Tax And Regulatory

India is on the verge of radical tax changes and has witnessed certain big policy changes such as General Anti Avoidance Rules, Income Computation Disclosure Standards (broadly known as tax accounting standards), Undisclosed Foreign Income and Assets Act, taxation on indirect transfer of Indian Assets in overseas deal, each with its own set of complications and resultant massive impact on the business.

With certain uncertainty in Indian Tax regime comes an opportunity, but the key is to be prepared in advance. Most business decisions have tax impact which are complicated in nature and needs proper understanding of various scenarios and their implications for proper decision making and implementation on apt strategies.

We seamlessly combine the research and depth of large firms and personal attention and relationship approach of smaller firms to ensure that our clients’ receive incomparable level of partner and management involvement, quality and timely services and responsiveness to deal with their tax issue in diligent manner.

Shorter decision making chains and more senior personal involvement enables us to take a comprehensive view and operate in agile and coordinated way.

Our methodology and approach is especially custom-built to suit our client’s business structure and target market. Our approach not only permits our client’s to ensure that their compliance obligations are being met on a timely basis, but also enables them to create value in a variety of complex tax environments thereby unlocking their potential for growth.

At M. S. Chhajed & Co. we provide comprehensive advice and assistance on direct taxes. Our services broadly cover the following:

1. Structure and Planning

Setting up a new business or expanding an existing business or acquiring an existing business has various tax complications like withholding tax, capitals gain, transfers, income tax etc. It is thus of utmost importance that the transactions are evaluated, structured and planned specifically considering the tax impact.

Our service would broadly cover the following:

  • Income Tax/ Wealth Taxapplicability and analysis
  • Taxation advisory
  • Agreement reviewing and drafting

2. Compliance Outsourcing

Significant and timely tax compliances are mandatory for the compaliances failing which huge penalties are levied. It is usually observed that due to complexity of such compliances, companies are interested in outsourcing their compliances to skilled and professional people which ensures consistent and timely compliances.

Our service would cover the following:

  • Set up a system
  • Tax computation
  • Withholding Tax verification and health check
  • Return filings
  • Compliance review

3. Corporate Tax

Corporates Tax structure is complicated and requires through understanding of the legal issues and business structures.

Our services would cover the following:

  • Direct Tax advisory
  • Statutory compliances
  • Withholding Tax advisory and compliances
  • Statutory Compliances and Return filing

4. Transaction Tax

Indian is the one of the fastest growing country in the world and with current relaxation of FDI policies there has been aggressive pursuit for inorganic growth by the companies mainly E-commerce companies and start-ups.

Our services would include:

  • Mergers and Acquisitions advisory and solutions
  • Transaction structuring
  • Due Diligence

5. Tax Audits

It is mandatory for the certain business houses and companies to get themselves tax audited.

Our services would include the following:

  • Conducting Tax audits
  • Advisory services

6. Representation Services

Direct Taxation has been subject matter of interpretation. Moreover regular assessments done by the Tax Authorities requires them to explain the rational for interpretation, claiming deductions etc.

Further it is always advisable to obtain upfront clarification from tax offices on specified issue if there is a mechanism in place. We can assist the Companies in better handling and early closure of such matters.

Our services cover the following:

  • representation before all adjudicating Authorities including ITAT
  • representation before Advance Ruling Authority
  • representation before Ministry of Finance
  • representation before Settlement Commission for settlement of cases
  • day-to-day assessment proceedings

1. Income Tax

2. Wealth Tax

3. Domestic Transfer Pricing

4. Representations, Dispute Resolution Support and Litigation Support

Taxes which are ultimately bourn by final consumers are called Indirect Taxes. Generally any transaction, whether in goods or services, attracts various indirect taxes. Indirect taxes are usually borne by the final consumer. Therefore, if a business entity fails to anticipate the applicability of an indirect tax and does not recover the same from the consumer it becomes a cost to the entity and is a direct hit to the bottom line. Consequently indirect taxes have a direct bearing on the costs, pricing policy, cash flow and profitability and ultimately the competitiveness of an organisation. Hence it becomes critical to evaluate the impact of various indirect taxes on any given transaction.

In India, indirect taxes encompass every area of an Indian business. Despite the various reforms carried out in the past few years, the prevailing Indirect tax regime in India is still in a state of evolution. The system is quite complex, with multi-layered levies both at the Federal and State level. The Federal government levies tax on goods at the point of import (Customs duty), manufacture (Excise duty), inter-state sales (Central sales tax or CST), and on provision of services (Service tax). The states, on the other hand, have been vested with powers to levy tax on sale of goods within the state (Value Added Tax or VAT), on the entry of goods into the state (Entry tax) and other levy on luxury items (Entertainment tax and Luxury tax) under the respective state laws.

At M. S. Chhajed& Co. we provide comprehensive advice and assistance on indirect taxes. Our services broadly cover the following:

1. Structure and Planning

Setting up a new business or expanding an business attract various indirect taxes. It is essential that the transactionsare evaluated, structured and planned specifically considering the indirect tax impact.

Our service would broadly cover the following:

  • Indirect tax analysis
  • Agreement reviewing and drafting
  • Taxation advisory

2. Compliance Outsourcing

Significant Tax compliances are mandatory for the companies, which generally require professional and skilled people. It is observed that increasingly the Companies are interested in outsourcing and centralizing their compliances, which ensures consistent tax treatment across locations with reduced legal issues.

Our service would cover the following:

  • Set up a system
  • Tax computation
  • Preparation for applicable tax returns and ensuring tax payment
  • Compliance review
  • Preparation of compliance reporting organogram

3. VAT Audits

Our services for VAT audit included the following:

  • Conducting state specific VAT Audits
  • Advisory services

4. Due Diligence Review

The due diligence essentially enables the firm to consolidate the financial and tax exposure. Based on these exposures the firm could take an informed decision about investments.

Our scope would cover the following:

  • Reporting key exposures on account of various indirect taxes
  • Review pending litigation matters and report exposure/ disputes
  • Review compliance status
  • Report material tax exposure

5. Representative Services

Indirect taxation laws have always been complex and subject matter of interpretation/ litigation. This leads to the Companies receiving Show Cause Notices requiring them to explain the rational for following a particular interpretation/ claiming tax benefits, etc. This generally culminates into a long draw litigation matter. Further it is always advisable to obtain upfront clarification from tax offices on specified issue if there is a mechanism in place. We can assist the Companies in better handling and early closure of such matters.

Our services cover the following:

  • representation before all adjudicating Authorities including CESTAT
  • representation before Advance Ruling Authority
  • representation before Ministry of Finance
  • representation before Settlement Commission for settlement of cases
  • day-to-day litigation support on notices, summons etc. received from tax authorities

1. Service Tax

2. VAT

3. Excise Tax

4. Luxury Tax

5. Customs

6. Representations, Dispute Resolution Support and Litigation Support

1. Transfer Pricing

2. DTAA

3. GAAR

4. Advance Ruling

5. Cross Border Transaction

6. Representations, Dispute Resolution Support and Litigation Support