Other Briefings
100% FDI in Pharmaceutical Sector to Continue
Oct. 12 – An inter-ministerial group presided over by the prime minister has decided to maintain the 100 percent foreign direct investment regime in the pharmaceuticals sector, overruling concerns raised by the health and industry ministries about rising medicine costs due to acquisitions of Indian drug companies by multinationals. The panel advocated that the FDI […]
Taxability of Leave Travel Allowance
Oct. 3 – Leave travel allowance (LTA) is the one of the most common cases of reimbursement adopted by employers to compensate employees due to the tax benefits attached to it. Section 10(5) of the Income Tax Act (1961) read with Rule 2B, provides for the exemption and outlines the conditions subject to which LTA […]
External Commercial Borrowings in Chinese Renminbi
Sept. 29 – Taking into consideration the particular needs of the infrastructure sector, the existing external commercial borrowing (ECB) policy has been reviewed in discussions with the Government of India and it has been decided to permit Indian companies which are in the infrastructure sector – where “infrastructure” is defined under the existing guidelines on […]
RBI relaxes Forex Facilities for Individuals
The Reserve Bank of India has further liberalized foreign exchange services for individuals under the Foreign Exchange Management Act (FEMA) 1999. The services are as follows…
Online Filing of Excise and Service Tax Compulsory from October 1st
To establish the Goods and Services Tax in 2012-13, India’s Finance Ministry has made it compulsory for taxpayers to file their central excise and service tax returns electronically from October 1.
Visit Days of NRIs to be Excluded for Finding Residential Status
Sept. 21 – Once an individual become resident in India as per the Income Tax Act, 1961 (IT Act), the individual’s international income becomes taxable. If an individual is a non-resident Indian (NRI), his/her income earned outside India is not taxable. Therefore, for a non-resident, there is always danger of taxation of global income if […]
India Simplifies Procedures for External Commercial Borrowings
Sept. 14 – The Reserve Bank of India (RBI) has eased the current modus operandi of external commercial borrowings (ECB) to relieve the flow of funds, likely benefiting ECB borrowers and lenders. The RBI has given chosen AD Category-I banks the authority to support the request from the ECB borrowers with respect to changes in […]
Easier Norms for Overseas Nationals to Obtain Indian PAN
In an attempt to develop greater fund flows and offer some steadiness to the irregular Indian bourses, India has tranquilized norms for foreign nationals and FIIs to obtain PANs that could also double up as KYC compliance for any investment.
