Reports suggest that indian tech giant Infosys is facing a massive tax demand of approximately $4 billion from the country’s tax authority. The demand stems from services received by infosys from its overseas branches between 2017 and 2022. The company has refused any tax fraud claims.

Infosys faces $4 billion tax demand for services from overseas branches

As the big day approaches, India’s individual taxpayers are eagerly awaiting potential relief measures. With the interim budget of 2024 offering little in terms of tax benefits, there are high expectations for substantial reforms this time around. Our next reports explores the key changes that could significantly impact the middle class. Take a look.

India Budget: India's tax reforms in focus

India Budget: Will India’s budget attract more taxpayers?

Just days after anti-tax reform protests rocked the country Kenya's President has dismissed almost his entire cabinet in a televised address. Watch in for more details!

Kenya's President fires his entire cabinet after Ruto faces heat over tax hike

Just days after anti-tax reform protests rocked the country Kenya's President has dismissed almost his entire cabinet except the Foreign Minister, in a televised address. Watch in for more details!

Kenya: William Ruto faces heat after protests over tax hike; cabinet dismissed except Foreign Min

Riot police fired tear gas grenades and charged at stone-throwing protesters in downtown Nairobi and across Kenya on Tuesday in the most widespread unrest since at least two dozen protesters died in clashes a week ago.

Kenya protests: Tear gas, stones and flames as Kenya protesters say 'Ruto must go!'

In a key comment aimed at clarifying the European Union’s Carbon Border Adjustment Mechanism (CBAM), Gerassimos Thomas, Director General of the European Commission's Directorate General of Taxation and Customs (DG TAXUD), has emphasized that the initiative is not a tax or tariff, but a measure designed to reduce carbon emissions. Addressing misconceptions, Thomas highlighted, that CBAM is intended to promote sustainability, rather than acting as a trade barrier between the EU and India.

EU Official clarifies CBAM's environmental focus, stresses positive trade ties with India

Deadly anti-tax protests in Kenya have pushed President Ruto to withdraw the controversial finance bill. Can peaceful negotiations ensure a policy that reflects the will of Kenya's people?

Gravitas | Kenya president withdraws finance bill amid deadly protests

Kenyan police fire tear gas at crowds of young protesters in the capital Nairobi, as demonstrators rally across the country against the government's proposed tax hikes. There is heavy police presence in the city as parliament continues to debate the controversial finance bill containing the proposed taxes.

Kenya Protest: Police open fire at protesters trying to storm Parliament

Kenya Protest: Protesters demand President Ruto's resignation

Kenya Protest: Parliament passes finance bill, capital Nairobi turns into battleground

Kenyan protests turned violent after members of parliament voted to approve the finance bill, 2024 paving for its last phase which is the presidential assent into an act. At least forty-five patients were attended to at Kenyatta National Hospital after sustaining injuries from anti-finance bill protests. The protesters entered the parliament hours after police shot several demonstrators outside parliament buildings. Eric Njoka decodes why the demonstrations have become a game changer for Kenya.

Kenya Protests: Kenya burns as anti-tax protests turn ugly

‘I’ am a tax payer, my tax is for country's development, not for free distribution’. This response is once again trending on social media.&nbsp;

Before elections, most political parties&nbsp;promise&nbsp;some freebees or services in their manifestos. And when any party comes to power, it has to spend billions of rupees on these free schemes to fulfill its election promises.

Do you know that this money comes from taxpayers, and not from the funds of any political party? Since NDA returned to power for a third consecutive term, taxpayers have been&nbsp;expressing&nbsp;displeasure on social media over&nbsp;the promises of several free schemes made by the NDA government&nbsp;which will be paid through the tax-payers money.

Notably, two major allies of the NDA are the Telugu Desam Party (TDP) and Janata Dal (United). Before the elections, these parties also released their manifestos promising several free schemes, which will cost millions of rupees annually to implement.

However this year before the elections, the NDA issued a joint manifesto, announcing several free schemes.

BJP announced that it would continue the free ration scheme for the next five years, which was initiated in 2020 during the COVID-19 pandemic. Along with expanding the coverage of free treatment up to ₹5 lakhs under the Ayushman Bharat scheme, they also promised to provide medicines at an 80% discount at Jan Aushadhi centers.&nbsp;

Additionally, every senior citizen above the age of 70, whether poor, middle-class, or upper-middle-class, will be entitled to free treatment up to ₹5 lakhs.

<h2>What’s Free in NDA’s Manifesto in Andhra Pradesh?</h2>

The TDP, Jana Sena, and BJP alliance promised a monthly financial assistance of ₹3,000 to unemployed youth. NDA named its manifesto 'Praja Galam.'

TDP's announcement includes promises such as free bus travel for women, three free cooking gas cylinders per year for every household, and ₹15,000 annually for every school-going child.

