CA NARESH KUMAR SANKHLA

 Mudra Loan Limit Increased to Rs 20 Lakh Following Budget Announcement. As announced in the July 2024-25 Union Budget, the Mudra loan limit under the Pradhan Mantri Mudra Yojana (PMMY) has been increased from Rs 10 lakh to Rs 20 lakh. This enhancement particularly benefits aspiring entrepreneurs, aiding their growth and expansion. The government stated that the move aligns with its commitment to fostering a strong entrepreneurial ecosystem. The notification introduces a new Tarun Plus category for loans between Rs 10 lakh and Rs 20 lakh, available to entrepreneurs who have successfully repaid previous loans under the Tarun category. The Credit Guarantee Fund for Micro Units (CGFMU) will provide guarantee coverage for loans up to Rs 20 lakh under the Pradhan Mantri Mudra Yojana (PMMY). Loans under the Pradhan Mantri MUDRA Yojana (PMMY) are designed to support both term loans and working capital for income-generating activities in manufacturing, trading, and service sectors, as well...

RCM for Commercial Property Rentals: A New Provision in GST Understanding the Implications of Notification No. 09/2024 The Indian government has introduced a significant change to the Goods and Services Tax (GST) regime with the issuance of Notification No. 09/2024. This notification mandates the implementation of Reverse Charge Mechanism (RCM) for the renting of commercial property by any unregistered person to a registered person. What is Reverse Charge Mechanism (RCM)? RCM is a mechanism under GST where the recipient of the supply is liable to pay the tax instead of the supplier. In the context of commercial property rentals, it means that the registered person renting the property will be responsible for paying the GST on the rental amount. Key Points of the Notification  * Effective Date: The RCM for commercial property rentals will come into force on October 10, 2024.  * Scope: The notification applies to all cases where an unregistered person (such as an individual or a...

The last date for filing an Income Tax Return (ITR), July 31, for the Financial Year 2023-24, has passed. As the Income Tax Department (IT Department did not extend the due date. Now income tax return (ITR) filed after the deadline of July 31 is called a belated return, as per section 139 (4) of the Income Tax Act. Penalties charged for missing ITR deadline Taxpayers have to pay penalties for filing their ITR based on their income level. -Taxpayers with net taxable income above ₹5 lakhs for FY24 can file a belated tax return penalty of up to ₹5,000. Whereas, for the people, whose net taxable income is below ₹5 lakhs for the financial year (FY24), penalty on belated ITR is limited to ₹1,000. What happens when one misses filing an ITR on time? In addition to facing penalties on belated ITR filing, income taxpayers also end up getting certain advantages and privileges that they used to have before the deadline. Following are the two major disadvantages (apart from penalties) for individua...

In a significant move aimed at simplifying the tax filing process, the Income Tax Department of India has introduced a new verification method for tax audit forms. Taxpayers can now verify their tax audit forms using an Aadhaar OTP (One-Time Password), eliminating the need for a Digital Signature Certificate (DSC). This development is in response to long-standing demands from taxpayers seeking a more convenient and user-friendly verification process. Key Highlights : 1. Simplified Verification Process:    Taxpayers filing tax audit forms can now opt for Aadhaar OTP verification, making the process more accessible and less cumbersome. 2. No DSC Required:    The new system removes the necessity for a Digital Signature Certificate, which previously added an extra layer of complexity for many filers. 3. Enhanced Accessibility:     The Aadhaar OTP verification method is particularly beneficial for individuals who may not be well-versed with digital signatures or...

The Reserve Bank of India (RBI) is set to roll out a comprehensive licensing framework for point-of-sale (POS) operators, a move that is poised to impact major players in the industry. Let's delve into the details: Background The rapid growth of third-party operators in the offline payments sector has underscored the need for regulatory measures. While banks and non-banking financial companies (NBFCs) currently engaged in the POS business won't be affected, third-party operators will need to obtain licenses to continue their operations¹. Key Points 1. Objective: The primary objective of this licensing framework is to ensure operational harmony and level the playing field between online and offline payment operators. 2. Major Players: The development will significantly impact major players in the POS space, including well-known names such as Pine Labs, MSwipe, Paytm, and BharatPe. 3. Operational Balance: By introducing licensing norms, the RBI aims to create a balanced environme...

