Other Briefings
Transactions Abroad Taxable in India
May 28 – A verdict recently passed by the Income Tax Appellate Tribunal (ITAT) in Mumbai stated that payments made to foreign entities for services rendered abroad can still be taxed in India if the deal can be linked back to the country. “It is no longer necessary that, in order to attract taxability in […]
RBI Introduces Temp. Measures to Increase Liquidity
May 27 – The Reserve Bank of India raised the rate under which banks can borrow from the central institution on Wednesday to 0.5 percent of deposits as it looks to create more liquidity in the market. This comes in anticipation of mid-June advance taxes and the more than US$20 billion in payments by telecom […]
India, United States Settle Tax Profit Dispute
May 20 – A tax dispute between India and the United States has been resolved with India agreeing to tax 17.5 percent of the profits earned by the Indian subsidiaries of U.S. companies in 2004-05. Previously, India wanted to implement a 25 to 30 percent tax on profits of IT services and research arms of […]
Tax Exemption List for Port, Airport Services to be Released Soon
May 19 – India will soon announce a list of tax exempt port and airport services as it tests aspects of the pending comprehensive service tax regime. “We will tax even non-taxable services but spare some essential services such as medical, education, pollution control and emergency services such as fire fighting, special services provided at […]
Government to Implement Stricter Audit for NGO Funding
May 17 – The Finance Ministry has announced measures that will strictly monitor government funding to non-profit organizations as part of efforts to stay within budget during the year. “All ministries and departments of the Government of India should include in their annual report a statement showing the quantum of funds provided to each of […]
India Briefing Releases Guide to Doing Business in India
May 13 – India Briefing has just published a new business guide to India. “Doing Business in India” is the definitive guide to one of the fastest growing economies in the world, providing a thorough and in-depth analysis of India, a comprehensive guide to investing in the country, and key demographics and overviews of the […]
Himachal, Uttarakhand Calls for Renewal of Special Industrial Package
May 13 – Himachal Pradesh and Uttarakhand state authorities are requesting that expired special industrial packages be renewed. Chief Ministers Prem Kumar Dhumal and Ramesh Pokhriyal Nishank submitted a joint letter to Prime Minister Manmohan Singh on Wednesday to request the renewal. The package has successfully enticed investment to the states with its host of […]
Finance Ministry Officials Propose Tax Reforms to Services Sector
May 3 – Finance ministry officials called for reforms to India’s tax structure for services like shipping, aviation and telecom to make them competitive. In a working paper titled, “Policy for India’s Services Sector,” finance ministry senior economic adviser H.A.C. Prasad and additional economic adviser R. Sathish said that the government should rationalize the tax […]