<h2>What Do Experts Say About Free Schemes?</h2>

Manish Khemka, Chairman of the Global Taxpayers Trust, says, “like every time, this Lok Sabha election also made it clear that freebies are now becoming a national disease or even a pandemic. This is the biggest corruption in democracy that needs to be stopped immediately. Over time, political parties have also changed the way they announce freebies. Earlier, candidates would try to win elections by distributing money and liquor from their pockets. Nowadays, political parties attempt to gain power by using hardworking taxpayers' money.

Parties formally announce various freebies in their manifestos to lure voters.”

“If government expenditure aligns with resources and boosts productivity by supporting the poor, it is acceptable; otherwise, freebies should be strictly prohibited,” he added.

Former Finance Secretary of India, Subhash Chandra Garg, says, “Broadly, 50% of the central government’s budget is funded by taxpayers, and the remaining 50% comes from non-tax revenue. It is incorrect to say that taxpayers bear all the expenses. We need to understand the system of public finance.”

“Taxpayers also have the misconception that most of their money goes towards freebies. Taxpayers fund only 50% of the Government of India's budget. Therefore, the budget for free schemes does not exceed 15-20%. Public finance never categorises it this way. Hence, such campaigns are not correct,” said Garg.

(With inputs from agencies)

‘I’ am a tax payer, my tax is for country's development, not for free distribution’. This response is once again trending on social media. Before elections, most political parties promise some freebees or services in their manifestos.

‘I’ am a tax payer, my tax is for country's development, not for free distribution’. This response is once again trending on social media. Before elections, most political parties promise some freebees or services in their manifestos. And when any party comes to power, it has to spend billions of rupees on these free schemes to fulfill its election promises. Do you know that this money comes from taxpayers, and not from the funds of any political party? Since NDA returned to power for a third consecutive term, taxpayers have been expressing displeasure on social media over the promises of several free schemes made by the NDA government which will be paid through the tax-payers money. Notably, two major allies of the NDA are the Telugu Desam Party (TDP) and Janata Dal (United). Before the elections, these parties also released their manifestos promising several free schemes, which will cost millions of rupees annually to implement. However this year before the elections, the NDA issued a joint manifesto, announcing several free schemes. BJP announced that it would continue the free ration scheme for the next five years, which was initiated in 2020 during the COVID-19 pandemic. Along with expanding the coverage of free treatment up to ₹5 lakhs under the Ayushman Bharat scheme, they also promised to provide medicines at an 80% discount at Jan Aushadhi centers. Additionally, every senior citizen above the age of 70, whether poor, middle-class, or upper-middle-class, will be entitled to free treatment up to ₹5 lakhs. What’s Free in NDA’s Manifesto in Andhra Pradesh? The TDP, Jana Sena, and BJP alliance promised a monthly financial assistance of ₹3,000 to unemployed youth. NDA named its manifesto 'Praja Galam.' TDP's announcement includes promises such as free bus travel for women, three free cooking gas cylinders per year for every household, and ₹15,000 annually for every school-going child. What Do Experts Say About Free Schemes? Manish Khemka, Chairman of the Global Taxpayers Trust, says, “like every time, this Lok Sabha election also made it clear that freebies are now becoming a national disease or even a pandemic. This is the biggest corruption in democracy that needs to be stopped immediately. Over time, political parties have also changed the way they announce freebies. Earlier, candidates would try to win elections by distributing money and liquor from their pockets. Nowadays, political parties attempt to gain power by using hardworking taxpayers' money. Parties formally announce various freebies in their manifestos to lure voters.” “If government expenditure aligns with resources and boosts productivity by supporting the poor, it is acceptable; otherwise, freebies should be strictly prohibited,” he added. Former Finance Secretary of India, Subhash Chandra Garg, says, “Broadly, 50% of the central government’s budget is funded by taxpayers, and the remaining 50% comes from non-tax revenue. It is incorrect to say that taxpayers bear all the expenses. We need to understand the system of public finance.” “Taxpayers also have the misconception that most of their money goes towards freebies. Taxpayers fund only 50% of the Government of India's budget. Therefore, the budget for free schemes does not exceed 15-20%. Public finance never categorises it this way. Hence, such campaigns are not correct,” said Garg. (With inputs from agencies)

'My tax is for country's development, not for free distribution': Why is this trending on social media?

Australia’s tax office has sought from crypto currency exchanges the personal data and transaction details of up to 1.2 million accounts as it looks to crack down on users who may be failing to pay their taxes. Watch in for more details!

Australia targets 1.2 mn crypto accounts in major tax crackdown

Australia is intensifying its fight against tax fraud now the Australian government is cracking down on tax defaulters especially those who trade and sell cryptocurrency.

Crypto tax crackdown in Australia

G20 ministers’ proposal of a wealth tax on billionaires is gaining traction. They argue the levy would help fight poverty, inequality, and climate change. Take a look at this next report for more…

Wealth tax gains traction as billionaires' fortunes soar

Sam Pitroda is the chairman of the Indian Overseas Congress. His recent comments on inheritance tax sparked a row in India. Watch this video to find out.

