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All existing Trusts / Institutions registered under the Act have to compulsorily apply for fresh registration u/s 12 AB of the Act before 30th June 2021. If any registered Trust fails to apply before the said date (or applies beyond the said date) for fresh registration u/s 12 AB of the Act, what will be the consequences?
Clause (a) of the Proviso to Section 12A (2) clearly specify that if the existing Trusts / Institutions registered under Section 12A or 12 AA of the Act, apply for fresh registration u/s 12 AB of the Act before 30th June 2021, provisions of Section 11 and 12 shall apply to Trust/ Institution from thRead more
Clause (a) of the Proviso to Section 12A (2) clearly specify that if the existing Trusts / Institutions registered under Section 12A or 12 AA of the Act, apply for fresh registration u/s 12 AB of the Act before 30th June 2021, provisions of Section 11 and 12 shall apply to Trust/ Institution from the assessment year from which they were granted their earlier registration.
Section 12A (2) further clarifies that if the said time line of 1 st April to 30th June 2021 is not followed, the provisions of Section 11 and 12 shall apply to Trust/ Institution from the 1 st day of the financial year in which such application is made.
In short, within time application for fresh registration u/s 12 AB will register the Trust from the date on which it was originally registered u/s 12 A or Sec 12 AA. If the application for registration u/s 12 AB is made late that is after 30/06/2021, the registration u/s 12 AB will be granted for F Y 2021/22 and onwards.
See lessI got encashed my balance Leaves at the time of retirement, would it be taxable?
Leave encashment at the time of service is fully taxable. Leave encashment at the time of retirement is not taxable for Government Employees. Leve encashment received by the legal hair of deceased employee is fully exempted. But for other employees, an exemption is provided u/s 10(10AA)(ii) as per tRead more
Leave encashment at the time of service is fully taxable.
Leave encashment at the time of retirement is not taxable for Government Employees. Leve encashment received by the legal hair of deceased employee is fully exempted.
But for other employees, an exemption is provided u/s 10(10AA)(ii) as per the below method:
*Salary means basic salary, dearness allowance, and commission based on a fixed percentage of turnover secured by the employee.
So the taxable amount is Rs 2,00,000-1,80,000=20,000/-
See lessHow the advance salary is taxable?
Advance Salary and bonus become taxable in the year of actual receipt on the basis of the tax rates applicable in the year of receipt. However, Assess can claim relief under section 89(1) of the Income Tax Act.
Advance Salary and bonus become taxable in the year of actual receipt on the basis of the tax rates applicable in the year of receipt. However, Assess can claim relief under section 89(1) of the Income Tax Act.
See lessWhether testing report of Internal Financial Controls (IFC) is required to be placed before the Audit Committee?
Hi, In short " Yes" The Test report of internal financial controls should be placed before the Audit Committee. Now let see the provision related to it: As per part C of Schedule II of SEBI (LODR) Regulations, 2015, the role of the Audit Committee shall include: - Evaluation of internal financRead more
Hi,
In short ” Yes” The Test report of internal financial controls should be placed before the Audit Committee.
Now let see the provision related to it:
As per part C of Schedule II of SEBI (LODR) Regulations, 2015, the role of the Audit Committee shall include:
– Evaluation of internal financial controls and risk management systems;
Further, as per regulation 17(8) of SEBI (LODR) Regulations, 2015, the CEO and CFO shall provide the compliance certificate to the board of directors which would be part of the Annual Report. In that Compliance Certificate, CEO and CFO will certify that:
– They accept responsibility for establishing and maintaining internal controls for financial reporting and that they have evaluated the effectiveness of internal control systems of the listed entity pertaining to financial reporting and they have disclosed to the auditors and the audit committee, deficiencies in the design or operation of such internal controls, if any, of which they are aware and the steps they have taken or propose to take to rectify these deficiencies.
– They have indicated to the Auditors and the Audit Committee “significant changes in internal control over financial reporting during the year”.
Since the Test report is merely an evaluation report of the IFC, they may place the test report to the audit committee for its evaluation.
Regards
See lessWhat if payment made to consultant by client is without deducting the tds. Who need to pay the tds?
Hi, TDS on Payment to consultant is covered in section 194J of the Income Tax Act. Let's discuss the second part of this question i.e who is required to deduct TDS As per section 194 J, Every person (Service Recipient) needs to deduct TDS on consultancy charges, except Individual and HUF: In case ofRead more
Hi,
TDS on Payment to consultant is covered in section 194J of the Income Tax Act.
Let’s discuss the second part of this question i.e who is required to deduct TDS
As per section 194 J, Every person (Service Recipient) needs to deduct TDS on consultancy charges, except Individual and HUF:
Now let’s see the first part of the question i.e what happens if TDS is not deducted.
Following consequences need to face to the service recipient.
Thanks!
See lessIs it mandatory to file an ITR if an individual is opting for presumptive taxation u/s 44AD and the profit is less than taxable limits eg say yearly turnover is 10 lakh only?
Hi, The purpose of section 44Ad is to give relief to small assessee from compliance of maintaining books of accounts and annual Audit. This section is not related to the filing of ITR. It just gives a method of calculation of the taxable income of a business. So in this case, if the taxable income oRead more
Hi,
The purpose of section 44Ad is to give relief to small assessee from compliance of maintaining books of accounts and annual Audit.
This section is not related to the filing of ITR. It just gives a method of calculation of the taxable income of a business.
So in this case, if the taxable income of a business is less than the maximum amount which is not chargeable to tax then filing of return is not mandatory.
See lessFor which business GST is mendatory
Whose turnover exceeds rs. 40 lakh
Whose turnover exceeds rs. 40 lakh
See less