Author: CA Tarannum Khatri

Accountant can not be held liable for short payment of service tax.

M/S Mahisagar Welding works VS. CCI Ahmedabad Court: West zonal bench at ahmedabad court-III   Appeal No. : ST/328/2012 -SM   Appearance: For assessee: Shri vipul Khandar , Chartered Accountants For revenue: Shri GP thomus, A.R.   Brief: There was short payment of service tax by forging in duty paying challan. Appellant had appealed that accountant was responsible for this act act and assessee should not be held liable. Final order was passed that assessee can’t held liable to any other person, acting as his agent, responsible for his willful wrong act or fraud. Details: The assessee has filed appeal against order passed by Additional commissioner , Ahmedabad III. Shri Vipul Khandar , appearing on behalf of appellant argued that delay in payment of service tax is due to Accountant of assessee who had not deposited service tax in time and had forged in figures of service tax payment challan. The shortfall was made good by depositing service tax with interest. Interest was paid after issue of show cause notice. Mr Khandar also argued that penalty should not be levied in this case. He Relied upon following case for non levy of penalty: CBEC Circular No. 137/167/2006 -CX 4. date 3/10/2007 and Bajaj Travels LTD vs. CST. It was also argued that if the above arguement was not accepted then both penalty cannot be invoked  u/s 76 and 78...

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All about company secretary course

The importance of company secretary course has been increase with introduction of companies act, 2013. Company secretary has been considered as key managerial personnel according to the act. Company secretary work is not limited with compliance of company act but he can handle many laws like service tax, labour laws etc. You can also join the course and give KICK to your career.   You can join company secretary course after 12th or graduation/post graduation. Professional like CA, CMA, CWA can also join the course with some relaxation in subjects.   Stages of course: Foundation course (For who join the course after 12th) Executive Programme (for who join after graduation or CA/CMA) Professional Programme (can be joined after executive programme) Admissions dates: Foundation course: Last date for filling form is 31st march for the December exam. Last date for filling form is 30th September for June exam. Executive Programme: Last date for filling form is 28th February for appearing in both modules in December exam in same year. For appearing in one module in December exam, it is 31st May. Last date for filling form is 31st August for appearing in both modules in June exam in next year. For appearing in one module in June exam next year, it is 30 November.   Subjects of CS course:   Foundation: Business environment and Entrepreneurship. Business management, ethics and communication....

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Dividend distribution tax (sec115-O and 115R)-new calculation

If you have invested in the shares of company, you may be aware of dividend distribution tax.   What is dividend distribution tax? When domestic company distributes profit by way of dividend, the company has to pay additional tax via dividend distribution tax. This provision is applicable to mutual fund companies too. Company is not paying dividend from own income but deducting it from dividend and distributing remaining amount to shareholders. Necessity of DDT: We all know that dividend is income and it is taxable. Instead of collecting tax on dividend from each person, the government has introduced section 115O. As per section 115O, company deducts tax from dividend income while distributing dividend income and pays remaining amount to shareholders. DDT vs TDS: DDT is not tax deducted at source but it is like advance tax which shareholders deposit through company.   Does dividend income tax again in the hands of shareholder? No, dividend received by shareholders is exempt as it is already taxed before distribution.   Rate of dividend distribution tax: For domestic company:15% (effective rate is 16.995% including surcharge and education cess) Note: new rate 19.994% from 1st october, 2014. Mutual fund to individual and HUF: 28.325% (effective rate) The rates are effective rates for distribution of dividend. It will be calculated on dividend paid amount.     Calculation of dividend distribution tax: Before 1/10/14: Distribution of...

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How to file rectification request under income tax act?

  Hi, I hope you complete work of income tax return filling in july. Still if you find the mistake, you can file revised return up to 31st March, 2016. But remember that belated return can’t be revised. Belated return is return which has been filed after due date of return filling. It is 31st july for non audited party and non company assessee. So what to do when you have filed belated return and found mistake in it and received CPC demand order? The answer is file rectification request to income tax department.   Rectification request can be filed in two ways. First: File online rectification request: You have to file online rectification request if you file online income tax return. Second: File rectification request manually: If you file income tax return manually, file rectification request manually. What mistakes can you correct from rectification? Rectification request is limited to error in arithmetic calculation or mistake apparent from record. Mistake apparent from record can be mistake of law or fact but not be debatable issue of interpretations. Rectification request can be filled only to amend intimation or deemed intimation u/s 143(1). Time Limit: Time limit for filling rectification request is 4 years from the end of financial year in which the order was passed. It means that if order is passed in july 2014, you can file rectification up...

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Analysis of pass percentage of CA Final Exams-May2013, Nov 2013, May 2014

Result of CA final exam was declared yesterday. Congratulations to whom who have passed. The students who have not crossed ,don’t loose hope. Try again and do your best. As we all know, CA exam is one of the toughest exams. But the sad things is that ICAI is not maintaining result percentage criteria for many years. When result is declared, we ask each other about pass percentage. But when we go for interview, interviewer does not ask us about pass percentage. You are CA and that’s enough. Of course, attempts are counted. But in some cases, when result percentage is high, many students are crossed out and when result percentage is low, eligible students who are more brilliant than former can’t cross the exam. So it all depends on luck. As we says always. So according to me, ICAI should try to maintain average rate of pass percentage. So that, eligible will not suffer. In this article, I have tried to analysis previous three exams results of CA final, from May 2013 to May 2014. May 2013   Group Attended Passed Passing % Both 27556 2764 10.03% Group 1 45822 6319 13.79% Group 2 50354 9389 18.65%   Nov 2013 (Lowest Result in last 23 Years) Group Attended Passed Passing % Both 32536 1013 3.11% Group 1 51728 2932 5.67% Group 2 54786 4026 7.35%     May 2014...

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