RBI to withdraw bank notes issued prior to 2005 wef 01.04.2014

The Reserve Bank of India has today advised that after March 31, 2014, it will completely withdraw from circulation all banknotes issued prior to 2005. From April 1, 2014, the public will be required to approach banks for exchanging these notes. Banks will provide exchange facility for these notes until further communication. The Reserve Bank further stated that public can easily identify the notes to be withdrawn as the notes issued before 2005 do not have on them the year of printing on the reverse side.

(Please see illustration below)

IllustrationFigure 1: Banknote on which the year of printing is not indicated and will be
WITHDRAWN after March 31, 2014

Figure 2: Banknote on which the year of printing is indicated and will therefore not be withdrawn
The Reserve Bank has also clarified that the notes issued before 2005 will continue to be legal tender. This would mean that banks are required to exchange the notes for their customers as well as for non-customers. From July 01, 2014, however,  to exchange more than 10 pieces of `500 and `1000 notes, non-customers will have to furnish proof of identity and residence to the bank branch in which she/he wants to exchange the notes.

The Reserve Bank has appealed to the public not to panic. They are requested to actively co-operate in the withdrawal process.

Implementation of Supreme Court Decision-case of Fiat India Ltdby CBEC vide Circular No. 979/03/2014-CX dated 15-01-2014

Contents:

CBEC issued Circular No. 979/03/2014-CX dated 15-01-2014 clarifying implementation of Supreme Court Decision in the case of Fiat India Limited.

Through this Circular CBEC Clarifies as under on Implementation of FIAT Ruling:

Facts of each case to be considered

• Fiat Ruling was rendered in a unique set of facts where the cars were sold at prices substantially lower than manufacturing cost for a continuous period of five years. Further, lower prices were adopted with the objective of market penetration.The Supreme Court has cited two instances where a manufacturer may sell goods at lower prices and yet the declared value can be ac­cepted
  

(i)    company switching over business and

(ii)    where goods could not be sold within reasonable time]

S. 272B Penalty is Rs. 10000 per deductor and not per wrong PAN

The assessing officer had imposed penalty of Rs. 10,000/- in each case where PAN Number was not provided by the deductee. There were in all 30706 cases in which the PAN Number was missing or was incorrectly stated. The assessing officer, accordingly, imposed penalty of Rs. 10,000/- in each case. Thus, penalty of Rs.30,70,60,000/- was imposed. Board in the letter dated 5.8.2008 vide No.275/24/2007-IT(B) has clarified that penalty of Rs. 10,000/- under Section 272B is linked to the person, i.e., the deductor who is responsible to deduct TDS, and not to the number of defaults regarding the PAN quoted in the TDS return. Therefore, regardless of the number of defaults in each return, maximum penalty of Rs. 10,000/- can be imposed on the deductor. Penalty cannot be imposed by calculating the number of defective entries in each return and by multiplying them with Rs. 10,000/-. This also appears to be a legislative intent, as in many cases, the TDS amount may be small or insignificant fraction of Rs. 10,000/-.

RBI extends Time to close exim deals extended

Liberalising the export-import payment norms, the Reserve Bank today extended the time limit to complete such transactions to nine months from six months earlier. "The entire merchanting or intermediary trade transactions should be completed within an overall period of nine months and there should not be any outlay of foreign exchange beyond four months," RBI said in a notification. Among others, the RBI said such transactions should be routed through the same bank and the banks should verify the documents for genuineness of trade. 

How To Close Company in India

A company can be closed by adopting the following ways:-

Many times companies are not running well and may be closed down or liquidated. For this necessary formalities of the ROC must be complied.

Company can be closed as follows:

(A) Strike off a company under Section 560 :

Section 560, of the Companies Act, 1956, deals with strike off provisions of a defunct company. Any defunct company desirous to strike off its name from the register of Registrar of company can apply in Form 61 for strike off its name from the register maintained by ROC. Similarly, ROC has also power to strike off any defunct company after satisfying himself of the need to strike off a defunct company and has reasonable cause. But before passing any order in this regard, an opportunity of being heard must be provided to the defunct company by following the due procedure u/s 560.

CA First Rank Holder Marksheet

Cloud Computing: Indian Scenario

Today is the age of information technology. The facets of work and personal life are moving towards the concept of availability of everything online. Understanding this trend, the big and giant web based companies like Google, Amazon, Salesforce.com came with a model named “Cloud Computing “ the sharing of web infrastructure to deal with the internet data storage, scalability and computation. This is the one of the most emerging concept in the I.T Field.

The phrase cloud computing means the “internet based computing”. It is expression used to describe a variety of different computing concepts that involve a large number of computers that are connected through a real time communication network. Cloud computing is a type of computing that relies on sharing computing resources.

A cloud is a powerful combination of cloud computing, networking, storage, management solutions, and business applications that facilitate a new generation of IT and consumer services. These services are available on demand and are delivered economically without compromising security or functionality.

Main advantage of cloud computing is that you don’t need to store the data on your computer. All the data is saved in one server through which all the devices are connected. So that, you can access your data from anywhere. In the server all the applications are installed so that you don’t need to install the software in all other computer.

Era of Private Equity Funding

“Opportunity with the attendant risk brings promoters and investors together for creating value. In a growth hungry economy with a scarce funding environment, PE offers yet another resource for fueling the economic engine”

- Kalpana Jain, Deloitte Touché Tohmatsu India Private Limited

About Private Equity Funding

There is no universally agreed definition of private equity. Different academic studies and private equity associations in various economies have defined private equity differently depending on the activities they engage in those economies.

Private equity funding means to raise the share capital for any private company or public company through investors who want to invest their money in business that has potential of growth and where investors gets handsome return on Investment. Private Equity is a source of investment capital from high net worth individuals and institutions for the purpose of investing and acquiring equity ownership in companies.

An important company metric for these investors is earnings before interest, taxes, depreciation and amortization (EBITDA). When a private-equity firm acquires a company, they work together with management to significantly increase EBITDA during its investment horizon (typically between four and seven years). A good portfolio company can typically increase its EBITDA both organically (internal growth) and by acquisitions.

Best Excel Sheet for ratio analysis

 1344596845277840_49499_ratio_analysis (1).xlsx

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hello Frndz....
Started Blogging ....
Hopefully useful to CA and others