Union Finance Minister P Chidambaram on Saturday, 9 November, said government would 'very closely' focus on sectors prone to chronic service tax evasion like consultancy, IT and real estate. He said he had noticed chronic tax evasion in various cities (like Chennai) in contract service, maintenance and repair service and sectors like consultancy, IT, real estate, mining, transport operators, advertisement, storage and warehouse, manpower and recruitment and security services. The minister said he believed this was true all over the country. There was no reason to believe that if one sector was not paying the tax in Kolkata, that sector would be more compliant in Chennai, he said. "Those who are in these sectors must remember that the (Finance) Department will have a closer look. These are the tax evasion prone sectors. We are going to look at these sectors very, very closely", he said. The minister was speaking at an interactive meet on Trade and Industry, Service Associations and Chambers of Commerce and Industry on Voluntary Compliance Encouragement Scheme (VCES). Referring to the scheme, he said it was one of the most generous and fair packages offered by the Government. "I am assuming everyone is a honest citizen.You are honest in most actions. When you make a vow before your favourite deity, you are honest. You go and carry out the vow. You are honest while you are dealing with your spouse, children. Why should you be not honest with the tax department?", he asked. Urging members to pay the taxes, he said non payment might be out of ignorance or financial pressure. Taxes may have been paid over a period of time or completely stopped. "All that is being washed away by this scheme. The past will be completely closed". "No questions will be asked. You should file your declaration, pay taxes in the current period and you will not be obliged to pay any interest, any penalty or face any prosecution", he said. VCES had been introduced with effect from May 10, 2013 as a one time amnesty scheme for paying service tax dues for the period October 1, 2007 to December 31, 2012 without interest and penalty.(PTI)
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Indian factories increased production in September at the fastest pace since March ahead of an expected surge in demand during the country's festive season, according to a Reuters poll.Coal, electricity and cement production in particular, along with an uptick in demand for India's products abroad, are also expected to have contributed to overall factory output growth in September.Production at factories, mines and utilities in India likely rose 3.5 per cent annually in September, much faster than August's 0.6 per cent growth, a poll of 24 economists showed.Good factory growth in September would be welcome news for the struggling Indian economy, but some economists say momentum is unlikely to be sustained."The expectations are that overall, in order to meet the festive related demand, production would have been ramped up," said Upasna Bhardwaj, an economist at ING Vysya Bank.India's festive season usually begins in October and is characterised by increased spending on products ranging from sugar to gold to bigger items such as cars and electronic appliances.Production in the core sectors - also known as infrastructure output, which includes coal, electricity, cement, crude oil and steel factories - clocked a much higher growth rate in September.Output in those industries, which account for well more than one-third of overall factory production, rose 8.0 per cent annually that month versus 3.7 per cent in August, data released last week showed.Stronger demand from India's export destinations also led to an increase in production, with exports growing 11.15 per cent annually during September.Rising loan rates are one reason economists doubt September's numbers can be repeated."The banking sector is slowly increasing interest rates. The costs of funding are likely to put some amount of hit on the production side," said Golaka Nath, senior vice president of economic research at CCIL.The Reserve Bank of India raised its key interest rate for the second time in as many months in October to combat rising inflation.Bhardwaj of ING Vysya also warned that industrial production might not grow at as quick a pace in the months ahead."On an average, 2-2.5 per cent growth can be expected in the second half of this fiscal year," she said.(Reuters)
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The rupee is trading at 62.68/69 versus its close of 62.41/42, tracking the dollar's strength versus other Asian currencies and weakness in domestic shares.The BSE Sensex trading down 0.38 per cent.Most Asian currencies trading weaker compared with the dollar.The euro struggled in early Asian trade after the ECB's surprise interest rate cut sent the single currency plunging to near eight-week lows, but the dollar's gains were tempered ahead of the key US payrolls report later on 8 November.(Reuters)
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Indian Oil Corp has offered a rare light diesel oil cargo in the spot market, industry sources said on 6 November.The refiner is offering 6,000 to 8,000 tonnes of the oil product for loading from Budge Budge terminal from 26 November to 28. The tender closes on November 8 and is valid until 12 November.The refinery could be offering light diesel oil due to a drop in domestic consumption, an India-based industry source said. IOC last sold light diesel oil in late October and has only sold two cargoes before that, in February and April, in 2012, the source added.A second source said IOC is probably offering the product due to maintenance at secondary units. Light diesel oil can be used as feedstock in these units, the source added.Indian Oil had planned to shut some secondary units including a fluid catalytic cracking unit (FCCU) and a hydrocracker unit in November for maintenance.IOC officials could not be immediately reached for a comment.(Reuters)
