Posted On:  4 months ago


Demonetization period Cash deposit Statistics – Average cash deposited by different tax payers

This section contains breakup of reported cash deposits for various taxpayer segments. Table 1 provides percentage of ‘distribution of PANs and ‘total cash deposit’ across taxpayers segments. Further, the table provides average reported cash deposits per PAN for taxpayer segments.

article author CA Chirag Chauhan

Posted On:  6 months ago


Your PAN number will be Invalid and you will not able to file tax return, if not linked to Aadhaar card by 1 July 2017

How smartly the government has used Aadhaar to reduce corruption from direct benefit transfer for LPG in which the subsidy on LPG cylinders will be credited directly to consumers' Aadhaar-linked bank accounts, KYC verification process to recently launching “Aadhaar Pay” on 14th April 2017, a payment system which will enable people to carry out bank transactions just by using their thumb impressions. While the law had empowered the Centre to mandate use of Aadhaar in most of the center funded schemes, since then the corruption level has significantly reduce. In recent Finance Act 2017 government has mandated use of Aadhaar for filing returns and linking of all existing PAN Number with Aadhaar Number.

article author CA Chirag Chauhan

Posted On:  6 months ago


Deposit or withdrawal of cash more than 2 Lakhs from bank will attract equal amount of penalty from 1 April 2017

A clampdown on black money was one of the major electoral promises of the National Democratic Alliance (NDA) and the government has taken a number of steps. One of the biggest step other than demonetization is restriction on cash transaction. As part of Union Budget 2017, Union finance minister Arun Jaitley has set the legal limit for cash transactions, Rs 2 lacs. From 1st April onward any transaction above Rs. 2,00,000/- shall be strictly done only through banking channels or will attract penalty of equal amount

article author CA Chirag Chauhan

Posted On:  6 months ago


Aadhar mandatory for filing Income Tax Return and applying for PAN card – Cash transaction limit kept at 2 Lacs

The government has proposed to make Aadhar card mandatory for filing income tax return and applying for permanent account number (PAN), which will come into effect from July 1 2017. The government has proposed this rule through an amendment today to the Finance Bill, which is being discussed in the Parliament.

article author CA Chirag Chauhan

Posted On:  6 months ago


CARO 2016 Applicability and its clauses

This Order may be called the Companies (Auditor’s Report) Order, 2016. It shall apply to every company including a foreign company as defined in the Companies Act, 2013 except:– A banking company as defined in the Banking Regulation Act, 1949. An insurance company as defined under the Insurance Act,1938. A company licensed to operate under section 8 of the Companies Act.

article author CA Chirag Chauhan

Posted On:  7 months ago


Failed to reply cash deposit verification of income tax ? Be ready for legal notice

Vide Instruction No. 3/2017 dated 21.02.2017, in file of even number, CBDT has issued a SOP to be followed by the Assessing Officer(s) for Online Verification of Cash Transactions pertaining to the demonetisation period. In continuation thereof, the Board hereby prescribes a Template, to be used for issue of notices under section 133(6) of the Income-tax Act, 1961 (`Act’) in

article author CA Chirag Chauhan

Posted On:  7 months ago


Standard Operating Procedure (SOP) to be followed by the Assessing Officers in verification of Cashtransactions relating to demonetisation

Post demonetisation of Rs. 500 and Rs. 1000 notes on November 8, 2016, several malpractices has been noticed. The Income Tax Department is enquiring/seeking information and analysing instances of deposits to identify cases involving risk of tax evasion. Based upon vast amount of information of cash deposits collected and analysed by CBDT, a number of persons have been identified in whose case the cash transactions did not appear to be in line with their profile available with the Income-tax Department (‘ITO’) . In such cases, it has been decided to undertake on -line verification of select transactions through jurisdictional Assessing Officers

article author One Roof Consultant

Posted On:  7 months ago


Deposited Cash from 9 Nov to 31 Dec 2016 and received Notice ? Read FAQ

The basic information required is: PAN, Full Name, Date of birth/incorporation, communication address, valid e-mail id, mobile number and digital signature certificate (if applicable). For persons other than individuals, in addition to the above mentioned information, PAN details and contact details of the principal contact are required.

article author One Roof Consultant

Posted On:  8 months ago


How to submit online response to Income Tax for Cash Deposit in Bank Account

Income Tax Department (ITD) intends to leverage technology and data analytics for effective utilization of demonetisation data i.e. transactions related to cash deposits during 9th Nov to 30th Dec 2016.

article author CA Chirag Chauhan

Posted On:  8 months ago


Income Tax Department (ITD) launches Operation Clean Money [स्वच्छ धन अभियान]