Lok Sabha elections 2024: Is Congress pitching for inheritance tax amid wealth redistribution row?

'Panama Papers' trial starts with 27 defendants in a worldwide money laundering case. Those on trial include the owners of the mossback-Fonseca law firm that was at the heart of the 2016 massive document leak.

'Panama Papers' trial to begin eight years after tax scandal

India's gross Goods and Services Tax (GST) collection for March witnessed a strong boom of 11.5 per cent year-on-year (YoY), reaching ₹1.78 trillion ($21.35 billion), in line with a government declaration released on Monday. <o:p></o:p>

This surge reflects the country's strong financial performance despite global uncertainties, as reported by Reuters.<o:p></o:p>

The government had accumulated ₹1.60 trillion in GST last year. The amount collected for March is the second-highest since the origin of the GST regime in 2017. <o:p></o:p>

Notably, in April 2023, the GST collection&nbsp;peaked at ₹1.87 trillion.<o:p></o:p>

The average month-to-month GST revenue&nbsp;for the financial year (FY) 2023-24, which ended&nbsp;on March 31, stood at ₹1.68 trillion, marking&nbsp;a considerable increase from the ₹1.5 trillion recorded in the preceding financial year.<o:p></o:p>

The cumulative gross GST series for the FY2023-24 amounted to about ₹20.1 trillion, indicating a 12 per cent boom compared to the previous financial year.<o:p></o:p>

Reuters cited Abhishek Jain, an associate at KPMG, who attributed the increase in tax revenue to India's strong economic growth. <o:p></o:p>

He claimed that the&nbsp;economy expanded by 8.4 per cent year over year in the October–December quarter, surpassing the 7.6 per cent growth observed in the corresponding quarter.<o:p></o:p>

Additionally, India's Finance Minister, Nirmala Sitharaman, on Saturday said that the country's economy was predicted to expand at the same annual rate for the FY2023-24 and that it was on course to grow by 8 per cent or more in the quarter that ended on March 31.

(With inputs from Reuters)

India's gross Goods and Services Tax (GST) collection for March witnessed a strong boom of 11.5 per cent year-on-year (YoY), reaching ₹1.78 trillion ($21.35 billion), in line with a government declaration released on Monday.

India's gross Goods and Services Tax (GST) collection for March witnessed a strong boom of 11.5 per cent year-on-year (YoY), reaching ₹1.78 trillion ($21.35 billion), in line with a government declaration released on Monday. This surge reflects the country's strong financial performance despite global uncertainties, as reported by Reuters. The government had accumulated ₹1.60 trillion in GST last year. The amount collected for March is the second-highest since the origin of the GST regime in 2017. Notably, in April 2023, the GST collection peaked at ₹1.87 trillion. The average month-to-month GST revenue for the financial year (FY) 2023-24, which ended on March 31, stood at ₹1.68 trillion, marking a considerable increase from the ₹1.5 trillion recorded in the preceding financial year. The cumulative gross GST series for the FY2023-24 amounted to about ₹20.1 trillion, indicating a 12 per cent boom compared to the previous financial year. Reuters cited Abhishek Jain, an associate at KPMG, who attributed the increase in tax revenue to India's strong economic growth. He claimed that the economy expanded by 8.4 per cent year over year in the October–December quarter, surpassing the 7.6 per cent growth observed in the corresponding quarter. Additionally, India's Finance Minister, Nirmala Sitharaman, on Saturday said that the country's economy was predicted to expand at the same annual rate for the FY2023-24 and that it was on course to grow by 8 per cent or more in the quarter that ended on March 31. (With inputs from Reuters)

India's GST collection surges 11.5 pc YoY to $21.35 bn in March

India's finance ministry clarified that they won't introduce any new change in the tax regime from April 1, 2024, as the income tax proposals of the interim budget come into effect from April 1.&nbsp;

In a post on X, the finance ministry cleared all the confusion over the new tax regime. There are low rates in the new tax regime. However, it has fewer exemptions and deductions.

Union Finance Minister Nirmala Sitharaman, while presenting the interim budget on February 1, 2024, had said that no changes will be made to taxation. She further said that the ministry will retain the same direct and indirect tax rates.

Also Read:&nbsp;<a href="https://www.wionews.com/business-economy/wion-business-wrap-indias-direct-tax-collection-rise-airbus-ceos-concern-over-boeing-and-more-702213">WION Business Wrap | India’s direct tax collection rise, Airbus CEO's concern over Boeing and more</a>

<h2>What did the finance ministry clarify on the new tax regime?</h2>

In a post on X, the finance ministry said, “It has come to notice that misleading information related to new tax regime is being spread on some social media platforms.”