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Notwithstanding the current economic uncertainty, Asia has recorded the largest increase in its billionaires club in the world with 18 new billionaires in 2013, making it the fastest-growing region, a report says.According to the Wealth-X and UBS Billionaire Census 2013, Asia saw the highest percentage rise in billionaire population (3.7 per cent from 2012) and total wealth (13 per cent) in 2013, making it the fastest-growing region.Wealth-X is a global wealth intelligence and prospecting company and UBS is a financial services major.The report noted that Asia is "driving the tectonic shifts in wealth globally" and added it would catch up with North America in five years.The study that focused solely on persons with a net worth of USD 30 million and above (after accounting for shares in public and private companies, residential and investment properties, art collections, planes, cash and other assets), said Asia has 44,505 ultra-high net worth individuals, whose total wealth amounted to $6,590 billion.As per the report, the global billionaire population reached a record 2,170 individuals in 2013. The average net worth of the world's billionaires stood at $3 billion.The billionaire population's combined net worth more than doubled from $3.1 trillion in 2009 to $6.5 trillion in 2013 - enough to fund the United States budget deficit until 2024, and greater than the GDP of every country except the United States and China.Interestingly, 810 individuals became billionaires since the 2009 global financial crisis, the report said.The report - which looks at the global billionaire population from July 2012 to June 2013 - examined this tier of the ultra affluent population by region, country, gender and the sources of their wealth.Europe is home to most billionaires (766 individuals). However, North America has the most billionaire wealth ($2,158 billion).Despite popular notions of billionaires being jet -setting, cosmopolitan individuals, most billionaires are still based in the same locations where they were raised.Around 60 per cent of billionaires are self-made, while 40 per cent inherited their wealth or grew their fortunes from inheritance.Only 17 per cent of female billionaires are self-made, while 71 per cent gained their fortunes through inheritance.(PTI)
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India should allow more foreign direct investment in defence production in order to speed up deliveries of hardware it badly needs for training and military operations, a senior air force officer said on 6 November' 2013. The world's biggest arms importer wants to reduce dependence on overseas suppliers and develop the domestic defence industry, but state-run manufacturers' track record is patchy and the government wants private Indian firms to have a greater say. But some air force officials also want to attract more foreign companies, and believe that a 26 percent cap on foreign direct investment (FDI) in defence production is putting potential partners off. "Now we have allowed 26 percent FDI in the defence sector. I do not think it is attractive for foreign industry," the Times Now TV channel quoted Indian Air Force's director general for flight safety, Air Marshal P.P. Reddy, as saying. "Why do we restrict FDI? We need to ponder over it." In July, India said a cabinet panel would consider proposals for foreign investment in defence above 26 percent, but only if it involved state-of-the-art technology. India wants to upgrade an outdated weapons systems to keep up with neighbours China and Pakistan in a Rs 6,23,400 Crores modernisation drive, but some of its biggest projects have been dogged by delays often blamed on corruption and bureaucracy. A Rs 75,270 Crores deal to buy 126 Rafale fighter jets from France's Dassault Aviation has been held up by differences over the role of a local manufacturer, state-run Hindustan Aeronautics Ltd (HAL). HAL, India's main aeronautics supplier, has been developing a light combat aircraft since the early 1980s with little success. And almost a decade after the maiden flight of its first prototype, the same company is struggling with its Intermediate Jet Trainer (IJT) project, according to local media. "Yes, there have been delays. IJT is delayed," Reddy said. "We desperately need these airplanes. The programme is delayed and therefore it is going to put the Air Force in a fine bind as to how we will continue our training."(Reuters)
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Asserting that there has been no change in its visa policy, the US on 5 November said Narendra Modi who has been named BJP's prime ministerial candidate is welcome to apply for a visa and wait for a review."No change in our longstanding visa policy. He's welcome to apply for a visa and await a review like any other applicant," State Department Deputy Spokesperson Marie Harf told reporters at her daily news conference."Visa applications are confidential, or at least the details of them. I can check on that, but not to my knowledge," Harf said when specifically asked if Modi has applied for a US visa.In 2005, Modi was denied a diplomatic visa and his existing tourist and business visa was revoked under the Immigration and Nationality Act, which makes a foreign government official responsible for severe violations of religious freedom ineligible for a travel document.(PTI)
