Tags Posts tagged with "Bill"



Better late than never. The NDA government needs to be hailed for finally bringing into consideration the significant Fugitive Economic Offenders Bill 2018 passed by the union cabinet to be further ratified by both the houses of parliament to make it a law.

Though there is no dearth of laws against fradulent practices and money laundering activities in our country but the recent scams of gigantic nature involving thousands of crores in which the accused had clandestinely left the country for foreign nations after transferring the maximum siphoned off amount to foreign banks and investing the same there thus enjoying the venerable status as prestigious citizens there.

The recent examples of Lalit Modi, Vijay Mallaya, Nirav Modi and Mehul Chowksi are the glaring examples who not only cheated India of its tax payers money worth 18000 crores in all, roughly, but had also escaped to foreign lands making mockery of our law enforcing agencies and the system of governance.

There are several other such fraudsters and money launderers not so popular who are also out of the country after committing frauds and economic offences. Moreover, in the absence of the extradition treaties with the countries where these fraudsters have taken comfortable refuge and filing of several cases in the foreign courts too, make things extremely complicated in ensuring the repatriation of these economic offenders to India.

In certain cases while these offenders are labelled as absconders in India, in the countries of their refuge they are considered to be the honorable NRIs and prestigious investors of those countries, contributing healthily in strengthening the economies of the foreign nations with the siphoned off thousands of crores of the India’s tax payer money.

In the recently declared over 9000 willful economic defaulters’ list there may be several of such offenders who must have allegedly transferred their money to foreign banks and several of them must have eloped by now. Therefore the need of the hour is to recorrect and revitalise the falling Indian economy and the best way is to invent stringent economic laws so as to apply expeditious brakes on their fraudulent financial activities and transactions. The Fugitive Economic Offenders Bill 2018, likely to become an act, if unanimously ratified by both the houses of Parliament in the near future will definitely be a great deterrent against such economic offenders.

Under this new law the fraudsters or economic offenders above the range of hundred crores, fled abroad, would be liable for stringent punishment and their entire property in India including the proceeds of profits in currency would be confiscated by the government. Usually, these economic offenders even after eloping to a foreign country sell their properties in India sitting abroad, purchased by the illegal bank loans and get the booty transferred through various illegal means of Hawala.

The government is also trying to increase the influence of this law by deliberating with countries abroad and bringing the foreign properties and bank accounts under this Indian law so that the foreign properties of these economic offenders including bank proceeds could also be consfiscated simultaneously. If there will be such a pressure, the economic offenders can relent and come back to India to face trial and fight their case independently.

According to the Fugitive Economic Offenders Bill, 2018, if the accused comes back to his country and surrenders himself, the ACT would not be applicable on him and he will be allowed to wrest his case in courts with the help of his hired lawyers as per the Indian norms.

It may be recalled that there have been lot of hue and cry over the cases of Lalit Modi, Vijay Mallaya, Nirav Modi and Mehul Chowksi including the owner of Rotomac pens who’d fled the country after committing embezzlement of over 1800 crores or more in total, tentatively. The owner of Rotomac is however in Kanpur and has accepted for having not been able to return the loan of more than 3 thousand crores which has further multiplied with several CBI, ED and Income tax cases lodged against him.


Now we all know that GST has been implemented in India (including J&K), therefore we must now take care of the below mentioned important points while issuing or receiving any invoices:
1. Under GST, there are only two types of invoices that one can issue. These are
(i) Tax Invoice – To be issued by all Registered Dealers 
(ii) Bill of Supply – To be issued by Composite Dealers and Dealers who sale Exempted Goods only.
2. There is no concept of issuing Retail Invoice or Sales Invoice. Registered Dealers have to issue Tax Invoices only for all of their supplies of Taxable Goods or Services.
3. Registered Dealers are required to show IGST, CGST or SGST rates and amounts separately in their invoice.
4. Dealers issuing Bill of Supply cannot issue an invoice showing IGST, CGST or SGST amounts separately in their invoice. They have to issue the Bill inclusive of Taxes.
5. Invoice numbers may carry characters up to 16 Digits which may include Special Characters like Hash, Slash, Dash, Hiphen etc. apart from Numeric Digits.
6. If invoice type is B2B (Business to Business), then Buyer’s complete Name, Address and GSTIN are required to be mentioned over the invoice.
7. Buyer’s registered address and Place of Delivery may be different and such different addresses should be mentioned separately in the invoice.
8. In case of Unregistered Buyers, Seller need to mention complete name of Buyer with his address and PIN Code including State Name and State Code if issuing invoice over Rs 50,000/-. For below Rs 50,000/- it is not mandatory to mention Buyer’s State Name and Code.
9. It is mandatory to mention whether tax is payable under “Reverse Charge Mechanism” or not.
10. Invoice should be signed manually or digitally by Seller or his authorized representative.
11. HSN Code related requirements are mentioned as under :
Upto turnover of Rs 1.5 Crores -Nil
1.5 Crores to 5 Crores – 2 digits HSN
Above Rs 5 Crores – 4 digits HSN
(Notification no 12/2017 – 28 June 2017)

12. In case of Exports – below mentioned Endorsement is necessary to be mentioned over the invoice
13. In case of Retail sellers for goods below Rs 200 per buyer, a consolidated invoice may be raised for the whole day collection at day end.
14. For all advances received Advance Voucher need to be issued.
15. Bills to be prepared in triplicate, in case of Supply of Goods. Original will be for Buyer, Duplicate for Transporter and Triplicate for seller’s record. In case of supply of Services, Bills to be prepared in Duplicates.