VIA Taxation and Corporate Law Forum & Vidarbha Tax Practitioners Association (VTPA) are jointly organised a 15th edition of Tax awareness session on “Chhoti Chhoti Batein Tax Ki” today at VIA Auditorium, Nagpur by renowned & Prominent Tax Professionals of the city namely CA Kailash Jogani for Income Tax & allied laws whereas CA Shailendra Jain for GST.
Initiating the presentation, CA Kailash Jogani asked the taxpayer to keep proper records and books of accounts, file proper information in income tax returns well within time since there are restrictions for belated returns like income shall be computed mandatorily in new tax regime, restrictions in carry forwards of losses and likewise. He began his presentation by explaining the importance of the last quarter of the financial year wherein the records and books of accounts should be verified and any mistake or error should be rectified as now rectification of returns or revision of returns and not permitted under many laws. Form 26AS, AIS, TIS and data available on the compliance portal should be verified before finalizing the reference of Income. CA Jogani further said that I&CI (Intelligence & Criminal Investigation) has taken up pilot project of checking data of non-filers, off market high value share transactions, purchase of properties, patients’ information from specialty hospitals like IVF etc, marriage banquets halls transactions, social media data and use of information technology and AI are used for tracing the defaulters. CA Jogani added that number of regulatory authorities other than income tax like FIU, STR, EOW, CBI, ED can also initiate enquiries. Thus single assessee may be required to appear before difference authorities explaining same nature of transactions before multiple authorities. CA Jogani has issued a caution note with regard to TDS transactions as Special TDS Commissioner with his team handles TDS assessments and most pending prosecutions are under TDS wing of Income Tax. He also added that assessment of TDS results in heavy interest of 1.50% pm along with late fees of Rs 200 per day and prosecution in many cases on default of nonpayment of TDS after deduction. CA Jogani informed new provision from financial year 2023-24 that payments to MSME creditors should be cleared before the specified time provided under Section 43B(h) otherwise that expenditure of purchase shall be allowed only on payment basis. During his deliberation he asked the audience to be cautious will borrowing loans from market and to check the credit worthiness of person giving loans or credit for long period since the department is asking the borrower to prove credit worthiness of the lender i.e. explain the source of source, mother papers should be taken in case of property transactions, disclosure of Digital assets should be disclosed, foreign property should be declared as recorded for last 16 years can be opened to verify these transactions, payments through UPI should be well documented and recorded.
CA Shailendra Jain advised the taxpayers to update mobile numbers, email address and address of business since all the communications from departments are done in digital manner and none of the communications are missed. He further briefed about the functioning of IMS facility where acceptance, rejection of invoices appearing in GSTR 2B can be done. He also advised the audience to maintain the books of accounts as per the list provided in GST Act, where specific emphasis should be given on maintaining of stock records. CA Shailendra Jian has emphasized to take benefit of the amnesty scheme available under GST Act. He further added that from January 2025 generation of e-way bill, e-invoices will be generated with dual authentication. He asked the industrialists & Trade to reconcile the GST returns and information on a regular basis and keep adopting the practice of maintaining strong documents in support of the transaction.
He further said that provisions of restricted ITC u/s 17(5) and reversal of ITC as per Rule 42 should be done periodically as the claim if ITC and thereafter reversal of it will result in interest liability and if found during assessment may also result in levy of penalty for wrongful claim of ITC.
VTPA President, CA Mahendra Jain in his welcome address appreciated the selection of eminent speakers for Chhoti Chhoti Baatein, now-a-days, session is very relevant for industries to resolve their issues related to taxation.
At the outset, CA Naresh Jakhotia, Vice President VIA & Secretary VTPA briefed about the concept of the programme to the audience and the harsh consequences of small mistakes in the tax laws. There are enormous changes in the tax laws in recent times wherein the taxpayers have not only to keep themselves updated about the changes but also need to understand its impact. Non compliances are resulting in heavy cost and consequences on the taxpayers. Short two-hour session is designed to give an overview of all the changes and the way forward in view of the changing taxation landscape. This will be the 15th successive session of the “Chhoti Chhoti Batein” designed with the concept that pre-mortem is always better than post-mortem in the tax laws. In day-to-day business affairs, one has to take care of lot of tax compliance, ignorance of which could entail penalty & fine behind mental tension. The session would not only cover the important law related to income tax and GST but also will also cover the allied business laws which are concerning the businesses. The session would also cover the latest ongoing litigation and notices that are issued in the recent times to the industries. The importance of the session is all the more relevant in view of the fact that the number of changes & amendments carried out frequently. One needs to learn, relearn & unlearn a lot many provisions.
CA Sachin Jajodia, Convener – VIA Taxation & Corporate Law Forum made an open remark and also proposed the formal vote of thanks and appealed for regular participation.
The programme was largely attended by Industrialists, Professionals, Students, Businessman and general public and was followed by numerous question and answers round. The speakers have replied all the queries of the audience and all have appreciated the initiative done by VIA.