Taxation
CBDT panel for 'equalisation levy' on foreign e-commerce firms
New Delhi : A Central Board of Direct Taxes (CBDT) committee on taxation of e-commerce has suggested an "Equalisation Levy" of between 6-8 percent for business-to-business digital transactions, as per its report made public on Monday.
 
The committee had already submitted, in February, its report, which had formed the basis of Finance Minister Arun Jaitley's Budget 2016-17 proposal for an equalisation levy of 6 percent in order to tax income accruing to foreign e-commerce companies from India.
 
"The committee included officers of the Central Board of Direct Taxes, representatives from the industry, the Institute of Chartered Accountants of India and tax experts," said a finance ministry statement.
 
The committee has suggested that the levy be imposed on the amount paid to a non-resident by an Indian resident for specified digital services. It also suggested that this levy should not be a part of the Income Tax Act.
 
The specified services would include online advertising or any services, rights or use of software for online advertising, including advertising on radio and TV, designing, hosting or maintenance of websites, digital space for website, e-mails, blogs, facility for online sale of goods or services or collecting online payments.
 
It would also include use or right to use or download online music, online movies, online games and online software applications accessed or downloaded through the Internet or telecommunication networks.
 
The commitee has suggested introduction of the tax based on the Base Erosion and Profit Shifting (BEPS) principle earlier endorsed by G20 countries and the Paris-based Organisation for Economic Cooperation and Development (OECD).
 
The budget for the next fiscal has proposed that a person making payment to a non-resident, without a permanent establishment, exceeding in aggregate Rs.1 lakh in a year for online advertisement, will withhold tax at 6 percent of the gross amount paid as an equalisation levy. The levy will only apply to business-to-business transactions.
 
Disclaimer: Information, facts or opinions expressed in this news article are presented as sourced from IANS and do not reflect views of Moneylife and hence Moneylife is not responsible or liable for the same. As a source and news provider, IANS is responsible for accuracy, completeness, suitability and validity of any information in this article.

User

IDBI Bank unions against privatisation, call strike from March 28
Mumbai : IDBI Bank employees' unions have called a four-day countrywide strike from March 28 to oppose the government's move to dilute its stake in the bank announced by Finance Minister Arun Jaitley while presenting budget 2016-17 last month.
 
Employees and officers belonging to the All India Bank Employees Association (AIBEA) and All India Bank Officers Association (AIBOA), have given the strike call under the banner of the United Platform of IDBI Bank Unions.
 
"We are against the privatisation plan. If the government wants to divest their stake they can do it but the bank should remain a public sector bank," said the platform which claims support of over 12,000 employees of the bank.
 
"We want a written assurance from the government that their shareholding in IDBI Bank will not be less than 51 percent at all times as assured on the floor of parliament," it said.
 
Jaitley had said the government, which owns around 80 percent stake, proposes reduction of its equity in IDBI Bank to below 50 percent.
 
"The process of transformation of IDBI Bank has already started. Government will take it forward and also consider the option of reducing its stake to below 50 percent," Jaitley told parliament.
 
The employees are also demanding immediate implementation of the wage settlement pending since November 2012.
 
If the strike materialises, IDBI customers face the prospect of being without the bank services for eight straight days till the end of the month on account of the four successive bank holdidays coming up from Thursday.
 
Disclaimer: Information, facts or opinions expressed in this news article are presented as sourced from IANS and do not reflect views of Moneylife and hence Moneylife is not responsible or liable for the same. As a source and news provider, IANS is responsible for accuracy, completeness, suitability and validity of any information in this article.

User

Make in India show costs MMRDA Rs17.16 crore in foregone ground rent
According to an RTI reply received by Anil Galgali, the MMRDA has waived Rs12.16 crore rent and also paid Rs5 crore for providing its ground in BKC for the Make in India show 
 
The Mumbai Metropolitan Regional Development Authority (MMRDA) has waived Rs12.16 crore rent for providing its ground in Bandra Kurla Complex in Mumbai’s business district for the Make in India show and the proposal to waive the rent was cleared by Maharashtra Chief Minister Devendra Fadnavis, reveals a Right to Information (RTI) reply.
 
The week-long 'Make in India' program was inaugurated by Prime Minister, was held on the MMRDA's ground between 13th and18th February 2016. "On Monday, a proposal to waive off Rs12.16 crore came before MMRDA Meeting. The Chairman and Chief Minister Fadnavis cleared the proposal within two minutes. Interesting that MMRDA also gave Rs5 crore for Make in India," he said.
 
"MMRDA often provides plots and spaces for any government agency working towards progressive Maharashtra at a very nominal rate. The Government of India has gone all out in regards to the expenses in form advertising of the Make in India week. So when the Government is spending so much, why a department should be denied rental income of Rs12.16 crore? This is not fair and the Chief Minister should rethink the sanction proposal to waived revenue," the RTI activist demanded.

User

We are listening!

Solve the equation and enter in the Captcha field.
  Loading...
Close

To continue


Please
Sign Up or Sign In
with

Email
Close

To continue


Please
Sign Up or Sign In
with

Email

BUY NOW

The Scam
24 Year Of The Scam: The Perennial Bestseller, reads like a Thriller!
Moneylife Magazine
Fiercely independent and pro-consumer information on personal finance
Stockletters in 3 Flavours
Outstanding research that beats mutual funds year after year
MAS: Complete Online Financial Advisory
(Includes Moneylife Magazine and Lion Stockletter)