Physical settlement in F&O to attract 0.10% STT - CBDT
PrintListen to this Article
The clarification comes after Mumbai-based stock brokers association ANMI dragged the NSE to court on the levy of STT on the newly-introduced physical settlement of equity derivatives trades. ANMI had in particular challenged the NSE’s July 17 circular that said the exchange reserves the right to collect more STT from brokers retrospectively if specified by the Tax Department.
A division bench of Justice BR Gavai and SM Karnik had last week directed Additional Solicitor General Anil Singh, appearing for the CBDT, to clarify the point. On Tuesday, Singh said that 0.1 per cent STT would be levied on all transactions, including physical delivery of shares in the equity derivatives segment.
“The CBDT clarification takes care of the situation. All stakeholders... are now aware of the STT payable. Hence, it will not be difficult for petitioner association to recover money from traders,” said Justice Gavai. The bench disposed of the petition.
Internally, the CBDT took a view that settlement of derivatives segment transactions by delivery of shares was not different from cash segment settlement system, and so the STT should be the same. The CBDT believes the legal mandate of STT is wide enough to cover delivery-based derivatives transactions. #casansaar (Source - The Hindu Business)
Category : CBDT | Comments : 0 | Hits : 613
NEW DELHI (Jan 4): CBDT Chairman has directed the Income Tax Department to remain fully prepared and proactive ahead of the implementation of the new direct tax law scheduled to come into effect from April 1 this year. Emphasizing the need for clarity and focused execution, he urged tax officials to approach the transition with a clear sense of responsibility and purpose. In his customary New Year message to departmental officers, the Chairman noted that revised rules, procedures, and statuto...
The Central Board of Direct Taxes (CBDT), has issued Circular No. 07/2024 dated 25.04.2024 further extending the due date for filing Form 10A/ Form 10AB under the Income-tax Act, 1961 (the ‘Act’) upto 30th June, 2024. CBDT had earlier extended the due date for filing Form 10A/ Form 10AB by trusts, institutions and funds multiple times to mitigate genuine hardships of the taxpayers. The last such extension was made by Circular No. 06/2023 extending the date to...
CBDT clarifies on media reports claiming special drive to reopen cases with reference to HRA claims
Certain instances of mismatch of information as filed by the taxpayer and as available with the Income Tax Department have come to the notice of the Department as part of its routine exercise of verification of data. In such cases, the Department has alerted the taxpayers to enable them to take corrective action. However, some posts on social media, as well as articles in the media, have highlighted enquiries initiated by the Central Board of Direct Taxes (CBDT) in cases where employees have mad...
CBDT allows I-T dept to file appeals irrespective of monetary threshold, includes TDS disputes
The Central Board of Direct Taxes (CBDT) has said the Income Tax department can file appeals irrespective of monetary threshold in cases relating to TDS/TCS, undisclosed foreign income, or information received from investigating agencies like ED and GST Intelligence. As per the present rules, tax authorities are allowed to file appeals before the ITAT, High Court and Supreme Court, if the disputed tax demand exceeds Rs 50 lakh, Rs 1 crore and Rs 2 crore, respectively. These thresholds were fi...
CBDT allows certain trusts / institutions to furnish the audit report on or before 31st March, 2024
Income of any fund or institution or trust or any university or other educational institution or any hospital or other medical institution referred to in specified sub-clauses of section 10 (23C) of the Income-tax Act, 1961 (the ‘Act’) or any trust or institution registered under section 12AA/12AB of the Act is exempt, subject to fulfilment of certain conditions specified under various sections of the Act. One of the conditions required to be fulfilled by the tru...
Comments