Sumit Jha

Articles By Sumit Jha

480 Articles

Corporate tax cuts suggested by DTC panel can cost govt Rs 1.2 lakh crore in revenues

In the first four months of this fiscal, the direct tax mop-up is up by only about 9.7%, although tax officials say collections typically pick up at a faster pace in the second half of a fiscal and, if that happens, this init

Direct Tax Code, Corporate tax cut, Corporate tax, economy news, DTC, direct tax code, nirmala sitharaman  News

GST losses: States want Finance Commission to recommend support for five more years

States have appealed to the 15th Finance Commission (FC) to recommend extending the time period for which they would be compensated up to 14% revenue growth in the event of a shortfall in GST collections.

Though a change in the GST Compensation Act is not within the FC’s remit, a recommendation by it would give the necessary push to the states’ demand to the GST Council. News

GST update: Less than a fifth file returns as deadline looms

The deadline for filing the annual returns for FY18, the financial year in which the GST was launched (in July 2017), has already seen two extensions, the initial deadline being December last year.

Deadline Looms, GST, GST returns, annual returns, goods and services tax, GST, CBIC, economy news

GST trouble: Businesses reporting 20 per cent revenue fall receive notices

Although the GST system generates a lot of data to track evasion, the absence of a full-fledged return system means that there are areas prone to exploitation through fake invoices for claiming additional credit and bringing

GST registeration, gst notice, GST issues, gst problems, gst return, income tax return, corporate tax, National Anti profiteering Authority, NAA, GST rates,Goods and Services Tax, directorate general of anti profiteering News

Has National Anti-profiteering Authority outlived its utility?

It may be noted that since the GST’s July 2017 launch, tax rates on as many as 380 items were cut, in what could have given firms and dealers opportunity not to pass on the benefits to the consumers.

National Anti-profiteering Authority, NAA, GST rates,Goods and Services Tax, directorate general of anti-profiteering News

Budget 2019: HNIs look at ways to escape new impost

India Budget 2019: Tax consultants that FE spoke to said the government’s move has come as a dampener for many of their HNI clients, so much so that some of them are even considering moving abroad.

Money News

Stressed India Inc’s corporate tax outflows grow faster than profits

Several factors have been behind the government raking in higher taxes from a stressed Corporate India.

Industry News

How legacy dispute resolution scheme will help taxpayers

CBIC member Sandeep Bhatnagar says the scheme provides taxpayers with relief of 60-70% of the amount under contention in certain cases

Gujarat Industrial units, tax arrear, industry news, Gujarat, GST, goods and services tax, VAT, GST income  News

Budget 2019: Despite extra levies on auto fuels, super-rich surcharge targets too challenging to meet

Budget 2019-20: The Budget estimates a robust collection of `3 lakh crore from excise duty, thanks to the hike of `1/litre on high speed diesel and petrol. Excise collections in FY19 was `2.31 lakh crore.

Union Budget 2019 India, Budget 2019-20 News

Budget 2019: Exemptions provided to stressed firms would remove several pain points, explain experts

Budget 2019: The Budget said that any buyback of shares from a shareholder by a company listed on recognised stock exchange, on or after July 5 2019, will also be covered by the provision of Section 115QA of the Income-Tax A

Union Budget 2019 India News

GST completes two years: Fewer rates, wider net key to economic gains

In the place of a complex system that included multiple taxes at the Central, state and local levels, there is now a comprehensive tax subsuming most of the important indirect taxes.

GST, GST Return, Number of GST return filers, GST collection News

Income Tax dept to share data on defaulters’assets with PSU banks

Central Board of Direct Taxes (CBDT) has directed zonal heads of the income tax department (ITD) to share information related to assets and liabilities of defaulters with banks on their request.

cbdt, income tax News

How Centre offsetting loss due to higher transfers to states

As most cesses applied on indirect taxes collapsed into GST, receipts shrank to Rs 71k cr in FY18.

