Welcome to AJSH & Co.

Blog Banner
Income Computation and Disclosure Standards

Income Computation and Disclosure Standards

Income Computation and Disclosure Standards (ICDS) have been notified u / s 145 (2) of the Income Tax Act, 1961 vide Notification No. S.O. 3079 (E) dated September 29th 2016. On 23rd March, 2017, certain clarifications were issued by CBDT by way of FAQs.

Below mentioned are the 10 ICDS that are notified up to the date:

  1. Accounting Policies
  2. Valuation of Inventories
  3. Construction Contracts
  4. Revenue Recognition
  5. Tangible Fixed Assets
  6. Effect of Changes in Foreign Exchange Rates
  7. Government Grants
  8. Securities
  9. Borrowing Costs
  10. Provisions, Contingent Liabilities & Contingent Assets

Applicability of ICDS:-
ICDS is applicable to all assesses having Income … Read more

Introduction to E-Way Bill

Introduction to E-Way Bill

Introduction of Goods and Service Tax (GST) across India with effect from July 1, 2017 was a significant step in the indirect tax reforms in India. For quick and easy movement of goods across India without any hindrance, check posts across in the country has been abolished. The GST system provides a provision of e-way Bill, a document to be carried by the person who causes movement of goods in charge of conveyance, generated electronically from the common portal. The e-way bill under GST regime became applicable from April 1, 2018 for the movement of goods from one state to … Read more

Apportionment of Credit & Blocked Credit under GST

Apportionment of Credit & Blocked Credit under GST

GST was made applicable from July 1, 2017 to all the persons making the taxable supply of goods and services wherein the aggregate turnover in financial year exceeds the threshold limit of 40 lakhs rupees (10 lakhs in other states).

Sec 17 of CGST Act, 2017 tells us about the apportionment of credit & blocked credit under GST. A registered person shall be eligible for apportionment of credits of goods & services in the following manner:

  1. Input shall be restricted to the use by business partly for business and partly for others.
  2. Input shall be restricted for the taxable &
Read more
Advance Ruling under GST

Advance Ruling under GST

A letter ruling is a written statement issued to a taxpayer by tax authorities that interprets and applies the tax law to a specific set of facts and an advance ruling is the written statement for interpretation of tax laws. It is issued to applicants when the tax payer is in doubt with regards to provisions of laws.

As per section 95 of CGST / SGST Law and section 12 of UTGST law, ‘advance ruling’ means a decision provided by the authority or the appellate authority to an applicant on matters or on questions specified in section 97(2) or 100(1) … Read more

The Basics of Crowdfunding

The Basics of Crowdfunding

A small business can raise capital in a number of different ways, including by selling its securities. Under the federal securities laws, every offer and sale of securities, even if to just one person, must either be registered with the Securities and Exchange Commission (“SEC”) or conducted under an exemption from registration. One of the exempt offerings wherein SEC permit companies to offer and sell securities is through crowdfunding.

Crowdfunding is an evolving method of raising capital that has been used to raise funds through internet for a variety of projects.  Title III of the JOBS Act created a federal … Read more

RBI reporting for Foreign Direct Investment

RBI reporting for Foreign Direct Investment

Foreign Direct Investment (FDI) means investment through capital instruments (equity shares, debentures, preference shares and share warrants) by a person resident outside India in an unlisted Indian company or in 10% or more of the post issue paid-up capital on a fully diluted basis of a listed Indian company.

FDI under various sectors is permitted either by an Automatic route or Government route. Under Automatic route, the non-resident or Indian company does not require any approval from Government of India. Whereas, under the Government route the approval from the Government is required prior to investment. Proposals are considered by the … Read more

Reverse charge mechanism

Reverse charge mechanism

Typically, taxes are collected by business owners on behalf of the customers, which is then paid to the government. Reverse charge is when the buyer pays the tax directly to the government. The responsibility of reverse charge can either rest completely on the buyer or in certain special cases, it can be partially / jointly borne both by the buyer and the seller.

Under Goods and Services Tax (GST) laws, a supplier of goods or services collects GST from the receivers and deposits it with the tax authorities. Reverse charge is a mechanism where the recipient of the goods or … Read more