Income Tax Department (ITD) has initiated Operation Clean Money, today. Initial phase of the operation involves e-verification of large cash deposits made during 9th November to 30th December 2016. Data analytics has been used for comparing the demonetisation data with information in ITD databases. In the first batch, around 18 lakh persons have been identified in whose

article author One Roof Consultant

Posted On:  1 year ago


Applicability and Companies covered under CARO 2016 (Companies Auditors Report Order)

As per the companies act 2013 every report made by the auditor under Section 143 which is commencing on or after 1 April 2015 would be included under CARO 2016. It would be applicable to every company as mentioned below (except companies that are excluded) including a foreign company as defined under section 2(42) of the 2013 act.

article author CA Chirag Chauhan

Posted On:  1 year ago


Report under the Companies (Auditor’s Report) Order, 2016 Annexure Format

In terms of the information and explanations sought by us and given by the company and the books and records examined by us in the normal course of audit and to the best of our knowledge and belief, we state that: - 1a.) The Company has maintained proper records showing full particulars including quantitative details and situation of fixed assets.

article author CA Chirag Chauhan

Posted On:  1 year ago


New TCS Tax Collected at Source, PAN quoting and AIR compliance for Cash Transaction of more than 2 Lakhs from 1 June 2016 – Income Tax Section 206C

Professionals and clients both are confused about applicability of new rules for Tax Collected at Source (TCS) for cash transactions, Quoting of PANand Annual Information of Return to be filed. TCS provision are applicable to all Firm, LLP, Companies, Co-op Society. In case of Individual and HUF, TCS provision are applicable only if turnover / sales in preceding year is more than tax audit limit. The article gives a simple layman interpretation which will be helpful for all.

article author CA Chirag Chauhan

Posted On:  1 year ago


Latest Amendment in TCS on sale of goods or services

TCS Applicable only on Cash Component that too only if cash component exceeding Rs.2 Lacs Finance Act 2016 amended section 206C to curb the cash economy and to make a close watch on cash transactions. But that amendment was not clear regarding applicability of TCS on single transaction or aggregate transactions in a year.

article author AMIT AGRAWAL

Posted On:  1 year ago


All about Tax Collected at Source TCS on Motor Vehicle - FAQ - CBDT Clarifications Circular No 22/ 2016

Section 206C of the Income-tax Act, 1961 (hereafter referred to as 'Act'), prior to amendment by Finance Act, 2016. Provided that the seller shall collect tax at source at specified rate from the buyer at the time of sale of specified items such as alcoholic liquor [or human consumption, tender leaves, mineral being coal or lignite or iron ore etc. It also provided for collection of tax at source at the rate of one per cent on sale in cash of bullion exceeding 2 lakh rupees and jewellery exceeding 5 lakh rupees.

article author CA Chirag Chauhan

Posted On:  1 year ago


CARO 2016 issued by MCA Ministry of Company Affairs effective for Financial Year 2015-16

MCA has issued CARO 2016 on 30 March 2016 which is effective for Financial Year 2015-16. CARO, 2016 is applicable to every company, including foreign company and prescribed Class of Private Limited Company. CARO is not applicable for banking company, insurance company, Company for which Sec. 8 is applicable, One Person Company.

article author CA Chirag Chauhan

Posted On:  2 years ago


MCA proposes new CARO, 2016 - Companies Auditor’s Report Order 2016

On 9th February, 2016, Ministry of Corporate Affairs (MCA) has issued draft Companies (Auditor’s Report) Order (CARO), 2016. As per Section 143 of the Companies Act, 2013, every auditor’s report under this section shall contain matters specified under applicable CARO (currently CARO, 2015). In comparison to the existing CARO (2015), CARO (2016) proposes reporting on some new requirements and eliminates some of the existing reporting requirements.

article author CS Perila Sheth

Posted On:  2 years ago


How to Audit Cash and Bank Balances

Accounting and auditing procedures differ across companies and industries but audit procedures for cash are similar. The auditor must obtain reasonable assurance that the cash balances of the company are stated accurately and does so using mostly standard procedures. Knowing audit procedures for cash can eliminate any surprises for you and your company around audit time.....

article author CA Nikesh Sheth

Posted On:  2 years ago


Fraud Detection Questionnaire for Conducting Audit

That an auditor has the responsibility for the prevention, detection and reporting of fraud, other illegal acts and errors is one of the most controversial issues in auditing, and has been one of the most frequently debated areas among'st auditors, politicians, media, regulators and the public. So following are some questionnaire regarding fraud detection for conducting audit.....

article author CA Nikesh Sheth

Posted On:  2 years ago


A Tabulate Summary of Provisions relating to Private Company Part-1st

This is the part first of Provision related to a private company in which only directors related provision are covered. Author try to explain direct related provision of a private company in simple and tabulate format.

article author Prasanna Ojha