Latest Expert Exchange Queries

GST Demo Service software link: https://ims.go2customer.com
Username: demouser Password: demopass
Get your inventory and invoicing software GST Ready from Binarysoft info@binarysoft.com
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) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
 
 
 
 
Popular Search: VAT RATES :: ACCOUNTING STANDARDS :: TAX RATES - GOODS TAXABLE @ 4% :: due date for vat payment :: Central Excise rule to resale the machines to a new company :: list of goods taxed at 4% :: ARTICLES ON INPUT TAX CREDIT IN VAT :: form 3cd :: ACCOUNTING STANDARD :: empanelment :: TDS :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: cpt :: VAT Audit :: articles on VAT and GST in India
 
 
« News Headlines »
 GST registration mandatory for TDS entities
 Govt rules out extension for filing GSTR-3B returns after December
 Tax department’s e-filing portal out of action for 2 hours
 Use ITR-2 to show salary and capital gains income
  TDS Applicability On Government Contracts Under Gst (Under Section 51 Of The Cgst Act, 2017)
  How to file ITR for FY 2016-17 and all the links you need
 All about E-way Bill under GST
 Good and simple tax: on the GST regime
 Seeks to extend the time limit for filing of GSTR-1, GSTR-2 and GSTR-3
 Good news, find Tax Return Preparers soon at a place near you; 5 things to know
 Filing of GST return

MoF brings foreign firms in fringe benefit tax net
January, 25th 2008
Providing further clarity on the issue of fringe benefit tax (FBT) on employee stock options, the finance ministry has brought a comprehensive definition for equity shares pertaining to all companiesIndian or foreign, listed or unlisted.

This amendments would come into effect from April 1, 2008. This is done by deleting a clause, which specified that for valuation of Esops for FBT, equity share would be defined according to section 85 of the companies Act, 1956.

The Central Board of Direct Taxes (CBDT) has now deleted the clause (f) in sub rule (4), Rule 40C of Part VII C of the Income tax Rules, which lays down guidelines for FBT. This clause had caused considerable confusion as section 85 dealt only with Indian companies and multinational companies were unsure of how to pay the tax. This would help foreign companies in dealing with their FBT liability.

Section 85 had led to confusion and different interpretations for the meaning of equity shares. With the deletion of section 85, it has been clarified that the natural meaning of equity shares as used in business terms will hold good, Vikas Vasal, executive director, KPMG, explained.

Simultaneously, the CBDT has clarified that specified security not being an equity share in a company will also come under the FBT net. The CBDT has now inserted clause 40D, which provides valuation rules for specified security, which are not an equity share in a company.

Simply put, this means along with equity shares, other similar instruments such as warrants, debenture shares, etc given to employees under Esop plans will also come under the FBT net.

The fair market value of any specified security, not being an equity share in the company, on the date on which the option vests with the employee, shall be such value as determined by a merchant banker on the specified date, the amendment said.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Software Reengineering Software Re-engineering Software Reverse Engineering Software Reverse Development Software Change Modulation Software Conversion Software Re-creation Software Re-development

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