Page 45 - Finance Ministry

Infrastructure Finance Secretariat holds infrastructure outreach workshop

The Infrastructure Finance Secretariat (IFS), Department of Economic Affairs under the finance ministry, in partnership with the Madhya Pradesh government, conducted the infrastructure outreach workshop. The two-day workshop concluded on Thursday at Bhopal. This is the fourth workshop in a series of outreach workshops planned with state governments and Union Territories and key central infrastructure ministries, with the objective of understanding ground issues faced by project sponsoring authorities in undertaking large infrastructure projects, the ministry said in a statement. The workshop was inaugurated by the chief guest Ajit Kesari, Additional Chief Secretary Finance, government of Madhya Pradesh, who emphasised on a long-term vision for infrastructure development by understanding the needs and aspirations of citizens and prioritising the identified needs, it said. Challenging available models and looking for alternatives is important for optimal utilisation of resources, th

Leave encashment limit for non-govt employees hiked to Rs 25 lakh: CBDT

The CBDT circular dated May 24 stated that the increased leave encashment limit will be applicable from April 1, 2023

Highway contractors to convert bank guarantees into surety bonds: Gadkari

Union Minister Nitin Gadkari has said the finance ministry has agreed to allow contractors engaged by state-owned NHAI and NHIDCL to convert their bank guarantees into insurance surety bonds. Gadkari had recently said changes will be made to the surety bond offering to make it more lucrative as no contractor is buying it because of the strict conditions imposed by insurance regulator Irdai. "I conveyed to the road transport secretary that he should talk to the finance secretary once to give it (allowing conversion of bank guarantee to surety bonds) from retrospective effect. "In NHAI, in the road ministry and NHIDCL whatever bank guarantees are there, if they want, they can convert them into insurance surety bonds. Permission should be given for this," Gadkari said on Wednesday at an event organised by the National Highways Authority of India. Last year in December, Gadkari launched the country's first-ever surety bond insurance product with an aim to reduce the dependence on ...

India poised for world-beating growth, says CEA V Anantha Nageswaran

Data next week is likely to show the economy expanded 7% in the year that ended March

India witnessing high growth in aerospace: FM to Boeing seeking investment

Finance Minister Nirmala Sitharaman on Tuesday said India's aerospace and civil market is on a high growth trajectory and invited US-based aircraft maker Boeing to ramp up investment in the country. During an interaction with a delegation from Boeing comprising of their global senior leadership team, Sitharaman highlighted the opportunities available in India for relocating companies in the form of not just a captive market but also the chance to be a hub for serving the region as a whole and this can be rewarding for companies from a business point of view. "In reference to the recent bulk order for aircraft placed by Indian companies, FM stated that India's aerospace and civil market is on a #HighGrowth trajectory & also informed the group about aircraft leasing operations being undertaken by banks in GIFT-IFSC @GIFTCity," a finance ministry said in a series of tweets. In the context of India's geographical advantage, the minister underlined India's focus on repositioning itself

First climate development financial institution runs into FinMin roadblock

Ministry ready to offer provisions to ease global climate funding

April macroeconomic data shows strong start to FY24: Finance Ministry

The report stated that inflationary pressures across countries are waning with commodity prices easing in the current year following weakened prospects for global demand and improving supply chains

There are downside risks to growth due to external sectors, weather: FinMin

There are downside risks to growth and upside risks to inflation, partly channelled through the external sector and partially originating from weather uncertainties, the finance ministry said in a report on Monday. Consumption has shown steady and broad-based growth, while investment in capacity creation and real estate is finding traction, said the April edition of the Finance Ministry's Monthly Economic Review. "April is too early to forecast the economic outcomes for the entire year. A good beginning, though, is a harbinger of positive outcomes," it said. Observing that the FY24 for the Indian economy opened on the back of strong activity witnessed in the last quarter of the previous fiscal, the report said GST collections in April, which marked the commercial activity of the last month, underwent a level shift pushed up by the widening of the tax base and heightened economic activity. Index of Industrial Production (IIP) and Eight Core Industries Index (ECI) averaged steady gro

No TCS on overseas payment via international credit, debit cards: FinMin

The government on Friday said no TCS will be levied on international spending of up to Rs 7 lakh a year by using debit or credit cards. Facing backlash from a wide section of people, the Finance Ministry said the move is aimed at removing procedural ambiguity with regard to Liberalised Remittance Scheme (LRS) and the levying of Tax Collected at Source (TCS). The ministry's decision earlier this week to bring international credit card spending under the RBI's liberalised remittance scheme (LRS) and the consequent levy of 20 per cent TCS has evoked sharp reactions from experts and stakeholders. "To avoid any procedural ambiguity, it has been decided that any payments by an individual using their international Debit or Credit cards up to Rs 7 lakh per financial year will be excluded from the LRS limits and hence, will not attract any TCS," the ministry said in a statement. Currently, payments of up to Rs 7 lakh for medical treatment abroad and towards education do not attract TCS. TCS

FinMin applies amnesty scheme for traders failing to meet export obligation

The finance ministry has operationalised the amnesty scheme for traders who defaulted in export obligation under the Advance and EPCG authorisation scheme. As per the amnesty scheme, which was announced in the Foreign Trade Policy on March 31, EXIM traders who failed to meet the export obligation under the Advance and EPCG (export promotion for capital goods) authorisation scheme can come clean by paying customs duty and interest, subject to a ceiling of 100 per cent. The Central Board of Indirect Taxes and Customs (CBIC) asked principal commissioners/commissioners to ensure that the exporters approaching for paying the duty, etc. are registered with the Directorate General of Foreign Trade (DGFT). "These cases under the scheme be monitored and tracked so that there is efficient handling and expeditious closure of these old cases of bona fide default in a seamless manner," the CBIC said in a circulate dated May 17. The authorisation holder choosing to avail this scheme will have to

