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 :: VAT RATES :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: empanelment :: ACCOUNTING STANDARDS :: form 3cd :: articles on VAT and GST in India :: cpt :: TDS :: Central Excise rule to resale the machines to a new company :: list of goods taxed at 4% :: ACCOUNTING STANDARD :: TAX RATES - GOODS TAXABLE @ 4% :: VAT Audit :: due date for vat payment
General »
 Banks warn share tax hike threatens Paris' post-Brexit appeal
 PMC may decide on property tax rebate for IT firms this week
 I-T Dept is giving out certificates of appreciation. Have you received yours?
 Government works on ironing out benefits refund mechanism for exportersa
  Tax officials are using an IDS provision to question transactions beyond six-year-limit
 Tax-free bonds rally like midcap funds
 Senior citizens do not have to pay advance tax on salary and interest income
 GST: Audit commissioners to get adjudication powers
 Interest on NRE rupee account can be exempt from tax under FEMA
 Impact of GST on Real Estate Sector
 GST regime: Tax payers allowed to take option of third-party interfaces

Govt may extend tax payment deadline for black money scheme
July, 08th 2016

The government may extend the deadline for payment of tax on black money disclosed during the one-time compliance window and has accepted the industry request for tax being paid in instalments.

"The government is favourably considering to extend the tax payment deadline as it understands the liquidity crunch around November," a top official told PTI.

"Discussions are on with regard to the number of months by which the payment window can be extended. We have said that they can pay tax and penalty in instalments," he said.

The comments follow Finance Minister Arun Jaitley's meeting with industry associations, CAs and tax professionals late last month to understand their concerns around the compliance window.

The Budget for 2016-17 announced a 4-month compliance window, allowing domestic black money holders to declare their unaccounted wealth, pay a tax and penalty of 45 per cent and escape prosecution and harsher punishment.

The window under the Income Declaration Scheme (IDS) 2016 opened on June 1 and will close on September 30. Tax and penalty on income declared, as per the original scheme, is to be paid by November.

According to the memorandum to the Finance Bill 2016, the government has the flexibility with regard to the closure date of the compliance window, which opened on June 1. Hence any change in closure date can be made effective through a notification.

As regards the payment of tax and penalty, neither the Finance Act nor the Rules with regard to IDS had stipulated such payment in instalment.

Various trade bodies however have asked for leniency in payment of taxes and sought extension of scheme to address the cash flow problem around November.

The Central Board of Direct Taxes (CBDT) has already issued three sets of clarifications on the scheme in form of frequently asked questions (FAQs).

The scheme applies to both residents as well as non- residents (as both these categories could have taxable income that can be declared under the IDS).

"We will issue more FAQs. We are still getting queries from people and we will address them individually," the official said.

In order to make the IDS a success, Revenue Secretary Hasmukh Adhia has been holding video conferencing with senior tax officials every week to assess the progress made under the scheme.

In the previous set of FAQs, the I-T department had clarified that where a search has already been conducted by the Income tax authorities, the taxpayer cannot declare the undisclosed income under the IDS until the end of the period up to which a notice can be issued under the Income Tax Act.

A clarification that the valuation report need not be provided along with the declaration, but can be provided before the acknowledgment is issued has given some leeway to the taxpayers to arrange for the same.

Similarly, it has been clarified that taxpayers who may have received summons from the Income Tax Department without receiving any notice for assessment till date, or taxpayers who have received assessment notices after May 31, 2016 are eligible to make a declaration under the scheme for that year.

Last year the government came up with a similar scheme for persons having unaccounted black money abroad. Disclosures during that window were charged with a total tax and penalty of 60 per cent.

A total of Rs 4,147 crore of undisclosed wealth was declared during the 90-day foreign black money compliance window that ended September 30. At 60 per cent (30 per cent tax and 30 per cent penalty), the government got a net tax of Rs 2,500 crore from the declarations.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Portal Design Website Design Portal Designing Website Designing Web Design Professional Portal Design Professional Website Design Professional Web Design Portal Design India Website Design India Portal Designing India Website Designing India Web Design India Professional Portal Design India Professional Website Design India Chicago Professional Web Design New York Professional Web Design California Website Design Florida Website Design New Jersey Website Design Britain UK Website Design London Manchester Website Design

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