andhra chamber of commerce · presentation on “the era of convenient banking”, chennai 10...
TRANSCRIPT
ANDHRA CHAMBER OF COMMERCE
Vol. LXXIII
March 2020
INFORMATION BULLETIN
PROGRESS THROUGH COMMERCE AND INDUSTRY
www.andhrachamber.com
1
2
ContentsBulletin Advisory BoArd
Shri Ch. Venkateswara Rao
Vice-President
Shri R.R. Padmanabhan
Chairman,
Foreign Trade and Skill Development
Sub-Committees
Shri V.V. Sampath Kumar
Chairman, Indirect Taxes Sub-Committee
Shri K.n. Suresh Babu
Chairman, Public Relations Sub-Committee
Shri M.K. Anand
Chairman
Information Technology
Computerisation Telecom
and MSME, Subcommittees
Shri V.S. Prasanth Kumar
Co-Chairman
MSME Subcommittee
-----------------------------------------------
Editor And PublisherAndhra Chamber of Commerce, Chennai
-----------------------------------------------
President Desk 03
Symposium on Central Budget 2020-21, Chennai 04
Symposium on Central Budget 2020-21,Visakhapatnam 05
Symposium on Central Budget 2020-21, Secunderabad 06
Skill Development Training on Tailoring, Chennai 07
MSME Lecture series on “A day with Socrates”, Chennai 07
Skill development training on “Jute Products”, Chennai 08
Symposium on Central Budget 2020-21, Vijayawada 10
Presentation on “The Era of Convenient Banking”, Chennai 10
Presentation on “Agriculture and Food Security in India”, Chennai 11
FOREIGN TRADE – Statistics 13
Recent Judgements in VAT CST GST by Mr. V.V. Sampath Kumar 17
Women Empowerment through tailoring skill - Andhra Chamber shows the way! by Mr. R.R. Padmanabhan 19
Mastering the “Emotional Side” of Change by Mr. S. Prakash 22
Liability of Directors by Mr. CS.U.Siddharth 26
Consumer Price Index 28
Updation of Membership Details 30
3
Dear Members,
Things are moving fast with the COVID-19 novel corona-virus. World Health Organisation declared that the virus is now a pandemic.
It all started in China and spread across 140 countries. The China’s economy is much more deeply intertwined with the world’s economy—a 17% share of global GDP with trade accounting for 34% of domestic GDP—than it was during the 2003 SARS outbreak. China being the largest economy in Asia and the second-largest economy in the world, the economic impact of coronavirus is likely to trickle down to other countries and their economies as well who deal with the Asian giant.
India, the world’s fifth largest economy faces a sharp decline in the economic growth for atleast two quarters as the coronavirus hits the economic activity. Many businesses say supplies are running low.
The trade impact of the coronavirus epidemic for India is estimated to be about 348 million dollars and the country figures among the top 15 economies most affected as slowdown of manufacturing in China disrupts world trade, according to a UN report.
In these tough times, I urge the industry members to be safe by following the precautionary measures announced by the Government and be patient.
Hope things will get resolved soon.
Thank you.
Dr. V.L. INDIRA DUTTPresident
Pr
esid
ent
des
k
4
C H A M B e r
To understand the different aspects of budget like Direct Taxes, Indirect Taxes and also the overall Economic view of the Budget and
how the budget will impact the industry members, a symposium on Central Budget 2020-21 was organised by Andhra Chamber of Commerce on the 3rd February 2020 at Hotel Rain Tree.
Dr Smt V.L.Indira Dutt, President, Andhra Chamber of Commerce during her welcome address had the following comments on the Central Budget 2020-21 announced on the 1st February 2020.
She congratulated the Finance Minister Smt.Nirmala Sitharaman for the presentation of the budget today to take India to the next levels of Growth trajectory.
In her welcome address, she said that through Digital India, faceless processing of governmental assessments extended to appeals, with more Governance and less Government is appreciative one which will drastically save time, objectivity and reduce greatly the red tapism and corruption.
The theme oriented budget viz Aspirational India, Economic Development, Caring society are very unique. Involvement of youth in infra-structure and investment of ` 100 lakhs crores in five years’ time will best utilise the advantage of the favourable demographic position in which India is placed now.
This will increase employment opportunity in huge way.
She concluded her address by saying that through various other measures proposed in this budget it is sure that India will grow early and to achieve 5 trillion economy level.
Sri CA Sathyakumar in his presentation on the Economic overview of the Budget said that this is a well-balanced budget that will comprehensively boost job creation, bring benefits for farmers, and accelerate economic growth, both in rural and urban India. With special focus on India’s villages, poor and its farmers, it will prove to be an important milestone in transforming India into a higher growth cycle.
The budget is in line with the current aspirations and requirements of the citizens of India, and will result in improving infrastructure development and healthcare delivery across the country.
He also said that this pro-farmer, pro-poor and pro-village budget is aimed at addressing India’s aspirations, economic development and creation of a caring society. The budgetary allocations—which include ` 100 lakh crore for infrastructure development, ` 99,300 crore for education and ` 69,000 crore for healthcare will go a long way in developing India as one of the most favourable global destinations for investment.
SympoSium on Central Budget 2020-21,in Chennai
5
Andhra Chamber of Commerce organized a Symposium on Central Budget 2020-2021 on February 3, 2020 at “Triveni hall,
Daspalla Hotel, Visakhapatnam.
Dr. Prasannakumar, F.C.A Chairman, Andhra chamber of commerce chaired the session and welcomed the Chief Guest, Speakers and participants for the Symposium on Central Budget 2020-2021.
Chief Guest Shri. Dr. D.K. Srinivas Principal Commissioner of Customs, Visakhapatnam addressed the Participants about Budgetary Changes in Direct taxes.
Shri G. Prabhakara Sastry, Advocate & Senior Consultant on Indirect taxes, Dr. Radha Raghuramapatruni, Associate Professor, GSIB, GITAM University, and Shri C.A Ramprasad, Chartered Accountant and Senior Consultant on Direct Taxes were Speakers and addressed the participants on Economic overview of the Budget and Budgetary Changes on Indirect Taxes and Direct Taxes Proposals respectively.
Shri C.A.Ramprasad, Chartered Accountant, Senior Consultant on In Direct Tax, made a detailed presentation about budgetary changes in Direct tax
proposals. In his presentation he explained detailed tax systems on filing returns and explained the various doubts on GST.
Shri G.Prabhakara Sastry, Senior Consultant on Direct Taxes, Advisor of ACC, Chartered Accountant also participated the session and analyzed Recent Changes in Income Tax Slabs.
Dr. Radha Raghuramapatruni, Associate Professor, GSIB, GITAM University, made Presentation about Budgetary around aspirational India economic development and caring society measures proposed to boost private investment such as abolition of Dividend distribution tax, exemption on internet, dividends and capital gains for investment in infrastructure projects, relaxation in the limits of foreign portfolio investment will increase in Indian bond Market.
The Programme concluded with a Vote of Thanks proposed by Shri V. Thrinadha Rao, Deputy Secretary, Andhra Chamber Of Commerce, Visakhapatnam.
The Number of participants for the Symposium were 50.
SympoSium on Central Budget 2020-21,in ViSakhapatnam
World-class infrastructure, coupled with qualified, skilled and healthy youth can help any country leapfrog into higher economic development. Finance minister Nirmala Sitharaman has addressed all all that is required to accelerate allround economic growth. The allocations in key areas clearly underline this government’s resolve to take India forward on the path of ‘sabka saath, sabka vikas’ (with everyone, development for all).
He applauded the Dhanya Lakshmi storage scheme which will specially benefit women in villages. Women will be specially trained about the quality of seeds and the scientific way of farming them. This will not only improve farming practices and outcome, but will also empower rural women.
He has asked the Chamber to take up trainings for Self Help Groups in Villages on seeds storage and
also work more closely on the Health sector. He also asked the Chamber to represent to the Government through Post Budget Memorandum on issues for differently abled people.
Sri CA Prasanna Krishnan threw light on the implications of budget on the Indirect Taxes. He also mentioned that there are not much changes in customs.
