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TaxTMI 
TaxTMI 
TaxTMI 
Securities Transaction Tax (STT) – Draft Rules, 2004
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....in place immediately in accordance with the enclosed draft Rules. Yours faithfully, V S SUNDARESAN SECURTIES TRANSACTION TAX (DRAFT) RULES 1. Short title and commencement - (1) These rules may be called the Securities Transaction Tax (draft) Rules (2) They shall come into force on the day of , 2004. 2. Definitions - (1) In these rules, unless the context otherwise requires,- (a) "Act" means the Finance (No.2) Act, 2004 ( 29 of 2004); (b) "authorised bank" means any bank as may be appointed by the Reserve Bank of India as its agent under the provisions of sub-section (1) of section 45 of the Reserve Bank of India Act, 1934 (2 of 1934); (c) "Form" means a Form set out in the Appendix hereto. (2) Words and expressions used but not defined in these Rules and defined in the Act, or the Securities Contracts (Regulation) Act, 1956, or the Income -tax Act, 1961, shall have the meanings respectively assigned to them in those Acts. 3. Value of taxable securities transaction- For the purposes of clause (c) of section 99 of the Act, the value of a taxable securities transaction, being a purchase or sale of an equity share in a company or a unit of an equity oriented fund, entered....
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....change where the quantity of an equity share or unit purchased by a person on a trading day is set off against the quantity of that equity share or unit sold by him on that day and actual delivery is required to be taken or given by him as the case may be, only in respect of the net quantity purchased or sold as has not been so set off; (ii) "trade-for-trade settlement mode" means a mode of settlement of transactions in a recognised stock exchange where each trade is compulsorily required to be settled by actual delivery; (iii) "auction settlement mode" means a mode of settlement, in a stock exchange, of transactions carried out in the auction session, being a trading session in which the stock exchange makes purchases of equity shares or units through an auction process initiated by it, so as to settle transactions where there has been a failure to deliver such equity shares or units which were required to be delivered. 4. Rounding off value of taxable securities transaction, securities transaction tax, etc. - The value of taxable securities transaction and the amount of securities transaction tax, interest and penalty payable, and the amount of refund due, under the provision....
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....ub-rule (1) shall be furnished by the trustee of the Fund, or such other person managing the affairs of the Mutual Fund as may be duly authorised by the trustee in this behalf. (4) The return of taxable securities transaction entered into during a financial year shall be furnished on or before the 30th June immediately following that financial year. 8. Return by whom to be signed - The return under sub-section (1) of section 101 of the Act shall be signed and verified - (a) in the case of a recognised stock exchange - (i) being a company, by the managing director or a director thereof; (ii) in any other case, b y the principal officer thereof. (b) in the case of a Mutual Fund, by the trustee or such other person managing the affairs of the Mutual Fund as may be duly authorised by the trustee in this behalf. 9. Time limit to be specified in the notice calling for return of taxable securities transaction - Where an assessee fails to furnish the return under sub-section (1) of section 101 of the Act within the time specified in sub-rule (4) of rule 7, the Assessing Officer may issue a notice to such person requiring him to furnish, within thirty days from the date of service ....
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.... RS.) Page 7 (Schedule) 8. TOTAL SECURTIES TRANSACTION TAX COLLECTED (C[5]) 9. TOTAL SECURTIES TRANSACTION TAX PAID (C[6]) 10. SECURITIES TRANSACTION TAX PAYABLE/ REFUNDABLE (7-9) 11. INTEREST PAYABLE UNDER SECTION 104 (C[7]) 12. INTEREST PAID (C[8]) VERIFICATION I, (full name in block letters), son/ daughter of solemnly declare that to the best of my knowledge and belief the information given in this return and schedules accompanying it is correct and complete and that the total value of taxable securities transactions and other particulars shown therein are truly stated and are in accordance with provisions of Chapter VII of the Finance (No.2) Act, 2004 and Securities Transaction Tax Rules, 2004. I further declare that I am making this return in my capacity as return and verify it. Date and I am also competent to make this Place 3. 2. S.NO 1. (Name and Signature ) CODE 01 02 10 *CODES IN RESPECT OF TAXABLE SECURITIES TRANSACTION NATURE OF TRANSACTION Purchase of an equity share in a company or a unit of an equity oriented fund, where - (a) the transaction of such purchase is entered into in a recognised stock exchange, and (b) the contrac....
