No GST on packaged food products if rights foregone on brand

Source: LiveMint.com, Sept 21, 2017

NEW DELHI: Packaged food products will not face goods and services tax at the rate of 5% if the manufacturer declares to voluntarily forego any actionable claim or enforceable right on the brand name.

“5% GST will, however, not apply if the person concerned voluntarily foregoes any actionable claim or enforceable right on such brand name, subject to the conditions,” a finance ministry statement said on Wednesday. The entity will have to file an affidavit to the effect that it is voluntarily foregoing actionable claim or enforceable right on such brand name with the jurisdictional Commissioner of Central Tax or State Tax, or the jurisdictional officer of Union Territory Tax, it said. Read the rest of this entry »

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Government plans to make PAN the business Aadhaar for companies, NGOs

Source: The Economic Times, Sept 18, 2017

NEW DELHI: After debating for months, the government is moving to make Permanent Account Number (PAN) the Aadhaar for businesses as well as non-government organisations as it looks to close possible gaps for generation of black money.

Sources told TOI that the ministry of corporate affairs (MCA) has proposed amendments to the Income Tax Act as well as the Prevention of Money Laundering Act for the purpose and the government is looking at a mechanism under which any entity with cumulative transactions of over Rs 2 lakh annually will have to comply with the regulations.

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Government imposes antidumping duty on chemical from 4 countries

Source: The Economic Times, Sept 13, 2017

NEW DELHI: The government has imposed an antidumping duty of up to USD 60.35 per tonne for five years on a chemical used in fertiliser industry from four countries — Russia, Indonesia, Georgia and Iran.

The move would help guard domestic players from below- cost imports of ‘ammonium nitrate’ from these countries.

Deepak Fertilizers and Petrochemicals Corporation Ltd and Smartchem Technologies Ltd had jointly filed an application before the Directorate General of Antidumping and Allied Duties (DGAD) for initiation of the antidumping investigations.

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With tougher norms, importing toys no longer a child’s play

Source: The Economic Times, Sept 12, 2017

KOLKATA: The government has imposed tough quality norms for imported toys and mandated certification of compliance by agencies accredited with Indian authorities — a move that can choke Chinese imports and boost local manufacture, but the Rs 5,000-crore local industry is worried about orders already booked for the festive season.

The comprehensive notification issued on September 1 prescribes norms for physical and mechanical properties, chemical content, flammability, and testing for indoor and outdoor toys for both electrically and mechanically operated ones — going far beyond the earlier norms. The notification by the Director General of Foreign Trade (DGFT) says import of toys shall be permitted freely only if the manufacturer abides by norms of the Bureau of Indian Standards (BIS). Read the rest of this entry »

Window for small businesses: Composition scheme under GST may return

Source: Business Standard, Sept 08, 2017

New Delhi: The composition scheme, which is applicable to specific categories of small businesses whose turnover is Rs 75 lakh and below and had been closed on August 16, may return soon.With just about a million taxpayers opting for the scheme, the goods and services tax (GST) Council will consider reopening the window in its meeting on Saturday in Hyderabad, giving another opportunity to small players to avail of it.

“Smaller players reportedly faced challenges with respect to registration. Some wanted more time to evaluate their business models to comply with the requirements of the composition scheme. So, we want to give them another chance,” said a senior government official.

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Sebi plans new rules to push for merger of mutual fund schemes

Source: LiveMint.com, Sept 07, 2017

Mumbai: The Securities and Exchange Board of India (Sebi) is pushing mutual funds to merge common investment plans and cut high expenses charged to investors.The markets regulator proposes to introduce rules to that effect as part of the next set of reforms after 2012, when it allowed investors to buy directly from fund houses and save on broker commissions, and removed internal sub-limits within the expense ratio.

Expense ratio is the percentage of assets spent to run a mutual fund. A lower expense ratio bodes well for investors. Removing internal sub-limits allowed fund houses more flexibility in deciding how they wanted to spend the money they received from investors towards the expense ratio.

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Self-seal export cargoes without Customs monitoring from October 1

Source: The Economic Times, Sept 05, 2017

NEW DELHI: The Customs department has allowed self-sealing procedure from October 1 for containers to be exported, as it aims to move towards a ‘trust based compliance environment’ and trade facilitation for exporters.

In a circular to all Principal Chief Commissioners, the Central Board of Excise and Customs (CBEC) said exporters who were availing facility of sealing at the factory premises under the supervision of customs authorities will be automatically entitled for self-sealing facility.

It said that permission once granted for self-sealing at an approved premise will remain valid unless withdrawn. However, in case of change in the premise, a fresh approval from Customs department will be required.

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