Companies & Sectors
Nokia India served fresh tax demand notice
The Cenrtal Board of Direct Taxes has served a fresh income tax notice on telecom major Nokia India pertaining to previous assessment years, an official source said on Friday.
 
"Fresh tax demands notice has been served to Nokia India for dispute relating to other assessment years, apart from the one being contested currently in ITAT," a senior finance ministry official said here.
 
The department had in 2013 slapped a tax notice of Rs.2,000 crore on Nokia's Indian subsidiary for violating the withholding tax norms since 2006 while making royalty payments to the parent company in Finland.
 
Nokia has sold its mobile unit to Microsoft, but the Chennai factory, which is involved in the tax dispute, was not included in the sale.
 
"The company has been served fresh notices. Now it wants those notices to be included in the ongoing discussions under the Mutual Agreement Procedure (MAP)," the source said.
 
"Officials from India and Finland would meet soon to decide on the course of action," he added.
 
The MAP is an alternative procedure available to taxpayers for resolving disputes in double taxation cases.
 
Confirming the development, company officials contacted by IANS said: "Nokia has indeed received a claim from the tax authorities -- it is largely about the same dispute as earlier, so we have nothing to add."
 
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

Underground Metro to cost three times more than elevated, reveals RTI
According to an RTI reply received by Anil Galgali from MMRDA, the underground metro line costs three times more than the elevated one
 
The Mumbai Metropolitan Regional Development Authority (MMRDA), which is setting up a network of metro lines across the region may end up spending more money due to three times more cost in constructing underground lines, reveals a Right to Information (RTI) reply. The Empowered Committee on Mumbai Transformation in its 43rd meeting has recommended underground line for the remaining metro projects.
 
According to a reply received by RTI activist Anil Galgali from MMRDA, the construction cost    for metro line on elevated pattern would be about Rs250 to Rs300 crore, while the same for underground line would go up by almost three times. 
 
Galgali sought copies of directions issued by the Central or Maharashtra government to undertake construction of metro lines through underground method. Replying to this query, the Public Information Officer (PIO) provided minutes of meeting of the 43rd Empowered Committee, which decided to use underground method instead of elevated for laying metro lines. Taking this into account and the lessons learnt in execution of the Versova-Andheri-Ghatkopar Metro One project and the comparisons between elevated and underground Metro, BC Khatua, Director of Mumbai Transformation Support Unit, in a letter on 26 April 2013 requested the MMRDA to take necessary action and also submit an action taken report in next meeting.
 
During the 43rd Empowered Committee meeting, MMRDA Commissioner UPS Madan, expressed views that, since the streets of Mumbai are very narrow and congested, due to which the Metro one project got delayed and hence in future there is a need to go in for underground Metro rail line, except for some areas in Eastern Mumbai which are less congested. Though underground pattern is very costly, it would save requirements for arranging land, tackling encroachments, traffic woes that lead to constant delay in project execution, and thus raising the cost of projects further due to delays,  Madan had stated.
 
According to information received by Galgali, the first phase of the metro route of Dahisar-Charkop-Bandra-Mankhurd, which being started from Dahisar to DN Nagar will cost Rs6,390 crore. Similarly the other route of Andheri east to Dahisar east is slated to cost Rs6,056 crores. The Colaba-Bandra-SEEPZ (Andheri), the first underground metro line in Mumbai, will cost Rs23,136 crore. 
 
However, if the same route is constructed using elevated manner, then the cost would come down to Rs11,860 crore (as MMRDA itself stated three times more cost for underground metro lines compared with elevated one), says Galgali. 
 
There are 25 routes proposed for metros in Mumbai metropolitan region. The Transport study in 2008 has proposed a total of 25 routes for metro rail in the whole of MMR region. In this, the Dahisar-Charkop-Bandra-Mankhurd, Andheri east to Dahisar east, Colaba-Bandra-SEEPZ, Wadala-Ghatkopar-Teen Hath Naka-Kasarwadavali, Wadala-GPO, SEEPZ- Kanjurmarg, Shivdi-Prabhadevi, Jogeshwari-Vikhroli link Rd routes are within Mumbai city limits.
 
