For those who have bought property between June 2006 and March 2010, the Supreme Court said value added tax (VAT) cannot be imposed on buyers. This has come as a jolt to builders in Maharashtra who wanted 1% tax instead of 5% imposed by the state government in 2006. They were recovering the VAT amount from buyers. Justice RM Lodha upheld the Bombay High Court’s order that VAT cannot be imposed on buyers. The Court also directed the Maharashtra government to bring clarity in Rule 58 (1-A) relating to VAT rules. In 2006, the state government imposed a VAT of 5% on constructions built between 2006 and 2010. This led to in additional tax liability on properties sold between 20 June 2006 and
31 March 2010.
The Maharashtra State Consumer Disputes Redressal Commission has ordered IDBI Bank to pay a compensation of Rs3.22 lakh to Captain Vikrant Apandkar in Pune after it lost the original sale deed of his property which he had submitted while procuring a home loan in 2003. Captain Apandkar had sought the document after foreclosing the loan in 2007. The Bank had issued him a no-dues certificate, but told him that the original sale deed was lost. Apandkar said that after submitting the document as evidence for availing the loan in 2003, he repeatedly contacted the Bank to retrieve it. The Bank said that it had conducted an extensive search to trace the document. However, in 2009, the Bank changed its stand and said that the document was never submitted. Aggrieved by the last communication, Apandkar filed the complaint.
A close below 6,056 on the Nifty will pull the index further down
The indices on Tuesday opened in the positive, following a further upmove in the US markets and better results from Reliance Industries. However, within an hour of the Sensex, after hitting its intra day high, highest since 11 November 2010, it plunged into the red. The Nifty hit its highest since 21 May 2013, and immediately entered into the negative territory. For the remaining session, the indices tried recovering but barely managed to come in the positive in late afternoon and closed in the negative breaking five days of positive move.
The Sensex opened at 20,723 and moved down from 20,760 to 20,447 and closed at 20,548 (down 60 points or 0.29%). The Nifty opened at 6,148 and moved from the level of 6,156 to 6,057 and closed at 6,089 (down 24 points or 0.39%). The National Stock Exchange (NSE) recorded a higher volume of 64.13crore shares.
Except for Metal (up 0.73%); IT (up 0.65%) and MNC (up 0.02%) all the other indices on the NSE ended in the negative. The top five losers were PSU Bank (3.11%); Bank Nifty (2.59%); Finance (1.72%); Smallcap (1.71%) and Realty (1.58%).
Of the 50 stocks on the Nifty, 14 ended in the green. The top five gainers were Jaiprakash Associates (4.78%); Tata Steel (3.05%); Wipro (1.77%); Hindalco (1.72%) and Asian Paints (1.66%). While the top five losers were IndusInd Bank (4.91%); PNB (3.93%); IDFC (3.84%); Bank of Baroda (3.80%) and HDFC Bank (2.91%).
The stock market will be closed on Wednesday 16 October 2013 on account of Bakri Id.
The annual rate of inflation based on the combined consumer price index (CPI) for urban and rural India rose 9.84% in September 2013 higher than 9.52% in August 2013. The CPI inflation for rural and urban areas for September 2013 rose 9.71% (y-o-y) and 9.93% (y-o-y) respectively. Inflation rates (final) for rural and urban areas for August 2013 were 8.93% and 10.32% respectively. The headline CPI (combined) has seen a rise of 1.19% (m-o-m) in September 2013. A higher inflation virtually seals the case for a rate hike on October 29th RBI policy, says BoA Merrill Lynch (BoA ML) in a research note. (http://www.moneylife.in/article/higher-inflation-seals-rbis-25bps-repo-rate-hike-says-boa-merrill-lynch/34882.html )
The Central Bureau of Investigation (CBI) on Tuesday filed a first information report (FIR) against Aditya Birla group chairman Kumar Mangalam Birla, his firm Hindalco Industries Ltd and former coal secretary PC Parekh in the case related to the allotment of captive coal blocks between 1993 and 2010.
The US indices closed in the green on Monday. Senate Majority Leader Harry Reid, who said on the Senate floor on Monday, 14 October 2013, that he is very optimistic about concluding a deal this week to raise the debt limit as well as end the government shutdown. Sen. Mitch McConnell, the Republican minority leader, said he shared Reid's feeling that "we'll get a result that's acceptable to both sides."
US Senate Democratic and Republican leaders said yesterday they made significant progress toward an accord. President Barack Obama postponed a meeting with Congressional leaders to give lawmakers more time to reach an agreement.
Politicians in the US are working on a proposal to suspend the debt ceiling through February 7 and fund the government until January 15, a person familiar with the talks said. The U.S. will not default, former Treasury Secretary Lawrence Summers said.
Asian indices ended mostly in the green. Shanghai Composite, lone loser, down 0.19%. Taiwan Weighted, top gainer, 1.14%. Stock markets in Singapore, Indonesia, Malaysia and the Philippines were shut for holidays. European indices are trading in the green. US market opened lower.
UK annual inflation rate as measured by the consumer price index was 2.7% in September, unchanged from August. The “core” inflation rate, which strips out volatile items such as fuel and food, rose from 2% to 2.2%. The single largest upward contribution came from air fares. Conversely, petrol and diesel prices fell 0.2% between August and September, compared with a 2.7% increase in the same two months of last year.
Separate data from the Office for National Statistics showed that UK house prices have hit a new high, passing their previous peak set in January 2008.