1. We are dependable and trustworthy knowledge processing partner. Although we are a separate entity, we are an integrated part of your organization, like a slice of a wholesome pie. NEWSLETTER – JULY 2015

2. INDEX Direct Taxation Indirect Taxation Indirect Taxation Corporate & Other Laws International Trade International Trade Statutory Due Dates June 2015 Statutory Due Dates Newsletter – July 2015

3. DIRECT TAXATION IndexIndex Tax benefits proposed for Card Payments To reduce cash transactions in the country, the Centre proposed income tax benefits for those making payments through credit or debit cards and doing away with transaction charges on purchase of petrol, gas and rail tickets through card-based online transactions.I n a draft paper on moving towards a cashless economy and reducing tax avoidance, the government also proposed making it mandatory to settle transactions worth more than Rs 1 lakh through electronic mode. Among other proposals, the paper has suggested “shopkeepers be given a tax rebate if they accept a significant value of sales through debit or credit cards. An appropriate tax rebate can be extended to a merchant if at least, say, 50 per cent value of the transactions is through electronic means. Alternatively, one-two per cent reduction in value-added tax could be considered on all electronic transactions by merchants,” it says. Income tax rebates might be considered for consumers who pay a proportion of their expenditure through electronic means, it added. Newsletter – July 2015

4. DIRECT TAXATION IndexIndex All IT refunds to be put directly in Bank Accounts In a step that would bring delight to taxpayers, the Income Tax department has put in motion a new plan which will ensure that any refund on tax paid is safely deposited in their personal bank account as soon as it is processed and released. The department is also planning to fully adopt and use banking services to end the current system of sending I-T refunds over the value of Rs 50,000 via cheques through the postal department. IT department to send 24 hours valid password to tax payers In order to end the trouble of sending paper-based acknowledgement of e-filed Income Tax Returns (ITRs), the CBDT is planning to send a one-time password (OTP) on taxpayers' mobile phones which will be valid for 24- hours after getting verified from the Aadhaar database. The department, has decided to usher these new protocols very soon as the new ITRs for the assessment year 2015-16 have recently been notified, heralding the onset of the tax filing season. Newsletter –July 2015

5. INDIRECT TAXATION IndexIndex Service Tax on only AC or AH restaurants Restaurants, Eating-Joints or Messes Which Do Not Have the Facility of Air-Conditioning Or Central Air- Heating in Any Part of the Establishment are Exempt from Service Tax. At present, Service Tax is chargeable on services provided by restaurants, eating-joints or messes which have the facility of air-conditioning or central air- heating in any part of the establishment at any time during the year in relation to serving of food or beverages. Restaurants, eating-joints or messes which do not have the facility of air-conditioning or central air-heating in any part of the establishment are exempt from service tax. In other words, only air-conditioned or air-heated restaurants are required to pay Service Tax. In respect of such air-conditioned or air-heated restaurants which are required to pay Service Tax, 60% of the value is to be deducted from the total amount charged while applying the rate of Service Tax and tax is to be calculated on the balance 40%. With the increase in the rate of Service Tax to 14% (subsuming the Education Cesses) with effect from 1.6.2015, the effective rate of tax will be 5.6% of the total amount charged. Prior to 1.6.2015, when the rate of Service Tax was 12.36% (including Education Cesses), the effective rate was 4.94%. Newsletter –July 2015

6. CORPORATE AND OTHER LAWSIndexIndex Extension of time for filing of Notice of appointment of the Cost Auditor and filing of cost audit report to the Central Government In view of the delay in availability of revised Form CRA-2 on the MCA21 portal, the additional fee on account of any delay beyond the prescribed period of 30 days from the date of Board Meeting in which the appointment of the Auditor was made for filing of CRA-2 for the financial year starting on or after 1st April, 2015 is waived for all such filings till 30th June, 2015. The revised e-Form CRA-4, for filing Cost Audit Report has also been notified and will be made available on MCA-21 portal shortly. Therefore, on the similar lines mentioned in above, additional fees on delayed filing of form CRA­4 beyond the prescribed period of 30 days from the date of receipt of a copy of Cost Audit Report from the Cost Auditor for the Financial Year starting on or after 1st April, 2014 is also waived for all such filings till 31st August, 2015 Newsletter – July 2015

7. INTERNATIONAL TRADEIndexIndex India likely to sign FATCA pact in early July Indian government is likely to sign the Inter- Governmental Agreement (IGA) for Foreign Account Tax Compliance Act (FATCA) in early July 2015. FATCA compliance will necessarily have to cover all new accounts opened by Indian Financial Institutions (FIs) from July 1, 2014 onwards. Further, they would be obliged to share data with the government in respect of all new accounts opened from July 1 till December 31, 2014, to enable the government to share this data with US by September 30, 2015. The Regulators might also publish detailed guidance for implementation of FATCA. Newsletter – July 2015

8. STATUTORY DUE DATES FOR July 2015 Index Index Statutory Due Dates Calendar for July 2015 Newsletter – July 2015 Due DateStatutory Compliance 5 th July 2015Payment of Service Tax/ Excise duty 7th July 2015Payment of TDS 10 th July 2015Excise Return (if monthly) 15 th July 2015Payment of Provident Fund contribution/ Profession Tax 15th July 2015Filing of Quarterly TDS Return ( April to June Qtr) 21 st July 2015Payment of VAT

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10. Newsletter – July 2015 THANK YOU !