Page 16 - Tax

Increase import duty on paper, paperboards to 25% in Budget: Industry body

Domestic paper and paperboard manufacturers have demanded a hike in import duty to 25 per cent on paper products and the imposition of a quality control order in the upcoming Budget to discourage cheap inward shipments. The Indian Paper Manufacturers Association (IPMA), in a statement on Monday, said that in its pre-budget submissions to the government, it has urged for increasing the basic customs duty on the import of paper and paperboard from 10 per cent to 25 per cent as India's WTO Bound rate is 40 per cent on these products. The association has also asked for the issuance of quality control orders (QCOs) for different grades of paper to ensure the supply of quality products to Indian consumers and check the import of sub-standard products into the country. IPMA President Pawan Agarwal urged the government to keep paper and paperboard on the negative list while reviewing the existing FTAs (ASEAN, South Korea and Japan) and formulating new ones. He mentioned that any increase i

Record tax collections result of reforms during 10 years, says PM Modi

Prime Minister Narendra Modi on Tuesday said a lot of tax reforms were brought in during the last 10 years resulting in record tax collection. Addressing a gathering after inaugurating the National Academy of Customs, Indirect Taxes and Narcotics (NACIN) in Palasamudram in Sri Satyasai district, Modi said the tax payers money was being properly utilised and whatever collected is given back to the people in different forms. Several reforms were brought in in the tax system during the last ten years. Earlier, there used to be different tax systems which common citizens found difficult to understand. Due to lack of transparency, honest tax payers and business people were being troubled, he said. In the form of GST, the country got a modern tax system in place, he said adding that the central government also simplified the Income Tax system. Pointing to the introduction of faceless tax assessment system in the country, Modi said due to these reforms today in the country record tax ...

Govt may extend concessional 15% tax for new production units by a year: EY

The government may extend the concessional 15 per cent income tax rate for corporates to set up new manufacturing units by one year till March 31, 2025, to encourage private investments, EY said in its 2024 Budget expectation report. Finance Minister Nirmala Sitharaman is scheduled to present the interim Budget for 2024-25 on February 1. EY in its Budget expectations report also said that in the interim Budget, the government would continue its focus on ease of paying taxes, while legislative reforms will stay work-in-progress. To encourage more investment in the manufacturing sector and exports, the interim Budget may extend the sunset date for commencing manufacturing from March 31, 2024, till March 31, 2025, for companies availing 15 per cent concessional income tax rate, EY said. The government in 2019 announced that any new domestic company incorporated on or after October 1, 2019, making fresh investment in manufacturing, will have the option to pay income tax at the rate of

Need to rationalise customs duties in sectors with healthy growth: Official

There is a need to rationalise customs duties particularly in those sectors which are growing at a healthy pace for the last several decades, an official said on Thursday. The official, however, said that providing a protection of high duty is required for the infant domestic industry. "But if the industry is 40-50 years old and has developed, has good competition, good investments and if they are globally known, then they should also be competing with the global firms," the official argued. Normally, customs duties or tariffs are used as a policy tool to ensure a higher level of protection for certain sectors to boost domestic manufacturing. These remarks assume significance as there is demand from countries which are negotiating free-trade agreements with India to cut down import duties in sectors such as auto and alcoholic beverages. Overall duties in certain segments are up to 150 per cent like alcoholic beverages. "There is a need for balancing in the duty structure. One cou

LIC gets 2 tax demand notices worth Rs 3,529 crore from Mumbai officials

Life Insurance Corporation of India (LIC) on Thursday said tax authorities have slapped two demand notices aggregating to about Rs 3,529 crore on it. The corporation has received orders from Income Tax authorities regarding Income Tax demand issued by Assistant Commissioner of Income Tax, Mumbai, LIC said in a regulatory filing. LIC would file an appeal before the Commissioner (Appeals), Mumbai, against the said orders within the prescribed timelines, it said. There is no material impact on financials, operations or other activities of the corporation, according to LIC.

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Only parents of a girl child who do not mind the long lock-in should go for it

Delhi L-G approves Delhi Goods and Services Tax (Second Amendment) Bill

Lt Governor VK Saxena has approved the Delhi Goods and Services Tax (Second Amendment) Bill, 2023, passed by the assembly last month, Raj Niwas officials said on Wednesday. The bill passed by the Delhi Legislative Assembly aims at ensuring uniformity between central and state legislations on provisions of the Goods and Services Tax, they said. The bill has made amendments in the Delhi Goods and Services Tax Act, 2017, to provide for a reference to the word "goods" and certain time limits and input tax credits, according to recommendations of the GST Council in its meetings. The GST Council -- in its 47th, 48th and 49th meetings -- recommended various amendments in the provisions of the Central Goods and Services Tax Act, 2017, through the Finance Act, 2023. The bill amends sub-section (1) of Section 132 to decriminalise offences and to increase the monetary threshold from Rs 1 crore to Rs 2 crore for launching prosecution for offences under the act, except for those related to the

