Facing Problem in Cash Flow while paying Advance Tax??

 

 

Here is the solution for you

 

 

 

Pay in EMI

Pay in Monthly Instalments

You can pay in 12 instalments even in 50 instalments by paying in every week.

 

Suppose you have to pay Rs.5,000,000 for the year start paying Rs.100,000 per year it will helps you in reducing burden of tax and solving the Cash Flow issue.

 

Enjoy your Accounting!!

 

 

CA Students training on TPO case completed..

MLG team gave detailed training to the CA Final Students of the current batch, on the Transfer pricing assignments and TP cases

this included

• Preparing the TP Study
• use of Capitaline Software
• Use of case studies
• TNMM method
• Meeting the TPO officers of IRS Rank
• Meeting the TPO junior officers of Inspector Ranks
• Discussion on the case
• Pros and Cons of the case
• Choosing the comparables
• excluding the non comparables
• Lot of other things
• Entire TP cycle
• Filing the Replies online
• Using the Income tax portal

Best part of the training was meeting the TPO officers themselves.

 

for theory see link the website of Govt : https://incometaxindia.gov.in/pages/international-taxation/transfer-pricing.aspx

​​​​​1.1-‘TRANSFER PRICE” AND “TRANSFER PRICING”​​

The expression “Transfer Price” is used in the Act in section 92CE and in Explanation to section 92CB of the Income-Tax Act, 1961 (hereinafter referred to as ‘the Act’). The expressions “Transfer Pricing” is used in section 92CA as part of the term “Tran​sfer Pricing Officer”. Though these two terms are used in Chapter X of the Act, they are not defined in the Act. The Income-Tax Rules, 1962 (‘the Rules’) also do not define these terms.

Transfer Price is the actual price charged in a transaction between related entities which are part of the same Multi National Enterprises (MNE) group. The tax rates vary from country to country. So, there is incentive for MNE group to set transfer prices for transactions between its group members such that tax liability for the group as a whole is minimized. This involves setting transfer prices in such a way that less profits are booked in countries with higher tax rates. For example, a company which is a member of group manufactures products in a high tax country. The company would sell them at a low price/ profit to its affiliates/associates in tax haven countries at lower prices/ profits. These prices are lower than the prices that would have obtained had these enterprises been unrelated and dealt at “arm’s length” and erode the tax revenues of the host country. Thus, transfer pricing refers to tax avoidance practiced by MNE groups by setting transfer prices of intra group transactions such that these differ from the prices that would be obtained had the group members been unrelated entities dealing at arm’s length.

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Rollout of IND AS 101 Begins

8-4-2025 : Glad to note which clients have moved to IND_AS this year… WOW.

Good thing to learn for all the students and all CA Team members in the MLG Associates. Rollout of IND-AS 101 begins

 

 

Important GST Seminar + MSME : 43B(h) Year end, Year Start Zoom Webinar  …

Powerpoint and study material of the webinar … at the bottom of this page

What to do ? How much tax provision to make ? Pay additional tax ? Pay vendors in Time ? What to communicate ? How ? Future expectation ?

Welcome to the Upcoming Webinar

Date 2-April-2025 (Wednesday): Time : 3.00 pm onwards

Please below attached the Zoom Meeting Link

Join Zoom Meeting
https://us02web.zoom.us/j/6227508445?pwd=thh7FSaFm3tzWUvEwMQ2PaDNC1lrpx.1&omn=87974343753

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Must be watched by :    Directors , Promoter Family member, GM – Finance, Accounts & Taxation Dept Team members,

Also your Purchase Department, who interact with Suppliers.

 

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AGENDA

What is the Law ? How it will affect you ? Problem and doubts people have…. notifications, and examples

s

 

Provision for Additional Taxes this year ? Plan for Retention Money ? Plan for Disputed money’s ?

Evidence of Communication with the Suppliers ?

Traders as MSME ?

How to reply to your Customer yourself ?

Annual update of the MSME number / website ?

Any Queries .. Contact us at contact us page

MLG Zoom webinar MSME Act . How this affects you, How to manage the situation ? Be Ready. Solutions – How Good and How Bad ?

Try to Watch this session jointly with your team, in your own conference room... since joint discussion may continue after this IMPORTANT Zoom session.

 

What to do ? How much tax provision to make ? Pay additional tax ? Pay vendors in Time ? What to communicate ? How ? Future expectation ?

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Google Drive link for the Powerpoint presentation of the Session by Mr Sangeet Kr Gupta.

 

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keywords : MLG Zoom Seminar MSME Act 43B(h) income tax disallowance and solutions,

What to do ? How much tax provision to make ? Pay additional tax ? Pay vendors in Time ? What to communicate ? How ? Future expectation ?

Feb and March are the months to clear the 43B(h) MSME payments…

so, common, similar to last year…… Be Alert …and do the needful

This article has Some ideas and Tips in MSME 43B(h) – for Tax audit, for Balance Sheet for Advance tax and for Income Tax

Alert dated 27th February-2025 at — 4 pm,

 

Current Status of 43B(h)- for FY 24-25

 

The LAW = Same as last year… There is no Change

 

Section 43B(h): MSME 45 Days Payment Rule.

