On 20th july 2018 Central Board of Direct Tax notify
(notification No. 33/2018) multiple changes in Tax Audit Report (Form 3CD)
which would come into force from 20th August 2018. In this article we will
inform about change in form 3CD, we have given point by point suggestion on
same for your reference.
■ POINT No &
PARTICULAR OF TAR
4. ''Whether the assessee is
liable to pay indirect tax like excise duty, service tax, sales tax, goods and
services tax, customs duty, etc. if yes, please furnish the registration number
or GST number or any other identification number allotted for the same''
● Sugg. measure
_________________________________________________________________
■ POINT No &
PARTICULAR OF TAR
19.Sec 32AD has been added to
the table under clause 19
● Sugg. measure
The amount allowed under
section 32AD of the income tax 1961 is to be reported
__________________________________________________________________
■ POINT No &
PARTICULAR OF TAR
24.''Amounts deemed to be
profits and gains under section 32AC or 32AD or 33AB or 33ABA or 33AC''
● Sugg. measure
Deemed gain under Sec 35AD is
to be reported
__________________________________________________________________
26. Clause (g) of Sec 43B which
relates to 'Sum payable to Indian Railways for use of Railway assets' has been
inserted.
● Sugg. measure
The required particulars
related to Clause (g) of Sec 43B are to be reported.
_________________________________________________________________
■ POINT No &
PARTICULAR OF TAR
29A. New Clause 29A has been
inserted as follows:
''(a) Whether any amount is to
be included as income chargeable under the head 'income from other sources' as
referred to in clause (ix) of sub-section (2) of section 56? (Yes/No)
(b) If yes, please furnish the
following details:
(i) Nature of income:
(ii) Amount thereof:'
● Sugg. measure
Any advance taken on transfer
of property which has been forfeited is to be reported in this clause
__________________________________________________________________
■ POINT No &
PARTICULAR OF TAR
29B. New Clause 29B has been
inserted as follows:
''(a) Whether any amount is to
be included as income chargeable under the head 'income from other sources' as
referred to in clause (x) of sub-section (2) of section 56? (Yes/No)
(b) If yes, please furnish the
following details:
(i) Nature of income:
(ii) Amount (in Rs.) thereof:'
● Sugg. measure
Any gift received which has to
be deemed as income in compliance with Sec 56(2)(x) is to be reported in this
clause.
__________________________________________________________________
■ POINT No & PARTICULAR OF TAR
30A. New Clause 30A has been
inserted as follows:
''(a) Whether primary
adjustment to transfer price, as referred to in sub-section (1) of section
92CE, has been made during the previous year? (Yes/No)
(b) If yes, please furnish the
following details:-
(i) Under which clause of
sub-section (1) of section 92CE primary adjustment is made?
(ii) Amount (in Rs.) of primary
adjustment:
(iii) Whether the excess money
available with the associated enterprise is required to be repatriated to India
as per the provisions of sub-section (2) of section 92CE? (Yes/No)
(iv) If yes, whether the excess
money has been repatriated within the prescribed time (Yes/No)
(v) If no, the amount (in Rs.)
of imputed interest income on such excess money which has not been repatriated
within the prescribed time:''
● Sugg. measure
Particulars regarding the
'Primary Adjustments in Transfer Pricing' as per Sec 92CE(1) are to be reported
in this clause.
__________________________________________________________________
■ POINT No & PARTICULAR OF TAR
30B. New Clause 30B has been
inserted as follows:
(a) Whether the assessee has
incurred expenditure during the previous year by way of interest or of similar
nature exceeding one crore rupees as referred to in sub-section (1) of section
94B? (Yes/No)
(b) If yes, please furnish the
following details:-
(i) Amount (in Rs.) of
expenditure by way of interest or of similar nature incurred:
(ii) Earnings before interest,
tax, depreciation and amortization (EBITDA) during the previous year (in Rs.):
(iii) Amount (in Rs.) of
expenditure by way of interest or of similar nature as per (i) above which
exceeds 30% of EBITDA as per (ii) above:
(iv) Details of interest
expenditure brought forward as per sub-section (4) of section 94B: AY and
Amount (Rs.)
