Confederation of Indian Industry’s Post

It is being erroneously reported that all Indian citizens must obtain income-tax clearance certificate (ITCC) before leaving the country - a position that is factually incorrect   Section 230 (1A) of the Income-tax Act, 1961 (the ‘Act’) relates to obtaining of a tax clearance certificate, in certain circumstances, by persons domiciled in India. #Incometax #incometaxact #incometaxcircular #Incometaxupdates #taxontips

What lies ahead for Indian taxation in 2025 ? My Kochhar & Co. colleagues Reena Asthana Khair and Rajarshi Chakrabarti gives us their views in the The Economic Times article “Will 2025 Bring the Tax Simplification India Needs ?” #KochharAndCo #KochharChicago #ThinkIndiaThinkKochhar Rohit Kochhar Priyanka Gupta-Vig

Our Partner, Rajat Bose shared his thoughts with the Press Trust of India (PTI) of India on the GST Council’s latest recommendation of providing a facility to taxpayers to amend the sales return form before GST payment via introduction of form GSTR-1A.    He praised the recommendation as a positive change from a compliance perspective which will facilitate the ease of doing business.    Click here to read more: https://lnkd.in/ge2CyTt9 #GST #GSTCouncil #Tax #Compliance #law #india #policy #easeofdoingbusiness

Will 2025 see formation of GST Tribunal? CA Parag Mehta, Partner at N. A. Shah Associates LLP, highlights the long-overdue operationalisation of the GST Tribunal in The Economic Times, emphasizing its importance for quick dispute resolution thereby reducing business uncertainty for taxpayers To read more, click on: https://lnkd.in/dduquBzv #GSTOutlook2025 #TaxReforms #GSTTribunal #TaxpayerBenefits #EconomicTimes #NASHA #TaxUpdates

Learnt from fellow professionals that Government of India has extended the validity of the transfer pricing safe harbour provisions to the Assessment Year 2024-25 by notification dated 29 November 2024 Notification is not yet uploaded on the incometaxindia.gov.in The due date for Form 3CEB filing was 31 October 2024 and due date for filing tax return (TP cases) is 30 November 2024 Previously tolerance limit for AY 2024-25 was notified on 29 October 2024 while the deadline for TP compliance was 31 October 2024 and there was no change in the previously prescribed threshold. Imagine the pressure tax accountants have to go through these last minute notifications, pending notification exploring multiple options to ensure timely compliance & avoiding penal consequences, multiple representations before the Board, which could have been easily avoided if this was issued on time. In the budget speech, the Finance Minister also emphasized the intention to broaden the scope of safe harbour rules and make them more appealing. First the Ministry and Board should work together to timely notify the rules to provide certainty and ease of compliance. Indian Revenue Service - Income Tax Central Board Of Direct Taxes, Ministry Of Finance Indian Ministry of Finance Views are personal!

🚨 Exciting News for Taxpayers and Businesses! 🚨 As of November 1, 2024, the CBIC (Central Board of Indirect Taxes and Customs) has officially notified a reduction in the pre-deposit requirement for GST appeals. This is a significant shift that aims to alleviate the financial burden on taxpayers who are challenging GST-related disputes. ### Key Highlights: ✅ **Reduced Pre-Deposit:** The previous high pre-deposit requirements often deterred businesses from appealing decisions. The new guidelines facilitate easier access to the judicial process, enabling more taxpayers to seek justice without the heavy financial strain. ✅ **Encouraging Compliance:** By lowering this barrier, the CBIC is not only promoting fair disputes resolution but also encouraging taxpayers to comply with GST laws more openly, fostering a culture of transparency and accountability. ✅ **Wider Impact:** This move is expected to have a ripple effect across various industries. With reduced financial burdens, businesses can divert their resources towards growth, innovation, and job creation. ✅ **Stay Informed:** As business leaders and finance professionals, we must keep abreast of these changes. Understanding the implications of this reduction can empower you to make informed decisions regarding your tax strategies moving forward. ### Why It Matters: Engaging with the appeals process can significantly impact a company’s financial health and operational strategy. With decreased upfront costs, more organizations will find it feasible to contest disputes they would have previously accepted as losses. 📢 **Call to Action:** Share your thoughts on this new directive and how it might influence your approach to GST compliance and disputes resolution. Staying informed can lead to strategic advantages! #GST #CBIC #Taxation #TaxReform #BusinessStrategy #FinancialHealth #India #TaxCompliance #Innovation #FiscalPolicy Note: AI-powered post. May contain errors.

