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Director KYC requirement mandates e form DIR 3 KYC filing to prevent DIN deactivation and enable reactivation on compliance.
Section 156 obliges directors to intimate their DIN to companies; section 157 and associated rules require companies to file directors' DINs with the Registrar in prescribed form and time, subject to fines for noncompliance. The 2018 amendment inserted Rule 12A requiring individuals holding a DIN at financial year end to file e form DIR 3 KYC by the prescribed deadline, empowered authorities to deactivate DINs for nonfiling, and allowed reactivation only after filing DIR 3 KYC and payment of the prescribed fee. (AI Summary)
Date 19 Jul 2018
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Taxable jurisdiction: GST portals and CBIC tools identify an assessee's jurisdiction; incorrect assignments can be corrected through administrative IT cell.
Taxable jurisdiction under GST is determined by administrative allocation rules and searchable electronic tools: the GST portal highlights the designated jurisdiction, the CBIC lookup maps localities to Commissionerates/Divisions/Ranges, and helpdesks, a self help portal and Seva Kendra listings offer contact and complaint mechanisms. Taxpayers allocated incorrectly because of registration errors may apply to the State administrative/IT cell for correction. (AI Summary)
Author
Date 19 Jul 2018
Replies 1 Reply
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Unutilized Input Tax Credit: proportional refund mechanism for zero-rated export of services under LUT using ITC-based formula.
Exports of services classified as zero-rated supplies may be made under IGST payment or without tax under a Letter of Undertaking; where LUT is used, Rule 89(4) permits refund of unutilized input tax credit calculated as: Refund = Turnover of zero-rated supply of services x Net ITC / Adjusted Total Turnover. "Turnover of zero-rated supply" aggregates payments received for invoices and adjusts for advances, "Net ITC" covers ITC on inputs and input services in the relevant period, and "Adjusted Total Turnover" excludes exempt supplies (other than zero-rated) and supplies already subject to refund claims. Filing requires GST RFD-01A with Statement 3, supporting export documentation and adherence to prescribed timelines and portal procedures. (AI Summary)
Author
Date 18 Jul 2018
Replies 1 Reply
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Commencement of Companies Amendment Act provisions notified; staged commencement triggers specific compliance and filing obligations for companies.
Staged commencement of the Companies (Amendment) Act, 2017 provisions activates multiple compliance areas: definitions and prospectus disclosures; registration and satisfaction of charges; declarations of beneficial interest and a Register of Significant Beneficial Owners; annual return and AGM procedures; financial statement preparation and filing; auditor appointment duties; director identification, disqualification, resignation and governance committee obligations; loan and investment restrictions; special courts and appellate tribunal provisions; and rules on acceptance and repayment of public deposits. (AI Summary)
Author
Date 18 Jul 2018
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Maintenance of records obligations must serve assessment purposes; non compliance alone does not suspend commercial activity.
Rules mandating maintenance and disclosure of records under indirect tax law are confined to facilitating assessment and enforcement and cannot be construed to regulate commercial activities; non-compliance does not automatically amount to a breach enforceable to prohibit trade without enquiry, and demands for information lacking nexus to tax liability cannot be used to bar transactions. (AI Summary)
Date 18 Jul 2018
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Sea cargo manifest obligations require electronic arrival and departure declarations, registration, and carrier liability for noncompliance.
The Regulations require authorized carriers to register with the jurisdictional Commissioner and to deliver integrated arrival and departure manifests electronically where possible, using specified forms for general declarations, vessel stores, crew private property and cargo, with separate treatment for specified cargo types. Transshipment through designated routes requires manifesting, bonds or guarantees (except direct sea to sea), and sealing where land transit is used. Carriers must maintain records, provide track and trace, ensure safety and delivery, transmit delivery orders electronically, and face suspension, revocation procedures, penalties and statutory appeal rights for noncompliance. (AI Summary)
Date 18 Jul 2018
Replies 1 Reply
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Definition of supply clarified to limit schedule listings, affecting composite/mixed supply treatment and ITC reversals.
