Parliament passed the Finance Bill, 2014 (35 of 2014) which was introduced in Lok Sabha on July 10, 2014 and the said Bill awaits President’s assent. Some of the key proposals made in the Bill are as follows:
- In provisions related to power of calling for information, addition of a new provision that prescribes the income-tax authority to issue a notice to the individual requiring him to furnish information or documents for the purposes of verification of information in its possession related to him.
- Insertion of provision to mandate every business trust to furnish income tax returns.
- Introduction of provisions creating an obligation for furnishing statement of financial transactions or reportable account along with the introduction of a penalty provision in case inaccurate statements are produced.
- Under the Bill, the Excise Commissioner will not entertain any appeal unless the appellant deposits seven and a half percent of the duty demanded or penalty imposed or both, in pursuance of a decision or an order passed by an officer of Central Excise lower in rank than the Commissioner of Central Excise.
- Amendment of certain sections of Finance Act, 1994 dealing with imposition of Service Tax, the authorities thereof and penalties related to Service tax.
- Substitution of new Authorities under the Income Tax Act.
- Deduction of fifteen percent to companies engaged in the business of manufacture or production of any article or thing, acquiring and installing new assets and the amount of actual cost of such new assets during any previous year exceeds twenty-five crore rupees.
- Determination or specification of the arm’s length pricing in relation to the international transaction entered into by the person.
