COMPLIANCE ON FOREIGN PAYMENTS/ REMITTANCES
Foreign remittance can cost you more from 01.07.2023
ARE YOU NON RESIDENT OF INDIA? HAVE YOU FILED FORM 10F?
Are you marketing digitally ? Are you compliant with regulations?
Digital marketing has become an integral part of all businesses in recent years. Regulatory compliances are crucial since not only does it have an impact on the profit but would also attract additional levies in the form of interest and penalty. Let’s have a look at the regulatory compliances that would be applicable.
APPLICABILITY OF NUMBER OF DIGITS OF HSN CODE BASED ON TURNOVER
Harmonized System of Nomenclature, or HSN, was conceived and developed by the World Customs Organization (WCO) with the vision of classifying goods from all over the World in a systematic and logical manner. It is a six digit uniform code that classifies more than 5,000 products and is accepted worldwide
Overseas Remittance under LRS What you need to know
Under the Liberalised Remittance Scheme (LRS), all resident individuals, including minors, are allowed to freely remit up to USD 250,000 per financial year. LRS is not available to corporates, partnership firms, HUF, Trusts etc.
IS THE ISSUE OF TAXABILITY OF SOFTWARE IN INDIA SETTLED?
The Supreme Court has recently held that purchase of software is not a royalty and will not be liable to tax in India. It has laid rest to a 20 year old controversy with different courts giving different rulings on this issue. However, not all software are covered by this ruling.
Place of Effective Management (PoEM)
The Finance Act 2015 amended the requirement of when a foreign entity would be treated as a resident in India. The intention of this is to bring under the residence bracket shell companies and such other companies created for retaining income outside India although real control and management of affairs are located in India
Have you used your LRS Limits for the year
Under the Liberalised Remittance Scheme, all resident individuals, including minors, are allowed to freely remit up to USD 2,50,000 per financial year (April – March) for any permissible current or capital account transaction or a combination of both. Further, resident individuals can avail of foreign exchange facility for the purposes mentioned within the limit of […]
Equalisation levy an overview with due date
Applicability: Assessee liable to pay the levy