Tax Representation and Litigation Support
The focus of tax assessments (audits) is gradually shifting from micro issues (such as, procedural disallowances) to issue based and concept based reviews. Given the legal labyrinth that taxpayers often face, a judicious cost-benefit analysis is imperative in deciding which issues are worthwhile to litigate and on which issues it is more viable to concede. We, with our experience and in-depth knowledge help in making this decision. Complicated direct tax litigation at all levels of the Income tax Authorities is our forte.
In the arena of Cross Border Taxation, the Indian authorities have been late entrant. The last few years have seen an extremely aggressive revenue approach focusing on issues related to permanent establishments, transfer pricing, round tripping etc.. Given the legal labyrinth that taxpayers often face, including those that are operating multiple jurisdictions it is imperative to engage in complicated litigation at all levels of the Income tax Authorities.
We have both the experience and the acumen to represent clients through tax assessments before the tax department including the international tax department assessing foreign entities to tax in India. We also represent clients in transfer pricing assessments before the Transfer Pricing Department and in appellate forums such as the Dispute resolution Panel and the Income Tax Appellant Tribunal.
We help in mitigating hardship and offer intelligent tax advice in a result oriented manner.
Tax Planning and compliances
Sound business decisions need to be backed by the right tax advice. Today’s dynamic environment has led to fierce competition. Corporate entities have realized the importance of taxation and its associated cost with efforts to reduce the tax incidence to enable them to provide the much-needed edge over competitors and meet challenges in a dynamic business environment.
Tax consultancy, provided by the Firm forms an integral part of the commercially viable business decisions minimizing the cost burden. We adopt a “result oriented approach” which is flexible and emphasizes delivery and value.
The tax authorities keep abreast with the growing complexities and sophistication of business transactions and have increased the compliance burden with the advent of technological advancements in the last few years. In order to help our clients keep themselves in tune with the frequently changing compliances our team offers solutions in an efficient use of technology in a timely and effective manner.
We help our clients to meet the challenges of today’s complex business environment.
International Taxation is the study or determination of tax on a person or business, subject to the tax laws of different countries or the international aspects of an individual country’s tax laws. Governments usually limit the scope of their income taxation in some manner territorially or provide for offsets to taxation relating to extraterritorial income.
We at AMJC have a well-qualified and experience team of professionals who can technically handle your International Tax transactions to meet all compliances related to respective laws. Our team’s strength lies in tax structuring of transactions in a way that results in minimum tax outflows arising from Double taxation Avoidance Treaties between India and other countries . In Nut Shell we look after all the International Transactions and see to it that all your international transactions are well monitored and analysed in relation to Tax matters.
The enactment of detailed Transfer Pricing Laws in India in 2001 brought the issue of Transfer Pricing to the forefront amongst the various multinational corporations operating in India as well as Indian companies. Transfer Pricing is one of the critical tax issues for growth oriented businesses having international operations wherein substantial senior management’s time and attention is necessary. Irrespective of their size, organisations need an effective and dependable Transfer Pricing policy, which takes into consideration the organisation’s overall business strategy and operating structure.
Suresh Surana & Associates' Transfer Pricing team with its rich experience and demonstrated capabilities offers comprehensive solutions in areas such as Transfer Pricing Documentation, Transfer Pricing assessments and other value added services such as Benchmarking services, Drafting of Inter-company agreements etc.
What We Do
• Creating Transfer Pricing Documentation: The Transfer Pricing legislation requires that income from International Transactions between Associated Enterprises is computed after considering the arm’s-length price. The term “Arm’s-length Price” refers to the price that would be charged for a similar International Transaction between unrelated third parties. The Transfer Pricing Documentation created by AMJC covers the various mandatory requirements under the law and includes:
• Background of the Company and its Associated Enterprises
• Functional Analysis to document the Functions, Risks and Assets deployed
• Industry Overview
• Comparability / Benchmarking analysis to prove the Arm’s Length nature of International Transactions entered into between Associated Enterprises
• Representing before Transfer Pricing Authorities: These services include representation before the designated Transfer Pricing Officers / Assessing Officers for Transfer Pricing related matters. The scope of services provided also covers representation before higher authorities like Commissioner of Income Tax etc.
