Delivery Note/Challan under GST

Someone told me, Only Invoices can be issued under GST, and Tax would be payable even if goods are sent for job work or repair. This is not true. The current system to issue goods on delivery note/challan will continue under GST also for some specific transactions.  But one has to ensure timing of issue of Delivery Note, Terms of Contract, Change of Ownership Stage etc.  It should not be used as an instrument to delay in booking of GST Liability as it may attract penal provisions. That's why provision to issue Invoice in advance has been placed in GST for the taxable transactions where delivery of goods is supposed to be made in many lots. Here is some basic features of Delivery Note/Challan under GST. Thanks. [GstSutras3] #SukhF_GST

Bill of Supply under GST

After Tax Invoice next important document is Bill of Supply. It is like "Retail Invoice" that we use in current VAT Regime. As under GST Flow of Input Tax Credit would be seamless and hard provisions will force majority of organisations to get registered to avail benefits. (For some it would be matter of Survival). GST Provisions will be as hard for a non registered/Exempted dealer, as in case of Registered. Just Refer Sec 129(1)(a) & (b) - Penalty of 2% to 5% upto Rs. 25K even if Goods are Exempted. (50% to 100% of Tax in other cases). So Compliance would be important for all, Koi Farak Nahi Padega, Paan Supply ki Dukan ho ya PAN India Level par kaam karne wali koi MultiNational. Here is some basic features of "Bill of Supply". Thanks. [GstSutras2]

TAX INVOICE under GST

Tax Invoice is going to be one of very important documents in GST. Must build a full proof system to keep it error free. Even concept of Revision of Tax Invoice along with issue of Debit and Credit Note exist under provision of GST. But to avoid any unnecessary explanations/justifications, it would be better to take care at first place itself. Here is some basic features about Tax Invoice. Thanks. [GstSutras1]

10 Lessons From the Life of Lord Hanuman for Accountants

On this auspicious day of Hanuman Jayanti, would like to share some lessons from the life of Lord Hanuman with my accounting family.

1. Thanklessness to Thankfulness: So many times, I heard saying Accountants, this is thankless job. No matter how hard we work, or how good we perform, we are never appreciated.  Here, we can learn from Hanuman Ji, Do your best, not for appreciation, but own satisfaction. Some people forever live with childhood concept, if writing in rough notebook, do not care about impression of words, but if it is school note book, try to write neat and clean, that’s not right approach, always do your best. Unnecessarily do not compare yourself with others, See Positive things in life and show gratitude to Lord for all Thy Blessings. Let your actions speak louder than your words. There were many great warriors in the army of Sugreeva, but it was only Hanuman Ji, who earned infinite respect and rewards and transformed to bless all pure and noble souls as immortal almighty God.

2. Be Enthusiastic: Accountants are most trust worthy professionals in any organisation. They can be entrusted with any task. If you have time, never deny saying it is not my/our job, but purchase/sales/HR/Admin’s Job. Accept the challenge/responsibility and be open to learning. You must feel proud, you can do anything. Like in Ramayana, It was Hanuman Ji, who can be trusted to perform any task, no matter how hard it appeared to be.

3. Be Flexible: Be flexible in your approach and decisions. Never make any assumption, specially in accounts payable domain you can doubt anything, but before assuming anything, enquire the right person. Like Hanuman Ji, when entered in Lanka, did not assume that all creatures there would be evil. That’s the reason; he could get the support from Vibhishana. Also be analytical. Decision should be according to circumstances, e.g. dealing with Sursa and Lankini on the way to Lanka, Hanuman Ji dealt differently. The way you handled income tax assessment may not be applied in custom or labour laws. Assess each task differently and make strategy accordingly.

4. Finish what you start: Never be disheartened, if circumstances are not in your favour. When Lakshmana was badly wounded and was almost killed by Indrajit Meghnath. Hanuman Ji took the responsibility to get the Sanjeevani herb from the mount Dunagiri in the Himalayas. He had deadline (We all accountants live with so many deadlines, but here failure in meeting the deadline meant to be death of Lakshmana). When he started his journey, Ravan created so many obstacles, first Kalanemi appeared as saga to deceive hanuman ji, then identical herbs on the mountain made Hanuman Ji to carry the Mountain, on the way, on account of misunderstanding hit by Bharata, But finally he succeed to meet the deadline, and saved the life of Lakshmana. Similarly, we accountant are bound to meet so many deadlines in our daily life, internal reports to dates to deposit tax and filling various returns. There would be many obstacles, unplanned projects, unplanned leaves by someone in team, so always be ready to face such issues. Take each project/task as seriously, as it is a matter of life and death, and you will never fail.

