Shares of Godrej Industries jumped over 4 on the Bombay Stock Exchange after its arm Godrej Agrovet got Sebi’s approval to raise nearly Rs 1,000-1,200 crore through public listing of stocks.
Cheering the news, shares of the company gained as much as 4.20 per cent to hit an intra-day high of Rs 658.35 apiece on the Bombay Stock Exchange.
In a similar fashion, shares of the company were trading 2.83 per cent higher at Rs 649.30 apiece on the National Stock Exchange.
Meanwhile, the broader benchmark BSE Sensex was trading at 32,049.22, up 167.06 points, or 0.52 per cent, at 12:50 hours.
As per reports, Finance Minister Arun Jaitley had last week stated that 38.38 lakh businesses had filed their returns and paid Rs 92,283 crore in taxes for the month of July – the first month of implementation of independent India’s biggest tax reform, the GST.
Commenting on the issue, a Government Official told the media, “Since then the number of returns filed has gone up to 44 lakh and over Rs 2,500 crore more has come in as taxes. The collections so far are from 74 per cent of the total taxpayer base and more people are likely to come in when the final returns are filed in GSTR 1, 2 and 3.”
As per reports, the GST, which unifies more than a dozen central and state levies like excise duty, service tax and VAT, kicked in from July 1 and requires all tax payers to register on the new tax platform, GST Network.
The Goods and Service Tax (GST) which will come in force from July 1st, will unify the country’s economy into a common market and eliminate a string of central and state levies.
The act is significant as the BMC gets a considerable share of its revenue through octroi, which will now be scrapped with the introduction of the GST regime.
Earlier, the Rajya Sabha passed four GST Bills without amendments setting the stage for the government for the launch on July 1.
Union Finance Minister Arun Jaitley had said that the GST would lead to new tax regime.
The four bills passed on April 6 – the Central GST bill, the Integrated GST bill, the Union Territories GST bill and the compensation law – have already been cleared by the Lok Sabha, where the government enjoys majority.
Complimenting NBCC for sustained increase in turn over and profits over the last few years, Naidu asked the company management to further expand and diversify its business profile by forging partnerships with State Governments and other agencies.
The minister also directed the management to immediately initiate action on seven redevelopment projects in Delhi entailing an investment of about Rs 35,000 cr, recently approved by the Union Cabinet. Naidu discussed in detail the progress of ongoing projects and future initiatives of NBCC.
A.K.Mittal, Chairman and Managing Director of NBCC informed the minister that the company has acquired new project orders for Rs 17,516 cr during 2015-16 and with total work orders of over Rs 70,000 cr, NBCC is the second largest construction company in the country. The company has declared a total dividend of Rs 120 cr for 2015-16 of which the Government’s share was Rs 108 cr.
NBCC has recorded the highest revenue of Rs 5,838 cr during 2015-16, marking an increase of 32 per cent over the previous fiscal.
“There are region-wise targets. Our target as on date is Rs 46,739 crore for the year, which is allocated to TDS (tax deduction at source) out of the Rs 1,15,000 crore overall target (for the Delhi region). So, you can imagine how important is TDS,” Chief Commissioner of Income Tax-TDS, Nutan Sharma said on the sidelines of an industry event.
She delivered the inaugural address at a seminar on ‘Tax Deduction at Source’ organised by an industry body.
The top tax official noted that TDS collection has risen very fast over the last few years and it is one of the main sources of tax collection.
“Everyone knows from top to bottom that TDS is our main source of collection. It is main source of our revenue not only in direct taxes, but in the overall collection of the government,” Sharma said in her address.
For the Delhi region, the tax department has been witnessing a consistent growth of 14-15 per cent in TDS collection since restructuring of the department in 2014.
“Insofar as Delhi is concerned, TDS is a very big source of revenue collection and 45 per cent of the entire collection of Delhi comes through TDS,” she added.
Pointing to difficulties faced by deductors in TDS collection, the chief commissioner assured the audience that the government is trying to improve the system.
“We are trying to bring most of the things under the TDS net and that is to facilitate taxpayers only and make them more compliant also. We have been revising it, considering wherever rates are higher and are lowering it. Wherever some more items have to be brought under TDS, we are doing that,” Sharma said.
She disclosed that all these efforts are paying off as tax payers are becoming more compliant.
In the same vein, she spoke of the need for tax officials to take stern action in cases of default as “the government can’t forgo the taxes”.
“In a developing country like India, we can’t afford that. The taxes which are needed today have to come today only,” Sharma made it clear.
These rates were 67.3702 and 76.3776 respectively, yesterday.
According to an RBI statement, the exchange rates for the pound and the yen against the rupee were quoted at 92.9553 and 66.45 per 100 yens, respectively, based on reference rates for the dollar and cross-currency quotes at noon.
The SDR-rupee figure will be based on this rate, the statement added.
“Foreign Institutional Investors (FIIs)/Registered Foreign Portfolios Investors (RFPIs) can now invest from the existing 100 per cent up to 80 per cent of the paid up capital of M/s IIFL Holdings Limited (Formerly India Infoline Limited) under the Portfolio Investment Scheme (PIS)”, RBI said.
