Non Receipt of ack not the fault of assessee

When an assessee files income-tax return over the Internet and follows it up by posting a hard copy of ITR-5 as required, his return cannot be deemed to have never been filed, held the Bombay High Court. Instead, it must be considered to be defective, and the assessee must be given 15 days to set right the deficiency.

In Crawford Bayley and Co., the burden of song of the assessee was it was not its fault that the hard copy was not received, especially given that the department insisted on it being sent by ordinary post. Only recently, it has relented and allowed dispatch through speed post as well. The law requires the hard copy (ITR-5) containing the brief and relevant particulars of the return filed electronically to be sent to its Bangalore electronic processing centre within 120 days, which the assessee in this case had done.

The Bombay High Court came to the conclusion that non-receipt of the hard copy could at best be viewed as rendering the return defective and not non est. Incidentally, the law mandates the assessing officer to give 15 days to the assessee.

What is communicated and what actually reaches..

From : Managing Director
To : Executive Director
"Tomorrow morning there will be a total eclipse of the sun at nine o'clock. This is something which we cannot see everyday, so let the workers line up outside .On this rare occurrence, I will personally explain the phenomenon to them. If it is raining  the work force should assemble in the canteen."

From : Executive Director
To : Departmental Head
"By order of the Managing Director, there will be a total eclipse of the sun at nine o' clock tomorrow morning. If it is raining the disappearance of the sun will be followed through in the canteen. This is something we cannot see happening everyday."

From : Departmental Heads
To : Sectional Heads
"By order of the Managing Director, we shall follow the disappearance of the sun in the canteen at nine o'clock tomorrow morning. The Managing Director will tell us whether it is going to rain. This is something which we cannot see happen everyday."

From : Section Heads
To : Foreman
"If it is raining in the canteen tomorrow morning, which is something that we cannot see happen everyday, the Managing Director will disappear at nine o' clock."

From : Foreman
To : All Operators
"Tomorrow morning at nine o' clock, the Managing Director will disappear. It's a pity that we can't see this happen everyday."

CP rates

Commercial paper is an unsecured promissory note with a fixed maturity of 1 to 364 days. Commercial paper is a money-market security issued (sold) by large banks and corporations to get money to meet short term debt obligations and is only backed by an issuing bank or corporation's promise to pay the face amount on the maturity date specified on the note. Since it is not backed by collateral, only firms with excellent credit ratings from a recognized rating agency will be able to sell their commercial paper at a reasonable price. Commercial paper is usually sold at a discount from face value, and carries higher interest repayment rates than bonds. Typically, the longer the maturity on a note, the higher the interest rate the issuing institution must pay. Interest rates fluctuate with market conditions, but are typically lower than banks' rates.

India Inc is shifting to commercial paper market in a major way to borrow cheap after almost all the banks started increasing their lending rates by raising their base as well as benchmark prime lending rates in recent times. 

Through commercial paper (CP), corporate houses can borrow below base rate, which is the minimum rate the banks have to charge in case they provide credit through normal routes. However, the corporates cannot borrow for more than one year through the CP route. Consequently, the rates for CP has further gone up in the last fortnight when the corporates continued to borrow heavily through CP.

The banks in a bid to meet the demands for short-term funds from corporates are raising resources through short-term certificate of deposits (CDs).

CP rates are used by Bankers to decide lending as they are aware that at what rate the companies are able to access the market.

Budget Terms in Simple words

Fiscal Deficit

The rising fiscal deficit has dominated all discussions on the budget. The excess of government’s expenditure over its tax and non-tax revenues has to be met with borrowings from the public. This borrowing is called fiscal deficit, which is usually expressed as a percentage of GDP. A high fiscal deficit runs the risk of government cornering the bulk of the savings, leaving little for corporate and other borrowers, or what is called crowding out. Prolonged periods of high fiscal deficit run the risk of raising interest rates and inflation and depressing growth. A deficit of 3% of GDP is seen as sustainable. In the current year, the government has budgeted a fiscal deficit of 4.6% of GDP.

Revenue Deficit

Revenue deficit is an important control indicator. All expenditure on revenue account should ideally be met from receipts on revenue account. Ideally, revenue deficit should be zero, else the government debt will keep rising. Revenue deficit means the government is essentially borrowing to consume, a recipe for financial disaster. Ideally, government borrowing should fund asset creation, which will yield returns in the future.

Primary Deficit

The primary deficit is fiscal deficit minus interest payments the government makes on its earlier borrowings. It is another indicator to judge the quality of the government deficit.

Financing of Fiscal Deficit

Market borrowings are the biggest source of funds for meeting the fiscal deficit. The government also takes a portion of the funds raised through small savings by issuing securities to the fund that manages small savings. A part of deficit is also met through external sources of funds. Provident fund accumulations of state government employees is also available for meeting the fiscal deficit

Frozen in time

Some stories remain in the hearts only. A friend of mine is living his own ‘chhoti c love story’ these days.

He was young. She was younger. But both were in class 12th. He liked her. She found him cute. He had no idea what the longing was all about. She was too innocent to understand anything.

