The Ministry of Law and Justice vide its notification dated 28th March 2021 has published the Finance Act, 2021 and has notified that Sections 2 to 88 shall come into force on 1 April 2021 and sections 108 to 123 shall come into force on such date as the Central Government may, by notification in the Official Gazette, appoint.
The Act has provided an explanation to include any of the following activities for the transaction to be considered as the online sale of goods and online provision of services – acceptance of offer for sale, placing of a purchase order, acceptance of purchase order, and payment of consideration, supply of goods or provision of services. Another amendment includes consideration received or receivable from e-commerce supply or services irrespective of whether the e-commerce supply or services irrespective of whether the e-commerce operator owns the goods.
Further, there shall be no exemption available for the interest income accrued during the previous year in the recognized and statutory provident fund to the extent it relates to the contribution made by the employees over Rs 2.5 lakh in the previous year. Now, this condition is further relaxed to provide that in a case where there is no contribution by the employer to such fund, the threshold will be Rs 5 lakh instead of Rs 2.5 lakh.
