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 – NOVEMBER 2015

2. INDEX Direct Taxation Indirect Taxation Corporate & Other Laws Accounting & Audit Accounting & Audit Statutory Due Dates November 2015 Newsletter – November 2015

3. DIRECT TAXATION IndexIndex IT Department amends rules to reduce Transfer Pricing Litigations The income tax department on 20 th October 2015 amended the rules regarding cross-border taxation to bring more certainty and reliability in the way officers scrutinize if MNC transactions are designed to suppress profits. The department said that rules to assess the income of MNCs from their India operations based on the benchmark of arm’s length price have been amended in the case of both international transactions as well as specified domestic transactions. The amended rules allow for introduction of a ‘range concept’ and use of multiple year data for tax assessment work. Accordingly, if value of a cross-border transaction within a group of companies falls within the specified range, no income adjustment will be made. The use of multiple year data allows for yearly variations to be averaged out and would therefore add value to transfer pricing analysis, said the Department. The amended rules would therefore provide clarity in determination of price in transfer pricing cases and reduce disputes Newsletter – November 2015

4. INDIRECT TAXATION IndexIndex No Service Tax on Title Transfer in property Mere title transfer in immovable property is exempt from service tax, the finance ministry clarified on. Monday, 26 th October 2015. In the case of sale of flats, title transfer after the issuance of an occupancy certificate is exempt from service tax. The Central Board of Excise and Customs (CBEC) has given this clarification on a case related to areas under the jurisdiction of Brihanmumbai Municipal Corporation. "To resolve a long-standing issue relating to levy of service tax on sale of flats or dwellings after issue of occupancy certificate but before issue of completion certificate… it has been conveyed… that such a sale where the entire consideration is received after issue of occupancy certificate… leading to a mere transfer of title in immovable property, falls outside the definition of 'service' provided in Section 65B (44) of the Finance Act, 1994, and is therefore, not taxable," CBEC said. Newsletter – November 2015

5. CORPORATE AND OTHER LAWSIndexIndex MCA extends the last date of filing AOC 4, AOC 4 XBRL and MGT 7 eforms to 30 th November Ministry of Company Affairs vide General Circular No. 14/2015, has extended the due date for filing the forms AOC 4, AOC 4 XBRL and MGT 7 to 30 th November 2015. It has been decided to relax the additional fee payable on forms AOC-4 and AOC-4 XBRI up to 30th November, 2015. Government fixes annual interest rate on sovereign gold bonds at 2.75% Investors who love the yellow metal, have one more route to invest through. They can now hold gold in paper form. The Government of India, in consultation with Reserve Bank of India (RBI), has decided to issue Sovereign Gold Bonds. The Bonds will be issued on November 26, 2015, for which applications will be accepted from November 05, 2015 to November 20, 2015. The Bonds will be sold through banks and designated post offices. The gold Bonds will be denominated in multiples of gram(s) of gold with a basic unit of 1 gram. The tenor of the Bond will be for a period of 8 years with exit option from 5th year to be exercised on the interest payment dates. Minimum permissible investment will be 2 units (i.e. 2 grams of gold). The maximum amount subscribed by an entity will not be more than 500 grams per person per fiscal year (April-March). The investors will be compensated at a fixed rate of 2.75 per cent per annum payable semi-annually on the initial value of investment. Newsletter – November 2015

6. ACCOUNTING & AUDITIndexIndex RBI directs concurrent auditors to submit report directly to banks The Reserve Bank of India has asked concurrent auditors of commercial banks to do to submit their review of non-performing loans directly to the banks and discontinue the practice of submitting it to the statutory auditors who conduct quarterly and half yearly review of bank accounts. Concurrent audit means doing the examination of the financial transactions at the time of happening or parallel with the transaction. Concurrent audit system is regarded as part of a bank's early warning system to ensure timely detection of irregularities and lapses, which also helps in preventing fraudulent transactions at branches. Concurrent auditors will therefore give their opinion on nonperforming assets or NPA figures to the banks and not to the statutory auditors, who for audit purpose will treat the branches covered by concurrent auditors as unaudited branches. Newsletter – November 2015

7. ACCOUNTING & AUDITIndexIndex Internal Financial Controls (IFC) reporting mandatory form the year ending on 31 st March 2016 The new Companies Act, 2013, now requires auditors to also opine on whether a company has an adequate internal financial controls (IFC) system in place and the operating effectiveness of such controls. This is in addition to the existing audit opinion on financial statements. While this requirement was originally applicable to financial statements ending 31 March 2015, considering the lack of guidance, this applicability was deferred and is now effective for the year ending 31 March 2016. Due to the deferral of this reporting requirement, the Ministry of Corporate Affairs (MCA) retained the reporting requirement relating to internal controls in certain specific areas under the Companies (Auditor’s Report) Order, 2013 (CARO). The reporting on ICFR by auditors will be applicable to both listed and unlisted companies, including small and one person companies. This is in line with the requirements of section 143(3)(i) of the Companies Act, 2013. Furthermore, auditors will have to report on ICFR in respect of both stand alone and consolidated financial statements. In respect of consolidated financial statements, it will cover subsidiaries, joint ventures (JVs) and associates of the group, which are companies incorporated in India, since the Companies Act applies to such entities. This is particularly important for companies for the current year ending 31 March 2016, as it will be the first year when auditor validation of ICFR will be required. In addition, reporting on ICFR will not apply to interim financial statements, such as quarterly or half-yearly, unless such reporting is required under any other law or regulation. Newsletter – November 2015

8. STATUTORY DUE DATES FOR NOVEMBER 2015 Index Index Statutory Due Dates Calendar for November 2015 Newsletter – November 2015 Due DateStatutory Compliance 5th November 2015Payment of Service Tax/ Excise duty 7th November 2015Payment of TDS 10th November 2015Excise Return (if monthly) 15th November 2015Payment of Provident Fund contribution/ Profession Tax 21st November 2015Payment of VAT & ESIC 30th November 2015Due date for filing return of income and wealth tax return in case of companies to whom report u/s 92E (Transfer Pricing) is applicable and Annual Return (MGT 7) under Companies Act 2013.

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10. Newsletter – November 2015 THANK YOU !