Online gaming co Delta Corp disputes GST demand, posts profit decline in Q3

The company, which is also a casino operator, reported a 59 per cent year-on-year decline in its consolidated net profit for the quarter ended December 2023 at Rs 34.48 crore

Property tax payment rules to be amended: Karnataka Dy CM Shivakumar

While the government will bring in reforms, it is important that people also pay taxes promptly as per the properties they own, he added

VIL to seek reversal of Rs 10.7 cr penalty order received under CGST Act

Vodafone Idea on Thursday said that it has received an order under the Central Goods and Services Tax Act, 2017, entailing a penalty of Rs 10.76 crore. The troubled telco further said it will seek rectification and reversal of the order, as it does not agree with it. In a BSE filing, VIL said the contravention related to the "alleged wrong transition of CENVAT credit into GST regime". Citing details it said the order was received by the company under the Central Goods and Services Tax Act, 2017, entailing a levy of a penalty of Rs 10,76,56,733. The order was received on January 3, 2024. "The company does not agree with the order and will take appropriate action(s) for rectification/ reversal of the same," Vodafone Idea said in the filing.

LIC receives GST demand notice of Rs 663 crore from Chennai tax officials

Life Insurance Corporation of India (LIC) on Wednesday said tax authorities have slapped a demand notice of about Rs 663.45 crore on it for short payment of Goods and Services Tax (GST). The corporation has received communication/demand order for interest and penalty from Office of the Commissioner of CGST & Central Excise, Chennai North Commissionerate on January 1, LIC said in a regulatory filing. The demand pertains to wrong availment of Input Tax Credit (ITC) and non-payment on tax on turnover wrongly declared as non-GST supply in GSTR-1 for 2017-18, and 2018-19, it said. The corporation shall file an appeal before the Commissioner (Appeals), Chennai against the said order within the prescribed timelines, it said. There is no material impact on financials, operations or other activities of the corporation, it added. On Tuesday, the company received a demand order for interest and penalty of about Rs 116 crore for Telangana state for short payment of GST for 2017-18. The deman

Punjab's GST revenue rises 16.52% to Rs 15,524 crore in April-December

Punjab saw a 16.52 per cent year-on-year growth in revenue from Goods and Services Tax (GST) and a 10.4 per cent increase in revenue from excise levy during the April-December period of the current fiscal year. Punjab's Finance Minister Harpal Singh Cheema on Wednesday said the net GST collection up to December in FY24 was Rs 15,523.74 crore against the mop-up of Rs 13,322.59 crore during the April-December period of the previous financial year. Thus, the net increase in GST collection amounts to Rs 2,201.15 crore, he added. The minister said that the revenue from excise levy up to December in FY23 was Rs 6,050.7 crore, whereas for the current fiscal year, it rose to Rs 6,679.84 crore. Giving details about state's tax revenue, Cheema, in an official statement, said that Punjab achieved a growth rate of 14.15 per cent in total revenue from VAT, CST, GST, PSDT and excise up to December during the current fiscal year as compared to the same period of FY23. He said that revenue from V

LIC receives GST demand notice of Rs 116 crore for Telangana state

Life Insurance Corporation of India (LIC) on Tuesday said tax authorities have slapped a demand notice of about Rs 116 crore on it for short payment of Goods and Services Tax (GST) for 2017-18. The company has received communication/demand order for interest and penalty for Telangana state on January 2, LIC said in a regulatory filing. The corporation shall file an appeal before Joint Commissioner (ST), Hyderabad Rural Division against the said order within the prescribed timelines, it said. There is no material impact on financials, operations or other activities of the corporation, it added. The demand for Telangana came a day after LIC on Monday received a similar notice demanding about Rs 806 crore for short payment of GST for 2017-18 along with interest and penalty for Maharashtra.

Asian Paints receives three GST demand notices worth Rs 2.07 crore

Asian Paints on Tuesday said it has received three orders for GST demand, totalling Rs 2.07 crore. The total amount includes interest and penalties. The three orders related to the availing of "alleged ineligible Input Tax Credit (ITC)," were received on December 30, the leading paints maker said in a regulatory filing. These include an order passed under the Central Goods and Services Tax Act and Andhra Pradesh Goods and Services Tax Act for FY18-FY20, raising a demand of Rs 1.01 crore, disallowing ITC pertaining to repair and maintenance, travelling, and promotional expenses, and a penalty of Rs 5.72 lakh. Asian Paints had on Monday said it received a demand notice of Rs 13.83 crore and a penalty of Rs 1.38 crore from the Deputy Commissioner of State Tax, Chennai. This was also regarding a mismatch on ITC for FY18. The company said it has "rightly availed the ITC" for all three cases and also fulfilled all conditions prescribed under the Acts. "Further, the company has a stron