Six points regarding the taxes were shared by the ministry for the financial year 2024-25.&nbsp;

In the post, the ministry said, "It is therefore clarified that:

<ul>
	<li>There is no new change which is coming in from 01.04.2024.&nbsp;</li>
	<li>The new tax regime under section 115BAC(1A) was introduced in the Finance Act 2023, as compared to the existing old regime (without exemptions) (SEE TABLE BELOW)</li>
	<li>New tax regime is applicable for persons other than companies and firms, is applicable as a default regime from the Financial Year 2023-24 and the Assessment Year corresponding to this is AY 2024-25.&nbsp;</li>
	<li>Under the new tax regime, the tax rates are significantly lower, though the benefit of various exemptions and deductions (other than standard deduction of Rs. 50,000 from salary and Rs. 15,000 from family pension) is not available, as in the old regime.&nbsp;</li>
	<li>New tax regime is the default tax regime, however, tax payers can choose the tax regime (old or new) that they think is beneficial to them.&nbsp;&nbsp;</li>
	<li>Option for opting out from the new tax regime is available till filing of return for the AY 2024-25. Eligible persons without any business income will have the option to choose the regime for each financial year. So, they can choose new tax regime in one financial year and old tax regime in another year and vice versa."</li>
</ul>

Watch:&nbsp;Congress gets tax notice triggering a sit-in protest in Kerala

<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/congress-gets-tax-notice-triggering-a-sit-in-protest-in-kerala-706087/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>

According to the interim Budget, the government has also not changed the income tax slabs for the new financial year (FY2024-25).&nbsp;

<img alt="tax" data-entity-type="file" data-entity-uuid="9166379b-ffd6-4b22-9738-5ebfe7552504" src="//cdn.wionews.com/sites/default/files/inline-images/GKBLjDZXkAEduFS.jpg" />

(With inputs from agencies)

India's finance ministry clarified that they won't introduce any new change in the tax regime from April 1, 2024, as the income tax proposals of the interim budget come into effect from April 1.

India's finance ministry clarified that they won't introduce any new change in the tax regime from April 1, 2024, as the income tax proposals of the interim budget come into effect from April 1. In a post on X, the finance ministry cleared all the confusion over the new tax regime. There are low rates in the new tax regime. However, it has fewer exemptions and deductions. Union Finance Minister Nirmala Sitharaman, while presenting the interim budget on February 1, 2024, had said that no changes will be made to taxation. She further said that the ministry will retain the same direct and indirect tax rates. Also Read: WION Business Wrap | India’s direct tax collection rise, Airbus CEO's concern over Boeing and more What did the finance ministry clarify on the new tax regime? In a post on X, the finance ministry said, “It has come to notice that misleading information related to new tax regime is being spread on some social media platforms.” Six points regarding the taxes were shared by the ministry for the financial year 2024-25. In the post, the ministry said, "It is therefore clarified that: There is no new change which is coming in from 01.04.2024. The new tax regime under section 115BAC(1A) was introduced in the Finance Act 2023, as compared to the existing old regime (without exemptions) (SEE TABLE BELOW) New tax regime is applicable for persons other than companies and firms, is applicable as a default regime from the Financial Year 2023-24 and the Assessment Year corresponding to this is AY 2024-25. Under the new tax regime, the tax rates are significantly lower, though the benefit of various exemptions and deductions (other than standard deduction of Rs. 50,000 from salary and Rs. 15,000 from family pension) is not available, as in the old regime. New tax regime is the default tax regime, however, tax payers can choose the tax regime (old or new) that they think is beneficial to them. Option for opting out from the new tax regime is available till filing of return for the AY 2024-25. Eligible persons without any business income will have the option to choose the regime for each financial year. So, they can choose new tax regime in one financial year and old tax regime in another year and vice versa." Watch: Congress gets tax notice triggering a sit-in protest in Kerala According to the interim Budget, the government has also not changed the income tax slabs for the new financial year (FY2024-25). (With inputs from agencies)

India's finance ministry clears confusion on new tax regime. Here's its six-point sum-up

Congress has received a fresh notice of $200 million from the Income Tax Department for its alleged failure in complying with the tax returns. The notice, adding to the party's tax woes, comes a day after the High Court rejected its plea challenging tax notices.

India: Congress gets fresh tax notice after High Court dismisses plea

The ongoing exodus of foreign companies from Russia has resulted in $385 million in revenues in 2024 so far. This stems from an exit tax policy implemented when companies began leaving Russia after the Ukraine invasion began. The policy requires departing businesses to contribute at least 10% of their sale price to the federal budget. Watch for more details!

Foreign companies' exit contributions in 2024 surpass $385 mn

When it comes to British Prime Minister Rishi Sunak, there is no end to bad press. In the latest, British media and the public are fuming at the thought of Sunak's wife Akshata Murty being exempt from Inheritance tax. Turns out, Murty won't just be exempt from paying Inheritance tax in the UK, but also India. What gives?