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....xable securities transactions and other particulars shown therein are truly stated and are in accordance with provisions of Chapter VII of the Finance (No.2) Act, 2004 and Securities Transaction Tax Rules, 2004. I further declare that I am making this return in my capacity as return and verify it. and I am also competent to make this Date Place (Name and Signature ) Page 10 Το FORM NO. 3 [See rule 10 of Securities Transaction Rules, 2004] Notice of demand Status.. PAN..... 1. This is to give you notice that for the financial year the reverse, has been determined to be payable by you. 2. ....... a sum of Rs. ........ details of which are given on The amount should be paid to the Manager, authorized bank/ State Bank of India/ Reserve Bank of India at within 30 days of the service of this notice. The previous approval of the Additional/ Joint Commissioner of Income-tax has been obtained for allowing a period of less than 30 days for the payment of the above sum. A challan is enclosed for the purpose of payment. 3. If you I do not pay the amount within the period specified above, you shall be liable to pay simple interest at one per cent for every mo....
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.... Appeal to the Commissioner of Income-tax (Appeals) Designation of the Commissioner (Appeals) *No. ..of Name and address of the appellant Permanent Account Number Financial year in connection with which the appeal is preferred Assessing Officer passing the order appealed against Section and sub-section of the Chapter VII of the Finance (No.2) Act, 2004, under which the Assessing Officer passed the order appealed against and the date of such order Where the appeal relates to any assessment or penalty, the date of service of the relevant notice of demand In any other case, the date of service of the intimation of the order appealed against Section and sub-section of the Chapter VII of the Finance (No.2) Act, 2004, under which the appeal is preferred Where a return has been filed by the appellant for the financial year in connection with which the appeal is preferred, whether tax due on the value of taxable securities transaction returned has been paid in full (if the answer is in the affirmative, give details of date of payment and amount paid) Relief claimed in appeal **Where an appeal in relation to any other financial year is pending in the case of the appel....
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.... by the assessee for the financial year referred to in item 3 Total value of taxable securities transactions as computed by the Assessing Officer for the financial year referred to in item 3 Section of the Chapter VII of Finance (No.2) Act, 2004 under which the Assessing Officer passed the order 6. 7. The Assessing Officer passing the original order 8. 9. 10. 11. 12. Date of communication of the order appealed against Address to which notices may be sent to the appellant Address to which notices may be sent to the respondent Relief claimed in appeal 1. I, 2. GROUNDS OF APPEAL 3. 4. etc. Signed (Authorised representative, if any) Verification Signed (Appellant) the appellant, do hereby declare that what is stated above is true to the best of my information and belief. Notes: Signed 1. 2. 3. The memorandum of appeal must be in triplicate and should be accompanied by two copies (at least one of which should be a certified copy) of the order appealed against, two copies of the relevant order of the Assessing Officer, two copies of the grounds of appeal before the first appellate authority, two copies of the statement of facts, if any, filed before....
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.... (In Rs.) 10 11 12 13 14 (In Rs.) 15 NOTES: 1. 2. This Form must be used by a Mutual Fund only. Details required in Schedules A, B & C may be filed on computer media specified in rule 7. 3. Details required in Schedule B be given separately for each equity oriented fund set up by the Mutual Fund and sub-total for each fund be also given. 4. Details required in Schedule C be given separately for each month for each equity oriented fund set up by the Mutual Fund and sub-total for each month be also given. Page 15 SCHEDULE - A Sl.No. Stock Broker Code Trading Client Client Name PAN of Client 1 2 Code 3 4 5 MAPIN of Client Code 01 6 7 Value of taxable securities transactions (In Rs.) Code 02 8 Securities transaction tax collectible (In Rs.) Code 03 9 Code 01 10 Code 02 11 Code 03 12 TOTAL SCHEDULE - B Sl.No. Clearing Member Code Stock Broker Trading Client Cod Client Name Code PAN Client of MAPIN Client of Value of taxable securities transactions (In Rs.) Securities transaction tax collectible (In Rs.) 1 2 3 4 5 6 7 Code 04 8 Code 05 9 Code 04 10 Code 05 11 TOTAL Mont h Taxable securities SCHEDULE - C Va....