Excise & Taxation department, Government of Punjab has issued public notice dated 15-Sep-2014 regarding sharing of the ITC profile of the dealers with them in there PEXTEX.com login. the said public notice is attached below.
Amendment w.e.f 01.04.2014: One of the most important conditions which has been recently introduced for availing input tax credit under Punjab VAT Act, 2005 is the first proviso to section 13(1) of the said Act.
The first proviso to section 13(1) runs as under:
"Provided that the input tax credit shall not be available as input tax credit unless such goods are sold within the State or in the cource of inter-state trade or commerce or in the cource of export or are used in the manufacture, processing or packing of taxable goods for sale within the State or in the cource of inter-state trade or commerce or in the cource of export."
Public Notice Issued by the Department is as under:-
Income tax - Whether interest obligation arises for the Revenue in every case where excess tax paid by assessee has been retained by the State for its own enjoyment - YES: Supreme Court
THE issues before the Apex Court are - Whether the statutory obligation to refund carries with it the right to interest also; Whether when the assessee deposits tax as per an order passed u/s 195(2), the Revenue is under obligation to pay interest on refund processed as per the appellate order and Whether interest obligation arises for the Revenue in every case where excess tax paid has been retained by the State for its own enjoyment. And the verdict goes against the Revenue.
The Central Board of Direct Taxes (CBDT) has extended the time-limit for filing ITR-V Forms for Assessment Years 2009-10, 2010-11 and 2011-12 till 31.03.2014 for returns e-filed with refund claims within the time allowed under section 139 of the Income Tax Act.
The CBDT has issued Circuar 04/2014 dated 10.02.2014 pointing out that a large number of returns have become non-est as ITR-V was not furnished within the due date. As a result the refund claims have not been processed.
Notification regarding Extension of last date for efiling of Tax Audit Report under Income Tax Act, 1961 & CBDT Press Release Clearing things up.
CBDT today clarified that the exemption from filing of income tax returns given to salaried person earning upto Rs.5 lakhs was only for assessment year 2011-12 and 2012-13. This exemption was given due to complexity of e filing facing by taxpayers as well as by tax officers in processing through manual entry on system.
1. The CBDT has issued Instruction No. 5/2013 F.No.275/03/2013-IT(B), dated 8.07.2013 stating that when an assessee approaches the AO with requisite details and particulars in the form of TDS certificate as evidence against any mismatched amount, the AO will grant credit of TDS to the assessee after ascertaining whether the deductor has made payment of the TDS to the Government.
2. The CBDT has issued Instruction No.6/2013 dt.10.07.2013 regarding set off of refunds against tax remaining payable-past adjustment of refunds against arrears where procedure under section 245 was not followed.
3. The CBDT has issued INSTRUCTION NO. 07/2013 Dated 15-07-2013 regarding Payment of interest u/s 244A of Income Tax Act 1961 when assessee is not at fault.
CBDT has issued Instruction No. 7/2013 dated 15.07.2013 stating that when the delay in processing the refund is not attributable to the assessee but is due to the fault of the Revenue, interest should be paid under section 244A of the Income-tax Act. The High Court had held that false or wrong uploading of past arrears and failure to follow the mandate before adjustment is made under Section 245 of the Act, cannot be attributed and treated as fault of the assessee. These instructions are issued after Delhi High Court orders.
CBDT has issued an important instruction to all officers regarding refund of TDS without matching of tds amount with form 26AS.As per new instructions when an assessee approaches the Assessing Officer with requisite details and particulars in the form of TDS certificate as an evidence against any mismatched amount, the said Assessing Officer will verify whether or not the deductor has made payment of the TDS in the Government Account and if the payment has been made, credit of the same should be given to the assessee.
As we all know that Finance Minister has made amendment that all the individuals having income more than Rs.5 lakhs is required to file their income tax return for the assessment year 2013-14. Thus it increases the number of individuals who would be filing e-returns significantly. Due date of filing tax return is not far away so it’s time to revise the procedure of e-filing of tax return or learn the process of e-filing for first timers.
Income Tax Refund - Section 237 of the Income-Tax Act, specifies that if any person satisfies the Assessing Officer that the amount of tax paid by him or on his behalf, or treated as paid by him or no his behalf for any assessment year exceeds the amount with which he is properly chargeable under this Act for that year, he shall be entitled to a refund of the excess amount paid.
The Hon. Delhi High Court on its Own Motion has considered the issue and passed directions to Central Board of Direct Taxes (CBDT) to address the issue which will mitigate the hardship being caused to the assessees and their legal representatives for no faults of theirs. The citation of the judgment reported is 352 ITR 273 (Del) in the case of Court on its Own Motion v. Commissioner of Income Tax.The full judgment is attached for your ready reference.
In the last few months, several taxpayers have received similarly worded notices from the I-T Department. As per the I-T Department, in these cases, the current refund claims were adjusted against tax that these assessees owe the department.
CBDT has vide Notification No. 3/2013, dated 15-1-2013 introduced ‘Centralised Processing of Statements of Tax Deducted at Source Scheme, 2013′ for centralised processing of statements of tax deducted at source. Vide clause 7 of the notification CBDT has specified that an adjustment of refunds against outstanding tax demand can be done u/s 245 of the Act only after issuing prior intimation to the taxpayer.
it authorities cant adjust outstanding demand against pending refund without first informing the assessee
The Delhi high court has instructed tax authorities not to adjust refunds due against past outstanding demands under any circumstances without informing the taxpayers.
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Tarun Kumar Gupta
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