Financial Accounting & Auditing

17/10/2014

In view of the recent natural calamities in the States of Andhra Pradesh, Jammu & Kashmir, Odisha & Telangana, the Central Board of Direct Taxes has issued an order extending the due date for filing the TDS/TCS Statements for the 2nd Quarter of Financial year 2014-15 by the deductors/collectors in these States. In case of Government deductors/collectors that are mapped to a valid AIN, the due date is extended from 31st October, 2014 to 7th November, 2014. In case of all other deductors/collectors, the due date is extended from 15th October, 2014 to 31st October, 2014

23/09/2013

1) Rajeev Rishi took over as the Chairman and Managing Director (CMD) of Central Bank of India on 1st August, 2013. Earlier, he was the executive Director of Indian Bank.
2) Samantha Power sworn as new US ambassador to United Nations on 2nd August, 2013.
3) Arundhati Bhattacharya on 2nd August, 2013 was appointed the Managing Director and Chief Financial Officer of the State Bank of India (SBI).
4) Hassan Rohani sworn in as the Iran's President on 4th August, 2013.
5) Rakesh Sethi on 5th August, 2013 took charge as the Executive Director of the Union Bank of India.
6) Raghuram Govind Rajan was on 6th August, 2013, appointed as the Governor of the Reserve Bank of India (RBI) for a time period of three years.
7) Vinay Mittal appointed as Union Public Service Commission (UPSC) member on 8th August, 2013.
D.Bala Venkatesh Varma was appointed the next Ambassador
and Permanent Representative of India to the UN Conference on Disarmament.
9) Senior IPS officer Dilip Trivedi on 17th August, 2013 was appointed the Director General of CRPF.
10) Iranian President appointed outgoing Foreign Minister Ali Akbar Salehi to head of the Atomic Energy Organisation.

26/01/2013

Indians may soon face again the old abolished 'Inheritance Tax', the tax on property recd. in will.

A news paper report says FM P. Chidambaram is keen to bring inherited property to tax net by way of inheritance tax, which was abolished long back in 1976 due to double taxation and complexities.

The inheritance tax may be brought in the upcoming budget.

Source : Newspaper Report

24/01/2013

SBI to set up ‘by-invitation- ­only’ branches to serve Super-rich and NRIs
India’s largest public sector bank, State Bank of India (SBI), along with its associates, plans to set up‘by-invitation- ­only’ branches under the ‘Kohinoor’ brand in 20 cities to serve uber-rich customers and Non-Resident Indians (NRIs).

11/12/2012

Important News for all salaried employees :

EPFO Circular dated Nov 30, 2012:

In a move that would increase savings of salaried employees while cutting their take home pay, the Employees Provident Fund Organization has released a Circular saying PF must be computed on the 'basic pay + all allowances' being paid to the Employees.

As per EPFO circular basic wages will include all allowances which are “ordinarily, necessarily and uniformly” paid to the employees. Thus various allowances such as conveyance, educational allowance, medical allowance etc, will have to be taken into consideration while computing the PF contribution.

Effect:

Now PF will be computed against employees basic pay, DA and all allowances, as against, earlier PF was computed on the basis of basic pay and DA only.

25/11/2012

WHAT IS VOSTRO & NOSTRO ACCOUNT

Vostro Account:
Account held by a foreign bank in a domestic bank is called Vostro account. For example Bank of America opening an account in SBI in India, this is vostro account for SBI in India.

Nostro Account:
Account held by a particular domestic bank in a foreign bank is called Nostro account. Here in the above example given in Vostro account the same account is a Nostro account for BANK OF America, or if SBI India opens an account in BANK OF America then that account is a Nostro account for SBI India. Nostro accounts are usually in the currency of the foreign country. This allows for easy cash management because currency doesn't need to be converted

24/11/2012

Section 206C - To curb the flow of unaccounted money in the bullion & jewellery trade, the Finance Bill has proposed the collection of tax at source (TCS) by the seller at the rate of 1 per cent of the sale amount from the buyer for all cash transactions exceeding
Rs.2 lakh for bullion and
Rs.5 lakh for Jewellery.

