VERIFICATION OF MARKS OF COMPANY SECRETARIES EXAMINATIONS:
In terms of Regulation 46 (2) of the Company Secretaries Regulations, 1982, as in force, a
candidate can seek “Verification of Marks” in any subject(s) of CS examination within 30
days from the date of declaration of results.

The application for verification of marks should be made by interested candidates in the prescribed method with requisite fee @
Rs. 250/- per subject within 30 days (one month) from the date of declaration of results.

Interested candidates can apply for verification of marks either through On-line mode or
Off-line mode as detailed below:
(A) Application of Verification of Marks – On-Line Mode
In case any candidate intends to apply for verification of marks, he/she is encouraged to
apply through On-line Services of the Institute as it shall provide the following benefits
to the candidates:
(i) Instant receipt of application for verification of marks in the Institute.
(ii) Loss of application in transit is avoided.
(iii) Postal delay, if any, is nil.
(iv) Fee for verification of marks can be paid through credit card/debit card /net
banking.
(v) Application for verification shall be disposed off within the minimum period.
(vi) Preparation of Demand draft and dispatching of application through speed
post/courier service can be avoided.
(vii) Candidates can confirm the receipt of their application at an early date.
In order to optimize the use of online mode of application for verification of marks,
candidates in their own interest are advised to submit their request for verification of
marks through On-line mode by following the procedure mentioned below.
Procedure for Submitting On-Line Application for Verification of Marks (VOM)
Candidates shall submit their application for Verification of Marks through on-line

Services of the Institute at www.icsi.edu as per the following steps:
Step 1: Login into the Online Services portal

Step 2: Click on StudentMy Account link (as per below screen shot)

Step 3: Click here for Exam Verification Request link on Student Details Page

Step 4: Choose Request Type and Click on Submit Button

Step 5: Press Click button to view the contact details

Step 6: Verify the address details. If change is required,
Students > My Account > Requests > Change of Address
Click Confirm button if address details are correct

Step 7: Choose the subjects for which Verification request needs to be generated. Choose
the appropriate payment mode and click Proceed for Payment Button

Step 8: Request ID and Transaction ID will be generated for the request. Click on
Proceed for Payment Button

Step 9: Already raised request will be disabled. The Approval Time will appear against
the Requests which have been approved by the Directorate of Examination.

LAST PAGE IS THE APPLICATION FORM*

Candidates may note that the response time for disposal of application for verification of
marks is normally two months from the date of confirmation of receipt of online
application by the Directorate of Examinations of the Institute. On receipt of the
application for verification of marks, the status/outcome will be shown on the Institute’s
website: www.icsi.edu The candidate concerned can inquiry about the status/outcome of
his/her application by entering his/her Roll No. or Student Registration Number

The Institute of Company Secretaries of India (ICSI) has announced today i.e. Wednesday, 25 February, 2015 the result of CS (Company Secretaries) Professional Programme (Final) Examinations which was held in Dec, 2014.

The Name of top three rank holders of CS Final Examinations held in Dec, 2014 under Old syllabus are  Varsha Agrawal, Riddhi Kamleshkumar Jhaveri and Balaji N and marks secured by them are 513, 502 and 486  respectively.




Download the provisional list of 27 students whose name has been included in the list of first 25 top rankers who have passed all papers of Professional Programme Examinations under old syllabus without exemption in any paper, in one sitting, in Dec, 2014. The name of top three rank holders of CS Final Examinations held in Dec, 2014 under New syllabus are Tanvi Jain, Mayuresh Vinayak Dharap and Khushboo Sandeep Shah and marks secured by them are 590, 581 and 578 respectively.



Download the provisional list of 34 students whose name has been included in the list of first 25 top rankers who have passed all papers of Professional Programme Examinations under New syllabus without exemption in any paper, in one sitting, in Dec, 2014.

The result of Company Secretary Executive Programme under old as well as new syllabus of the Institute of Company Secretaries of India has been declared on Wednesday, 25 February, 2015 at 02.00 P.M. You may see your results including subject-wise break of marks and formal E-result-cum-Marks Statement of CS Inter Dec 2014 session of examination at official website of CS Institute icsi.edu.

