Lok Sabha passes budget without debate; both Houses adjourn amid din
The Lok Sabha passed without any debate the Finance Bill 2018 and the Appropriation Bill to approve spending for the next financial year as opposition parties continued their protests. Finance minister Arun Jaitley moved 21amendments to the Bill, which contains taxation proposals for 2018-19, which were approved by voice vote over the din of the protests. The Appropriation Bill, which detailed spending plans of government ministries and departments, was also approved by a voice vote, marking the end of the budget process in the Lok Sabha. The Opposition has stalled the second leg of the budget session of parliament, seeking debate on the Punjab National Bank fraud, Cauvery waters sharing and special package for Andhra Pradesh.
LIC a big investor in many companies in bankruptcy process
ET Intelligence Group: At a time when state-owned banks are in the cross hairs for lending to companies that eventually failed to service the debts, not many would be aware that the Life Insurance Corporation of India (LIC), country’s largest life insurance company, has made investments of significant magnitude in some of these companies. LIC has been an investor in several companies which are in the list of applications admitted by National Company Law Tribunal (NCLT) under the Insolvency and Bankruptcy Code, 2016 (IBC). The list includes Alok Industries, ABG Shipyard, Amtek Auto, Mandhana Industries, Jaypee Infratech, Jyoti Structures, Rainbow Papers and Orchid Pharma.
CBI can include section 409 of IPC in first Nirav Modi case
A special court Wednesday permitted the Central Bureau of Investigation (CBI) to incorporate into the first case of the more than Rs 13,000-crore banking fraud stringent penal charges that attract potential life terms for the accused, including absconding diamond merchant Nirav Modi. Section 409 of the Indian Penal Code, which makes an accused liable to the maximum sentence of life imprisonment, will now apply to the first case involving absconding diamond merchant Nirav Modi and companies controlled by him, and accused staffers at the Brady House branch of the Punjab National Bank (PNB).
LS passes Finance Bill 2018; unlisted stocks to get indexation benefits
he Lok Sabha on Wednesday passed the Finance Bill 2018, allowing the benefit of inflation adjustments to stocks that were unlisted till January 31 while levying long-term capital gains (LTCG) tax. The move might provide tax benefits to shareholders of the National Stock Exchange (NSE), others who have invested in employee stock ownership plans (ESOPs), and in certain merger and acquisition cases. The Bill retained the LTCG tax without removing the securities transaction tax (STT) and the indexation benefits provided to all shares.
Income tax department asks 10 PSU firms to pay more tax
The income tax (I-T) department has asked top 10 public sector undertakings (PSUs), including State Bank of India and Oil and Natural Gas Corporation, to cough up more tax on demands of earlier years, some of which may be disputed. According to sources, this is a pre-emptive measure to ensure its target for collection is met. The final date is Thursday for payment of advance tax by companies. “As advance tax accounts for a major percentage of total direct tax collection, we are anticipating growth of 18 per cent in this quarter,” said an official.
Provident Fund: PPF accounts to remain immune from attachment
Allaying investors’ fear, the government on Wednesday brought an amendment to the Finance Bill 2018-19 ensuring continued immunity to deposits under the Public Provident Fund (PPF) from attachment under any decree or order of court for recovery of debt or liability of the depositor. Investors’ were in a tizzy after the government proposed to repeal the Public Provident Fund Act, 1968 in the Finance Bill to bring the small savings scheme under the ambit of the Government Savings Banks Act, 1873, which does not provide any protection from attachment. A deposit in the Employees’ Provident Fund (EPF) is also immune from attachment.
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