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
Latest Expert Exchange
« Budget Extravaganza »
 How Union Budget 2018 impacts individual taxpayers
  How Budget 2018 will be different due to GST
 This is how Budget 2018 announcements may help you save tax
 Here's why the government advanced the Budget date
 Will Budget 2018 Reduce Your Income Tax? 10 Expectations
 How Budget 2018 will be different due to GST
 Will Budget 2018 cut tax on switch from dividend to growth option in mutual funds?
 Startup eco-system looks forward to the budget for addressing tax dilemma
 High time to prioritise non-tax revenue in the Budget
 Govt may abolish dividend distribution tax in budget
 Budget making in the GST era: paradigm shift

Growth to breach 9% mark in FY12, says FM
May, 04th 2010

Finance minister Pranab Mukherjee isnt a worried man. He says recovery is well on track and a normal monsoon will help cool prices and improve growth.

The finance minister is betting on a significant recovery in the economy. So much so, he has informed the Lok Sabha that fiscal 2011-12 will be the year of a return to the 9 per cent growth story, despite the fact that food inflation continues to be worrisome.

''The favourable capital market conditions with improvement in capital flows and business sentiments are also encouraging. There is also a significant pick-up in corporate earnings and profits. The outlook is further brightened by the fact that a normal monsoon is predicted this year, Mukherjee said.

Going by these indications and considering that agriculture had a set-back in 2009-10 and is only gradually getting back to the projected path, the Indian economy is expected to grow around 8.5 per cent during 2010-11 and to breach the 9 per cent mark in 2011-12,'' he added.

On his tax reforms agenda, Mukherjee will be ready with the direct tax code (DTC) bill in the next three months.
But there are still question marks on the Goods and Service Tax (GST).

''We expect to place a revised discussion paper in the public domain by next month. After a quick round of consultations with some of the major stakeholders, we should be able to submit the draft legislation to Parliament in the monsoon session,'' said Mukherjee.

''The central government is willing to provide compensation to the states for these initial years, provided there is agreement on the broad framework for a common threshold for goods and services between the centre and the states; common exemption lists between the centre and the states, mechanism to check deviations and acceptable level of overall GST rates, he added.

Meanwhile, its the finance bill that will hog the limelight on Thursday, as Mukherjee will try to get Lok Sabha's nod on the bill.

Some tax reliefs are proposed to be announced amid demands from various Opposition parties to review service tax proposal for the housing sector in the budget.

An indication about some tax reliefs was given by Mukherjee while initiating the discussion on the Bill in the Lok Sabha on Wednesday.

"I shall cover the reliefs we propose to grant...(in) our response to the issues that are raised in discussions, in my reply," the Minister said.

The Finance Bill 2010-11, which deals with direct and indirect tax proposals, is scheduled to come up for passage on Thursday.

Mukherjee said he had received various representations from industry and other stake holders for modification of tax proposals.

"While some seek modifications to the existing proposals, others have urged for fresh reliefs," he said.

Many members during the debate on the Bill had urged the government to withdraw the proposal to levy service tax on residential complexes having more than dozen units.

They argued that such a tax would increase the cost of residential properties and make them beyond the reach of common man.

The other important tax proposals which can be reviewed include increase in Minimum Alternate Tax (MAT), the portion of book profit that companies mandatorily pay as tax, from 15 per cent to 18 per cent.

The government, however, is not expected to oblige the Opposition which has been demanding roll back of levies imposed on petrol and diesel in the Budget unveiled in the House on February 26.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2018 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Integrated Software Solutions Integrated Software Development Integrated Software Services Integrated Software Solutions India Integrated Softw

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