Photo – National Conference on GST .................................. 2 Chairman’s Communication ...... 3 Forthcoming Programmes and sub-committees................ 4 Announcement – For CPT/IIPCC/ Final under the existing scheme of CA Course .............. 4 Direct Taxes - Law Update........ 5 Financial Planning - Much Beyond Returns .............. 6 Good returns from Risk Free Investments ?? - A Myth or Reality! .................................. 8 Job Worker Provisions under GST....................................... 9 Photo – Branch Level National Talent Hunt .......................... 10 Photo – National Conference on GST ................................ 11 Photo – Seminar on RERA ...... 13 Photo – Seminar on GST (WICASA) ............................ 14
Transcript
Photo – National Conference on GST .................................. 2Chairman’s Communication ...... 3Forthcoming Programmes and sub-committees ................ 4Announcement – For CPT/IIPCC/Final under the existing scheme of CA Course .............. 4Direct Taxes - Law Update ........ 5Financial Planning - Much Beyond Returns .............. 6Good returns from Risk Free Investments ?? - A Myth or Reality! .................................. 8Job Worker Provisions under GST ....................................... 9Photo – Branch Level National Talent Hunt .......................... 10Photo – National Conference on GST ................................ 11Photo – Seminar on RERA ...... 13Photo – Seminar on GST (WICASA) ............................ 14
2 The Institute of Chartered Accountants of India – Vasai Branch of WIRC Newsletter
WE MAKE IT HAPPEN
National Conference on GST held on 13th & 14th May, 2017 at GCC Club, Mira Road (East)
Group photo taken at the Inauguration Session of Conference in the presence of CA. Vishnu Agarwal (Chairman, WIRC of ICAI)
(L-R): Shri. Arjun Ram Meghwalji Union Minister of State for Finance & Corporate Affairs – GOI, CA. Mukesh Sharma, CA. Ankit Rathi, CA. Xavier Rajan, CA. Sumeet Doshi, CA. Nitesh Kothari (Chairman- Vasai Branch of WIRC), CA. Nilesh Vikamsey (President, ICAI), CA. Prafulla Chhajed (CCM), CA. Vimal Agarwal, CA. Sunil Patodia (Past Chairman- WIRC), CA. Lalit Bajaj (RCM & Branch Nominee) & CA. Hemant Shah at the dais
CA. Nitesh Kothari (Chairman- Vasai Branch of WIRC) presenting bouquet to Shri. Arjun Ram Meghwalji Union Minister of State for Finance & Corporate Affairs – GOI also seen CA. Nilesh Vikamsey (President, ICAI) & CA. Prafulla Chhajed (CCM)
(L-R) : CA. Hemant Shah (Treasurer), CA. Xavier Rajan (Secretary), CA. Unmesh Narvekar (Past Chairman), CA. Prafulla Chhajed (CCM), CA. Nitesh Kothari (Chairman- Vasai Branch of WIRC), CA. Mangesh Kinare (CCM), CA. Manish Gadia (Speaker), CA. Sumeet Doshi (Vice Chairman), CA. Vimal Agarwal (Immd. Past Chairman) & CA. Mukesh Sharma (Committee Member) at the dais
CA. Nitesh Kothari (Chairman- Vasai Branch of WIRC) presenting memento to CA. Nilesh Vikamsey (President, ICAI)
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The Institute of Chartered Accountants of India – Vasai Branch of WIRC Newsletter
CHAIRMAN’S COMMUNICATIONMANAGING COMMITTEE
CA. Nitesh Kothari 9833860870 Chairman
CA. Sumeet Doshi 9869525956 Vice Chairman
CA. Xavier Rajan 9371720027 Secretary
CA. Hemant Shah 9022405230 Treasurer
CA. Ankit Rathi 9029059911 WICASA Chairman
CA. Vimal Agarwal 9320617447 Imm. Past Chairman
CA. Bhanwar Borana 8291454999 Committee Member
CA. Mukesh Sharma 9321160020 Committee Member
CA. Lalit Bajaj 9867692321 Branch Nominee
EDITORIAL BOARD
CA. Nitesh Kothari 9833860870 Chairman
CA. Sumeet Doshi 9869525956 Vice Chairman
CA. Mukesh Sharma 9321160020 Committee Member
