Finance Act, 2018

Finance Act, 2018
Finance bill assented by President of India

Advisory under Sec 194 IB of income Tax Act

Income Tax Department advisory to deduct and pay TDS on rent u/s 194IB under which individual/HUF are obliged to deduct if rent exceeds Rs. 50000/- per month.

In order to widen the scope of tax deduction at source, the Finance Act, 2017 w.e.f. 1st June, 2017 has inserted a new section 194-IB in the Income Tax Act, 1961 to provide that Individuals or a HUF (other than those covered under 44AB of the Act), responsible for paying to a resident any income by way of rent exceeding fifty thousand rupees for a month or part of month during the previous year, shall deduct an amount equal to five per cent. of such income as income-tax thereon.

In order to reduce the compliance burden, the section provides that:

E Way Bill

Last updated on 03.04.2018

E-Way Bill is an electronic way bill for movement of goods which can be generated on the e-Way Bill Portal. Transport of goods of more than Rs. 50,000 in value in a vehicle cannot be made by a registered person without an e-way bill.

1. E way bill rules will be rolled out on a trial basis from 16th Jan 2018

2. The e-way bill rules will be implemented in India from 1st February 2018. E way bill system become mandatory w.ef. 01.04.2018.

3. The states can opt to follow the e-way bill system anytime before 1st June 2018

4. From 1st June 2018 e-way bill rules will uniformly apply to all states.

Finally, the GST council has mandated the implementation of e way bill from 1st February 2018 , but as said above its not mandatory for all states yet.

WHO CAN GENERATE E-WAYBILL ?

• E-way bill must be generated when there is a movement of goods of more than Rs 50,000 in value to or from a Registered Person. A Registered person or the transporter may choose to generate and carry e-way bill even if the value of goods is less than Rs 50,000.
• Unregistered persons or their transporters may also choose to generate an e-way bill. This means that an e-way bill can be generated by both registered and unregistered persons. However, where a supply is made by an unregistered person to a registered person, the receiver will have to ensure all the compliance are met as if they were the supplier. 

What is a ‘Supply’ in Case of E way bill?

A supply may be –

• Supplied for a consideration (means payment) in the course of business
• Supplies made for a consideration (payment) which may not be in the course of business
• Supplies without consideration ( without payment)

Expected GST E-Way Bill Validity Period According to the Distance as :-

Sr. no.	Distance	Validity Period
1	Less than 100 km	1 Day
2	For every additional 100 kms or part thereof	Additional 1 day

CGST Rules amended till 15th November 2017 (PDF)

Download PDF of CGST Rules, 2017 single file

https://drive.google.com/file/d/17RlkZpi3YNdT-GMmc17-xM8V3qZs65k4/view?usp=sharing

Clarifications on computation of book profit for the purposes of levy of Minimum Alternate Tax (MAT) under section 115JB of the Income-tax Act, 1961 for Indian Accounting Standards (Ind AS) compliant companies

https://drive.google.com/file/d/0B2MID0g3-4SNTkctaHg5REwwcnM/view?usp=sharing

Income declaration scheme,2016

https://drive.google.com/file/d/0B2MID0g3-4SNV3JGZzRUaTRRekE/view?usp=sharing

Krishi Kalyan Cess (KKC)

This would be levied @ 0.5% and would be levied over and the above the Service Tax and the Swachh Bharat Cess. The Krishi Kalyan Cess has been levied for the purpose of financing and promoting initiatives to improve agriculture and would be applicable from 1st June 2016.

Vide Notification No. 27/2016-ST dated 26.05.2016, it has been notified that w.e.f. 1.6.2016, wherever reverse charge mechanism is applicable in terms of Notification No. 30/2012-ST dated 20.06.2012, the same (reverse charge) shall be applicable mutatis mutandis for the purpose of Krishi Kalyan Cess. 

Abatements and KKC

Vide Notification No. 28/2016-ST dated 26.05.2016, it has been notified in respect of KKC w.e.f. 1.6.2016 that –

• Where a taxable service is exempt under any notification / special order or Service Tax is otherwise not payable, such service shall be exempt from levy of whole of KKC
• KKC shall be leviable only on that portion / percentage of taxable service which is subject to Service Tax after availing abatement under Notification No. 26/2012-ST dated 20.06.2012.
• Value of taxable services for the purpose of KKC shall be determined as per Service Tax (Determination of value) Rules, 2016.