WITH EFFECT FROM ....
NORMALLY the Finance Bill which we usually call the Budget comes into effect on it receiving the assent of the President. But it is not all that simple. Now with every Budget having its usual quota of retrospective amendments, many provisions of the Budget come into effect many many years before the Budget is presented. Can you imagine an Additional Commissioner being given the power to search with effect from 1.6.1994? – Yes, a full 15 years before the budget was presented.
We have been getting calls from Netizens about the effective dates of various provisions. In the Income Tax side, most of the provisions of the Finance Bill will come into force with effect from 01.04.2010; here is a list of some important provisions and their effective dates.
INCOME TAX
Sl. No. | With effect from | Subject |
|---|---|---|
1. | 01.04.2011 | Amendment to Section 44AA – Maintenance of Accounts |
2. | 01.04.2011 | Amendment to Section 44AB – Audit of Accounts |
3. | 01.04.2011 | Section 44AD Substituted – Presumptive Income |
4. | 01.04.2011 | Amendment to Section 44AE – Income from goods Transport. |
5. | 01.10.2009 | Amendment to Section 50C – Value of Capital asset transferred |
6. | 01.10.2009 | Amendment to Section 56 – Transactions without consideration of more than Rs. 50,000/- |
7. | 01.04.2003 | Amendment to Section 80A – Deductions |
8. | 01.10.2009 | Amendment to Section 80G – Charitable Institutions |
9. | 01.04.2008 | Amendment to Section 80IA – Power Generation |
10. | 01.04.2000 | Section 80IB – Tax Holiday |
11. | 01.10.2009 | Section 90 Substituted – DTAA – See Cobweb |
12. | 01.10.2009 | Amendment to Section 92C – Transfer Pricing – Arm's Length Price |
13. | 01.04.1998 | Amendment to Section 115JA – Deemed Income |
14. | 01.04.2001 | Amendment to Section 115JB |
15. | 01.10.2009 | Amendment to Section 131 – Discovery, Inspection etc – “Dispute Resolution Panel” included |
16. | 01.06.1994 | Amendment to Section 132 – Search and Seizure – Additional Commissioner Empowered |
17. | 01.10.2009 | Amendment to Section 139A – PAN – “Quarterly” removed |
18. | 01.04.1989 | Amendment to Section 147 – Reassessment – Scope enhanced |
19. | 01.10.2009 | Section 194C Substituted – TDS – Payment to Contractors |
20. | 01.10.2009 | Amendment to Section 194I – TDS – Rent |
21. | 01.10.2009 | Amendment to Section 200 – Quarterly Returns gone – Periodicity to be prescribed |
22. | 01.10.2009 | Amendment to Section 201 – TDS failure |
23. | 01.10.2009 | Amendment to Section 203A – Quarterly Statement is no more quarterly |
24. | 01.10.2009 | Amendment to Section 206A & 206C – Quarterly to unspecified period |
25. | 01.10.2009 | Amendment to Section 246A – Dispute Resolution Panel |
26. | 01.10.2009 | Amendment to Section 253 – Appeal to ITAT – Dispute Resolution Panel |
27. | 01.06.2007 | Amendment to Section 271 – Concealment of Income |
28. | 01.04.1988 | Amendment to Section 271B – Provisional Attachment |
29. | 01.10.2009 | Substitution of Section 282 – Service of Notice – Courier and Email recognized |
30. | 01.10.2010 | New Section 282B – Allotment of Document Identification Number |
31. | 01.10.2009 | New Section 293C – Power to Withdraw approval |
CUSTOMS
Sl. No. | With effect from | Subject |
|---|---|---|
1. | 01.07.2003 | Amendmentto Section 130 – High Court's Power to condone delay |
2. | 01.07.1999 | Amendment to Section 130A - High Court's Power to condone delay |
3. | Date of enactment of Finance Bill 2009 | Insertion of Section 26A – Refund of import duty in certain cases |
4. | A date to be notified | Amendment to Section 28F – Merger of AAR for Customs, Excise & Service Tax with AAR for Direct taxes |
5. | Date of enactment of Finance Bill 2009 | Amendment to Sections 137 & 156 – Amendment to provisions related to compounding of offences |
6. | 09.05.2000 | Investing Officers of DGCEI with powers of Officers of Customs |
7. | 01.05.2006; 19.02.2009 etc for various provisions in the proposed amendments to the notification | Exemption for imports against DFIA – Retrospective amendments to Notification 40/2006- Cus dated May 1, 2006 |
8. | Date of enactment of Finance Bill 2009 | Amendment to Section 3 of Customs Tariff Act, 1975 – Assessment of CVD based on tariff value for certain goods |
9. | 14.05.1997 | Amendment to Section 8B of Customs Tariff Act, 1975 – Applicability of provisions of Customs Act for the purpose of determination of duty rate, assessment, refund, interest etc for Safe guard Duty |
10. | 11.05.2002 | Amendment to Section 8C of Customs Tariff Act, 1975 – Applicability of provisions of Customs Act for the purpose of determination of duty rate, assessment, refund, interest etc for Specific Safe guard Duty |
11. | 01.01.1995 | Amendment to Section 9 of Customs Tariff Act, 1975 – Applicability of provisions of Customs Act for the purpose of determination of duty rate, assessment, refund, interest etc for Countervailing Duty on subsidized articles |
12. | 01.01.1995 | Amendment to Section 9A of Customs Tariff Act, 1975 – Provisions related to Antidumping duty |
13. | Date of enactment of Finance Bill 2009 | Amendment to Section Note 2 of Section XI of Customs Tariff Act, 1975 – Classification of textile articles containing mixture of two or more materials |
Central Excise
Sl. No. | With effect from | Subject |
|---|---|---|
1. | 01.07.2003 | Amendment to Section 35G – High Court's Power to condone delay |
2. | 01.07.1999 | Amendment to Section 35H - High Court's Power to condone delay |
3. | Date of enactment of Finance Bill 2009 | Amendment to Section 9A & 37 of Central Excise Act, 1944– Amendment to provisions related to compounding of offences |
4. | Date of enactment of Finance Bill 2009 | Amendments to Sections 14A & 14AA – Amendments related to Special Audit provisions |
5. | A date to be notified | Amendment to Section 23A - Merger of AAR for Customs, Excise & Service Tax with AAR for Direct taxes |
6. | 01.08.1997 & 10.03.1998 | Amendment to provisions related to Compounded levy scheme for Steel induction furnaces |
7. | Immediate Effect | Amendment to Chapter Notes 8 and 21 of Central Excise Tariff Act, 1985 |
Service Tax
Sl. No. | With effect from | Subject |
|---|---|---|
1. | Date of enactment of Finance Bill 2009 | The Intaxication – beer effect – amendment to Section 65(19) |
2. | 16.05.2008 | providing instead of Acquiring - amendment to clause zzzze – Information Technology |
3. | A date to be notified | New services |
4 | 01.01.2005 | Exemption to services provided to GTAs |
5. | Date of enactment of Finance Bill 2009 | Amendment to Section 84 of Finance Act, 1994 – Appeals to Commissioner (Appeals) and deletion of Review provisions |
6. | Date of enactment of Finance Bill 2009 | Amendment to Section 94 – Power to make rules for determination of rate of tax and place of taxable services |
7. | Date of enactment of Finance Bill 2009 | Amendment to Section 95 – Power to remove difficulties – Removal of difficulties in classification and assessment of taxable services |
8. | A date to be notified | Amendment to Section 96A - Merger of AAR for Customs, Excise & Service Tax with AAR for Direct taxes |