Sri CA T.G.Suresh presented on the proposals on the Direct Taxes wherein he detailed about the Income Tax changes to the salaried people apart from detailing the other amendments under Direct Taxes.
The Programme concluded with the vote of thanks by the Vice President of the Chamber Sri C.Nagendra Prasad.
6
SympoSium on Central Budget 2020-2021in SeCunderaBad
Andhra Chamber of Commerce, Telangana
State Chapter organized a Symposium on
Central Budget 2020-2021 on Tuesday,
February 4, 2020 at Hotel Parklane, S.D.Road,
Secunderabad for the benefit of the trade & industry.
Dr. J.A.S.Giri, Chairman, Telangana State
Chapter, Andhra Chamber of Commerce chaired
the session and welcomed the Guest Speakers and
participants for the Symposium on Central Budget
2020-2021. In his welcome address Dr. J.A.S.Giri
observed – As per as the Budgetary proposals this
year Honorable Smt. Nirmala Sitaraman, Union
Finance Minister deserves all the appreciation of
Trade and Industry for presenting a pragmatic
Budget in the back drop of a gloomy economic
scenario. The Budget is woven around aspirational
India, economic development and caring society.
Measures proposed to boost private investments
such as abolition of dividend Distribution Tax,
exemption on interest, dividends and Capital gains
for investments in infrastructure projects, relaxation
in the limits of foreign portfolio investment will
increase in Indian Bond Market.
Amnesty scheme for Direct Taxes on similar lines
to the Indirect Taxes and Incorporation of Charter
of Commitments in the Direct Tax statute will lead
to a tax-friendly environment found in developed
Countries. The idea of the Government is to simplify
tax payments by gradually phasing out exemptions
and having a flat rate like prevailing in advanced
countries.
However, removing existing exemptions under
the new tax structure on crucial savings options
such as insurance should be withdrawn for a healthy,
balanced and long term socio economic growth.
Provision for amendments in the existing
e-assessment scheme such as e-appeal as part of
the drive to impart greater efficiency, transparency
and a accountability to the assessment process will
certainly help in eliminating the interface between
the Department and Assesses.
It is evident that Union Government has taken
measures to revive the economy and accelerating the
growth rate by promoting private investments and
infrastructure development in its resolve to make
India a $ 5 trillion economy.
Shri K. Mohan Acharya, FCA, Chartered
Accountant, Komandoor & Co LLP made a detailed
presentation about budgetary changes in direct tax
proposals. Shri Abhiramula Moksha Kalyanram,
Consultant on Indirect Taxes and Parter, La Mintage
LLP dealt at length about the growth prospects of
India on account of budgetary proposals on Indirect
Taxes and economic overview.
Earlier Dr. J.A.S. Giri, Chairman, Telangana
State Chapter extended the floral welcome to the
Guest Speakers Shri K. Mohan Acharya and Shri
Abhiramula Moksha Kalyanram.
Shri N. Pardhasaradhi, Hon. Advisor on Foreign
Trade introduced Speakers at the Symposium.
There was good interaction between the
participants and the speakers, all the questions raised
by the participants were answered by the speakers.
Dr. J.A.S.Giri, Chairman, ACC presented
Mementoes to the Symposium guest speakers.
The Programme concluded with a Vote of Thanks
proposed by Shri N. Pardhasaradhi, Hon.Advisor on
Foreign Trade
The Number of participants for the Symposium
were 60.
7
Skill deVelopment training on tailoring in 5th FeBruary to 5th marCh 2020
To create a positive impact on the lives
of the Underprivileged Women, the
skill development subcommittee of the
Chamber initiated a month on Training on Tailoring
from 5th February 2020.
Around 16 women from in and around Saidapet
area attended this month-long training. The
chamber had a brief inaugural ceremony of this
one month training and Mr.R.R.Padmanabhan,
Chairman, Skill Development sub Committee of the
Chamber welcomed the participants and requested
the participants to learn the tailoring with sincerity
and without absenting themselves from the class.
As Tailoring is not a big investment business, the
women can start stitching for themselves and also for
the neighbourhood immediately after this training
to begin earning for their livelihood.
He thanked Sri S.B.Prabhakar Rao, Sri
G.Ramachandran and Sri N.Sivaprasad Executive
Committee Members of the Chamber for their
funding contribution to this training. If not for their
support, this training would not have been possible.
The attendance cards to the participants were given
by Sri S.B.Prabhakar Rao, Sri G.Ramachandran.
The inaugural ceremony ended with Hi Tea.
The training held in Mass Tailoring Institute.
mSme leCture SeSSion on
“a day with SoCrateS” on the 5th FeBruary 2020
Sri M.K.Anand, Chairman, MSME Sub-
Committee welcomed the participants
and also briefed about the activities of the
Chamber.
He also briefed about the background of how the
short film on “A day with Socrates” was formulated
and produced by Sri M.L.Narendrakumar, the
facilitator of the programme.
Sri.M.L.Narendrakumar screened the 21 minute
short film on “Ä day with Socrates” wherein certain
principles of Socrates was captured and it was shown
how it is easily relatable and implementable even in
today’s scenario, though the film was taken in the
year 2008.
• Importance of continuous learning
• Regular introspection about the performance
• Importance of working with a “To do” list and
prioritising the activities
• Converting negative into positive energy
• Stay with a stable mind without getting affected
with failures
• Differentiate between being busy and being
productive etc., were some of the learnings from
this film.
It was wonderful to watch the film and participants
very much appreciated the film and there were many
questions and Mr.Narendrakumar handled it very
well.
Around 35 industry members attended the
programme.
8
Skill deVelopment training on Jute produCtS 17th FeB to 22nd FeBruary 2020
ACCWBF – a Women’s wing of the Andhra
Chamber initiated a training on Jute
Products making to the College students of
SNDB Vaishnav College for Women, Chromepet.
Dr.M.Nagamalar, Assistant Professor, PG
Department of MA HRM,
SDNB Vaishnav College for Women has
immediately agreed to select the interested students
from the College for the training at the Chamber.
The week long training was inaugurated by
Dr V.L.Indira Dutt, President of the Chamber along
with Smt Asha Rammohan and Smt Usha Jawahar,
Members of the ACCWBF.
The training was handled by Smt Dhanalakshmi
of M/s.Dhanalakshmi Iver bags who has a jute
products manufacturing unit and also a Trainer on
Jute Products in various Government departments.
Thanks to the President Dr V.L.Indira Dutt,
President of the Chamber who was kind enough to
send the tailoring machines which are needed for the
training. It was a great gesture from the President.
Twenty students in total from various branches
attended the week long training. Eight students
attended the morning batch and twelve students in
the evening batch attended the training.
There were twelve products taught by the trainer
which are as below.
9
Participants at the training :
Some of the members of ACCWBF visited the training and motivated the students and offered their help in
marketing the products, if the students take up the entrepreneurship on Jute products manufacturing.
The programme concluded well with excellent feedback from the participants.
10
Budgetary ChangeS on taxeS - reCent ChangeS in gSt, ViJayawada
Andhra Chamber of Commerce, Vijayawada
Chapter organized a Session on Budgetary
changes on taxes - Recent changes in GST.
on 18TH, February 2020 at Chamber office at
Vijayawa for the benifit of Trade.
Shri M. Rajaiah, Chairman of Advisory
Committee,Vijayawada Region chaired the session
and welcomed the Speakers and participants for the
Session. In his welcome speech Mr. Rajaiah observed
that every trade and Industry owner should have
awareness on income tax and GST rules and returns
filing. If it necessary ACC Vijayawada Region
to conduct much more sessions on tax systems in
future. Budgetary proposals this year Honorable
Smt. Nirmala Sitaraman, Union Finance Minister
deserves all the appreciation of Trade and Industry.
Shri P.Lakshamana Rao, FCA, CISA, CRISE,
Hon Advisor of ACC, Chartered Accountant, made
a detailed presentation about budgetary changes in
direct tax proposals. In his presentation he explained
detailed tax systems on filing returns and explain the
various doubts on GST.
