KNOWLEDGE BANK

"  The man who has confidence in himself gains the confidence of others ”   SECTION 206C(1H) OF INCOME TAX ACT,1961   Section 206C(1H) – Every person, being a seller , who receives any amount as consideration for sale of any goods of the value or aggregate of such value exceeding fifty lakh rupees in any previous year, other than the goods being exported out of India or goods covered in sub-section (1) or subsection (1F) or sub-section (1G) shall, at the time of receipt of such amount, collect from the buyer , a sum equal to 0.1% of the sale consideration exceeding fifty lakh rupees as income-tax. This section becomes operative from 1st October 2020.   Provided that if the buyer has not provided the Permanent Account Number or the Aadhar number to the seller, then the provisions of clause (ii) of sub-section (1) of section 206CC shall be read as if for the words “5%”, the words “1%” had been substituted....

"  Hold the vision, Trust the Process”   MASTER UPDATES OF THE WEEK   INCOME TAX ITR 1,2,3,4 and 5 for AY 2020-21 is available on Income Tax e-filing portal. CBDT has informed that it has issued refunds of INR 95,853 crores to more than 25 lakhs taxpayers including Corporate Tax refunds of INR 66,793 crores from April-20 to till date. GOODS AND SERVICE TAX CBIC has been notified that now interest shall be charged on the amount of NET LIABILITY of GST (i.e. the tax liability to be discharged in cash), earlier it was charged on the basis of gross liability. This provision shall be applicable on retrospective basis.    There is no change in threshold exemption limit for GST applicability, 20 lakhs limit for service provider and 40 lakhs for Goods supplier as notified earlier. GSTN has enabled filing of refund application in GST RFD-01 relating to different FYs in a single refund application. CBIC...

  "  Try not to become a person of Success, but rather try to become a person of Value”   CLARIFICATION BY CBIC ON NET GST INTEREST LIABILITY   The GST Council in its 39th GST Council Meeting had notified that the interest will be chargeable on the net GST liability w.e.f. 1 st  Sep 2020. This Notification had created confusion among the taxpayers. Now CBIC has issued a clarification regarding the same which is as under:   Interest on delayed payment of GST: CBIC  The Central Board of Indirect Taxes & Customs (CBIC) today clarified that the Notification No. 63/2020-Central Tax dated 25th August 2020 relating to interest on delayed payment of GST has been issued prospectively due to certain technical limitations. However, it has assured that no recoveries shall be made for the past period as well by the Central and State tax administration in accordance with the decision taken...

  "  Success is walking from failure to failure with no loss of enthusiasm”   DELAYED GST PAYMENT: INTEREST TO BE CHARGED ON NET TAX LIABILITY FROM SEPTEMBER 1   The GST Council in its 39th GST Council Meeting had notified that the interest will be chargeable on the net GST liability and that too with retrospective effect that is July 2017. However, as per the latest notification, 1/09/2020 has been notified as to the effective date for the same. This Notification has created confusion among the taxpayers.   Official Notification is as under: MINISTRY OF FINANCE (Department of Revenue) (Central Board of Indirect Taxes and Customs) NOTIFICATION New Delhi, the 25th August, 2020 No. 63/2020 - Central Tax "G.S.R. 527(E). - In exercise of the powers conferred by sub-section (2) of section 1 of the Finance (No. 2) Act, 2019 (23 of 2019), the Central Government hereby appoints the 1st...