Tax laws determine a person's residency status based on their stay in India. To ease compliance for non-resident taxpayers, introducing thresholds for tax residency certificates, relaxing norms for Form 10F, facilitating tax payments and refunds, and easing e-verification processes are suggested measures.
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Australian inflation has eased to a three-year low of 3.2%, raising expectations for a potential interest rate cut by the Reserve Bank of Australia (RBA). This could provide relief to mortgage holders and boost government support ahead of the upcoming election. Economists anticipate the RBA may lower rates to prevent job market downturn and economic recession.
Zepto is conducting a secondary share sale of over $200 million to boost domestic ownership from 33% to at least 40% before its planned IPO, aiming for 50% eventually. Edelweiss Financial Services and Motilal Oswal Financial Services are buying shares from global investors. Zepto, recently valued at $5 billion, seeks to double its valuation to $10 billion.
The government proposes increasing the TDS threshold on rent from Rs 2.4 lakh to Rs 6 lakh annually as announced by Finance Minister Nirmala Sitharaman in her Budget 2025 speech. This move aims to reduce TDS transactions, offering relief to small taxpayers and simplifying compliance.
US stock markets fell after President Trump announced higher tariffs on Canadian steel and aluminum. The Dow Jones dropped 625 points. Companies like Delta and Southwest Airlines revised their revenue forecasts due to uncertainty. Tesla's stock rose as Trump expressed support for the company. Major tech stocks showed stability despite the market turmoil.
IndusInd Bank shares plunged 25%, marking a 52-week low after the bank revealed accounting discrepancies in its derivatives portfolio. This triggered investor panic, leading to a severe drop in stock value. The bank faces potential financial repercussions of up to ₹2,000 crore, raising concerns over weak governance and internal controls, affecting overall banking sector confidence.
The Economic Survey indicates India's import duties have decreased over the years, aligning with global commitments. Tariffs, seen as tools for developing industries, face mixed views. Amid pressure, particularly from the US under Trump, India has raised duties in some sectors temporarily. The survey notes increased global protectionism and non-tariff barriers.
Corporate profits increased by 15.3% in FY24 due to cost rationalisation despite a sales growth of 5.5%. The services sector outshone manufacturing in both sales and profit growth. Additionally, both sectors reported an increase in operating profits and improved profit margins.
TCS reported a 4.5% year-on-year revenue increase in constant currency terms for the Dec quarter, though performance was flat sequentially due to seasonal factors and reduced discretionary spending. Revenue rose to $7.5 billion in dollar terms. Despite a mixed performance across geographies and sectors, TCS's order book grew to $10.2 billion, bolstering confidence in future growth.
Macquarie, Nomura, Kotak Institutional Equities, Kotak Institutional Equities, Morgan Stanley, HSBC
The Union Budget 2025 is poised to announce a 20% increase in capital expenditure to stimulate economic growth and reduce the fiscal deficit to 4.4% of GDP for FY26. EY anticipates measures to boost domestic demand and personal disposable incomes, ensuring India's adherence to its long-term growth objectives.