Understanding the Role of Net Worth and CA Certificates in Visa Applications When planning to travel abroad, whether for study, tourism, or immigration, understanding the financial documentation required for visa applications is crucial. Among these, the “Net Worth Certificate for Visa,” “CA Certificate for Visa,” and “CA Certificate for Visa Format” are key documents that embassies and consulates often request. Let’s delve into what these terms mean and why they are important. Net Worth Certificate for Visa A Net Worth Certificate is a document that showcases an individual’s financial health. It lists all assets, both movable and immovable, and subtracts any liabilities to calculate the net worth. This certificate is often required by visa authorities to assess an applicant’s financial stability and ensure they have sufficient funds to support their stay in the foreign country. CA Certificate for Visa A Chartered Accountant (CA) Certificate for Visa is a statement certified by a pract...

Introduction Term insurance is a type of life insurance that provides a lump sum amount to the nominee or beneficiary in case of the death of the policyholder during the policy term. Term insurance is also known as pure protection plan, as it does not have any maturity or survival benefit. Term insurance is one of the most affordable and effective ways to secure the financial future of your family in your absence. Term insurance can help you to: - Replace your income and support your dependents - Pay off your debts and liabilities - Cover your children's education and marriage expenses - Achieve your long-term goals and dreams - Leave a legacy for your loved ones Status Term insurance is gaining popularity and awareness in India, as more and more people realize the importance of financial protection and planning. According to a report by CRISIL Research, the term insurance segment grew by 17.4% in FY 2020-21, despite the challenges posed by the COVID-19 pandemic. The report also pr...

In a move to streamline tax compliance and bolster accessibility for taxpayers, the Goods and Services Tax (GST) portal has introduced a noteworthy update, enabling Credit and Debit Card payments. This latest enhancement, accompanied by the inclusion of Jharkhand, Karnataka, Rajasthan, and Tripura, signifies a significant leap towards digitalization and ease of tax management. Payment Options and Procedure Taxpayers interested in utilizing this new payment method are encouraged to opt for the E-payment option on the GST portal. Within this section, a dedicated area for Credit/Debit Card payments awaits users. The transaction process is straightforward: 1. Choose the E-payment option. 2. Select the Credit/Debit Card payment option. 3. Choose the preferred bank. 4. Agree to the terms and conditions. 5. Finalize the transaction by clicking "Make Payment." Transaction Charges and Considerations While the introduction of Credit and Debit Card payments enhances convenience, taxpaye...

  Can a composition taxpayer sell through an e-commerce operator in India? In the realm of tax compliance, the Composition Scheme emerges as a beacon of simplicity for small businesses, especially those navigating the complexities of e-commerce. Recent amendments have expanded the scope of this scheme, granting e-commerce goods suppliers the opportunity to embrace its advantages. Now, they can revel in the perks of a fixed tax rate based on turnover and streamlined compliance procedures. It's important to emphasize that this amendment exclusively pertains to the sale of goods via e-commerce platforms, excluding services. Service providers operating within the e-commerce landscape remain outside the purview of the Composition Scheme. This amendment represents a significant stride forward, lightening the tax load for e-commerce goods suppliers. It's a testament to fostering growth and adherence to regulations within the ever-evolving digital marketplace.

 ICAI The Institute of Chartered Accountants of India (ICAI) hosted a press conference on Thursday in Ahmedabad to share insights about the first Global Professional Accountants Convention (GloPAC) being hosted from 24th-26th November, 2023 on the theme “Connecting the Globe, Creating Value” at the Mahatma Mandir Convention Centre in Gandhinagar, Gujarat, India.

The Central Government, acting on the recommendations of the GST Council, has issued a set of significant notifications, bringing about changes that will impact electronic commerce operators and businesses operating in the e-commerce space. These changes are set to take effect on October 1, 2023. Can a composition scheme dealer sell online? Notification No. 36/2023 - Central Tax (Dated: August 4, 2023): According to this composition scheme dealer can sell online within same state. This notification outlines a special procedure for electronic commerce operators in India. It restricts them from facilitating inter-State supply of goods by persons paying tax under Section 10 of the Central Goods and Services Tax Act. Electronic commerce operators are required to collect tax at source for such supplies and file the details electronically in FORM GSTR-8. These changes aim to ensure smoother tax collection and reporting, particularly for composition scheme dealers. The effectiv...

Can UDIN be provided on profit & loss account, statement of affairs, computation, and ITR copy for loan purposes if ITR is filed under section 44AD? No, it is not necessary to provide a Unique Document Identification Number (UDIN) on the profit and loss account, statement of affairs, computation, and Income Tax Return (ITR) copy if the ITR has been filed under section 44AD. Section 44AD constitutes a presumptive taxation scheme that permits businesses to calculate their taxable income at a flat rate of 8% of their turnover. This scheme exempts businesses from maintaining conventional bookkeeping practices or undergoing financial statement audits by a chartered accountant. Consequently, the requirement for a UDIN, which is a distinctive document identification number generated by a chartered accountant for certifying or attesting documents, is negated. However, it's important to note that specific banks might still mandate a UDIN even when the ITR is filed under section 44AD. Su...

Introduction:- The recent demerger of Jio Financial Services (JFSL) from Reliance Industries (RIL) has sent ripples of excitement through the financial sector. With its inclusion in prestigious indices like Nifty50 and BSE Sensex, JFSL's imminent listing has shareholders and investors eagerly awaiting its entry into the stock exchanges. This article delves into the significance of this move, sheds light on the pre-listing valuation, and explores the visionary approach of RIL's Chairman and MD, Mukesh Ambani. Shareholders' Awaited Crediting As anticipation builds for the listing date of JFSL, eligible shareholders of RIL have already received a notable boost. Shares of the newly demerged company have been credited to their demat accounts, creating a palpable sense of anticipation among investors. However, it's important to note that trading in these shares will only commence post-listing on the stock exchanges. The Nifty50 and BSE Sensex Inclusion JFSL's inclusion in...

Introduction: Receiving an income tax notice can be an unsettling experience for anyone. It's essential to understand the implications and respond effectively to ensure a smooth resolution. In this comprehensive guide, we will delve into the intricacies of Income Tax Notice under Section 133(6), its significance, and how to respond strategically. We'll also address common questions related to this notice to equip you with the knowledge needed to navigate this process with confidence. What is Section 133(6) as per Income Tax Act? Section 133(6) of the Income Tax Act, 1961 empowers income tax authorities to gather information from third parties deemed relevant or necessary for proceedings under the Act. This provision plays a pivotal role in ensuring transparency, accountability, and accurate assessment of taxpayers' income and claims. Key Points to Understand: - Section 133(6) allows tax authorities to request information and documents from third parties to verify taxpayers...

Big news in the tech world today! Meta, the company behind Facebook, Instagram, and WhatsApp, has just dropped a bombshell by introducing its latest creation called 'Threads'. Mark Zuckerberg, CEO at Meta, introduced Threads as an expansion of Instagram. This exciting new app is all set to challenge the dominance of Twitter. So, gather 'round as we dive into the world of Threads and explore what makes it a game-changer in the social media landscape! What Exactly is Threads? Imagine a world where you can share your thoughts, updates, and ideas with the whole world in just a few characters. Well, Threads is a brand-new app that offers a platform for exactly that! It's like Twitter but with a fresh Meta twist. You can follow your friends, celebrities, influencers, and even your favorite brands. Threads is all about short and snappy messages that keep you connected and in the loop. A Seamless User Experience: Threads has been designed to provide users with a seamless and in...

Discover the Ultimate Answer: Should You File Your Income Tax Return (ITR) in the Absence of Taxable Income? In a world brimming with financial complexities, the question lingers: Is it necessary to file your Income Tax Return (ITR) when you have no taxable income? Brace yourself as we unravel the untold secrets and shed light on this enigmatic topic, igniting a storm of discussions and debates among taxpayers worldwide. Know these five benefits:-  The biggest advantage is that ITR filing helps when you apply for a loan in future. For any home loan, car loan, etc, most banks seek proof of tax returns of the previous three years  The existing tax laws make ITR filing mandatory if the gross total income in a fiscal year exceeds the basic exemption limit.  The deadline to file the Income Tax Return (ITR) for the financial year 2022-23 (assessment year 2023-24) is July 31, and the tax department has opened its portal for individuals to file their taxes for the current assessm...

A CA Certificate for Student & Tourist Visa refers to a document that states the net worth of an individual, which is certified by a practicing qualified Chartered Accountant (CA). This report is usually required during Visa processing. Net worth represents the total resources of an individual or organization after deducting liabilities from the total size of assets. This CA Certificate is also sometimes referred as CA Report for Visa or CA Networth Certificate.  Feel free to contact us for any support or queries. Contact  📞 +91 9398991181 For booking of CA Certificate for Student & Tourist VISA Call or Chat on WhatsApp number  9398991181 Main Concept  What is CA Certificate / CA Report / Networth Certificate for VISA?  A CA certificate or (also referred as) CA Report or Networth Certificate is a basic net worth certificate of the individual, a document containing the net worth of an individual, usually certified by a Chartered Accountant (CA) for Visa ...