News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
Service Tax »
 Central Goods and Services Tax (Fifth Removal of Difficulties) Order, 2019
  342 startups get angel tax exemption since February
 You can submit Form 15G/Form 15H even if your total income exceeds tax-exempt level
 5 compelling reasons to make income tax saving investment now
 Senior Citizen? Are you aware of these income tax benefits
 Facing difficulty in Income Tax Return filing? These apps can help you out
 Filing ITR-1 Sahaj Form will not be the same anymore; Check out what has changed
 If you haven't filed your taxes yet, here are some last-minute tips
  ITR-1 for FY2018-19 asks for interest income break-up from tax payers
 Check Your Income Tax Refund Status? Here's A Step-By-Step Guide
 How to calculate gratuity and the tax exemption amount you can avail on it

10 most used services and how Goods and Services Tax will impact them
June, 29th 2017

Hedge funds in New York and London fretting about tough times have one consolation: at least they’re not in India.

There, a tax of about a third of income from investments — versus no levy for mutual fund picks held for at least a year — has kept assets managed by hedge funds in the country well below $1 billion and forced money managers to be creative. Take Andrew Holland, the man behind one of India’s first onshore hedge funds, who markets his long-short stock vehicle as an alternative to bonds.

“I can’t compete with equities with that tax,” Holland, who manages about Rs 8 billion ($124 million) for Avendus Capital, said. “It’s a big disadvantage,” he said of the levy. “We’d like to have a level-playing field.”

Hedge funds in India got a relatively late start, with regulators allowing such investments for the first time in 2012. Unlike Asian financial hubs such as Singapore and Hong Kong, which have thriving hedge fund industries, thanks to regulations that are more consistent with global peers, India has taken a tougher stance. The country’s tax and financial authorities still see hedge funds as “not investing for the long term,” says Holland, who’s lived in India for two decades.

“But actually you’re providing liquidity for the market,” Holland said. “And also you are investing, because it’s not just pure speculation.”

D S Malik, a finance ministry spokesman, said he wouldn’t like to comment on the matter. Meenakshi Goswami, official spokesperson at the Central Board of Direct Taxes, didn’t answer calls to her office and mobile phones.

While India’s stock market is approaching $2 trillion in market value, domestic hedge funds oversaw just $603 million as of May, according to Eurekahedge Pte. Contrast that with the country’s mutual funds, which manage the equivalent of $284 billion, according to data compiled by Bloomberg. Worldwide, hedge funds manage more than $3 trillion in assets.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2019 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Customer relationship management software CRM software Operational CRM Collaborative CRM

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