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 :: form 3cd :: Central Excise rule to resale the machines to a new company :: ACCOUNTING STANDARDS :: TDS :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: due date for vat payment :: empanelment :: list of goods taxed at 4% :: TAX RATES - GOODS TAXABLE @ 4% :: VAT RATES :: articles on VAT and GST in India :: cpt :: VAT Audit :: ARTICLES ON INPUT TAX CREDIT IN VAT
 
 
« General »
 Top House tax writer suggests measures to mitigate the impact of the border tax
 Consumer goods distributors, wholesalers to bear the brunt of GST
 GST classification woes to continue
 There will be no tax on farm or agriculture income
 RBI, Income Tax Acts to be amended for electoral bonds, Jaitley says
  Clarifications on the Taxation and Investment Regime for Pradhan Mantri Garib Kalyan Yojana, 2016
 I-T zeroes in on Mumbai trader in first crackdown after demonetisation
  Tax queries answered by Dilip Lakhani, Senior Chartered Accountant
 Income Tax Department Failed To Unearth Black Money Despite Information
 Govt filing twice as many cases as private cos in Supreme Court
 Taxes under GST 'to increase a bit', says CBEC Chairman

Prepare for new tax regime
March, 11th 2010

When Ashok Dhingra was sent to Canada in freezing January by the law firm J Sagar Associates (JSA), where he is a partner, he had duty rather than vacation on his mind.

The firm wanted him to study the nuances of the Canadian goods and services tax, or GST, on which India is likely to model its own new indirect tax regime.

Dhingras trip is an example of how Indian law firms are gearing up for the proposed introduction of GST on 1 April 2011by training employees, recruiting new attorneys and studying GST of other countries.

Under the Union governments proposal, a single GST will replace a web of national, state and local taxes such as Central excise duty, service tax and value-added tax, making tax rates on almost all important goods and services uniform throughout the country.

It was earlier expected to be introduced on 1 April. The new regime will bring about fundamental changes in the practice of indirect tax law, and law firms realize they need to begin the groundwork now to be ready to meet the challenge.

Rohan Shah, partner at Economic Law Practice (ELP), calls GST a game changer as it will make lawyers knowledge of indirect taxes until now effectively redundant.

He said it will take at least a year of training and learning for tax lawyers to catch up with the new structure.

Dhingra of JSA agrees. It takes years to train a professional in a particular tax legislation. Over a period of time, they acquire knowledge of all legislation, he said.

Professional services firms also need to make (a) huge investment of billable time and, of course, money to retrain their teams to be ready to provide assistance to their clients (when GST is implemented), he added.

For instance, lawyers routinely argue their cases by citing previous judgements based on a particular law. But once GST is introduced, the basic principle of indirect tax law will no longer be the same.

This, says Dhingra, means previous Supreme Court rulings on the subject may not have a direct bearing on new cases, but only have persuasive value.

V. Lakshmi Kumaran, managing partner at law firm Lakshmi Kumaran and Sridharan, said his firm, too, had started preparing for GST.

To increase our understanding of GST, we have analysed GST of various countries like Australia, Canada, and (the) UK, he said. His company has also hired 12 new attorneys to help deal with GST cases.

Shah of ELP said the new regime will also bring a host of new opportunities with it for law firms, precipitating a spurt in legal advisory and litigation work.

Industry and companies will face a host of legal issues like tax compliance, exemptions, credit issues, domain of states and issues of constitutional validity of taxes, which would mean more work for the law firms, he said.

GSTs introduction will be accompanied by the adoption of a new direct tax code and International Financial Reporting Standards, which are also set to be implemented on 1 April next year.

When Dhingra was flying to Canada, he was still expecting GST to happen this April, the original deadline. The deferment, he said, has given the legal community an extra year to get ready for the new tax regime.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Customer relationship management software CRM software Operational CRM Collaborative CRM

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