Dear Professional colleagues,I can’t believe how fast my year is going. It must be due in large part to the great spirit of the Branch and, of course, the enthusiasm of new, young & experienced members! I love that on some Sunday mornings we have to set up additional tables to accommodate everyone. Imagine my pride when I was contacted by the other Branches Chairman for the Information on Speakers On ICDS.In last month we’ve conducted several seminars and “National Conference on GST” for Members of the profession and the participation was overwhelming in all of them. The National Conference on GST was a mega success as we had to stop the registration well before the Conference. It was indeed a matter of pride for the Vasai Branch of WIRC of ICAI and its members that Hon'ble Railway Minister Shri Sureshji Prabhu has sent a Message to all the
CA members and the Participants at the Conference by way of a Video message. It was for the First time that Vasai Branch has got just message for it members and members of the profession at large. The National Conference was inaugurated by the hand of CA Vishnu Agarwalji the Chairman of WIRC along with the welcome speech of CA Mangesh Kinareji CCM and CA Prafulla Chhajedji CCM on the next day of the Conference it was graced by CA Madhukar Hiregangeji (Chairman Indirect Tax Committee if ICAI) post lunch by our Hon'ble President of ICAI CA Shri Nilesh Vikamseyji with Hon'ble Shri Arjunram Meghwalji (Union Minister for State in Finance and Corporate Affairs) both of them addressed the participants on the Opportunities for CA on GST and Shri Arjunramji requested the members to educate to the society at large for GST. We also had a seminar on RERA which was attended by large number of CA members along with Builders and Developers across Mumbai.We strongly support academic endeavours among our community for our young people, providing training, counselling and guidance in various areas. Last month we conducted Branch level National Talent Hunt for the CA students and a Seminar on GST for the benefits of students in addition to that we had a mock test for CPT for June 17 attempt.For the benefit of members, businessmen, Traders and general public at large we have started with “GST SHAYATA – DESK” at our branch premises from 24th May, 2017 till 31st July, 2017 every Monday, Wednesday and Saturday from 5 pm till 7 pm experts will solve the Query of public on GST will help them in migrating themselves and to prepare themselves before the commencement of GST.We have also uploaded all the Speakers at National Conference on GST video on Youtube under the channel of “Vasai Branch of WIRC” and members can also download the PPT presentation from the Branch website.I want to reiterate that I know that the branch “works” only because of the ongoing commitment of our members who support the various projects and activities we are involved in. Thus, I want to say “Thank You” to everyone who supported us in making the 1st quarter of our tenure a great success.Where “Service Above Self” is my constant driver and what my mentor said has become the key to my happy life:
“Do all the good you can.By all the means that you can.
In the ways that you can.In the places you can.
At all the times you can.To the people you can.
As long as ever you can.”Our Forthcoming Programmes :(a) One day Seminar on GST on 25-6-2017 at GCC Club, Mira Road.(b) Post qualification ISA Batch from 17th June 2017 till 16th July, 2017 at Hotel Zaika, above
HDFC Bank, Bhayandar West (Every Saturday & Sunday).(c) Certificate Course on Forensic Audit and Fraud Prevention from 22nd July to 12th August
2017 at GCC Club, Mira Road. (Every Saturday & Sunday).(d) Certification Course on GST from 22nd July, 2017 till 20th August (Every Saturday &
Sunday).
