How to save capital gain tax on sale of immovable property in India

 In India, if you sell immovable property (like land or a building) and make a profit, you may be subject to capital gains tax. However, there are several ways to save or reduce this tax:

1. Understand the Types of Capital Gains:

• Short-Term Capital Gains (STCG): If you sell the property within 24 months of purchase, the gains are treated as short-term and taxed as per your income tax slab.
• Long-Term Capital Gains (LTCG): If you hold the property for more than 24 months, the gains are treated as long-term and taxed at a flat rate of 20% with the benefit of indexation.

2. Indexation Benefit:

• For long-term capital gains, the cost of acquisition and improvement of the property can be adjusted for inflation using the Cost Inflation Index (CII). This reduces your taxable gains.

3. Reinvestment in Residential Property:

• Under Section 54, if you reinvest the gains from the sale of a residential property into another residential property within a specified period (1 year before or 2 years after the sale), you can claim exemption from LTCG tax on the amount reinvested.

4. Reinvestment in Specified Bonds:

• Under Section 54EC, you can invest up to ₹50 lakhs in bonds issued by the National Highway Authority of India (NHAI) or Rural Electrification Corporation (REC) within 6 months of the sale. This investment has a lock-in period of 5 years.

5. Construction of a New House:

• If you sell one house and buy or construct a new residential house, you can claim exemption under Section 54F, provided you do not own more than one residential house (other than the new one) at the time of sale. The entire amount of the capital gain can be exempted if the entire amount is invested in the new house.

6. Exemptions for Compulsory Acquisition:

• Under Section 10(37), if your property was acquired under a compulsory acquisition by the government and you reinvest the amount received in a new property, you may be exempt from capital gains tax.

7. Gifts and Inheritance:

• If you inherit property (as opposed to buying it), the capital gains will be calculated based on the cost to the previous owner, which can sometimes be substantially lower than the market value.

8. Invest in Agricultural Land:

• Agricultural land is not subject to capital gain tax if sold, as it is considered a long-term asset.

9. Co-own the Property:

• If you co-own the property, each co-owner can claim an exemption on their respective share of the gain.

10. Keep Proper Documentation:

• Maintain proper documents proving the acquisition cost, improvements, and the selling price to accurately compute capital gains and ensure you can substantiate your claims for exemptions.

11. Consult a Tax Professional:

• Given the complexity of tax laws and potential changes, consulting a tax advisor or professional can provide tailored strategies and ensure you comply with regulations while optimizing your tax savings.

Conclusion:

By understanding the provisions available and planning your investments wisely, you can effectively reduce your capital gains tax liability on the sale of immovable property in India. Always stay updated with current laws, as tax regulations may change over time.

Computation of HRA claim in India

 House Rent Allowance (HRA) is a component of a salary package that helps employees cover their rental expenses. In India, HRA is partially exempt from income tax under certain conditions. The amount that can be claimed varies and depends on the salary structure, rent paid, and the city of residence. Here’s a detailed guide on how to compute your HRA claim in India:

Steps to Compute HRA Claim

1. Components of HRA Calculation: The HRA exemption can be calculated using the following formula:

   Exempt HRA = Minimum of the following three amounts:

   • Actual HRA received.
   • Rent paid minus 10% of basic salary.
   • 50% of basic salary if living in a metro city (Delhi, Mumbai, Kolkata, Chennai) or 40% if living in a non-metro city.

2. Information Required: To compute HRA, you need:

   • Basic salary.
   • HRA received.
   • Rent paid.
   • City of residence (metro or non-metro).

3. Example Calculation: Let’s say:

   • Basic Salary: ₹30,000
   • HRA Received: ₹10,000
   • Rent Paid: ₹15,000
   • City: Mumbai (metro city)

   Calculating the components:

   • Actual HRA received: ₹10,000
   • Rent paid - 10% of basic salary:
     • 10% of Basic Salary = 10% of ₹30,000 = ₹3,000
     • Rent Paid - 10% of Basic Salary = ₹15,000 - ₹3,000 = ₹12,000
   • 50% of Basic Salary:
     • 50% of Basic Salary = 50% of ₹30,000 = ₹15,000

   Now, use the formula for HRA exemption:

   • Minimum of (₹10,000, ₹12,000, ₹15,000) = ₹10,000

   Thus, the exempt portion of HRA is ₹10,000.

