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: due date for vat payment :: ACCOUNTING STANDARD :: list of goods taxed at 4% :: cpt :: form 3cd :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: TDS :: empanelment :: ACCOUNTING STANDARDS :: articles on VAT and GST in India :: VAT Audit :: ARTICLES ON INPUT TAX CREDIT IN VAT :: Central Excise rule to resale the machines to a new company :: TAX RATES - GOODS TAXABLE @ 4% :: VAT RATES
 
 
« General »
 Finance Ministry may hike monetary limit for filing tax appeals
 Compilation of all notifications issued ON
 Banking transaction tax to have cascading effect: NIPFP
 While filing tax in India, NRIs do not have to state overseas income
 Tax ease on cards, some daily use items may become cheaper
 It’s one year of GSTN, too
 SBI home, auto loan interest rates cut, set to be effective from Nov 1
 MNCs will have to furnish extra disclosures from March 2018
 High Court Allows Woman To File Income Tax Returns Without Quoting Aadhaar
 If tax status is no longer NRI, all your income is taxable in India
 Tax Benefits from Different Types of Loans under the Income Tax Act, 1961

I-T dept gains with fatter tax collection
January, 09th 2009

Guess what? The only guys to have gained from Ramalinga Raju's fudged accounts seems to be the Income-Tax department.

Each time Satyam would have declared an 'inflated' income, this would have automatically led to an inflated profit figure as well. The irony is thecompany would then have to fork out real money as tax on this fictitious profit. And, as the company kept pumping up the numbers each year, the tax outgo also would have increased substantially. Satyam Computer Services, on a standalone basis, has disclosed a tax outgo of over Rs 800 crore since the financial year 2002-03, up to 2007-08.

Since 2004, the total income tax paid by Satyam on a consolidated basis stands at $169 million. Raju's letter talks about the gap in balance sheet that has arisen purely on account of inflated profits over a period of several years.

A source in the I-T department insisted that the department may not even consider returning whatever extra tax that may have accrued as a result of the fudging of accounts.

There may have been many cases wherein an individual or company would have understated income figures.

Given the magnitude of this case, the source added that it could surely be termed as a first of its kind from the I-T perspective.

As per Raju's own admission, Satyam's balance sheet as on September 30, 2008, carries an inflated (non existent) cash and bank balances of Rs 5,040 crore (as against 5,361 crore reflected in the books). It also carries a non-existent accrued interest of Rs 376 crore.

"There's been a serious lapse. The auditors should have scrutinised bank account documents. It cannot be a mere oversight. As for the income tax,which has already been filed with the department over the years, there is less chance of the department returning it," said the source, on conditionof anonymity.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Software Outsourcing Company Offshore Software Outsourcing Software Outsourcing Company India Offshore Outsourcing Company India Software BPO Software Business Process Outsourcing Software Outsourcing India Offsho

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