Taxation

CBDT nudges 12,000 tax professionals to file audit reports by October 21

Under its SAKSHAM NUDGE initiative, the Income Tax Department has contacted professionals who have filed fewer than half the audit reports they submitted in the previous year

GST officers to focus on widening base, increase cash tax collection

With the GST rates and processes almost stabilising after nine years of the GST rollout, the Centre and states' tax officers have been told to work towards deepening the taxpayer base, increasing cash tax collections, and using intelligence and deeper data analytics to nab evaders, sources said. They said e-invoicing for B2C transactions would come into effect from April 1, 2027, with GST Network providing the support system to states to move towards it. GST officers will act as a facilitator for businesses and tell them the audit benefits of the tax department having granular data. Sources further said that some of the process reforms, including the Rs 10,000 threshold for sending notices, approved by the 57th GST Council meeting, require only changes in rules and could be rolled out sooner. With the economic benefits of last year's GST rate rationalisation showing results, GST officers will now follow a more "facilitative approach" rather than "mandatory compliance" to show trust

Earn from overseas? New FEMA rules freelancers and influencers can't ignore

Earning in dollars? New FEMA rules change how freelancers, YouTubers must report income

ESOP tax treatment uncertain as courts differ on pre-exercise payouts

Divergent court rulings on vested but unexercised ESOPs create uncertainty over whether employee payouts are taxed as salary or capital gains

Eway bills rise 7.7% to 139.08 mn in August, third highest on record

August recorded the third-highest monthly eway bill count, signalling sustained momentum in goods movement and formal economic activity ahead of the festive season

Sending money abroad? Know remittance limits, tax rules & disclosure norms

Check the annual remittance limit, when tax is collected or deducted at source, and when you must disclose foreign assets

US tax court strikes down digital ad tax, orders refunds to Apple, Google

A Maryland state tax court has struck down the state's first-in-the-nation tax on digital advertising and ordered state officials to repay the tax money already collected from big tech firms. The Maryland Tax Court said the tax violates the federal Internet Tax Freedom Act as well as the First Amendment and the commerce and due process clauses of the US Constitution. The legal fight has been watched by other states that are considering taxes for online advertisements. Maryland estimated the tax, approved in 2021, could raise about USD 250 million a year to help pay for a sweeping K-12 education measure. In Friday's decision, the tax court ordered the state to repay the tax money already collected by Apple, Google and Peacock TV. The law taxed revenue that large companies make on digital advertisements shown in Maryland. Companies making more than USD 100 million in global annual gross revenues were taxed at a 2.5 per cent rate. The rate increased for companies with larger revenues,

Govt may seek to tighten grip over mineral-bearing land with MMDR Bill

The proposed law would restrict state taxes and cesses on mineral rights and mineral-bearing land while invalidating levies that have not yet been collected

Data centre sector gets policy boost as LS clears taxation amendment Bill

The Bill recognises leased data centres under the tax framework and removes notification requirements, with experts expecting faster investment and lower set-up costs

Tax Bill proposes easier norms for data centres, incentives for electronics

Proposed amendments seek to simplify tax rules for data centres, improve ease of doing business and provide long-term certainty for electronics manufacturers and cloud firms

Reit, Invit investors to regain dividend tax break; SPV surcharge will rise

The government proposes restoring tax-free REIT and InvIT dividends while raising the surcharge on SPVs to keep the changes revenue-neutral

Tax Bill to widen steps to attract foreign investment, ease rules

The government plans to widen tax incentives for offshore funds, electronics, data centres and diamond trading to attract long-term foreign investment and boost ease of doing business

76% taxpayers below 25 report multiple income streams, up from 14% in 4 yrs

Retail investing becomes mainstream as 39% of taxpayers report capital gains

How cryptocurrency investors can avoid tax and regulatory trouble

Use registered platforms, report every trade and maintain a complete audit trail

Govt hikes windfall tax on petrol, cuts levy on diesel and ATF exports

The government has lowered export duties on diesel and aviation turbine fuel while raising the levy on petrol exports as global crude oil prices continue to ease

How NRIs should navigate changes in tax status when returning to India

As their status changes from NRI to RNOR and then to ROR, both their tax and disclosure obligations change

Capital gains don't deserve a special tax privilege if labour doesn't

There are also social risks that accompany huge bets on labour-saving technologies like AI and robotics

Best of BS Opinion: Why India must leave retrospective taxes behind

From retrospective taxation and quality reforms to polymer notes, exam glitches and middle-class stress, today's opinion pages examine key policy challenges

Let the past be past in tax policy: The cost of retrospective taxes

The current decision on online gaming-gambling is a case in point. This is not an activity that creates large employment, not does it serve genuine needs of people

Is the world going to tariff Big Tech as WTO shifts digital trade rules?

Internet has been tariff-free for decades; if that changes, it's because the world has decided it can't allow the US to run its digital empire forever