Skip to main content

RECENT

1.  Indirect tax board had removed a “controversial” circular that imposed GST on post-sale discounts by dealers, but it has done little to clear the confusion around the many issues that arose with the circular. 

2.  In June, the CBIC had issued a circular which said that dealers will have to pay 18% GST on the post-sale discount that they get from the suppliers of goods, if the supplier asks them to pass on the concessions to the end consumer. 

3.  The circular came out with different situations where GST should be paid and where it should not. For instance, imagine that a company sells a car to a dealer for Rs 10 lakh and later gives a discount of Rs 50,000. In doing so, the firm did not put any obligation on the dealer to pass on the benefit. So, the dealer need not pay any GST on Rs 50,000. However, if the company asks the dealer to pass on the benefit to the customer, then the dealer has to pay GST on the entire amount, including Rs 50,000. 

4.  The Confederation of Indian Industry (CII) had said This had irked industry, particularly the auto sector, which has already been reeling under the pressure of subdued demand. this circular violated the cardinal principle of GST that the tax cost is to be borne by the ultimate consumer.

5.  This principle means that the supply of goods or service should suffer the tax only to the extent of consideration paid by the ultimate consumer,” the CII had said, demanding that this provision in the circular be changed. It said additional discounts are generally given to liquidate the old inventories or push products under weak market conditions. 

Comments

Post a Comment

Popular posts from this blog

Income Tax Return Filing Updates for FY 2024-25 (AY 2025-26)

 Hope you are doing well. We would like to share important updates related to Income Tax Return (ITR) filing for the Financial Year 2024-25 (Assessment Year 2025-26): ✅ Key Updates – FY 2024-25 (AY 2025-26) ITR Filing Due Dates: Individual / Salaried / HUF (Non-audit cases): 31st July 2025 Extended Due Dates is 15-09-2025. New Tax Regime Default: From FY 2023–24 onwards, the new tax regime is the default . If you wish to opt for the old regime, you must specifically choose it while filing your return (Form 10IEA in applicable cases). PAN-Aadhaar Linking: Ensure your PAN is linked with Aadhaar . PANs not linked are inoperative , and such taxpayers cannot file ITR or claim refunds. Pre-filled ITR Forms: The Income Tax portal now provides pre-filled details from Form 26AS, AIS/TIS, and Form 16. Please verify all data before final submission. Form 16 & TDS Certificates: Employers and deductors are issuing Form 16 and TDS certificates. Kindly arrange to col...
Post a Comment
Read more
  Benefits of Income Tax Return (ITR) Filing         Income Tax Return (ITR) filing is a form in which you declare your income details, taxes payable on other income, deductions & exemptions for a particular financial year. As per the tax laws, individuals with taxable income or income above the basic exemption limit have to mandatorily file an ITR every year before the due date. Under Section 234F of the IT Act, not filing ITR before the due date can attract a penalty of up to INR 5,000 and result in other severe consequences. Filing an ITR helps you to claim for tax deductions, thus reducing your tax outgo & growing your savings. But apart from this, there are additional income tax return filing benefits. Take a look-   Benefits of ITR 1. Easy Loan Approval The income stability of the borrowers is critical for the lenders. This is why borrowers must submit an ITR of at least three consecutive years when applying for loan products such as Home Loan...
Post a Comment
Read more

The due date for Income Tax return filing for Firms and HUF for FY 2021-22 is 31st July, 2022.

 Income Tax Department has notified 7 various forms up till now i.e. Form ITR 1 to ITR 7 for filing Income Tax Return for different types of income and different types of entities. It is important that every taxpayer should file his/her Income Tax Return on or before the specified due date. In this article, we have mentioned all the Important ITR Filing Due dates for individual, companies, LLPs and Firms, and HUFs for the FY 2021-22 (AY 2022-23).  Income Tax Return or ITR as we may call it is a form where all the taxpayers has to declare their taxable incomes from all the sources. Not only this but the taxpayer shall also have to mention all the eligible deductions and tax payments if any, in the IT Return Form. Filing of this form with the Income Tax Department is call ITR Filing or Income Tax Return filing. Irrespective of the Accounting Year adopted by a taxpayer, he/she needs to file an Income Tax Return for a particular Financial Year (i.e. April to March). Due dates for ...
Post a Comment
Read more