Section 80-IB(10) deduction on percentage completion method

Section 80-IB(10) deduction on percentage completion method
*

*Instruction No. 4/2009, dated 30-6-2009*

Under sub-section (10) of section 80-IB an undertaking developing and
building housing projects is allowed a deduction of 100% of its profits
derived from such projects if it commenced the project on or after 1.10.1998
and completes the construction within four years from the financial year in
which the housing project is approved by the local authority.

2. Clarifications have been sought by various CCsIT on the issue whether the
deduction u/s 80-IB(10) would be available on a year to year basis where an
assessee is showing profit on partial completion or if it would be available
only in the year of completion of the project u/s 80-IB(10).

3. The above issue has been considered by the Board and it is clarified as
under:-

(a) *The deduction can be claimed on a year to year basis where the assessee
is showing profit from partial completion of the project in every year.*

(b) *In case it is late, found that the condition of completing the project
within the specified time limit of 4 years as started in section 80-IB(10)
has not been satisfied, the deduction granted to the assessee in the earlier
years is should be withdrawn.
*

4. The above Instruction will override earlier clarififcation on this issue
contained in Member(R)’s D.O. letter No. 58/Misc./2008/CIT(IT&CT) dated
29.04.2008 and Member (IT)’s D.O. letter No. 279/Misc./46/08-ITJ dated
2.5.2008.

5. This may kindly be brought to the notice to the notice of the all
Assessing Officers in your charge.

Waiver of penalty in certain cases for non-filing of return within prescribed time

Date: 4th July, 2009*

* *

*No. VAT/ AMD-1009/IA/ ADM-06
Trade Cir. 21T of 2009 *

* *

*Sub : Waiver of penalty in certain cases for non-filing of return
within prescribed time.*

*Ref.* : 1. The Budget Speech delivered by Hon'ble Finance Minister
on 4th June 2009.

*2. Trade Circular No.3 T of 2009 dated 23rd January, 2009.*

*3. Trade Circular No.4 T of 2009 dated 23rd January, 2009.*

* *

*Gentlemen/Sir/ Madam,*

* *

*Hon'ble* Finance Minister in his Budget Speech delivered on 4th June 2009
has made an announcement regarding the waiver of penalty for non-filing of
the
returns within prescribed time to the certain dealers who have enrolled at
the Sales
Tax Departments web-site: in order to avail various e-services. The relevant
part of
the Budget speech is reproduced as under:-

* *

*2) Para 4:- "............ ..... I am glad to inform the
Hon'blemembers that Maharashtra is the first State to get tax returns
in large
numbers electronically
from all dealers. The dealers, the trade associations and tax practitioners
have
greatly contributed to this and deserve to be congratulated. In the backdrop
of
their valuable cooperation, I hereby declare that the dealers who having
enrolled
themselves for e-services on the department's web-site, file all their
returns for all
the periods from 1st April 2005 to 30th June 2009 on or before 31st July
2'009
electronically, shall not be liable for penalty for delay in filing of
returns. However,
this will not be applicable to cases where penalty has been already paid."*

* *

*3) You are well aware that scheme of filing returns electronically
wasimplemented in a phased manner. It is now mandatory for every
dealer to file
returns electronically.*

* *

*4) In view of the announcement made by the Hon'ble Finance Minister in his
Budget Speech, it is decided that,-*

*(a) if the dealers who have not filed one or more returns for the periods
starting on or after 1st April 2005 and ending on 30th June 2009, file all
such pending returns electronically along with the due payment
with interest on or before 31" July 2009 then penalty for late filing of
returns will not be levied. *

* *

*(b) in the cases where for the period starting on or after 1st April 2005
and ending on 30th June 2009, if penalty is imposed and recovered, then
dealer will not be entitled for the refund of such amount.*

* *

*(c) In case where the penalty has been already levied for non filing of
returns but the same has not been paid by the dealer, it will not be
recovered if the dealer files all his pending returns electronically with
payment of tax and interest up to 31st July 2009.*

*(d) Where the penalty is already levied and the dealer has filed an appeal
against the said penalty order, then the said penalty or part of the
penalty outstanding shall not be recovered if the dealer files all his
returns upto 31st July 2009 along with payment of tax with interest. The
dealer must however, withdraw the appeal, against such order unconditionally
before availing this benefit. The part payment made in appeal shall not be
refunded.*

* *

*5) It is hereby clarified that the dealers who have already filed returns
for the period starting on or after 1" April 2005 and ending on 30th June
2O09 shall not again be required to file such returns electronically. But it
may please be noted that if required they will have to produce the proof of
filing these returns.*