• Other Value Added Services relating to:
• Planning Opportunities to achieve lower taxation for the group
• Assisting clients in Benchmarking vis-à-vis other players in the same industry
• Drafting of Inter-Company agreements, review of documentation, etc.
FEMA/ RBI/ FERA and Other Regulation Compliances
The transaction involving foreign exchange is regulated by Foreign Exchange management Act, 1999 in India. The main thrust from liberalization of economy has been on promotion of foreign exchange rather than control of foreign exchange. All transaction involving foreign exchange is regulated by FEMA and the provisions of FEMA have to comply with wherever applicable. The preamble of the act says that it is an Act to consolidate and amend the law relating to foreign exchange with the objective of facilitating external trade and payments and for promoting the orderly development and maintenance of foreign exchange market in India.
We Provide FEMA & RBI related following services
Compliance of the procedure including chartered Accountants Certification for repatriation of income/assets from India.
• Making applications to Reserve Bank of India for purchase/sale of shares, debentures & securities and directly to and from Residents in India and outside India.
• Allotment of Shares to non-residents.
• Transfer of shares from Indian resident to non-residents.
• Setting up Joint Venture (JV).
• Setting up Partnership / Partnership by NRI’S or persons of Indian origin.
• Other Advisory Services on FEMA / RBI etc.
• Issue of Statutory Certificates under FEMA & RBI regulation.
India is moving towards integrated tax structure on goods and services with the proposed introduction of Goods and Services Tax (GST). GST would be a comprehensive tax structure which would subsume central excise duty, additional excise duties, service tax, additional Customs duty, VAT/ sales tax, entertainment tax, luxury tax, etc.
Under the proposed GST, a dual system of tax is proposed wherein a Central Goods and Services Tax (CGST) and a State Goods and Services Tax (SGST) will be levied on the taxable value of the transaction. AMJC provides focused services towards GST Transition and Change Management.
What We Do
GST Change Management Study
Conduct a study to determine the extent of impact that the various changes being contemplated in the Goods and Services Tax (GST) regulations could have on the various aspects of the business / organisation pursuant to the transition from the existing tax regime to GST and advising on the possible strategies that would be required to be adopted to enable minimal effect of such impact. This exercise could broadly cover the following aspects:
• Formulating a GST Migration Steering Committee
• Impact study of GST on businesses
• Review of the existing level of compliance, documentation and accounts function with a view to identifying the changes that would be required
• Review of the Accounting systems as existing and the changes that would be required thereon in the new GST regime.
• Review of Information Technology (IT) systems as existing and the changes that would be required thereon in the new GST regime.
• Identifying various aspects that would need to be intimated / resolved / reconfirmed with Customers and Suppliers / Vendors.
• Studying implications of the change on the organisational cash flows.
• Assisting in the preparation of a detailed checklist for GST administration
• Identifying and examination of possible areas where there could be concerns of litigation / ambiguity and advising on related matters / strategies to be followed.
• Organising intermediate and advanced training programs for groups of employees based on specific organisational needs.
• Understanding transitional GST provisions and advising / assisting clients in their proper understanding and availing of the benefits as permissible.
• Providing opinions on specific matters, Examining specific matters / issues referred to by clients and providing our specialised opinions thereon.
Income Computation and disclosure Standards
Income Computation and Disclosure Standards (ICDS), introduced with effect from 1st April, 2015, constitute one of the significant amendments introduced in the Indian Income-tax legislation. ICDS are applicable for computation of income taxable as ‘Business income’ or ‘Other’ Sources income.
These standards provide for some significant departure from Indian Accounting Standards and may lead to material tax implications for taxpayers. In this regard, we provide assistance in examining ICDS having regard to nature of business & transactions of the taxpayers and advising on relevant tax implications.