However, Bullion will not include any coin or other article weighing 10 gms or less.

Points to be noted

1) TCS would be levied after charging VAT on total consideration.

2) This rule will be applicable irrespective whether buyer is manufacturer, trader or purchase is for personal use.

3) Once seller collect TCS, a TCS certificate will have to be issued to your customer in form no 27D, within one month of the collection of the payment.

4) TCS collected will have to be paid to government wide Challan No 281 within 7 days of next month. Thus, Similar to TDS payments, TCS payments are to be made before the 7th of the next month in which collection is made. TCS returns are to be submitted in Form No 27EQ on quarterly basis.

24/11/2012

The Reserve Bank plans to gradually replace all Rs 10 bank notes with coins as life of the paper note is only about 9-10 months, the Lok Sabha was informed yesterday.

20/11/2012

Gross Direct Tax Collections up by 6.59 Percent During April-October 2012-13 and Stood at Rs. 3,02,810 Crore as against Rs. 2,84,081 Crore in the Same Period Last Year

19/11/2012

Must Watch.!!

Crime Patrol coming back in its 4th season attempts to bring stories of crime happening all around the country. Crimes that tell us, we need to be careful, w...

18/11/2012

Central Board of Direct Taxes (CBDT)has said it does not have any information about names and addresses of Indians who have reportedly stashed money in Swiss banks. The CBDT, a part of Department of Revenue in the Finance Ministry, said this when the matter came before the Central Information Commission (CIC) where Information Commissioner Rajiv Mathur was hearing a plea of Uttar Pradesh-based RTI (Right to inofrmation) applicant Rajkumar Singh.

The CIC found the response of CBDT in accordance with the Law and refused to interfere with it

18/11/2012

IMPACT OF FDI IN RETAIL IN INDIA

FOREX RESERVE
As the limit is increased to 51% in the multi brand retail, the direct investment from abroad called FDI would inflow to start the business. The inflow of capital would increase the capital reserve in the Balance of payment which shows the ability of the nation in terms of Forex

FARMERS
The one of the current problem of Indian economic is fiscal deficit which is mostly caused by subsidy give to the farmers which is considered as unproductive. The one way to cut such subsidy is to make the farmers independent by making the system securing them to be paid good price for the commodity. The organized retailers that are capital giant are able to purchase directly from the farmers paying good price. So the government should be ensuring that the farmers are getting paid the price of what they are eligible to

SME
In the norms that are instructed to the foreign player, they should purchase 30% of the product they deal with from the Small and Medium Enterprise. This ensures the development of SME. The foreign player would like to provide the quality product. The SME would be encouraged to produce the commodity that is of high quality.

INFRASTRUCTURE
The players are imposed with the restriction of investing 50% of their investment on the Back end infrastructure. The ruling party in India where the economic development is suffered by lack of infrastructure is very cautious about to invest in such area. It would become base for economic in many ways, say transportation

DISTRIBUTION
The distribution system is one of the factors determining the cost of the product. As they are invested in the infrastructure, they could follow JIT. Say Wal-Mart, they are not interested in expending in the stock maintenance.

INFLATION
Inflation is the unruly one which is challenge to the country where the price sensitive people are. The scale of economy, capital and large turnover are the base by which the lower prices are offered to the consumer. The entries of multinational players lead to healthy competition that lowers the price then inflation consequently.

EMPLOYMENT
The more employment would be created in the country either directly or indirectly where youth pass out is increasing as much as creation of employment. It would be generated in the agriculture, manufacturing, service industry which consists of GDP. The more people get employed would rehabilitate the economic cycle.

CONSUMERS
The ultimate beneficiary from the opening of FDI in multi brand retail is consumer. They are left to choose the retail that would give them goods at lesser price. The more middle income people living in India are preferred to have shopping more modern in lesser cost.