Shri M.V.N.Ramachandra Rao, Advisor of ACC,
Chartered Accountant also participated the session
and analyze Recent Changes in Income Tax Slabs.
The Programme concluded with a Vote of
Thanks. The Number of participants for the Session
were 75.
95th Joint SeSSion with mma on
“era oF ConVenient Banking”on the 26th FeBruary 2020
Andhra Chamber of Commerce in association
with Madras Management Association
organises knowledge sharing session on the
last Wednesday of every month and this is the 95th
session on “Era of convenient Banking”.
Sri R.R.Padmanabhan, Chairman, Skill
development & Foreign Trade Committee welcomed
the gathering and introduced the Resource Person
Smt J.Lalitha.
In his introduction he said that Smt J Lalitha
is an Ex Banker carrying 35 years of experience in
Advisory and consultant position held since more
than a decade to various Corporate Clients of the
Bank.
She worked in Bank of Baroda with Rich
experience at Bank’s Overseas Centre in Dubai
and was heading the large department handling
International Trade Finance of the UAE Territory,
with the volume of approximately USD 2 billion
business.
She has Represented the Bank at different ICC
Seminars and Workshops at Dubai, Mumbai and
Chennai.
She has submitted a Research paper on How to
improve International Trade Business in the Bank to
the top management of the Bank.
She was awarded as the Best Faculty in creation
of Videos–e learning modules during 2017 in the
Bank.
Smt Lalitha in her presentation said that Initially
the services of the banks were to deposit cash, lend
11
loans etc., only. Now the services are expanded to
ATM, wealth advisory, credit cards, debit cards,
business loans, car loans, home loans and so on.
Banking was brought to the doorstep first by
ICICI Bank first and was followed by other Banks.
Now everyone knows and has UPI–Unified Payment
Interface through which online transaction happens.
Digitally we have gone far ahead and soon
employees of the Bank will be replaced by Robots
down the line in a period of five to ten years.
Now, the trend in Banking is artificial intelligence.
Some of the participants opined that the banking
is convenient only for tech savvy people and not for
non tech savvy people, for which the resource person
replied that now a days even maids and flower sellers
use android phone and hence by using the android
phone the bank transactions can be done without
any problem.
Mobile banking is very convenient and
advantageous when it comes to paying electricity,
telephone bills, booking train tickets/ movie tickets
etc., Fund transfer to Gpay is the trend now.
Once TV was a major threat and people used to
call it as an idiot box and now we know the impact
of TV in our life. Like that people will get used to
mobile banking soon and will be very convenient.
Sri K.V.Sundaram, Member of the Executive
Committee of the Chamber proposed vote of thanks.
The programme was well received by the
participants.
programme on“agriCulture and Food SeCurity in india” on the 28th FeBruary 2020
The Agriculture & Rural Development Sub
committee of the Andhra Chamber of
Commerce organised the Programme on
Agriculture and Food Security in India on the 28th
February 2020 in E Hotel, Chennai.
Sri Nagendra Prasad, Vice President of the
Chairman in his welcome address said that
Andhra Chamber since its inception is promoting
Agriculture – Farming – Industries. In the emblem
of the Chamber one can find prominently “Farmer
with a plough tilling with a pair of Bulls”. Many
changes have taken place in farming. Mechanical
Tillers and implements have come. The plough has
almost disappeared for modern implements. Our
own immediate past President Dr. Balachandra Babu
pioneered in developing implements to help increase
yields and reduce dependence on labour.
He also said that Food security entails ensuring
adequate food supply to people, especially those who
are deprived of basic nutrition. Food security has been a major concern in India. According to UN-India, there are nearly 195 million under nourished people in India, which is a quarter of the world’s hunger burden.
Prof Jothi Sivagnanam was the resource person of the programme. He is the Professor & Head, Department of Economics & Professor & Director I/c of Agro Economic Research Centre (AERC) University of Madras.
He got the Doctorate in Economics from the University of Madras. He has published lot of articles in Journals and Newspapers.
Prof Jothi Sivagnanam started the session with Amartya Sen’s view on Food Security.
Amartya Sen’s dimension to food security, “access” to food through ‘entitlements’ - a combination of
what one can produce and exchange in the market,
along with state or social support.
Dr Sen and other scholars subsequently
emphasized ‘adequate nourishment and healthiness’
to be the part of food security.
Food security exists when all people, at all
times, have physical, social and economic access to
sufficient, safe and nutritious food which meets their
dietary needs and food preferences for an active and
healthy life.
The Hunger Index is designed to comprehensively
measure and track hunger globally and by country
and region.
India ranked 102 out of 117 countries on the
Global Hunger Index, 2019.
India ranked below Sri Lanka (66), Nepal (73),
Bangladesh (88), and Pakistan (94) within South
Asia.
He has explained the food security in four
dimensions as below.
• Availability of food is essentially is a function
of domestic production, changes in stocks and
imports.
• Access has two dimensions, physical and the
economic of which the latter is more important.
Economic access to food is largely a matter of
purchasing power and subsidies.
• Absorption of food is the ability to biologically
utilise the food consumed. Several factors-
nutritional knowledge, quality of water, sanitary,
health and quality of food itself determines
effective biological absorption of food and
health status.
• Vulnerability denotes various external factors
and contextual risks such as environmental risks
(floods, droughts earthquakes, cyclones, and
so on) as well nutrition and health risks which
destabilizes food security across other three
dimensions.
He has given facts and figures on the poverty and
mal nutrition in rural & urban India, unemployment
rate etc.,
He concluded the session with the quote as below.
“Hunger is not caused by lack of food, its caused by a lack of democracy.....” Frances Moore Lappe.
The programme was attended by Industry
members, Faculties and students of Colleges.
After the interaction, Dr Balachandra Babu,
Chairman, Agriculture & Rural Development sub
committee proposed vote of thanks.
12
13
FOreiGn trAdestAtistiCs
India’s overall exports (Merchandise and Services combined) in April-February 2019-20* are estimated to
be USD 491.64 billion, exhibiting a positive growth of 2.13 per cent over the same period last year. Overall
imports in April-February 2019-20* are estimated to be USD 559.45 billion, exhibiting a negative growth of
(-) 3.90 per cent over the same period last year.
India’s Foreign Trade (Merchandise): February 2020
* Note: The latest data for services sector released by RBI is for January 2019. The data for February 2020 is an estimation, which will be revised based on RBI’s subsequent release.
14
I. MERCHAnDISE TRADE
EXPORTS (including re-exports)
Exports in February 2020 were USD 27.65 billion,
as compared to USD 26.87 billion in February
2019, exhibiting a positive growth of 2.91 per cent.
In Rupee terms, exports were Rs. 1,97,646.12 crore
in February 2020, as compared to Rs. 1,91,345.27
crore in February 2019, registering a positive growth
of 3.29 per cent.
In February 2020, major commodity groups
of export showing positive growth over the
corresponding month of last year are
Cumulative value of exports for the period April-
February 2019-20 was USD 292.91 billion (Rs.
20,67,408.73 crore) as against USD 297.36 billion
(Rs. 20,80,407.94 crore) during the period April-
February 2018-19, registering a negative growth of
(-) 1.50 per cent in Dollar terms (negative growth of
(-) 0.62 per cent in Rupee terms).
Non-petroleum and Non-Gems and Jewellery
exports in February 2020 were USD 21.23 billion,
as compared to USD 20 billion in February 2019,
exhibiting a positive growth of 6.16 per cent. Non-
petroleum and Non-Gems and Jewellery exports
in April-February 2019-20 were USD 218.83
billion, as compared to USD 217.60 billion for the
corresponding period in 2018-19, an increase of
0.57 per cent.
IMPORTS
Imports in February 2020 were USD 37.50
billion (Rs. 2,68,063.75 crore), which was 2.48
per cent higher in Dollar terms and 2.86 per cent
higher in Rupee terms over imports of USD 36.59
billion (Rs 2,60,603.47 crore) in February 2019.
