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: VAT Audit :: ACCOUNTING STANDARDS :: VAT RATES :: ARTICLES ON INPUT TAX CREDIT IN VAT :: due date for vat payment :: form 3cd :: ACCOUNTING STANDARD :: cpt :: articles on VAT and GST in India :: TDS :: Central Excise rule to resale the machines to a new company :: list of goods taxed at 4% :: empanelment :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: TAX RATES - GOODS TAXABLE @ 4%
 
 
News Headlines »
 Income Tax Department expands list of deposits, transactions under scrutiny
  Income-tax Act, 1961 read with Rule 114E of Income-tax Rules, 1962
 Master Directions on Access Criteria for Payment Systems
 RBI-Scheduled Bank's Statement of Position in India as on Friday, January 06, 2017 (Revised)
 3 Big Mistakes To Avoid This Tax Season
 The Top 5 Tax Stories Of 2017
 Are multiple service tax rates in the offing?
 All you need to know about claiming tax break on HRA
 How much income tax you should pay on investments in gold?
  Best ways to save tax in 2017
 8 unknown stocks that could yield huge returns

Core score: Bond St may be swept clean of TDS
January, 28th 2008
Bondholders may be saved from a taxing tool in the Budget. The finance ministry is considering a proposal to keep bonds, both government and corporate, out of tax deducted at source (TDS) net. The move is considered crucial for deepening of the debt market.

If the proposal is accepted, an announcement would be made in Budget 2008. The proposed move is on the lines of recommendations made by high-level committees including the RH Patil Committee on creating a market for corporate bonds and Deepak Parekh committee on infrastructure financing.

In Budget 2006, finance minister P Chidambaram, in his speech, had announced that the government had accepted the recommendations of the report of the High-Level Expert Committee on Corporate Bonds & Securitisation and steps would be taken to create a single, unified exchange-traded market for corporate bonds.

The government had brought RBI bonds under the ambit of TDS in Budget 2007. Even as the step placed government and corporate bonds on a par, the TDS itself was considered a major hindrance in the way of an active bond market. Institutional investors like insurance companies and mutual funds are, however, exempt from TDS, putting other investors on an unequal ground.

The department of economic affairs (DEA) has been in favour of doing away with the TDS. It believes the deepening of the bond market is crucial for the infrastructure sector. The revenue department has been resisting such a move as TDS helps in establishing audit trail. However, supporters of the proposal argue that investments over Rs 5 lakh in bonds get reported in the annual information return (AIR) and the government may lower the limit of reporting under AIR to keep the trail.

Globally, the debt market is thrice the size of equity market. However, in India, the market has remained largely inactive even after the NSE and BSE trading platforms became operational in July 2007.
 
 
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 Experience

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