Skip to main content

Global investors still fret over retrospective taxes: Sebi chief

The Securities and Exchange of Board of India (Sebi) chairman UK Sinha on Tuesday raised foreign investors’ concerns on retrospective taxation, saying global players need assurances about India’s tax-friendly regime.
“We have to be very mindful that whatever we do, it shouldn’t be a negative surprise for those who have invested in the country. Retrospective implementation of laws is something we should frown upon,” he said while speaking at the Gateway of India dialogue.
“If there is one protection to the domestic investors, same level of protection should be available to them (foreign investors),” Sinha added.
“Should there be an element of reciprocity or not? Can one country impose its will over others without caring for reciprocity,” Sinha said, adding that: “Unfortunately the current situation is that where reciprocity is not adequate.”
Finance Minister Arun Jaitley has tried to assure investors on several occasions that there will be no retrospective taxation in future.
However, companies such as Cairn and Vodafone are still fighting cases in court with respect to retrospective tax notices served to them in the past.
However, the market regulator who recently returned from a visit to the US, added that foreign investors continue to remain optimistic on India’s growth prospects, when compared with other economies in the region. Foreign institutional investors, who sold off sharply in January-February, bought shares worth over Rs.10,000 crore in April and May.Observing the need to have a strong Asian market, Sinha said that in 2003 there was serious attempt at building one.
“We must blame ourselves that we could not move forward. So savings of entire Asia is going into other jurisdictions and the requirements of Asia are not being,” he said.
Hindustan Times New Delhi,15th June 2016

Comments

Popular posts from this blog

Credit card spending growth declines on RBI gaze, stress build-up

  Credit card spends have further slowed down to 16.6 per cent in the current financial year (FY25), following the Reserve Bank of India’s tightening of unsecured lending norms and rising delinquencies, and increased stress in the portfolio.Typically, during the festival season (September–December), credit card spends peak as several credit card-issuing banks offer discounts and cashbacks on e-commerce and other platforms. This is a reversal of trend in the past three financial years stretching to FY21 due to RBI’s restrictions.In the previous financial year (FY24), credit card spends rose by 27.8 per cent, but were low compared to FY23 which surged by 47.5 per cent. In FY22, the spending increased 54.1 per cent, according to data compiled by Macquarie Research.ICICI Bank recorded 4.4 per cent gross credit losses in its FY24 credit card portfolio as against 3.2 per cent year-on-year. SBI Cards’ credit losses in the segment stood at 7.4 per cent in FY24 and 6.2 per cent in FY23, the...

SFBs should be vigilant, proactive to mitigate risks: RBI deputy guv

  The Reserve Bank of India’s Deputy Governor Swaminathan J on Friday instructed the directors of small finance banks (SFBs) to be vigilant and proactive in identifying emerging risks in the sector.Speaking at a conference for directors on the boards of SFBs, Swaminathan highlighted the role of governance in guiding SFBs towards sustainable growth with stability. He also emphasised the importance of sustainable business models.Additionally, he highlighted the need for strengthening cybersecurity to protect the entities against digital threats and urged for a stronger focus on financial inclusion, customer service, and grievance redressal to ensure a broader reach of banking services.Executive Directors S C Murmu, Rohit Jain, and R L K Rao, along with other senior officials representing the Supervision, Regulation, and Enforcement Departments of the RBI, also participated in the conference.   -  Business Standard  30 th  September, 2024

Brigade Hotel Ventures files draft papers with Sebi for Rs 900 crore IPO

  Brigade Hotel Ventures Ltd, owner and developer of hotels in South India, has filed draft papers with capital markets regulator Sebi to raise Rs 900 crore through an initial public offering (IPO).The proposed IPO is entirely a fresh issue of equity shares with no Offer-for-Sale (OFS) component, according to the draft red herring prospectus (DRHP).Proceeds from the issue to the tune of Rs 481 crore will go towards payment of debt, Rs 412 crore will be allocated to the company and Rs 69 crore to its material subsidiary, SRP Prosperita Hotel Ventures Ltd.Additionally, Rs 107.52 crore will be used to purchase an undivided share of land from the Promoter, BEL, and the remaining funds will support acquisitions, other strategic initiatives, and general corporate purposes.The company may raise up to Rs 180 crore through a Pre-IPO Placement.   If the placement is undertaken, the issue size will be reduced.Brigade Hotel Ventures Ltd is a wholly-owned subsidiary of Brigade Enterprises ...