Cumulative value of imports for the period April-
February 2019-20 was USD 436.03 billion (Rs.
30,76,266.13 crore), as against USD 470.36 billion
(Rs. 32,90,920.85 crore) during the period April-
February 2018-19, registering a negative growth of
(-) 7.30 per cent in Dollar terms (negative growth of
(-) 6.52 per cent in Rupee terms).
Major commodity groups of import showing
negative growth in February 2020 over the
corresponding month of last year are:
CRUDE OIL AnD nOn-OIL IMPORTS:
Oil imports in February 2020 were USD 10.76
billion (Rs. 76,893.83 crore), which was 14.26
percent higher in Dollar terms (14.68 percent higher
in Rupee terms), compared to USD 9.41 billion (Rs.
67,048.31 crore) in February 2019. Oil imports
in April-February 2019-20 were USD 119.42
billion (Rs. 8,42,844.25 crore) which was 7.53 per
cent lower in Dollar terms (6.81 percent lower in
Rupee terms) compared to USD 129.14 billion (Rs.
9,04,417.53 crore), over the same period last year.
In this connection it is mentioned that the global
Brent price ($/bbl) has decreased by 14.24 % in
February 2020 vis-à-vis February 2019 as per data
available from World Bank.
Non-oil imports in February 2020 were estimated
at USD 26.74 billion (Rs. 1,91,169.92 crore) which
was 1.60 per cent lower in Dollar terms (1.23
percent lower in Rupee terms), compared to USD
27.18 billion (Rs. 1,93,555.16 crore) in February
2019. Non-oil imports in April-February 2019-20
were USD 316.61 billion (Rs. 22,33,421.88 crore)
which was 7.21 per cent lower in Dollar terms (6.41
percent lower in Rupee terms), compared to USD
341.22 billion (Rs. 23,86,503.32 crore) in April-
February 2018-19.
Non-Oil and Non-Gold imports were USD
24.38 billion in February 2020, recording a negative
growth of (-) 0.87 per cent, as compared to Non-
Oil and Non-Gold imports of USD 24.59 billion
in February 2019. Non-Oil and Non-Gold imports
were USD 289.61 billion in April-February 2019-
20, recording a negative growth of (-) 7.06 per cent,
as compared to Non-Oil and Non-Gold imports
USD 311.60 billion in April-February 2018-19.
II. TRADE In SERVICES
EXPORTS (Receipts)
As per the latest press release by RBI dated 13
March 2020, exports in January 2020 were USD
18.99 billion (Rs. 1,35,389.25 crore) registering a
positive growth of 6.99 per cent in dollar terms, vis-
à-vis January 2019. The estimated value of services
export for February 2020* is USD 19.48 billion.
IMPORTS (Payments)
As per the latest press release by RBI dated 13
March 2020, imports in January 2020 were USD
12.00 billion (Rs. 85,583.69 crore) registering a
positive growth of 8.83 per cent in dollar terms, vis-
à-vis January 2019. The estimated value of service
import for February 2020* is USD 12.43 billion.
III. TRADE BALAnCE
MERCHAnDISE: The trade deficit for February
2020 was estimated at USD 9.85 billion as against
the deficit of USD 9.72 billion in February 2019.
SERVICES: As per RBI’s Press Release dated 13
March 2020, the trade balance in Services (i.e. Net
Services export) for January 2020 is estimated at
USD 6.98 billion.
OVERALL TRADE BALAnCE: Taking
merchandise and services together, overall trade
deficit for April-February 2019-20* is estimated at
USD 67.81 billion as compared to USD 100.74
billion in April-February 2018-19.
*note: The latest data for services sector released by RBI is for January 2020. The data for February 2020 is an estimation, which will be revised based on RBI’s subsequent release.
15
16
MeRCHANdIse TRAdeEXPORTS & IMPORTS: (US $ Billion)
(PROVISIOnAL)
FEBRUARy APRIL–FEBRUARy
EXPORTS (including re-exports)
2018-19 26.87 297.36
2019-20 27.65 292.91
%Growth 2019-20 / 2018-19 2.91 -1.50
IMPORTS
2018-19 36.59 470.36
2019-20 37.50 436.03
%Growth 2019-20 / 2018-19 2.48 -7.30
TRADE BALAnCE
2018-19 -9.72 -173.00
2019-20 -9.85 -143.12
EXPORTS & IMPORTS: (Rs. Crore)
(PROVISIOnAL)
FEBRUARy APRIL–FEBRUARy
EXPORTS (including re-exports)
2018-19 1,91,345.27 20,80,407.94
2019-20 1,97,646.12 20,67,408.73
%Growth 2019-20 / 2018-19 3.29 -0.62
IMPORTS
2018-19 2,60,603.47 32,90,920.85
2019-20 2,68,063.75 30,76,266.13
% Growth 2019-20 / 2018-19 2.86 -6.52
TRADE BALAnCE
2018-19 -69,258.21 -12,10,512.91
2019-20 -70,417.63 -10,08,857.40
seRVICes TRAdeEXPORTS & IMPORTS (SERVICES): (US $ Billion)
(Provisional) JAnUARy 2020 APRIL-JAnUARy 2019-20
EXPORTS (Receipts) 18.99 179.26
IMPORTS (Payments) 12.00 110.99
TRADE BALANCE 6.98 68.26
EXPORTS & IMPORTS (SERVICES): (` Crore)
(Provisional) JAnUARy 2019 APRIL-JAnUARy 2019-20
EXPORTS (Receipts) 1,35,389.25 12,64,028.50
IMPORTS (Payments) 85,583.69 7,82,742.64
TRADE BALANCE 49,805.56 4,81,285.86
Source: RBI Press Release dated 13th March 2020
note: The latest data for services sector released by RBI is for January 2019. The data for February 2020 is an estimation, which will be revised based on RBI’s subsequent release.
17
ReCeNT JudgeMeNTs IN
VAt Cst GstShri V.V. Sampathkumar
Chairman, Indirect Taxes Sub-Committee, ACC
Stockvariation: Both the appellate authorities
below have concurrently held in favour of the
Assessee that on account of the minor stock variations
found during the course of survey, the Assessing
Authority could not have assessed separate turnover
at the hands of the Assessee. The Court held that
the findings arrived at by the authorities below are
justified and based on relevant and cogent materials
and stating so, the tax case is devoid of merits and
the same is dismissed. DC(CT), Chennai (Fast)
Division, Chennai 6 vs. Tvl. Whirlpool of India
Ltd., TCno.4 of 2020 DATED: 29.01.2020
Purchase tax: Planting subsidy, transport subsidy
and transport charges paid to third party lorry
owners are to be included to the purchase price of
sugarcane and purchase tax is due on the entire gross
amount Tvl.Sakthi Sugars Limited, Vs. DC (CT)
TCno.5 of 2020 DATED: 29.01.2020
Writ Petition: In view of the litigation policy, since
the Revenue’s stake is less than the prescribed limit
mentioned in G.O. (Ms) No.105, CT and R (D1)
Department, dated 25.07.2019. the Writ Petition
is dismissed in view of the aforesaid submission.
