Other Briefings
DIPP: Allow JVs with Small Foreign Stakes to Enter Restricted Sectors
Sept. 23 – The Department of Industrial Policy and Promotion is voicing its opposition to a new proposal that would forbid companies with small levels of foreign funding to be allowed to enter restricted sectors. The agency is urging the finance ministry to reconsider the proposed policy that would keep out companies with even the […]
New SEZ Applications to Begin Oct. 21
Sept. 21 – Authorities will be accepting new special economic zone applications beginning October 21. This month, Commerce Secretary Rahul Khullar went through the approval of 11 new SEZs. India’s SEZs have been instrumental in enticing investments and providing jobs although there are fears that this may change as the SEZ Act that allows generous […]
India Approves Rs.9.3 Billion E-Courts Project
Sept. 20 – India has approved a Rs.9.3 billion project that will help modernize and streamline its judiciary. The E-Courts Project will let people easily verify information on case status and verdict as well allow video conferencing facilities at courts and prisons. The project is part of government efforts to establish an National e-Governance Plan […]
New Simplified Labor Law Cleared Today
Sept. 17 – Today India approved the newest version of the labor law that simplifies procedures; helping small business file returns easier. The Labor Laws (Exemption from Furnishing Returns and Maintaining Registers by Certain Establishments) Amendment Bill 2010 was approved by India’s Cabinet and will be submitted next to Parliament. Under the new law, small […]
India Approves 11 Special Economic Zones
Sept. 17 – The Indian government gave the go signal to establish 11 special economic zones in the country with five of the IT related zones located in Karnataka in southwest India. Ten of the SEZs have been officially approved while one was given an in-principle approval for a pharmaceuticals SEZ to be built by […]
India to Consider Taxing Subsidiary Mergers
Sept. 15 – Government revenue authorities in New Delhi are considering taxing subsidiaries merging with their parent companies with a stamp duty ranging from 0.15 percent to 6 percent. This may mean that the Indian Stamps Act 1899 that exempts stamp duty when a subsidiary merges with its parent company risks being dissolved when the […]
Vodafone Tax Case Sets Landmark Precedent
Sept. 13 – The Mumbai High Court ruling on the Vodafone case is expected to set a landmark precedent for cross-border deals in the country. It marks the first time that an Indian court has ruled in favor of tax authorities, allowing them to charge a foreign company capital gains tax for a transaction that […]
Court Ruling: Overseas Payments Not Liable to Tax
Sept. 10 – India-based companies are not liable to deduct tax on overseas payments according to the latest Supreme Court on the subject. This overturns the income-tax department’s earlier decision on the contrary and is a huge relief for many local and foreign companies based in India. More importantly, it formally clarifies the tax law […]