Nitesh KothariChairman – Vasai Branch
4 The Institute of Chartered Accountants of India – Vasai Branch of WIRC Newsletter
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Forthcoming – ProgrammesFORTHCOMING PROGRAMMES FOR MEMBERS
Date Seminar on Timings Venue Speakers Coordinator Fees CPE
17th June to 16th July 2017 (Every Sat & Sun)
Post Training Batch - Information System Audit (ISA)
9.30 am to 5.30 pm
Zaika Restaurant, Bhayander (West)
Eminents CA. Xavier Rajan 9371720027 Rs. 20,000
25 Hrs
25th June 2017
Seminar on GST
9.30 am to 5.30 pm
GCC Club, Mira Bhayander Road, Mira Road (East)
CA. Parth Shah CA. Vimal Sharma CA. Dilip Phadke
CA. Vimal Agarwal 9320617447 CA. Sumeet Doshi 9869525956 CA. Xavier Rajan 9371720027 CA. Hemant Shah 9022405230 CA. Ankit Rathi 9833236171 CA. Bhanwar Borana 8291454999 CA. Mukesh Sharma 9321160020
Rs.1000 for CA Members & Rs. 1200 for Non Members
6 Hrs
22nd July to 12th Aug 2017 (Every Sat & Sun)
Certificate Course on Forensic Audit and Fraud Prevention
9.30 am to 5.30 pm
GCC Club, Mira Bhayander Road, Mira Road (East)
Eminents CA. Xavier Rajan 9371720027 CA. Ankit Rathi 9833236171 CA. Bhanwar Borana 8291454999 CA. Mukesh Sharma 9321160020
Rs. 20,000
20 Hrs
22nd July to 20th Aug 2017 (Every Sat & Sun)
Certificate Course on GST
9.30 am to 5.30 pm
GCC Club, Mira Bhayander Road, Mira Road (East)
Eminents CA. Vimal Agarwal 9320617447 CA. Sumeet Doshi 9869525956 CA. Hemant Shah 9022405230
Rs. 20,000
30 Hrs
FORTHCOMING PROGRAMMES FOR STUDENTS
Date Seminar on Timings Venue Speakers Coordinator Fees CPE
Announcement
For CPT/IIPCC/Final under the existing scheme of CA Course – Last Date of registration On or before June 30, 2017
The role of a Chartered Accountant is evolving continually to assume newer responsibilities in a dynamic environment. In the given dynamic scenario, the potentiality of the Chartered Accountancy education system, to meet the diverse range of expectations of various stakeholders from the profession becomes the focal point.
The Institute of Chartered Accountants of India (ICAI) has formulated the Revised Scheme of Education and Training which is in sync with the requisites of the dynamic global business environment. In this scheme, the technical competence, professional skills, professional values, ethics and attitudes expected from a Chartered Accountant are being redefined and upgraded in order to gear up aspiring Chartered Accountants to take on new roles. The Revised Scheme of Education and Training for CA course will come into effect from July 1, 2017.
The students, who are eligible to register in the CPT/IIPCC/Final under the existing scheme, may register on or before June 30, 2017.
With effect from July 1, 2017, the registration in the CPT/IIPCC/Final under the existing scheme will discontinue.
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The Institute of Chartered Accountants of India – Vasai Branch of WIRC Newsletter
Direct Taxes - Law Update CA. Haresh P. KeniaMobile No. : 9821351838E-mail : [email protected]
CBDT vide circular no 9 of 2017 dated 14/03/2017 clarified that where the undisclosed income is represented in the form of deposits in an account maintained with a specified entity,
it is not necessary that the said deposits should exist on the date of making payments under the Scheme or furnishing a declaration under the Scheme. However, where the undisclosed income is represented in the form of cash, it is clarified that such cash should exist on the date of making payment of tax, surcharge and penalty under the Scheme or on the date of making the deposit under the Pradhan Mantri Garib Kalyan Deposit Scheme, 2016, whichever is earlier.
Option form for taxation of income from patent u/s 115BBF [246 TAXMAN (st.) 159]
The CBDT vide notification no GSR 318(E) dated 31/03/2017 gives Income Tax (Fifth Amendment) Rules, 2017. It inserts rule 5G. It prescribed form no 3CFA which eligible assessee shall furnish for the purposes of exercising the option for taxation of income by way of royalty in respect of a patent developed and registered in India. This form is to be file electronically under digital signature or through electronic verification code.
This form is to be furnished on or before the due date specified in Explanation 2 below sub-section (1) of section 139 for furnishing the return of income for the relevant assessment year, in case the option is exercised for the assessment year.