Gravitas: Why Akshata Murty is exempt from paying inheritance tax

Brazil takes the lead in proposing a solution to combat tax evasion. With trillions of dollars at stake, the g20 summit sees nations rallying behind the idea of taxing the super-rich.

Brazil proposes tax on super-rich to tackle $4.8 TN tax evasion

Indian taxpayers with lingering doubts can finally breathe a sigh of relief as the Central Board of Direct Taxes (CBDT) has initiated a taxpayer-friendly move, extinguishing eligible outstanding direct tax demands up to Rs 1 lakh per individual.

As per the&nbsp;order&nbsp;issued on February 13, 2024, the process to remit and extinguish qualifies for&nbsp;outstanding tax demands as of January 31, 2024.<o:p></o:p>

This initiative, outlined in the 2024 Interim Budget, aims to clear the books for millions and streamline the tax ecosystem.<o:p></o:p>

Wiping the slate clean<o:p></o:p>

This move targets a significant chunk of taxpayers burdened by "petty, non-verified, non-reconciled or disputed" demands dating back to 1962. <o:p></o:p>

These demands, often stemming from the Income-tax Act&nbsp;1961, Wealth-tax Act&nbsp;1957, and Gift-tax Act 1958, have caused undue anxiety and hindered refunds for many.<o:p></o:p>

How much relief?<o:p></o:p>

The remission varies based on assessment years:

<ul>
	<li class="MsoNormal">Assessment years 2010-11 onwards:&nbsp;Up to Rs 25,000 per demand entry.</li>
	<li class="MsoNormal">Assessment years 2011-12 to 2015-16:&nbsp;Up to Rs10,000 per demand entry.<o:p></o:p></li>
</ul>

Importantly, an overall cap of Rs 1 lakh per taxpayer exists, excluding demands related to tax deducted at source (TDS) or tax credited at source (TCS).<o:p></o:p>

Not everyone gets a free pass<o:p></o:p>

While offering widespread relief, the initiative excludes demands against tax deductors/collectors under TDS/TCS provisions and any ongoing criminal proceedings against taxpayers.<o:p></o:p>

Interest no more a burden<o:p></o:p>

In a welcome move, the order eliminates the need to calculate interest on delayed payments for extinguished demands. This further eases the financial burden on relieved taxpayers.<o:p></o:p>

Checking your status<o:p></o:p>

Taxpayers can easily verify their extinguished demands by logging into the income tax portal and navigating to "Pending Action &gt; Response to Outstanding Demand".<o:p></o:p>

Indian taxpayers with lingering doubts can finally breathe a sigh of relief as the Central Board of Direct Taxes (CBDT) has initiated a taxpayer-friendly move, extinguishing eligible outstanding direct tax demands up to Rs 1 lakh per individual.

Indian taxpayers with lingering doubts can finally breathe a sigh of relief as the Central Board of Direct Taxes (CBDT) has initiated a taxpayer-friendly move, extinguishing eligible outstanding direct tax demands up to Rs 1 lakh per individual. As per the order issued on February 13, 2024, the process to remit and extinguish qualifies for outstanding tax demands as of January 31, 2024. This initiative, outlined in the 2024 Interim Budget, aims to clear the books for millions and streamline the tax ecosystem. Wiping the slate clean This move targets a significant chunk of taxpayers burdened by "petty, non-verified, non-reconciled or disputed" demands dating back to 1962. These demands, often stemming from the Income-tax Act 1961, Wealth-tax Act 1957, and Gift-tax Act 1958, have caused undue anxiety and hindered refunds for many. How much relief? The remission varies based on assessment years: Assessment years 2010-11 onwards: Up to Rs 25,000 per demand entry. Assessment years 2011-12 to 2015-16: Up to Rs10,000 per demand entry. Importantly, an overall cap of Rs 1 lakh per taxpayer exists, excluding demands related to tax deducted at source (TDS) or tax credited at source (TCS). Not everyone gets a free pass While offering widespread relief, the initiative excludes demands against tax deductors/collectors under TDS/TCS provisions and any ongoing criminal proceedings against taxpayers. Interest no more a burden In a welcome move, the order eliminates the need to calculate interest on delayed payments for extinguished demands. This further eases the financial burden on relieved taxpayers. Checking your status Taxpayers can easily verify their extinguished demands by logging into the income tax portal and navigating to "Pending Action > Response to Outstanding Demand".

Indian Government waives tax demands up to Rs 1 lakh, providing relief to taxpayers

A new taxpayers list has triggered a debate about the state of public finance in UK. WION decodes UK's 100 biggest tax payers in this report. Watch in.

Decoding UK's 100 biggest tax payers

In Munich, a significant demonstration unfolded on Sunday as thousands gathered to voice their concerns over the German government's fiscal policies. The protesters rallied for various economic reforms, with a unified call for more government aid directed towards small and medium-sized enterprises.

Tax relief demands take centre stage in Munich demonstration

The Indian government is considering a significant boost to the manufacturing sector by extending the favorable corporate tax rates for new companies, say several media reports.