Proposed GST amendments seek to refine the definition of supply and clarify composite versus mixed supplies, limit Schedule II's role to classification between goods and services, and define immovable property to avoid works contract disputes. They propose expanding Schedule III exclusions, revising reverse charge to permit notified classes of recipients, and adjusting composition scheme eligibility and inter state treatment. Submissions press for narrowed blocked ITC, restoration of certain credits, no interest on ITC reversals for supplier non payment, smoother registration and returns procedures, consolidated debit/credit note rules, refund and appeal safeguards, and a centralised advance ruling mechanism. (AI Summary)
Author
Date 18 Jul 2018
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DIR-3 KYC: Mandatory director database update via new filing format under Rule 12A notification issued.
The notification prescribes DIR-3 KYC as a mandatory electronic filing to update the statutory directors database, introducing a specified E form format under Rule 12A. The measure requires directors to submit prescribed KYC particulars in the notified format to maintain accurate corporate registers and enable regulatory record keeping, creating a compliance obligation and a procedural mechanism for periodic database updates. (AI Summary)
Author
Date 17 Jul 2018
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Directors KYC mandatory: annual DIR-3 filing with prescribed documents, digital signature and professional certification required.
Directors must annually submit eForm DIR-3 with self-attested identity and address proofs, mobile and email OTP verification, digital signature by the director, and certification by a practising Company Secretary or Chartered Accountant; the obligation applies to all company directors and LLP designated partners, including disqualified directors who must update their DIN and file DIR-3 with an addendum. (AI Summary)
Author
Date 17 Jul 2018
Replies 1 Reply
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Manufacture versus job work: converting supplied coal into electricity treated as supply of goods, not job work.
The conversion of coal supplied by one registered person into electricity by another produces a distinct commodity and therefore constitutes manufacture and a supply of goods, not job work; processing will qualify as job work only if all statutory conditions for job work under the CGST framework are satisfied, which were not met in the transaction between the parties. (AI Summary)
Date 17 Jul 2018
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Job work classification under GST: processing another's goods may qualify as job work if statutory conditions are satisfied.
Appeals against advance rulings under the GST regime may be filed by the concerned officer, the jurisdictional officer or an aggrieved applicant to the Appellate Authority for Advance Rulings within thirty days (with a possible further thirty day extension for sufficient cause); appeals must follow prescribed forms and fees (individuals on GST ARA 02 with a fee, revenue on GST ARA 03 without fee). The Appellate Authority for each State/UT is the body constituted under the corresponding State/UT GST Act. The Maharashtra AAAR clarified that processing of another's goods can qualify as job work if statutory conditions are met, though the specific transaction considered did not qualify. (AI Summary)
Date 16 Jul 2018
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Scope of appeal under section 130E(b) limits Supreme Court review to substantial legal questions on duty rate or valuation.
An appeal under Section 130E(b) is limited to Tribunal orders concerning determination of rate of duty or value of goods. Admission requires a direct nexus to rate/valuation, a substantial question of law or conflicting decisions, and is precluded where the Tribunal's factual conclusion is a permissible view on the materials. Interference is confined to cases of gross procedural breach or denial of natural justice causing failure of justice; mere disagreement with possible findings of fact does not constitute a ground for Supreme Court intervention. (AI Summary)
Date 14 Jul 2018
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E-way bill implementation mandates electronic generation and carriage of prescribed documents for inter-state goods, with transporter obligations.
The substituted CGST Rules establish an E-way Bill regime requiring electronic generation and prescribed forms for movement of goods, setting out pre-movement information, documents to be carried, verification and inspection procedures, and a detention-upload facility. Where consignor or consignee fails to generate the e-way bill and the consignment exceeds the prescribed threshold, the transporter (excluding rail, air, vessel) must generate the e-way bill and may create a consolidated e-way bill; e-commerce operators or courier agencies may provide Part A information. The regime was rolled out in phases and State effective dates vary. (AI Summary)
Date 13 Jul 2018
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e-Way Bill Reporting enables users to generate, manage masters and administer sub-users to streamline bill creation and transport updates.
