect of the claim for the credit,
subject to verification in accordance with the risk management strategy formulated by the Board from time to time.”
[F.No. 133/93/2008-TPL]
NOTIFICATION NO. 28/2009, DATED 16-3-2009
In exercise of the powers conferred by section 295 read with sub-section (3) of section 199 and sub-section (4) of section 206C of the Income-tax Act, 1961 (43 of 1961), the Central Board of Direct Taxes hereby makes the following rules further to amend the Income-tax Rules, 1962, namely :-
1 (1) These rules may be called the Income-tax (Sixth Amendment) Rules, 2009.
(2) They shall come into force with effect from the 1st day of April, 2009.
2. In the Income-tax Rules, 1962,-
(A) after rule 37B, the following rule shall be inserted, namely:-
“Credit for tax deducted at source for the purposes of section 199.
37BA. (1) Credit for tax deducted at source and paid to the Central Government in accordance with the provisions of Chapter XVII, shall be given to the person to whom payment has been made or credit has been given (hereinafter referred to as deductee) on the basis of information relating to deduction of tax furnished by the deductor to the income-tax authority or the person authorised by such authority.
(2) (i) If the income on which tax has been deducted at source is assessable in the hands of a person other than the deductee, credit for tax deducted at source shall be given to the other person in cases where-
(a) the income of the deductee is included in the total income of another person under the provisions of section 60, section 61, section 64, section 93 or section 94;
(b) the income of a deductee being an association of persons or a trust is assessable in the hands of members of the association of persons, or in the hands of trustees, as the case may be;
(c) the income from an asset held in the name of a deductee, being a partner of a firm or a karta of a Hindu undivided family, is assessable as the income of the firm, or Hindu undivided family, as the case may be;
(d) the income from a property, deposit, security, unit or share held in the name of a deductee is owned jointly by the deductee and other persons and the income is assessable in their hands in the same proportion as their ownership of the asset:
Provided that the deductee files a declaration with the deductor and the deductor reports the tax deduction in the name of the other person in the information relating to deduction of tax referred to in sub-rule (1).
(ii) The declaration filed by the deductee under clause (i) shall contain the name, address, permanent account number of the person to whom credit is to be given, payment or credit in relation to which credit is to be given and reasons for giving credit to such person.
(iii) The deductor shall issue the certificate for decuction of tax at source in the name of the person in whose name credit is shown in the information relating to deduction of tax referred to in sub-rule (1) and shall keep the declaration in his safe custody.
(3) (i) Credit for tax deducted at source and paid to the Central Government, shall be given for the assessment year for which such income is assessable.
(ii) Where tax has been deducted at source and paid to the Central Government and the income is assessable over a number of years, credit for tax deducted at source shall be allowed across those years in the same proportion in which the income is assessable to tax.
(4) Credit for tax deducted at source and paid to the account of the Central Government shall be granted on the basis of –
(i) the information relating to deduction of tax furnished by the deductor to the income-tax authority or the person authorized by such authority: and
(ii) the information in the return of income in respect of the claim for the credit,
subject to verification in accordance with the risk management strategy formulated by the Board from time to time.”
(B) after rule 37H, the following rule shall be inserted, namely:–
“Credit for tax collected a source for the purposes of sub-section (4) of section 206C.
37I. (1) Credit for tax collected at source and paid to the Central Government in accordance with provisions of section 206C of the Act, shall be given to the person form whom the tax has been collected, on the basis of the information relating to collection of tax furnished by the person responsible for collection of tax at source (hereinafter referred to as the collector) to the income-tax authority or the person authorized by such authority.
(2) (i) Where tax has been collected at source and paid to the Central Government, credit for such tax shall be given for the assessment year for which the income is assessable to tax.
(iii) Where tax has been collected at source and paid to the Central Government and the lease or license is relatable to more than one year, credit for tax collected at source shall be allowed across those years to which the lease or license relates in the same proportion.
(3) Credit for tax collected at source and paid to the account of the Central Government shall be granted on the basis of –
(i) the information relating to collection of tax furnished by the collector to the income-tax authority or the person authorized by such authority; and
(ii) the information in the return of income in respect of the claim for the credit,
subject to verification in accordance with the risk management strategy formulated by the Board from time to time.”