DPIIT takes up startup taxation issue with finance ministry: Secretary

The Department for Promotion of Industry and Internal Trade (DPIIT) has taken up the taxation issue of startups with the finance ministry, a top government official has said. "Startup India does provide such policy advocacy, particularly on the taxation issue. We have been taking that particular issue that many startups are worried about funding from non-residents...and the initial valuation of the startup, how that tax is calculated. We have taken it up," DPIIT Secretary Rajesh Kumar Singh said here at an industry interaction. Post the amendments proposed in the Finance Bill, concerns have been raised over the methodology of calculation of fair market value under the two different laws. The Finance Act, 2023, has amended Section 56(2)(viib) of the I-T Act, thereby bringing overseas investment in unlisted closely held companies, except DPIIT-recognised startups, under the tax net. The Income Tax department is expected to soon come out with certain draft rules to specify the class o

FinMin stands by 2021 Parl reply that Sebi was investigating Adani Group

As a political row erupted over SEBI telling Supreme Court that it has not been probing the Adani group since 2016, the Finance Ministry on Monday said it stands by its July 2021 written reply in Parliament that had stated that the stock market regulator was investigating some Adani group companies. After SEBI filed a fresh affidavit with the Supreme Court to strengthen its case for a six-month extension of the deadline to complete the probing allegations of fraud and money laundering against Adani Group, Congress and other opposition parties cited the finance ministry's July 2021 replies in Parliament to ask who was misleading. "The government stands by its reply in Lok Sabha on 19th July 2021 to Q. No. 72, which was based on due diligence and inputs from all concerned agencies," the Finance Ministry tweeted. This was in response to Congress spokesperson Jairman Ramesh posting a screenshot of the written reply made by Minister of State for Finance Pankaj Chaudhary on July 19, ...

FinMin invites applications to appoint CEO and chairperson of NLMC

ACC has approved a committee to appoint executives and board members of NLMC

Govt plans unique code to identify entities involved in financial offences

The Central Economic Intelligence Bureau under the finance ministry has created a repository of about 250,000 such offenders

Sponsor banks need to proactively handhold RRBs for tech adoption: DFS

In FY22 and FY23, the Centre had decided to infuse Rs 10,890-crore into RRBs

GST e-invoicing must for businesses with turnover of Rs 5 crore or more

Lowering of e-invoicing threshold will extend the digital application to the MSME sector and benefit the business ecosystem by reducing costs, rationalising errors, and processing invoices quicker

Thennarasu replaces Palanivel Thiaga Rajan as Tamil Nadu Finance minister

The high profile Tamil Nadu Minister Palanivel Thiaga Rajan was on Thursday shifted out of the key portfolio of Finance and Human Resources Management and given the Information technology department. The move comes days after the BJP released two audio clips, claiming the voice in it was that of Thiaga Rajan, purported to be making some remarks about the assets of DMK's first family. Rajan had described the clips as "malicious and fabricated," and insisted they were digitally altered tapes. PTR, as Thiaga Rajan is addressed, thanked Chief Minister M K Stalin for allocating him the IT department. Thangam Thennarasu, the soft-spoken DMK strongman from southern Tamil Nadu, is the new Finance Minister. Industries portfolio held by him was allocated to TRB Rajaa, the three time legislator from Mannargudi constituency who was newly inducted into the Council of Ministers. Rajaa, the IT wing secretary of the DMK is the son of party treasurer and former Union Minister T R Baalu. He was ...

FinMin to take call on Rs 3,000 crore infusion into 3 PSU general insurers

Finance Ministry will take a call on Rs 3,000 crore capital infusion this fiscal based on financial performance of three loss-making public sector general insurance companies. According to sources, the finance ministry last year had asked these three insurers -- National Insurance Company Limited, Oriental Insurance Company Limited and United India Insurance Company -- to chase bottomline rather than topline and underwrite only good proposals. The FY'23 financial numbers would give some idea about the impact of restructuring initiated on the profitability numbers and the solvency margin, sources said. The solvency margin is the extra capital the companies must hold over and above the claim amounts they are likely to incur. It acts as a financial backup in extreme situations, enabling the company to settle all claims. It is noted that the government last year provided Rs 5,000 crore capital to three insurers -- National Insurance Company Limited, Oriental Insurance Company Limited a

Finance ministry's May economic report may be FY23 Eco Survey update

It could be the first time that CEA would use MER to give a detailed analysis of last FY

FM Sitharaman to review state of economy at FSDC meeting on Monday

Finance minister Nirmala Sitharaman will review the state of the economy amid global and domestic challenges at a meeting of the Financial Stability and Development Council (FSDC) on Monday. The 27th meeting of the high-level panel to be held here will be attended by all financial sector regulators, including RBI Governor Shaktikanta Das, sources said. This would be the first meeting of the FSDC after the passage of Rs 45 lakh crore Budget for 2023-24 with greater emphasis on capital expenditure with an outlay of Rs 10,00,961 crore. The FSDC is the apex body of sectoral regulators, headed by the Union finance minister. The meeting will review the current global and domestic economic situation and financial stability issues, including those concerning banking and NBFCs in view of failure of Silicon Valley Bank and Signature Bank and liquidity pressure faced by Credit Suisse, according to the sources. The council would review the progress of measures approved earlier for further ...