Guidelines for waiver of interest charged u/s 201(1a)(i) of the Income Tax Act 1961- TDS - Consequences of failure to deduct or pay [246 TAXMAN (st.) 134]
The CBDT vide circular no 11/2016 dated 24/03/2017 directs that the Chief Commissioner of Income Tax and Director General of Income Tax may reduce or waive interest charged u/s 201(1a)(i) of the Act in the classes of the cases specified in paragraph 2 of the order for the period and to the extent the Chief Commissioner of Income Tax (CCIT)/ Director General of Income Tax(DGIT) may deem fit. No reduction or waiver of such interest shall be ordered unless the principle demand u/s 200A, 201(1) or 234E as the case may be, stands fully paid or satisfactory arrangements are made for payment. The CCIT/DGIT may also impose any other condition as deemed fit.
For the listing of classes of cases and further details of the circular one may refer to the above citation.
Finance Act, 2017 [246 TAXMAN (st.) 51]
An act to give effect to the financial proposals of the Central Government for the financial year 2017-18, namely, Finance Act, 2017 as assented by President of India on 31/03/2017 is available at above citation.
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6 The Institute of Chartered Accountants of India – Vasai Branch of WIRC Newsletter
All my money is fully invested in equities and I am making excellent returns since this is the best performing asset class in the current scenario? Do you think there is anything else to do?
Madhavendra seemed to be following the herd mentality. He was investing all his resources in equities since this asset class was outperforming all other asset classes in the current scenario. While this seemed to be the correct thing to do in the current scenario; but is this the right approach to follow? Are we neglecting anything important by putting all our eggs in one basket? Let’s dig this further
Questions to ponder upon:
Does financial planning signifies only to savings and investing or is it much beyond that?
Are we trying to visualize the future and prepare ourselves for any unplanned or untoward event?
Wealth creation is an important aspect but should this be done at the cost of risk mitigation and diversification?
“Excellent Madhavendra! You are making great returns and your portfolio is growing. This is good news. But is that all what we want?” I asked
“Yes Vivek. I think this is what we always wanted. Making good returns will help me achieve my goals in timely manner. Don’t you think so?” replied Madhavendra.
“To an extent you are correct. But think of a hypothetical scenario. Imagine you face an event similar to sub-prime crisis and your portfolio drops by 50%. During this time you need to withdraw some money out of your portfolio for making payments for your child’s education. Do you think you will be comfortable withdrawing from this portfolio? Do you have a back-up available?”
“Or you are going through a rough patch in your career and face a job loss situation. Finding a new job suiting your experience and profile might take some time. Will you be comfortable withdrawing from equity funds during such time?”
“Or if there is an emergency hospitalization for any of the family member and the hospital is not in the list of network hospital of your insurer. While you will be able to get a reimbursement later but on an immediate basis you might have to shell out a large sum – let’s say seven lacs. Where will do get this money from?”
“The point that I am trying to make is that irrespective of the high probability of the market growth expected; some portion of your wealth should be kept in instruments wherein the liquidity is high and volatility is low – possibly a liquid or ultra-short term fund or even a fixed deposit. Here we should not look at returns but the easy access to the corpus in case of any emergency.”
Financial Planning - Much Beyond Returns Vivek Damani, CFPCM “Asides, you should always focus on the asset allocation in your
portfolio. If you have decided that your goals can be achieved with 40% in debt and 60% in equity then try to rebalance and come back to the same ratio at least once in a year. Following this approach helps you in not getting carried away with the flow. Historically it has been proved that following the discipline of regular investments and periodic re-balancing helps in arresting volatility in a portfolio. Look at the chart below and you will understand the benefit of asset allocation and re-balancing”
(Source: www.businesstoday.in)
With a pause, I continued “How much health insurance do you have?”
“I am young enough to think of health insurance now. Let me create the desired corpus first and then after the age of 45 I will think of health insurance.” Madhavendra replied.
“Again the same mistake Madhavendra. You are relying on the assumption that nothing will happen to you till the age of 45 or 50. As per the latest trends available young people are prone to lifestyle diseases. I am not saying that something will happen to you but what if something happens?”