RBI said the company has passed resolutions at its Board of Directors’ level and a special resolution by the shareholders, agreeing for decreasing the limit for the purchase of its equity shares by FIIs/RFPIs.
Reacting to the news, shares of the company declined as much as 3.29 per cent in intra-day trade to Rs 222 a piece on Bombay Stock Exchange.
In a similar fashion, shares of the company fell 3.02 per cent to Rs 221.65 apiece on National Stock Exchange.
Meanwhile, the broader benchmark BSE Sensex was trading at 26,302.12, down 333.63 points, or 1.25 per cent, at 11:48 hours.
This is the second largest Exim Bank credit line to any country, the Bank said in a statement here today, adding the agreement was signed on April 28.
With this, the Exim Bank has so far extended two LoCs to Mongolia, on behalf of the Centre, taking the total value of LoCs to USD 1.02 billion.
The first LoC of USD 20 million was extended in July 2011 for financing the India-Mongolia joint information technology education & outsourcing center project in Mongolia.
With this LoC, the Exim Bank has in place 204 LoCs covering 63 countries in Africa, Asia, Latin America, the Oceania and the CIS, totalling credit commitments of over USD 15.28 billion, available for financing exports from the country.
Under these LoCs, Exim Bank will reimburse 100 per cent of the contract value to the Indian exporters, upfront on the shipment of equipment and goods/ provision of services.
Exim Bank’s LoCs afford a risk-free, non-recourse export financing option to domestic exporters.
HealthCare Global Enterprises (HCG) and Bharat Wire Ropes, will hit the capital markets this week to tap the upbeat investor sentiments, reported PTI.
The initial public offer of HCG will open on March 16 and close on March 18, while that of Bharat Wire Ropes will begin on March 18 and conclude on March 22.
The IPO of HCG comprises fresh issue of up to 1.16 crore equity shares and an offer for sale of up to 1.82 crore shares by its existing shareholders. PIOF, an investment vehicle of Azim Premji’s PremjiInvest, plans to sell shares through offer for sale. PIOF holds 21 per cent stake in the company.
The company has fixed the price band at Rs 205-218 for its IPO.
The proceeds of the issue will be used for purchasing medical equipment, investment in IT software, services and hardware, pre-payment of debt crore and for other general corporate purposes.
Kotak Mahindra Capital Company, Edelweiss Financial Services, Goldman Sachs (India) Securities, IDFC Securities, IIFL Holdings and Yes Bank are the book running lead managers to the issue.
Bharat Wire Ropes, a speciality wire ropes manufacturing company, aims to raise Rs 70 crore through its IPO. The offer would also include reservation of equity shares worth Rs 3.5 crore for subscription by eligible employees.
Proceeds of the issue would be utilised for setting up a manufacturing plant at Chalisgaon, Maharashtra and for other general corporate purposes.
The issue is being managed by Intensive Fiscal Services and BOB Capital Markets.
The shares of these companies are proposed to be listed on the BSE and the National Stock Exchange (NSE).
Every New Year brings with it various economic events which tend to catch people by surprise. No matter how carefully you consider the data presented, it is not always possible to make an accurate prediction. For example, there weren’t many people who foresaw the slump in oil prices that began in the 2014 summer. Neither were they able to predict the sharp fall of the Chinese economic growth.
However, there are still other events that you can make a reasonable prediction based on careful consideration of economic data. As such, here are a few economic trends that might come to the fore in 2016 and thereby shape global economy.
The State of the Chinese Economy
For the last few years, China kept stunning the world with its economic growth rates. Sometimes, they were three times more than what the United States enjoyed. Of course, the capital investment directed by the government had a major role to play in this matter. When the global financial crisis stuck, China remained more or less unfazed thanks to the huge boost provided by the government
Unfortunately, most of this investment was made possible by growing the debt instead of profits. Now, China will have to shift the wealth from the powerful to the common Chinese household. Suffice to say, that will neither be politically easy nor fast. This trend is likely to be a recurring theme in 2016 and more.
The American Economy will affect the Global Economy
It may come as a surprise to many but it is a fact that the performance of the US economy is currently the best in its class. After all, the rest of the developed world is experiencing a slower growth compared to America, especially with the decline that China is experiencing.
More importantly, the largest trade deficit in the world currently belongs to the United States. In other words, the other major economies in the world such as China, Japan and Germany are depending on the demand in the United States in order for their economies to experience growth. This situation is likely to continue through 2016 where the global economy leans on the consumer in America.
The Indian Economy Can Experience Major Growth
The International Monetary Fund believes that the Indian economy is poised to grow at a rate of 7.3% in 2016. That will be faster than even what the Chinese can muster up with the inflated numbers produced by its government. It is likely that 2016 will become a turning point. India may not be as technologically advanced as China but it may turn out to become the fastest growing economic in the large sector.
India has also been affected by the same issues that have slowed down economies in other emerging markets. However, demographics have proven to be India’s advantage. In the coming decade, the Indian workforce may grow up to be bigger than even the Chinese.
Of course, nothing can be said to be certain about the future of the global economy. Europe might end up on the edge of an economic crisis, for example. One can only hope for the best.