DC(CT), Chennai (north) Division, Vs. Tvl.Jain
Impex, W.P.1053/2005 Dated: 28/01/20 DATED:
28.01.2020
Penalty u/s 10A CST: Following the ratio of
rulings in 109 STC 392(Mad), 148 STC 256 (Mad)
and (2007) 3 SCC 124(SC ) this Court held that the
learned Appellate Tribunal was justified in holding
that the Assessee was entitled to purchase the said fuel
viz., diesel, for its generator set and even though the
same was not separately included in the Registration
Certificate DC(CT) Vs Tvl. Chola Textiles Ltd,
WP.46181/2002 Dated: 27/01/20
Stock transfer: Relying on the ratio of rulings in
W.P.No.14193 of 2001, dated 9.12.2019) and in the
case of The DC (Court) Chennai (North) Division
vs. Tvl.P.M.P. Iron and Steel India Ltd., reported in
(18) TNCTJ 76) the court held that the turnover
in question to be Stock Transfer/Branch Transfer
made by the Assessee and the same does not amount
to inter-State Sales. DC(CT) Chennai (East)
Division,Vs Tvl.Aby Engineers and Consultants
(P) Ltd., WP.36978/2002 Dated 21/01/20
Classification, Industrial Cables: In the case
of Anchor Electrical (P) Ltd. Vs. Commissioner,
Sales Tax [2014] 71 VST 427,(Del) after taking into
consideration of the definition of “cable” as defined
under Section 2(g) of the Industrial Electricity Rules:
“Voltage” in Section 2(av) of the Indian Industrial
Electricity Rules, it was held that 1100 volts cable as
ARTICLES FROM MEMBERS
18
high voltage cables, which are industrial cables and
taxable at 5% M/s. Classic Associates, Vs. CTO,
Purasawakkam Assessment Circle, W.P.nos.35025
to 35027 of 2015 DATED: 06.01.2020
Purchasetax: Purchase tax payable under
Section 12(1) of the Act has to be paid in cash only
and available input tax credit cannot be used Tvl
TCS Textiles PLtd, Vs AC (CT), north Circle,
W.P.no.31767 of 2014 Dated 06.01.2020.
Objections filed: As the impugned orders have
been passed without considering these objections
of the petitioner though they were filed by the
petitioner, this Court quashed the impugned
proceedings and remitted back the cases M/s. Alfab
Products, vs. AC (CT), Vadapalani Assessment
Circle, W.P.nos.16428 to 16431 of 2014 DATED:
09.01.2020
Input Tax Credit Capital goods at 12.5%: The
dealer who sold the capital goods to the petitioner
charged VAT at 12.5% can claim input tax credit
of the full 12.5%, if paid, even though the rate of
VAT for Capital goods is 4% Visteon Automotive
Systems Pvt. Ltd., vs DC (CT) IV(FAC), LTU,
Chennai W.P.no.32655 of 2015 DATED:
13.01.2020
non-speaking order: The impugned order has
not discussed as to how the penalty in the form of
interest has been levied. It appears that no notice was
also issued to the petitioner before the impugned
order was passed. Further, the impugned order is
also non-speaking. Hence, the impugned order is set
aside and the case is remitted back to the respondent
Fisherman’s Cove, vs AC (CT) Chengalpattu
Assessment Circle, W.P.no.25768 of 2012
DATED: 13.01.2020
Trade Discount: Petitioner is a dealer in motor cars
and received trade discount from the manufacturer.
The trade discount is an incentive given by the
manufacturer based on the performance of the
Petitioner. There are two independent transactions.
One transaction is between the manufacturer who
is also a dealer who had passed on incentives to the
Petitioner and the second transaction between the
Petitioner and its buyers of its retail show room to
whom the Petitioner has sold the cars. As these
two are independent transactions there is no basis
on which the trade discount passed to it by the
manufacturer (dealer) to the Petitioner can be added
in to the taxable turnover of the Petitioner for the
purpose of assessment under the TNVAT Act,
2006. Stating so, the writ petition stands allowed
even though the Petitioner has an alternate remedy
by way of appeal. KUn Motor Company Pvt.
Ltd., Vs AC CT), nandambakkam Assessment
Circle, Chennai W.P.no.37775 of 2015 DATED:
20.01.2020
Shri. R R Padmanabhan Chairman,Foreign Trade and
Skill Development Sub-Committees, ACC.
tailoring skillthrough
Andhra Chamber shows the way!
Teach them to fish, instead of giving them one!
Unassuming and silent has always been the way, we at
Andhra Chamber work! Realising the importance of skill
gap existing in the country, that too, the country in the
world that enjoys demographic dividend, Andhra Chamber’s skill
development sub committee was tasked with finding a suitable
avenue to participate in skill imparting activity. After several
iterations, imparting of tailoring skill for the womenfolk in the
neighbourhood was chosen.
The Economic Background
• Provision of income earning skills training is a game changer
for women particularly of lowest segment of society.
• These women are of age group between 20 and 40.
• They are neither in schools/colleges/training institutes nor in
factories or offices.
• One estimate puts this category as constituting 27% of women
population in the country.
• Thus contributing nothing to their family income and economy.
• They are all engaged in daily chores of their homes.
• At the most some of them may be working as domestic help in
their neighbourhood.
• Typically, in these families there is only one income earner.
• By the force of environment, the men are susceptible to
unhealthy habits like drugs, liquor and other vices.
• There is always a quarrel among couple over money matter and
money earned is squandered.
19
20
Objectives of the project
• Identify suitable beneficiaries from the distraught
section of the society.
• Impart short term skill using which the
beneficiaries earn income to contribute to the
family kitty.
• Tailoring was chosen as the skill to be imparted
as this profession is considered as essential and
recession proof.
Identification of Beneficiaries
• The beneficiaries could be reached through the
help of Miss Abhinaya Ravikumar, a second year
student of MA in Social Work of Stella Maris
College. She visits the place and interacts with
the women as part of her study.
• Similarly, Mrs. Pushpa, a field Executive of a
NGO, Tamilnadu Domestic Workers Union
working with these women also helped.
neighbourhood first policy
• The area is located at TN Slum Clearance
tenement, Saidapet.
• On interaction with them, they expressed their
willingness to learn this skill as that would
enhance their income.
• They expressed their inability to fund their
training.
Selection of Training Partner
• A nearby Tailoring Institute was located in view
of the proximity for these people.
• M/s Mass Tailoring Institute has been in existence
since 1978, with 4 locations in West Mambalam,
Selaiyur, Medavakkam and Pallavaram.
• So far, they have trained more than 16000
women in the trade.
• The unit has been a certified training provider of
MSME, Government of India.
Course Duration and Certification
• 1 month for 2 hours every day.
• The course can commence any time.
• M/s Mass Tailoring Institute will issue a certificate
at the end of the satisfactory completion of the
program.
At the Executive Committee meeting on the
27th Jan 2020, the plan was discussed and decided
to implement. The cost of training was sponsored
by some of our Executive Committee members.
A minimum amount of ` 200 was collected from
the beneficiaries to have a sense of ownership and
21
participation out of the required Rs.3700 per
beneficiary. The no of beneficiaries were 16. The
date of commencement of training was fixed as 5th
February 2020 to be completed by 5th March 2020.
On discussion, it was decided that the training
would be for the following items:
1. Chudidar set
2. Frock
3. Skirt
4. Blouse. Later lining blouse was also included.
The Chamber always believes in hands on
approach. No doubt the training was outsourced
for reasons of practicality; but constant touch
with the beneficiaries and the service provider was
maintained. The beneficiaries are really happy that
they have a skill now on their hands!
But Chamber does not intend to pause with this!
What is imparted is a hard skill. To sustain this
hard skill, soft skills are needed. Yoga (specific to
women), meditation and exposure to useful topics
like good parenting, interpersonal relationships,
communication and importance of saving habits
are to be taught at chamber’s premises at the end
of tailoring program. This is program is by The
Heartfulness Institute, Chennai. This will be a 3-day
program for about 2 hours each day.
Where do we go from now?
The size of the batch was limited to 16 since this is
a first batch and we wanted to test the waters. There
is a demonstration effect in the beneficiaries’ place of
residence. Many are forthcoming. The next batch is
raised to 20 and there are sponsors too for the batch!
How can we contribute?
We can set the sail of a human being in to a
different direction for a mere 3500 Rupees. You can
also donate partly or fully a sewing machine. You can
get job orders for these people. You can connect to
organizations that are already on the job. In any case,
please contact us.
Let us take a small step and it is a leap forward
for someone!
(The views expressed are solely of the author)
22
Article by Mr. S. Prakash
Navigating organizational change is like
walking a high-wire with too much
anxiety on one side and not enough
anxiety on the other. Here are a few things CLOs
(Chief Learning Officers) should keep in mind as
they tread along the tight rope.
The pace of change has outgrown our ability to
reinvent ourselves. We have little time to respond to
one change before the next wave crashes upon us.