“Also, have you ever thought if you are not getting insured today and tomorrow due to some health issues no insurance company is willing to insure you what will you do? In the old age when you will have the maximum need of insurance you will remain uninsured. At that point in time you might have to keep somewhere between thirty to fifty lacs for medical emergency. While the medical facilities are improving the medical costs are rising at alarming pace. Possibly, in a couple of years, if you don’t have health insurance you will not be able to afford the medical treatments in the best of the hospitals. In the chart above, see the difference between the medical treatment cost between India and other parts of the world including USA. If, in the years to come, the cost triples in India; will you be ready for this? How will you cope up without appropriate insurance cover?”
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The Institute of Chartered Accountants of India – Vasai Branch of WIRC Newsletter
(Source: www.medicaltourismassociation.com)
“Likewise, we should also look at other risk mitigating tools like term insurance, personal accident insurance. Let me tell you a story to make my point.
Years ago a farmer owned land along the Atlantic seacoast. He constantly advertised for hired hands. Most people were reluctant to work on farms along the Atlantic. They dreaded the awful storms that raged across the Atlantic, wreaking havoc on the buildings and crops.
As the farmer interviewed applicants for the job, he received a steady stream of refusals. Finally, a short, thin man, well past middle age, approached the farmer. “Are you a good farm hand?” the farmer asked him. “Well, I can sleep when the wind blows,” answered the little man. Although puzzled by this answer, the farmer, desperate for help, hired him.
The little man worked well around the farm, busy from dawn to dusk, and the farmer felt satisfied with the man’s work. Then one night the wind howled loudly in from offshore. Jumping out of bed, the farmer grabbed a lantern and rushed next door to the hired hand’s sleeping quarters.
He shook the little man and yelled, “Get up! A storm is coming! Tie things down before they blow away!” The little man rolled over in bed and said firmly, “No sir. I told you, I can sleep when the wind blows.”
Enraged by the response, the farmer was tempted to fire him on the spot. Instead, he hurried outside to prepare for the storm. To his amazement, he discovered that all of the haystacks had been covered with tarpaulins. The cows were in the barn, the chickens were in the coops, and the doors were barred. The shutters were tightly secured. Everything was tied down. Nothing could blow away. The farmer then understood what his hired hand meant, so he returned to his bed to also sleep while the wind blew. (Author Unknown)
“If I relate this story with financial planning, it means planning is just not only about investments. It is much more beyond investment and returns. It is about the person - his experiences, philosophies, life objectives. Once we ascertain them then we move towards the quantitative side understanding the cash flows and net worth. Thereafter we create strategies wherein we match the qualitative and the quantitative aspect of his life and create a road map for his journey wherein he will be able to meet his future goals. We also try to anticipate what may go unplanned in this journey and how do we ensure that such events do not disrupt the overall journey. And that is the reason we can say that we can sleep when the wind blows,”
Disclaimers: The information, data and opinion contained herein does not constitute specific investment advice. It is produced only to create awareness. The data are drawn from respective sites published on various dates. Please refer to a professional investment advisor before making any investment decision.
The author is the founder of Jeevan Prabandhan – a financial advisory firm based out in Mira Road and works with a holistic approach towards life and financial management. He has around 23 years of experience in personal finance domain. The views expressed are his personal.
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8 The Institute of Chartered Accountants of India – Vasai Branch of WIRC Newsletter
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Good returns from Risk Free Investments ?? - A Myth or Reality!
"High Risk - Higher Returns || Low Risk - Lower returns!!!” … that’s the traditional rule of investment which we have grown up with.
High Networth or Higher Middle class individuals enjoys the liberty of investing in higher risk assets compared to a Middle class/ Lower Middle class who are obligated to invest in low risk traditional investment tools like Bank FDs, Corporate FDs, etc.
People in High Income groups are usually high risk takers and tend to take more risk when it comes to choosing the investment avenue. They invests in instruments like Mutual funds, Bonds, Stocks (by taking services of family offices/Private wealth management firms, etc.) which have higher risk but have given a higher yield which is proven in various empirical data.