This  provision mandates that payments for goods or services provided by MSEs must be settled within 45 days from the date of acceptance.

If businesses fail to meet this deadline, they will be at a risk to claim these payments as tax deductions.

1. So. Yes the Law is Real
2. Yes, unpaid MSME dues will be DISALLOWED
3. AND YOU WILL HAVE TO PAY TAX AT FULL RATE.. SAY 26% OR 34%
4. Yes, there was no relief
5. There was no amendment
6. Yes, 2024 returns also went this way
7. Yes, MSME usually got a lot of payments from their customers this way
8. Yes, many companies had to pay steep taxes due to this section.
9. 

10. Nobody can save your company from accidental tax later .. if Govt catches you later on.

11. Have you made your Financial Budget to pay all eligible MSME vendor’s : Arrange Funds as soon as possible. Keep Buffer for new creditors, new invoices of this period.

 

so, for all the Corporate Accountants, and Corporate Auditors, and MSME businessmen, both as receiver of funds and payer of funds, Get Ready for that time of the year…

1. Hope you have started the work ?
2. Hope the vendor identification has been done ?
3. Hope your team has started the checking of Vendor MSME status on the Govt website ( that is the only evidence ) … keep that screenshot or PDF
4. Hope you have planned to pay  all MSME vendors bills of 29-2-2025, by 15th April 2025…..

5. Hope your MSME vendors Bills upto 15th March 2025 are also paid between 20th and 30th April 2025.. 

6. Hope your planning includes MSME vendors Bills upto 31st March 2025  are also paid between  30th April and 10th May 2025. (Just to be safe)…

7. See this yourself.

8. Also remember to clear all the MSME dues…
9. Short cut :Vigilance point
10. 5th March by 5th April ( start the process by 30th day.. so that you are safe bye 45th day )
    10th March by 10 April
    15th March by 15th April
    20th Mar. by 20th April
    25th Mar by 25th April
    31st March… by 30th April( I have kept a Buffer )
11. 
12. If you are an MSME … you might have been benefited from this in the March payment wave, So, similarly, the WAVE continues

13. This is a benefit Govt is giving to MSME’s and if you are a MSME take this benefit from your customers….

14. Almost 4 Crores MSME are already registered and are claiming this benefit… are you taking this Benefit ???

Sent letters to all creditors ? Kept evidence ? Two rounds of emails is a must evidence. ?

Do you have letters or MOU with each MSME vendor, … with overriding clause for 45 days, irrespective of the PO’s and Invoices. ( get the format in the Google drive link below )

1. Reduce your advance tax ? Pay MSME in Advance ??. …. yes possible ( most likely.) But conditions apply. Risk involved. But likely due to a past Supreme Court Judgement … but Risk is yours.. since law also says.. if otherwise available… since this is not otherwise available… so.. ?
2. Section 43B(h)  

3. Sales Idea.. if you have power to do more sales, and have sufficient funds : Deregister in MSMED Act…. give affidavit to your Potential Customers… “Get More Sales” and “Get more Margin”

   

4. Non Registered MSME Vendors ….? The Udhyam Adhar is compulsory. No need to see the Balance Sheet, or take a CA Certificate. Not relevant and not required.

5. Past or Future ? Future bills only ( old bills prior to 1-4-2023 are not in problem in this section.. they are problem in section 41 .. with bigger consequences …… Since they are like … why unpaid… why are you not paying… are they not a liability at all ?????

   

6. Three year MSME category Rule notification dt 18-10-2022.. Change of category upwards… you can take the benefit of previous classification for three long years. Yes you can. ( see notification in the Google drive link below )

1. Cheque Hand over   ( Cheque in Transit ?)……….? This idea can work only if you have 100% clear balance in your bank account… Else… It will not be acceptable. 

2. Money is coming automatically to most MSME’s .. every day… Congratulations, if you are the beneficiary too.

3. Hope the PSU’s also start paying in the same way. The PSU chief will be shocked with huge tax if he does not organise the payments to all the MSME vendors in time… this will create a new culture.

 

Ideas, Tips, things to take care of… MSME act related 43B(h) income tax topic . Good ideas you can work around with and make more money.

Google Drive link for the Powerpoint presentation , Copies of Letters, Emails, MOU.. as discussed in the Session by Mr Sangeet Kr Gupta. in the last Zoom seminar

MOU copy inside

 

43B(h) benefit ? 43B(h) action ? 43B(h) what to do ? 43B(h) safety ? 43B(h) annexure ? 43B(h) when to follow ? 43B(h)penalty? 43B(h)areyousafe?

How to do this in Finsys ? Very simple… Just ask the accounts to take out the Vendor Outstanding report.. in Future date… say 1st May 2024… and see what will come as overdue on that date… all those invoices are fit to start processing.. so that you are safe.. by 1st May and so on….

Team at your service.. Contact us page

Ideas MOU format letter format … uploaded on the google drive link above

 

What is the current position in 2025. What to do now ? MSME act related 43B(h) income tax topic . Good ideas you can work around with