He loved the dimple chin. She loved his humour. He followed her back home on his red bicycle. She was always ahead on her pink bicycle. He never sped up to catch up. She always peddled slowly thinking he would.

Then, one bigger boy on a bigger bicycle overtook him. He could not keep pace. The boy was aggressive and conveniently pedalled his cycle in between them. Then, there was another one on another bicycle and then a bike and a scooter and then even a car. The girl kept growing beautiful and her suitors bigger, stronger and richer.

He was silent. He was sad. He always thought tomorrow he would say it all. But when tomorrow became today, he let it become yesterday and yesterdays became the past days, the past life.

They met years — donkey’s years — later, on a social networking site. His intense eyes still peeped through the specs. Her dimple chin was more prominent in her double chin. Her husband and kids smiled from her profile picture. His wife looked on from the side of their family picture.

“Hi,” he began..

“You remember me?” he asked.

“Yeah,” she wrote.

He punched in a smiley.

“And life?” he asked.

“Good, he is rich and our two kids are in best school, and I see you have progressed a lot.”

“Thanks. And love?” he asked. She paused long.

“Yes, I experienced love. It was little short of what I felt on the road when someone used to follow me.”

“That someone was one of the many “but others were all rich and handsome.”

“Others? Who? I didn’t notice any. I felt only him everyday and I live those moments again and again.”

“I wish you had given ‘him’ some sign, maybe... ,” He left it incomplete.

“It is destiny, as they say,” she wrote.

My friend smiled: “Yes, and remember John Keats said in the Ode on a Grecian Urn about the permanency of love. The lovers kissing each others in the painting on the urn would always remain locked in the immortal love, unlike the real world.”

“And so those two shall be always on that road,” she punched along with a smiley. He repeated and both said time to sign off, time for the loving family.

Trace a Vehicle India

Here’s a list of online motor vehicle information search services in different states:
- vahan.nic.in (National)
- delhiveh.nic.in (Delhi)
- jalandhar.gov.in (Punjab)
- sangrur.gov.in (Punjab)
- goatransport.com (Goa)
- 210.212.213.82 (Andhra Pradesh)
- keralamvd.gov.in (Kerala)
- cidwestbengal.gov.in (West Bengal)

You can get the registration info of any vehicle by provides its registration number and last five digits of Chassis number.

Effect of Basel III

Effect of Basel III

The existing rules require a capital adequacy ratio of 8% to the RWAs. Rules allow Tier 1 capital at a minimum of 4% of RWAs i.e., 50% of total capital and Tier 2 capital comprising of debt instruments of medium term maturity of at least 5 years at a maximum of 4% of RWAs. Tier 3 capital with short maturity of at least 2 years can also support Tier 2 capital to some extent. Common equity in Tier 1 capital can be as low as 2% of RWAs.

Innovative features such as step-up option are allowed in capital instruments. The regulatory adjustments to capital are effected both at Tier 1 and Tier 2 capital in equal measure. The existing definition of capital is, thus, flawed. Capital is not only deficient in quality equity capital, but also contains elements of debt which do not support the bank as a going concern. In subprime crisis, big banks entered the crisis with insufficient level and quality of capital.

Under Basel III, Tier 1 capital will be the predominant form of regulatory capital. It will be minimum 75% of the total capital of 8%, i.e., 6%, as against 4% now. Within Tier 1 capital, common equity will be the predominant form of capital. It will be minimum 75% of the Tier 1 capital requirement of 6%, i.e., 4%, from the existing level of 2%. You may observe that the meaning of “predominant” portion of common equity in Tier 1 capital and Tier 1 capital portion in total capital (Tier 1 plus Tier 2) as 50% under Basel I and II has under gone a change to 75% under Basel III, improving the overall level of high quality capital in the banks.

To my mind the most revolutionary feature of Basel III in this regard is to ensure that public sector rescue of non-viable, but still functioning banks, does not entail absorption of losses by the tax-payers while leaving the non-common equity capital providers unscathed. Therefore, under Basel III, the terms and conditions of all non-common Tier 1 and Tier 2 instruments issued by banks will have a provision that requires such instruments, at the option of the relevant authority, to be either written off or converted into common equity upon the bank being adjudged by the supervisory authority as having approached or approaching the point of non-viability.

Additionally, innovative features in non-equity capital instruments are no longer acceptable. Tier 3 capital has also been completely abolished. The regulatory adjustments or deductions from capital presently applied at 50% to Tier 1 capital and 50% to Tier 2 capital will now be 100% from the common equity Tier 1 capital. To improve market discipline, all elements of capital are required to be disclosed along with a detailed reconciliation to the reported accounts. These requirements will be implemented uniformly across all jurisdictions and the consistency in application will be ensured by the Basel Committee through a peer review process.

Thus, the definition of capital in terms of its quality, quantity, consistency and transparency will improve under Basel III.

Minimum capital levels will rise to as high as 11.5%, from 9%, by 2019. \

These ratios will be fully implemented by March 31, 2018.

