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MF-related service tax issues discussed
July, 13th 2012
The Finance Ministry has said that service tax issues related to the mutual fund industry can only be addressed in the next Budget. The Ministry discussed various issues with representatives of the mutual fund industry here on Thursday. This was second meeting in past two weeks. The meetings took place after the Prime Minister told Finance Ministry officials on June 27, after taking charge of the Finance portfolio, to resolve issues related to mutual funds. According to a senior Finance Ministry official, the meeting discussed the proposal to increase the total expense ratio and flexibility. It also discussed additional incentives for tier-I and -II cities and ways to incentivise systematic investment plans. All these are being examined, he added.
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