25th September 2019 Practical Challenges &

Transcript:25th September 2019 Practical Challenges &:
25th September 2019 Practical Challenges & Difficulties – Do’s & Dont’s from Tax Regulatory perspective for startup PANKIL sanghvi EXPERTISE SUMMARY Pankil is a Partner with the Tax & Regulatory practice. He operates out of Bangalore office and has 16 years of professional experience in handling Domestic Tax, International Tax and Transfer Pricing engagements. Prior to joining BDO, he has worked with larger accounting firms and has a diverse experience in servicing multinationals, Indian groups, start-ups and SMEs. Pankil has led several engagements in India and Internationally across diverse industry verticals like IT/ITeS, Engineering Services, Manufacturing, Consumer Markets, Telecom, etc . Pankil has contributed to several Indian business newspapers and professional magazines. He has also been a regular speaker at several local and national forums. SELECT KEY PROJECTS Conducted a High Value Tax efficient supply chain structuring for an Indian MNC client which had global tax implications Played the lead role in multiple projects involving relocation of HQ from India to overseas jurisdictions Played the lead role in Global Transfer Pricing documentation for major MNC groups involving Indian as well as foreign companies Assisted a global telecom major in conceptualising, setting up and implementing its global Residual Profit Split Transfer Pricing model Argued a complex and high stakes Tax and Transfer Pricing matter before the Appellate Tribunal Assisted a top Fortune 500 Company in a high stakes survey proceeding and litigation relating to ‘permanent establishment’ and ‘profit attribution’ AREAS OF EXPERTISE Indian Income Tax International Tax Transfer Pricing INDUSTRY EXPERTISE IT / ITeS Engineering Services Telecom Consumer Markets EDUCATION & PROFESSIONAL QUALIFICATIONS Chartered Accountant – ICAI Master of Management Studies (Finance) Bachelor of Commerce Partner Tax & Regulatory Services M: +91 98 1935 5953 E: pankilsanghvi@bdo.in The taxation laws (amendment) ordinance 2019 Tax rate reduced from 25% to 22% - impact Concessional tax rate for existing domestic Companies u/s 115BAA Reduction in 3% rate thereby reduction in tax outflow by ~10% A new Section 115BAA has been introduced which provides a concessional tax rate of 22% (plus surcharge of 10% and cess of 4%) for all domestic companies subject to fulfillment of conditions specified below. MAT provisions will not be applicable to Companies opting for this concessional tax regime The domestic company will not be allowed to claim the following deductions / incentives: Deduction under section 10AA (SEZ Units) Accelerated depreciation under section 32(1)(iia) Deduction under section 32AD (Investments in