The Revenue Department, which scrutinises all foreign investments from the tax angle, has asked the Foreign Investment Promotion Board (FIPB) to ensure that FDI applicants furnish three years audited financial statements of the investor.Such disclosures will be useful to determine the source of funds as also to assess the ability of the actual and the immediate investor to make such investments.
A bill enabling the State Bank of India (SBI) to split its shares and issue bonus shares may be placed in the current winter session of Parliament. Besides, the amendments to the State Bank of India Act, 1955, envisage the preferential or private placement of shares. The SBI (Amendment) Bill also proposes to allow India’s No. 1 bank to bring down the government holding to 51 per cent, which is on a par with other nationalised banks.
The Reserve Bank today said the domestic banks do not have much exposure to the debt-ridden Dubai World and hence their balance sheets will not be materially affected from the crisis. In the larger context, the rating agency Moody’s also today said the ratings of Asian banks are not likely to be downgraded, unless there is a massive restructuring in Dubai.
Capital market regulator SEBI has tightened key clauses in the client-broker agreement, as part of its attempts to curb the misuse of client money by brokers. In a circular on Thursday, SEBI said stock brokers should maintain a book containing all the mandatory and non-mandatory documents required for registering a client.
The Ministry of Corporate Affairs (MCA) has decided to put the early-warning system on the backburner due to technical snags.Sources close to the development said the software-based system incorporated ten financial parameters for diagnosing problems in a company which was not giving the desired results.
He said that the white paper proposes that the Central GST and State GST, that is CGST and SGST, will be concurrently administered by the centre and the state. Mr. Bhatia seems to believe that this will lead to immense confusion because it means that for every transaction, every dealer has to go to two authorities. And in some way that sort of subverts the intent of simplicity for which GST is being put in place in the first place.
Officials at Icwai have been lobbying the government to include cost accountants under the definition accountant as defined in the subsection 2 of Section 288 of the Income-tax Act. The finance ministry has ignored calls by cost accountants that they be treated at par with chartered accountants and be allowed to sign off on the financial statements of companies.
SEBI’s income from fees and other charges dropped by 46 per cent to Rs 213 crore in the fiscal 2008-09 as against Rs 397 crore recorded during the previous fiscal, SEBI’s annual report released on Wednesday said.
THE Central Government has sanctioned 116 posts for the Central Information Commission. The Commission has constituted a Committee to assess its staff requirement. The Government shall examine the report of the Committee as and when received. The Commission has been allotted a plot of land in Delhi for construction of a building of the Commission.
Income-tax Appellate Tribunal (ITAT), Amritsar, stated that companies with operations in the north-east, Jammu & Kashmir and Himachal Pradesh, will be legally responsible to pay tax on Central excise duty refunds. Companies, such as Balaji Alloys, Raven Bhel and Pee Ell Alloys, moved the income tax appellate tribunal (ITAT) against an income-tax department notice that required them to give the tax.