The name of top three rank holders of CS Executive Programme Examinations held in Dec, 2014 under New syllabus are are Simran Khattar, Akshay Hemant Paranjape and Shilpa K Murthy and marks secured by them are 523, 521 and 517 respectively.




Whereas the top 3 Rank holders of the Executive Programme (Old Syllabus) Dec, 2014 examinations are Shubham Dad (Rank-1), Namish Chhaparwal (Rank-1), Nisha Kumari Sorot (Rank-2) and Pooja (Rank-3) and marks secured by them are 404, 404, 389 and 367 respectively.

When examiner handover you the paper you have 15mints. To read. I never read & waste time on reading first question of paper in this time because it is compulsory. I always do NPV analysis in this 15mint to find out question which I will eliminate to answer as option. While reading question I write few points from pencil on question paper around question which I need to write in answer book. It will save time to remind those points 

Create a Chart:
To create a chart, you must first enter the data for the chart on an Excel worksheet. Select that data, and then use the Chart Wizard to step through the process of selecting a chart type and the various chart options for your chart. To do this, follow these steps:
Start Excel, and then open your workbook.
Select the cells that contain the data that you want to display in your chart.
On the Insert menu, click Chart to start the Chart Wizard.
In the Chart Wizard - Step 1 of 4 - Chart Type dialog box, specify the chart type that you want to use for your chart. To do this, do one of the following:
Click the Standard Types tab. To view a sample of how your data will look when you select one of the standard chart types that Excel provides, click the chart type, click the chart subtype that you want to view, and then click Press and Hold to View Sample.

To select a chart type, click the chart type, click the chart subtype that you want, and then click Next.
Click the Custom Types tab. To select a built-in custom chart type, or to create your own chart type, click User-defined or Built-in. Select the chart type that you want, and then click Next.
In the Chart Wizard - Step 2 of 4 - Chart Source Data dialog box, you can specify the data range and how the series is displayed in your chart.

If the preview chart appears the way that you want, click Next. 

If you want to change the data range or series for your chart, do any of the following, and then click Next.
On the Data Range tab, click the Data Range box, and then select the cells that you want on your worksheet.
Specify whether you want the series displayed in columns or rows.
On the Series tab, add and delete a series, or change the worksheet ranges used for the names and values for each series in your chart.
In the Chart Wizard - Step 3 of 4 - Chart Options dialog box, you can modify the appearance of your chart more when you select any of the chart option settings on the six tabs. As you change these settings, view the preview chart to make sure that your chart looks the way that you want.

When you finish selecting the chart options that you want, click Next.
On the Titles tab, you can add or change the chart and axis titles.
On the Axes tab, you can set the display options for the primary axes of your chart.
On the Gridlines tab, you can display or hide gridlines.
On the Legend tab, you can add a legend to your chart.
On the Data Labels tab, you can add data labels to your chart.
On the Data Table tab, you can display or hide data tables.
In the Chart Wizard - Step 4 of 4 - Chart Location dialog box, select the location in which to place your chart by doing one of the following:
Click As new sheet to display your chart as a new sheet.
Click As object in to display your chart as an object in a sheet.
Click Finish.
source:microsoft

