Presence of other developers in real estate projects in relevant market rules out dominance of oppos

Competition Act : Where there were many other real estate developers offering Information Technology real estate projects in relevant market of services for development and sale of commercial IT/cyber space in Gurgaon, OP was not dominant in relevant market

RBI fixes 15 April as date of closure of residual transactions of March by banks for F.Y. 2014-15

IT/BANKING/E&C : Scheme for Collection of Dues of (I) Central Board of Direct Taxes (II) Central Board of Excise and Customs (III) Departmentalised Ministries Account – Reporting and Accounting of March Transactions – Special Arrangements of Financial Year 2014-15

No block proceedings by department relying on statement of persons detained by police without conduc

IT : Where assessee was neither searched nor assets were recovered from him and there was no warrant of authorization in name of assessee, addition as undisclosed income during block assessment was not sustainable

Co. lost its substratum after quashing of 2G license by Supreme Court was ordered for winding-up

CL : Where company had lost its substratum on account of quashing of 2G licenses by Supreme Court and there was complete lack of faith and probity resulting in irretrievable breakdown between major shareholders of company and liabilities of company had far exceeded its assets, it was just and equitable to wind up company under section 433(f)

HC lashes out at AO for making assessment on 'Sikkim Manipal University' under repealed Sikkim State

IT : After extension of Income-tax Act, 1961 to State of Sikkim with effect from 1-4-1990, Sikkim State Income-tax Manual, 1948, stands repealed and assessments made thereunder for assessment years 1997-98 to 2005-06 were without authority of law, non est and nullity

Dividend paid by foreign Co. abroad for shares deriving substantial value from Indian assets not tax

IT/ILT : Section 9 of the Income-Tax Act, 1961 - Income Deemed to Accrue or Arise In India - Clarification on Explanation 5 to Clause (I) of Sub-Section (1) of Section 9

Ford Looks To Triple Exports From India In 5 Years

American auto major Ford aims to triple exports from India over the next five years with its new $1 billion plant here becoming operational.

The plant, the company's second in the country, which was inaugurated by Gujarat Chief Minister Anandiben Patel here today, will also double its production capacity in India.

"With manufacturing facilities in Chennai and Sanand, we expect to triple our exports from India in the next five years," Ford Motor President and CEO Mark Fields told reporters here.

At present, Ford India exports around 60,000 to 70,000 units annually to over 35 global markets from its Chennai-based facility. With this new plant, the company is targeting a total of 50 export markets. The Sanand plant, which has come up in an area of 460 acres, Fields said, will also double the company's production capacity in India.

"The plant has an installed capacity of 2.4 lakh vehicles and 2.7 lakh engines annually. Ford India will now have a total installed capacity of rolling out 4.4 lakh vehicles and 6.1 lakh engines every year," he added.

Elaborating on the new plant, Fields said the company would start manufacturing its new compact sedan Figo Aspire from the facility later this year.

Ford India President and Managing Director Nigel Harris said the plant is a major step for the company to become a major manufacturer of high quality small cars for local and global markets.

"The new plant will not only help us grow business in India but would also help to make India as an export hub," he added. Chief Minister Anandiben Patel said the new plant has given employment to over 4,000 people directly and another 2,000 from ancillary units around the facility.

Gujarat is becoming an automobile manufacturing hub with the likes of Tata Motors and Maruti Suzuki setting up their plants in the state.

Source:dnaindia.com

India Considers New Strategy To Boost Rice Exports To Africa

India's rice exports to African destinations have been reportedly impacted by increased supplies from Thailand and price competition with other exporting nations such as Vietnam and Pakistan.

On the other hand, India's rice exports to Nigeria, Africa's largest importer of rice, have been affected because it is facing foreign exchange problems due to oil price decline and depreciation of its local currency against dollar. Earlier, in August 2014, India’s rice exports to African countries were impacted due to the spread of the Ebola Virus Disease (EVD).

The Commerce Ministry of India has decided to formulate a new and specific strategy to boost rice exports, including basmati and non-basmati , to Africa, according to local sources. As part of the new strategy, the Ministry is planning to send a delegation to some African countries and hold meetings with potential rice importers. "There is a higher demand anticipated from African countries for rice and India can tap that potential," a Commerce Ministry official was quoted as saying.