4. Taxable HRA: To determine the taxable portion of HRA, subtract the exempt portion from the actual HRA received:

   • Taxable HRA = Actual HRA - Exempt HRA
   • Taxable HRA = ₹10,000 - ₹10,000 = ₹0

5. Documents Required: To claim HRA, you may need the following documents:

   • Rent Agreement
   • Rent Receipts
   • Proof of payment (like bank statements)

Important Points to Remember:

• Metro vs Non-Metro: The HRA exemption differs based on whether you live in a metro city or a non-metro city.
• Rent Payment: The rent paid must be more than 10% of your salary to claim HRA exemption.
• Capping Limits: Employers may have specific policies; thus, it's advisable to check with your HR department about the maximum limits for HRA claims.

HRA is subject to certain ceiling limits based on salary slabs and can vary from employer to employer. Proper documentation and understanding the exemptions are crucial for correctly filing your HRA claims and minimizing your tax liability.

Making of bar codes of products in India

 Creating barcodes for products in India involves several steps, including deciding on the barcode standard you want to use, obtaining a unique identifier for your products, and then generating and printing the barcodes. Here’s a guide on how to go through this process:

Step 1: Decide on the Barcode Standard

1. Select a Barcode Format:
   • The most commonly used barcode types are:
     • UPC (Universal Product Code): Mainly used in North America.
     • EAN (European Article Number): Widely used internationally, including in India.
     • QR Codes: Can store more information than traditional barcodes and are often used for marketing purposes.

Step 2: Obtain a Unique Identifier

1. Register with GS1 India:
   • To use EAN or UPC, you need to obtain a prefix which will be part of the barcode. GS1 India is the organization that manages this process.
   • Visit the GS1 India website (gs1india.org) and register your company.
   • You will receive a GS1 Company Prefix that is unique to your business.

Step 3: Assigning Product Numbers

1. Assign Product Codes:
   • For each product, you will assign a unique number following the GS1 prefix. The structure usually consists of:
     • Company Prefix (assigned by GS1)
     • Product Number (unique identification for each product)
     • Check Digit (calculated based on the preceding digits)

Step 4: Generate Barcodes

1. Generate Barcodes:

   • Use barcode generation software or online tools. Some popular tools include:
     • Barcode Generator Websites: Such as Online Barcode Generator, Barcode Generator by TEC-IT, etc.
     • Desktop Software: Such as BarTender, ZebraDesigner, etc.
   • Input your unique product number to generate a barcode image (PNG, JPEG, SVG, etc.).

2. Ensure Compliance:

   • Ensure your barcode meets GS1 standards for size, quality, and placement on the product packaging.

Step 5: Print the Barcodes

1. Printing Options:
   • You can print barcodes using:
     • Thermal Label Printers: Ideal for high-quality barcode labels.
     • Inkjet or Laser Printers: Suitable for printing on labels that you stick to products.
   • Make sure to use high-quality label stock for durability.

Step 6: Integrate into Inventory and Sales Systems

1. Inventory Management:
   • Integrate barcode scanning into your inventory management system for tracking stock levels and sales efficiently.
   • Ensure your point of sale (POS) system is equipped to scan barcodes for quick transactions.

Additional Tips

• Quality Control: Check the scanned readability of the printed barcodes to ensure they are correctly formatted and no errors are present.
• Stay Updated: Keep track of any updates or changes in barcode standards from GS1 to ensure compliance.
• Branding Considerations: Make sure that the placement of the barcode does not interfere with the branding or attractive design of the packaging.

By following these steps, you can successfully create barcodes for your products in India, facilitating better inventory management and retail operations.

Reversal of Input credits of GST on complimentary goods sold in India

 In India, the treatment of Goods and Services Tax (GST) on complimentary goods predominantly revolves around the specific circumstances under which these goods are provided, the nature of the underlying transaction, and the applicable GST provisions. Here's a general overview of the reversal of input GST on complimentary goods sold:

Understanding Complimentary Goods

Complimentary Goods: These refer to products given free of charge, usually paired with paid products or services. For example, a hotel that offers free breakfast with a room booking.

Treatment Under GST

1. Input Tax Credit (ITC) Applicability:

   • In most cases, businesses can claim input tax credit on the goods or services they purchase for business operations. This includes goods they may later provide as complimentary.
   • However, GST rules dictate that if goods are provided as a complimentary offer (i.e., not intended for sale), the input tax credit on those goods may not be allowed.

2. Reversal of Input Tax Credit:

   • If complimentary goods are given without charging the customer, any input GST claimed on those goods would typically require reversal. This is because the goods are technically not sold, and the ITC related to those goods cannot be utilized.
   • The reversal is generally calculated based on the value of the complimentary goods provided. If the company provides goods worth INR 1,000 as a complimentary item, the GST input credit corresponding to that portion needs to be reversed.

