Roll out of GST to bring down prices: Government 

  The government has said that roll out of Goods and Services Tax will bring benefits to consumers due to reduced tax rates on various commodities such as packaged cement, medicaments, smart phones, and medical devices. The Central Board of Excise and Customs has given out a details of the existing tax incidence and under GST to demonstrate reduction in tax liability. Packaged cement attracts central excise duty of 12.5% + Rs.125 PMT (per metric tonne) and standard VAT rate of 14.5%. At these rates, the present total tax incidence works out to more than 29%. This tax incidence will further go up on account of Central Sales Tax, octroi, entry tax taking it to 31%. This is much higher than the proposed GST rate of 28%. There will be

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GST may push up cost of solar power projects 

  The goods and services tax may increase solar energy project costs by 12%-18% and generation costs by 40-50 paise per unit, some industry leaders said, although the government said the new taxation regime won’t have much of an impact on them. However, officials said even if costs increase, it won’t affect project economics because the additional charges can be passed on to customers. “Following GST, solar projects will be about 18% costlier on an average, while cost of generation would go up by around 20%. We have estimated the incidence of GST to be around 23%-25% on various inputs for the segment,” said Ratul Puri, chairman, Hindustan Power Projects. “It would require project developers to go back to banks for additional funding for projects under construction. It might require

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‘Higher’ GST rates unlikely to disturb consumption: Experts 

Higher goods and services tax (GST) rates have sparked fears of a fall in consumption and a slowdown in growth but the reality could be quite the opposite, economists and industry experts said. Price increases do not always hurt demand as consumers’ interest in buying products or services may remain unaffected by any rise in tax rates or other changes in business environment, they said. The GST Council has increased the service tax on financial services and telecom to 18% from 15%. Many industry executives feel this will impose a burden on consumers and dampen demand. But recent data, at least in insurance, seems to suggest that consumers take tax increases in their stride. Whenever the government raised the service tax rate or levied a cess to shore up its

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Why government’s push to make Aadhaar mandatory could erode public faith in Aadhaar-enabled payments 

  For a search giant that answers online queries instantly, Google raises deeper questions in the real world. What if internet users knew in 2005 that Google would be reading all our content on Gmail? Would we have sacrificed the convenience of free Gmail to protect our privacy? Today, the company knows even more about our online habits, but the choice to use Google or not rests with the user. It’s an interesting parallel to Aadhaar at a time when the government is making the unique identification number mandatory across a spate of services. The most controversial step in late March was a call to link the Aadhaar number with permanent account number (PAN), which identifies Indian nationals who pay income tax. Everyone has to work for a living. In

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Sebi, Diageo and the hidden advantage

  On November 9, 2012, Smirnoff maker Diageo Plc signed a deal with the Vijay Mallya-led UB Group to acquire up to 53.4 per cent of United Spirits (USL). The transaction was supposed to have three separate legs. In the first one, Diageo and persons acting in concert (PACs) would buy about 25 million shares (19.3 per cent stake) from UB Holdings and associated entities. This was done at a negotiated price of Rs 1,440 a share. In the second leg, USL would do a preferential issue of about 14.5 million shares. Such issues require approval by a special resolution of shareholders. This process has its own timelines of public notice, etc. Together, these two legs would take the holding of Diageo to 27.4 per cent of the enlarged share capital. By the Sebi takeover regulations

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Sebi investigated 212 cases in Apr-Dec FY17

  Markets regulator Sebi took up as many as 212 cases for investigations in the first nine months of the last fiscal, making it the highest in more than six years. The markets regulator has completed probe in 74 cases during the period under review, showed the latest data with Securities and Exchange Board of India (Sebi). These cases were related to market manipulation and price rigging, violation of insider trading as well as takeover norms among others. As per the data, the total number of cases taken up for investigations stood at 212 during April-December period of 2016-17, much higher than 133 probed in the entire preceding fiscal. Sebi had investigated 70 cases in 2014-15; 108 matters in 2013-14; 155 in 2012-13; 154 in 2011-12; and 104 in 2010-11. Out of 212 cases investigated

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Zen Securities settles case with Sebi

  Zen Securities has settled a case related to alleged violation of stock broker norms with markets regulator Sebi after payment of Rs 47.6 lakh towards settlement charges. Besides, Zen Securities also complied with the recommendations of a Sebi committee. “The pending adjudication proceedings initiated against the noticee … Is disposed of,” Securities and Exchange Board of India (Sebi) said in a settlement order issued today. The regulator had initiated adjudicating proceedings against Zen Securities for the alleged violation of stock brokers and sub brokers regulations. While the adjudicating proceedings were in progress, Zen Securities had submitted an application with Sebi for settlement of the case. The settlement terms after being considered by Sebi’s internal committee were placed before the regulator’s High Powered Advisory Committee (HPAC) which gave its recommendations. Last month, the firm paid Rs 47.6 lakh

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Zen Securities settles case with Sebi

  Zen Securities has settled a case related to alleged violation of stock broker norms with markets regulator Sebi after payment of Rs 47.6 lakh towards settlement charges. Besides, Zen Securities also complied with the recommendations of a Sebi committee. “The pending adjudication proceedings initiated against the noticee … Is disposed of,” Securities and Exchange Board of India (Sebi) said in a settlement order issued today. The regulator had initiated adjudicating proceedings against Zen Securities for the alleged violation of stock brokers and sub brokers regulations. While the adjudicating proceedings were in progress, Zen Securities had submitted an application with Sebi for settlement of the case. The settlement terms after being considered by Sebi’s internal committee were placed before the regulator’s High Powered Advisory Committee (HPAC) which gave its recommendations. Last month, the firm paid Rs 47.6 lakh

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Director of Visakhapatnam hotel arrested for failure to pay Service Tax

  Anti Evasion Room No. 207/212/2013 Phone No. 0891 2566804 Fax No. 0891 2502451 E- Mail: aevizag@gmail.com Office of the Commissioner of Customs, Central Excise and Service Tax Visakhapatnam- Commissionerate Central Excise Building, Port Area, Visakhapatnam- 530 035 C.No.V/18/2017-A.E.    Date : 18th May , 2017 PRESS NOTE Basing on the intelligence gathered by the officers of this commissioner ate of C.Excise & Service Tax, the Managing Director of a popular hotel of Visakhapatnam was arrested and remanded to judicial custody today for the failure to remit to the government an amount of Rs. 3 crores of service tax which was collected during the years 2011-16. It is hereby informed to the trade and public that the service tax wing of this commissionerate is receiving valuable data regarding service tax assesses from various sources which is

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