H L G & Co. (Chartered Accountants)

H L G & Co. (Chartered Accountants) H L G & Co. (Chartered Accountants)

31/07/2014

A Big Milestone ACHIEVED.... H L G & Co. (Chartered Accountants) opens its first owned office at 509, DLF Star Tower, Sector - 30, NH - 8, Gurgaon....Thanks to all friends, clients and well wishers for their continued support and blessings to make this happen....Feeling Elated...!!!

16/01/2014

PLEASE READ THE ARTICLE BELOW TO REALISE THE REALITY OF AAM AADMI PARTY FROM THE INSIDER'S VIEWPOINT...I DON'T KNOW WEATHER THIS IS TRUE OR NOT BUT FOR SURE SOMETHING TO BE GIVEN A SERIOUS THOUGHT TO....

Aam Aadmi Party's Laxmi Nagar MLA, Vinod Kumar Binny, 'exposed' chief minister Arvind Kejriwal today morning. Highlights of his press conference...

1. The Aam Aadmi Party has broken the promises which it made to the people before election.

2. Up to 700 litres of free water was promised. But after elections cleverly a clause included; the government said whoever exceeds the limit, even by 1 litre, will have to pay entire amount.

3. The manifesto clearly said power tariff will be cut by 50 per cent. 10 lakh, 52 thousand people followed Arvind's disobedience and did not pay their bills. They were promised bills would be waived off. That promise wasn't kept either.

4. AAP came into power on December 28. Today it has been 19 days. According to their promise, the Jan Lokpal should have been executed.

5. If any other government was in power, AAP would have protested Danish woman gang-rape. You should be ashamed. You said you would make a commando force, you haven't even started discussing it.

6. AAP is always hungry for publicity.

7. AAP said it wouldn't take or give support to any political party but discussions were held behind closed doors.

8. There was widespread corruption during ticket distribution.

9. AAP's poll promises clever play of words.

10. I feel sad when people say I am greedy for power, i joined AAP when they had nothing.

11. I never wanted to contest elections, but Mr Kejriwal called me at his home and asked me to contest.

12. If the demands I listed are not met, I will go on hunger strike on Jantar Mantar from 27 January.

13. No one dares to speak against Kejriwal. If they do, he shouts in anger.

14. If AAP cannot clear up the corruption at home, how will it clear the corruption in the entire nation?

15. AAP is acting at behest of Congress. Sandeep Diksh*t is close to Kejriwal. Why no corruption case has been registered against Sheila and her ministers?

16. They believe in use and throw policy. From Anna to Kiran Bedi, all have been used.

17. If people say that the issues I have raised are false, I will resign from MLA's post.

18. Sanjay Singh, Kumar Vishwas, Manish Sisodia and Arvind Kejriwal are old friends. They are misleading the people of Delhi.

19. If Arvind Kejriwal cannot fulfill promises, he should resign.

20. I recommend a referendum from Delhities on the water and electricity issue.

21/06/2013

Karnataka High Court Validates the Sale of Land through Sale of Shares of a Company even if its a SHELL COMPANY in its order dated April 9, 2013. The judgement pertains to provisions of Income Tax Act, 1961 u/s 10(38). The mentioned order has been given as judgement in Bhoruka Engineering Industries Limited (BEIL) Vs DCIT, the details of the same are given in the ensuing paragraphs:

FACTS OF THE CASE

The assessee company held 98.73% shares of Bhoruka Financial Services Limited (BFSL).

In AY 2005-06 BFSL purchased a plot of Land of 15 Acres from a Sick Group Company Bhoruka Steels Limited (BSL) for Rs 3.75 Crores.

The BEIL sold its entire shareholding in BFSL in AY 2006-07 for Rs 89.26 Crores to DLF Commercial Developers Limited.

The Shares were sold through Magadh Stock Exchange and STT was paid

The AO held that the Shares were sold within 36 months of purchase of Land and sale of Shares of BFSL by BEIL is a sham device as BFSL was a shell company holding Only Land

The AO thus lifted the corporate veil and assessed Short Term Capital Gains in the hands of BEIL.

The same was affirmed by the CIT(A) and the tribunal

HELD BY KARNATAKA HIGH COURT (Dismissing department's contention)

Just because the assessee was able to avoid the tax does not mean the transaction is sham or unreal.

