Other Briefings
Tax on Dividends, Royalty and Technical Fees for Foreign Companies
Feb. 24 – Foreign companies doing business in India will be levied tax on dividends, royalty and technical fees. According to India’s Income Tax Department, income-tax payable shall be aggregate of: The amount of income-tax calculated on the amount of income by way of dividends 20a[other than dividends referred to in section 115-O], if any, […]
Moody’s Set to Raise India Credit Ratings
Feb. 23 – India’s credit rating may be raised from junk if finance minister Pranab Mukherjee provides a comprehensive plan to roll back the fiscal stimulus and cut the budget deficit this week, said Moody’s Investors Service. “If we think the exit path is well articulated and well executed, the local currency rating could be […]
New Amendment Rules for Income Tax
Feb. 22 – India’s Central Board of Direct Taxes has amended the Income Tax Rules of 1962 applicable starting April 1, 2009. Changes include a new Form 16, Form 16A, Form 16AA, Form 27D, and forms showing breakup of Tax Deducted at Source and Tax Collection at Source for financial year 2009-10. Rules 30, 31 […]
ICAI to Look into Foreign Audit Advertising
Op/Ed Commentary: Chris Devonshire-Ellis Feb 17 – The Institute of Chartered Accountants of India plans to investigate surrogate advertising practices of international firms with a presence in India and awards given by them for entrepreneurial excellence and the promotions for such events. The new president of the institute, Mr. Amarjit Chopra, has indicated that foreign […]
Reserve Bank of India Liberalizes Commercial Borrowings Policy
Feb. 16 – The Reserve Bank of India has liberalized the policy concerning commercial borrowings from overseas sources. The new policy makes the obtaining and changes in loans approvals process simpler and effectively decentralizes the process. Previously, applicants had to apply for approval from the RBI, and also complete documentation with the Department of Statistics […]
New Companies Bill to Be Approved During Monsoon Session
Feb. 12 – India’s new Companies Bill is expected to be approved during Parliament’s monsoon session. The new bill will replace the current Companies Act that has been in place since 1952. Corporate secretary R. Bandyopadhay told Press Trust of India: “With the speed at which the parliamentary standing committee is proceeding with the discussions, […]
Common Deductible Items When Computing for Taxable Income
Feb. 11 – When computing for taxable income we often forget to include certain items that can be claimed as tax deductible. Below is a list of common items eligible for a tax deduction: Medical treatment of specified ailments under section 80DDB A deduction can be filed for medical expenses for ailments like AIDS, cancer […]
India to Continue Special Economic Zones Tax Benefits
Feb. 10 – The government is expected to formally clarify that special economic zones (SEZs) will continue to maintain its specific tax benefits even after the implementation of the new direct taxes code. India’s Commerce Department has been calling for the clarification on SEZ tax to assure investors that tax benefits will still be applicable […]