CLICK HERE TO DOWNLOAD CREATABLE CHART EXCEL SHEET

Service Tax (Chapter -V of Finance Act 1994):
Section 64 Extent, commencement and application.
Section 65B Interpretations
Section 66B Charge of service tax
Section 66C Determination of place of provision of service
Section 66D Negative list of services
Section 66E Declared Services
Section 66F Principals of interpretation of specified descriptions of services or bundled services.
Section 67 Valuation of taxable services for charging Service tax
Section 68 Payment of service tax.
Section 69 Registration
Section 70 Furnishing of Returns
Section 71 Scheme for Submission of Returns through Service Tax Preparers
Section 72 Best Judgment Assessment
Section 72A Special Audit
Section 73 Recovery of Service tax not levied or paid or short levied or short paid or erroneously refunded
Section 73A Service Tax collected from any person to be deposited with Central Government
Section 73B Interest on amount collected in excess
Section 73C Provisional attachment to protect revenue in certain cases
Section 73D Publication of information in respect of persons in certain cases
Section 74 Rectification of mistake
Section 75 Interest on delayed payment of Service Tax
Section 76 Penalty for failure to pay service tax
Section 77 Penalty for contravention of rules and provisions of Act for which no penalty is specified elsewhere
Section 78 Penalty for suppressing value of taxable service
Section 78A Where a company has committed any of the following contraventions, namely:— (a) evasion of service tax; or (b) issuance of invoice, bill or, as the case may be, a challan without provision of taxable service in violation of the rules made under the provisions of this Chapter; or (c) availment and utilisation of credit of taxes or duty without actual receipt of taxable service or excisable goods either fully or partially in violation of the rules made under the provisions of this Chapter; or (d) failure to pay any amount collected as service tax to the credit of the Central Government beyond a period of six months from the date on which such payment becomes due, then any director, manager, secretary or other officer of such company, who at the time of such contravention was in charge of, and was responsible to, the company for the conduct of business of such company and was knowingly concerned with such contravention, shall be liable to a penalty which may extend to one lakh rupees.”;
Section 80 Penalty not to be imposed in certain cases (Sec - 76,77,78)
Section 82 Power to search premises
Section 83 Application of certain provisions of Central Excise Act 1 of 1944
Section 83A Power of adjudication
Section 84 Appeals to Commissioner of Central Excise (Appeals)
Section 85 Appeals to the 1[Commissioner] of Central Excise (Appeals).
Section 86 Appeals to Appellate Tribunal
Section 87 Recovery of any amount due to Central Government
Section 88 Liability under Act to be first charge.
Section 89 Offences and Penalties
Section 90 Cognizance of offences
Section 91 Power to arrest
Section 93 Power to grant exemption from service tax
Section 93A Power to grant Rebate
Section 93B Rules made under section 94 to be applicable to services other than taxable services
Section 94 Power to make rules
Section 95 Power to remove difficulties in implementing new services
Section 96 Consequential amendment


Chapter VA of The Finance Act, 1994 ADVANCE RULINGS:

Section 96A Definitions
Section 96B Vacancies, etc., not to invalidate proceedings
Section 96C Application for advance ruling
Section 96D Procedure on receipt of application
Section 96E Applicability of advance ruling
Section 96F Advance ruling to be void in certain circumstances
Section 96G Powers of Authority
Section 96H Procedure of Authority
Section 96-I Power of Central Government to make rules.
Section 96-J Special exemption from service tax in certain cases
Section 97 Special Provision for exemption in certain cases relating to management etc .of roads
Section 99 Special provision for taxable services provided by Indian Railways

Sri Sardar Iqbal Singh vs. JCIT (ITAT Hyderabad), ITA No. 349/Hyd/2014, Date of pronouncement- 18-02-2015