The assessee resorted to tax planning and took advantage of law.

It is open to the parliament to amend the law and thus plug such gaps in law.

H L G COMMENT
This judgement is another example of a rightful favorable treatment given to the assessee by the legal system. The impact of the judgement could either be positive or negative going forward.

The honorable High Court has left an option open to the Parliament to amend the provisions and plug such gaps in the present law.

Now, in case the government so decides to exercise this option, then it may also decide to include previously decided cases also to be covered in the purview of such amended law practice. Or it may just stop this practice going forward.

In case the government doesn't go ahead & change the law then this judgement is going to pave way for a beautiful tax planning tool in the transactions having Real Estate component attached to the whole project just the way depicted in the mentioned case above.

12/06/2013

Under the provisions of the Income Tax Act, 1961 - Penalty u/s 271 (1)(c) cannot be levied in respect of an addition made u/s 50C.

In case an assess pays/receives consideration on Purchase/Sale of a property which is lesser than the Stamp Valuation, the assessing authority has the right to invoke Section 50C which is a deeming provision at the same time this can be rebutted by the assesse.

The Assessee can challenge this Stamp Valuation before the AO and AO is then bound to refer the matter to a Valuation Officer.

If the valuation given by the VO is higher than the stated consideration but lesser than stamp valuation, the valuation given by VO is to be adopted.

If the valuation given by the VO is even higher than the Stamp Valuation, then Stamp Valuation has to be adopted.

There is no provision in section 50C that the return has to be filled with the stamp valuation.

Concealment can be proved ONLY IF the revenue proves that the actual consideration is higher than the stated consideration.

H L G COMMENT:
The above has recently been established in CIT Vs. Madan Theaters Limited (Cal.) order dated May 14, 2013. Wherein the assessee sold a property much lesser than the stamp duty valuation and the AO accordingly invoked Section 50C and made an addition to the returned value. The AO also imposed a penalty u/s. 271(1)(c). The penalty was deleted by CIT(A) and The Tribunal furthermore this action was confirmed by the Calcutta High Court in its above mentioned order.

This rather seems to be a celebrated judgement keeping in view the current market Real Estate scenario wherein people have bought properties on loan and due to non repayment there are a lot many properties getting forfeited by the Banks. These are then sold at Distress. Under such circumstances many a times genuinely the sale pricing goes even below the Stamp Valuation and it would not be right on part of the department in such cases to consider the Stamp Duty Value for the purposes of assessment.

07/06/2013

Sec 54 Capital Gains Exemption can be availed on Multiple Flats...

07/06/2013

As per Section 67A of the Finance Act, 1994 read with explanation to Section 14 of the Customs Act, 1962, rate of exchange for calculation of gross value of taxable service tax would be the rate, as determined by CBEC for the conversion of foreign currency into Indian currency or vice versa, applicable on the date on which taxable service has been provided or agreed to be provided. CBEC from time to time issues Notification to notify rate of exchange determined by it. For Rate of Exchange applicable from 7th June, 2013 please refer Annexure-A (Notification No. 59/2013-Customs (N.T.) dated 6th June, 2013).

30/01/2013

A closely held Chartered Accountancy Firm providing Audit, Tax and Advisory Services to its clients from different business sectors ranging from Manufacturing, Trading, Mining, Telecommunications and Services industries.

The prime focus area for the Firm is provision of Corporate Finance Services wherein, it provides Advisory relating to Mergers & Acquisitions, Fund Raising, Capital Structuring Advisory, Financial Modeling, Full Scale Due Diligence management and reporting, Negotiation strategy development and closure by following a 'Hand Holding' approach basis customized client requirements.

We closely work with large Audit, Tax & Advisory firms to the likes of Grant Thornton, KPMG and Mazars to cater our Client's international business requirements. We follow the principles of complimenting our professional colleagues rather than promoting unhealthy competition in the profession.

Address

Unit# 509, DLF Star Tower, Sector/30
Gurugram
122001

Opening Hours

Monday 9am - 6pm
Tuesday 9am - 6pm
Wednesday 9am - 6pm
Thursday 9am - 6pm
Friday 9am - 6pm
Saturday 9am - 4pm

Telephone

+91-124-414-0073

Website

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