These reports reveal that discussions are underway to prolong the existing concession for one to two years. This means the current sunset clause, set to expire on March 31, 2024, could see an extension. However, a final decision has not been reached yet.

At present, newly established domestic manufacturing firms enjoy a concessional corporate tax rate of 15 per cent. To qualify for this benefit, manufacturing units must begin operations by the end of March 2024.

This clause, first announced in the 2019 Budget, aims to attract more investments and stimulate growth in the manufacturing sector.

By offering favorable tax rates to new manufacturing companies, the government aims to make india a more appealing destination for businesses looking to set up manufacturing operations.

This aligns with the broader "Make in India" initiative, which encourages domestic production and reduces reliance on imported goods.

Experts believe that the concessions need to be extended for a period of two more years to see the full extent of the initiative's potential in bringing in new investments.

Abhishek Mundada, Partner, Dhruva Advisors, tells WION that the initiative must be extended for at least five to six years, if India wants to attract global manufacturers.

"Manufacturing sector is the thrust of this government, in terms of making India a global leader," Mundada says, adding that the government introduced this provision to take India's small manufacturing sector to "the next level".

Extending the concessional corporate tax rates would provide a financial incentive for companies to establish and expand their manufacturing units in india. This, in turn, could lead to job creation, technology transfer, and an overall boost to the economy.

The concessions can boost India's ambition to become the world's third-largest economy by the next decade. Mundada argues that countries have and will become a superpower, only with a strong manufacturing base.

With multinational firms increasingly 'de-risking' their supply chains away from China, India has the opportunity to divert manufacturers away from the world's 'factory'.

"After COVID-19 pandemic, the global market dynamics have changed. Boardroom are discussing a 'China +1' strategy and India is at the forefront of it. So, this (concessional tax) regime is important," he adds.

The Indian government is considering a significant boost to the manufacturing sector by extending the favorable corporate tax rates for new companies, say several media reports.

The Indian government is considering a significant boost to the manufacturing sector by extending the favorable corporate tax rates for new companies, say several media reports. These reports reveal that discussions are underway to prolong the existing concession for one to two years. This means the current sunset clause, set to expire on March 31, 2024, could see an extension. However, a final decision has not been reached yet. At present, newly established domestic manufacturing firms enjoy a concessional corporate tax rate of 15 per cent. To qualify for this benefit, manufacturing units must begin operations by the end of March 2024. This clause, first announced in the 2019 Budget, aims to attract more investments and stimulate growth in the manufacturing sector. By offering favorable tax rates to new manufacturing companies, the government aims to make india a more appealing destination for businesses looking to set up manufacturing operations. This aligns with the broader "Make in India" initiative, which encourages domestic production and reduces reliance on imported goods. Experts believe that the concessions need to be extended for a period of two more years to see the full extent of the initiative's potential in bringing in new investments. Abhishek Mundada, Partner, Dhruva Advisors, tells WION that the initiative must be extended for at least five to six years, if India wants to attract global manufacturers. "Manufacturing sector is the thrust of this government, in terms of making India a global leader," Mundada says, adding that the government introduced this provision to take India's small manufacturing sector to "the next level". Extending the concessional corporate tax rates would provide a financial incentive for companies to establish and expand their manufacturing units in india. This, in turn, could lead to job creation, technology transfer, and an overall boost to the economy. The concessions can boost India's ambition to become the world's third-largest economy by the next decade. Mundada argues that countries have and will become a superpower, only with a strong manufacturing base. With multinational firms increasingly 'de-risking' their supply chains away from China, India has the opportunity to divert manufacturers away from the world's 'factory'. "After COVID-19 pandemic, the global market dynamics have changed. Boardroom are discussing a 'China +1' strategy and India is at the forefront of it. So, this (concessional tax) regime is important," he adds.

Budget 2024: Concessional corporate taxes to get another extension, say reports

Zomato, the online food delivery platform, has been served with a show cause notice (SCN) by the Goods and Services Tax (GST) office, amounting to ₹401.7 crore ($4.8 billion).

The reason: for allegedly not paying taxes on delivery fee collections from customers between October 29, 2019, and March 31, 2022. &nbsp;

Zomato's shares experienced a downturn, opening 1.69 per cent lower on BSE at ₹124.90 and 1.77 per cent lower on NSE at ₹124.80. &nbsp;

Zomato, in a regulatory filing, clarified that the sum in question is derived from delivery charges collected from customers on behalf of delivery partners during the specified period. &nbsp;

The development adds to the challenges faced by Zomato, as it deals with regulatory scrutiny and financial obligations. This SCN comes at a time when Zomato's share prices are showing signs of recovery after a period of volatility.

