Stages And Sources Of Startup Funding
‘Funding’ refers to the money required to start and run a business. It is a financial investment in a company for product development, manufacturing, expansion, sales and marketing, office spaces, and inventory. Many startups choose to not raise funding from third parties and are funded by their founders only (to prevent debts and equity dilution). […]
Budget 2021 Highlights- Tax Proposals
E-way Bill Generation Post The Introduction Of E-invoicing
The introduction of E-Invoicing has created a lot of confusion for the taxpayers as to the procedure & portal to be used for generating e-way bills for those invoices for which a unique IRN has been generated. E-way bills can now be generated from the e-invoicing portal itself, the detailed procedure to be followed for […]
GST: Input Tax Credit Restrictions applicable w.e.f. 01st January 2021
A. Rule 36(4) of Central Goods & Services Tax Rules restricting ITC to 5% of total ITC reflecting in GSTR-2A Rule 36(4) of the Central Goods and Services Tax Rules (hereinafter referred as ‘Rules’) has been inserted by notification No.49/2019 Central Tax dated 09.10.2019 with effect from 09.10.2019 under section 164 of the Act, which restricts the credit […]
GST: E-Invoicing now applicable to entities having turnover exceeding Rs. 100 crore in any of the last 3 financial years
As per notification no. 88/2020-Central Tax dt.10th November’20, E-invoicing has been made applicable w.e.f. 01st January 2021 to entities having turnover exceeding Rs. 100 crore in any of the preceding 3 financial years. The financial years for which this limit has to be checked are FY 2017-18, 2018-19 & 2019-20. Such taxpayers will continue to generate their invoices as […]
Quarterly Return Monthly Payment Scheme (QRMPS) under GST
A. Eligibility for the SchemeIn terms of notification No. 84/2020- Central Tax, dated 10.11.2020, a registered person who is required to furnish a return in FORM GSTR-3B, and who has an aggregate turnover of up to 5 crore rupees in the preceding financial year, is eligible for the QRMP Scheme. B. Exercising option for QRMP […]
Is a Trust carrying out “charitable activities” liable to GST registration?
A very common question these days being debated is- Whether a charitable trust registered under section 12AA of the Income Tax Act,1961 as well as under section 80G of the Income Tax Act required to obtain a GST registration? Charitable activities are defined in Notification No 12/2017 – Central Tax (Rates) as below: Charitable activities” means […]
Provisions of TDS on cash withdrawals simplified
Section 194N for deduction of tax at source (TDS) on cash withdrawals exceeding Rs. 1 crore was introduced by the Finance Minister in the Union Budget 2019. This section applies to an aggregate of sums withdrawn from a particular payer in a financial year. The Government has introduced Section 194N in the Union Budget 2019 […]
TDS on Salary- New vs Old Tax Regime
The Finance Act 2020 has brought in a new tax regime for calculating TDS on salary. The employee is required to choose either the old or the new tax regime and intimate the same to the employer. The choice once made cannot be modified during the remaining part of the financial year for the purpose […]