Latest Expert Exchange Queries

Make 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) | 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: form 3cd :: VAT RATES :: ACCOUNTING STANDARDS :: empanelment :: ARTICLES ON INPUT TAX CREDIT IN VAT :: articles on VAT and GST in India :: TAX RATES - GOODS TAXABLE @ 4% :: due date for vat payment :: TDS :: Central Excise rule to resale the machines to a new company :: ACCOUNTING STANDARD :: VAT Audit :: list of goods taxed at 4% :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: cpt
 
 
News Headlines »
 Income-tax (21st Amendment) Rules, 2017
 Deadline for filing income tax return nears; here are 10 common mistakes that you must avoid
 All you need to know about form 26AS
 How to file income tax return?
 7 changes that affect income tax return filing this year
 How To File Income Tax Return (ITR) Online For FY2016-17? Last Date July 31
 Last date for filing income tax return approaches: What is Form 26AS? How it can help you claim refunds
 Income Tax department to launch mobile app to make life easy for taxpayers
 6 things to remember while filing your income tax return
 Want to save on tax? Here are deductions you can use while filing ITR
 July 31 Is Last Date For Filing Tax Return. Why Form 26AS Has To Be Checked

New Penal Provisions Under Cenvat Credit Rules
May, 26th 2015

Vide Notification No. 6/2015-ST dated 1.3.2015, following amendments have been made in Rule 15containing penal provisions to rationalize penalties w.e.f. date of enactment of Finance Act, 2015(14.05.2015)

Under

Penalties Imposable

Rule 15(1)

As per Section 11AC(1) (a) or (b) of Central Excise Act, 1944

or

As per section 76(1) of Finance Act, 1994

Rule 15(2)

As per section 11AC (1) (c) and (d) or (e) of Central Excise Act, 1944

Rule 15(3)

As per section 78(1) of Finance Act, 1994

The aforementioned penalties shall be over and above interest recoverable under Rule 14 of Cenvat Credit Rules, 2004. Readers may refer to Topic No. 25 for penalties under section 76 and 78 of theFinance Act, 1994

Penalties for short / non-payment of duty under Section 11AC of Central Excise Act, 1944

Penal provisions have been rationalised and the amount of penalties is sought to be reduced significantly. The amended penalties under section 11AC under different situations will be as under:

(a) For show cause notices issued after enactment of the Finance Act, 2015 (i.e, 14.05.2015)-

1. For cases not involving fraud, collusion, wilful-misstatement etc. with the intent to evade duty

  1. Amount of maximum penalty shall be limited to the extent of 10% of the duty demanded or ₹ 5,000/-, whichever is higher.
  2. No penalty to be levied if duty and interest is paid with in 30days from the service of show cause notice
  3. Penalty shall be reduced to 25% of the penalty demanded if duty, interest and reduced penalty is paid within 30days from the communication of the adjudication order or the appellate order, as the case may be.

2. For cases involving fraud, collusion, willful-misstatement etc. with the intent to evade duty-

  1. Penalty shall be leviable equivalent to 100% of the duty amount.
  2. Penalty shall be reduced to 15 % if the duty and interest is paid with in 30 days from the service of show cause notice.
  3. Penalty shall be reduced to 25% of the penalty demanded, if duty, interest and reduced penalty paid within 30days from the communication of the adjudication order or the appellate order, as the case may be.

(b) For the pending SCN’s before adjudication at the time of enactment of the Finance Act, 2015, i.e. on 14.05.2015 (where the assessee does not wish to wait for adjudication) -

  1. Cases can be closed upon the payment of duty, interest and penalty @ 15% of the duty in the matters involving fraud, collusion, willful-misstatement etc. within 30days from the enactment of the Finance Act, 2015.
  2. Cases can be closed upon the payment of duty and interest in the matters not involving fraud, collusion, willful-misstatement etc. within 30days from the enactment of the Finance Act, 2015.(i.e. from 14.05.2015)

(c) For show cause notices issued before and adjudicated after the enactment of the Finance Act, 2015 (i.e. after 14.05.2015) -

  1. Reduced penalty of 25% of duty payable shall be applicable in the matters involving fraud, collusion, willful-misstatement etc. if the duty, penalty and interest is paid within 30 days from the communication of the order.
  2. Reduced penalty shall be payable @ 25% of the penalty imposed in the order for cases not involving fraud, collusion, willful-misstatement etc. if the duty, penalty and interest is paid within 30 days from the communication of the order.

Further, for penalty under section 11A, availability of specified records shall no more be a criteria for issuing show cause notice to demand reduced penalty.

Where only interest is to be demanded and a show cause notice is to be issued for recovery of interest, relevant date shall be the date of payment of duty to which such interest relates.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Software Work Flow Workflow Software Software Automation Workflow automation Software Design Workflow Design Business Work Flow Workflow automation tools

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