GST:
PLI Scheme for Automobile and Auto Component Industry and its guidelines issued: Notification
The Production Linked Incentive (PLI) scheme for Automobile and Auto components has been notified vide notification S.O. No. 3946(E) dated 23.09.2021. Also, the guidelines for PLI Scheme of Automobile and Auto Component Industry are issued.
No Interest on Inadmissible ITC Availed, Until Utilised’ – A Move Provoked by Recent Judicial Precedents?
Input Tax Credit (‘ITC’ / ‘credit’)and applicability of interest thereon have had a chequered history for long, and although courts have settled the issue time and again, the dispute seem to take new avatarevery now and then.
ITC Reversal in Case of Non Payment of Tax by The Supplier: A Judicial Approach
Input is the materials or services used by the manufacturer to produce the final product i.e. the output.
Production Linked Incentive Scheme for Textiles approved: Notification
The Government has approved the Production Linked Incentive (PLI) Scheme for promotion of MMF Apparel, MMF Fabrics and Products of Technical Textiles. The incentives under the scheme will be available for 5 years period i.e. during FY 2025-26 to FY 2029-30 on incremental turnover achieved during FY 2024-25 to FY 2028-29 with a budgetary outlay of Rs. 10,683 crore.
Income tax:
Reassessment to enquire about source of fund valid as assessee not filing ITR purchased property of huge amount: HC
INCOME TAX : Where assessee filed no return for year under consideration while AO found that assessee had purchased immovable property and she had earned interest from mutual funds as also receipt of premia from Insurance company,
CBDT further extends time limit to process refund claimed ITRs filed up to AY 2017-18 to 30-11-2021
Vide, Order F. No.225/98/2020-ITA-II, dated 5-7-2021, the CBDT has directed that all validity filed returns up to Assessment Year 2017-18 with refund claims, which have become time-barred, can be processed till 30-09-2021. Considering the pendency of taxpayer’s grievances, the board has decided to extend the time frame by two months. Now the ITRs shall be processed by 30-11-21.
Govt. keeps interest rates of small saving schemes unchanged for October to December, 2021
The Interest rate of various small saving scheme for the December 2021 quarter shall remain unchanged from the current rate applicable for the second quarter of the Financial Year 2021-22.
Corporate Laws:
Transfer of shares of Bank of J&K by Govt. to U.T. of Ladakh owing to J&K reorganization Act would be permissible: SEBI
The SEBI has issued informal guidance wherein it has been clarified that UT of J&K can transfer the shares to the UT of Ladakh subject to the condition of continuation of lock-in at the hands of the transferee as such transaction is being undertaken pursuant to the terms of notification dated Oct. 30, 2020 issued by Govt. of J&K basis of the Jammu and Kashmir Reorganisation Act, 2019.
MCA extends due date of filing of cost audit report in e-form CRA-4 for F.Y. 2020-21
MCA has extended the due date for filing of Cost Audit Report for F.Y. 2020-21 with Central Govt. Now Companies can file Cost Audit report by Nov 30, 2021 if Cost Audit report is submitted by the Cost Auditor to Board by Oct 31, 2021. In case a company extended time for holding AGM then, e-form CRA-4 may be filed within 30 days of receipt of Cost audit report. Cost auditor is required to submit Cost Audit report to Board within 180 days of closure of books. u/r 6 (5) of the Cost Audit Rules.
SEBI approves framework for Gold Exchange
The SEBI has approved the framework for Gold Exchange. The new framework’s gold-representing instrument will be known as the “Electronic Gold Receipt” (EGR), and it will be registered as “securities” under the Securities Contracts (Regulation) Act, 1956. EGRs will also have the same trading, clearing, and settlement features as other “securities.”
SEBI extends timelines to conduct annual compliance audit by investment advisors
SEBI has extended the timeline to conduct annual compliance audit by investment advisors by 3 months. SEBI had received representations from Investment Advisers (IAs ) seeking extensions due to the Covid -19 pandemic. For the financial year ending March 31, 2021, IAs are now required to conduct the annual compliance audit by December 31, 2021, Also, the date for obtaining a certificate from an auditor has been extended till December 31, 2021
Insolvency & Bankruptcy Code:
Tribunal cannot exercise power of appellate authority to set aside a resolution plan approved u/s 31: NCLT
IBC : Committee of Creditors is sole authority to accept or reject a resolution plan and after their approval only Adjudicating Authority can interfere in matter, either approve or return plan to them for any modification; Tribunal cannot exercise power of appellate authority to set aside a resolution plan approved under section 31
Proceedings against ex-directors u/s 70 couldn’t be sustained as RP could’ve obtained a/c details from creditor bank
IBC : Where for purpose of taking charge of corporate debtor, RP could have obtained account details of corporate debtor from its bank which was under his control, he could also have taken assistance of RoC to obtain financial statements, but he failed to do so, ex-directors of corporate debtor could not be held responsible for non-availability of documents and therefore, proceedings initiated against them by NCLT under section 70 could not be sustained
Insolvency professional can’t admit any person as financial creditor without proper verification
IBC : Where R2 to R7, in whose favour, corporate debtor had executed corporate guarantee for granting loan to its holding company and group concern, had not submitted their claims invoking corporate guarantee to IRP of corporate debtor electronically as provided under Form A, admission of R2 to R7 into CoC as financial creditor of corporate debtor was not proper
NCLAT allows exclusion of time spent in passing of order for disbursing amount to financial creditors
IBC : Where Appellate Tribunal had upheld concept of reverse CIRP and had directed promoter to cooperate with IRP to disburse amount as financial creditor and timelines were set, however promoter sought for extension of time for project completion due to outbreak of COVID-19 and extension was allowed, exclusion of time spent in passing order i.e. from proposed exclusion date to date when order was passed was to be allowed