Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: due date for vat payment :: ARTICLES ON INPUT TAX CREDIT IN VAT :: VAT Audit :: TAX RATES - GOODS TAXABLE @ 4% :: list of goods taxed at 4% :: TDS :: cpt :: articles on VAT and GST in India :: form 3cd :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: empanelment :: Central Excise rule to resale the machines to a new company :: VAT RATES :: ACCOUNTING STANDARDS :: ACCOUNTING STANDARD
 
 
News Headlines »
 Filing of online return for 4th quarter of 2016-17 — extension of period thereof
 CBDT simplifies ITR filing process from FY18
 Govt extends service tax return filing date to April 30
 No move to tax farm income, clarifies Arun Jaitley
 New board for indirect taxes to become operational from June 1
  9 changes that came into effect from April 1
 First time filing income tax? Here's all you need to know about Form 16 and Form 26AS
 New Opening Financial Controller Chartered Accountant (Manufacturing Plant) A Leading Company
 Income Tax Filing 2017: All you want to know about the single page ITR form SAHAJ
 How to benefit from investments in tax saving mutual funds
 60 per cent of income tax notices on fishy cash deposits returned

Honchos seek help in global hunt
January, 10th 2007

India Inc, which is on a major acquisition spree abroad, has sought government incentives to support its global ambitions. In its wishlist for Budget 2007, industry sought a slew of tax benefits, reduction in corporate tax rates and removal of fringe benefit tax (FBT).

In the pre-Budget meeting with finance minister P Chidambaram, industry captains asked the government to give tax benefits to support domestic companies that are acquiring companies abroad. They also wanted government to bring down incidence of total tax from about 38% to 25%.

The suggestion was put forward that there be incentives from the government certain tax benefits to support the Indian companies going global. Companies such as Tata Steel must be given incentives for its acquisition bid for Corus as its Brazilian rival CSN is also being supported by the government, said Videocons VN Dhoot.

The demand comes amidst heavy-duty action on the global M&A front, with the Tatas slugging it out with Brazils CSN for Corus and Videocon trying to salvage its bid for South Koreas Daewoo Electronics. Domestic industry has been on a global acquisition drive, spending close to $9.9 billion on buying companies abroad in 2006, according to Grant Thornton.

According to sources, Tata group chairman Ratan Tata is believed to have suggested that the government should encourage special economic zones (SEZ) to create employment and ensure industry gets raw materials at internationally-competitive prices.

Bhartis Sunil Mittal is learnt to have proposed the correction of the inverted duty structure and reduction in service charges paid by telecom companies to the department of telecommunications. We have asked for a growth Budget, he said.

Reducing the corporate tax from 30% to 25%, removing FBT on sales promotions, increasing depreciation rates to 25% for tax purposes and moving towards an effective goods and services tax of 15% in the next few years were some other key recommendations.

Infrastructure and support to R&D were high on industrys mind too. There was an across-the-board recommendation for extension of the weighted deduction for R&D expenses, which is due to expire in March 2007, indefinitely, and if not that, at least for another 10-15 years, said Ranbaxy CEO and MD Malvinder Singh.
 
Notwithstanding the finance ministers speech on Monday where he hinted at fewer tax exemptions going forward, the industry also asked for tax exemptions to encourage investments in infrastructure. TVS CMD Venu Srinivasan said, As a two-wheeler manufacturer, I suggested that the urban infrastructure needs to be improved.

Extension of the textile upgradation fund scheme (Tufs) for the textile sector, correction in anomalies of excise and Customs duties and were other key recommendations. The meeting was attended by Ratan Tata, Sunil Mittal, Malvinder Singh, Venu Srinivasan, VN Dhoot, Kiran Mazumdar-Shaw, Saroj Poddar, Swati Piramal, Kiran Karnik and R Seshasayee.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - Our Mission

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions