Search Result for : Tax Regime

The Dollar Business Bureau  India’s services sector activities declined in July to a four-year low due to the disruptions caused by the implementation of Goods and Services Tax (GST), according to a private survey. However, the sector is confident of a speedy revival as the new indirect tax regime settle down.   The Nikkei India Services PMI Business Activity Index dropped from the eight-month high of 53.1 in June to 45.9 in July, the lowest since September 2013.  A reading over the level of 50 on the index indicates expansion whereas a reading below the halfway level shows contraction.   “PMI data for July highlight a reversal in fortunes across India, with the economy going into reverse mode after seeing a pickup in ...

The Dollar Business Bureau Imposing Goods and Services Tax (GST) on international freight is going to make India’s air cargo services "non-competitive", said industry body PHD Chamber of Commerce and Industry (PHDCCI) on Wednesday. Earlier, under service tax regime, freighters were exempted to pay any tax, whereas now they have been levied with 18% GST. “Putting 18% GST on international freight is totally unfair as this will impact the air cargo growth, said PHDCCI in a statement issued after an Air Cargo Summit, which is organised by the industry body on Wednesday in New Delhi. “Why would the Government of India want Indian exporters to pay extra 18% GST on freight and make our goods non-competitive in international market,” the statement said. Vipin Vohra, Co-Chairman, ...

By Sheela Mamidenna As the Chairman of the Empowered Group of State Finance Ministers which was instrumental in the formulation of GST Laws in 2009, Dr Asim Kumar Dasgupta can be rightly called as the ‘architect of GST’. A reformer by heart he set out to mastermind the most ambitious tax reform in Indian history by introducing the Value Added Tax (VAT). He was the man who was instrumental in doing away with many draconian tax levies such as octroi and highway toll in West Bengal and was fondly referred to as ‘my US-trained finance minister’ by the then Chief Minister of West Bengal, Jyoti Basu.  Dr Dasgupta, an MIT graduate continues to inspire the new generation as he lectures at various ...

By Ranjit Mahtani & Sweta Rajan After 17 years of preparation and 18 meetings of the GST Council, a single unified Goods and Services Tax (GST) in India is today a reality. In a momentous launch at the Central Hall of the Indian Parliament with a speech by the Finance Minister and the Prime Minister of India, the GST regime was ushered in at the stroke of midnight on July 1, 2017. While the mammoth task for the Central and State Governments has just concluded, as far as trade and industry are concerned, the journey has only just begun. GST, in the form that it has been introduced in India, may not be perfect; however, it is the reality, and trade and ...

The Dollar Business Bureau  The Ministry of Commerce on Thursday constituted a Goods and Services Tax (GST) facilitation cell with the purpose to address issues related with the new tax regime with regards to the Foreign Trade Policy. The facilitation cell is to be constituted in the Directorate General of Foreign Trade (DGFT) headquarter. “To ensure smooth and successful rollout of GST, it is decided to constitute a ‘GST Facilitation Cell’ in DGFT Headquarter and all Regional offices of DGFT to serve as the first point of contact for addressing any issues regarding GST in respect of Foreign Trade Policy,” the DGFT said in trade notice (No.08/2018) dated June 8. Additional DGFT Nikunj Kumar Srivastava will head the GST facilitation cell. It would also ...

PTI  Finance Minister Arun Jaitley and his ministry officials on Wednesday presented to the Council of Ministers a blueprint for launch of the path-breaking GST from July 1 to transform the Indian economy. Revenue Secretary Hasmukh Adhia made a detailed presentation to the Council -- the supreme executive organ headed by Prime Minister Narendra Modi -- on how the Goods and Services Tax (GST) will be implemented and the challenges before it is rolled out. The biggest tax reform since Independence, GST has been in the works for more than a decade. It will transform the $2 trillion economy and market of 1.3 billion people into a single economic zone with a single national sales tax. GST will subsume central taxes ...

PTI Reserve Bank of India (RBI) Governor Raghuram Rajan on Friday said he finds it easier to file his tax returns in India, as compared to in the US. He also asserted that developed nations must do their part in tackling the problem of corruption as money taken out illegally from developing countries often find its way to places like London. Replying to a question on whether corruption in India remained a big issue, the outspoken central banker said, "It is an important tax on the system which impedes good decision making and impedes economic growth". Stating that it has come down significantly in India, Rajan gave examples of railway ticketing and the tax department. "I think technology helps. As for example, we moved to ...

Steven Philip Warner | The Dollar Business How convenient would that be! History is proof that there are only two ways to a nation winning the “High Income” and “Developed” dual crowns. Either it makes a kill of a dig or scores a mind-over-machines victory. The former of course isn’t what India was or will ever be destined for (plain geography, divine mischief – call it anything). So we’re left with one choice – get the machines in line and make them sweat! That’s precisely the vision behind ‘Make in India’. The original idea behind this dream was no Chinese arithmetic. Agriculture cannot support a growingly industrialising India. And Services will not suit the less educated who desire a salaried or entrepreneurial ...