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: ARTICLES ON INPUT TAX CREDIT IN VAT :: cpt :: due date for vat payment :: form 3cd :: Central Excise rule to resale the machines to a new company :: ACCOUNTING STANDARDS :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: articles on VAT and GST in India :: VAT RATES :: empanelment :: list of goods taxed at 4% :: ACCOUNTING STANDARD :: TDS :: TAX RATES - GOODS TAXABLE @ 4% :: VAT Audit
 
 
« News Headlines »
 Is government tapping your phone?
 Income tax department to use analytics to look for discrepancies in bank accounts
 GST Council fails to break deadlock over indirect tax regime, next meet on Dec 11 and 12 to hammer out differences
 Invoking Writ Jurisdiction For Income Tax Matters
 How to file income-tax returns online
 How Income Tax Returns Are Scrutinised
 All About New Income Disclosure Scheme to make Demonetisation successful
 Your deposit may draw income tax notice
 Accepting payment under IDS 2016
 New disclosure scheme could see 50% tax and 4-year limit on cash use for unaccounted deposits
 Pay 50% tax on unaccounted deposits, or 85% if caught, says Modi government

Satyam fraud could have been detected earlier
July, 20th 2009

Had the Central Excise and Customs department been vigilant, the Satyam Computer fraud could have been unearthed in 2007 itself. The Comptroller and Auditor General (CAG) of India in its report on Indirect Taxes Central Excise, Service Tax and Customs, filed before the Parliament, has revealed that Satyam had taken wrong credit on health insurance services obtained for its employees. The amount, which was to be paid to the Central Excise and Customs Department, was part of Cenvat (Central Value Added Tax).

The CAG has mentioned in the report, 2009-2010, that Satyam Computer Services Ltd, in Hyderabad II Commissionerate, engaged in rendering of consulting engineers services, manpower recruitment agency services, etc, took credit of Rs 4.15 crore during the period between February 2006 and July 2007, of the service tax paid on health insurance services obtained from insurance companies for the welfare of their employees.

It further states that the internal audit wing of the department objected to these wrong credits in August/October 2007 and in pursuance of these objections, the assessee (Satyam) reversed the entire credit on 31st August 2007. However, the interest payable on these incorrect credits from the date of taking credit to the date of reversal, amounting to Rs 46.37 lakh, was neither paid by the assessee nor was it demanded by the department. A CAG official, on condition of anonymity, said, It is major irregularity under Rule 14 of the Cenvat Credit Rules 2004, which says that where cenvat credit on any input services has been taken or utilised wrongly by a service provider, the same along with interest should be recovered.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - Our Experience

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