16 June 2015
GOVERNMENT ASSIGNMENTS FOR CHARTERED ACCOUNTANTS There is always debate in the minds of practicing Chartered Accountants over the size of the firms and their role in innovation. Some argue for their importance of large size having the top slab of the categories of firms, while some others argue for small size firms. In fact, the size of a firm is not clear in our minds that are correlated with the innovatory advantage. We are going to point advantages and disadvantages of small and large firms i...
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12 June 2015
India Adopts Place of Effective Management Concept 20 May 2015, India has amended section 6 of the Income Tax Act to introduce Place of Effective Management (POEM) as the test to determine the place of residence of companies in the country. The change was included in Finance Act, 2015, which received the President's assent on May 12, 2015. The change will take effect from April 1, 2016, and will, accordingly, apply from the 2016/2017 year of assessment. Under the amended law, a company shall be...
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12 June 2015
Taxable Income of NRIs: Things to Know June 07, 2015, If you have moved abroad recently, you may be worried about ensuring your tax compliance in India for financial year 2014-15. Whether an individual has to pay tax and file a return in India depends upon his/her residential status. Let's first understand how residential status is determined. You need to find out your residential status in financial year 2014-15. You are a non-resident Indian (NRI) if you have spent less than 60 days in India....
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12 June 2015
FPIs skip applying for treaty exemption on MAT June 11, 2015, Foreign Portfolio investors (FPIs) have decided to not file an application seeking exemption from the Minimum Alternate Tax (MAT) by citing DTAAs (Double Taxation Avoidance Agreements). FPIs decided to not apply for an exemption because of the uncertainty over whether an officer who received such an application had the power to withdraw his order (the tax demand), said a source with direct knowledge of the matter. Besides, appeals on...
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11 June 2015
India and South Korea have signed a revised double taxation avoidance pact and agreed to begin talks from mid next year to widen the scope of free trade pact to boost bilateral economic cooperation. The agreement came during a summit meeting Prime Minister Narendra Modi held with South Korean President Park Geun-hye when they also called upon the business community in both the countries to leverage the enormous synergies between their economies for mutual prosperity. They welcomed “commencement...
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11 June 2015
Guidance Note on Accounting for Expenditure on Corporate Social Responsibility Activities (Issued May 15, 2015) (The Council of the Institute of Chartered Accountants of India (ICAI) has issued this Guidance Note on Accounting for Expenditure on Corporate Social Responsibility Activities which comes into effect from the date of its issuance. Pending finalisation of the Guidance Note, as it was under discussion with the relevant authorities, the Corporate Laws & Corporate Governance Committee had...
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10 June 2015
Overseas Direct Investments …AN ANALYSIS Guidelines : Foreign Exchange Management (Transfer or Issue of any Foreign Security) Regulations, 2004 have been notified by RBI vide Notification No. FEMA 120/RB-2004, dated July 07, 2004. Clarifications: Clarifications can be obtained from, The Chief General Manager RBI, Foreign Exchange Department, Overseas Investment Division, Central Office, Amar Building, 5th Floor, Mumbai- 400001 General Permission: (I) General Permission is available for purchase...
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6 June 2015
Dubai Proposes New Succession Rules for Non-Muslims The Dispute Resolution Authority (DRA) of the Dubai International Financial Centre (DIFC issued for public consultation, on 16 November 2014, draft rules relating to succession and inheritance for non-Muslims. The intention is to provide certainty to non-Muslims in passing their assets in Dubai to their chosen heirs without the need for proceedings in the Dubai courts. Existing UAE law provides that the law of a deceased non Muslims nationality...
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6 June 2015
Abu Dhabi Financial Free Zone Selects English Common Law The proposed Abu Dhabi Global Market (40GM published, on 7 January 2015, draft legislation for consultation, which sets out that the new financial free zone will have its own administration, court system and tax incentives to attract banks and companies from around the world. Under the proposals, the 40GM will follow the Dubai International Financial Centre (OIFCI in basing its legal framework on English common law. “English common law, as...
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6 June 2015
Swiss Banks in the Firing Line Swiss banks, once a byword for secrecy and for so long the gold standard for wealth management, have been in the firing line from international organisations, governments and tax authorities for years. Even worse, their pre viously impenetrable defences have been completely undermined by employees stealing confidential information and selling it to foreign tax authorities. The light that this data has shed on Swiss banking practices has not been flattering. As a re...
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