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: articles on VAT and GST in India :: due date for vat payment :: empanelment :: list of goods taxed at 4% :: form 3cd :: ACCOUNTING STANDARDS :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: VAT RATES :: cpt :: Central Excise rule to resale the machines to a new company :: VAT Audit :: TAX RATES - GOODS TAXABLE @ 4% :: ARTICLES ON INPUT TAX CREDIT IN VAT :: ACCOUNTING STANDARD :: TDS
 
 
General »
 Simplified one page Income Tax Return Form: Changes to keep in mind before filing tax return for AY2017-18
  No proposal to replace Income Tax with Banking Cash Transaction Tax
 GST coming July 1 despite calls for delay: Revenue Secretary Hasmukh Adhia
 Centre introduces provision of taxation on NPS in Income Tax Act
 Income Tax Department Clarifies On Cash Withdrawal From Banks, Post Offices
 The Goods And Services Tax (Compensation To States) Bill, 2017
  Goods and Service Tax (GST) and Real Estate Sector
 New Income Tax Rules On Home Loan Come Into Effect
 Here's how late filers can save on stress and taxes
 Clarifications on the Taxation and Investment Regime for Pradhan Mantri Garib ?Kalyan Yojana, 2016
 Companies should invest in upgradation of tax technology

Fiscal deficit figure will hit banks' profitability
March, 19th 2012

Speakers at the Business Line Budget Talk on Saturday expressed the opinion that Budget needed better pragmatism.

Mr Ananthakrishna, Chairman of Karnataka Bank Ltd, who spoke on the impact of the Budget on the banking industry , said the projected 5.1 per cent fiscal deficit figure for 2012-13 will have direct bearing on the profitability of banks and money supply to public and the economy.

To meet the deficit, the Government will borrow money from banks. Any borrowing programme of the Government will have an impact on interest rates and SLR of banks.

This will lead to less or more money supply, he said. This, in turn will impact the profitability of banks and money supply to public.

Expressing hope that 5.1 per cent fiscal deficit is achievable, he said the Finance Minister is showing tree top to end up on tree top. In some cases, people are shown the moon and end up on tree top. The case is not like that here, he said.

He opined that the Budget could have contained and curtailed non-plan expenditure. The additional three per cent interest subvention to farmers, who are prompt in repayment, will improve the repayment culture among borrowers. However, that subvention is not there for private sector banks, he said.

EXIM

Analysing the implications of Budget on export-import sector, Mr Walter D'Souza, Chairman of Federation of Indian Export Organisations (Southern Region), said the Budget needed better pragmatism.

He said the concession on cold chain facilities in the Budget will help backward integration and strengthen supply chain of food products for export.

Reduction of custom duty on certain textile machinery will help counter competition from Bangladesh, Pakistan, Sri Lanka, and Vietnam.

However, he expressed concern over no fixed time frame for the introduction of GST regime.

Referring to the high trade deficit during the current financial year, he said it is high time that the Union Government takes a clear-cut policy on this. Mr Murali Mohan, Chairman of the Mangalore branch of Institute of Chartered Accountants of India, said the move to increase individual tax exemption limit by Rs 20,000 is aimed at creating more middle class people for the growth of the economy.

On the deduction of up to Rs 5,000 for preventive health check-up, he said most people who have mediclaim facility would have exhausted it.

The Rajiv Gandhi equity scheme for new retail investors looked like the last minute exercise, as it is not mentioned in the Finance Act, he said.

Dr M.S. Moodithaya, Director of Nitte Global Initiatives, moderated the session and also delivered the concluding remarks.

Business Line Budget Talk was sponsored by Corporation Bank. The Saffron at GHS Road in Mangalore was the hospitality partner of the event.
{Ad} 

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Software Reengineering Software Re-engineering Software Reverse Engineering Software Reverse Development Software Change Modulation Software Conversion Software Re-creation Software Re-development

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