3. Conditions for Reversal:

   • If a supplier claims ITC on goods that are eventually supplied as complimentary (non-chargeable), they need to reverse the ITC at the time of distribution.
   • The reversal mechanism is often based on the value of consideration (or lack thereof) for such complimentary goods. If the complimentary item has no associated sale price, then the supplier must ensure the necessary adjustments are made in their GST returns.

4. Timing of Reversal:

   • The reversal of input GST should generally occur in the same tax period as when the complimentary goods are provided.
   • It is necessary to report this reversal in GST returns appropriately.

5. Documentation:

   • Proper documentation is essential to establish the nature of the complimentary goods and to support GST compliance. This includes keeping records of the input GST claimed and the complimentary goods distributed.

Conclusion

The treatment and potential reversal of input GST on complimentary goods can involve complex scenarios and specific interactions with GST laws. It's advisable for businesses to consult with a tax professional or GST consultant to ensure compliance with the latest regulatory requirements and to effectively manage tax credits related to such transactions. Understanding the nuances of GST regulations, especially on promotional items, is crucial in maintaining compliance and optimizing tax liabilities.

Deferred Tax Asset and Deferred Tax Liability Reconciliation with Income Tax Provisions in India

 In India, the reconciliation of Deferred Tax Assets (DTAs) and Deferred Tax Liabilities (DTLs) with income tax provisions is an important aspect of financial reporting under the Indian Accounting Standards (Ind AS) and the Income Tax Act, 1961. The reconciliation process ensures that the accounting treatment of deferred taxes aligns with the tax obligations of a company. Below, I'll provide you a brief overview of deferred tax concepts, their significance in reconciliation, and the steps involved.

Deferred Tax Concept Overview

1. Deferred Tax Assets (DTAs): These represent amounts of taxes recoverable in future periods due to deductible temporary differences, carryforwards of unused tax losses, or carryforwards of unused tax credits. Essentially, DTAs arise when a company pays more tax in the current period than what is recognized in the profit and loss account.

2. Deferred Tax Liabilities (DTLs): These arise when a company has recognized less expense in the profit and loss account compared to what is allowed under the tax law, leading to the expectation that future tax payments would be higher. DTLs signify that a company will owe more tax in the future than it has recognized in its financial statements.

Reconciliation with Income Tax Provisions

The reconciliation process involves aligning the tax expense reported in the financial statements with the actual tax liabilities as per the tax laws. This is generally done through the following steps:

1. Calculate Current Tax Payable: This is computed based on taxable income adjusted for permanent and temporary differences as per the Income Tax Act. This calculation ensures that the amount of current income tax reported is based on tax regulations and not just accounting profits.

2. Identify Temporary Differences: Temporary differences arise due to the timing differences between when income and expenses are recognized for accounting purposes and when they are recognized for tax purposes. Determine all the temporary differences that will lead to the computation of DTAs and DTLs.

3. Compute Deferred Tax: After identifying the temporary differences:

   • Compute DTAs by applying the applicable tax rate to deductible temporary differences.
   • Compute DTLs by applying the applicable tax rate to taxable temporary differences.

4. Reconcile Tax Expense:

   • The overall tax expense is the sum of current tax and deferred tax. This can be expressed as:

     [ \text{Total Tax Expense} = \text{Current Tax} + \text{Deferred Tax Expense} ]

   • Deferred Tax Expense is the net change in DTAs and DTLs for the period.

5. Presentation in Financial Statements: The tax expense needs to be properly disclosed in the financial statements. Under Ind AS 12 - Income Taxes, entities must disclose the components of tax expense and the significant temporary differences.

6. Review for Changes in Tax Rates or Laws: Occasionally, deferred taxes may need to be recalculated or adjusted due to changes in tax rates or tax laws. This can significantly impact the DTAs and DTLs and must be reflected in the reconciliation.

Example of Reconciliation

Assumptions:

• Current taxable income: ₹100,000
• Current tax rate: 30% (thus, current tax expense: ₹30,000)
• Temporary differences leading to:
  • DTL: ₹10,000 (taxable)
  • DTA: ₹5,000 (deductible)

Calculations:

1. Current Tax: ₹30,000 (30% of ₹100,000)
2. Deferred Tax:
   • Deferred Tax Liability = 30% of ₹10,000 = ₹3,000
   • Deferred Tax Asset = 30% of ₹5,000 = ₹1,500
3. Net Deferred Tax: ₹3,000 - ₹1,500 = ₹1,500
4. Total Tax Expense:
   • Total = Current Tax + Deferred Tax = ₹30,000 + (-₹1,500) = ₹28,500.