The Ministry is understood to have taken this decision as India's rice exports in February 2015 declined by about 12.36% to around $649 million compared to around $740 million in February last year.

While Iran, Saudi Arabia, Iraq, Kuwait and the UAE are India's major export destinations for basmati rice, Nigeria, Benin, Bangladesh, Senegal, South Africa and Liberia are major export destinations for non-basmati rice.

India exported around 2.86 million tons of rice (including 75,686 tons of basmati and 2.79 million tons of non-basmati) to African destinations in April 2014 - January 2015 period of FY 2014-15, compared to around 3.93 million tons (including 69,136 tons of basmati and 3.86 million tons of non-basmati) in FY 2013-14, according to the Agricultural and Processed Food Products Export Development Authority (APEDA).

India exported around 9.57 million tons of rice (including 2.92 million tons of basmati and 6.65 million tons of non-basmati) in the first ten months of FY 2014-15 (April - March), up about 7% from around 8.96 million tons (including 3.09 million tons of basmati and 5.87 million tons of non-basmati) exported during the same period in FY 2013-14, according to APEDA data.

Source:oryza.com

Govt. notifies various entities for the purpose of exemption under Section 10(46)

IT : Section 10(46) of the Income-Tax Act, 1961 - Exemptions - Statutory Body/authority/board/commission - Notified Body or Authority – Kerala Toddy Workers' Welfare Fund Board

RBI lays down norms for 'International Financial Services Centre'

FEMA/ILT : FEM (International Financial Services Centre) Regulations, 2015

Castor Oil Exports To Rise 33% This Year

India’s castor oil exports are likely to rise by 33% this year on rising demand from United States, China and European Union (EU), the three largest importers of the medicinal oil.

Exports of castor oil had taken a hit last year due to weak demand trend globally, dropping to around 429,000 tonne from 460,000 tonnes during 2012-13.

“Castor oil exports likely to hit 570,000 tonne at least due to robust demand from developed countries,” said Kanubhai Thakkar, Managing Director of Gokul Refoils & Solvent Ltd, the producer of “Gokul” brand edible oil and one of the largest exporters of castor oil in India.

Castor oil and its derivatives find uses in agriculture, cosmetics, electronics & telecommunications, food, lubricants, paints, inks and adhesives, paper, perfumeries, pharmaceuticals, plastics and rubber and textile chemicals.

Rising demand of castor oil, however, may pose a threat to castor seed availability in the Indian market due to shortage of output this year. India produces around 85% of global castor oil.

China has reportedly covered 85% of its annual need of over 180,000 tonne oil so far. Europe and United States too have covered an estimated 85% of its need of 120,000 and 60,000 tonne oil so far. While export demand from China, US and EU is unlikely to pick up as they wait for arrival of the new crop and rates to fall further, that from other countries is set to rise in the coming months.

Amid fears of supply shortage next year, demand from perennial buyers may also go up, said Thakkar, who estimates castor seed crop this year at 1 million tonne.

Meanwhile, a survey conducted by Religare Commodities shows India’s castor seed output will decline by 11% to 1.20 million tonne this year as compared to 1.35 million tonne during last year. Acreage was lower this year by 10% at 0.98 million ha as compared to 1.09 million ha last year.

“Total area under castor crop was estimated at 0.98 million ha, a decline of 10% from the previous year. Given that the unseasonal rainfall and hailstorms hit the standing crop, total output would not surpass 1 million tonne target. Thus, there will be an acute shortage of seed in lean season when demand rises post June,” said Thakkar.

Hyderabad–based independent firm Transgraph Consulting in a separate survey forecast India’s castor seed output at 1.04 million tonne due to low crop germination on extremely high temperature.

At an oil extraction rate between 46%, total seed requirement stands at around 1.5 million tonne. But assuming carrying over stocks at 400,000 tonne, demand will nullify surplus availability towards the current year end.

Castor prices have been under pressure for the last several months. According to Thakkar, farmers should fetch at least Rs 4,000-4,500 a quintal to remain in castor sowing. Any realisation below that is a loss for farmers which would have a cascading affect in future sowing, he added. Currently, castor seed is trading at Rs 3,400 a quintal in spot and futures market.

