Sept. 3 - Indian authorities are requiring communication service companies like Google and Skype to allow access to user data within two months as part of government efforts to tighten security.
The news comes after authorities threatened to ban Blackberry use in India if Research In Motion did not give them the ability to monitor messages. Communication service companies will now have to begin installing servers in the country if they want to comply with security access rules in one of the world’s most promising telecommunications markets. Read the rest of this entry »
Sept. 2 - The Direct Taxes Code (DTC) Bill is suggesting that profit-linked incentives can be replaced with investment-linked incentives for businesses that currently enjoy tax cuts.
If the proposal is approved, this may change incentives for special economic zone developers and businesses dealing with power, infrastructure, food processing, hotels and hospitals. Read the rest of this entry »
Sept. 1 - India’s Commissioner of Service Tax announced last month that online registrations for service tax assessees must be filed along with hard copies of the required documents.
The agency said that non-compliance of document requirements have led to delayed registrations with more than 1,000 cases not even making the effort to submit any kind of document at all. Read the rest of this entry »
Sept. 1 - Switzerland and India have agreed to make changes to their double taxation agreement (DTA).
The revisions will allow Indian authorities more access to specific information that will serve to cut down tax evasion. “The revised DTA contains provisions on the exchange of information in accordance with the Organization for Economic Cooperation and Development (OECD) standard, which were negotiated in line with the parameters decided by the Federal Council,” according to an official release from the Swiss Embassy. Read the rest of this entry »
Aug. 31 - The Indian government has decided to delay the implementation of the Direct Taxes Code (DTC) from April 1, 2011 to April 1, 2012 as part of efforts to improve preparations for the major change.
“The issue that the operation has been put on hold for a year is to allow all three categories [tax practitioner, taxpayer, and tax administrator] enough time to become adequately familiar with the new provisions in the DTC,” Revenue Secretary Sunil Mitra said in a statement. Read the rest of this entry »
Aug. 30 - India has decided to extend the tax rebate scheme available for exporters from the end of this year until June 30, 2011 while also adding other benefits to boost trade.
The new incentives will cost the government an estimated US$214 million with tax rebates to cover textiles, leather and jute exporters. Exporters will be able to continue applying for rebates on selected import taxes following the Duty Entitlement Passbook Scheme. Read the rest of this entry »
Aug. 30 - Special economic zone incentives will be exempted from the new direct tax code (DTC) until 2014 although there is a proposed 20 percent minimum alternative tax based on a version approved by the Cabinet last Thursday.
Despite the assurance, investors are still nervous about the changes and developers are unsure whether zones will attract enough investors despite the changes made to the DTC. The bill may still undergo revisions when it reaches Parliament for approval.
Read the rest of this entry »
Aug. 27 - India’s Cabinet approved the Direct Taxes Code Bill yesterday, part of the government’s efforts to simplify procedures and cut taxes.
The DTC bill proposes decreasing tax rates while also cutting down on tax exemptions. Personal income tax exemption limits will be raised for employees earning up to Rs. 200,000 from the previous Rs. 160,000. Read the rest of this entry »
Aug. 27 - India’s Consumer Affairs Ministry is recommending that 49 percent foreign direct investment be allowed in the multi-retail industry with an emphasis on developing back-end operations.
The ministry said that more foreign investment should be allowed on the condition that a model law be in place to help shield small businesses. Moreover, the majority of foreign investment in multi-brand retail should focus on improving back-end infrastructure, in addition to agricultural processing and logistics. Read the rest of this entry »
Aug. 26 - The Indian government has decided to allow the export of cotton even without licenses beginning October 1 following a notification issued by the Directorate General of Foreign Trade.
“Export duty on cotton has been removed and export will be allowed under the Open General License from October 1 onwards,” said Commerce Secretary Rahul Khullar in a statement. The export duty of Rs.2,500 per ton of raw cotton will also be removed by then. Read the rest of this entry »