5. Be Loyal but not Blind Devotee: Once our team leader in one of orgainsations, I worked told me, “Sukhvinder, I want a team, who are full loyal to me. If I ask them to jump from Top Floor of the building, they accept and execute my order silently, without any question.” I replied, Same with me, But prefer before jump, atleast once they ask me, Are you Sure? The companies, which run with the principle “Boss is always right”, can never survive in long run. Loyalty of Hanuman Ji can never be challenged, but at many instances, He advised and opposed the Lord Rama in his decisions. So, always respect your boss and all seniors in the company, but if feel something is wrong or can be executed in better way, be open to share your view. Do not expect to be worked upon always, but sometimes it may be. And at the same time, listen to your subordinates, discuss all important matters. Do not disclose everything, but wherever and whenever possible be transparent.  

6. Be Fearless: When after Ashok Vatika, Incident, Ravan met Hanuman Ji in his Mansion, everyone was terrified as Ravan was furious, But Hanuam Ji was calm and presented himself as ambassador/diplomat of Rama. Similarly, An Accountant has to deal with so many professionals in his career, some very arrogant and some humble. From a bank/tax clerk to bank manager/commissioner. Vendors/Customers, Auditors, Inspectors, Advocates and so on. Always be calm and face the situation and people with patience.

7. Enjoy your work: No matter how tough and challenging task was assigned to Hanuman Ji. He always enjoyed the work. He never complained. Whether to go for the search of Maa Sita or to build the bridge on the sea. Similarly, Accountants are assigned many unwanted projects like transition from one accounting software to another, testing automation projects, integrating inventory/HRMS/Taxation softwares with main accounting softwares. Sometimes, it might be very boring tasks, but an accountant must learn, how to enjoy and complete these projects successfully.

8. Be Humble: Never be arrogant or show off your status. In most of the organisation, specially owner based organisations, accountants get special treatment. He or she is always called to discuss all important matters and participate in all strategic decisions. When Hanuman Ji returned from Lanka, He had many accomplishments to explain Rama, but he simply informed about Maa Sita, when asked about journey, He told Rama about How he overcame all obstacles, Killing of Ravan’s Son and Burning the Lanka, but adding all credit to Rama’s Grace.

9. Take Decisions: In Today’s life, everyone is busy, if a project is assigned, No problem in taking decisions unless a major issue is encountered. If we look at the life of Hanuman Ji, Rama assigned him task, but it was hanuman Ji who set the strategy, He did not asked for everything like how to deal with Sursa or Lankini, To kill Ravan’s Son, Destroying Vatika and Burning Lanka. He was sent to search the Maa Sita like a detective but when met Ravan, took the decision to appear as diplomat to give Ravan a chance to understand and accept the greatness of Lord Rama. In Today’s life with enhancement of technology and availability of Mobile and Internet, Correspondence is much faster and convenient, but it should not be an obstacle in the path of growth.

10. Work is worship: Hanuman Ji accomplished what was impossible to achieve for any ordinary soul. But he never gets into formal rituals. Just remembering Rama and Bowing before Him in Mind and Heart was enough. Nowhere is mentioned that he took bath in some holy river, read some scriptures or using any Mantra or Tantra. His commitment to his work was enough. This is the final lesson that I can share from the life of Hanuman Ji.

When Hanuma Ji was flying towards Lanka in the search of Maa Sita, On the way, Mainak Mountain appeared and requested Hanuman Ji to take rest for a while, as Journey was Long. But Hanuman Ji with humbleness replied:

“राम काज किन्हे बिना मोहि कहा विश्राम”

So when are you performing your duty, forget anything else. Just concentrate on the task in hand. And do not stop unless finished the Job.