(v) Details of interest
expenditure carried forward as per sub-section (4) of section 94B: AY and
Amount (Rs.)
● Sugg. measure
If the interest expenditure on
borrowing made from AE exceed 30% on EBITDA, assessee will have to report in
this clause.
__________________________________________________________________
■ POINT No & PARTICULAR OF TAR
30C. New Clause 30C has been
inserted as follows:
''(a) Whether the assessee has
entered into an impermissible avoidance arrangement, as referred to in section
96, during the previous year? (Yes/No)
(b) If yes, please specify:-
(i) Nature of the impermissible
avoidance arrangement:
(ii) Amount (in Rs.) of tax
benefit in the previous year arising, in aggregate, to all the parties to the
arrangement:'
● Sugg. measure
In case the assessee has
entered into an impermissible avoidance arrangement during the year, it shall
have to report its details under this clause.
__________________________________________________________________
■ POINT No & PARTICULAR OF TAR
31. Four new entries (ba),
(bb), (bc) & (bd) have been inserted in Clause 31 -
“(ba) Particulars of each
receipt in an amount exceeding the limit specified in section 269ST, in
aggregate from a person in a day or in respect of a single transaction or in
respect of transactions relating to one event or occasion from a person, during
the previous year, where such receipt is otherwise than by a cheque or bank
draft or use of electronic clearing system through a bank account:-
(i) Name, address and Permanent
Account Number (if available with the assessee) of the payer;
(ii) Nature of transaction;
(iii) Amount of receipt (in
Rs.);
(iv) Date of receipt;
(bb) Particulars of each
receipt in an amount exceeding the limit specified in section 269ST, in
aggregate from a person in a day or in respect of a single transaction or in
respect of transactions relating to one event or occasion from a person,
received by a cheque or bank draft, not being an account payee cheque or an
account payee bank draft, during the previous year:—
(i) Name, address and Permanent
Account Number (if available with the assessee) of the payer;
(ii) Amount of receipt (in
Rs.);
(bc) Particulars of each
payment made in an amount exceeding the limit specified in section 269ST, in
aggregate to a person in a day or in respect of a single transaction or in
respect of transactions relating to one event or occasion to a person,
otherwise than by a cheque or bank draft or use of electronic clearing system
through a bank account during the previous year:-
(i) Name, address and Permanent
Account Number (if available with the assessee) of the payee;
(ii) Nature of transaction;
(iii) Amount of payment (in
Rs.);
(iv) Date of payment;
(bd) Particulars of each
payment in an amount exceeding the limit specified in section 269ST, in
aggregate to a person in a day or in respect of a single transaction or in
respect of transactions relating to one event or occasion to a person, made by
a cheque or bank draft, not being an account payee cheque or an account payee
bank draft, during the previous year:—
(i) Name, address and Permanent
Account Number (if available with the assessee) of the payee;
(ii) Amount of payment (in
Rs.);
(Particulars at (ba), (bb),
(bc) and (bd) need not be given in the case of receipt by or payment to a
Government company, a banking Company, a post office savings bank, a
cooperative bank or in the case of transactions referred to in section 269SS or
in the case of persons referred to in Notification No. S.O. 2065(E) dated 3rd
July, 2017)'
● Sugg. measure
Receipts & Payment
exceeding the limit specified in Sec 269ST from non-banking channel is to be
reported under clause 31
__________________________________________________________________
■ POINT No & PARTICULAR OF TAR
31. Following substitutions
have been made in the clause 31 -
''(c) Particulars of each
repayment of loan or deposit or any specified advance in an amount exceeding
the limit specified in section 269T made during the previous year:—
(i) name, address and Permanent
Account Number (if available with the assessee) of the payee;
(ii) amount of the repayment;
(iii) maximum amount
outstanding in the account at any time during the previous year;
(iv) whether the repayment was
made by cheque or bank draft or use of electronic clearing system through a
bank account;
(v) in case the repayment was
made by cheque or bank draft, whether the same was taken or accepted repaid by
an account payee cheque or an account payee bank draft.