Economy News

Exporters’ wait for I-GST refunds may get even longer – Here’s why

In the online system, a firm offsets taxes paid on input from the IGST to be paid on export and then applies online for refund. The entire process of receipt of refund takes about two weeks or less.

Economy News

Budget 2019: Acquirers of insolvent firms may get tax relief

Budget 2019-20: The special waiver from Section 56 (2)(x) of the Income Tax Act — in force since Finance Act 2017-18 — may be announced in the forthcoming Budget, according to a source.

narendra modi budget 2019 News

Budget 2019: Modi govt may extend tax reliefs to SEZs to attract companies fleeing China

India Budget 2019: The SEZ Act was introduced in 2005 along with tax exemptions through Section 10AA of the Income Tax Act.

Budget 2019 News

GST evasion: Govt plans big move to stop large-scale dodging

Once real-time reporting of transactions to a central portal starts, it will be practically difficult for the businesses concerned to reduce their tax liability by inflating the claims for input tax credits.

The government is concerned about the GST collections continuing to trail the targets by wide margins. News

GST rates: Centre to resist demand for pruning 28% slab

Two important items for which a rate cut to 18% has been sought are two wheelers and cement, for which the annual revenue impacts are seen to be Rs 8,400 crore and Rs 12,000 crore respectively.

A need to spur consumption, given the slowing down of economic growth, is being flagged by those who advocate the GST rate reductions. News

Income tax evasion: How India’s crorepatis dodge tax system

FE has juxtaposed the I-T data for FY16 with the Household Survey on India’s Citizen Environment & Consumer Economy (ICE 360° Survey), conducted by the People Research on India’s Consumer Economy (PRICE) for the referenc

India tax system, crorepatis, tax evasion, checking evasion, I-T database, I-T returns, PRICE survey,  ICE, PAN, demonetisation, Narendra Modi News

Income tax blues: Most enter top tax bracket due to inflation, not rise in real income

Taxpayers in top slab grew 100% between AY2013-14 and AY2017-18, almost all of this increase due to those reporting income of `10-20 lakh

Budget 2019, Section 87A, Income Tax Act, Union Minister of Finance Nirmala Sitharaman, section 80C News

Anti-profiteering mechanism: Slew of stay orders by high courts expose NAA lacunae

A review by FE revealed that at least five firms have got reliefs from the high courts, in what allowed them to defer coughing up an aggregate amount of Rs 430 crore.

The NAA, the apex payer of the three-tier anti-profiteering mechanism which includes state-level screening committees and a standing committee at the national level, was approved by the Cabinet in November 2017. (Illustration: rohnit phore) News

GST rate on homes: Most builders opt for 12% GST for ongoing projects

Most real estate developers have opted for 12% GST rate for housing units in ongoing projects as it allows them to retain their profit margin due to availability of input tax credit (ITC), analysts said.

Economy News

Income tax returns shrink in FY19 as demonetisation effect wanes

By FY18, the share of e-returns filers among all categories of taxpayers to the total taxpayer base (which include non-filers as well) had crossed 90% from around 60% in FY15.

Economy News

Electoral bonds worth Rs 1,366 crore purchased in March

Further, over 77% of the bonds in terms of value was redeemed in designated State Bank of India branch in New Delhi, an RTI response to FE query revealed.

Elections News

Flawed GST structure putting domestic makers of Indian Railways locomotives, rolling stocks at a disadvantage

Under Chapter 86 of the GST tariff rules, specified items for supplies to the railways are taxed at a benign 5% but without a refund of unutilised input tax credit (ITC).

Flawed GST structure, gst structure, indian railways, gst  tariff rules, ITC, rolling stocks, GST rates, railways capital goods supplier News

I-T finds Rs 12 lakh crore mismatch in ITRs declared in FY 2016

A big reason for not being able to catch such tax evasion is due to the fact that the government has not, so far, implemented the invoice-matching feature of GST.

Economy News

GST fraud: Probe body seeks e-surveillance powers

In the pre-GST regime, the organisation was tasked with gathering intelligence on companies that came under the excise and service tax regime.

Roll-out of new, simplified GST return forms deferred News