[F.No. 133/93/2008-TPL]
Monday, March 2, 2009
Applicability of the provisions of the Export of Services Rules, 2005 in certain situations
Circular No.111/05/2009-ST
F.No.137/307/2007-CX.4 (Pt.)
Government of India
Ministry of Finance
Department of Revenue
(Central Board of Excise & Customs)
*****
New Delhi, dated the 24th February, 2009.
Subject: Applicability of the provisions of the Export of Services Rules, 2005 in certain situations
In terms of rule 3 (2) (a) of the Export of Services Rules 2005, a taxable service shall be treated as export of service if “such service is provided from India and used outside India” Instances have come to notice that certain activities, illustrations of which are given below, are denied the benefit of export of services and the refund of service tax under rule 5 of the Cenvat Credit Rules, 2004 [notification No. 5/2006-CE (NT) dated 14.03.2006] on the ground that these activities do not satisfy the condition ‘used outside India’,-
(i) Call centres engaged by foreign companies who attend to calls from customers or prospective customers from all around the world including from India;
(ii) Medical transcription where the case history of a patient as dictated by the doctor abroad is typed out in India and forwarded back to him;
(iii) Indian agents who undertake marketing in India of goods of a foreign seller. In this case, the agent undertakes all activities within India and receives commission for his services from foreign seller in convertible foreign exchange;
(iv) Foreign financial institution desiring transfer of remittances to India, engaging an Indian organisation to dispatch such remittances to the receiver in India. For this, the foreign financial institution pays commission to the Indian organisation in foreign exchange for the entire activity being undertaken in India.
The departmental officers seem to have taken a view in such cases that since the activities pertaining to provision of service are undertaken in India, it cannot be said that the use of the service has been outside India.
2. The matter has been examined. Sub-rule (1) of rule 3 of the Export of Services Rule, 2005 categorizes the services into three categories:
(i) Category (I) [Rule 3(1)(i)] : For services (such as Architect service, General Insurance service, Construction service, Site Preparation service) that have some nexus with immovable property, it is provided that the provision of such service would be ‘export’ if they are provided in relation to an immovable property situated outside India.
(ii) Category (II) [Rule 3(1)(ii)] : For services (such as Rent-a-Cab operator, Market Research Agency service, Survey and Exploration of Minerals service, Convention service, Security Agency service, Storage and Warehousing service) where the place of performance of service can be established, it is provided that provision of such services would be ‘export’ if they are performed (or even partly performed) outside India.
(iii) Category (III) [Rule 3(1)(iii)] : For the remaining services (that would not fall under category I or II), which would generally include knowledge or technique based services, which are not linked to an identifiable immovable property or whose location of performance cannot be readily identifiable (such as, Banking and Other Financial services, Business Auxiliary services and Telecom services), it has been specified that they would be ‘export’,-
(a) If they are provided in relation to business or commerce to a recipient located outside India; and
(b) If they are provided in relation to activities other than business or commerce to a recipient located outside India at the time when such services are provided.
3. It is an accepted legal principle that the law has to be read harmoniously so as to avoid contradictions within a legislation. Keeping this principle in view, the meaning of the term ‘used outside India’ has to be understood in the context of the characteristics of a particular category of service as mentioned in sub-rule (1) of rule 3. For example, under Architect service (a Category I service [Rule 3(1)(i)]), even if an Indian architect prepares a design sitting in India for a property located in U.K. and hands it over to the owner of such property having his business and residence in India, it would have to be presumed that service has been used outside India. Similarly, if an Indian event manager (a Category II service [Rule 3(1)(ii)]) arranges a seminar for an Indian company in U.K. the service has to be treated to have been used outside India because the place of performance is U.K. even though the benefit of such a seminar may flow back to the employees serving the company in India. For the services that fall under Category III [Rule 3(1)(iii)], the relevant factor is the location of the service receiver and not the place of performance. In this context, the phrase ‘used outside India’ is to be interpreted to mean that the benefit of the service should accrue outside India. Thus, for Category III services [Rule 3(1)(iii)], it is possible that export of service may take place even when all the relevant activities take place in India so long as the benefits of these services accrue outside India. In all the illustrations mentioned in the opening paragraph, what is accruing outside India is the benefit in terms of promotion of business of a foreign company. Similar would be the treatment for other Category III [Rule 3(1)(iii)] services as well.