Briefly the facts relating to this issue are, during assessment proceeding, AO noticed that assessee is also a director in M/s Euro Construction Pvt. Ltd. and during the year under consideration, assessee has received a total amount of Rs. 45 lakhs on different dates as loan/advance from the said company. AO further observed that on examining the receipts and payments account submitted by assessee, it was found that loan taken from the company was utilized for assessee’s personal purposes like investing in M/s Mirra Packaging and others. He further found that as assessee is holding shares of 95.249% and the company had also accumulated profits during the year, the amount given as loan/advance to assessee have to be treated as deemed dividend u/s 2(22)(e) of the Act. Accordingly, he issued a notice to assessee to explain. In response to the show cause notice, it was submitted by assessee that the amount received from the company was not in the nature of loan/advance, but, is actually towards purchase of property in the name of the company which did not materialize. AO, however, disbelieved the explanation of assessee in absence of supporting evidence. AO observed that as all the conditions of section 2(22)(e) are satisfied, the amount of Rs. 45 lakh received by assessee from M/s Euro Construction Pvt. Ltd. has to be treated as deemed dividend u/s 2(22)(e) and accordingly made the addition. Though, assessee challenged the addition made in appeal before ld. CIT(A), but, ld. CIT(A) also confirmed the addition made by accepting the view expressed by AO.
Ld. AR, reiterating the submissions made before the departmental authorities, submitted before us that the amount received from the company is not in the nature of loan/advance, but, for the purpose of investing in properties on behalf of the company. When the deal did not materialize, assessee refunded back the money to company. Therefore, the amount received not being in the nature of loan/advance, provisions of section 2(22)(e) is not attracted. Ld. AR submitted that this is only a running account with the company. Further, ld. AR referring to the account copy of assessee in the books of account of the company as well as company’s account in the books of assessee, submitted that if at all the amount received from the company is to be treated as deemed dividend, then, repayments made by assessee also has to be set off.
The ld. DR, on the other hand, submitted that not only before AO, but, also before ld. CIT(A), assessee could not substantiate its claim that the amount received from the company was towards purchase of land on behalf of the company. Therefore, assessee’s claim that the amount received is not in the nature of loan/advance cannot be accepted. It was submitted, as the amount received satisfied all the conditions of section 2(22)(e), addition made was justified.

We have considered the submissions of the parties as well as perused the materials on record and the orders of revenue authorities. There is no dispute to the fact that assessee on different dates during the relevant FY has received an amount of Rs. 45 lakh from M/s Euro Constructions Pvt. Ltd. wherein assessee is the Managing Director and majority shareholder. It is also not disputed that the said company is a company wherein public are not substantially interested. It is also a fact on record that during the year the company had accumulated profits. Therefore, all the conditions of section 2(22)

(e) are satisfied. Though, assessee has claimed that the amount received was not in the nature of loan/advance, but, towards purchase of land in the name of company, however, assessee has not produced even a single evidence to justify the aforesaid claim. No specific evidence to show that any agreement was entered into for purchase of property or any advance was paid has been brought on record by assessee. In these circumstances, assessee’s claim that the amount received was not in the nature of loan/advance cannot be accepted. However, as can be seen from assessee’s account in the books of M/s Euro Construction Pvt. Ltd. there is a credit balance of Rs. 7,55,896.50 in February, 2009. Therefore, assessee deserves to get credit for the said amount by setting it off against total advance of Rs. 45 lakh. In the aforesaid view of the matter, we direct AO to reduce the amount of Rs. 7,55,896.50 from the total loan/advance of Rs. 45 lakh and treat the balance amount as deemed dividend u/s 2(22)(e) of the Act. These grounds are partly allowed.

Banking and financial services are subject to levy of Service Tax in more than one form. While only specific services were taxed prior to 1.7.2012, all such services are taxable now barring those which are in negative list.

W.e.f.1.07.2012, all services, other than services specified in the negative list, provided or agreed to be provided in the taxable territory by a person to another would be taxed under section 66B.
Negative List of Services

Meaning of Negative List (Clause 34 of Section 65B/Section 66D)
Negative list has been defined under clause 34 of section 65B and such services are specified in section 66D of the Finance Act, 1994, as introduced by the Finance Act, 2012. Negative list of services would mean the services specified in section 66D which specifies seventeen broad categories of services. Only the following negative list entry is relevant for bank –

(n)   Services by way of—
(i) extending deposits, loans or advances in so far as the consideration is represented by way of interest or discount;
(ii) inter se sale or purchase of foreign currency amongst banks or authorised dealers of foreign exchange or amongst banks and such dealers.
Interest

      Interest has been defined in section 65B(30) of the Finance Act, 1994 as under-
‘interest’ means interest payable in any manner in respect of any money borrowed or debt incurred (including a deposit, claim or other similar right or obligation) but does not include any service fee or other charge in respect of the moneys borrowed or debt incurred or in respect of any credit facility which has not been utilized.

