ECONOMY
Explained | How compensation for GST shortfall after June 2022 may create centre-state rift
The centre's stand, that compensation will not be extended beyond June 2022, as provided in the Constitutional amendment that introduced GST from July 2017, is starkly different from what politicians and officials from opposition-ruled states told media after the GST Council meeting in Lucknow on September 17.
ECONOMY
GST Council | Centre says no compensation beyond June 2022; states take a different view
Addressing the media after the meeting of the GST Council in Lucknow, Sitharaman and Bajaj said that while compensation cess will be collected till March 2026, it will be to pay back the interest and principal of the Rs 2.69 lakh crore total that the centre borrowed and will borrow in 2020-21 and 2021-22, and transferred to states.
BUSINESS
GST Council Meet | GST exemption on Covid essential medicine extended till December
The items on which rate cuts were made included Remdesivir, Tocilizumab, medical grade oxygen, oxygen generator, ventilators, masks, covid testing kits, oximeters, hand sanitizers, cremation furnaces, ambulances, temperature checking devices and others.
BUSINESS
Not restaurants but Swiggy, Zomato to pay GST to government
The government has been working on a proposal to ask food delivery delivery apps to collect and deposit GST with the government, instead of what is currently done by the restaurants.
ECONOMY
Exclusive| GST Council: Decision on mode of compensation extension unlikely today
Moneycontrol understands that one of the options being given to the states is continuing compensation in lieu of tax shortfall at a much lower rate than the existing 14 percent. It could be 11 percent or lower. It is also learnt that the centre is presenting to states some revenue enhancement measures which will enable them to depend less on the shortfall compensation from the centre.
ECONOMY
Packed agenda for first in-person GST Council meeting in nearly two years
The Council is expected to discuss the extension of compensation to states beyond 2022, rationalizing the inverted duty structure on supply chain of certain items, bringing petrol and diesel under GST, extending the GST exemption on Covid-essential items, and deciding the future of profiteering cases, since the tenure of the National Anti-Profiteering Authority ends in November.
ECONOMY
Finance Minister likely to announce sovereign guarantee for 'bad bank' today
Finance Minister Nirmala Sitharaman may announce the govt guarantee on securities receipts. The Union Cabinet is learnt to have approved the proposal to formalise sovereign backing for the securities receipts issued by the National Asset Reconstruction Company Ltd.
BUSINESS
PLI scheme for automobile sector | How will it benefit the domestic industry?
Auto-component makers must have a minimum revenue of Rs 500 crore and Rs 150 crore fixed assets investment to be eligible for the PLI.
ECONOMY
11 states allowed to borrow Rs 15,721 crore: Finance Ministry
States including Andhra Pradesh, Madhya Pradesh, Bihar, Haryana and Kerala have been given permission for extra borrowing after they met their capital expenditure targets for April-June 2021-22 quarter set by the Centre.
ECONOMY
CPI inflation in August cools further to 5.30%
Consumer Food Price Inflation (CFPI) for August stood at 3.11 percent compared to 3.96 percent in July.
ECONOMY
Tax policy to boost India’s first international financial centre planned
The Centre plans to tailor a tax policy to boost foreign investment prospects of India’s first international financial centre, Moneycontrol has learnt .
BUSINESS
Mukesh Ambani reiterates commitment to green energy, says Giga Complex on track
Addressing the Internation Climate Summit 2021, Mukesh Ambani said that work was happening at a brisk pace to develop the 5,000-acre Giga Complex.
ECONOMY
Interview | We have a number of assets in advanced stages of bidding: Amitabh Kant
In an exclusive interaction with Moneycontrol NITI Aayog CEO Amitabh Kant reveals why the government did not include non-core assets in the asset monetization pipeline, and why he is hopeful of private sector participation across sectors.
BUSINESS
August GST collections come in at Rs 1.12 lakh crore
This is the second consecutive month that GST collections are above the Rs 1 lakh crore mark, indicating that economic recovery post the second wave of Covid-19 is well underway.
INDIA
Q1 GDP: India's economy grew 20.1 percent in April-June quarter; manufacturing sector the bright spot
The GDP print of 20.1 percent is at par with consensus estimates. As per a poll of 41 economists by news agency Reuters, India’s GDP was expected to rise 20 percent in April-June 2021
INDIA
Preview | Low base may see Q1 GDP growth hit record, conceal second-wave impact
India’s GDP growth contracted 24.4 percent during the first quarter last year. In absolute terms, the economic recovery has still not reached pre-pandemic levels, going by the RBI’s projections. The GDP data will be released on August 31.
BUSINESS
Need both humanitarian and strategic responses in Afghanistan, former diplomats say
India and its foreign policy are connected to Afghanistan in myriad ways. The way forward needs to take into account all these, former diplomats say.
BUSINESS
FM Sitharaman gives time to Infosys till Sept 15 to fix glitches in income tax portal
Sitharaman, who met Infosys top brass earlier today, conveyed the "deep disappointment" and concerns of the government and taxpayers about the continuing glitches in the e-filing portal of the Income Tax Department even after two and half months since its launch.
BUSINESS
I-T portal glitches | Have been talking to Infosys, today's meeting is not sudden: Govt sources
The ministry has been in constant communication with Infosys. The Finance Minister now wants to better understand from Infosys why it is taking so long to fix the glitches with the IT portal, sources have said
INDIA
Analysis | National palm oil mission will take time to show results; states have to do their bit, oil processing industry says
In 2020-21, India consumed 8.76 million tonnes of palm oil, while domestic production was only around 200,000 tonnes. India is one of the largest consumers of edible oil owing to its population.
ECONOMY
India Ratings cuts FY22 GDP forecast to 9.4% from 9.6%
Going by the pace of vaccination, it is now almost certain that India will not be able to vaccinate its entire adult population by December 31, 2021, Principal Economist Sunil Kumar Sinha has said
INDIA
Cabinet approves National Mission on Edible Oils to boost palm oil production
The Rs 11,040 crore, NMEO-OP aims to triple India's palm oil production by 2025-26 and reduce dependence on expensive imports from South East Asia. The Centre will come up with a mechanism to fix and regulate palm oil prices, If the market is volatile, the difference will also be paid by the centre through direct benefit transfer
ECONOMY
Cabinet note on cryptocurrency bill ready, awaiting clearance: FM Sitharaman
The finance minister said Cabinet note is ready on the cryptocurrency bill. "I am awaiting Cabinet to clear that," she said. This means that the bill could likely be tabled in the Winter Session of Parliament.
BUSINESS
Current govt is paying for UPA's petrol price cut: FM Nirmala Sitharaman
Sitharaman said that as of 31 March, 2021, there were Rs 1.31 lakh crore in outstanding principles and Rs 37,340 crore in interest yet to be repaid on the oil bonds dating back to the UPA-era.