* *

*6) Needless to state that the dealers who do not file the pending returns
for
the aforesaid periods on or before 31st July 2009, shall be liable for
penalty as per
the provisions of sub-section (8) of section 29 and also recovery of such
penalty
amount. In other words penalty amount will not be waived if dealer fails to
file
the pending returns electronically on or before 31" July 2009.*

* *

*7) This circular cannot be made use of for legal interpretation of
provisions of
law as it is clarificatory in nature. If any member of the trade has any
doubt, he
may refer the matter to this office for further clarification. *

* *

*8) You are requested to bring the contents of this circular to the notice
of the
members of your association.*

*
Yours faithfully,*

* *

* *

*(Sanjay Bhatia)*

*Commissioner of Sales Tax *

*Maharashtra State, Mumbai.*

check status of efiling Ack

Now You can check status of efiling Ack. receipt received by Central
Processing Centre -Bangalore or Not.

For that,

1. Login to the e-iling site with your pan and password.

2. Go to the "My Account " tab

3. In drop down menu under My account Tab click " e- filing processing
status"

4. In next screen fill you ITR-V acknowledgment Number and Select your
assessment year.

5. You will get status of your return/ITR-V processing status in next
screen.

Further, Income tax department clarified that copy of ITR-V sent by them
to CPC Bangalore will be scanned after stamping receipt number and date
of receipt and the same shall be made available to taxpayers on request
through email shortly.

SMS BASED SERVICE FOR CHALLAN STATUS

Tax Information Network (TIN) hosted by National Securities Depository
Limited (NSDL) on behalf of Income Tax Department (ITD) gives you a facility
to verify whether the banks have correctly uploaded the details of your tax
deposit to ITD through SMS.

*SMS based verification *

The procedure for availing this facility is as under:

1. Send an SMS to *575758* with a message containing the word
*CSI*followed by a space and CIN provided by the respective Bank at
the time of
making the Direct tax payment and the amount.

2. Challan Identification Number (CIN) consists of BSR Code of Collecting
Branch (seven digit), Challan Tender Date (DDMMYYYY) and Challan Serial No
(length less than or equal to 5 digit).

3. The amount is an optional field. If you provide the amount in the SMS
you would get the confirmation whether the amount uploaded by bank matches
with the amount paid by you.

4. Each of BSR code, Tender date, the challan serial number and amount
should be separated by commas

*For e.g., if the tax payer input “CSI 0510001,11032009,5,5000” where
in **“0510001”
is the BSR code of the collecting branch, *
*“11032009” is the Challan tender date, *
*“5” is the Challan serial number and *
*“5000” is the amount paid by the taxpayer*.

The tax payer will get the information against which TAN/PAN the payment has
been accounted with the confirmation whether amount entered is matched or
not.

*(This is an illustrative CIN, actual CIN should be provided in the SMS). *

There will be special charges for these SMS. These charges may vary from one
mobile service-provider to another. The charge structure can be obtained
from the concerned service-provider.

* *

*Online Challan Status Inquiry*

You can also get the status of your CIN from
www.tin-nsdl.com
under the section Challan Status Inquiry.

New Tax Code by Aug 20

The Lok Sabha was informed, on Friday that the new direct tax code will
be released for public discussion by August 20. The new code will be
released along with a discussion paper, the Minister of State for
Finance, Mr S. S. Palanimanickam, said in a written reply in the Lok
Sabha.
On July 6, the Finance Minister, Mr Pranab Mukherjee, had in his
Budget speech for 2009-10, promised to pursue structural changes in
direct taxes by releasing the new direct tax code within 45 days.

compulsory to quote Unique Transaction Number (UTN) From January 2010

Lok Sabha The Government has decided to make it compulsory to
quote Unique Transaction Number (UTN) in the Income-tax return forms to
be filed by all the assessees to whom such number has been allocated by
the Income-tax Department. Since the UTN has not been communicated to
the taxpayers, therefore, the requirement of quoting UTN in Income-tax
return form for assessment year 2009-10 has been kept in abeyance.
Unique Transaction Number would be allotted against each transaction in
which tax has been deducted or collected at source. It is proposed to
make it compulsory to quote this Number in the Income-tax return forms
so as to ensure prompt verification and granting of tax credits to the
tax payers. This system of allotting Unique Transaction Number is
expected to become operational by 1st January, 2010. This information
was given by Minister of State for Finance, Shri S.S. Palanimanickam in
written reply to a question raised in Lok Sabha today.
BSC/BY/GN-276/09