Conclusion

The reconciliation of deferred tax assets and liabilities with income tax provisions provides a clear and accurate reflection of a company's tax obligations and implications on its financial statements. Understanding these differences and maintaining proper documentation is essential for compliance with the Indian Income Tax Act and Ind AS requirements.

Income tax tool for itr filling in India

 Filing Income Tax Returns (ITR) in India can seem complex, but there are several tools and resources available to help streamline the process. Here’s a guide to finding and using income tax tools for ITR filing in India:

1. Income Tax Department Portal

The official Income Tax Department of India website (https://www.incometax.gov.in/) is the primary resource for filing ITR. It provides:

• Online Filing: You can file your returns online using the portal.
• e-Filing Utility: You can download return preparation software or excel utility for different ITR forms.
• Detailed Instructions: There are guides available for every step of the filing procedure, including forms, eligibility, exemptions, and deductions.

2. Tax Preparation Software

Several third-party tax preparation software can simplify the ITR filing process:

• Cleartax: A popular platform that allows you to file your returns quickly with step-by-step guidance.
• TaxSpanner: Offers comprehensive tax calculation, e-filing services, and various tax advisory resources.
• H&R Block: Provides online ITR filing services, along with tax consultation.
• XeroTax: An easily navigable platform for tax filing.

These tools often come with features like tax calculators, year-round support, and reminders for important deadlines.

3. Mobile Applications

Several mobile applications can help with ITR filing:

• ClearTax App
• H&R Block App
• Tax2win App

These apps allow you to file returns from your mobile device, track your filing status, and get reminders for due dates.

4. Tax Calculators

Use tax calculators to estimate your tax liability. Many websites, including the Income Tax Department’s portal, offer calculators to compute taxes based on various income slabs and exemptions.

5. Guides and Tutorials

There are numerous online resources, including blog articles, YouTube tutorials, and community forums, that can provide information and tips about the ITR filing process:

• YouTube: Search for tutorials on how to file ITR online.
• Finance Blogs: Websites like TaxGuru and Cleartax have comprehensive guides and tips.

6. Professional Help

If your finances are complex, it might be worth consulting with a Chartered Accountant (CA) or a tax professional who can offer personalized advice and assistance.

Steps to File ITR:

1. Gather Documents: Collect your salary slips, bank statements, Form 16, and other income documents.
2. Choose the Correct ITR Form: Depending on your income sources and type.
3. Calculate Your Income: Keep track of deductions and exemptions you can claim.
4. File Your Return: Use the online portal or software to file your return.
5. Verify Your ITR: After submission, verify it through options like Aadhaar OTP, EVC, or sending a signed ITR-V to the CPC.

Important Deadlines

• ITR Filing Deadline: Usually July 31 for individual taxpayers.
• Payment of Tax: Before the deadline to avoid penalties.

Always ensure you stay updated with the latest tax laws and amendments, as these can affect your filing process.

Conclusion

Utilizing the above tools and resources will make the ITR filing process in India much more manageable. Whether you choose to file on your own or seek professional help, having a clear understanding and the right tools at your disposal is crucial.

Gist of Notifications GST Council in their meeting held on September 20, 2019

Gist of Notifications issued in order to implement the recommendations of the GST Council in their meeting held on September 20, 2019

There are several changes proposed in GST rates on specified goods and services during the 37^th GST Council meeting held on September 20, 2019.

The Central Government has now given effect to the recommendations of the GST Council vide various notifications dated September 30, 2019 and all such notifications, unless specifically mentioned otherwise, shall be effective from October 01, 2019.