It should only be in the form of interest and does not include any service charge, fee or other charge, by whatever name called. For example, processing charges, pre-payment fee, late fee, cheque bounce charges etc. will not be called interest.
Such ‘interest’ has to be paid or received in relation to –
- Money borrowed
- Debt incurred
- Deposit
Claim or other similar right or obligation
Any charges or amounts collected over and above the interest or discount amounts would represent taxable consideration. Invoice discounting or cheque discounting or any similar form of discounting is covered only to the extent consideration is represented by way of discount as such discounting is nothing else but a manner of extending a credit facility or a loan.

The negative list entry covers any such service wherein moneys due are allowed to be used or retained on payment of interest or on a discount. The words used are ‘deposits, loans or advances and have to be taken in the generic sense. They would cover any facility by which an amount of money is lent or allowed to be used or retained on payment of what is commonly called the time value of money which could be in the form of an interest or a discount. This entry would not cover investments by way of equity or any other manner where the investor is entitled to a share of profit.
Illustrations of services covered in negative list could be as follows –
Fixed deposits or saving deposits or any other such deposits in a bank for which return is received by way of interest.

Providing a loan or over draft facility or a credit limit facility in consideration for payment of interest.
Mortgages or loans with a collateral security to the extent that the consideration for advancing such loans or advances are represented by way of interest.
Corporate deposits to the extent that the consideration for advancing such loans or advances are represented by way of interest or discount.

Exempted Services:
Apart from services mentioned under negative list, there are specific exemptions under Notification No. 25/2012 dated 20.06.2012. However, no specific exemption relating to banks / banking services are covered under the said mega exemption notification.

Table showing Taxability of Income, Liability under Reverse Charge Mechanism (RCM) and Cenvat Credit Eligibility

The Institute of Company Secretaries of India (ICSI) has announced that the results of CS Professional Programme and Executive Programme Examinations under old and new syllabus held in December, 2014 will be declared on Wednesday, the 25th February, 2015 at 11.00 A. M. and 02.00 P.M. respectively. 
As we know that the ICSI has discontinued the practice of sending physical copy of Marks Sheets of CS Foundation and Executive Programme. 

However, the formal e-Result-cum-Marks Statement of Executive Programme (Old Syllabus) and Executive Programme (New Syllabus) will be uploaded for downloading by candidates for their reference, use and records. 

The physical copy of Result-cum-Marks Statement will be dispatched by ICSI for only Professional Programme (CS Final) students. In case the physical copy of Marks Sheet is not received by any CS Final candidate within 30 days of declaration of result, he/she may contact the Institute at: [email protected] along with his/her particulars. 

Therefore, all students of CS Inter and CS Final may download the formal e-Result-cum-Marks Statements for their reference and records from icsi.examresults.net or www.icsi.edu or www.icsi.in 


CS Professional Programme Examination 
at 11.00 A.M 

CS Executive Programme Examination 
at 02.00 P.M. 

You may also Click Here to register your Email ID for getting the results in your mail box. You will be required to provide a valid Email ID along with Roll Number.

Section 234E of the Income-tax Act, 1961 inserted by the Finance Act, 2012 provides for levy of a fee of Rs. 200/- for each day's delay in filing the statement of Tax Deducted at Source (TDS) or Tax Collected at Source (TCS). The provision for Levy of Late filing fee was introduced to improve Filing Compliance and to avoid subsequent inconvenience to the taxpayers due to inordinate delays in availability of tax credits in their 26AS Statements.

This assumes further significance in view of the decision of the Hon'ble High Court of Bombay, dated February 6 2015, upholding the validity of the Levy for Late Filing u/s 234E. The court has observed the following in its decision in the case of Rashmikant Kundalia vs. UOI:

Immediate Attention:
The late filing of TDS returns by the deductor causes inconvenience to everyone and s. 234E levies a fee to regularize the said late filing.
The fee is not in the guise of a tax nor is it onerous.
The levy is constitutionally valid.


