On matters of taxation

My Photo
Location: Chennai, Tamil Nadu, India

Tuesday, January 25, 2011

There is a need to speed up the litigation procedure

Tax law as M&A facilitator

Much has been written about the funding aspects of the iGATE-Patni deal. Here is a look at the transaction from a taxation perspective, as extracted from a recent email exchange between Business Line and Mr Sujit Sircar, CFO, iGATE ( Excerpts from the interview:


Thursday, January 07, 2010

'For various reasons, the Kelkar Committee has never been implemented in its fullest form and shape'

Promise of a Code and a tax

As 2009 comes to a close, India Inc. and individual taxpayers alike would want to reflect on the overall thrust and direction and implementation of tax policy initiatives in India in this decade, begins Sudhir Kapadia, Tax Partner with Ernst & Young, India. “Tax policy, the lost decade?” he wonders, though, in the course of a recent email interaction with Business Line.


Friday, November 20, 2009

Solar power is an almost infinite energy source

Solar power needs funding focus

The ‘National Solar Mission’, expected to be released on November 14, 2009, is one of the eight missions identified in the Prime Minister’s National Action Plan on Climate Change (NAPCC). Quite naturally, therefore, expectations within the solar power community are high that the mission document will provide the impetus the industry seeks, says Santosh Kamath, a director in the advisory practice of KPMG.


Wednesday, August 19, 2009

Expenditures rise to meet income

How about a one-line code!

To all those who always felt incomplete only because of not knowing the income-tax law, the golden opportunity is soon to come, in the form of a fructified Direct Taxes Code, once the due process of Bill-turning-into-an-Act is over. The baseline has been drawn and we the novices and the tax experts are all on that, especially after Chiddu’s chiding of all the professionals who wanted to read the Code through the lens of the existing Income-Tax Act. Let’s get g oing, therefore.


F for ‘finance charges'

The code, from A to Z

The best way to read anything is from A to Z. So, here is a quick guide to the new tax code.
First, A for ‘asset,’ and it means a business asset or an investment asset. What is business? It includes any trade, commerce or manufacture; any adventure, or concern of that nature; any profession; and any vocation.
Moving to C, let’s start with ‘child’, which, in relation to an individual, includes a stepchild and an adopted child of that individual. Relationship can be cultivated, you know; and ‘cultivation’ in the code includes any process ordinarily employed by a cultivator or receiver of rent in kind to render the produce raised or received by him fit to be taken to market.


Friday, July 24, 2009

Small enterprises, especially the individually-owned, lack the resources to keep organised records of their economic activity

Presumptive taxation should not be viewed as retrograde Detaxification

A Budget proposal that has attracted a lot of attention, interest and excitement among small businesses is the presumptive taxation scheme. The Finance Bill, 2009 seeks to extend the scheme to all businesses with gross receipts not exceeding Rs 40 lakh; at present, the presumptive scheme is applicable to three businesses — civil construction, retail trade and transporters. Presumptive income taxation is employed primarily in economies where ‘hard-to-tax’ taxpayers form the majority of the population and administrative resources are scarce, observes Mr T. G. Suresh, a Chennai-based chartered accountant, specialising in direct taxes.


Monday, March 30, 2009

'Evasion has become an art, though not a desirable one'

Top drivers of service tax

Born in 1994, and now aged 15, service tax is a healthy teenager, observes Mr S. Jaikumar, founder of Swamy Associates, Chennai. “With the developing of muscles (in the form of enforcement) I am sure it will grow stronger in the coming years,” he adds, during the course of a recent interaction with Business Line.


Monday, March 09, 2009

'Cost reduction and optimisation of process are of prime importance to cope with today’s scenario'

Developing R&D thru tax regimes

India does have a beneficial R&D (research and development) regime from a tax perspective, says Mr K. R. Sekar, Partner, Deloitte Haskins & Sells, Bangalore. He feels, however, that the R&D incentive regime can be made more robust and attractive by providing for higher super deduction, government grant for R&D, and extending the benefits to all industries.