Love you work, be committed, be loyal, be simple, be flexible, be fearless and you can achieve anything.

And with these words, I finish. And at the end I’ll suggest all to read the Book “Sada Safal Hanuman” (also available in English with title, Hanuman Who Never Failed) by Dr. Vijay Agarwal. Keep Learning. Keep Growing. Thanks.

PRESS RELEASE : Budget 2017 takes Steps to discourage Cash transactions & curb Black Money

Budget 2017 takes steps to discourage Cash transactions & curb Black Money. Many legislative steps have been taken by Finance Act,2017 to curb black money by discouraging cash transaction & by promoting digital economy. Important steps include placing restriction on cash transaction by introduction of new sections 269ST & 271DA in the Income-tax Act,1961. AND Any contravention of Section 269ST & 271DA shall attract penalty of a sum equal to the amount of such receipt. Such restriction is not applicable to any receipt by Government, banking company, post office savings bank or co-operative bank. Restriction on cash transaction shall not apply to withdrawal of cash from a bank/co-operative bank or a post office savings bank. - Income Tax (Press Release)

Government of India

Ministry of Finance

Department of Revenue

Central Board of Direct Taxes

New Delhi, 5th April, 2017.

 PRESS RELEASE

 Budget 2017 takes Steps to discourage Cash transactions & curb Black Money

 Various legislative steps have been taken by the Finance Act, 2017 to curb black money by discouraging cash transaction and by promoting digital economy.

These prominently include placing restriction on cash transaction by introduction of new sections 269ST & 271DA to the Income-tax Act. It has been provided that no person (other than those specified therein) shall receive an amount of two lakh rupees or more,

(a)in aggregate from a person in a day;

(b)in respect of a single transaction; or

(c)in respect of transactions relating to one event or occasion from a person,

otherwise than by an account payee cheque or account payee bank draft or use of electronic clearing system through a bank account.

Any contravention to the said provision shall attract penalty of a sum equal to the amount of such receipt. However, the said restriction is not applicable to any receipt by Government, banking company, post office savings bank or co-operative bank. It has also been decided that the restriction on cash transaction shall not apply to withdrawal of cash from a bank, cooperative bank or a post office savings bank. Necessary notification in this regard is being issued.

It has also been provided that any capital expenditure in cash exceeding rupees ten thousand shall not be eligible for claiming depreciation allowance or investment-linked deduction. Similarly, the limit on revenue expenditure in cash has been reduced from Rs.20,000 to Rs.10,000.

In order to promote digital payments in case of small unorganized businesses, the rate of presumptive taxation has been reduced from 8% to 6% for the amount of turnover realised through cheque/digital mode.

Restriction on receipt of cash donation up to Rs. 2000 has been provided on political parties for availing exemption from Income-tax. Further, it has also mandated that any donation in cash exceeding Rs.2000 to a charitable institution shall not be allowed as a deduction under the Income-tax Act.

(Meenakshi J. Goswami)

Commissioner of Income Tax

(Media & Technical Policy)

Official Spokesperson, CBDT.

Happy Ram Navami !

सभी भाई बहनो को राम नवमी के पावन अवसर पर हार्दिक शुभकामनायें । लोग कहते हैं कि नारायण ने असुरों (विशेषकर रावण ) का अंत करने के लिए नर के रूप में अवतार लिया । पर वास्तव मे ये वजह नहीं थी । असुरों को तो वो अपनी इच्छा शक्ति से भी ख़तम कर सकते थे । उनके मानव रूप में अवतरण का मूल उद्देश्य था, मनुष्यों को जीवन जीने की सही राह से परीचित कराना । आज हम Management मे जिस "Leadership by Example" की बात करते हैं, उसका सजीव उदाहरण तो श्री राम ने सदियों पहले दिया था, पर क्योंकि विकारों में फँसे हम मनुष्य उस जीवन शैली को अपनाने में स्वम को असहज अनुभव करते हैं, इसलिए श्री राम को एक चमत्कारी भगवान बना कर मंदिरों में बिठा दिया । श्री राम के अवतार का ये उद्देश्य तो कतई नहीं था । जो मनुष्य अपने जीवन को उच्च स्तर पर ले जाना चाहते हैं, उनके लिए श्री राम के जीवन से कुछ शिक्षाए :