Important highlights of all such notifications has been summarised for your easy digest:

Notification No.	Gist of Amendments
Amendment in rate of Goods and Services
Notification No. 14/2019-Central Tax (Rate)	The CBIC further amends the GST Rate of Specified Goods The CBIC has issued Notification No. 14/2019 – Central Tax (Rate) dated September 30, 2019, which further amends the GST Rate of various goods notified under Notification No. 01/2017 CT(R) dated June 28, 2017. The list of few goods wherein amendment has been brought are as under: – 1. Other non-alcoholic beverages [other than tender coconut water] “and caffeinated beverages” 2. Railway or tramway goods vans and wagons, not self-propelled. 3. Woven and non-woven bags and sacks of polyethylene or polypropylene strips or the like, whether or not laminated, of a kind used for packing of goods”;
Notification No. 20/2019- Central Tax (Rate)	The CBIC further amends the GST Rate of specified Services The CBIC vide Notification No. 20/2019- Central Tax (Rate) dated September 30, 2019 has further amended Notification No. 11/2017- CT(R) dated June 28, 2017. The list of few services wherein amendment has been brought are as under: 1. Supply of “hotel accommodation” having a value of supply of a unit of accommodation above one thousand rupees (> Rs. 1,000/-) but less than or equal to seven thousand five hundred rupees (< Rs. 7,500/-) per unit per day or equivalent. 2. Supply of “restaurant service” other than at “specified premises”

Exemption of Goods and Services
Notification No. 15/2019-Central Tax (Rate)	CBIC exempts certain goods The CBIC vide Notification No. 15/2019- (CT Rate) dated September 30, 2019 has amended Notification No. 02/2017- (CT Rate) dated June 28, 2017 to exempt following products which were earlier taxable @5%: ·        Tamarind dried ·        Plates and cups made up of leaves/ flowers/bark.
Notification No. 21/2019-Central Tax
(Rate)	CBIC exempts and rationalises certain services The CBIC vide Notification No. 21/2019- (CT Rate) dated September 30, 2019 has amended Notification No. 12/2017- (CT Rate) dated June 28, 2017 (“Services exemption notification”) to rationalise or further exempt certain services as under: ·        Services provided by the Central Government, State Government, Union territory or local authority to a business entity with an aggregate turnover of up to “such amount in the preceding financial year as makes it eligible for exemption from registration under the Central Goods and Services Tax Act, 2017 (12 of 2017)” is exempt. Earlier the turnover was specified as “twenty lakh rupees (ten lakh rupees in case of a special category state) in the preceding financial year” which has now been rationalised. ·        S. No. 9AA has been inserted in Services exemption notification to exempt “Services provided by and to FIFA and its subsidiaries directly or indirectly related to any of the events under FIFA U-17 Women’s World Cup 2020 to be hosted in India” ·        Amendment has been brought under S. No. 14 of Services exemption notification to clarify that services by way of residential or lodging purposes, having value of supply of a unit of accommodation below or upto one thousand rupees per day is exempt. ·        Condition to S. No. 19A/ 19B of Services exemption notification has been amended to extend the exemption of services by way of transportation of goods by an aircraft/ vessel from customs station of clearance in India to a place outside India till September 2020. Earlier it was exempted only upto September 2019. ·        S. No. 24B has been inserted in Services exemption notification to exempt “services by way of storage or warehousing of cereals, pulses, fruits, nuts and vegetables, spices, copra, sugarcane, jaggery, raw vegetable fibres such as cotton, flax, jute etc., indigo, unmanufactured tobacco, betel leaves, tendu leaves, coffee and tea” ·        S. No. 29B has been inserted in Services exemption notification to exempt “services of life insurance provided or agreed to be provided by the Central Armed Police Forces (under Ministry of Home Affairs) Group Insurance Funds to their members under the Group Insurance Schemes of the concerned Central Armed Police Force” ·        S. No. 35 of Services exemption notification has been amended to exempt services of general insurance business provided under “Bangla Shasya Bima” scheme ·        Services provided by 1. an arbitral tribunal 2. a partnership firm of advocates or an individual as an advocate other than a senior advocate, by way of legal services 3. a senior advocate by way of legal services to inter-alia a business entity with an aggregate turnover of up to “such amount in the preceding financial year as makes it eligible for exemption from registration under the Central Goods and Services Tax Act, 2017 (12 of 2017)” is exempt. Earlier the turnover was specified as “twenty lakh rupees (ten lakh rupees in case of a special category state) in the preceding financial year” which has now been rationalised. ·        S. No. 82A has been inserted in Services exemption notification to exempt “Services by way of right to admission to the events organised under FIFA U-17 Women’s World Cup 2020” This Notification is effective from October 01, 2019. Similar Notifications are issued under UTGST and IGST Law. In addition, “Services provided by an intermediary when location of both supplier and recipient of goods is outside the taxable territory”, subject to certain conditions, has been exempted by way of additional amendment in IGST notification.
Notification No. 20 /2019- Integrated Tax (Rate)	The CBIC vide Notification No. 20/2019- (IT Rate) dated September 30, 2019 amended Notification No. 09/2017- (IT Rate) dated June 28, 2017 so as to exempt “Services provided by an intermediary when location of both supplier and recipient of goods is outside the taxable territory”.