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Flashing lights on the roof, tailgating politicians' motorcades, smashing up toll booths, and beating up toll collectors.Welcome to India's network of privately run highways, where endemic toll dodging is a drag on the finances of road operators such as GVK Power and Infrastructure and Reliance Infrastructure, and a deterrent to private investment in a country where poor infrastructure shaves an estimated 2 percentage points from economic growth each year.Ambulances, fire trucks and the cars of senior government officials are among those exempted from paying tolls, but other drivers often claim a free ride, said Isaac George, GVK's chief financial officer."If an MP (member of parliament) has to be exempted, it's not just his car that is exempted. The entire entourage which follows or goes in front seeks an exemption," he said. "The government has to do something because these are all revenue leakages."India's cash-strapped government wants private companies to double their share of the cost of building roads and bridges by 2017 from about a fifth in the last five years.Eight out of every 10 road projects, however, miss revenue expectations in their first year, with the shortfall as high as 45 percent, according to a 2012 study by Fitch Ratings. The slowing economy, and sometimes inflated forecasts, are partly to blame, but toll dodging is a significant factor, said Fitch India analyst S. Nandakumar."There is obviously resistance to tolling, particularly for brownfield or greenfield toll roads which have been tolled for the first time," he said.Theft, BeatingsThe resistance to paying tolls is part of a wider pushback against India's attempt to charge for services such as electricity that have been heavily subsidised or free, and which are plagued by under-investment.Drivers use threats, violence, protests and claims of powerful connections to demand toll exemptions. Road developers lose up to a tenth of their toll revenues because of dodgers, said Vishwas Udgirkar, an infrastructure specialist at consultancy Deloitte.IRB Infrastructure Developers could not levy tolls on one road for nearly two years due to protests in the western state of Maharashtra, where Mumbai is located. Charges began on 17 October, after a court ordered the local government to provide police protection.Last month, security camera footage showed 6 men, armed with rods, assaulting staff and stealing money from a toll booth outside New Delhi. Two years ago, a toll collector was shot dead during a payment dispute at a booth near Gurgaon, where cars are charged Rs 27 (44 cents).This lawlessness comes at an economic cost.The government awarded less than a fifth of its target for new road construction contracts to private companies in the last fiscal year, official data shows. GVK and GMR Infrastructure both pulled out of road projects stalled by bureaucracy. In July, local media reported that IRB pulled out of bidding for a harbour crossing in Mumbai because of its toll collection woes in Maharashtra.In a bid to tackle toll dodging and ease congestion at toll gates, Road Transport Minister C.P. Joshi said he wants all national highways to use electronic tolls by 2014.A senior government official, however, was less concerned."I won't deny this is an issue," he said, declining to be named as he did not want to publicly speak about the issue. "We are not concerned about his (a company's) loss of revenue. He should be concerned about it."Mafias And MinionsIndia's toll roads tend to be better maintained and less congested than public routes. But unlike in Europe, for example, private roads, and not state roads, tend to become the main route between cities, leaving drivers with little choice.This breeds resentment, especially if the road is pot-holed, unsafe or snarled by mind-numbing traffic.Raju, who lives in Delhi, used to put a red flashing light on his car to pass himself off as a lawmaker to avoid tolls. He's now befriended the driver of a genuine politician and often joins his entourage when travelling in northern India."They don't provide facilities, so why should I pay a toll?" said Raju, who declined to give his full name. Highways are often congested, he said, and once, when he had a flat tyre on his way to a funeral, he waited two hours before help arrived.Waiting for government help, and attitudes to shift, could take years.K. Ramchand, managing director at road builder IL&FS Transportation Networks Ltd, said one way to manage toll dodgers was to let them have their way in the early days of the project."Most of the toll deviants are ... cars normally owned by either the local mafia, the minister or his cronies," he said. "It's safer to keep them on your side and give them a free pass.""Otherwise what happens is, these 30-40 followers come on the toll plaza, make a noise and then everybody falls into that mob mentality and then it becomes a big issue," he added. (Reuters)
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If you’ve been using Samsung’s Galaxy Note II, the flagship stylus-based large smartphone, you won’t be able to help wondering whether you could make a good thing better by saying goodbye to the Note II and moving on to the newest version, the Note 3, recently launched in September. This time, wonder of wonders, it really does seem as if Samsung has been listening and has taken every little thing about the Note II and made it better. Well, almost. Here are the pros and cons to help you decide whether to take the plunge and get the new Note, or be happy with the one you have.Reasons To UpgradeEvery Hardware Spec Has Been Boosted: From the screen to the battery, the processor to the camera, everything is more, more, more on the Note 3. Even if you’re not a specs junkie and realise that ultimately the proof of the pudding is in the using, the boosted hardware makes an immediate and significant impact. The screen is miles better. If you look at