१. वचनों का पालन : आज हर साल 1st जनवरी को करोड़ो लोग कुछ न कुछ resolution लेते हैं, पर 7 से 10 दिनों के भीतर ही अपनी पुरानी आदतों या Routine पर वापिस लौट आते हैं । इसलिए कि उन्हें स्वम को दिए वचनों की गंभीरता का ज्ञान ही नहीं है, तो दूसरों को दिए Promise की तो बात ही क्या है । लोगों को सलमान खान या अक्षय कुमार के फ़िल्मी सवांद तो याद रहते हैं पर भूल जाते हैं जो भगवान राम ने कहा था और करके दिखाया था :

"रघुकुल रीत सदा चली आयी, प्राण जायें पर वचन न जाई" । सो जो कहो सो करो । 

२. माता पिता का आदर : संसार में माता पिता से बढ़कर कुछ नहीं । आज थोड़ा सा किताबी ज्ञान हासिल करने के बाद मनुष्य खुद को अपने माता पिता से भी बढ़कर समझने लगता है, पर कुछ सम्बन्ध भौतिकता से ऊपर होते हैं । अपने माता पिता और गुरु जनो का सदैव आदर करो । 

३. दुःख सुख एक समान : आज मनुष्य थोड़ा सा दुःख आते ही घबरा जातें हैं । नौकरी चली गई, जिससे प्रेम करते थे उसने मुँह मोड़ लिया, व्यापार मे घाटा, रोग का होना । श्री राम ने यही सिखाया की कैसी भी परिस्तिथि हो जीवन मे, सहज रहो । सिंहासन हो या पत्थर । राजसी जीवन हो या बनवास, कुछ अंतर नहीं पड़ता । समय कभी एक समान नहीं रहता । सुख आने पर ज्यादा हर्षित मत होना और दुःख आने पर शोक मत करना । 

४. नेतृत्व करना : आज नेतृत्व (Leadership) पर बड़े बड़े Management Gurus की लिखी असंख्य पुस्तके उपलब्ध हैं, पर नेतृत्व कैसा होना चाहिये ये श्री राम ने सिखाया । राम ने सुग्रीव, अंगद, जामवंत, विभीषण, नल और नील सभी को अपनी क्षमता विकसित करने का और दिखाने का बराबर अवसर दिया अन्यथा तो उन सब कार्यों को अकेले हनुमान जी ही सरलता से सम्पन कर सकते थे । आज Task Delegation की सबसे बड़ी समस्या यही है, कि Team पर भरोसा न होना । इसके अलावा श्री राम ने आगे बढ़ कर युद्ध क्षेत्र में स्वम कमान संभाली, आज जहाँ बड़ी बड़ी Companies मे जब कुछ अच्छा हो तो Award और Reward लेने तो स्वम आगे बढ़ जाते हैं, पर Target पूरा न हो पाए या कुछ गड़बड़ हो जाये तो Team मे से ही किसी को बलि का बकरा बना दिया जाता है । सच्चा Leader वही होता है जो Lead करे और सफ़लता या असफ़लता की पूरी responsibility खुद ले । 

५. अनुशासन : श्री राम को मर्यादा पुरषोत्तम भी कहा जाता है । जो कि जीवन मे मर्यादा का महत्व दर्शाता है । आज समाज जिस "Work - Life Balance" समस्या से जूझ रहा है, उसका समाधान भी श्री राम ने दिया । जीवन के सभी क्षेत्रो को समुचित समय देना । समय की पाबंदी और समय का सदुपयोग, जिसने जीवन मे अपना लिया फिर कोई भी लक्ष्य उसके लिए मुश्किल नहीं रहता, वो बड़ी से बड़ी उपलब्धि हासिल कर सकता है । 

६. Forgive, Forget and Move On : आज यदि किसी मित्र या रिश्तेदार ने कोई कड़वी बात कह दी, तो लोग दिल से लगा लेते हैं । बरसो तक बोल चल बंद । एक नफरत का रिश्ता रह जाता है बस । पर जब रावण का अंत हुआ तो श्री राम ने अपने मन में कोई कटुता नहीं रखी पर एक विख्यात विद्धवान कह कर सम्मान किया और लक्ष्मण को उनसे ज्ञान अर्जित करने को कहा । फिर वो chapter श्री राम ने हमेशा के लिए close कर दिया । 