The routes proposed for other parts of MMR are as follows: Bhiwandi-Kalyan, Dahisar-Mira Road-Manikpur - Virar, Thane Ring route metro, Thane-Ghodbundar-Dahisar, Balkum ( Thane)-Bhiwandi-Kalyan-Narthengaon, Pokhran-Kharegaon, Kushavali-Ambernath,  Kanjurmarg-Mahape-Kalyan phata-Pipeline, Mankhurd-Vashi-Narthengaon, Vashi-Belapur-New Airport-Panvel, Targhar-Kharkopar-Nhava Sheva-Dongri, Kharkopar-Dhutam-Pirkone-  Shirki-Vadkhal, Dongri- Pirkone- Jite, Fort (Horniman circle)-Uran-Dongri, Shevari-Kharkopar.
 
The cost for the above other projects would be provided once the detailed project report is finalised, the MMRDA informed Galgali in its reply.
 

 

User

COMMENTS

VISWANATHAN K N

1 year ago

Without knowing benefits of UG Vs AG it is inappropriate to comment on such issues. Metro is a 100/200 year project for a city like Mumbai. Nothing should be compromised to make it the best. UG offers lots of benefits. Dr Sreedhran has highlighted this on several occasions. New York which went above ground in some parts was a utter failure. The real estate value crashed. The major issue with AG is noise/taking away valuable road space/probable misuse of space below the track. These investments should be seen in the context of returns arising from attraction of office space/malls/various tourist attractions etc. Cost will be recovered if we can attract quality investments in such corridors.

Nifty, Sensex looking overbought – Weekly closing report
As long as Nifty stays above 8,000, bulls will be in control
 
We had mentioned in last week’s closing report that Nifty, Sensex may rally and that Nifty must stay above 7,700 to go higher. As expected, there has been a rally but in fits and starts and driven entirely by the mood in the overseas market. The weekly trend in the major indices of the Indian stock market has been summarised in the table below:
 
 
Factors that pushed equity prices higher on Monday included stable Asian markets, continuation of the positive bias imbibed by last week's monetary easing, and optimism surrounding the earnings season due to lower commodities’ prices.
Market observers cited that lower chances of a US rate hike in October due to a slowdown in the US jobs market had relieved investors and increased their risk taking appetite.
 
Last month, the US economy added just 142,000 jobs from 173,000 jobs created in August 2015. The August figures are being revised downwards. The jobs data is expected to deter the US Fed from raising rates. The rates were last raised in 2006. The US Fed will decide whether to raise interest rates during its Federal Open Market Committee meet scheduled for October 27-28. With higher interest rates in the US, the Foreign Portfolio Investors are expected to be led away from emerging markets such as India.
 
On Tuesday, profit booking coupled with caution over the upcoming quarterly results subdued investor sentiments and led both Sensex and Nifty to give up gains. Furthermore, both indices receded after key data showed a fall in services output for the month of September 2015. The Nikkei purchasing managers’ index (PMI) services data for September fell to 51.3 from 51.8 level in August 2015.
 
On Tuesday, rupee too gave up its early gains and depreciated by 13 paise to close at 65.41 to a US dollar from its previous close of 65.28 against the greenback. It touched a day's high of 65.11. 
 
Market observers cited value buying and continuation of positive momentum due to last week's monetary easing for the gains in the stock market on Tuesday.
 
The indices were choppy throughout Wednesday's trade driven by investors’ anxiety over the upcoming quarterly results and rising crude prices. The indices were depressed after the International Monetary Fund (IMF) report downgraded India's growth to 7.3% for the current fiscal. Another major dampener that was the sharp rise in international crude oil prices in the past few days and the prices were hovering around the $50-mark, after rallying nearly five dollars on Tuesday. The jump in the oil prices comes after the US Energy Information Administration cited lower inventory build-up and Russia's decision to hold talks with other major producers to discuss the market situation. Profit booking was witnessed in information technology (IT) and banking stocks on Wednesday.
 
The Indian equity markets, which had rallied for six consecutive sessions till Wednesday, fell on Thursday following uncertainty over Bank of England's rate hike decision expected on Thursday and investors' anxiety before the release of second-quarter results. Sector-wise, healthcare, banking, capital goods, automobile and fast moving consumer goods (FMCG) stocks came under selling pressure on Thursday.
 
On Friday, the market indices were range-bound and closed with small gains of less than 1% each. Lower chances of a US rate hike this month cheered investor sentiments and were a positive for the market, supported by continued rally in the US. 

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)