NEWS & UPDATE

Delay Pmt to MSMEs

Mohan & Chandrasekhar
A company or any other entity who have registered themselves under MSME and facing problems to recover long pending dues from their customers may approach the MSME department to take action against them. Following process shall be followed by such MSMEs entity: Register your company/LLP/Partnership etc. as an MSME and obtain a MSME certificate [Udyog Aadhaar Number (UAN)].Keep record of all formal purchase orders from customers and delivery proofs for all orders.On all your invoices, mention, “your entity name and UAN” along with a note that “Delayed payments beyond 45 days attracts interest at a rate three times of the bank rate notified by RBI, compounded with Monthly interest”.
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Clarification on Financial Year

CA M. Soban Babu. B.Com, ACA.
Following points will clarify some of the issues:1) FY 2019-20 is not at all extended till 30th June, only the date is extended for somecompliances.2) Belated returns or Revised returns for the FY 2018-19 can be filed till 30th June.3) In the FY 2019-20, income is taxable till 31st March only and not upto 30th June, i.e.for taxability of income financial year is considered till 31st March only.4) Deductions under 80C, 80D, etc. can be claimed by investing till 30th June.5) New LIC, Mediclaim, PPF, NPS, etc. policies taken till 30th June will be eligible forthe deduction for the FY 2019-20.
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Circular on Sales Promotion Schemes

Mohan & Chandrasekhar
Free Samples and giftsThe free samples or gifts given for example in pharma industry without any consideration will not be treated as “supply” under GST (unless it is covered under Schedule 1). Input tax credit with respect to such free samples or gifts should be reversed.
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