आज समाज जिस पाखंड और भय के दौर से गुजर रहा है, वहाँ श्री राम की शिक्षाओं का महत्व और भी बढ़ जाता है । चाहे माता पिता और गुरुओं के लिए आदर भाव हो, एक पत्नी व्रत हो, बिना भय के हर चुनौती का सामना करना हो, समाज की भावनाओं को अपनी निजी इच्छाओं से अधिक महत्व देना हो । यही कारण है आज हर माता पिता अपने पुत्र को राम की तरह, हर गुरु अपने शिष्य को, हर समाज अपने शासक को और हर युवती अपने होने वाले पति को राम की तरह हो, यही कामना रखती है । 

RBI Governor Urjit Patel Gets Big Appraisal, Basic Salary Hiked To Rs 2.5 Lakh Per Month

It does not make difference about Appraisal Process. It is some XYZ Company or Reserve Bank of India. Sometimes your growth does not depend on your Talent but your relationship with Your Supervisor or Top Leadership. It is not your contribution or the role you play to take company to next level, but How loyal you have been to your Boss or Top Management.  It is all relationship that matters, otherwise in such a small tenure of 7 months what Mr. Urjit Patel has earned, An Expert Like Mr. Raguram Rajan after serving the Economy and RBI for three years could not earn. Systems like Bell Curve are misused.  I am not against monetary promotion of Mr. Patel. If he would be in some private bank, might be earning more. But what message is reflecting, that indicates something is wrong. Loyalty (or call it Flattery) is more important than Talent.

https://www.scoopwhoop.com/rbi-governor-urjit-patel-gets-big-appraisal-basic-salary-hiked-to-rs-25-lakh-per-month/

Generation of Many Reports - Creation of Dashboard !

Why I am sharing this Article ? Nothing to do with Taxation or Accounting. Ok. But It gives fantastic ideas to create a powerful dynamic informative insightful summarized and can be used by all "Dashboard". Many Reports in One Page/Sheet. Unfortunately many people do not like numbers. Strangely I have met some accountants who hate numbers. For me if someone who does not love numbers, should change his or her profession and do what he/she is passionate about instead of spending the life in the world of numbers. A different type of Matrix not for everyone. Thanks.

https://medium.com/@kennelliott/39-studies-about-human-perception-in-30-minutes-4728f9e31a73

Fitment in GST slabs: Announcement of details could go beyond May, says Hasmukh Adhia

So Delay in announcing Slab Rates under GST is intentional. They have declared general rates and shared few ideas like Zero Tax on Some Segments of Food Items, Education, Health, Transport & high tax on luxury items etc. But complete list would be treated as a budget item, to be declared on last moment. Govt afraid if announced in advance, the smart tax payer will have enough time to change category of items from high tax rate slab to low or nil tax rate slab. As in past some smart companies have been accused for the same practice. Changing category of goods/services. But It won't make any difference in processes, so keep working on your accounting or ERP customization. Thanks. 

http://indianexpress.com/article/business/business-others/fitment-in-gst-slabs-announcement-of-details-could-go-beyond-may-says-hasmukh-adhia-4595770/

Draft GST Rules

Eight GST Rules (Composition Rules, Valuation Rules, Transition Rules, ITC Rules, Revised Invoice Rules, Revised Payment Rules, Revised Refund Rules and Revised Registration Rules) have been uploaded under 'GST' Tab. Comments, if any, may be sent to gst-cbec@gov.in latest by 10-April-2017.

GST Rules

• Composition Rules
• Valuation Rules
• Transition Rules
• ITC Rules
• Revised Invoice Rules
• Revised Payment Rules
• Revised Refund Rules
• Revised Registration Rules
• Draft Return Rules
• Draft Return Formats
• GSTR 9B
• ITC Mismatch Report

Source : http://www.cbec.gov.in/htdocs-cbec/gst/draft-rules-format