Neeraj Bhagat & Co. - Chartered Accountants

September 29, 2021 / Taxation

Income Tax Return (ITR)- Impact of Delay in filing ITRs

The Government of India has framed Income Tax laws governing the taxes to be levied on the taxable income of all persons who are Individuals, HUF’s, Companies, Firms, LLP, Association of Persons, Body of individuals and any other juridical person. Every individual who qualifies as the resident of India is required to pay tax on the taxable income. Every financial year, tax payers are required to file Income Tax Returns (ITR) in adherence to the laid down rules and guidelines.…

September 23, 2021 / Others

Income Tax Deduction on Donation

Section 80G of the Income Tax Act, 1961 enables an assessee to claim deduction for donation made by him to certain organizations. This deduction is subject to certain conditions. The motive of Government of India behind introduction of 80G deduction is to encourage donation towards worthy causes. Under 80G, the amount donated to notified funds or institutions can be claimed as deduction at the time of filing income tax return. Only donations made to institutions registered under section 80G or …

September 15, 2021 / Company Formation / Registration

Difference Between LLP, Company & Branch Office & Small LLP

LLP is one of the easiest types of business to incorporate and manage in India. With an easy incorporation process and simple compliance formalities, LLPs are preferred by Professionals, Micro and Small businesses that are family-owned or closely-held. Since, LLPs are not capable of issuing equity shares therefore, LLP should not be chosen for any business that has plans for raising equity funds.

Post changes to FDI regulations on 10th, November 2015, 100% FDI in LLP is permitted under the …

September 1, 2021 / Company Formation / Registration

Procedure for Conversion of Private Limited Company into LLP

Pursuant to Sec 56 of LLP Act along-with schedule 3 deal with conversion of Private Limited to LLP

PRE-REQUISITIES:

> Every member of the company must agree with the decision of conversion.

> All the members become the partners of an LLP and no one else.

> The latest copy of Income tax return is to be filed with ROC.

> Not just the members, all the creditors of the company must also agree with the conversion.

> Under Companies …

August 25, 2021 / FEMA

Foreign Account Tax Compliance Act (FATCA)

The seeds of financial crisis were sown long back when the interest rates were fiercely low with very lenient lending norms leading to creation of housing price bubble in U.S. The bubble bursted and the period of 2007-2009 marked as an epic financial collapse leaving people jobless and their investments worthless. With the unemployment rates soaring high and hovering financial crisis, the government aimed to boost the economy. It was then the Foreign Account Tax Compliance Act (FACTA) was introduced …

August 13, 2021 / Business

Significant Economic Presence (SEP)

Technology plays a vital role in today’s world making our daily lives simpler. From medical diagnoses to business operations, from communication to education, everything seems impossible without technology. This pandemic has evidenced the same. Life would have come to stand still without it. But nothing stopped. Technology has infiltrated every aspect of our lives, changing the way we work, the way we learn and the way we shop.

There has been an ongoing paradigm shift in business from physical to …

August 7, 2021 / Business

Change In Registered Office of The Company

As per Section 12 of the Companies Act, 2013, any Change in the Registered Office of the Company, shall be reported to Ministry of Corporate Affairs, further many companies due to various reasons tend to change their Registered Office of the company.

A. PROCESS OF SHIFTING OF REGISTERED OFFICE WITHIN LOCAL LIMITS OF THE CITY.

1. Hold a BOARD MEETING and pass a Board Resolution for shifting of RO.

2. File E-form INC-22 with attach necessary documents.

Documents Required …

August 4, 2021 / Taxation

Global Minimum Tax

21^st century world largely operates under a Global Economic System. International Business is the buzz all around & businesses are not confined to boundaries. It involves cross border transactions both in goods and services. Conducive International Business Environment is imperative for multinational companies to operate and perform. In order to promote cross border trade, the government of each economy is simplifying the trade policies easing out the way business is conducted. But the challenging and complex issue of Taxation …

July 26, 2021 / Business

Start Up and Sweat Equity Shares

A Start Up in common parlance means a project undertaken by entrepreneur seeking to develop a scalable business model. The Government of India in order to streamline and promote all such brain child ideas launched an initiative called Start Up India on 16^th January 2016. It intended to build a strong network nurturing all the innovative ideas leading to massive wealth and employment creation. A Start Up can also be a newly established business but some of the parameters …

July 23, 2021 / Taxation

Brief Analysis of TDS under Section 194Q

As per Section 194Q the buyer, whose turnover or gross receipts or total sales is exceeding Rs. 10 crores in a financial year immediately preceding the relevant financial year, shall be liable to deduct tax at rate of 0.1% on the value exceeding Rs. 50 lakhs at the time of: –

Section 194Q was introduced in the Budget of 2021-22 and has come into effect from 1^st July, 2021. However, the CBDT has said that this provision would not …