Asian Paints gets GST demand notice of Rs 13.83 crore from TN's tax dept

Asian Paints on Monday informed that it has received a GST demand notice of Rs 13.83 crore and a penalty of Rs 1.38 crore from the Deputy Commissioner of State Tax, Chennai. The demand is for the financial year 2017-18 over mismatch on input tax credit (ITC), the leading paints maker said in a regulatory filing. "The company has a strong case based on merits and will be filing rectification and/or appeal against the said order within the prescribed timelines," it added. Asian Paints further said it has discharged applicable taxes on the outward supplies made by the company and has also fulfilled all the conditions prescribed for availing of the ITC. The order was passed under relevant provisions of the Central Goods and Services Tax Act, 2017, and the corresponding provisions of the Tamil Nadu Goods and Services Tax Act, 2017. The department has demanded "additional tax on outward supplies, disallowance on account of ITC mismatch between purchases reported by the supplier in GST .

Eicher Motors gets Rs 130 cr tax demand notices, company to challenge

Eicher Motors has been served demand notices of over Rs 130 crore from three different authorities over issues related to GST, according to a regulatory filing by the company. The company has received a demand order for an aggregate amount of Rs 129.79 crore, including a penalty of Rs 11.8 crore and applicable interest from the office of the Principal Commissioner of CGST and Central Excise, Chennai, Eicher Motors said in a regulatory filing. The officer has disallowed certain GST credit and raised GST demand, largely on account of the difference in GST credit mismatch between the company's GST availment and details reported by suppliers in their GST returns, it added. Besides, the turnover difference as declared in GSTR-3B with GSTR-1 return and non-reversal of input tax credit on material returned instead of output tax liability paid by the company have also been cited as reasons. Eicher Motors further said a demand order for Rs 70.9 lakh, including a penalty of Rs 3.2 lakh, has

Tax collection to grow 3 times to over Rs 19 trn in 10 years of Modi govt

Personal income and corporate tax collections are likely to rise to more than Rs 19 lakh crore in 10 years of Prime Minister Narendra Modi-led government, providing more leeway to come out with people-friendly tax measures. Driven by the increasing income of individuals, net direct tax collections after adjusting for refunds increased from Rs 6.38 lakh crore in FY 2013-14 to Rs 16.61 lakh crore in FY 2022-23. In the current financial year, the collections from net direct taxes -- personal income tax and corporate tax -- have so far grown by 20 per cent and at this pace, the mop-up is likely to be around Rs 19 lakh crore in the fiscal ending on March 31, 2024. The projected amount will exceed the estimate of Rs 18.23 lakh crore in the 2023-24 Budget. Over the years, the government has been trying to make the tax regime simpler with lower rates and fewer exemptions. In 2019, the government offered a lower rate of tax for corporates who forego exemptions. Similar scheme was introduced

Bata India receives Rs 60 crore notice from sales tax authorities

Footwear major Bata India has received a notice from the State Tax Officer, Anna Salai Assessment Circle, Chennai, amounting to Rs 60.56 crore, the company said in a filing to the bourses on Thursday. The notice dated December 27, 2023, pertains to several issues raised in a final audit report on December 25, for the 2018-19 financial year, according to the filing. The issues raised include differences in turnover on outward supplies in the monthly GST returns, differences in tax on outward supplies in the GSTR-9 & GSTR-9C returns, excess Input Tax Credit (ITC) availed, and ITC Reversal on credit note. The company said it initially received an audit notice on April 27, 2023, and submitted relevant documents in response. Bata India was given a personal hearing on January 10, 2024, to present its case and provide further information on the disputed issues, as per the filing. The company expressed confidence in its ability to defend the case before the authorities concerned. "It is

BharatPe earns Rs 904 cr against a loss before tax of Rs 886 cr in FY23

BharatPe's EBITDA loss declined by about Rs 158 crore in FY23, it said in a statement

Income Tax dept notifies ITR forms 1, 4 for assessment year 2024-25

The Income Tax Department has notified ITR forms 1 and 4, which are filed by individuals and entities with annual total income of up to Rs 50 lakh, for assessment year (AY) 2024-25. Individuals, besides Hindu Undivided Families (HUFs), firms having income up to Rs 50 lakh and those having earnings from business and profession in the current fiscal (April 2023-March 2024) can start filing returns for the income earned this financial year. Usually, ITR forms for a particular financial year are notified by the end of March or early April. But last year, the forms were notified in February. However, this year, ITR forms are notified in December itself, to enable taxpayers file returns early. ITR Form 1 (Sahaj) and ITR Form 4 (Sugam) are simpler forms that cater to a large number of small and medium taxpayers. The I-T Department notified the forms on Friday. Sahaj can be filed by a resident individual having income of up to Rs 50 lakh and who receives income from salary, one house ...