The Chartered Accountant

I. Notifications
DIRECT TAXES
LEGAL UPDATE
1. Notification No. 96/2008, dated 8-10-2008
The Convention was between the Government of the
Republic of India and the Government of Japan for the
Avoidance of Double Taxation and the Prevention of Fiscal
Evasion with respect to taxes on income was notified by
the Central Government under section 90 of the Incometax
Act, 1961 in the Gazette of India vide G.S.R. 101(E)
dated 1st March, 1990.
Clause (a) of paragraph 4 of Article 11 of the said Convention
provides the details regarding ‘Central Bank’ and
‘financial institution wholly owned by the Government’ in
the case of Japan which will not be subject to tax under
paragraph 3 of the said Article, in respect of interest arising
to it in the other Contracting State.
Sub-clause (ii) of clause (a) of paragraph 4 of Article 11
refers to Japan Bank for International Cooperation as one
of the financial institutions wholly owned by the Government.
By this notification both, the Government of India and
the Government of Japan have omitted “Japan Bank for
International Co-operation” from sub-clause (ii) of clause
(a) of paragraph 4 of Article 11 and substitute therein “International
business unit of Japan Finance Corporation”;
This shall be deemed to have taken effect from 1st October,
2008.
2. Notification No. 97/2008, dated 10-10-2008
The Central Board of Direct Taxes has through the Income-tax
(7th Amendment) Rules, 2008 substituted Rule
6DD with effect from Assessment year 2009-10.
3. Notification No. 98/2008 [F.NO. 142/12/2008-
TPL], dated 22-10-2008
The Central Board of Direct Taxes has through the Income-tax
(Eighth Amendment) Rules, 2008 inserted a new
Rule 18DDA after rule 18DD, namely “Form of report
for claiming deduction under sub-section (11C) of section
80-IB”. This rule specifies that the report of an accountant
required to be furnished by the assessee along with the return
of income, under sub-section 80-IB (11C) shall be in
Form No. 10CCBD.
NOTIFICATIONS/CIRCULARS
Significant Circulars/Notifications during the Month of October, 2008
For details visit: http://law.incometaxindia.gov.in/
TaxmannDit/DisplayPage/dpage1.aspx?md=31
INDIRECT TAXES
EXCISE
I. Notifications
1. Notification No. 43/2008 CE (NT) dated 06.10.2008
The Notification has inserted two provisos after first proviso
to sub-rule 2 and 3 of rule 9 of Central Excise Rules,
2002.
The second proviso lays down that if a person manufacturing
Compressed Natural Gas (CNG) [falling under tariff
item 2711 29 00 of the of First Schedule to the CETA,
1985 (5 of 1986)], has more than one premises requiring
registration (which fall within the jurisdiction of one Chief
CCE), he may obtain a single registration for all such premises
with any of the CCE. If subsequent to obtaining such
registration any additional premises are started, it should be
intimated in advance.
The third proviso lays down that if the assessee is registered
under the existing provision, he may apply for fresh
registration or file amendment to the registration as the case
may be, in accordance with provisions of this notification.
For details visit: http://www.cbec.gov.in/excise/cx-act/
notfns-2k8/cent43-2k8.htm
2. Notification No.44/2008-Central Excise (N.T.),
dated 6th October , 2008
The Central Board of Excise and Customs vide this notification
made further amendment in the Notification
14/2002-Central Excise (N.T.) dated 08-03-2002: “Provided
that the jurisdiction of the Commissioner of Central
Excise, under whose jurisdiction a person manufactures
Compressed Natural Gas falling under tariff item 2711
29 00 of the of First Schedule to the Central Excise Tariff
Act, 1985 and has obtained a single registration for
more than one premises in terms of the Notification No.
35/2001-Central Excise (N.T.) dated 26-06-2001, shall also
extend to the entire jurisdiction of the concerned Chief
Commissioner of Central Excise as specified in Table I for
the said manufacturer.”
For details visit: http://www.cbec.gov.in/excise/cx-act/
notfns-2k8/cent44-2k8.htm
THE CHARTERED ACCOUNTANT 995 DECEMBER 2008