𝗗𝗲𝗻𝘆𝗶𝗻𝗴 𝗜𝗧𝗖 𝘁𝗼 𝗯𝗼𝗻𝗮 𝗳𝗶𝗱𝗲 𝗽𝘂𝗿𝗰𝗵𝗮𝘀𝗲𝗿𝘀 𝗯𝗲𝗰𝗮𝘂𝘀𝗲 𝗼𝗳 𝗦𝘂𝗽𝗽𝗹𝗶𝗲𝗿'𝘀 𝗳𝗮𝘂𝗹𝘁: In the GST system, 𝗜𝗻𝗽𝘂𝘁 𝗧𝗮𝘅 𝗖𝗿𝗲𝗱𝗶𝘁 (𝗜𝗧𝗖) is crucial for businesses to reduce their tax burden. It allows them to claim credit for the GST they pay on purchases, making operations more cost-effective. However, a recent court ruling has highlighted a significant challenge. The Madras High Court, in 𝙋𝙞𝙣𝙨𝙩𝙖𝙧 𝘼𝙪𝙩𝙤𝙢𝙤𝙩𝙞𝙫𝙚 𝙄𝙣𝙙𝙞𝙖 𝙋𝙫𝙩. 𝙇𝙩𝙙. 𝙫. 𝘼𝙙𝙙𝙞𝙩𝙞𝙤𝙣𝙖𝙡 𝘾𝙤𝙢𝙢𝙞𝙨𝙨𝙞𝙤𝙣𝙚𝙧 (20 𝙈𝙖𝙧𝙘𝙝 2023), emphasized that businesses can only claim ITC if their suppliers have paid the GST to the government. This places a heavy responsibility on businesses to verify their suppliers' tax payments, even if the delay or non-payment is not their fault. This decision raises concerns because it could unfairly penalize honest businesses. It goes against the GST's aim to simplify tax compliance and support business growth. Historically, courts have favored businesses in similar tax regimes, understanding that it's impractical for buyers to constantly monitor suppliers' tax compliance. To support a business-friendly environment under GST, it's essential to review and possibly amend such provisions. Businesses shouldn't face penalties due to supplier issues beyond their control. Let's advocate for a fair approach to ITC under GST, ensuring that businesses can operate confidently within our evolving tax laws. #GSTCouncil #RailwayServices #GSTExemption #Finance #IndianRailways #TaxUpdates #GST #EWayBill #Logistics #Compliance #Taxation #SupplyChain #Efficiency #indirecttax #taxlaw #indirect_tax #taxation #GST #CGST #IGST #incometax #tax #goodsandservices #constitution #Goodsandservicetax #Exciseduty #customlaw #GST #Taxation #BusinessLaw #ITC #LegalInsights #BusinessEnvironment #EaseOfDoingBusiness

In line with the expectations set in the last #GSTCouncilMeeting, the industry would expect some tax rate #rationalisation to be considered and possibly some regularisation on instances of large #litigation on the basis of powers under Section 11A: Abhishek Jain, KPMG India . Read more https://lnkd.in/dgHRxf7W | #GST #disputeresolution #taxlitigation #GSTrates

The year 2024 has been remarkable from an Indian tax perspective, marked by significant rulings pronounced on certain controversial issues, putting an end to numerous long-drawn contentious issues. The rulings will have a profound impact on the taxpayers, with some decisions being beneficial and others having adverse effects. GST continues to evolve with circulars, notifications and instructions being issued on a regular basis. We have captured the key judgements and other important developments in this yearly rewind. https://lnkd.in/dHAQnqvK #India_Union_Budget_2024 #Tax_Residency_Certificate #Permanent_Establishment #DTAA #WithholdingTax #Online_Gaming #ITC #Royalty #CENVAT_Credit #ESOP #Related_party #Place_of_Supply #Tax #GST

The adage "The only constant is change" aptly describes the evolving nature of tax environment in India. Finance Bill, 2024 announced reduced time limit for issuance of reassessment notices from 10 years to 5 years in specified cases from 1 September 2024, aiming to enhance the ease of doing business in India. However, the reduced timeline has left the tax authorities with limited time, requiring them to issue notices for certain years by 30 August 2024 (previously 31 March 2025) before the new timelines become operational. This situation in a way parallels the changes proposed in the Finance Bill of 2021, which overhauled the reassessment law and resulted in significant litigation. Given this historical context, it is plausible to anticipate a similar wave of disputes and legal challenges arising from the proposed change. Are we on the brink of anouther round of such controversy? #incometax #taxlaw #reassessment #unionbudget2024 #taxcontroversy