Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: ACCOUNTING STANDARD :: articles on VAT and GST in India :: cpt :: TAX RATES - GOODS TAXABLE @ 4% :: ARTICLES ON INPUT TAX CREDIT IN VAT :: VAT Audit :: VAT RATES :: Central Excise rule to resale the machines to a new company :: empanelment :: TDS :: list of goods taxed at 4% :: form 3cd :: due date for vat payment :: ACCOUNTING STANDARDS :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes
 
 
Direct Tax »
 Income tax return: TDS refund on capital gains invested needs to be instant
 CBDT holds circular on indirect tax provisions
 CBDT puts on hold circular on taxation of indirect transfer of shares
 CBDT prods officials to meet tax collection targets
 Budget 2017: Direct tax reforms to be gradual than radical, says KPMG
  FM Arun Jaitley may drop tough tax accounting rules
 FM Arun Jaitley may drop tough tax accounting rules
 How to view your TDS through form 26AS?
 Deduction of tax at source Income-tax deduction from salaries under section 192 of the Income-tax Act, 1961
 Banks must furnish information on accounts that have seen deposits over 2.5 lakh: CBDT
 Govt expects direct and indirect tax targets to exceed budget estimates this fiscal

Tax dept renotifies income computation, disclosure standards
October, 07th 2016

The tax department has now exempted individuals and HUFs not liable for tax audit from applicability of ICDS, say experts

The income-tax department has renotified the income computation and disclosure standards (ICDS), making changes to provide relief to small taxpayers and service providers and address companies’ concerns over compliance of the norms, especially those related to valuation of inventory.

The ICDS norms were initially notified with effect from financial year 2015-16 but its implementation was deferred by a year to 2016-17 after taxpayers expressed concern over some of the provisions.

Jiger Saiya, partner, direct tax, BDO India, said, “All taxpayers following mercantile system of accounting were required to comply with ICDS while computing taxable income. Coming as a relief to small taxpayers, the tax department has now exempted individuals and HUFs (Hindu undivided families) not liable for tax audit from applicability of ICDS.”

He added that service tax providers have also got a reprieve.

“It is now provided that revenue from service contracts with duration of less than 90 days may be recognised when rendering of services is completed or substantially completed. This will augur well for service providers such as professionals whose engagement contracts span short duration,” he said.

ICDS are a set of 10 standards that will change the way companies calculate income in India.

Its implementation was deferred after a committee formed by the government under retired high court judge R.V. Easwar to simplify tax laws recommended a postponement.

“The introduction of the new ICDS is a welcome step as it addresses some issues voiced by businesses,” said PwC in a note dated 5 October adding that it will help in minimizing litigation involving the tax department and tax payers.

For instance, changes in recognition of revenue for service providers, and introduction of standard cost method for measurement of cost of inventories would provide necessary relief to taxpayers, it said, while adding that some clarifications sought by industry, like clarity on taxability of mark to market gains, have not been addressed.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Organic SEO Outsourcing Organic Search Engine Optimization Outsourcing Organic Website SEO Organic SEO India Website SEO India Organic Search Engine Optimization India Organic Internet SEO India Organic Web

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions