Vol. III Issue 7 | Total Pages - 12 January 2017 : Eminent Faculties namely : CA Himanshu Parekh, CA...

January 2017 • THE CTC NEWS 1www.ctconline.org

President : Mr. Hitesh R. Shah (Tel.: 22035405) | Vice President : Mr. Ajay Singh (Tel.: 22013242)Hon Jt. Secretaries Mr. Hinesh Doshi (Tel.: 24132475) Mr. Haresh Kenia (Tel.: 22641444) | Hon. Treasurer Mr. Parag Ved (Tel.: 26704376)

Vol. III Issue 7 | Total Pages - 12 January 2017

Sr. No. Date Committee Programme Description Venue Pg. No.

1 7-1-2017 Direct Tax Surveys Under Income Tax (Covering Amendments to Income Tax Act Due to Demonetisation)

M. C. Ghia Hall, Rampart Row, Kalaghoda, Fort

12

2 12-1-2017 Direct Tax Webinar on Appeals before CIT (Appeals) — 43 13-1-2017

20-1-2017 21-1-2017

International Taxation

Workshop on – Taxation of Foreign Remittances Dahanukar Hall, Maharashtra Chamber of Commerce & Industry, Fort

2

4 17-1-2017 Study Circle & Study Group

SC on Presumptive Taxation SNDT Committee Room, Churchgate 7

5 20-1-2017 & 21-1-2017

Corporate Members Seminar on Corporate Restructuring – Value Creation or Survival

Walchand Hirachand Hall, IMC 3

6 21, 27-01-2017 4,18-2-2017 4, 17, 18, 24-3-2017

Indirect Taxes Joint Workshop on GST, MVAT and Service Tax Mazgaon Library, 1st Flor, 104, Vikrikar Bhavan, Mazgaon

8

7 24-1-2017 Allied Laws Intensive Study Group on IND-AS - Enrolment Begins SNDT Committee Room, Churchgate 48 26-1-2017 to

28-1-2017Indirect Taxes 5th Residential Refresher Course on Indirect Taxes Bogmallo Beach Resort, Goa 7

9 11-2-2017 Direct Tax Half Day Workshop on Direct Tax Provisions of Finance Bill, 2017


10 11-2-2017 Indirect Taxes Half Day Workshop on Indirect Taxes Provisions of Finance Bill, 2017


11 14-2-2017 Study Circle & Study Group

SC on Finance Bill - 2017 - Direct Tax Provision To be Announced 7

12 16-2-2017 to 19-2-2017

Residential Refresher Course & Skill Development

40th Residential Refresher Course – Ruby Jubilee The Golden Palms Hotel and Spa Resort, Bengaluru

9-10

13 17, 24-3-2017 & 18, 25-3-2017

Direct Tax Study Course on Interpretation of Taxing Statutes Jai Hind College, 4th Floor, Churchgate 6

14 — Journal Read CTC - The Chamber’s Journal on Your Mobile/Tab — 115 — — Unreported Decisions (Direct Tax) — 10-1116 — — Unreported Decisions (Service Tax) — 11

Chairman : Vipul Choksi Vice Chairman : Bhadresh Doshi Convenors : Bhavik Shah, Mandar Telang, Toral Shah

JOURNAL COMMITTEE

READ CTC - THE CHAMBER’S JOURNAL ON YOUR MOBILE/TABMembers can now read the Chambers Journal on their Mobile Phone, Ipad or other electronic device. Kindly visit Chambers website www.ctconline.org to download it from the month April 2016 to Sept 2016.Advantages : • Reflowable text, hence the content will adjust automatically according to your screen size • Customisable : Change background colour, font size, alignment • Highlight Text, create notes • Read Aloud : You can now hear your book alsoPrerequisiteDownload any free e-Pub reader. We recommend the following For Android : Universal Book Reader For iOS : Gitden ReaderTo read CTC Journal on your mobile : Click on the issue that you want to read. It will directly open in your e-Pub Reader

We wish all our members & readersA V e r y Ha p p y & P r o s p e r o u s N e w Ye a r 2 0 1 7

RNI No. MAHENG/2015/67505 | Postal Reg. No. MCS/210/2016-18 |

2 January 2017 • THE CTC NEWS www.ctconline.org

Chairman : Paresh Shah Co-Chairman : Rajesh P. Shah Vice Chairman : Ramesh Iyer Convenors : Kartik Badiani / Shreyas Shah / Rakesh Upadhyaya

INTERNATIONAL TAXATION COMMITTEE

WORKSHOP ON TAXATION OF FOREIGN REMITTANCESREVISED DATES : FRIDAY, 13TH JANUARY 2017, FRIDAY 20TH AND SATURDAY, 21ST JANUARY, 2017

AT DAHANUKAR HALLThe WorkshopThe International Taxation Committee is pleased to announce an Intensive and detailed workshop on the practical as well as procedural aspects of TDS on Foreign Remittances including the understanding of the application of the tax treaty. It will be spread over 11 sessions.While making payments to non-residents, payers have an onerous liability to deduct correct tax at source. Incorrect deduction invites severe penal consequences. The law is constantly expanding. There are several court precedents, some of them conflicting. In this situation, the committee has thought it appropriate to hold this workshop.

Professionals to whom the workshop can benefitThe workshop is designed for professionals with basic knowledge of the subject. The workshop will help professionals in practice and industry to update themselves with the TDS provisions considering developments and understanding the Double tax Avoidance Agreements, OECD commentary, BEPS, Equalisation Levy and recent International Developments, etc.

Subject coverage

The workshop will cover following subjects1. Law and procedure applicable to Taxation of Foreign Remittance, applicable Rules Circulars and Provisions of the Treaty, Law,

Procedure of TDS provisions for non-residents, Section 206AA,TRC, Grossing Up, Lower Deduction and 15 CA AND 15 CB.2. Overviews and Fundamental concepts of the DTAA - Articles 1, 2, 3 and 4; Mechanism of Use of Treaty, Interplay between

ITA and Treaty, Priority of Articles, Tax credit mechanism, etc.3. Taxation of Business Profits.4. Taxation of Capital Gains including Indirect Transfers.5. Income of non-residents from Shipping and Aircraft Operation.6. Taxation of Interest and Dividend7. Remittance on account of Remuneration.8. Taxation of Artistes and Sportsmen/ students / pensions /income from other sources.9. Taxation of Royalties and FTS10. Payments to firm/ trust / PE and triangular Situation11. Brains’-Trust session

Faculties : Eminent Faculties namely : CA Himanshu Parekh, CA Radhakishan Rawal, CA Naresh Ajwani, CA Sudhir Nayak, CA N. C. Hegde, CA Mayur Shah, CA Shabbir Motorwala, CA Rutvik Sanghvi, CA Vishal Shah will address the various sessions at the Workshop.

The details of the Workshop are as under:

Days & Dates Time VenueFriday, 13th January 2017 9.00 am to 5.30 pm Dahanukar Hall, Maharashtra Chamber

of Commerce & Industry, Oricon House, 6th Floor, 12, K. Dubhash Marg, Nr. Kalaghoda, Fort, Mumbai- 400 001

Friday, 20th January, 2017 9.00 am to 5.30 pmSaturday, 21st January, 2017 9.00 am to 5.30 pm

Fees : or Members : ` 5,500/- plus Service Tax ` 825/- = ` 6,325/-For Non-Members : ` 6,500/- plus Service Tax ` 975/- = ` 7,475/- (Inclusive of cost of course material, Snacks, Tea/Coffee and Lunch)

Interested Members may download the “Form” from The Chamber’s website www.ctconline.org or collect it from The Chamber’s office and send it along with the cheque in favour of “The Chamber of Tax Consultants.” Outstation members are requested to send the DD/At Par cheque.

Members may use Online Payment Facility on www.ctconline.org also and send the Form duly filled with all the details thereafter.


SEMINAR ON CORPORATE RESTRUCTURING-VALUE CREATION OR SURVIVALA Unique Seminar for Corporates, Merchant Bankers, Lawyers, Chartered Accountants and other professionalsABOUT THE SEMINARCorporate Restructuring has become a necessity for growth and at times for survival itself. In recent times, we have seen immense restructuring activity across sectors and regardless of size. The Corporate Members Committee of the Chamber has designed this Seminar to look into the finer aspects of and issues in Corporate Restructuring – be it motives for restructuring, fund raising options, tax related issues, valuations, legalities, accounting, issues in due diligence, etc. This seminar will provide an opportunity to Corporate Executives, Lawyers, Chartered Accountants, Company Secretaries, Merchant Bankers and other professionals to gain from the insight of expert speakers who will share their experiences in their respective areas so as to equip the participants with the knowledge to handle any Corporate Restructuring.

Days & Dates : Friday, January 20, 2017 – 9.00 am to 5.30 pm & Saturday, January 21, 2017– 9.00 am to 3.30 pm

Venue : 4th Floor, Walchand Hirachand Hall, Indian Merchants’ Chamber, Churchgate, Mumbai-400 020

Fees : ` 4,600/- for Members & ` 5,175/- for Non-Members (including Service Tax, Study Material, Lunch & Tea)

Day One (20th January, 2017 – Friday)Time Subject Speakers

9:30-10:30 Keynote Address: Current Economic Scenario Eminent Speaker10:30-11:45 Motives for Structuring, Innovative ways of

Structuring and Strategy (including BEPS) and Accounting for Business Combinations

CA Amrish Shah – Partner, Tax & Regulatory Services at Ernst & Young

12:00 – 01:15 Fund Raising – Private Equity Mr. Bhavesh A. Shah - Managing Director, Investment Banking at JM Financial Institutional Securities Limited

2:00 – 3:15 Direct Taxation - Issues and Recent Developments - Domestic & International

Mr. Girish Vanvari - Partner & Tax Head, KPMG

3:30 – 4:30 Valuation – Importance and Issues CA. Pinkesh Billimoria – Partner, Deloitte4:30- 5:30 Role of National Company Law Tribunal (NCLT) &

other RegulatorsMr. Sanjay Buch – Partner, Crawford Bayley & Co. Advocates and Solicitors

Day Two (21st January, 2017 – Saturday)Time Subject Speakers

9:30 - 10:30 Legal issues in Corporate Restructuring and Stamp Duty Implications

Mr. Sharad Abhyankar - Partner, Khaitan & Co.

10:30 – 11:30 Issues in Due Diligence CA. Vijaykumar Iyer – Partner, M&A Transaction Services, Deloitte Touche Tohmatsu India LLP

11:45 - 01:00 Corporatisation of non-corporate entities CA Umesh K. Gala - Partner, Dhruva Advisors LLP2:00 to 3:30 PM Panel Discussion on Corporate Restructuring:

— Need of the Hour— Value Creation or Survival

Moderator:CA Abizer Diwanji - Partner, National Leader, Restructuring Services, Ernst & YoungPanelists:- Mr. Utpal Sheth – CEO of Rare Enterprises- CA Ajay Shah – Partner, Transaction Advisory Services at Ernst & Young- Mr. Raj Kataria – Arpwood Capital



Chairman : Bhavesh Vora Vice-Chairman : Apurva Shah Convenors : Neha Gada, Vitang Shah Advisor : Y. P. Trivedi Chief Co-ordinator : Sujal Shah

CORPORATE MEMBERS COMMITTEE


Chairman : Ketan Vajani Vice-Chairman : Ganesh Rajgopalan Convenors : Abhitan Mehta, Ashok Mehta, Dinesh Poddar Advisor : K. Gopal

DIRECT TAX COMMITTEE

WEBINAR ON APPEALS BEFORE CIT (APPEALS)The busy season of assessments is likely to end soon with the end of the calendar year 2016. Appeal before the CIT(A) is one of the most effective corrective measures for the assessee. The right of appeal is a statutory right and the same has to be exercised in accordance with the provisions of the Act and also the Rules provided in this regard.

Care is to be taken in effective drafting of Grounds of Appeal, Statement of Facts and also while representing the client before the CIT(A). One needs to be aware of various legal and also procedural issues like limitation periods, codonation of delay in filing appeal, additional evidences, additional grounds, powers of CIT(A) etc.

With a view to cater to this need of the tax professionals, the Direct Tax Committee has organised a Webinar on the topic “Appeals before CIT (Appeals)”. The relevant details for the same are as under:

Day & Date : Thursday, 12th January, 2017Subject : Appeals before CIT (Appeals)Speaker : Shri Rahul Hakani, (Advocate)Time : 6.00 pm to 8.00 pm

Fees : ` 200/- (inclusive of Service Tax)

The Webinar will have a question and answer session at the end. Members can send their questions in advance by email at : [email protected] . Please enroll at the earliest for the above useful webinar. Please send your questions latest by 7th January, 2017 so that the same can be forwarded to the speaker.Interested Members may download the form from the website www.ctconline.org. Visit www.ctconline.org for online payment.

Chairman : Rahul Hakani, Vice Chairman : Heneel Patel Convenors : Rahul Sarda, Priti Shukla, Niyati Mankad Advisors : Pravin Veera, Ramesh Prabhu

ALLIED LAWS COMMITTEE

INTENSIVE STUDY GROUP ON IND-AS – ENROLMENT BEGINSAs per the road map announced by MCA, Ind-AS is already applicable to large listed Companies and by next year it will be applicable to all listed Companies & also to Companies having net-worth of more than ` 250 crores. As per the roadmap given by the RBI, Ind-AS will also be applicable to Banking, Insurance & NBFCs from FY 2018-19. Considering the significant gaps that exist between the current accounting and reporting guidance and international best practices, the implementation effort would have a potential wide ranging impact on the functions of various departments within the organisation; finance, IT, legal, sales, investor relations, senior management, to name a few of them.

The Allied Law Committee of the Chamber [jointly with the Corporate Members Committee] had recently organisedCertificate Training Course in IND-AS (40 Hrs.) with knowledge assessment.The course had received an overwhelming response. The participants desired that as the topic is new, it requires a continuous study and that it was incumbent upon Chamber to start an Intensive Study Group. Hence, the Chamber of Tax Consultants has decided to start this new ISG.

The ISG will be useful for Chartered Accountants, Students, Accountants & Managers.

The objective of the ISG is to provide in-depth knowledge and practical training on various Ind-AS with case studies based approach so that not only principles of Ind-AS are easily understood but also practical insight can be gained.

Duration January 2017 – March 2018 [15 months]Inaugural Meeting Tuesday, 24th January, 2017Time 6:00 pm to 8.30 pmVenue SNDT Committee Room, SNDT College, Churchgate, Mumbai-400 020Speaker CA Hemal ShahTopic Ind-AS 110 – Consolidated Financial Statements.

Ind-AS 111 – Joint Arrangements.Convenors Mr. Amit Purohit–9322060064 Mr. Heneel Patel–9833994888Course Fees:[Includes Study Material, Snacks]

Members : ` 5,000/- + 15% Service Tax ` 750 = ` 5,750/-Non-Members : ` 6,500/- + 15% Service Tax ` 975/- = ` 7,475/-

Interested Members may download the form from the website www.ctconline.org. Visit www.ctconline.org for Online Payment.

New Initative




HALF DAY WORKSHOP ON DIRECT TAX PROVISIONS OF FINANCE BILL, 2017(JOINTLY WITH WIRC OF ICAI)

The Finance Bill, 2017 is scheduled to be tabled in Parliament on 1st February, 2017. The amendments which the Finance Bill makes to the Income-tax Act every year are far reaching and it is a must for any tax professional to study the amendments and its impact in a thorough manner. More often than not, the Finance Bill unsettles many settled principles and many age-old and tested concepts are revisited in view of the economic and social developments in the country. This year’s Finance Bill is likely to bring many path breaking amendments considering the thrust of the Government on eradication of black money from the economy. The Income Declaration Scheme, 2016 and the Demonetisation of currency notes will certainly have its footprint in the Finance Bill, 2017 and many of the loopholes which might be noticed are likely to be plugged With a view to have threadbare analysis of the Direct Tax provisions of the Finance Bill-2017, the Direct Tax Committee has organised a half-day Workshop on the subject. The relevant details for the seminar are as under :

Day & Date : Saturday, 11th February, 2017Time : 2.00 pm to 5.30 pm Venue : Walchand Hirachand Hall, 4th Floor, IMC, Churchgate, Mumbai-00020Fees : ` 800/- (including Service Tax, Course Material, Refreshments and Tea / Coffee)Chairman : CA Kishor Karia Speakers : CA Chetan Karia, CA Gautam Nayak



Chairman : Vikram Mehta Vice Chairman : Naresh Sheth Convenors : Sumit Jhunjhunwala, Atul Mehta Advisor : A. R. Krishnan

INDIRECT TAXES COMMITTEE

HALF-DAY WORKSHOP ON INDIRECT TAX PROVISIONS OF FINANCE BILL, 2017

(JOINTLY WITH WIRC OF ICAI)The Finance Bill will be presented by Finance Minister in Parliament on Wednesday, 1st February, 2017. The Finance Minister has proposed several changes in Indirect Taxes having great impact on business, industry and profession. With a view to have a threadbare analysis of the Indirect Tax provisions of Finance Bill, 2017, the Indirect Taxes Committee of the Chamber of Consultants has organised a half day “Workshop on Finance Bill, 2017 (Indirect Tax Provisions)” jointly with WIRC of ICAI.

The details are as under:

Day & Date : Saturday, 11th February, 2017Time : 8.45 am to 1.15 pmVenue : Walchand Hirachand Hall, 4th Floor, IMC, Churchgate, Mumbai-00020Speakers : CA A. R. Krishnan, Shri Vipin Jain, Advocate

Fees : ` 800/- (including Service Tax, Course Material, Refreshments and Tea / Coffee)






STUDY COURSE ON INTERPRETATION OF TAXING STATUTES Language, words and phrases are an imprecise form of communication. Words can have multiple definitions and meanings. The original language of all ancient epics and holy books is Sanskrit. So if one was not aware of Sanskrit, it would have been impossible for one to understand the holy books and epics in the correct manner. Similar is the case with tax laws, a tax professional must know the fundamental principles of any statute and interpretation is a process by which one can expound law. Statutory interpretation is the process by which courts interpret and apply legislation. To find the meanings of statutes, judges use various tools and methods of statutory interpretation, including traditional canons of statutory interpretation, legislative history, and purpose. If one is well-versed with the basic rules of Interpretation, then he can interpret any Act and can practice across any of the legislation, be it Direct Tax or Indirect Tax or even other Allied Laws. The fundamental rules of interpretation remain same across all legislation and hence it is desirable for a tax professional to grasp these fundamental principles thoroughly.

With a view to understand these fundamental principles in-depth, the Chamber has been periodically organising a Study Course on Interpretation of Taxing Statutes. The first two such courses, have received extremely encouraging response from the members. Some of the members could not be enrolled in the earlier courses due to limited enrolment.

Considering the usefulness of this Study Course for a tax professional, the Direct Tax Committee is pleased to announce the third Study Course on Interpretation of Taxing Statutes. The Study Course would be spread over four half day sessions and would cover the basic principles of interpretation. Eminent professionals (list to be confirmed) would be the faculty at the study course. This Study Course will enable the members to understand and apply the principles of judicial precedent and will improve their interpretation skills to a considerable extent. This course will give a thorough understanding of the various principles, theories and techniques relevant to the interpretation of enacted law and case law.

The relevant details of the Study Course are as under :

Day & Date : Fridays, 17th and 24th March, 2017 Saturdays, 18th and 25th March, 2017

Time : 4.00 pm to 8.00 pm. on Fridays 9.30 am to 1.30 pm on Saturdays

Venue : Jai Hind College, A. V. Room, 4th Floor, “A” Road, Churchgate, Mumbai-400 001

Broad Topics : 1. General Introduction to Interpretation 2. Principles and Rules of Interpretation–Heydon’s rule, Mischief Rule, Purposive Construction, Literal Construction,

Strict Construction etc.; Interpretation of Penal statutes3. Subsidiary Rules i.e., Mandatory and directory provisions, Harmonious and Beneficial Construction4. Aids to construction, Internal and external aids;5. Rules governing Construction of Double Taxation Agreement, or International agreement, Treaties etc.6. Transfer Pricing provisions including Domestic Transfer Pricing 7. Principles of Natural Justice8. Interpretation of Contracts9. Doctrine of Res-judicata and Estoppel as applicable to tax law: Doctrine of Binding Precedent/Stare Decis.10. Operation, Expiry and Repeal of Statutes11. Interpretation of General Clauses Act 12. Interplay of definitions of the terms “Ownership, Possession and Transfer” under general law and tax laws

Faculties : Eminent faculties to be finalised soon.

Fees For members – ` 3,500/- + Service Tax = ` 4,025/- For Non-members – ` 4,000/- + Service Tax = ` 4,600/- (including Refreshments and Tea / Coffee on all days and Course Material)

Enrolment is restricted to 100 participants. Enroll at the earliest to avoid disappointment.






5TH RESIDENTIAL REFRESHER COURSE ON INDIRECT TAXESBOGMALLO BEACH RESORT, P. O. BOGMALLO, GOA-403 806 Thursday, 26th January, 2017 to Saturday 28th January, 2017

Education with EntertainmentIndirect taxes Committee of The Chamber of Tax Consultants is pleased to announce the much awaited 5th Residential Refresher Course (RRC) on Indirect Taxes, at Bogmallo Beach Resort, Goa from 26th January, 2017 to 28th January, 2017. This RRC will have a flavour of Model GST Law in view of the impending GST regime. Bogmallo Beach Resort is one of the first few 5 star resorts at Goa.

Papers for Discussion Speakers

Paper – I Input Tax Credit and Valuation under Service Tax and Sales Tax Laws with GST perspective

CA Sunil Gabhawalla

Paper – II Assorted Case Studies on Service Tax (other than CENVAT credit and valuation) with GST perspective

Mr. Rohit Jain, Advocate

Papers for Presentation

I Model GST vs. Service Tax and Model GST vs. VAT CA Divyesh Lapsiwala

II Landmark decisions in Indirect Tax Law & its relevance to Model GST Law

Mr. V. Lakshmikumaran Advocate

Days & Dates Thursday, 26th January, 2017 to Saturday, 28th January, 2017 2 nights and 3 days on Twin Sharing basis

Venue Bogmallo Beach Resort, P. O. Bogmallo, Goa-403 806. India

Delegates Fees Twin Sharing

Twin Sharing ` 14,000/- + ` 2,100/- (15% ST) = ` 16,100/- for Members ` 15,500/- + ` 2,325/- (15% ST) = ` 17,825/- for Non-Members



Chairman : Ashok Sharma Vice-Chairman : Dilip Sanghvi Convenors : Dinesh Shah, Rajesh Shah, Sanjay Chokshi Advisor : Mahendra Sanghvi

Day & Date : Tuesday, 17th January,2017Time : 5.30 pm to 6.00 pm (Snacks) & 6.00 pm to 8.00 pm (Discussion)Subject : Presumptive TaxationGroup Leader : CA Devendra JainVenue : S.N.D.T. Committee Room, SNDT College, Churchgate, Mumbai-400 020

Day & Date : Tuesday, 14th February, 2017Time : 5.30 pm to 6.00 pm (Snacks) & 6.00 pm to 8.00 pm (Discussion)Subject : Finance Bill - 2017 – Direct Tax ProvisionsGroup Leader : CA Praful PoladiaVenue : To be Announced

STUDY CIRCLE & STUDY GROUP COMMITTEE

STUDY CIRCLE MEETINGS (FOR STUDY CIRCLE MEMBERS ONLY)




“WORKSHOP ON GST, MVAT AND SERVICE TAX” JOINTLY WITH STPAM, AIFTP (WZ), BCAS, MCTC AND WIRC OF ICAI

Dear Members, We are happy to announce “Workshop on GST, MVAT and Service Tax” jointly with STPAM, AIFTP (WZ), BCAS, MCTC, and WIRC of ICAI to be held from 21st January 2017 to 24th March 2017.The object of Workshop is to share the essence of professional experience and expertise of the faculties which they have gained over the years. Here, the Delegates will get an opportunity to gain knowledge and wisdom by interacting with seniors.With GST just around the corner, the topics selected for Workshop will cover in-depth and practical understanding of GST Law and Challenges to be faced in GST Era. We have also specifically included Industry wise GST Implications and Comparison of Existing Laws vs. GST Model Law. A special Mega Brain Trust is arranged at the end of Seminar to seek views from seniors on issues faced by all members with regards to interpretation of law and practical difficulties.Also, we have included Works Contract under MVAT Act, 2002, CST Act, 1956, Service tax provisions which have always been matter of litigation. These topics are of immense importance and will be of enormous help and use to Professionals/Delegates handling Indirect Tax Matters. The Scheduled List containing the dates, topics, and names of faculties is detailed below. (Subject to confirmation and availability). The enrolment is restricted to first 200 members. Enrolment will be made on first-come-first-serve basis. Kindly enroll yourself at the earliest to avoid disappointment.

The details are as under:

Time 2.30 pm TO 5.30 pmVenue Mazgaon Library, 1st Floor, 104, Vikrikar Bhavan, Mazgaon, Mumbai-400 010Delegates Fees

Members ` 2,000/- (incl. of Service tax), Non-Members ` 2,500/- (incl. of Service tax)

Days & Dates Subjects Speakers21-1-2017 Saturday 2:00-5:30

Inauguration PROGRAMModel GST Law vs. Vat Laws CA Rajat TalatiModel GST Law vs. Service Tax CA Vikram Mehta

27-1-2017 Friday

Intricate Issues Under Works Contracts under MVAT & CST Acts CA Mayur ParekhConstruction Service including Works Contract Services, Erection & Commissioning Services CA Ankit Chande

4-2-2017 Saturday

New Concepts under GST viz. Taxable Person, Supply, Consideration, Taxable Event, etc. Mr. C. B. Thakar, Adv.Input Tax Credit, Input Service Distributor and Related Transitional Provisions CA Kiran Garkar

18-2-2017 Saturday

Time and Place of Supply (Goods) including Transitional Provisions Mr. Vinayak Patkar, Adv.Time and Place of Supply (Services) including Transitional Provisions CA Sujata Rangnekar

4-3-2017 Saturday

Valuation of Goods and Services under GST Act + Job work Provisions (incl. Transitional Provisions)

CA Pranav Kapadia

Assessment, Penalty and Search & Seizure under GST Act Ms. Nikita Badheka, Adv.17-3-2017 Friday

Registration, Returns, Payment, Composition Levy and Refund incl. Preparedness in relation to Documentation by dealers

Mr. Dhaval Talati

E-Commerce Transactions, TDS & TCS Provisions CA Deepak Thakkar18-3-2017 Saturday

Taxation under Present Regime vis-a-vis under GST Regime on Trading, Manufacturing and Distributors sector

CA Janak Vaghani

Taxation under Present Regime vis-a-vis under GST Regime on Builders, Works Contractors and Services sector

Eminent Faculty

24-3-2017 Friday

Transitional Issues under GST - Mega Brains’ Trust session Brains’ Trustees




RESIDENTIAL REFRESHER COURSE & SKILL DEVELOPMENT COMMITTEEChairman : Shailesh Bandi Vice-Chairperson : Charu Ved

Convenors : Mehul Sheth, Pranav Jhaveri Advisor : Kishor Vanjara

40TH RESIDENTIAL REFRESHER COURSE Thursday, 16th February, 2017 to Sunday, 19th February, 2017 THE GOLDEN PALMS HOTEL AND SPA RESORT, BENGALURU

SeekandYou’llfind Create and You’ll Conquer

1. Go Live with Luminaries : This session will be an Anchored Show where Adv. K . Gopal will interview the Luminaries Justice Shri R.V. Easwar, Former Judge, Delhi High Court & Former President - ITAT; & CA T.N. Manhoran, Past President ICAI and a Padmashree Awardee.

2. Technical Papers & Facultiesa. Select Case Studies under Mock Tribunal Approach - (The Case Studies will be presented by each group in the Tribunal

Approach–benefiting all the participants with the arguments for and against an assessee)

Faculty : Judgment by Mr. Salil Kapoor, Advocate and Ex-ITAT Memberb. Transacting in Immovable Property – Emerging Trends or Contemporary Issues – (The Paper deals with the issues

related to taxation of transactions in immovable property – emerging trends and taxation of contemporary structures in immovable property transactions dealing with both as capital gains on sale of investment property and taxation on sale of business assets.

Faculty : CA H. Padamchand Khinchac. Penalties and Prosecution a Paradigm Shift (The paper deals with the newly introduced Section 270A providing for levy of penalty for under-reporting and misreporting of

income contrasted with the concept of concealment u/s. 271(1)(c), immunity from imposition of penalty vis-a-vis the Prosecution.)

Chairman : Mr. K. P. Kumar, Sr. Advocate, Paper Writer : Mr. Mihir Nanivadekar, Advocate3. Presentation Paper Presentation Paper on M & A and Corporate Restructuring — Tax & Regulatory Aspects

The Paper shall deal with the following aspects:Business vs. Share Acquisition; Transfer of Shares; Slump Sale & Asset Sale; Merger & Demerger; Interesting Schemes; Case Studies and Practical Issues

Faculty : CA Amithraj A. N.4. Brains’ Trust – Trustees: Mr. S. Ganesh, Sr. Advocate & CA Pradip Kapasi

RRC Dates : Thursday, 16th February, 2017 to Sunday, 19th February, 2017

Delegate FeesInclusions:

• 3 Nights / 4 Days accommodation on double occupancy basis in Deluxe AC rooms

BASIC Fees ` 17,500/- • All meals starting with lunch on Thursday (16th Feb. 2017) & ending with lunch on Sunday (19th Feb., 2017)

Add: Service Tax @ 15% ` 2,625/- • Course material

Total ` 20,125/- • Entertainment & Gala Dinner

• Free access to health club and swimming pool and sports arena

• We are also planning visit to Art of Living Ashram of Param Pujya Guru Sri Sri Ravi Shanker to seek his Blessings


Note: 1) Check-in time at Hotel : 1.00 p.m. Thursday, 16th February, 2017 Check-out time : 11.00 a.m. Sunday, 19th February, 2017

2) RRC will commence at 3.00 p.m. on Thursday, 16-2-2017 and end by 1.30 p.m. (After Lunch) on Sunday, 19-2-2017

3) Registration shall be restricted to first 150 enrollments on first–come–first-served basis 4) In case of cancellation, no refund request shall be entertained, except under genuine unavoidable circumstances,

subject to the approval of the RRC & SD Committees 5) Participants, who wish to book the tickets in advance, are advised to reach the Conference venue by 12.00 noon on

16th February and the return tickets for 19th February may be booked for late afternoon or after 4 p.m.



UNREPORTED DECISIONS (Direct Tax)By Ajay R. Singh & Rahul R. Sarda, Advocates

1. Sec. 54F – Exemption – Investment in flat - Flat purchased in the name of proprietary concern of assessee – Another flat booked with developer but booking cancelled and amount refunded.

Assessee received ` 59,76,000/- towards sale of 3,600 shares of Happy Home Health Club Pvt. Ltd. and after indexation cost of acquisition the assessee declared Long Term Capital Gain of ` 59,36,089/-. The assessee further claimed to have purchased new flat during the year under consideration and claimed deduction of ` 55,62,600/- u/s. 54F in respect of new flat in Mulund, Mumbai and also paid advance for booking a flat with Shree Siddhivinayak Enterprises (SSE) for ` 30,00,000/- which has subsequently been refunded back to the assessee. The AO denied exemption u/s 54F on the ground that the said flat in Mulund was already allotted to some other person and hence could not have been purchased by the assessee.

Held, the flat in Mulund was purchased by the proprietary concern of the assessee by the name of M/s. Rohit Enterprises and hence it could be said that the same was purchased by the assessee himself. Furthermore, since the amount paid to SSE was only an advance without any agreement and construction of flat which was subsequently refunded due to cancellation of booking, the assessee cannot be said to have invested in two flats and hence was entitled to exemption.

ACIT vs. Hemant D. Jagdale , ITA No. 4356/M/2013 dated 14/10/2016 (ITAT Mumbai) 2. Sec. 271(1)(c) – Penalty – Interest not offered to taxation – Omission to include interest due to other preoccupations. The assessee had not accounted for the interest receivable from one, Mr. Bhudhwani on the loan advanced to him to the tune of

` 2,22,581/-. The impugned interest was not received by the assessee. The assessee submitted that at the time of finalization of the account, interest component escaped the attention of the assessee and was not provided for due to pre-occupation of the assessee in attending various authorities as such during survey proceedings u/s 133A by the IT Department which was followed by the SEBI and CBI. The assessee also submitted that he was not aware whether TDS was deducted by Mr. Bhudhwani and under these circumstances the income could not be offered for taxation. It was further found out that the interest which was shown as payable in Mr. Bhudhwani’s books was written back in the subsequent year.

Held, in these circumstances, no penalty could be levied. D. N. Dalal vs. ACIT, ITA No. 1640/M/2011 dt. 14/10/2016 (ITAT Mumbai) 3. Sec. 220(6) – Appeal against rejection by CIT (A) of stay application – Not maintainable before Tribunal. The AO while framing assessment made an addition of ` 1,56,56,922/- as income from AOP against the assessee on protective

basis. On the basis of addition, a demand of ` 61,72,820/- was raised against the assessee. The assessee requested the AO for stay of demand which was rejected by the AO. The assessee once again approached the AO vide his application and prayed for reconsideration of the stay application, which was again rejected by the AO. The assessee thereafter approached CIT (A) for stay of demand. However, the CIT (A) directed the assessee to approach the AO for stay of demand. Aggrieved by the order of CIT (A) the assessee has filed the present appeal before the Tribunal, for stay of demand till the disposal of appeal of assessee pending before CIT (A).

Held since the appeal on merits was pending before the CIT (A) and not with the Tribunal, appeal against order of rejection of stay application could not be entertained by the Tribunal.

Daulat Luthria vs. ACIT, SA No. 234/M/2015 in ITA No. 4074/M/2015 dt. 14/10/2016, (ITAT Mumbai) 4. Sec. 144 – Best judgement assessment – Year of offering income by builder – Method of accounting – Income already

taxed in subsequent year. During the course of scrutiny assessment, AO rejected method of accounting followed by the assessee-builder on the ground that

profit from one of its projects was not offered to tax in the year under consideration by observing that project was completed in the current year only. The AO observed that as on last day of the year, 95.83% of the project was completed and assessee had received around 63% of the sale consideration, and therefore, held that year of accrual of income was the current year and not the


subsequent year as declared by the assessee. Held that the possession of all flats of the project was not handed over by the assessee in the year under consideration and actual

possession was handed over in subsequent year in which the corresponding income has also been offered and taxed. In view of this, it was justified that the addition of ` 58,97,073/- should be deleted.

ITO vs. Varsha Enterprises, ITA Nos. 4649/M/2015 dt. 23/11/2016 (ITAT Mumbai)

NOTE: The Whole Decisions can be downloaded from the ctc website www.ctconline.org under knowledge centre.

UNREPORTED DECISIONS (Service Tax)By Vinay Jain, Chartered Accountant, & Kriti Kalyani, Advocate, Lakshmikumaran & Sridharan

1. Whether the limitation period for right to refund under Notification No. 41/2007-ST shall be calculated within sixty days from the end of the relevant quarter during which the said goods have been exported or from the date service tax have been paid?

Facts & pleadings: The appellant is engaged in the manufacture and export of galvanised steel sheet, plain sheet and coils falling. The appellant submitted a refund claim for service tax paid on input services. The claim pertains to the period from October 2008 to December, 2008.

Revenue proceeded to reject the refund on the ground that the Notification No. 41/2007-ST, dated 6-10-2007 (“Notification”) prescribes that the refund claims are to be made on quarterly basis within 60 days from the end of the relevant quarter during which the said goods have been exported. In the present case, since the export has been taken place during the period April-June, 2008 and the refund claim has been filed on 12-2-2009, the rejection of a portion of the claim as time barred.

The appellant submitted that it is a condition of the Notification that before claiming refund of the service tax paid on the services used for export of goods, the service tax involved is required to be paid. In the present case, the right to refund under the Notification stands crystalised only when service tax was deposited in December, 2008/January, 2009 and hence the claim is not barred by limitation.

Judgment:- The Hon’ble CESTAT agreed with the submission of the appellant that even though the notification provides for limitation of 60 days from the date of export, the same should be counted from the date of the payment of service tax as prior to payment of the service tax, the right to file refund claim does not arise at all. In other words, the bar of limitation will be applied only from the date when the right to file the refund is accrued. The Hon’ble CESTAT also relied on the decision of the Delhi High Court in case of Sony India vs. CC (New Delhi) 2014 (304) ELT 660 (Del).

M/s. National Steel and Agro Industries Ltd. vs. CCE, Indore; CESTAT, New Delhi decided on 8-11-2016 in Appeal No. ST/461/2010-CU[DB]

2. Whether deduction of the value of the goods as provided under Notification No. 12/2003-ST dated 20-6-2003 can be rejected only on the ground that the bifurcation of the value of goods and services is artificial?

Facts & pleadings:The respondents are engaged in providing repair and maintenance services to Delhi Jal Board under agreement entered into between two of them.

The assessee had considered the value of the material as 80% and value of the service as 20% and accordingly discharged the respective tax liability.

Revenue proceeded to disallow the claim of the assessee on the ground the bifurcation of the value into 80-20% for goods and service respectively has been done artificially by the party and hence they are not entitled for the benefit of Notification No. 12/2003-ST.

The respondents submitted that they have given a break-up of the total consideration received by them from M/s. Delhi Jal Board showing the value of goods as 80% and value of service as 20%. They have also produced evidence to show that the value of the material is more than 80%.

Judgment:- The Hon’ble CESTAT was of the view that the appellants were issuing separate invoices to service recipient, one indicating the value of goods sold, and the other indicating the value of the services. Revenues contention that such bifurcation of 80% and 20% is artificial is not based upon any evidence. The Hon’ble CESTAT was of the view that it is for the revenue to produce sufficient documentary evidence to prove that the respective values are not real or genuine. Having failed to do the case of the revenue does not survive and accordingly, the appeal filed by the department was dismissed.

Commissioner of Service Tax, Delhi VS. M/s. Raj Engineering CESTAT, New Delhi decided on 2-11-2016 in Service Tax Appeal No. 653 of 2011

3. Whether a writ petition can be entertained by High Court if the appeal had been dismissed by the CESTAT as well as the Commissioner (Appeal) on the ground of time barred/limitation?

Facts & pleadings: The department had initiated the proceeding against the petitioner inter-alia denying the CENVAT Credit. The same was confirmed vide order in original dated 29-1-2008. The petitioner challenged the same before the Commissioner (Appeal), who dismissed the same on the ground of time bar. The appeal filed by the petitioner before the CESTAT was also dismissed on the same ground.

The petitioners argued before the High Court that they are not challenging the finding of the Commissioner(A)/CESTAT which dismissed the appeal on time bar but their challenge is to the order in original dated 29-1-2008 which had not considered the contentions raised before it and hence the OIO is legally not sustainable.

Judgment:- The Hon’ble High Court was of the view that the order in original had not considered the contention raised by the petitioner though specifically pleaded and hence the same is legally incorrect. And the Hon’ble Court allowed the petition and set aside the OIO dated 29.1.2008. However, the show cause Notice was kept alive for adjudication.

Milton Plastics Limited VS. U.O.I; High Court, Bombay decided on 13-12-2016 in Writ Petition No. 10788 of 2015Note: THE WHOLE DECISIONS CAN BE DOWNLOADED FROM THE CTC WEBSITE www.ctconline.org UNDER KNOWLEDGE CENTRE


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SURVEYS UNDER INCOME TAX (COVERING AMENDMENTS TO INCOME TAX ACT DUE TO DEMONETISATION)

The current financial year has witnessed many surveys as a follow-up measure of the Income Disclosure Scheme, 2016 and also the latest step of Demonetisation of High Denomination Currency. Many more surveys are expected to be done in the year to unearth various tax evasion and money laundering methods adopted. In the process, genuine businessmen are also likely to suffer some unpleasant action from tax officers. The government is already on a mission to eradicate black money and has proposed the Taxation Laws (Second Amendment) Bill 2016 in this direction. The scheme provided is probably the last window to the tax evaders to come clean. Amendments made to the Income-tax Act are having far reaching implications and will not be confined to the issues arising due to Demonetisation.With a view to understand various intricate issues arising out of these recent developments, the Direct Tax Committee of The Chamber of Tax Consultants is organizing a Full Day Seminar on Surveys. The Seminar will also cover recent amendments to Income-tax Act on account of Demonetisation. The relevant details are as under:

Day & Date Saturday, 7th January, 2017 Time 9.30 am to 5.30 pmVenue M. C. Ghia Hall, Rampart Row, Kalaghoda, Fort, Mumbai-400 001Topic and Faculties Legal provisions relating to Surveys and Procedures during

SurveysShri Deepak Tralshawala, Advocate

Ramifications of Surveys on Assessment and Penalty Proceedings and Impact of IDS 2016 on Surveys and assessments

CA Sunil Talati

TDS Surveys and Surveys for Recovery of Taxes CA Mahendra Sanghvi Brains’ – Trusts session covering all the questions related to surveys

Brains’ - Trustees

1. Dr. K. Shivaram, Senior Advocate

2. CA Kishore B. KariaFees For Members For Non Members

` 1,800/- + Service Tax @ 15% = ` 2,070/- ` 2,100/- + Service Tax @ 15% = ` 2,415/-



Vol. III Issue 7 | Total Pages - 12 January 2017 : Eminent Faculties namely : CA Himanshu Parekh, CA...

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Transcript of Vol. III Issue 7 | Total Pages - 12 January 2017 : Eminent Faculties namely : CA Himanshu Parekh, CA...