This puts us and our organizations in a permanent
state of transformation. Life and business have
become tangled webs of possible pathways through
an unfamiliar landscape.
We all need to find a new way of living and leading
in a world of continuous change. Leaders at all levels
must learn to feel at home in uncharted territory and
to make friends with ambiguity and anxiety. These
goals present huge challenges to learning officers
around the globe.
There are two equally important aspects of leading
change in the 21stcentury. The first is cognitive,
which involves clarifying the vision, strategy and
goals of the organization to help people focus on
what’s important. Most companies are good at this.
The second is emotional, which involves
facing the unknown with courage and confidence,
inspiring and challenging people to do their best and
mobilizing human energy. This is the part of change
companies need to master. Those that don’t will
continue to lose to the competition as they attempt
to deal with change after change.
Great leaders are adept at leading both the
cognitive and emotional sides of change. In my 35
years as a entrepreneur and CEO adviser, meeting
face-to-face with several top business leaders, I’ve
seen first-hand their uncommon ability to tackle the
intellectual and emotional challenges of change by
transforming the anxiety of change into productive
energy.
It is this capability to harness and direct anxiety
- to create just enough anxiety - that enables these
successful leaders to master the emotional side of
change. And it is this capability that we must teach
executives and managers if organizations are to thrive
in a topsy-turvy world.
What is just enough anxiety? It is the right level of
anxiety - at any given moment in time - that drives
people forward without causing them to resist, give
Mastering the
"Emotional S ide" Of CHANGE
23
up of try to control what happens. It unleashes
creativity and enables executives and managers to
stretch beyond current reality into their desired
future, closing the gaps that change creates - gaps
between who they are and who they wish to be and
between where their organizations are and where
they are headed.
Just enough anxiety is the tool for leading the
emotional side of change. To live and lead with just
enough anxiety, leaders at all levels must be taught
to reframe how they look at change and uncertainty,
what they believe about themselves in the world,
how they understand and use anxiety, and how they
live and lead in paradox. Let’s take a closer look at
these new emotional capabilities and what it is we
need to teach.
1. Teach People to Reframe How They Look at
Change and Uncertainty
Change and uncertainty are facts of life. Executives
and managers who want things to stay the same or
who believe stability is a sign of success are certain
to resist these facts. To them, threats to the status
quo must be fought and vanquished. Yet, by being
attached to the ways things are, they sabotage their
ability to live with uncertainty.They end up denying
reality - and forfeiting their capacity to handle
change - if they become attached to pleasure and
try to avoid discomfort; if they become attached to
praise and try to avoid criticism; or if they become
attached to getting what they want and try to avoid
losing what they have.
It is this attachment to stability that causes
executives and managers to magnify or suppress their
anxiety when circumstances start to change, as they
always will. Only by learning to allow themselves to
feel their insecurity, discomfort, confusion and pain
can they make the most of change.
This can be a tough concept to teach. But to
build an organization responsive to change, we must
help leaders at all levels detach themselves from
any particular point of view. We must encourage
them to accept new ideas, especially those that
contradict or expand what they think they know.
This will help them reframe how they look at change
and uncertainty, from a crisis to be avoided to an
opportunity to learn and grow.
2. Teach people to Reframe What They Believe
About Themselves
When faced with change, many executives and
managers bring self-defeating beliefs to the table,
which make it hard for them to lead the emotional
side of change. Some think they have to be right all
the time, handle everything on their own or achieve
predictable results. Some believe they have to avoid
conflict to be accepted or admired, or that they will
be seen as incompetent if they can’t answer every
question or if they make a mistake.Others believe
their anxiety is a sign of weakness, rendering them
powerless to act in the midst of uncertainty.
These self-defeating beliefs become self-fulfilling
prophecies. They determine what makes people
anxious and the amount of anxiety they feel. And
they lead to individual failures and the inability of
organizations to navigate change.Helping people
uncover deep-seated, self-defeating beliefs is at the
heart of leading the emotional side of change. We
need to give leaders at all levels the opportunity and
guidance they need to uproot the beliefs that sabotage
change efforts. We need to help them develop self-
affirming beliefs, such as:
1. It is OK to risk being wrong.
2. It is OK to learn from mistakes and move on.
3. It is OK to speak up, even when others disagree.
This will enable them to reframe what they
believe about themselves in the world and help their
mindset change from self-defeating to self-affirming.
3. Teach People to Reframe How They Understand
and Use Anxiety
For our primitive ancestors, anxiety was a
lifesaver. It signalled the need to fight or flee. But
today’s challenges are too numerous to consider all
anxiety as a precursor to danger, something to be
avoided or overcome.
24
There are three basic levels of anxiety: too much, too little and just enough. People who get hijacked by fear succumb to too much anxiety and are unable to perform well. Their lives feel chaotic and out of control. People who avoid or deny fear live with too little anxiety and are far toocomplacent to take advantage of opportunities that come their way. Their lives become boring and mechanical. But people who hold just enough anxiety are able to use that anxiety to face uncertainty, conquer change and perform their best. Successful leaders do this, not only for themselves, but for the people in their organizations, as well. They understand the importance of knowing how much anxiety is just enough.
Daniel Vasella, the chairman and CEO of Swiss pharmaceutical giant Novartis AG, said: “It’s important to put stretch goals out there and create enough healthy anxiety so people are leaning into the future. If you go overboard, you create paralysis, and if you go too slow, it’s too cosy. So the question is: How far can you go?”
Finding the right level of anxiety to drive an organization forward is more art than science. “Just enough” can differ from person to person and company to company, and change with time and circumstance. We must encourage executives and managers to monitor anxiety levels, observe people’s behavior and continually turn the heat up or down accordingly. We must help them recognize the signs of too much and too little, and guide them toward just enough. This will engage them in reframing how they understand and use anxiety to lead change.
4. Teach People to Reframe How They Live and Lead in Paradox
The world is too complex for simple, one-dimensional solutions. Your executives and managers limit their options and short-change your organization by trying to lead from a single perspective.
The best leaders, especially those who lead with just enough anxiety, are seasoned veterans of living and leading in paradox. They display seemingly
opposing characteristics simultaneously.
There are three key paradoxes that enable top
leaders to create just enough anxiety in themselves and
others: realistic optimism, constructive impatience
and confident humility. Let’s look at how they do
this and explore what your people need to learn.
“Realistic optimism” is the ability to tell
the truth about the present while dreaming
the future. It involves living “here” and “there”
simultaneously. When leaders do this, they heighten
their organizations’ focus, instil a sense of common
purpose and create a clear mental image of success.
Just ask Dennis Nally of PwC. When the well-
established audit and consulting firm was upended
by changes in accounting standards, the anxiety
throughout the organization was palpable. As the
senior partner of PwC in the United States, it was
Nally’s job to help people face the reality of the
situation while painting a picture of the future that
would inspire them to even greater heights.
Nally faced the challenge head-on. By focusing
PwC’s 2,200 partners on both obstacles and
possibilities, he got everyone on-board the same boat,
headed in the same direction and energized to reach
the same goal. He took advantage of the opportunity
hidden in the change and led the partnership to the
company’s next level of growth.
“Constructive impatience” is the ability to build
a positive, supportive environment while instilling
in people a drive for results. It involves learning
to be comfortable with discomfort and balancing
a sense of urgency with compassion and patience.
When leaders do this, they foster people’s hunger
to get ahead and challenge them to stretch their
capabilities, while providing them with what they
need to succeed.
Cadbury Schweppes CEO Todd Stitzer knows
that his ability to stretch people beyond their limits
in a constructive way is the key to achieving his
goal. When he became CEO in 2003, he challenged
people to make the company the very best it could
be - not an easy task for a company that competes
with giants such as Nestle and Coke. But Stitzer
knew that “being among the best, feeling that you’ve
danced with elephants and avoided being stomped
on, appeals to a lot of people.” So he set a goal to
be a top quartile performer in the industry. Under
his leadership, Cadbury has undergone a $10 billion
acquisition spree, ramped up profits and outpaced
Coca-Cola and Pepsi in market-share growth in the
U.S. soft drink market. It’s now number one or two
in 23 of the world’s top 50 confection markets. By
asking for the slightly impossible, he created just
enough anxiety to get people on-board and move
them forward.