4. All pending cases may be disposed of accordingly. In case any difficulty is faced in implementing these instructions, the same may be brought to the notice of the undersigned. These instructions should be given wide publicity among trade and field officers.
5. Please acknowledge receipt.
6. Hindi version follows.
Yours faithfully,
(Gautam Bhattacharya)
Commissioner (Service Tax)
Tel: 23093027
F.No.137/307/2007-CX.4 (Pt.)
Government of India
Ministry of Finance
Department of Revenue
(Central Board of Excise & Customs)
*****
New Delhi, dated the 24th February, 2009.
Subject: Applicability of the provisions of the Export of Services Rules, 2005 in certain situations
In terms of rule 3 (2) (a) of the Export of Services Rules 2005, a taxable service shall be treated as export of service if “such service is provided from India and used outside India” Instances have come to notice that certain activities, illustrations of which are given below, are denied the benefit of export of services and the refund of service tax under rule 5 of the Cenvat Credit Rules, 2004 [notification No. 5/2006-CE (NT) dated 14.03.2006] on the ground that these activities do not satisfy the condition ‘used outside India’,-
(i) Call centres engaged by foreign companies who attend to calls from customers or prospective customers from all around the world including from India;
(ii) Medical transcription where the case history of a patient as dictated by the doctor abroad is typed out in India and forwarded back to him;
(iii) Indian agents who undertake marketing in India of goods of a foreign seller. In this case, the agent undertakes all activities within India and receives commission for his services from foreign seller in convertible foreign exchange;
(iv) Foreign financial institution desiring transfer of remittances to India, engaging an Indian organisation to dispatch such remittances to the receiver in India. For this, the foreign financial institution pays commission to the Indian organisation in foreign exchange for the entire activity being undertaken in India.
The departmental officers seem to have taken a view in such cases that since the activities pertaining to provision of service are undertaken in India, it cannot be said that the use of the service has been outside India.
2. The matter has been examined. Sub-rule (1) of rule 3 of the Export of Services Rule, 2005 categorizes the services into three categories:
(i) Category (I) [Rule 3(1)(i)] : For services (such as Architect service, General Insurance service, Construction service, Site Preparation service) that have some nexus with immovable property, it is provided that the provision of such service would be ‘export’ if they are provided in relation to an immovable property situated outside India.
(ii) Category (II) [Rule 3(1)(ii)] : For services (such as Rent-a-Cab operator, Market Research Agency service, Survey and Exploration of Minerals service, Convention service, Security Agency service, Storage and Warehousing service) where the place of performance of service can be established, it is provided that provision of such services would be ‘export’ if they are performed (or even partly performed) outside India.
(iii) Category (III) [Rule 3(1)(iii)] : For the remaining services (that would not fall under category I or II), which would generally include knowledge or technique based services, which are not linked to an identifiable immovable property or whose location of performance cannot be readily identifiable (such as, Banking and Other Financial services, Business Auxiliary services and Telecom services), it has been specified that they would be ‘export’,-
(a) If they are provided in relation to business or commerce to a recipient located outside India; and
(b) If they are provided in relation to activities other than business or commerce to a recipient located outside India at the time when such services are provided.
3. It is an accepted legal principle that the law has to be read harmoniously so as to avoid contradictions within a legislation. Keeping this principle in view, the meaning of the term ‘used outside India’ has to be understood in the context of the characteristics of a particular category of service as mentioned in sub-rule (1) of rule 3. For example, under Architect service (a Category I service [Rule 3(1)(i)]), even if an Indian architect prepares a design sitting in India for a property located in U.K. and hands it over to the owner of such property having his business and residence in India, it would have to be presumed that service has been used outside India. Similarly, if an Indian event manager (a Category II service [Rule 3(1)(ii)]) arranges a seminar for an Indian company in U.K. the service has to be treated to have been used outside India because the place of performance is U.K. even though the benefit of such a seminar may flow back to the employees serving the company in India. For the services that fall under Category III [Rule 3(1)(iii)], the relevant factor is the location of the service receiver and not the place of performance. In this context, the phrase ‘used outside India’ is to be interpreted to mean that the benefit of the service should accrue outside India. Thus, for Category III services [Rule 3(1)(iii)], it is possible that export of service may take place even when all the relevant activities take place in India so long as the benefits of these services accrue outside India. In all the illustrations mentioned in the opening paragraph, what is accruing outside India is the benefit in terms of promotion of business of a foreign company. Similar would be the treatment for other Category III [Rule 3(1)(iii)] services as well.
