Anonymous
28 May 2011 at 14:55
sir,
mene mlm ka company start kiya he or 6 mahine k payout issue ho gaye he or4 humne customer ka chq par tds bhi deduct kiya he to please mere ko yeh batye ki tds customer k nam se kase or kaha jama karna he ki customer ko tds certificate mil jaye or tds deposir karne ke liye document ka recquirment hota he batye
thanks,
dasd
28 May 2011 at 09:22
If i accepted a loan in kind[some precious metal not authorized as currency of the country ] then whether it gets covered under sec 269ss??
A/d to me it shouldn't be as it's supported by the various case laws one of them is Asstt. Cit vs Ruchika Chemicals & Investment (P) Ltd.
Clause (iii) of Explanation to section 269SS clarifies the purport of "loan or deposit" as loan or deposit of money. When this Explanation is read with the main section it brings to light that only the transactions of loans or deposits which are covered within the ambit of this section are that of "money'. If the loan or deposit transaction is not that of money, then it would go out of the purview of section 269SS and resultantly no penalty under section 271D can be imposed. The term 'money' has not been defined in this section. It was fairly admitted by-both the sides that the term 'money' is not defined anywhere in the Income Tax Act, 1961. No authority is required to be cited for the proposition that if a term or an expression is not defined in the Act, then the meaning to be assigned to it is as is understood in common parlance. The Hon'ble Supreme Court had the occasion to consider the meaning of term "money" in Kasturi and Sons Ltd. (supra), in the context of section 41(2) and it was laid down as under :
"It is obvious that the legislature has deliberately used the word 'moneys'. Wherever the legislature intended to refer to payment in kind other than cash or money, it has taken care to provide specifically therefore. For example, in section 41(1) itself, the legislature has used the expression, "whether in cash or in any other manner whatsoever". There are several sections in the Act which refer to benefits other than cash through the value thereof can be ascertained in terms of cash or benefits which are convertible in cash (see sections 17, 23(3), 28(iv), 40A(2)(a), 93(4)(c)), For example, section 28(iv) speaks of the value of any benefit or perquisite, whether convertible into money or not, arising from business or profession When the legislature has instead of using any word such as 'benefit' used only the term 'money', it can refer only to money as understood in the ordinary common parlance."
The Shorter Oxford English Dictionary defines "money" as a current coin; metal stamped in pieces as a medium of exchange and measure of value, b. Hence, anything serving the same purposes as coin, late ME. c. in mod. use applied indifferently to coin and to such promissory documents representing coin (esp, bank-notes) as are currently accepted as a medium of exchange".
The Law Lexicon by Sh. P. Ramantha Iyer defines 'money' as under :
Money (moneta)-That metal, be it gold or silver, which receives authority by the prince's impress to be current; for as wax is not a seal without a print, so metal is not money without impression. (Co. Ltd. 207). Money is said to be the common measure of all commerce, through the world, and consists principally of three parts, the material whereof it is made, being silver or gold; the denomination or intrinsic value, given by the king, by virtue of his prerogative; and the King's stamp thereon. (1 Hale's Hist. P.H. 188).
The definition of the term 'money' in these dictionaries and as laid down by Apex Court is a pointer to the fact that 'money' means 'cash'. When clause (iii) of the Explanation is read with main section, the natural coroliary that follows is that the restriction contained in section 269SS is against accepting loan or deposit in cash alone. The other modes of loans or deposits including creation of credit through transfer entries are outside the scope of section 269SS
in the same way above transac will be outside the perview of sec 269ss........
Q2:::if in the above trans only if i accept currency of any country as loan & melt it & sell it the market [hidden transaction of melting & selling it] & then repay in cash .269ss will be attracted....
Suppose i hv taken some silver bar [250 gms] from a person on repayment date I hv to return to him silver only [that too 250 gms] & some charges[quantity oly like 10 gms for 4 months etc] for keeping or using that silver .
Now 1st ques is that whether it attracts 269ss or not?
2nd ques is whether it wil be treated as valid transactions?
3rd whether it wil be like some benami trans/diversion of income to kiths & kins?
Monu Bhardwaj
27 May 2011 at 16:55
A person is carrying trading business. He is Operating business by creating four Pvt Ltd Companies in which he and his wife are directors in 50:50 ratio of shareholding. He is also running a partnership firm in which he and his wife are partners in the equal ratio. The whole process of business is as follows:
1. They are raising unsecured loans in personal names and transfer the same in one of the company. Company is paying interest and instalment of that interest by the company’s cheque directly to the bank/financial institution.
2. No TDS is being deducted from these payments.
3. Directors transfer funds to purchase property in their personal names.
4. Interest of Rs. One Crore per year is debited to the profit and loss account.
5. Limits CCs of Rs.10 Crore had been raised in the relevant companies but used for purchase of property.
6. No enough working capital is left in the business and they raise further loan secured or unsecured or home loan.
7. No statutory compliance have been made.
8. Furhter they create a vogus proprietorship firm and the turnover is Rs 2 Crore per year and the whole sale from this concern is in cash. There is no cash in the books but they deposit lacs of Rupees in bank from black money.Cash balance is also negative which will be made positive from receiving cash from old accounts of bad debtors.
9. They are using faque Form C for avoiding sale tax in the above concerns.
10. They are not registered in PF ESI Shop Establishment Acts.
In the above all they are evading lacs of rupees sale tax service tax income tax and not paying the employees their salaries in time.From April 2010 they announce increment in our salary but we have not received arrear of salary from April 2010 to Dec 2010.We have not received our leave encashment for the financial year 2010.
My problem is that I was the previous accounts head of this concern and they are threating me that if I say something to someone they file a FIR against me or theat me by saying that they can destroy me and my family.
I humbly request all the members of LawyersClubindia to help me by suggesting where to complaint against these concerns by not disclosing myself or keep my identity confidential.
Ravi Majmudar
27 May 2011 at 06:35
Dear Sir,
I booked an apartment in Vadodara few days back. The property is still under construction and the possession will be given in next few months. Builder has informed that Service tax is payable @2.75% of property value. Please advise on the applicabiity and rate of service tax.
Regards.
Anonymous
27 May 2011 at 06:33
Dear Sir,
I booked a property in Vadodara few days back. Builder has informed that Service tax is payable @2.75% of property value. Please avise on the applicabiity and rate of service tax.
Regards.
Monu Bhardwaj
26 May 2011 at 22:30
As per Finance Act service tax is to be deposited at the time of actual receipt of invoice value.
If we discounted these bills from our bankers or sold to a factor. When should we deposit service tax?
At the time of bill discounting/Factoring or when actual payment remitted by the customer/debtor to bank.
Anonymous
26 May 2011 at 17:44
Dear Sirs,
We have booked travel ticket through travel agent in abroad. Now we need to settle the same from India. Is there any service tax liability?
dasd
26 May 2011 at 08:58
whether loan can be accepted in kind & repymt also made in kind-pls give me some case laws
arjun prajapati
25 May 2011 at 17:13
i am registered dealer in Punjab having only one Tin Number , but more than one branches. now question are.
1. can we maintain combined accounting of all branches.
2. if we have to maintain all accounts separately.then how to file sales tax return.
3. Provide with best altenative to deal with such situation.
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