Friday, 8 January 2016

Daily Updates and News

Budget, 2016

Exempt startups from direct, indirect taxes: Nasscom

IT industry body Nasscom said exempting startups from direct and indirect taxes, including MAT, will help reduce compliance burden and cash outflows for these new businesses. The suggestion is part of Nasscom's pre-Budget recommendations for startup and e-commerce ecosystem to the Finance Ministry. "There is also an urgent need to remove angel tax that serves to tax the capital receipts, when the availability of financing from recognized sources such as banks and venture      [….] Read more at:

http://www.moneycontrol.com/news/economy/exempt-startupsdirect-indirect-taxes-nasscom_4902941.html?utm_source=ref_article

Budget 2016: India Inc seeks more public spend in infrastructure, rural sectors 

Some of the big-ticket items on India Inc's wish list ahead of the Union budget for 2016-17 include big boost to public spending, no slippage in fiscal consolidation, cut in corporate tax rate, calibrated phase-out of tax exemptions, overhaul of tax administration and clarity in tax policy. Industry chambers want the government to step up public spending in infrastructure and rural sectors to give a big demand push to the economy. "Capital expenditure on key projects in sectors such as     [….] Read more at:



Direct Tax
 
Government plans to make PAN as Business Identification Number for companies and firms

In a step towards a single-window clearance mechanism at the central level, the government plans to make the permanent account number (PAN) as the Business Identification Number (BIN) for companies and firms. The move is aimed at doing away with the need for separate registration with authorities ranging from the registrar of companies to the direct and indirect tax wings, the labour department and for export and import. Currently, entities first need to get a Company Identifi     [….] Read more at:

http://economictimes.indiatimes.com/articleshow/50435142.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst
 
Indirect Tax
 
Govt scraps export duty on iron ore pellets

Meeting yet another demand of steel and mining companies to make domestic industry competitive, the government scrapped export duty on iron ore pellets. In 2014, the government had imposed a five per cent export duty on iron ore pellets, which are value-added products of the leftover material or low-grade iron ore, generally used in steel making. This measure comes at a time when the government is also thinking of imposing minimum import price (MIP) on steel imports. It has     [….] Read more at:

http://www.business-standard.com/article/economy-policy/govt-scraps-export-duty-on-iron-ore-pellets-116010501036_1.html
 
Odisha govt hikes VAT on petrol, diesel by 3%

The Odisha government on Tuesday increased the Value Added Tax (VAT) on petrol and diesel by 3% each, making the fuel dearer. The finance department issued a notification stating that the VAT on petrol and diesel would be 26% from earlier rate of 23%. Petrol and diesel across the state will cost more by Rs 1.39 per litre and Rs 1.14 per litre respectively from today. "By increasing VAT by 3% on the fuel, the state government will get additional revenue of Rs 361 crore per annum. It would     [….] Read more at:

http://www.dnaindia.com/money/report-odisha-govt-hikes-vat-on-petrol-diesel-by-3-2162581
 
 
SEBI
 
Sebi issues Rs 1.6-cr impounding order in BoR case

The Securities and Exchange Board of India (Sebi) has issued an impounding order of Rs 1.6 crore against seven entities that made alleged unlawful gains by trading on inside information. The trades took place in shares of Bank of Rajasthan (BoR) ahead of its merger with ICICI Bank in 2010. The order was passed on Wednesday under sections 11(1), 11(4)(d) and 11B of the Sebi Act, 1992. The market regulator also asked all banks and depositories to ensure that no debits are made from the bank a    [….] Read more at:



Valecha Engineering stocks plummet on Sebi ban

Market regulator Securities and Exchange Board of India (Sebi) imposed a ban on Mumbai-based Valecha Engineering (VEL), its managing director and a dozen other entities for indulging in fraudulent trading.  The road builder’s shares saw its worst single-day fall in nearly five months. The stock, after falling as much as 15 per cent, ended at Rs 48.1, down 10.2 per cent. Sebi has imposed a market ban of up to three years for violation of provisions of Prohibition of Fraudulent and     [….] Read more at:



RBI

India set to extend RBI term for Rajan's lieutenant Urjit Patel

The government is set to extend the term of the central banker behind monetary policy changes that have helped reduce the country's chronically high inflation, signaling confidence in Governor Raghuram Rajan's team at the Reserve Bank of India (RBI). Urjit Patel — the architect of a switch to formally target inflation, among other changes — is likely to stay on as a deputy governor when his three-year term ends next week, government and policymaker sources said. An announcement is     [….] Read more at:



Siti Cable Network jumps after RBI relaxes foreign investment ceiling

Siti Cable Network rose 8.70% to Rs 40 at 9:27 IST on BSE after the central bank allowed foreign investors to buy up to 49% stake in the company. Meanwhile, the BSE Sensex was up 53.42 points, or 0.21%, to 25,676.77. On BSE, so far 6.43 lakh shares were traded in the counter, compared with an average volume of 73,563 shares in the past one quarter. The stock hit a high of Rs 41.70 and a low of Rs 39.50 so far during the day. The stock hit a 52-week high of Rs 41.70 on 5 January 2016.     [….] Read more at:

http://www.business-standard.com/article/news-cm/siti-cable-network-jumps-after-rbi-relaxes-foreign-investment-ceiling-116010500173_1.html
 
The Reserve Bank on Monday allowed foreign investors to buy up to 49% stake in SITI Cable Network

The Reserve Bank on Monday allowed foreign investors to buy up to 49% stake in SITI Cable Network.Foreign institutional investors (FIIs)/registered foreign portfolio investors (RFPIs) can now invest up to 49% of the paid-up capital of SITI Cable Network Limited under the Portfolio Investment Scheme (PIS), RBI said in a statement.The company has passed resolutions at its Board of Directors level and a special resolution through shareholders, agreeing to raising the limit for the purch     [….] Read more at:



RBI to auction new 10-year benchmark bond on Friday

The Reserve Bank of India (RBI) said on Monday that it would raise Rs 8,000 crore through a new benchmark 10-year bond on Friday.This is part of the Rs 14,000-crore bond auction the central bank would be undertaking on Friday, including Rs 2,000 crore through a 40-year bond. The 40-year bond, the longest duration bond, was issued in October last year and only Rs 5,000 crore has been raised so far. The other bonds against which Rs 2,000 crore each will be raised will mature in sev   [….] Read more at:

http://www.business-standard.com/article/finance/rbi-to-auction-new-10-year-benchmark-bond-on-friday-116010401099_1.html
 
 
 Miscellaneous Laws/News

Birlas stitch mega plan to spur women's wear exports

Aditya Birla Group, the world's largest viscose staple fibre (VSF) manufacturer, is creating a one-stop platform for fabric-makers to reach out directly to women's wear exporters and international brands. The move is being driven by the group's fibre business arm Birla Cellulose. It is an expansion of its ongoing LIVA Accredited Partners Forum (LAPF) initiative to aggregate the top talent in fabrics industry. Birla Cellulose would bring together LAPF partners and international brands at     [….] Read more at:



Apple paid CEO Tim Cook $10.3 million in 2015

Apple Inc Chief Executive Tim Cook's compensation rose 11.5 percent to USD 10.3 million in 2015, the company said on Wednesday, a year when its sales grew 28 percent and profits by 35 percent but its shares fell for the first time since 2008. Chief Financial Officer Luca Maestri's annual compensation rose about 81 percent to USD 25.3 million in 2015. In fact, Cook was the lowest-paid of the company's top executives. Angela Ahrendts, the senior vice president for retail and online stores, was     [….] Read more at:

http://www.moneycontrol.com/news/world-news/apple-paid-ceo-tim-cook-36103-million2015_4906461.html?utm_source=ref_article 
   
 
Internet both dangerous and democratic: Nobel laureates

A group of Noble laureates opined that the "rule of the mob" finds a quick expression in today's times due to social media, while stating that internet provided a platform that was "both dangerous and democratic". "Mobs existed before internet but now mob rule can express much more quickly because of social media. To me that is a danger. Crowds though have their own momentum," Nobel laureate V Ramakrishnan, who received a Nobel for Chemistry in 2009 said at an event here. The India-born     [….] Read more at:



Petronas Lubes eyes 5% market share by 2019

Petronas Lubricants India, an arm of the Malaysian oil major Petronas, said it hopes to more than treble its market share in the 2-billion liters per annum domestic lubes market to 5 percent by 2019. Launching cobranded lubes with Tata Motors   , Petronas Lubricants India chief executive MP Singh said currently its market share is a low 1.5 percent in the almost Rs 40,000-crore lubes market. Under the partnership, he said the Malaysian company will sell Tata Motors Genuine Oil for the     [….] Read more at:



Eyeing over Rs 2700 cr revenues in CY15: ITD Cementation

S Ramnath, CFO, ITD Cementation   in an interview to CNBC-TV18 said the company has not received any order under Namami Gange Programme because they basically are not into water treatment business. However, the company would be looking for opportunities to create water infrastructure alongside the Ganga River as they did alongside Narmada River. “ So on the cleaning aspect, no role for companies like us,” he added. The Union Cabinet today approved a proposal for taking up     [….] Read more at:


FY16 advertising revenue could grow by 40%: UFO Moviez

UFO Moviez   is targeting a 30 percent compounded growth in advertising revenues over the next three years, Kapil Agarwal, Joint Managing Director of the company tells CNBC-TV18. This year, he expects ad revenues to grow 40 percent. Agarwal says there is scope to improve ad minutes per screen from the current duration of 4 minutes. As of H1FY16, the company had 4940 screens. Annually, the company releases 1600 movies, he adds. On the Caravan Talkies business, Agarwal says the     [….] Read more at:

http://www.moneycontrol.com/news/business/fy16-advertising-revenue-could-grow-by-40-ufo-moviez_4894181.html?utm_source=ref_article
 
Economy & News

Government seeks private funds to build roads and skywalks in Bengaluru 

Basic infrastructure for Bengaluru, such as public toilets, bus shelters and skywalks, will be looking for private investors at Invest Karnataka, the state's flagship global investors' meet, to be held next month. As many as 48 projects in Bengaluru worth over Rs 45,000 crore will be showcased at the first global investors' meet during the Siddaramaiah-led government. Besides some capital-intensive projects, authorities have made public a list of investment opportunities that include development of six     [….] Read more at:



PM Narendra Modi sets up eight groups of secretaries to crank up economic growth 

In an unprecedented exercise, Prime Minister Narendra Modi has set up eight groups of secretaries to come up with ideas to drive economic growth ahead of the Budget and beyond it. Each group has to make a presentation later this month to the prime minister on action points along with detailed plans about how these can be implemented, officials said. Many of these ideas are likely to find their way into the Budget, which is being seen as a make-or-break one by a government under pressure to lift     [….] Read more at:

http://economictimes.indiatimes.com/articleshow/50474483.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst
 
World Bank cuts global economic growth outlook

The World Bank cut its global economic growth forecast for 2016, saying the weak performance of major emerging market economies will tamp activity overall, as will anemic showings from developed countries such as the United States. Global growth should accelerate to 2.9 percent this year from 2.4 percent in 2015, the bank said, but that still represents a downgrade from its June forecast for 3.3 percent growth. The bank raised particular concern about the flagging performance of     [….] Read more at:



Commissioning of new projects decline 44% in last quarter 

Commissioning of new projects fell an annual 44% in the last quarter although the number is expected to improve after companies disclose details in their October-December earnings, the Centre for Monitoring Indian Economy (CMIE) said. It said 269 projects with investments worth  Rs 496 billion were commissioned. Average quarterly commissioning of projects in the first three quarters of the current fiscal was Rs 874 billion, 1% lower than the average quarterly commissioning in the     [….] Read more at:


Government to adopt ILO proposals on unorganised labour 

The cabinet on Wednesday also approved a proposal to adopt International Labour Organization (ILO) recommendations on formalising the unorganised workforce in the country. The initiative, which will now be presented to Parliament for approval, seeks to ensure the inclusion of such workers in the formal economy. The government will have to facilitate the transition of workers and economic units from the informal to the formal economy while respecting workers' fundamental rights and     [….] Read more at:



Modi government decides to shut 3 HMT units, offer VRS to employees 

Its curtains for iconic timekeeper of the nation — HMT Watches. The cabinet committee on economic affairs (CCEA) gave its goahead to a Rs 427-crore financial assistance package for closure of unviable units of HMT, including the watch manufacturing entity. The CCEA has approved voluntary retirement scheme ( VRS) package at 2007 pay scales to mitigate the hardships being faced by the employees of HMT Watches Ltd, HMT Chinar Watches Ltd & HMT Bearings Ltd and to close their     [….] Read more at:



Government taking steps to ensure low-cost housing for all: Mukhtar Abbas Naqvi 

Government has been taking "strong and honest" steps to ensure low-cost housing and social security cover for every citizen, Union Minister Mukhtar Abbas Naqvi said here today. "Reform bills, such as the Real Estate (Regulation and Development) Amendment Bill, are essential for speedy economic development of the country. "This Bill will not only make real estate sector consumer-friendly, but also fulfil the target of 'Housing for All' by 2022," the Union Minister of State for Parliame    [….] Read more at:

http://economictimes.indiatimes.com/articleshow/50472558.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst
 
J&K Chief Minister Mufti Mohammad Sayeed dies at 79

Jammu and Kashmir Chief Minister Mufti Mohammad Sayeed died on Thursday in Delhi's All India Medical Institute of Medical Sciences after ailing for a long ailment. He was admitted to AIIMS on December 24 after he complained of neck pain and fever. He had been put on ventilator support. The 79-year-old was detected with sepsis, decreased blood counts and pneumonia. His health had sparked off speculation that there could be a possible change of guard. Mufti Mohammad Sayeed had himself      [….] Read more at:



Thanks & Regards,
Meetesh Shiroya

 
 

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