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The Income-Tax Investigation Commission formed just after World War II was the first disclosure scheme while the penultimate was the controversial Voluntary Disclosure of Income Scheme of 1998. The aim of IDS 2016 is not to garner taxes but to make Indian businesses compliant with the new reality -a transparent balance sheet. You cannot get a bank loan or persuade an investor to invest in your business unless you can show them an asset which you aim to exploit. IDS has an element of penalty. It does not put a habitually honest tax payer in a disadvantageous position vis-à-vis a newly honest tax payer. You declare your undisclosed income in Form No1. Your jurisdictional PCITCIT determines your tax liability and sends you a computation of the tax that you have to pay in Form No2. After paying the tax, you have to send Form No.3 and the PCITCIT would issue you an Immunity Certificate in Form No.4, which you can produce if any scrutiny or prosecution is contemplated in respect of the...

India can create several Walmarts of its own, commerce and industry minister Nirmala Sitharaman said on Wednesday, highlighting India's potential while reiterating that the country is not yet ready to open up multibrand retail to foreign investment. “We haven't reached competition where there will be a level playing field if it (multi-brand retail) were to be opened up,“ Sitharaman said at `India Summit' organised by the Economist newspaper. In reply to a question on why India has not permitted foreign direct investment (FDI) in multibrand retail trade, the minister said, “We welcome anybody...but if some way this dialogue is moving towards why not (FDI in) multi-brand retail in India? My answer is, `not yet'.“ India allows foreign companies to invest only up to 51% in multi-brand retail while it has removed the cap on single-brand retail. The ru ling BJP has been opposed to the idea of opening up the sector because it believes such a move will hurt small, indep...

Ask consultants to conduct comparative analysis on six countries for investments Foreign portfolio investors (FPIs) in India have been scrambling to find safe tax havens ever since Mauritius lost its pole position after India's renegotiations around capital gains and may have finally zeroed in on six destinations where they can register their pooling vehicles. FPIs are looking at France, Spain, and Denmark, and to some extent even Netherlands, where they can register their investment vehicles before they pump money in Indian equities. On the other hand Ireland and Luxembourg seem promising for locations from where debt investments can be made in India. Top FPIs have roped in tax consultants in India to conduct a comparative analysis of these destinations. As of now France and Spain seem to be on top of the list for many , say people close to the development. It could take anywhere between 6 months to about a year for these FPIs to start investing from one of the new countri...

The Advertising Standards Council of India (ASCI), an apex body that works on the principle of self- regulation in the sector, could soon have powers to check misleading ads across media and segments under the proposed new Consumer Protection Act, 2016. The parliamentary committee, which looked into the Bill, had recommended this earlier. Sources told Business Standard the government is considering the proposal before the Bill is presented in Parliament in the winter session. At present, ASCI has powers only for television advertisements. In case an advertiser violates its code — detailed guidelines on advertising — it is asked to modify the aberrant advertisement. If the advertiser does not comply, the matter is referred to the Union information and broadcasting ministry, which takes penal action. Under the changes proposed in the Bill, ASCI will be a partner of the Consumer Protection Authority ( CPA), a nodal body. ASCI will keep track of advertisements in all media and as...

FM rules out privatisation of public sector banks New Delhi, 7 September Union Finance Minister Arun Jaitley on Wednesday said the April 1, 2017, deadline to roll out the goods and services tax ( GST) was stiff, as there were a few hurdles ahead. He added the Centre and states were “ running against time”, and there were issues, which the proposed GST Council needed to address. “After the notification and constitution of the GST council, there are obviously some pending issues, which the council will have to resolve. So we have September and October, and, parts of November to do that,” said Jaitley at the Economist India Summit in the national capital. Later, a senior finance ministry official said there were three issues — GST rates, dual control over assessment and scrutiny of assessees, and geographical or area- based exemptions. “If we are able to successfully transact those issues, the pieces of legislation would be introduced in Parliament in the winter session. Loo...