the two Notes side by side, you’ll see the more refined, sharper screen of the Note 3 in all its 5.7 inch 1080 x 1920 pixels glory. It isn’t a perfect display and doesn’t look as sharp and crisp as some, but it’s a massive difference from the Note II, and the screen is often the one thing that makes everything feel different. But of course, everything else is also different and the smartphone performs at top level with its Exynos 5 Octa 5420 chipset, 3 GB of RAM, 32GB storage space, and Android 4.3 running smoothly, carrying along an updated TouchWiz (Samsung’s interface and features). The camera, which is now a 13MP primary and 2MP front-facer, is much more capable and has a few tricks up its sleeve to boost low-light images – as long as you stay still and your subject does as well. There are a few annoyances though, but we’ll come to that in a bit.The hardware improvements include a Bluetooth 3.0 for faster charging and transfer of data, depending on what’s at the other end. The S-Pen, Samsung’s stylus, has also improved and even goes into its slot any way you care to insert it, a thoughtful refinement that many will appreciate. And finally, the glossy plastic back has been replaced with a faux leather panel which looks nowhere near as bad.The Ergonomics Are Up: The Note 3 has more powerful chops than its predecessor and yet is thinner and lighter and somehow much easier to hold. It also has a better grip to it because the slippery back has gone. If you use the flip cover, the advantage is retained because that too is textured. And believe me, that little bit of difference in grip is important and can mean someone can or cannot knock the device out of your hand as they pass by. All in all, the Note 3 being a little larger actually doesn’t feel it or even look larger than the Note II. The optional flip cover has a window through which you can see and receive or reject calls, view messages or even take pictures and notes. When you’re in a big hurry, that cover adds to the ease with which you can be on calls.It’s obviously difficult to use a device as large as the Note 3 one-handed, but Samsung has tackled this problem with software. You can use the now enhanced one-handed operation features to create a phone within a phone,. Apps such as the dialer, browser, calculator etc can be squeezed into a phone window that can be used with one hand – until you’re ready to go back to the original size.Air gestures and voice command features also add to the improved ergonomics on this device. While there are some of these features on the Note II as well, they’ve been enhanced. Just waving your hand in the proximity of the screen will let you move to the next photo in your gallery, for example. Such features were on the S4 well before they appeared on the Note 3, and well, some people like them while some find them far too gimmicky. So whether you welcome them or not depends on which category you fall into.Also adding to the ergonomics is the adjustable sensitivity of the screen. You can use the phone with gloves on and you can interact with the screen through the plastic window of the flip cover.More Features To Explore: If you love discovering new things to do with gadgets, the Note 3 is really up your alley as Samsung is most fond of packing a device with features. There’s no pressure to use them and you can choose to keep it simple until and instead just explore new features at leisure. This is one of the most enjoyable aspects of the Note 3. For example, I chanced upon a feature on the S Note app that lets you record your drawing. I have no immediate use for it, but it was fun finding it and setting it aside for a time when I might want to explain something with a drawing that unfolds.There are new features tucked into every corner of this smartphone, in settings, with apps, and so on. This is one of the more future proof aspects of the device.You Can Accessorize It: The Galaxy Gear, Samsung’s smartwatch and companion to the Note 3 (optional buy) is, according to many, still a concept that needs much refining. But should you count yourself as an early adopter, then you have the option of adding more uses and features via accessories like the Galaxy Gear which will hold apps that will give you quick access to information and functions on your phone without your having to reach for it. You can also add accessories to start to explore the health and fitness tracking features that are becoming popular on smartphones. These come at a cost, of course. The Galaxy Gear costs approximately Rs 23,000, but for those who really enjoy technology to the hilt, nothing is too much.Capable Camera on Board: The Note 3’s camera does have a few annoyances such as continuously auto focusing that doesn’t lock manually, no optical image stabilisation, and none of the 4k video recording that is on the Snapdragon version not available in India. But it’s a 13MP all rounder which, for a change, shows a clear difference from previous 8MP shooters. The front facing 2MP also leads to some pretty nice self shots and clearer video calls. There are various modes like beauty shot, sports etc but also some special ones such as shooting to capture an animated photo, an image with a bit of sound, and a drama mode which takes frozen inter-action images. There’s also a golf mode with which you can examine a golf swing repeatedly.On the Note 3, the camera boosts ISO to take lit up shots in low light and reduces noise. There’s digital image stabilisation but you do often get blurry pictures if you or the subject moves. It’s still an enjoyable camera for casual photography of the phone variety and it does a better job than most other non-specialist phones. In daylight, the photos are crisp and in nice colour. And there’s an HDR or rich tone mode for greater depth.The