“Confident humility” is the ability to lead with
power and generosity at the same time. It involves
being sure of yourself while openly listening and
learning from others. When leaders do this, they
build trust, develop productive relationships and
create high-performing teams.
Sally Jewell is a great example. Since taking the
reins at REI, she brought the company back from
the brink of disaster by building solid relationships
with employees, customers and the world at-large.
She started by sharing the fundamental building
blocks of the financial side of the business at
town-hall meetings, giving everyone the chance
to participate.”It was like a bucket of ice water on
employees,” she said. “They didn’t realize that our
performance had been declining on a number of key
measures for several years.”
But Jewell’s confidence in herself and her
collaborative style paid off. REI now operates more
than 80 stores in 27 states, with more than 8,000
employees - and also has the largest outdoor store
on the Internet. Additionally, company sales in 2005
surpassed $1 billion, and it is consistently recognized
as one of the “100 Best Companies to Work For” in
the United States by Fortune magazine.
These four reframes enable great leaders and
their organizations to lead both the cognitive
and the emotional side of change. They are clear
differentiators of success.
As a chief learning officer, you can help your
executives and managers learn to create just enough
anxiety to propel your organization through change
after change. You can teach them to look for
opportunities in change and uncertainty, develop
self-affirming beliefs about their ability to lead
change, understand and use anxiety as a positive
and powerful force in their lives, and live and lead
in paradox. Through their actions, your organization
will consistently close the gaps between where it
is and where it’s going. It will have mastered the
emotional side of change.
(The views expressed are solely of the author)
25
26
Article by Mr. CS.U.Siddharth
LIABILITY OF DIRECTORSSection 179 of Income Tax Act, 1961, provides
that, where any tax due from a private
company in respect of any income of any
previous year or from any other company in respect
of any other income of any previous year during
which such other company was a private company
cannot be recovered, then every person, who was a
director of private company at any time during the
relevant previous year shall be jointly and severally
liable for the payment of such tax unless he proves
that the non-recovery cannot be attributed to any
gross neglect, misfeasance or breach of duty on his
part in relation to the affairs of the Company.
It means a director of a private limited company
is personally liable for tax due of any previous year
during which he was director of the company. The
revenue in many cases applied principle of lifting
corporate veil, in which the principal controlling and
beneficial person is identified, who are controlling
affairs of the Company. As we know that majority of
private limited companies are owned by families and
some of them are closely held companies. In these
cases, directors/shareholders/members of company
cannot hide behind corporate veil of company.
A Company as defined, is a separate entity than
its members, having right to sue and be sued, right to
have assets, create liabilities and appoint directors to
run its business. A company works through natural
persons and the liability of members are limited to
the nominal value of shares they have taken and
allotted by the company.
But in cases of fraud, misfeasance or breach of
provisions of applicable laws, revenue has right to
lift the corporate veil to find out controlling and
beneficial person behind the company and recover
tax dues from their personal assets.
If a director proves before the authority that he
has taken all reasonable steps to pay taxes, but non-
recovery of tax dues cannot be attributable to any
gross neglect, misfeasance or breach of any duty on
his part in relation to the affairs of the company.
Note: Tax Dues includes any penalty, fees and
interest or any other sum payable under Act. Section
179 of Income Tax Act, 1961: Pravin Bhai M. Khem
Vs. ACIT(2013)213 Taxmman 82(Guj) provisions
not applied to a public limited company, but where
a public company was only a conduit for creation of
unaccounted money and appropriating , its directors-
cum-shareholders ,who were 7 in numbers and all
of them being family members, it was held that if
these facts are duly established, principal lifting of
corporate veil should be applied and by application
of Section 179 of the Act, recovery of tax due of the
Company can be sought from the directors .
Padmashi Devji Vithlani Vs. CIT (2014)44
Taxmann 231(Guj): it was held that the first and
foremost requirement of applicability of Section 179
of Income Tax Act, 1961 is that director from whom
such recovery is sought to be made is a director of the
Company. Where the assessee joined the company as
a director only after it was converted into a public
company, impugned order passed under Section 179
on assessee was liable to be quashed.
Jashvantlal Natvarlal Kansara Vs. ITO(2014)
362 ITR 115(GUJ): where it was established from
material on record that there was no gross neglect,
misfeasance or breach or duty on the part of assessee
in relation to the affairs of the company , it was held
that the given impugned order under Section 179(1)
of Income Tax Act, 1961 liable to be quashed.
Liability of directors for tax dues of a private
limited company arises only when the arrears cannot
be recovered from the Company.
Dipak Dutta Vs. UOI (2014) 286ITR302(Cal):
it was held that every person who was director of a
private limited company during the relevant year can
be made jointly or severally liable to pay the arrears
of tax provided that the Income Tax Department
is unable to recover outstanding taxes from the
Company.
The Department have to prove in these cases that
they have taken all steps to recover tax dues from
company, but failed. Any action under provisions
of Section 179 of Income Tax Act, 1961, without
establishing that tax dues cannot be recovered by the
Company is invalid. If an assessing officer (AO) has
not taken all steps to recover tax due from company,
he cannot issue notice or take action against directors
of the Company under Section 179.
H. Ebrahim Vs. DCIT(Kar)2009 Taxmann 185:
it was held that for invoking Section 179 it is not
necessary that all three ingredients i.e. gross neglect,
misfeasance and breach of duty are satisfied. It is
sufficient, if it is held that there is gross neglect,
or misfeasance or breach of duty on the part of
directors in the affairs of the Company. Thus, where
a company has not filed returns for a period of 10
years and not in a position to pay taxes as demanded
by the revenue. In this case it could be said that there
was gross negligence on the part of directors and
provisions of Section 179 can be imposed on them.
Conclusion:
A Company incorporated under provisions of Companies Act, 1956/2013 is a separate corporate entity other than its members. It has its own rights and powers such as right to have assets and liabilities, to sue and be sued on its own name. The liability of members is limited to nominal value of shares allotted to them. There are two types of companies, Private and Public. A Private Company in which number of members are limited and various provisions of Companies Act, 2013 are not applicable to them. They are generally controlled by family members, close relatives or friends. We can easily find their beneficial owners, who control these companies. In case these companies are not able to pay tax dues, then revenue can ask from their directors to pay the taxes. But for revenue it is necessary to take all steps to recover tax dues from the company. Now if in case of gross negligence, misfeasance or breach of duty by directors in affairs of company proved, then directors are personally liable to pay the tax dues from their personal assets.