Other Notifications:
Notification No. 16/2019-Central Tax (Rate)	The CBIC vide Notification No. 16/2019- (CT Rate) dated September 30, 2019 amended Notification No. 03/2017- (CT Rate) dated June 28, 2017 so as to extend concessional CGST rates of 2.5% to “Petroleum operations or coal bed methane operations undertaken under specified contracts under the Hydrocarbon Exploration Licensing Policy (HELP) or Open Acreage Licensing Policy (OALP)”
Notification No. 17/2019-Central Tax (Rate)	The CBIC vide Notification No. 17/2019- (CT Rate) dated September 30, 2019 amended Notification No. 26/2018- (CT Rate) dated December 31, 2018, so as to exempt CGST on supplies of silver and platinum by nominated agencies to registered persons.
Notification No. 18/2019-Central Tax (Rate)	The CBIC vide Notification No. 18/2019- (CT Rate) dated September 30, 2019 amended Notification No. 02/2019- (CT Rate) dated March 07, 2019 so as to exclude manufacturers of aerated waters from the purview of composition scheme.
Notification No. 19/2019-Central Tax (Rate)	The CBIC vide Notification No. 19/2019- (CT Rate) dated September 30, 2019 has exempted supply of goods for specified projects under Food and Agricultural Organisation of the United Nations.
Notification No. 23/2019-Central Tax (Rate)	The CBIC vide Notification No. 23/2019- (CT Rate) dated September 30, 2019 has put a retrospective sunset clause on applicability of Notification No. 04/2018- (CT Rate) dated January 25, 2018 w.r.t. development rights supplied on or after April 01, 2019. The later Notification provided special procedure to be followed while determining time of supply in case of construction services against transfer of development rights.
Notification No.43/2019-Central Tax	The CBIC vide Notification No. 43/2019- (CT) dated September 30, 2019 amended Notification No. 14/2019- (CT) dated March 07, 2019 so as to exclude manufacturers of aerated waters from the purview of composition scheme.
Notification No. 22/2019- Central Tax (Rate)	CBIC notifies certain services under Reverse Charge Method u/s 9(3) of the CGST Act Following are the list of few services which has been made leviable under Reverse charge Mechanism subject to certain conditions: 1. Supply of services by an author by way of transfer or permitting the use or enjoyment of a copyright covered under clause (a) of subsection (1) of section 13 of the Copyright Act, 1957 relating to original literary works to a publisher. 2. Services provided by way of renting of a motor vehicle provided to a body corporate. 3. Services of lending of securities under Securities Lending Scheme, 1997 (“Scheme”) of Securities and Exchange Board of India (“SEBI”), as amended.
Notification No. 24/2019- Central Tax (Rate)	The CBIC vide Notification No. 24/2019- (CT Rate) dated September 30, 2019 has amended Notification No. 07/2019 – (CT Rate) dated the March 29, 2019 by amending the entry related to cement on which GST is leviable under Reverse Charge Mechanism.
Notification No. 25/2019-Central Tax (Rate)	Grant of liquor license by State Govt to be treated as “no supply” in GST The CBIC vide Notification No. 25/2019-Central Tax (Rate) dated September 30, 2019, has notified “service by way of grant of alcoholic liquor licence, against consideration in the form of a licence fee or application fee or by whatever name it is called” undertaken by the State Governments in which they are engaged as public authorities,  as neither a supply of goods nor a supply of service.
Notification No. 04/2019- Integrated Tax	The CBIC vide Notification No. 04/2019- (IT) dated September 30, 2019 has notified the place of supply of R&D services related to pharmaceutical sector provided by Indian pharma companies to foreign service recipients, as the place of effective use and enjoyment of a service i.e. location of the service recipient.
Notification No. 2/2019-Compensation Cess (Rate)	The CBIC vide Notification No. 02/2019- (Compensation Cess rate) dated September 30, 2019 has amended Notification No. 01/2017-(Compensation Cess rate) dated June 28, 2017 to inter-alia levy Compensation Cess @ 12% on Caffeinated Beverages.
Notification No. 03/2019-Compensation Cess (Rate)	The CBIC vide Notification No. 03/2019- (Compensation Cess rate) dated September 30, 2019 has disallowed the refund of compensation cess in case of inverted duty structure for tobacco and manufactured tobacco substitutes.

The contents of this article are solely for informational purpose. It does not constitute professional advice or recommendation.