In parallel news, Zomato's Live Entertainment vertical is set to expand its presence by entering new cities and creating fresh intellectual properties (IPs). This move aligns with Zomato's recent introduction of a dedicated tab on its app, facilitating users in discovering and engaging with anticipated events across cities. &nbsp;

Zomato Live Entertainment, launched in 2018, started with the Zomaland IP, a food carnival and music festival spanning eight cities, attracting approximately 200,000 customers with its immersive blend of food, entertainment, and music.

Zeenah Vilcassim, CEO of Zomato Live, said that the company aims for a substantial double-digit contribution to Zomato's topline within three years.

She asserted that despite Zomato Live's current contribution being a single-digit percentage to Zomato's overall revenue, achieving a low double-digit contribution would be substantial, given the scale and size of the business in online ordering.

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Zomato, the online food delivery platform, has been served with a show cause notice (SCN) by the Goods and Services Tax (GST) office, amounting to ₹401.7 crore ($4.

Zomato, the online food delivery platform, has been served with a show cause notice (SCN) by the Goods and Services Tax (GST) office, amounting to ₹401.7 crore ($4.8 billion). The reason: for allegedly not paying taxes on delivery fee collections from customers between October 29, 2019, and March 31, 2022. Zomato's shares experienced a downturn, opening 1.69 per cent lower on BSE at ₹124.90 and 1.77 per cent lower on NSE at ₹124.80. Zomato, in a regulatory filing, clarified that the sum in question is derived from delivery charges collected from customers on behalf of delivery partners during the specified period. The development adds to the challenges faced by Zomato, as it deals with regulatory scrutiny and financial obligations. This SCN comes at a time when Zomato's share prices are showing signs of recovery after a period of volatility. In parallel news, Zomato's Live Entertainment vertical is set to expand its presence by entering new cities and creating fresh intellectual properties (IPs). This move aligns with Zomato's recent introduction of a dedicated tab on its app, facilitating users in discovering and engaging with anticipated events across cities. Zomato Live Entertainment, launched in 2018, started with the Zomaland IP, a food carnival and music festival spanning eight cities, attracting approximately 200,000 customers with its immersive blend of food, entertainment, and music. Zeenah Vilcassim, CEO of Zomato Live, said that the company aims for a substantial double-digit contribution to Zomato's topline within three years. She asserted that despite Zomato Live's current contribution being a single-digit percentage to Zomato's overall revenue, achieving a low double-digit contribution would be substantial, given the scale and size of the business in online ordering. WATCH WION LIVE HERE

Zomato share price dips after $4.8 bn tax show cause notice

Singapore is gearing up for an increase in sales tax in 2024 as the government takes measures to strengthen its financial position in anticipation of heightened social spending, driven by the city-state's rapidly ageing population. &nbsp;

The goods and services tax, affecting a range of items from groceries to luxury goods, will see a one-percentage-point hike to 9 per cent starting Monday, marking the second phase of a two-stage rate increase. This follows the increment earlier this year when the sales tax rose from 7 per cent to 8 per cent, after remaining unchanged for 15 years.

The upcoming tax hike is compounding concerns over the already escalating living costs, prompting opposition lawmakers to call for a delay in its implementation.

Core inflation in Singapore moderated to 3.2 per cent in November from its peak of 5.5 per cent in the early months of the year.

However, it remains stubborn, with the central bank projecting an average of 2.5–3.5 per cent in 2024.

With a quarter of the population predicted to be 65 or older by 2030, the government argues that the tax adjustment is essential to strengthen state finances in anticipation of the anticipated spike in healthcare expenses and population ageing.

Deputy Prime Minister Lawrence Wong has defended the decision, emphasising that deferring the GST increase would only lead to more significant challenges in the future, limiting resources to address growing fiscal needs. &nbsp;

In response to the potential burden on households, the government has rolled out an "assurance package" worth over S$10 billion ($7.55 billion). The package includes payouts ranging from S$200 to S$800 distributed to all adult Singaporeans this month. &nbsp;

While the tax hike raises concerns about its impact on citizens, the relief measures aim to alleviate the immediate financial strain. &nbsp;

Some retailers, like IKEA and FairPrice Group, have pledged to absorb the tax increases for the time being, with IKEA not specifying when it would conclude the initiative, and FairPrice Group committing to absorb the hike on essential items such as rice and vegetables.

(With inputs from Reuters)

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Singapore is gearing up for an increase in sales tax in 2024 as the government takes measures to strengthen its financial position in anticipation of heightened social spending, driven by the city-state's rapidly ageing population.

