The Finance Bill brough much needed relief to Dalal Street and foreign investors as the sub section 5 in the Finance Bill is dropped. This means that tax residency certificate (TRC) is enough proof for a foreign investor to claim tax benefits in India, reports CNBC-TV18's Aakansha Sethi.
He started his speech by saying “I have been at pains to state over and over again that India, at the present juncture, does not have the choice between welcoming and spurning foreign investment.
The finance minister‘s aim should be to remove uncertainties relating to investment climate rather than creating further confusions, says Daksha Baxi of Khaitan & Co
Dinesh Kanabar of KPMG says that TRC is sufficient proof of residence for FIIs who want to avail benefits under the DTAA.
Key equity benchmarks recover after the finance ministry clarified on finance minister P Chidambaram's tax residency certificates announcement, which had created confusion among FIIs.
S Naganath, president and CIO of DSP BlackRock Investment Managers, expects to see further selling if the government does not clear the confusion over the tax residency certificate soon.
Parthasarathi Shome, advisor to the Finance Minister, explains on CNBC-TV18 why the tax residency certificate issue should not spark off fears for foreign institutional investors again.