However the lower and middle income group has been continuously loyal to traditional products which provide
them low but assured returns and also safeguards their investments.
In the past, fixed deposit rates were giving satisfactory returns in the range of 8 - 10% and thus were the preferred investment tools for low risk takers. But with changing market conditions and banks shifting to marginal cost of lending rates (MCLR) from base rate regime, the fixed deposit rates have reduced significantly in last 12-18 months. Due to reduction in the returns on traditional products, many people have commenced making investments in the higher risk investment avenues for earning higher returns which is reflected in significant increase in the Mutual Funds investments, SIPs investments, equity investments, etc.
The selections of investment asset classes have a direct proportion to an individual’s purchasing power, risk appetite, future goals, liquidity, etc. However more importantly we believe that the awareness of the products also has a huge role to play in investment asset class selection. While investing in such products, one should make himself fully aware of all the probable risks & returns associated with it along with the tax implications on the returns.
To make this handy and assist you in your investment decisions, we have prepared a holistic table of investments along with the degree of risk associated with each investment class, the tax implication, the duration of investment, etc..
Sr. No.
Particulars Shares Bank Fixed
deposits
Company fixed
deposits
RBI 8% Taxable bonds
Post office
deposits
Mutual Funds
Equity MF Debt MF Liquid MF
1 Returns Refer point A below
6% to 7% pa
7% to 9.5% pa
8% pa 6.9% to 7.7% pa
Refer point A below
9% to 13% pa
7% to 9% pa
2 Term NA 7 days to 10 years
1 year to 5 years
6 years 1 year to 5 years
Refer point B below
Refer point B below
No fixed t e r m ; h o w e v e r investment horizon is for short period
3 Risk Degree High Low H i g h l y rated FD have low risk and vice versa
Low Low High Moderate Low to Moderate
4 Taxability of returns
S h o r t Term or Long Term C a p i t a l Gain
Ta x a b l e as per the i n c o m e slab of IT act.
T a x a b l e as per the i n c o m e slab of IT act.
Ta x a b l e as per the i n c o m e slab of IT act.
T a x a b l e as per the i n c o m e slab of IT act.
Short Term or Long Term Capital Gain
S h o r t Term or Long Term C a p i t a l Gain
Short Term or Long Term Capital Gain
A: Since the market is highly volatile, there is always a risk of prices of shares moving up and down. Return on the equity is not fixed and significantly driven by various micro and macro factors including market sentiments and hence the same cannot be predicted.
B: One can invest in a mutual fund in lumpsum or in installments commonly known as Systematic investment Plans (SIPs). The term for the investment can vary and depending upon the choice & need of the investor.
We hope this will help you in making your investment decision in right direction. Have a happy investing day!!!
In future articles, we will elaborate on each of the above investment asset class in detail… till then stay connected.
In case of any suggestions/clarifications, please feel free to contact.
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The Institute of Chartered Accountants of India – Vasai Branch of WIRC Newsletter
The term ‘Job Work’ has been defined vide section 2(68) of CGST Act 2017 in the following manner: -
“job work” means any treatment or process undertaken by a person
on goods belonging to another registered person and the expression “job worker” shall be construed accordingly;
Job Work Procedure [Section 143 of CGST Act 2017]
1. A registered person (hereinafter referred to as ‘Principal’) may under intimationand subject to such conditions as may be prescribed, send any inputs or capital goods without payment of tax to a job worker for job work and from there to subsequently send to another job worker and likewise, and shall –
(i) Bring back the same to any of his place of business without any payment of tax in following time limits
Type of Goods Time limit for bringing back
Inputs after completion of Job work or otherwise
Within one year of their being sent out. If inputs are directly sent to job worker then period of one year shall be counted from the date of receipts of inputs by the Job worker. [Sec 19]
Capital Goods other than moulds & dies, jigs and fixtures or tools
Within three year of their being sent out. If CG are directly sent to job worker then period of one year shall be counted from the date of receipts of CG by the Job worker. [Sec 19]
(ii) Supply the same on payment of tax within India or with or without payment of tax for export in following time limits
Type of Goods Time limit for SupplyInputs after completion of Job work or otherwise
Within one year of their being sent out. If inputs are directly sent to job worker then period of one year shall be counted from the date of receipts of inputs by the Job worker. [Sec 19]
Capital Goods other than moulds & dies, jigs and fixtures or tools
Within three year of their being sent out. If CG are directly sent to job worker then period of one year shall be counted from the date of receipts of CG by the Job worker. [Sec 19]
Principal shall not supply the goods from the place of business of a job worker in accordance with point (ii) mentioned above unless the said principal declares the place of business of the job worker as his additional place of business except in a case –
Where the job worker is registered under section 25 or
Where the principal is engaged in the supply of such goods as may be notified by the Commissioner
