Other Briefings
More Companies Turn to Dispute Resolution Panel
May 10 – More local and multinational companies in India are choosing to apply issues related to cross-border taxation to the newly established dispute resolution panel (DRP) rather than the conventional channels of appeal. Choosing the DRP route has the benefit of limiting the tax department from recovering tax pending a DRP verdict. Moreover, the […]
Reserve Bank of India Revises Pricing Guidelines for Transfer of Shares
May 10 – The Reserve Bank of India has revised pricing guidelines for the transfer of equity instruments from a resident to a non-resident and vice versa in a notification last month. Effective May 4, Foreign Exchange Management Act, 1999 (FEMA) 205/2010-RB will bring about the following changes: In case the shares are listed, the […]
New Liquidation Process for Troubled Firms to be Released
May 7 -The Indian government has announced plans to formulate an exit scheme that will make it easier for troubled companies to go through the liquidation process. The mechanism is scheduled to be ready in less than a year and will serve as a special purpose vehicle (SPV) that will allow authorities to centrally gather […]
India Against Moves to Link Trade with CSR Standards
May 6 – India is trying to block moves to use an international standard on corporate social responsibility (CSR) as a basis for refusing exports from emerging nations. The implementation of such a rule will inevitably increase business costs for companies from developing countries as well as affect global competitiveness. “We want to ensure that […]
French Retail Giant to Enter Indian Market
May 5 – Europe’s largest retailer, Carrefour S.A, is planning to enter the Indian market through wholesale superstores slated to open later this year. Indian law does not allow full foreign ownership in the retail business so the company is currently looking for a local partner to open stores under the Carrefour brand. “We have […]
Assocham Recommends 49 Percent Initial FDI in Defense Sector
May 4 – The Associated Chambers of Commerce and Industry of India (Assocham) is recommending that only up to 49 percent foreign direct investment be initially allowed for the defense equipment sector. The defense industry proposed earlier that 100 percent foreign direct investment be allowed in the sector to stimulate domestic manufacturing. Assocham advises that […]
India Considers Cutting Export Costs
Apr. 28 – The Indian government is looking for ways to cut costs for exporters to make them more competitive in world markets. This may involve simplifying procedures and transparency issues as well as doing away with cost inefficiencies. The Minister of State for Commerce and Industry Jyotiraditya Scindia is heading a task force to […]
India Raises Interest Rates
Apr. 21 – India’s central bank raised interest rates for the second time in a month to curb double-digit inflation spurred on by the economic stimulus plan. Inflation rates rose to 9.9 percent in March compared to 0.5 percent in September, the highest rate in 17 months. The Reserve Bank of India raised the repo […]