The e-Way Bill system provides reporting for outward/inward supplies, consolidated, cancelled and rejected bills, transporter assignments and date-wise summaries exportable to Excel, supports Masters for Products, Clients, Suppliers and Transporters with validation and HSN/GSTIN-driven data capture, allows bulk master and bulk e-Way Bill JSON uploads, and furnishes User Management to create, freeze, update sub-users and change passwords with OTP validation and role-based authorisations. (AI Summary)
Date 12 Jul 2018
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Presumption against labelling transactions bogus: reasoned evidence, cheque payments and counterparty confirmation undermine loose characterisations.
Allegations that transactions are "Bogus" require reasoned analysis of evidence; concurrent findings that purchases were supported by bills, paid by account payee cheques, confirmed by the counterparty and accounted as sales are factual determinations which, absent contrary material, undermine an assessing officer's presumptive characterisation and should prevent further routine escalation by revenue authorities. (AI Summary)
Date 11 Jul 2018
Replies 1 Reply
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Input tax credit on motor vehicles allowed only for specified uses; incidental travel GST may be claimable.
Input tax credit on GST paid in respect of motor vehicles is disallowed except where the vehicle is used for transportation of goods, further supply of the vehicle, transportation of passengers, or imparting driving training. Rent-a-cab input tax is similarly restricted, allowed only when used for further supply or under statutory obligation. The author treats "in respect of" as limited to vehicle purchase and permits credit for incidental expenses like insurance and repairs and for conventional travel; alternative expert views argue that related expenses are also excluded. (AI Summary)
Date 11 Jul 2018
Replies 3 Replies
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Verification of conveyances enables interception and RFID-based checks to confirm e-way bills and inspect goods in transit.
Rule 138B authorises interception of conveyances by officers empowered by the Commissioner to verify e-way bills and mandates installation and use of RFID readers where verification is required; targeted physical checks may follow on specific information of tax evasion. Rule 138C requires online recording of inspection summaries and final reports in Parts A and B of Form GST EWB-03 listing officer, vehicle, e-way bill, declared and actual goods details, discrepancies, detention status, tax and penalty particulars, and findings. Rule 138D permits transporters to report detention events on the common portal via Form GST EWB-04. (AI Summary)
Date 11 Jul 2018
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Inland ports recognition: ICDs treated as infrastructure under section 80-IA, preserving prior tax benefit eligibility for operators
The legal issue is whether ICDs qualify as inland ports and thus as an infrastructure facility under section 80-IA, enabling a ten-year deduction. The analysis rests on the statutory definition, the port-like nature of customs clearance activities at ICDs, valid notifications and administrative communications classifying ICDs as inland ports, and the principle that subsequent amendments do not retroactively nullify earlier notifications absent explicit transitional provisions. (AI Summary)
Date 10 Jul 2018
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Validity of e-way bill: Part B furnishing governs road movement and time-based validity tied to distance.
An e-way bill is not valid for road movement unless Part B of Form GST EWB-01 is furnished, except for limited intra-state short-distance movements. The validity period is counted in 24-hour days from the relevant date of generation and is scaled by distance, with separate distance bands for regular consignments and for over dimensional cargo. Extensions are generally disallowed except by notification; exceptional delays permit generation of a new e-way bill after Part B is updated. An e-way bill is valid across all States and Union territories, and consolidated bills follow underlying individual validities. (AI Summary)
Date 09 Jul 2018
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E-way bill portal centralises electronic waybill generation and management to streamline GST compliance and transport reporting.
The e-way bill portal centralises electronic generation and management of waybills under GST, offering user features to create customer/supplier/product masters, generate single or consolidated e-way bills via multiple modes, enroll transporters, enter vehicle numbers by supplier/recipient/transporter, create sub-users and roles, receive email/SMS alerts, monitor generated bills, and print QR codes. The portal also provides state-selectable legal materials, forms (EWB/ENR/INV series), JSON formats and preparation tools, API and bulk generation systems, FAQs, CBT modules, and helpdesk/contact facilities for issue tracking. (AI Summary)
Date 07 Jul 2018