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: TAX RATES - GOODS TAXABLE @ 4% :: ACCOUNTING STANDARD :: form 3cd :: articles on VAT and GST in India :: ARTICLES ON INPUT TAX CREDIT IN VAT :: VAT Audit :: ACCOUNTING STANDARDS :: TDS :: list of goods taxed at 4% :: Central Excise rule to resale the machines to a new company :: VAT RATES :: empanelment :: cpt :: due date for vat payment :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes
 
 
« Budget Extravaganza »
 Seeks to amend certain customs notifications in pursuance to change made in Budget 2017-18.
 New look finance ministry team to frame contours of Budget 2018
 How presenting the Budget early seems to be paying off already
 Budget advancement helps Centre, states start spending early
 Five things that you can expect from the Mumbai civic budget today
 GST all set for July 1 rollout but casts shadow on state budgets
 Income-Tax collection revised in Rajasthan budget
 No new taxes likely in Maharashtra Budget
 H.P. budget devoid of any financial prudence
 GST, demonetisation todecide budget priorities
 Railways to come up with mini-budget tomorrow

Budget's green initiatives
March, 05th 2010

It is notable that the Union Budget has a series of green initiatives designed to boost environment-friendly energy and emissions-free transport. The move makes perfect sense. Whats proposed is a gamut of tax incentives, higher outlays and a dedicated fund for clean energy.

Now, from a point of view of efficient taxation, it makes more sense to remove all tax exemptions and provide specific, well-scrutinised subsidy to those sectors that need special promotion. In a regime of generalised distortions, however, a few additional distortions in the form of tax breaks could prove helpful.

Given the bottlenecks in energy supply and widespread energy poverty, we need to proactively rationalise conventional energy usage, enhance energy efficiency and incentivise renewable energy. For solar power, whats proposed is a concessional Customs duty of 5% on machinery, instruments and appliances required for setting up photovoltaic and solar thermal generating units. On offer is excise duty exemption for their domestic manufacture.

The latter move may not be particularly tax efficient: the FM had to impose an excise duty of 4% on electric cars, as their manufacturers had had problems availing the duty credits on inputs, faced with nil duty on the finished good.

However, the move to exempt some critical parts or sub-assemblies of electric vehicles from basic Customs duty and special additional duty is in the right direction. Also welcome is the concessional excise duty of 4% for manufacture of solarpowered rickshaws, together with the exemption of key parts and components from Customs duty.

It is certainly worthwhile to reduce excise on production of LED lights, used in solar lamps, from 8% to 4%. But in tandem, whats required is to purposefully substitute subsidised kerosene oil (SKO), say, with solar lanterns. The rollout of rural power connections ought also be policy-coordinated to make large-scale SKO supply, costing the exchequer upwards of Rs 20,000 crore per annum, quite redundant. We do need holistic green initiatives.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - Privacy Policy

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