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: ARTICLES ON INPUT TAX CREDIT IN VAT :: empanelment :: VAT Audit :: form 3cd :: TDS :: ACCOUNTING STANDARDS :: VAT RATES :: list of goods taxed at 4% :: ACCOUNTING STANDARD :: Central Excise rule to resale the machines to a new company :: due date for vat payment :: articles on VAT and GST in India :: TAX RATES - GOODS TAXABLE @ 4% :: cpt :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes
 
 
« News Headlines »
 How to save income tax? Here are 6 investments with tax free income
 10 Top salary deductions that can save tax for you
 What are the tax saving options beyond Section 80C?
 The penalties for not paying tax on time
 How to make your salary tax efficient
 I-T Department may go into overdrive this quarter
 Ways to reduce the TDS deduction from your salary
 4 Tips for choosing who prepares your 2017 Tax Returns
 Processing of income-tax returns under section 143(1) of the Income-tax Act which were filed in Forms ITR-1 to 6 & applicability of section 143(1)(a)(vi)
 Price Waterhouse gets 2-year ban in Satyam case
 How to save income tax under section 80C

Economic activity in SEZs will offset likely tax loss
July, 09th 2007
Commerce Ministry submissions to House panel

The Department of Commerce continues to bet on high economic activity in special economic zones (SEZs) to counter fears of likely enormous revenue loss from the tax incentives conferred on SEZ developers and units.

It had submitted to the Parliamentary Standing Committee on Commerce, which went into the functioning of SEZs, that there would actually be a gain to the exchequer if the economic activity takes place as planned.

In the opinion of the Ministry of Commerce, if the economic activity takes place as planned, there would not be a loss but actually there would be a gain, the Department said in its submissions to theCommittee.

The Department pointed out that there would be huge indirect tax revenue for the Government by way of consumption by those employed in the units. This would outweigh the revenue loss of about Rs 90,000 crore earlier estimated by the revenue department.

In its submission, the Department of Commerce noted that the Finance Ministry had estimated tax loss to the tune of Rs 90,000 crore. Considering the average tax rate to be about 30 per cent means that there is an income of Rs 3 lakh crore. Since the Ministry of Finance takes 20 per cent as export profit, this income means an export turnover of Rs 15 lakh crore. Forty per cent of the turnover is normally paid by way of wages and salaries. As per rough estimates, about 25-20 per cent of the amount paid as wages and salaries comes to government in terms of indirect taxes by way of consumption. This means there will be an indirect tax revenue generation of about Rs 1.5 lakh crore while the losses are being projected at Rs 90,000 crore, the Commerce Ministry has said.

Till date, about 128 SEZs have been notified and Rs 44,142 crore worth of investments made. Total exports from the notified zones are expected to be about Rs 67,000 crore during 2007-08. Over the next four years, total investments in SEZs are expected to be about Rs 3.6 lakh crore

The revenue department had last year estimated tax lossof about Rs 90,000 crore. With more SEZs now in the fray, the revenue department expected the losses to be much higher.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2018 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Article Management Solutions System Article Management Software S

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