Some important updates

Aruhi (Finance Professional) (6231 Points)

23 September 2015  

1) Writ: Writ petition filed in Karnataka High Court (Bengaluru) KSCAA(Karnataka state chartered accountants society) pressed early next hearing which is now listed on 23/9/15

2) Writ: CA Jagdish Prasad Mittal, of Rourkela has filed a writ petition in Orissa High Court, Cuttak, vide  WP(C)-17178/2015, dt 21/09/2015 vs Union of India, Direct Tax Matters for extension of TAR, due for hearing on 23/09/2015

3) Banks closed from Wednesday to Sunday in October.

21.10.2015 - ayutha pooja
22.10.2015 - vijayadasami
23.10.2015 - muharram
24.10.2015 - 4th saturday
25.10.2015 - sunday...
5 days continuous leave for banks. So plan accordingly

 

4) ICAI repreaented to FM for extention & system of appointment of bank auditor

Meeting of the president ICAI and other CCM with honble FM has been concluded.The worthy FM has given a very patient hearing. The matter of extention of date  will be considered by CBDT shortly. FM will consider representation for bank auditor appointment issue also.

 

5) IT: Disallowance U/s. 40(a)(ia) justified for deduction of TDS under wrong section : Kerala High Court : CIT vs. P V S Memorial Hospital Ltd.

 

6) The Central Govt has notified the MINES AND MINERALS (CONTRIBUTION TO DISTRICT MINERAL FOUNDATION) RULES, 2015, wef 12.1.2015.

 

7) ICAI Membership and COP Fee for the year 2015-16 is payable on or before 30th September

 

8) Meeting with the Hon’ble Finance Minister, Shri Arun Jaitley

CA. Manoj Fadnis, President, ICAI, CA. Anuj Goyal, Chairman, Professional Development Committee, along with Chairman, Direct Taxes Committee , Vice-Chairman, Direct Taxes Committee , Vice Chairman, Committee on International Taxation, met and represented before Hon’ble Finance Minister Shri Arun Jaitley on 22nd September,2015 on the following two issues :

 

i.   For extension of due date for filing returns of income and tax audit reports falling due on 30th September, 2015;

 

ii.  In respect of system of appointment of Central Statutory Auditors and Branch Statutory auditors of Public Sector Banks.

I.   Extension of due date for filing returns of income and tax audit reports:
On consideration of the requests received from members at large seeking extension of due date of filing return of income as well as the tax audit report under section 139 of the Income-tax Act, 1961 falling due on 30th September, 2015, the following representations have been made by the Direct Taxes Committee of ICAI:

ICAI/DTC/2015-16/Rep - 20 dated 10th July, 2015
ICAI/DTC/2015-16/Rep - 22 dated 20th Aug, 2015
ICAI/DTC/2015-16/Rep - 23 dated 7th Sep, 2015
ICAI/DTC/2015-16/Rep - 24 dated 14th Sep, 2015

A power point presentation by the Direct Taxes Committee of ICAI was presented & a fervent appeal was made out in support of the case for extension of due date of return as well as tax audit report from 30th September, 2015 to 31st October, 2015.

Hon’ble Finance Minister has assured to look into the matter. However, in the absence of any concrete decisions so far, the esteemed members of the profession are advised to put in their best efforts to comply with the prescribed due date i.e. 30th September, 2015.

II.   In respect of system of appointment of Central Statutory Auditors and Branch Statutory Auditors of Public Sector Banks:

The ICAI representatives explained the inadequacies arising out of the current procedure of appointment of Central Statutory Auditors and Branch Statutory Auditors of Public Sector Banks (PSBs). It was mentioned that the managerial autonomy is correct to the extent of day to day decisions making but nowhere the authority to appoint the auditor lies with the persons whose decisions are to be audited. Such delegation in the long run is a great peril to the economy itself.


ICAI recommended that appointment of Central Statutory Auditors and Branch Statutory Auditors of Public Sector Banks (PSBs) may be done either by Reserve Bank of India or the C&AG or any other such independent authority.

 

The Hon’ble Finance Minister has noted the concerns of the ICAI and has assured to look into the matter.