Restriction on Receipt of Cash – Section 269ST
In Budget 2017 new restrictions on cash transactions has been imposed. New section 269ST has been added in this regard and is applicable from 1st April 2017. A person should not receive cash of Rs. 2,00,000 or more in aggregate from a person in a day; or in respect of a single transaction; or in respect […]
Computation of Short Term Capital Gain/Loss
Short term capital gain means capital gain arising from transfer of short term capital asset. No indexation benefit is available for short term capital gains. Short term capital gain is computed as under Short Term Capital Gain/Loss Amount Full value of consideration Less: Expenses incurred wholly and exclusively in connection with such transfer […]
Meaning of Transfer of Capital Asset
Transfer of Capital Assets includes the following the sale, exchange or relinquishment of the asset the extinguishment of any rights therein the compulsory acquisition thereof under any law in a case where the asset is converted by the owner thereof into, or is treated by him as, stock-in-trade of a business carried on by him, such conversion […]
Transactions not regarded as transfer of Capital Assets
The following transactions are not required as transfer in case of capital assets and thus no Capital gain/loss arises. any distribution of capital assetson the total or partial partition of a Hindu undivided family any transfer of a capital asset under a giftor will or an irrevocable trust Provided that this clause shall not apply to […]
Meaning of Long Term and Short Term Capital Asset
Long term capital asset means a capital asset held by an assessee for more than 36 months immediately preceding the date of its transfer. However in the following cases, if Capital asset is held for more than 12 months it shall be treated as long term capital asset Equity or preference shares held in a […]
Meaning of Capital Asset – Section 2(14)
Capital asset means property of any kind held by an assessee, whether or not connected with his business or profession, but does not include— any stock-in-trade, consumable stores or raw materials held for the purposes of his business or profession personal effects, that is to say, movable property (including wearing apparel and furniture) held for personal […]
Audit of Speculation Business-Shares, Futures and Options Trading
Audit under section 44AB is required when turnover exceeds Rs. 1 crore. But in case of speculation business, shares trading and futures/options, turnover is determined in the following manner. 1) Speculation Business – The aggregate of both positive and negative differences is to be considered as the turnover. 2) Intra day trading of shares – […]
TDS on Rent by Individual/HUF – Section 194IB
Provisions of this section is applicable from 1st June 2017 A new section 194IB has been introduced from 01st June 2017. This section requires certain individuals or HUF to deduct TDS on rent paid for the use of any land or building or both. Persons required to deduct TDS under Section 194IB Individual and HUF […]
Accounts and Records to be maintained under GST
Requirements Regarding Maintenance of Accounts Additional Requirements for an Agent Additional Requirements for Work Contractor Person operating a warehouse and transporter Commissioner’s Power regarding Accounts Maintenance Rules Retention of accounts and records Requirements Regarding Maintenance of Accounts Every registered person is required to maintain at his principal place of business, account of (a) Production or […]
Time of Taxation under GST
Time of Supply of Goods Time of supply of goods is earlier of the following dates- Date of invoice Last date on which invoice is required to issue under section 31(1). Invoicing in GST The date on which seller receives the payment The date on which the supplier receives the payment shall be the date […]