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: form 3cd :: list of goods taxed at 4% :: articles on VAT and GST in India :: TAX RATES - GOODS TAXABLE @ 4% :: VAT RATES :: Central Excise rule to resale the machines to a new company :: due date for vat payment :: ARTICLES ON INPUT TAX CREDIT IN VAT :: ACCOUNTING STANDARD :: VAT Audit :: ACCOUNTING STANDARDS :: cpt :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: empanelment :: TDS
 
 
« News Headlines »
 Govt extends service tax return filing date to April 30
 No move to tax farm income, clarifies Arun Jaitley
 New board for indirect taxes to become operational from June 1
  9 changes that came into effect from April 1
 First time filing income tax? Here's all you need to know about Form 16 and Form 26AS
 New Opening Financial Controller Chartered Accountant (Manufacturing Plant) A Leading Company
 Income Tax Filing 2017: All you want to know about the single page ITR form SAHAJ
 How to benefit from investments in tax saving mutual funds
 60 per cent of income tax notices on fishy cash deposits returned
 All about income tax return form Sahaj
 Why seeing Form 26AS is a must before filing tax return and how to access it

Raise tax issues under new code with Finance Minister
August, 20th 2009

A new panel comprising regulators and certain Government agencies will be set up to look into procedural and other issues faced by foreign institutional investors (FIIs), the Finance Secretary, Mr Ashok Chawla, said here on Wednesday.

Besides procedural issues, the FIIs had also raised taxation issues under the proposed new direct taxes code. These issues were taken up with the Finance Minister, Mr Pranab Mukherjee, who addressed both FIIs and domestic institutional investors at a meeting organised by the National Stock Exchange (NSE).

They (FIIs) raised issues regarding securities transaction tax and capital gains in the tax regime under the proposed new direct tax code. We told them that the draft of the direct taxes code was in public domain and that they could respond with their views, Mr Chawla told reporters here.

SEEKing their perception

The Finance Secretary said that this was part of the continuing series of meetings that Government had with FIIs to get their perception on the investment climate and the procedural hurdles, if any, under various regulations.

However, Wednesdays meeting was the first that the Finance Minister had with FIIs after the presentation of the Budget for 2009-10.

This meeting should be seen more as a sequel to the new direct taxes code rather than one highlighting the procedural difficulties, sources familiar with the developments said.

Most of the FIIs registered here had so far not paid income tax. They have enjoyed tax exemption on their profits either through treaty benefits (for capital gains) or by contending that they do not have a permanent establishment in India and therefore their business income was not taxable in India.

Either way, they were getting away without paying taxes here. But the new code proposes to change that. The STT will go, but all their capital gains will be included in total income and become taxable. They are unlikely to get tax exemption on their profits as the code will override treaty, sources said. This has, in a way, made them jittery and compelled them to raise tax issues with the Finance Minister, they said.

The Government and SEBI had, in recent years, taken steps to simplify the registration process so that more foreign portfolio money could come in through direct route rather than through participatory notes. There has also been an increase in the number of FIIs registered with the capital market regulator.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 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