2. The responsibility for keeping proper accounts for the inputs or capital goods shall lie with the Principal.
3. Consequences of not bringing back at place of business of registered person or not supplying from the Job worker premises in the time limit as mentioned above
Type of Goods ConsequencesInputs after completion of Job work or otherwise
It shall be deemed that such inputs had been supplied by the principal to the job worker on the day when the said inputs were sent out.
Capital Goods other than moulds & dies, jigs and fixtures or tools
It shall be deemed that such capital goods had been supplied by the principal to the job worker on the day when the said capital goods were sent out.
4. Treatment of waste and scrap generated during the Job work
Situation ConsequencesJob work is registered Job worker may supply
the same from his place of business on payment of tax
Job work is not registered
Principal shall supply the same from his place of business on payment of tax
Explanation–– For the purposes of job work, input includes intermediate goods arising from any treatment or process carried out on the inputs by the principal or the job worker.
Conditions and restrictions in respect of inputs and Capital Goods sent to the Job worker
1. The inputs or capital goods shall be sent to the job worker under the cover of a delivery challan (prepared on the basis of rule 8 of draft Tax Invoice Rules) issued by the principal, including where the inputs or capital goods are sent directly to job worker.
2. The details of challans in respect of goods dispatched to a job worker or received from a job worker during a tax period shall be included in FORM GSTR-1 furnished for that period.
3. If the inputs or capital goods are not returned to the principal within the time stipulated in section 143, the delivery challan issued shall be deemed to be an invoice for the purposes of this Act.
10 The Institute of Chartered Accountants of India – Vasai Branch of WIRC Newsletter
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Branch Level National Talent Hunt held on 27th May 2017 at Branch Premises. Bhayander (East)
4. As per rule 8 of Draft Tax Invoice Rules, the delivery challan shall contain the following particulars: -
a) Serial Number*
b) Date
c) Name of the consignor
d) Address of the consignor
e) GSTIN of the consignor, if registered
f) Name of the consignee
g) Address of the consignee
h) GSTIN/UIN of the consignee, if registered
i) HSN Code of goods
j) Description of goods
k) Quantity (provisional, where the exact quantity being supplied is not known)
l) Taxable value
m) Place of supply, in case of inter-State movement
n) Signature
* Serial number should contain alphabets or numerals or special characters hyphen or dash and slash symbolised as “-” and “/” respectively, and any combination thereof
Input Tax Credit in respect of Inputs and Capital Goods sent for Job Work
1. The Principal shall, subject to such conditions and restrictions as may be prescribed, be allowed ITC on inputs/CG sent to a job worker for job work. [Section 19(1)/19(4)]
2. Notwithstanding anything contained in section 16(2)(b), the principal shall be entitled to take credit of input tax on inputs/CG even if the inputs/CG directly sent to a job worker for job work without being first brought to his place of business. [Section 19(2)/19(5)]
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The Institute of Chartered Accountants of India – Vasai Branch of WIRC Newsletter
CA. Xavier Rajan (Secretary) presenting Memento to CA. Manish Gadia (Speaker) also
seen CA. Prafulla Chhajed (CCM)
CA. Ankit Rathi (Chairman, Vasai Br. of WICASA) presenting bouquet to CA. Unmesh Narvekar (Speaker) also seen CA. Pramod Dhamankar
CA. Lalit Bajaj (RCM &Branch Nominee) presenting bouquet to CA. A. R. Krishnan
(Speaker)
CA. Xavier Rajan (Secretary) presenting bouquet to CA. S. Venkatramani (Speaker)
CA. Vimal Agarwal (Immd. Past Chairman) presenting bouquet to CA. S S Gupta
(Speaker)
CA. Vimal Agarwal (Immd. Past Chairman) presenting bouquet to CA. Bharat Kedia
(Speaker)
CA. Xavier Rajan (Secretary) presenting bouquet to CA. Ashit Shah (Speaker)
CA. Hemant Shah (Treasurer) presenting bouquet to CA. Rajiv Luthia (Speaker)
CA. Nitesh Kothari (Chairman) presenting bouquet to CA. Madhukar N Hiregange
(Speaker)
CA. Nitesh Kothari (Chairman) presenting bouquet to CA. Gaurav Vidyadhar Save (Speaker) also seen CA. Hemant Shah
(Treasurer)
National Conference on GST held on 13th & 14th May, 2017 at GCC Club, Mira Road (East)
12 The Institute of Chartered Accountants of India – Vasai Branch of WIRC Newsletter
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National Conference on GST held on 13th & 14th May, 2017 at GCC Club, Mira Road (East)
CA. Nitesh Kothari (Chairman- Vasai Branch of WIRC) presenting bouquet to CA. Mangesh Kinare (CCM)
CA. Xavier Rajan (Secretary) presenting memento to CA. Vishnu Agarwal (Chairman, WIRC of ICAI)
CA. Vimal Agarwal (Immd. Past Chairman) presenting bouquet to CA. Prafulla Chhajed (CCM)
Committee Members, Past Chairman of Vasai Branch & other CA Members presenting memento to Shri. Arjun Ram Meghwalji Union Minister of State for Finance & Corporate Affairs – GOI
CA. A. R. Krishnan
CA. Ashit Shah CA. Bharat Kedia
CA. Gaurav Vidyadhar
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CA. Madhukar N Hiregange
CA. Manish Gadia (RCM)
CA. Rajiv Luthia
CA. S S Gupta CA. S. Venkatramani
CA. Unmesh Narvekar
Speakers
Participants
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The Institute of Chartered Accountants of India – Vasai Branch of WIRC Newsletter
Seminar on RERA held on 28th May 2017 at Zaika Orchid, Bhayander (West)
GST Sahayaka
(L-R):- CA. Hemant Shah (Treasurer), CA. Vimal Agarwal (Imm. Past Chairman), CA. R D Lukad (Senior Member), CA. Bhupendra Shah(Speaker), CA. Sumeet Doshi (Vice Chairman) & CA. Amit Agarwal (Dy. Convenor – Bhayander CPE Study Circle) at the dais.
Adv. Manoj Pandit CA. Bhupendra Shah CA. Govind Goyal Participants
14 The Institute of Chartered Accountants of India – Vasai Branch of WIRC Newsletter
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Undelivered please return to :The Institute of Chartered Accountants of India,Vasai Branch of WIRCAddress: Amruta Building, Indralok Phase-II, New Golden Nest Road, Bhayander (East), Thane - 401 105. Telephone: 6556 8900. Email: [email protected] Website: www.vasai-icai.org
Editor: CA Nitesh Kothari Published by Vasai Branch of Western India Regional Council of The Institute of Chartered Accountants of India and printed at Finesse Graphics and Prints Pvt. Ltd., 309, Parvati Ind. Est., Sun Mill Compound, Lower Parel, Mumbai 400 013. Tel. : 4036 4600
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DISCLAIMER: The Vasai branch is not in any way responsible for the result of any action taken on the basis of the advertisement published in the Newsletter. The members, however, may bear in mind the provision of the Code of Ethics while responding to the advertisements.
Seminar on GST (WICASA) held on 21st May 2017 at Zaika Orchid, Bhayander (West)
(L-R): Ms. Akshita Agarwal, CA. Xavier Rajan, CA. (Dr.) Mahesh Gaur (Speaker), CA. Mukesh Sharma, Mr. Mukesh Keshari & Ms. Nidhi Palrecha at Inauguration Session