CPC (TDS), in its endeavor to strengthen TDS Compliance, is reaching out to you to reiterate the essence of timely filing of Quarterly TDS Statements. Section 200(3) of the Income Tax Act, 1961 read with Rule 31A of the Income Tax Rules, 1962, prescribes the following due dates for filing of TDS Statements:

Where the TDS Statements are not filed within the due date, CPC (TDS) sends Intimations u/s 200A of the Act that includes Levy under section 234E. Your attention is hereby drawn towards the provisions of section 234E of the Act (Levy for Late filing of TDS Statement), which reads as follows:

Without prejudice to the provisions of the Act, where a person fails to deliver or cause to be delivered a statement within the time prescribed in sub-section (3) of section 200 or the proviso to sub-section (3) of section 206C, he shall be liable to pay, by way of fee, a sum of two hundred rupees for every day during which the failure continues.

The amount of fee referred to in sub-section (1) shall not exceed the amount of tax deductible or collectible, as the case may be.

The amount of fee referred to in sub-section (1) shall be paid before delivering or causing to be delivered a statement in accordance with sub-section (3) of section 200 or the proviso to sub-section (3) of section 206C.

The provisions of this section shall apply to a statement referred to in sub-section (3) of section 200 or the proviso to sub-section (3) of section 206C which is to be delivered or caused to be delivered for tax deducted at source or tax collected at source, as the case may be, on or after the 1st day of July, 2012.

Action to be taken in case of Levy intimated u/s 234E:
Please download the Justification Report from our portal TRACES to view your latest outstanding demand. Please click here for assistance on downloading the Justification Report.
Use Challan ITNS 281 to pay the Levy with your relevant Banker, if there are no challans available for consumption.

Please use the Online Corrections facility on TRACES to submit corrections, to payoff the demand. To avail the facility, please Login to TRACES and navigate to Defaults tab to locate Request for Correction from the drop-down list. You can refer to our e-tutorials for necessary help.
Alternatively, you may also download the Conso File from our portal provided there are no Short Payment Defaults.

Prepare a Correction Statement using the latest Return Preparation Utility (RPU) and File Validation Utility (FVU).

Submit the Correction Statement at TIN Facilitation Centre.
For any assistance, you can write to [email protected] or call our toll-free number 1800 103 0344.

CPC (TDS) is committed to provide best possible services to you.

Discussions were held between the Indian Banks’ Association representing Managements of Banks and  the authorized representatives of Workmen Unions and Officers’ Association, on wage revision for officers in banks on 23.02.2015 at Mumbai. After holding several rounds of discussions. the parties have mutually agreed as under:


1. The wage revision will be effective from 1.11.2012

2. The annual wage increase in salary and allowance @ 15% which works out to Ks. 4725 crores on salary slip components.

3. The new scales will be constructed after merging dearness allowance corresponding 4440 points as on November 2011, which works out to 60.15% and adding a load factor of 2% on Basic Pay plus Dearness Allowance as on 31st Match 2012 amounting to around Rs 597 coves,

4. Distribution of annual wage increase between Workmen Unions and Officers’ Associations will be worked separately based on breakup of establishment expenses as on 31.3.2012.

5. Every second and fourth Saturday of the month will he a holiday and the other Saturdays will be full working

6. All other issues of the Managements and Unions/Associations discussed during the process of negotiation will be settled to the mutual satisfaction

7. The parties will meet on mutually convenient dates to draw out a detailed Bipartite Settlement/Joint Note on the various issues on which consensus positions have been reached. The parties will endeavour to finalise the Bipartite Settlement /Joint Note within a period of ninety days from the dale of this minutes.
Check Official copy:
Click into the Image and Get large size

New Website of National Pension System Trust Launched; To Provide Proper and Effective Information Dissemination to the Stakeholders and Provide Ease of Access to Various Beneficiaries Under NPS

February 24, 2015

The National Pension System Trust has been set-up and constituted by Pension Fund Regulatory Development Authority (PFRDA) for taking care of the assets and funds under the National Pension System (NPS) in the interest of the beneficiaries (subscribers).