Note 3 is a top-of-the-line gadget today but for users of the Note II, it’s a want-to-have rather than a must-have device….Reasons To Stick With The Note IIA Steep Price: If you’ve paid for the Note II, it will almost certainly feel like paying twice for the same thing. Despite the improvements. At Rs 47,990, (though you may find it for less) the Note 3 is a hefty sum unless money is no object – or unless you can’t resist the lure of new features. We easily refer to a new version as an upgrade, but when we’re paying for another device, it’s a whole new clump of cash and a new purchase not an upgrade at all. So, if you decide not to pay all over again – or just yet – rest assured that you still have a perfectly good device. As long as you keep it free of lag by resetting it and not overloading it with data and apps, it will easily give you at least a year of productive work until you perhaps feel you need to catch up with specifications and features that have moved on ahead. This is specially the case with the Note II as it’s a productivity focused device rather than a gamer’s gadget or an ordinary phone with high performance. If you work a lot with your Note II, it will continue to be useful to you for quite a while.Simplicity Wins: If you’re focused on productivity, and so the right target customer for the Note series, you’ll value familiarity and simplicity. Having become accustomed to the Note II’s apps and interface, you may find one of two things on the new device more complex, though one can get used to anything. The S-Note application is simpler and feels more natural than its equivalent on the Note 3. The handwriting mode, for example, is easier on the eye on the Note II, and it’s easier to use. Pulling out the S-Pen brings up a pop-up Note on the Note II but on the Note 3 you have further options to become habituated to. Google Now is up front when you long-press on the capacitive button on the Note II, but on the Note 3 you have a comprehensive search feature. If you’re not currently ready to give new features your time and attention, you’re by no means badly off with the Note II.Hardware Specs Are Not Everything: The battery on the Note 3 has just a little more juice than the Note II’s, but having used the Note II since it launched, I found it was consistent and gave me a steady one and a half days of use between charges – if I left it alone while I slept. The Note 3 is still being seasoned, but in practical use isn’t making a significant difference. The processor is more powerful now and there’s a whole 3GB of RAM, but you can make any Android device currently available laggy if you stuff it with apps and force it to retrieve large amounts of data on app start up. The Note II still has enough wherewithal to work quite smoothly if it’s treated well.Also A Capable Camera: The camera is indeed much better on the Note 3 but its style of auto focusing continually is not easy to get used to. Also gone is the night mode or low-light mode, now replaced with a digital image stabilization measure which fills an image in low light with brightness but is a little more prone to softness. On the other hand, the Note II’s camera has more noise and grain in low light images, but also a little more sharpness. A dedicated macro mode has also gone. In sum, the Note II’s camera isn’t bad and one of the best in the 8MP category, specially in daylight.On a spec to spec comparison, the Note 3 would obviously win out, but the trade off is a big expense. The Note II is still desirable enough to offer a good alternative to those buying a member of this series for the first time as it can be brought for between Rs.27,000 and 30,000 or so. Both are win-wins for Samsung as well as consumers.mala@pobox.comTwitter: @malabhargava
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Congress Vice President Rahul Gandhi on Monday, 4 November, sought a week's more time to reply to the model code violation notice by the Election Commission for his remark that Pakistani's ISI was in touch with Muzaffarnagar riot victims, citing his prior travel commitments and holidays due to the festive season.Gandhi, who was asked to reply to the EC notice by 11.30 AM today, said in his communication to Chief Election Commissioner VS Sampath that he wanted more time to respond since there were holidays due to the festive season.He said he had received the EC notice only at 9.30 PM on October 31 and hardly had time to consult his lawyers on the issue.The Congress leader also cited prior travel commitments for not responding the notice within the stipulted time.EC sources said the Commission is considering Gandhi's communication.The EC had issued a notice to Gandhi for his speeches in which he had said Pakistan's ISI was in touch with Muzaffarnagar riot victims and charged BJP with indulging in politics of hatred.The Commission, after examining Gandhi's speeches made in Churu, Rajasthan, on October 23 and in Indore, Madhya Pradesh, on October 24 and after taking into account the electoral officer's report, had asked him to explain by Monday why action should not be initiated against him for prima facie violating the Model Code of Conduct."The Commission is prima facie of the view that your aforesaid speeches are violative of above-referred sub paras (1), (2) and (3) of Para 1 of the Model Code of Conduct for political parties and candidates," the EC notice served on him had said.Rajasthan and Madhya Pradesh are among five states which go to Assembly polls in November-December this year.The Commission has said that in case no reply is received within the prescribed time limit, it will be presumed that he has nothing to say and it will proceed to take appropriate action without any further reference.(PTI)
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