Section 185 of the Companies Act, 2013 had been completely substituted by Companies (Amendment) Act, 2017 dated 07th May, 2018. Substituted Section 185: A company cannot advance any loan, including any loan represented by book debt, or give any guarantee or…
Changes in MAP to implement guidelines under BEPS
Indian Tax litigation has always been in the limelight while talking about cross-border taxation due of numerous reasons. Sometimes it is because of the retrospective amendments and at other times because of special tax provisions like equalization levy. Despite of…
SPICe+: New Mode of Company Incorporation in India
The Ministry of Corporate Affairs (MCA) works actively towards ease of doing business in India. To support this objective, MCA vide its Notification dated 18th February, 2020, amended Companies (Incorporation) Rules, 2014 and steered in the process of Incorporation of Companies through SPICe+ (Simplified…
Applicability of GST on Sale of Land
In an application filed before AAR under GST, Gujarat by Shree Dipesh Anilkumar Naik [2020 (6) TMI 448] Applicant is the owner of the land, who develops the land with an infrastructure such as drainage line, water line, electricity line,…
Manufacturing Sector and Fraud Risks Post COVID-19
Recent Pandemic has rocked the global economy badly specially the manufacturing sector. As COVID-19 was detected in India in early March 2020 lockdown was initiated in the fourth week of March for 3 weeks and most of the non-essential manufacturing…
COVID-19 Impact on Financial Statements
The impacts of the outbreak on financial statements will depend on facts and circumstances, including the degree to which a business operation is exposed, and the sensitivity of amounts recorded in the financial statements to the volatility of economic conditions. This…
Frauds and Covid-19
Frauds globally can easily be executed by taking advantage of the individual’s lack of awareness, many financial institutions, law enforcement officers and state departments have cautioned individuals related to frauds. The threat of getting infected by this virus called covid-19…
TDS on Dividends in India – Post Budget 2020
With the advent of Financial Year 2020-21, dividend taxation in India has completely gone upside-down. The new provisions have again asked the recipient of Dividend to pay taxes instead of the Company who was distributing the dividends. The changes in…
Materiality
Due to practical limitations, any auditor cannot carry out the examination of all the transactions and balances, so materiality ensures covering the transactions significant enough to influence the decisions of the users of the financial statements. Also, materiality is an…
GST on Liquidated Damages
Liquidated damages are means of compensation for the breach of a contract. In literal sense, ‘Liquidate’ implies the winding up of affairs of a business and on the other hand the word ‘Damages’ denotes a sum of money claimed or awarded…