27
CONSUMER PRICE INDEX NUMBERS FOR INDUSTRIAL WORKERS
(BASE 2001=100)
sl. No Centre Jan 2020
ALL INdIA 330
ANdHRA PRAdesH
1. Guntur 302
2. Vijayawada 306
3. Visakhapatnam 314
AssAM
4. Doom Doom Tinsukia 301
5. Guwahati 293
6. Labac-Silchar 282
7. Mariani Jorhat 277
8. Rangapara Tezpur 264
BIHAR
9. Munger Jamalpur 366
10. CHANdIgARH 325
CHHATTIsgARH
11. Bhilai 342
12. delhi 314
gOA
13. Goa 345
guJARAT
14. Ahmedabad 295
15. Bhavnagar 307
16. Rajkot 312
17. Surat 285
18. Vadodra 290
HARAYANA
19. Faridabad 292
20. Yamunanagar 315
HIMACHAL PRAdesH
21. Himachal Pradesh 282
JAMMu & kAsHMIR
22. Srinagar 301
JARkHANd
23. Bokaro 318
24. Giridih 366
sl. No Centre Jan 2020
25. Jamshedpur 381
26. Jharia 377
27. Kodarma 404
28. Ranchi Hatia 413
kARANATAkA
29. Belgaum 322
30. Bengluru 308
31. Hubli-Dharwar 353
32. Mercara 320
33. Mysore 327
keRALA
34 Ernakulam 336
35. Mundakayam 334
36. Quilon 376
MAdHYAPRAdesH
37. Bhopal 342
38. Chhindwara 325
39. Indore 298
40. Jabalpur 337
MAHARAsHTRA
41. Mumbai 322
42. Nagpur 406
43. Nasik 380
44. Pune 362
45. Sholapur 350
ORIssA
46. Angul Talcher 349
47. Rourkela 335
48. PUDUCHERRY 332
PuNJAB
49. Amritsar 357
50. Jalandhar 337
51. Ludhiana 316
RAJAsTHAN
52. Ajmer 299
28
sl. No Centre Jan 2020
53. Bhilwara 308
54. Jaipur 326
TAMILNAdu
55. Chennai 292
56. Coimbatore 303
57. Coonoor 350
58. Madurai 321
59. Salem 310
60. Tiruchirapally 331
TeLANgANA
61. Godavarikhani 348
62. Hyderabad 275
63. Warangal 332
TRIPuRA
64. Tripura 278
uTTAR PAdesH
Source: Labour Bureau, Shimla
sl. No Centre Jan 2020
65. Agra 382
66. Ghaziabad 350
67. Kanpur 364
68. Lucknow 362
69. Varanasi 358
WesT BeNgAL
70. Asansol 354
71. Darjeeling 287
72. Durgapur 336
73. Haldia 403
74. Howrah 303
75. Jalpaiguri 291
76. Kolkata 296
77. Raniganj 313
78. Siliguri 299
29
30
UPDATATION OF MEMBERSHIP DETAILS
Kind Attn: Members
Dear Sir/Madam;
We are updating the database – Members business details in our records. We request you to kindly
inform the Chamber if there are any changes in your mailing list – Address, contact details, Name of the
representative, change in the Email-ids and Telephone numbers in the below mentioned format.
Please forward the same to the Chamber by Email: [email protected] duly filled in for
making necessary changes in our records. Please extend your cooperation support in this regard without
delay.
name of the company / individual
postal Address
Telephone
Fax
Mob
Est.
Website
GST no
name of the representative –
Designation in the company
Bank
Manufactures of
Exporters of
Importers of
Picture Gallery symposium on Central Budget 2020-21,Chennai - Feb 3, 2020
31
symposium on Central Budget 2020-2021 at Visakhapatnam - Feb 3, 2020
32
symposium on Central Budget 2020-2021 at Hyderabad - Feb 4, 2020
33
34
MsMe Lecture series on “A day with socrates”, Chennai - Feb 5, 2020
session on Budgetary changes on taxes- Recent changesin gsT, Vijayawada - Feb 18, 2020
35
skill development Training on Tailoring, Chennai - Feb 5, 2020 - Inaugural ceremony
36
Presentation on “The era of Convenient Banking”Chennai - Feb 26, 2020
37
Agriculture and Food security in India - Feb 28, 2020
37
38
12 Issues of each 1/2 page will be 12500/- per annum plus GST
12 Issues of full page will be 20,000/- per annum plus GST
First come first serve basis the space will be allotted. Member organisations will be give first preference. We welcome your support
to have more reach out and more viewing for your Advt and Business.
Please contact Mr. n. ravikumar, Joint Secretary, Andhra Chamber of Commerce
Tel : + 91 44 24315277 +91 9840248688Email : [email protected]
ACC Bulletin - Advt tariff
Edited, Published and Printed by Andhra Chamber of Commerce at
“Velagapudi Ramakrishna Building”, #23, Third Cross Street, West C.I.T. Nagar, Nandanam,
P.B. No.3368, Chennai-600 035. (Phones: 044 - 2431 5277 / 2431 5278 / 2431 5279)
Email ID: [email protected] / [email protected]
our other Chapters
SECUnDERABAD OFFICE:
“T.G. Venkatesh Bhavan”, 602 & 603, Chenoy Trade Centre, 116, Park Lane, VI Floor, P.B. No. 1716,
Secunderabad – 500 003, Telangana State. Phone: 040-27840844, Fax: 040-27840767;
Email: [email protected] | Shri G. Ramanjaneyulu, Deputy Secretary.
VISAKHAPATnAM OFFICE:
Door No. 43-19-30, Venkataraju Nagar, Dondaparthy, Near T.S.N. Colony, Visakhapatnam – 530 016,
Andhra Pradesh. Phone: 0891-2792220, Fax: 0891-2792221, Email: [email protected]
SHRI V. THRInADHA RAO, Deputy Secretary.
VIJAyAWADA OFFICE:
Siddhartha Hotel Management College Premises, Pinnameneni Poly Clinic Road, Technical Nagar,
Vijayawada – 520 010 (A.P). Phone: 0866-2472500, Email: [email protected]
SHRI n. RAJA RAO, Joint Secretary.
In the service of Public for more than 56 years
Winning client’s trust with unmatched professionalism
Investigation • Pre & Post Matrimonial • Pre & Post Employment • Industrial Theft & Fraud • Undercover Operation
FOR TOTAL SECURITY SOLUTIONS IN INDIA
GLOBE DETECTIVE AGENCY
Security • Consultation • Trained Man Power • 24 x 7 Control Room • Client Support
Facility • House Keeping • Pantry Services • Guest House Mgmt • Garden Member
Electronics • Access Control • Burglar Alarm • Fire Alarm • CCTV
Chennai No.152, Agurchand Mansion , Mount Road, Chennai-600 002. Tel: +91–44–42919500–599; E-mail: [email protected] Bengaluru Tel: +91-80-25717905/06;
E-mail: [email protected]; Delhi Tel: +91–11–26432221/26432681; E-mail: [email protected] Mumbai Tel: +91-22-22028751/22023578; Email: [email protected] Ahmedabad, Ambur, Coimbatore, Jamshedpur, Kochi, Kolkata, Lucknow, Madurai, Mysore, Puducherry, Pune, Secunderabad, Sriperumbudur, Vapi, Vizag.
www.globedetective.com
39
In the service of Public for more than 56 years
Winning client’s trust with unmatched professionalism
Investigation • Pre & Post Matrimonial • Pre & Post Employment • Industrial Theft & Fraud • Undercover Operation
FOR TOTAL SECURITY SOLUTIONS IN INDIA
GLOBE DETECTIVE AGENCY
Security • Consultation • Trained Man Power • 24 x 7 Control Room • Client Support
Facility • House Keeping • Pantry Services • Guest House Mgmt • Garden Member
Electronics • Access Control • Burglar Alarm • Fire Alarm • CCTV
Chennai No.152, Agurchand Mansion , Mount Road, Chennai-600 002. Tel: +91–44–42919500–599; E-mail: [email protected] Bengaluru Tel: +91-80-25717905/06;
E-mail: [email protected]; Delhi Tel: +91–11–26432221/26432681; E-mail: [email protected] Mumbai Tel: +91-22-22028751/22023578; Email: [email protected] Ahmedabad, Ambur, Coimbatore, Jamshedpur, Kochi, Kolkata, Lucknow, Madurai, Mysore, Puducherry, Pune, Secunderabad, Sriperumbudur, Vapi, Vizag.
www.globedetective.com
40
41
THE KCP LIMITED
CEMENT PLANT MUKTYALA CEMENT PLANT MACHERLA
SUGAR INDUSTRY
VIETNAM
HEAVY ENGINEERING
CHENNAI
POLAVARAM PROJECT
SRISAILAM DAM NAGARJUNA SAGAR DAM
SRI KANAKADURGAMMA VARADHI
Registered Office: “Ramakrishna Buildings” No. 2 Dr. P.V. Cherian Crescent, Egmore, Chennai- 600008 Tel: +9144-66772600 / 66772667, Fax: 66772620 CIN65991TN1941PLC001128
Cement Marketing Head Quarter: Plot No. 10, Gayatri Hills, MP & MLA’s Colony Road No. 10 C, Jubilee Hills, Hyderabad - 500033 Tel: 040 2325 3503 to 3505, Cell: +91 9866305145 / 9989597775, E-mail: [email protected]
42