Latest Expert Exchange Queries

GST Demo Service software link: https://ims.go2customer.com
Username: demouser Password: demopass
Get your inventory and invoicing software GST Ready from Binarysoft info@binarysoft.com
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) | 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
 
 
 
 
Popular Search: VAT RATES :: articles on VAT and GST in India :: VAT Audit :: due date for vat payment :: ACCOUNTING STANDARDS :: cpt :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: ACCOUNTING STANDARD :: list of goods taxed at 4% :: ARTICLES ON INPUT TAX CREDIT IN VAT :: TDS :: empanelment :: TAX RATES - GOODS TAXABLE @ 4% :: form 3cd :: Central Excise rule to resale the machines to a new company
 
 
« News Headlines »
 Integrated Goods and Services Tax (IGST) Rules, 2017 (As on 15.11.2017)
 Central Goods and Services Tax (CGST) Rules,2017 (As on 15.11.2017)
  101st Constitution Amendment Act, 2016
 Pr. Commissioner Of Income Tax-6 Vs. Mccain Foods India Pvt. Ltd.
 Section 10 of the Income-tax Act, 1961
 Income tax returns filing: No tax on gift received from relatives in form of cash
 Income tax returns (ITR): Here is why you need to pay higher tax on other incomes
 GST Update On Issuance Of Debit Notes And Credit Notes
 How Mutual Fund Investments Can Help Save Income Tax
 Income tax returns (ITR) filing: Why small service providers need to get this benefit
 How NRIs can avoid tax troubles

IT dept seeks STPI sops for 2 more years
January, 10th 2008
The Department of Information Technology is pushing for a two-year extension of tax sops under the Software Technology Parks of India (STPI) scheme under Section 10(A) and Section 10(B) of the Income-Tax Act.
 
We are pushing the finance ministry to extend these sops for at least two years. This is important for smaller players, a department official told Business Standard.
 
The finance ministry might not be in a hurry to announce a decision in the coming Budget, the official said. We are formulating alternatives, but are trying to push for an extension. The finance ministry may put off a decision, he said.
 
Under the STPI scheme, 100 per cent tax deduction on profits under Section 10A and Section 10B is available only up to March 31, 2009. The companies will have to pay tax at an estimated rate of 33.99 per cent in the absence of these deductions.
 
Communications and Information Technology minister A Raja had earlier written to Finance Minister P Chidambaram seeking a 10-year extension of the scheme that exempts export revenues of software companies from tax.
 
IT industry body Nasscom, in its pre-Budget memorandum, has appealed to the finance ministry to extend this tax exemption. The STPI scheme, reasons Nasscom, has been a big success and a major contributor to the growth of the Indian economy. It said the withdrawal of the exemptions would increase the industrys cost substantially and put the Indian IT companies at a disadvantage to global peers.
 
The finance ministry is yet to take a final decision. It, however, is not in favour of extending the tax benefits in an attempt to stem the tax revenue forgone. In 2006-07, the revenue forgone on account of sections 0A/10AA/10B/10BA was estimated at Rs 12,524 crore, an increase of 44.65 per cent over the Rs 8,658 crore forgone on this account during 2004-05.
 
Interestingly, an ICRIER (Indian Council of Research on International Economic Relations) study commissioned by the finance ministry has recommended that the income tax exemptions to export-oriented units (EoU) and under the STPI scheme should continue beyond the phaseout date of March 31, 2009.
 
According to the study, the revenue loss incurred by the government due to the exemptions would be around Rs 8,186 crore, while foreign exchange inflows would be to the tune of Rs 3,53,000 crore.
 
According to the study, IT exports from over 6,000 STPI units constituted 97.8 per cent of the total infotech exports of $23 billion in 2005-06.
 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Software Outsourcing Company Offshore Software Outsourcing Software Outsourcing Company India Offshore Outsourcing Company India Software BPO Software Business Process Outsourcing Software Outsourcing India Offsho

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