(d) Particulars of repayment of
loan or deposit or any specified advance in an amount exceeding the limit
specified in section 269T received otherwise than by a cheque or bank draft or
use of electronic clearing system through a bank account during the previous
year:—
(i) name, address and Permanent
Account Number (if available with the assessee) of the lender, or depositor or
person from whom specified advance is received;
(ii) amount of repayment of
loan or deposit or any specified advance received otherwise than by a cheque or
bank draft or use of electronic clearing system through a bank account during
the previous year.
(e) Particulars of repayment of
loan or deposit or any specified advance in an amount exceeding the limit
specified in section 269T received by a cheque or bank draft which is not an
account payee cheque or account payee bank draft during the previous year:—
(i) name, address and Permanent
Account Number (if available with the assessee) of the lender, or depositor or
person from whom specified advance is received;
(ii) amount of repayment of
loan or deposit or any specified advance received by a cheque or a bank draft
which is not an account payee cheque or account payee bank draft during the
previous year.'
● Sugg. measure
Receipts & Payment
exceeding the limit specified in Sec 269T from non-banking channel is to be
reported under clause 31
__________________________________________________________________
■ POINT No & PARTICULAR OF TAR
34. In the item (b), following
substitutions are to be made:
''(b) whether the assessee has
furnishedis required to furnish the statement of tax deducted or tax collected
within the prescribed time. If not yes, please furnish the details:
Tax Deduction and Collection
Account Number (TAN)
Type of Form
Due date for furnishing
Whether the statement of tax
deducted or collected contains information about all the transactions which are
required to be reported. If not, please furnish list of details/ transactions
which are not reported.
● Sugg. measure
In case, any transactions has
not been reported in the TDS/TCS return, its details need to be specified under
this clause.
__________________________________________________________________
■ POINT No & PARTICULAR OF TAR
36A. New Clause 36A has been
inserted as follows:
(a) Whether the assessee has
received any amount in the nature of dividend as referred to in sub-clause (e)
of clause (22) of section 2? (Yes/No)
(b) If yes, please furnish the
following details:-
(i) Amount received (in Rs.):
(ii) Date of receipt:';
● Sugg. measure
Any Deemed
dividend as per Sec 2(22)(e) received during the year is to be reported in this
clause.
__________________________________________________________________
■ POINT No &
PARTICULAR OF TAR
42. New Clause 42 has been
inserted as follows:
“(a) Whether the assessee is
required to furnish statement in Form No.61 or Form No. 61A or Form No. 61B?
(Yes/No)
(b) If yes, please furnish:
Income-tax Department Reporting
Entity Identification Number
Type of Form
Due date of furnishing
Date of Furnishing, if
furnished
Whether the Form contains
information about all details/ transactions which are required to be reported.
If not, please furnish
list of the
details/transactions which are not reported.
● Sugg. measure
In case, the assessee is
required to furnish Form 61 or 61A (Statement of Reportable Account) or 61B
(Statement of Financial Transactions) during the year shall have to report
under clause 42.
__________________________________________________________________
■ POINT No &
PARTICULAR OF TAR
43. New Clause 43 has been
inserted as follows:
“(a) Whether the assessee or
its parent entity or alternate reporting entity is liable to furnish the report
as referred to in sub-section (2) of section 286 (Yes/No)
(b) if yes, please furnish the
following details:
(i) Whether report has been
furnished by the assessee or its parent entity or an alternate reporting entity
(ii) Name of parent entity
(iii) Name of alternate
reporting entity (if applicable)
(iv) Date of furnishing of
report'
● Sugg. measure
If the entity is required to
furnish Country-by-country report in compliance of Sec 286 shall have to
mention the required particulars in this clause
__________________________________________________________________
■ POINT No & PARTICULAR OF TAR
44. New Clause 44 has been
inserted as follows:
“Break-up of total expenditure
of entities registered or not registered under the GST:
Total Amount of Expenditure
incurred during the year
Expenditure in respect of
entities registered under GST
Relating to goods or services
exempt from GST
Relating to entities falling
under composition scheme
Relating to other registered
entities
Total payment to registered
entities
Expenditure relating to
entities not registered under GST
● Sugg. measure
Assessees have to report the
expenditure under GST incurred during the year in this clause.
This were the major changes
which we have identified, if you have any query do write to the author on
vivek@cavivek.in