“The sustained growth of the industry is dependent on the delicate balance i.e. reasonable and remunerative price for the farmers on one hand, and affordable and stable price for the industry on the other," said Abhay Udeshi, chairman of SEA Castor Seed & Oil Council. He projected castor crop potential at 2.9 million tonne (equivalent to 1.3 million tonne of castor oil) by 2025.

Source:business-standard.com

India's Gold Imports To Explode In March

The latest gold trade suggests that the country may witness record imports of gold during the month of March this year. As per preliminary data, the imports during the month have already crossed 130 tonnes during the initial three weeks of March this year. Estimates suggest that monthly gold imports may well exceed 150 tonnes during the month.

The projected imports during March this year are alarmingly high when compared with the recent past. The country’s gold imports were limited to nearly 39 tonnes in January this year. The imports jumped higher to almost 50 tonnes in February. However, March ’15 preliminary import data suggests three-fold jump in gold imports during the third month of the year. The daily trade data for the month of March also indicates that gold shipments to India from Ghana have gained significant momentum during the month.

The sudden surge in gold imports is mainly attributed to the increased procurement of the metal ahead of the upcoming festive season demand. Moreover, the government had recently relaxed certain norms on gold imports, thus making it easier for importers to secure gold. The fall in gold prices too spawned new life to gold shipments into the country.

Industry sources indicate that the rising gold demand in India may continue to lend support to gold in shorter term. In the run-up to the budget, gold imports had remained muted. The purchases by local traders which were deferred in anticipation of favorable duty cut announcement in the budget have also started to pick up.

Meantime, new gold schemes such as gold deposits and gold sovereign bonds are less likely to affect the country’s gold imports immediately, as it may take more time for the government to formulate final structure of these plans.

Source:metal.com

Rupee Slumps To 62.75 On Month-End Dollar Demand

The rupee was trading weak by 42 paise at 62.75 against the dollar on month-end dollar demand from banks and importers at the Interbank Foreign Exchange market today.

After opening weak by 31 paise to 62.64, the rupee hovered in the range of 62.50 and 62.77 in the afternoon trade.

Forex dealers attributed the fall in rupee to increased demand for the dollar from importers and a weak domestic equity market but the greenback’s weakness against other currencies overseas, capped the rupee’s losses.

The rupee had snapped its seven-day winning spree by slipping seven paise to close at 62.33 against the dollar in yesterday’s trade.

Meanwhile, the BSE index Sensex tumbled 654.25 points or 2.33 per cent at 27,457.58 due to escalating tensions in West Asia after Saudi Arabia and its Gulf Arab allies launched air strikes in Yemen.

Source:thehindubusinessline.com

Goods having HSN classification under Kerala VAT cannot be classified as per common parlance test

VAT/CST/Excise/Customs : Kerala VAT : Based on HSN classification, 'Ujala Supreme' and 'Ujala Stiff and Shine' are classifiable as 'Synthetic organic colouring matter-Acid Violets' and 'Polymers of vinyl acetate' respectively under List A of Third Schedule to Kerala VAT Act (tax 4%); they cannot be classified under residual entry (tax 12.5%) based on common parlance or end-use based test

SEBI fixes cap on application money; requires issuer to demand 25% of issue price in case of part pa

SEBI/INDIAN ACTS & RULES : SEBI (Issue of Capital and Disclosure Requirements) (Amendment) Regulations, 2015 – Amendment in Regulations 4 and 54

SEBI allows issuer to recall or redeem debt securities prior to maturity date; amends debt securitie

SEBI/INDIAN ACTS & RULES : SEBI (Issue and Listing of Debt Securities) (Amendment) Regulations, 2015 – Amendment in Schedule I and Insertion of Regulations 17A and 20A

No prosecution against advocate for filing client's return on fake TDS certificate as it was supplie

IT: Where respondent, a tax practioner, filed a return on behalf of assessee claiming refund, in view of fact that respondent had no role in preparing TDS certificates, complainant-ITO could not initiate criminal proceedings against him on ground that refund was wrongly claimed on basis of ingenuine TDS certificates

Testing in India and delivery of report outside India amounts to 'export of service'

Service Tax : In case of carrying out testing and analysis in India and sending test report abroad, service is complete only when report is sent, received by service receiver and further action if necessary is taken by them; hence, said activity amounts to 'export of service' and is eligible for various export incentives under Excise/Customs laws