4. All pending cases may be disposed of accordingly. In case any difficulty is faced in implementing these instructions, the same may be brought to the notice of the undersigned. These instructions should be given wide publicity among trade and field officers.
5. Please acknowledge receipt.
6. Hindi version follows.
Yours faithfully,
(Gautam Bhattacharya)
Commissioner (Service Tax)
Tel: 23093027
Service Tax - Repair/ renovation/ widening of roads
Circular No. 110/4/2009-ST.
F. No. 345/ 17 /2008-TRU
Government of India
Ministry of Finance
Department of Revenue
Tax Research Unit
*****
New Delhi, the 23rd February, 2009.
Subject: Reference from Commissioner Nashik seeking clarification in respect of levy of service tax on Repair/ renovation/ widening of roads – Regarding.
Representations have been received by the Board pointing out divergent practices being followed by field formations with regard to levy of service tax on maintenance and repair of roads.
2. Commercial or industrial construction service [section 65(105) (zzq)] specifically excludes construction or repairs of roads. However, management, maintenance or repair provided under a contract or an agreement in relation to properties, whether immovable or not, is leviable to service tax under section 65(105) (zzg) of the Finance Act, 1994. There is no specific exemption under this service for maintenance or repair of roads etc. Reading the definitions of these two taxable services in tandem leads to the conclusion that while construction of road is not a taxable service, management, maintenance or repair of roads are in the nature of taxable services, attracting service tax.
3. The next issue requiring resolution is the types of activities that can be called as ‘construction of road’ as against the activities which should fall under the category of maintenance or repair of roads. In this regard the technical literature on the subject indicate that the activities can be categorized as follows,-
(A) Maintenance or repair activities:
I. Resurfacing
II. Renovation
III. Strengthening
IV. Relaying
V. Filling of potholes
(B) Construction Activities:
I. Laying of a new road
II. Widening of narrow road to broader road (such as conversion of a two lane road to a four lane road)
III. Changing road surface ( graveled road to metalled road/ metalled road to blacktopped/ blacktopped to concrete etc)
4. The cases may be decided/ revenue should be protected based on the above classification. Suitable Trade and Public notices may be issued for information of the trade and field formations.
5. Receipt of this Circular may please be acknowledged.
6. Hindi Version will follow.
Yours faithfully,
(Unmesh Sharad Wagh)
Under Secretary (TRU)
F. No. 345/ 17 /2008-TRU
Government of India
Ministry of Finance
Department of Revenue
Tax Research Unit
*****
New Delhi, the 23rd February, 2009.
Subject: Reference from Commissioner Nashik seeking clarification in respect of levy of service tax on Repair/ renovation/ widening of roads – Regarding.
Representations have been received by the Board pointing out divergent practices being followed by field formations with regard to levy of service tax on maintenance and repair of roads.
2. Commercial or industrial construction service [section 65(105) (zzq)] specifically excludes construction or repairs of roads. However, management, maintenance or repair provided under a contract or an agreement in relation to properties, whether immovable or not, is leviable to service tax under section 65(105) (zzg) of the Finance Act, 1994. There is no specific exemption under this service for maintenance or repair of roads etc. Reading the definitions of these two taxable services in tandem leads to the conclusion that while construction of road is not a taxable service, management, maintenance or repair of roads are in the nature of taxable services, attracting service tax.
3. The next issue requiring resolution is the types of activities that can be called as ‘construction of road’ as against the activities which should fall under the category of maintenance or repair of roads. In this regard the technical literature on the subject indicate that the activities can be categorized as follows,-
(A) Maintenance or repair activities:
I. Resurfacing
II. Renovation
III. Strengthening
IV. Relaying
V. Filling of potholes
(B) Construction Activities:
I. Laying of a new road
II. Widening of narrow road to broader road (such as conversion of a two lane road to a four lane road)
III. Changing road surface ( graveled road to metalled road/ metalled road to blacktopped/ blacktopped to concrete etc)
4. The cases may be decided/ revenue should be protected based on the above classification. Suitable Trade and Public notices may be issued for information of the trade and field formations.
5. Receipt of this Circular may please be acknowledged.
6. Hindi Version will follow.
Yours faithfully,
(Unmesh Sharad Wagh)
Under Secretary (TRU)
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