Hai Preet jahan ki Reet sada

Hindi Lyrics

English Translation

Jab Zero Diyaa Mere Bharat Ne Bharat Ne Mere Bharat Ne Duniyaa Ko Tab Ginatee Aayee Taaron Ki Bhaasha Bharat Ne Duniyaa Ko Pehle Sikhalaayi Deta Na Dashamaloh Bharat To Yun Chaand Pe Jaana Mushkil Tha Dharti Aur Chaand Ki Doori Ka Andaaza Lagaana Mushkil Thaa Sabhyataa Jahaan Pehle Aayi Sabhyataa Jahaan Pehle Aayi Pehle Janamee Hai Jahaan Pe Kalaa Apna Bharat Wo Bharat Hai Jis Ke Peechhe Sansaar Chalaa Sansaar Chalaa Aur Aage Badha Yun Aage Badhaa Badhataa Hi Gaya Bhagawaan Kare Ye Aur Badhe Badhataa Hi Rahe Aaur Foole Fale Hai Preet Jahaan Ki Reet Sadaa Hai Preet Jahaan Ki Reet Sadaa Hai Preet Jahaan Ki Reet Sadaa Main Geet Wahaan Ke Gaata Hoon Bharat Ka Rehne Wala Hoon Bharat Ki Baat Sunata Hoon Kaale Gore Ka Bhed Nahin Har Dil Se Humara Naata Hai Kuchh Aur Naa Aata Ho Hum Ko Humein Pyaar Nibhaana Aata Hai Jise Maan Chuki Saree Duniya Main Baat Wahee Dohrataa Hoon Bharat Ka Rehne Wala Hoon Bharat Ki Baat Sunata Hoon Hai Preet Jahaan Ki Reet Sadaa Jeete Hon Kisi Ne Desh To Kya Hum Ne To Dilon Ko Jeeta Hai Jahaan Ram Abhi Tak Hai Nar Mein Naree Mein Abhi Tak Seeta Hai Itne Paawan Hain Log Jahaan Itne Paawan Hain Log Jahaan Main Nit Nit Sheesh Jhukataa Hoon Bharat Ka Rehne Wala Hoon Bharat Ki Baat Sunata Hoon Itni Mamta Nadiyon Ko Bhi Jahaan Maata Keh Ke Bulaate Hain Itna Aadar Insaan To Kya Pathar Bhi Pooje Jaate Hai Us Dharti Pe Maine Janam Liya Us Dharti Pe Maine Janam Liya Yeh Soch Yeh Soch Ke Main Itaraata Hoon Bharat Ka Rehne Wala Hoon Bharat Ki Baat Sunata Hoon Hai Preet Jahaan Ki Reet Sadaa

When my India invented the zero Only then the world learned the counting India taught the world, The language of stars(Astrology) Hadn't India invented the decimal, Reaching the moon would have been very difficult It would have been difficult To calculate the distance between the earth and the moon Civilisation found it's roots in India, Art was first born in India Our India is that India whom World has followed India and then succeeded India lead the way and kept on leading I pray to God that India keeps on succeeding Where love has always been the culture Where love has always been the culture I will sing praises of that country I am an Indian I will tell about India There is no discrimination between black and white in India We have relation with every heart We may not know anything else, But we know how to love What has been acknowledged by the whole world I am just repeating I am an Indian I will tell about India Where love has always been the culture The others might have won over other countries But we have won hearts of people There is still Lord Ram present in every man And Goddess Sita in every women in India So sacred are people here, So sacred are people here, I bow my head in respect I am an Indian I will tell about India So much so is the motherly love That even rivers are called as mother There is so much respect that let alone Humans, even stones are preached here That I am born on such a land That I am born on such a land I feel pride in thinking I am an Indian I will tell about India Where love has always been the culture

You can watch the video here

http://www.youtube.com/watch?gl=IN&v=EeOZazExfUs

Lyrics Sindoor lal chadayo accha gajmukh ko

Shenduur Laal Chadhaayo Achchhaa Gajamukha Ko,
 Dondil Laal Biraaje Sut Gauriihar Ko,
 Haath Liye Guda Ladduu Saanii Survaar Ko,
 Mahimaa Kahe Na Jaay Laagat Huun Pad Ko
Jay Dev Jay Dev... Jai dev Jai dev

Jay Jay Jay Jay Sh Ganaraaj Vidyaa...sukhadaataa Dhany Tumhaaro Darshan Meraa Man Ramataa Jay Dev Jay Dev Jay Dev Jay Dev ...

 Bhaavabhagati Se Koii Sharanaagat Aave Santati Sampatti Sab hi Bharapuur Paave
Aise Tum Mahaaraaj Moko Ati Bhaave Gosaaviinandan Nishidin Gun Gaave Jay Dev Jay Dev  Jai dev Jai dev

Jay Jay Jay Jay Sh Ganaraaj Vidyaa...sukhadaataa Dhany Tumhaaro Darshan Meraa Man Ramataa Jay Dev Jay Dev Jay Dev Jay Dev ..

You can listen the Song here too...