The National Pension System Trust has launched its new website http://www.npstrust.org.in/. in here today.. The website was launched by Shri G. N. Bajpai, Chairman & Trustee of the Board of NPS Trust. The website is aimed to provide proper and effective information dissemination to the stakeholders and provide ease of access to various beneficiaries under NPS.

a) Customs revenue in a particular year is a function of import and export volumes and the policy changes made in the fiscal policy. However, prediction of import and export volumes at the estimation stage is highly complex as these are a function of international prices of imported goods, monetary exchange rates, world economic and political scenario, FTAs entered into by various economic groups during the course of the year, trade restrictions imposed by importing/exporting countries, country specific tariff barriers imposed in terms of antidumping and safeguard duties and mid-year policy changes that may be implemented to address various concerns such as that of current account deficit. In recent times there have been huge volatility in the international prices of key commodities and also in exchange rates.

b) Central Excise duty is levied on manufacture. As of now about 60% of the total Central Excise revenue comes from specific rated commodities (like petroleum & products, tobacco product,sugar etc). Rest of the revenue comes from ad-valorem rates. A tax on manufacture cannot have a predictable co-relation to GDP numbers and tax buoyancy in the previous few years for the following reasons:

1) Manufacture does not have a predictable co-relation with growth in GDP. With increased FTA, there is likelihood of import substituting for manufacture. This is unlike consumption of goods and services, where there is predictability.

2) While a majority of excise revenue is a function of quantity of production, GDP numbers are in value terms. Therefore, revenue from these commodities cannot be based on GDP estimation. Further, production numbers of specific rated commodities cannot be predicted for the reason that this may vary for various reasons like ban imposed by the states on tobacco products or changes in consumption pattern.

3) While taxes imposed on income side have a predictable co-relation with the GDP, inflation and other economic indicators, the taxes on expenditure side are dependent on the consumption pattern, which in itself is a function of price elasticity of a commodity, the saving rate, etc.

c) Service Tax is a tax on consumption of services. Services constitute major portion of the GDP and consumption of services has a co-relation with GDP. Therefore fair estimation of service tax revenue is feasible by economic forecasting technique based on tax buoyancy/tax elasticity method with certain underlying assumptions. However, this estimation could be much more accurate if service sector is comprehensively taxed. Even with the introduction of the Negative List based tax regime a significant portion of the service sector (illustratively, a significant portion of public services/government services, health, education, public transport by road and rail, non-commercial construction, sports, entertainment and cultural services, financial services, agricultural sector related services and transport of goods) is outside the tax net.

(i) The sectoral analysis of revenue estimates taking into account the past trends, growth prospect, the impact of policy level changes, sector analysis available in credible publication and the information provided by the respective ministries e.g., the growth projection in petroleum sector is provided by the Petroleum Planning and Analysis Cell (PPAC), Ministry of Petroleum and Natural Gas.

(ii) The import/export volume growth is estimated based on trends.

(iii) Feedback and revenue projection is taken into accounts from all zonal offices (CCs) in the 4th quarter.

(iv) Sectoral analysis of top 10 commodities/sectors w.r.t Customs, central excise and service tax.

(v) Based on the above inputs the numbers are consolidated and validated with nominal/Real GDP growth as reported by CSO, Ministry of Statistics, taking into accounts (sic) the likely outgo in refunds/Drawback, etc.

• Advance estimate of nominal GDP growth provided by Economic Division of DEA.
• Change in tax policy, ARM, stimulus package/exemptions relief (if any), etc. during the Union Budget. 
• Sectoral analysis by TRU. 
• Feedback and projection from the field formations. 
• Inputs from concerned Ministries, e.g. POL sector growth as provided by PPAC, Ministry of Petroleum, industry associations and sectoral analysis available in credible publications. 
• Import and export sector analysis based on trends. 
• Estimation of refund and duty drawback outgo. 
• Inputs from Budget and Economic Affair Division.
• Tax buoyancy factor (multiplier) usually provided by budget division after assessing the overall revenue potential and fiscal target constraints.