Singapore is gearing up for an increase in sales tax in 2024 as the government takes measures to strengthen its financial position in anticipation of heightened social spending, driven by the city-state's rapidly ageing population. The goods and services tax, affecting a range of items from groceries to luxury goods, will see a one-percentage-point hike to 9 per cent starting Monday, marking the second phase of a two-stage rate increase. This follows the increment earlier this year when the sales tax rose from 7 per cent to 8 per cent, after remaining unchanged for 15 years. The upcoming tax hike is compounding concerns over the already escalating living costs, prompting opposition lawmakers to call for a delay in its implementation. Core inflation in Singapore moderated to 3.2 per cent in November from its peak of 5.5 per cent in the early months of the year. However, it remains stubborn, with the central bank projecting an average of 2.5–3.5 per cent in 2024. With a quarter of the population predicted to be 65 or older by 2030, the government argues that the tax adjustment is essential to strengthen state finances in anticipation of the anticipated spike in healthcare expenses and population ageing. Deputy Prime Minister Lawrence Wong has defended the decision, emphasising that deferring the GST increase would only lead to more significant challenges in the future, limiting resources to address growing fiscal needs. In response to the potential burden on households, the government has rolled out an "assurance package" worth over S$10 billion ($7.55 billion). The package includes payouts ranging from S$200 to S$800 distributed to all adult Singaporeans this month. While the tax hike raises concerns about its impact on citizens, the relief measures aim to alleviate the immediate financial strain. Some retailers, like IKEA and FairPrice Group, have pledged to absorb the tax increases for the time being, with IKEA not specifying when it would conclude the initiative, and FairPrice Group committing to absorb the hike on essential items such as rice and vegetables. (With inputs from Reuters) WATCH WION LIVE HERE

Singapore implements sales tax hike amid concerns over rising living costs, demographic shift

General Motors (GM) has initiated legal proceedings against the city of San Francisco, seeking to recover over $100 million, alleging an unjustly inflated tax bill. &nbsp;

According to Reuters, the lawsuit, filed in California Superior Court, claims that GM was charged a higher tax amount than warranted due to the improper inclusion of its Cruise self-driving car unit in the calculations. GM is pursuing $108 million in recoveries, along with an additional $13 million in penalties and interest. &nbsp;

The automaker contends that Cruise, based in San Francisco, operates independently from GM, generating minimal sales and should not be factored into the parent company's tax liabilities in a city where GM's presence is limited. &nbsp;

According to the lawsuit, GM reported only about $677,000 worth of goods sold in San Francisco in 2022. &nbsp;

GM's legal action raises questions about the accuracy of the city's tax calculations and highlights the contentious relationship between the automaker and San Francisco. The lawsuit argues that the California Government Code mandates fair taxation, ensuring that city taxes accurately reflect the proportion of business conducted within its limits. &nbsp;

GM contends that the current tax calculations, particularly involving the Cruise unit, do not align with this mandate. While the funds involved represent a fraction of GM's reported $156.7 billion in sales in 2022, the legal dispute comes at a challenging time for San Francisco. &nbsp;

The city faces an $800 million budget deficit over the next two fiscal years due to pandemic-related economic challenges. Mayor London Breed has requested city agencies to implement 10 per cent budget cuts to address the fiscal gap.

The legal action follows an October incident involving Cruise in San Francisco, resulting in safety concerns and regulatory scrutiny. The aftermath prompted Cruise to withdraw its U.S. cars from roads, conduct a safety review, and reduce its staff by nearly 25 per cent nationwide. &nbsp;

(With inputs from Reuters)

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General Motors (GM) has initiated legal proceedings against the city of San Francisco, seeking to recover over $100 million, alleging an unjustly inflated tax bill.

General Motors (GM) has initiated legal proceedings against the city of San Francisco, seeking to recover over $100 million, alleging an unjustly inflated tax bill. According to Reuters, the lawsuit, filed in California Superior Court, claims that GM was charged a higher tax amount than warranted due to the improper inclusion of its Cruise self-driving car unit in the calculations. GM is pursuing $108 million in recoveries, along with an additional $13 million in penalties and interest. The automaker contends that Cruise, based in San Francisco, operates independently from GM, generating minimal sales and should not be factored into the parent company's tax liabilities in a city where GM's presence is limited. According to the lawsuit, GM reported only about $677,000 worth of goods sold in San Francisco in 2022. GM's legal action raises questions about the accuracy of the city's tax calculations and highlights the contentious relationship between the automaker and San Francisco. The lawsuit argues that the California Government Code mandates fair taxation, ensuring that city taxes accurately reflect the proportion of business conducted within its limits. GM contends that the current tax calculations, particularly involving the Cruise unit, do not align with this mandate. While the funds involved represent a fraction of GM's reported $156.7 billion in sales in 2022, the legal dispute comes at a challenging time for San Francisco. The city faces an $800 million budget deficit over the next two fiscal years due to pandemic-related economic challenges. Mayor London Breed has requested city agencies to implement 10 per cent budget cuts to address the fiscal gap. The legal action follows an October incident involving Cruise in San Francisco, resulting in safety concerns and regulatory scrutiny. The aftermath prompted Cruise to withdraw its U.S. cars from roads, conduct a safety review, and reduce its staff by nearly 25 per cent nationwide. (With inputs from Reuters) WATCH WION LIVE HERE

General Motors sues San Francisco for $121 mn over alleged tax overcharge

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