QBiz: GST Council Meet; I-T Lens on Undisclosed Assets in BVI
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1. GST Council Meet Today: Packaged Food Without Trademark May Face 5% Tax
Packaged food items sold under a brand name without a registered trademark may face five percent goods and services tax (GST). This is among the issues likely to be taken up at the GST Council meeting on Saturday.
Other items on the agenda for the day-long meeting in Hyderabad include re-opening of the composition scheme window, hike in cess on cars and correction of anomaly in rates of certain goods.
Finance Minister Arun Jaitley is learnt to have assured representatives of branded food companies with registered trademarks that the government will rectify the anomaly in the Council meeting on Saturday. Widening the definition of ‘brands’ by the Council will end the exemption for a lot of packaged food players who have a logo and a brand name but have not applied for a trademark.
Source: Business Standard
2. No-Fly List: Unruly Passengers to Be Banned for 3 Months to Over 2 Years
The civil aviation ministry implemented India’s first no fly list on Friday, banning passengers from flying if they misbehave.
The misbehavior will be classified into three categories: for verbal abuse passengers may face a three-month ban on flying, for physical assault a six-month ban, and for a life threatening situation a two-year plus ban, civil aviation secretary RN Chaubey said at a briefing on Friday.
Airlines will now have to form an internal committee headed by a retired judge, a representative of another airline and a member of a passenger association.
The airline will be able to ban a passenger initially for 30 days, during which the committee will decide on the ban tenure. If the committee is unable to give its verdict in thirty days, the passenger is free to fly.
Source: Livemint
3. Sebi Proposes Cross-Shareholding Cap for Credit Rating Agencies
The Securities and Exchange Board of India (Sebi) has proposed capping cross-holding among credit rating agencies (CRAs) at 10 percent, and suggested stringent net worth and ownership criteria.
No credit assessor shall hold more than 10 percent of shares or voting rights in another rating firm and it shall not have a board representation in the latter, said a discussion paper released by the capital markets regulator on Friday.
The regulations also state that even an individual shareholder cannot have a 10 percent (or more) stake in two rating agencies at the same time. Sebi’s prior approval would be needed for acquisition of shares or voting rights in a rating company that results in change of control.
The requirement would not be applicable for holdings by broad-based domestic financial institutions.
Source: Livemint
4. Income-Tax Department Steps up Drive Against Cash Abroad
The income-tax (I-T) department has established charges against five persons with unaccounted foreign assets of Rs 5,000 crore in the British Virgin Islands (BVI), a Caribbean tax haven. Investigations are on in more cases.
According to sources in the tax department, these persons are from the gold and diamond export business, and have strong business operations in India as well. The total undisclosed foreign asset held by them was worth Rs 5,000 crore.
These are among the 612 Indian residents named in the list exposed by The International Consortium of Investigative Journalists (ICIJ) in 2013. The consortium released information about thousands of secret companies, trusts and funds in offshore hideaways.
Source: Business Standard
Also read: Nawaz Sharif, Kin Slapped With 4 Corruption Cases Over Panamagate
5. McDonald's Vendors Fear Loss of Business
Suppliers and vendors to the McDonald’s outlets in the North and East are in the dark about the future of their agreements and contracts. With the American fast-food chain locked in a legal battle with its estranged Indian partner Vikram Bakshi, the vendors are not sure about the valdity of their contracts.
Sources said that these restaurants could see disruptions in supplies in the coming days, as McDonald’s could ask vendors to stop supply, as part of its strategy to enforce the termination of its franchise agreement with Connaught Plaza Restaurants Ltd (CPRL).
“Suppliers and vendors have signed their agreements with McDonald’s and not with CPRL. The products that these suppliers and vendors make are proprietary to brand McDonald’s and they cannot be supplied to any other company. Hence, these restaurants may run out of stocks in the coming days as McDonald’s enforces the termination of its franchise agreement,” said a senior retail industry executive.
Source: The Hindu Business Line
6. Homebuyers Move SC to Ensure Jaypee Pays for Completing Project
Around 2,300 home buyers of Jaypee Infratech’s Wish Town project in Noida moved the Supreme Court on Friday, requesting to ensure that the builder deposited the money needed to complete the project with the court or in an escrow account before it allowed resumption of insolvency proceedings against the company. They also want the company to pay compensation for the delay caused so far with an 18 percent interest.
The plea, filed by a group of nine home buyers’ associations, comes after IDBI Bank moved the apex court on Thursday for lifting the stay.
The home buyers want the interest of flat buyers to be protected by the court. According to their application, filed through law firm Trilegal, the insolvency code does not provide for a suitable framework to protect the home buyers. Making the buyers a test case for the insolvency code would result in grave injustice to them, it added.
Source: Economic Times
7. Shapoorji Pallonji to Redevelop ITPO Complex
Construction major Shapoorji Pallonji has pipped L&T to win the government’s Rs 2,600-crore project to redevelop the ITPO complex in the national capital into an exhibition-cum-convention centre, an official close to the development said.
The India Trade Promotion Organisation (ITPO) complex at Pragati Maidan has been a venue for global events such as the India International Trade Fair, World Book Fair and Petrotech.
The Centre plans to host the flagship auto expo and other mega events like the G20 meetings once the property is redeveloped, the official cited earlier told ET, requesting not to be named. Shapoorji Pallonji will have two years to finish the job, the official said.
Source: Economic Times
8. A Handful of Firms Now Offer 'Pawternity Leave' to Pet Owners
Corporate India may not have yet woken up to the idea of paternity leaves, but a handful of companies have already moved on to the next level: offering pet parental leaves to employees who have pets at home. Call it ‘pawternity’ leave. CollarFolk, a startup that curates petfriendly holidays, has decided to give 10 days’ leave to its employees when they adopt a pet.
“It’s only fair to give our employees time to welcome home their furry one and figure things like vet visits, potty training, tonics, and day care if needed,” said Rukmini Vaish, founding partner at CollarFolk. She also said “the team is most welcome to bring the little ones to work”, though pet parents must clean up in case their fur babies dirty the premises.
Source: Economic Times
9. MakeMyTrip President Ashish Kashyap Resigns
Online travel firm MakeMyTrip Ltd on Wednesday announced the resignation of president Ashish Kashyap with effect from 30 September 2017.
Kashyap, who was associated with Ibibo Group for 10 years, said “the merger (of Ibibo Group) with MakeMyTrip this year is one of my proudest moments, and I look forward to seeing their continued success”, adding that he will now spend more time “creating new opportunities”.
MakeMyTrip Ltd acquired Ibibo Group’s travel business in India in October 2016.
“Ashish has made immense contribution in bringing the MakeMyTrip-Ibibo deal to fruition and setting a strong foundation for the future success of the combined group,” said Deep Kalra, group chairman and group CEO, MakeMyTrip.
Source: Livemint
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