QBiz: I-T Department’s Latest Whip; Liqour Industry in Low Spirits

Read The Quint’s compilation of all the top business stories in dailies across the country.

Income tax authorities plan to pursue those who have properties in their name but haven’t ever filed income tax returns. Photo used for representational purpose. 

(Photo: PTI)

1. I-T Plans to Pursue Property-Holders Who Have Never Filed Income Tax Returns

Income tax authorities plan to pursue those who have properties in their name but haven’t ever filed income tax returns on the suspicion that these may be benami holdings on behalf of people looking to conceal their wealth. The exercise is part of the government’s crackdown on black money.

The findings have emerged from the analysis of vast amounts of data that the government has collected. “We have a lot of data from various sources including investments in property by people who have never filed returns,” said an income tax official.

This information will be verified to ascertain the source of income used for the purchase of the properties and to see if these are being held by benami owners.

Source: The Economic Times

2. FDI Reforms: Centre mulls Relaxing Food Retail Norms, May Allow Retailers to Sell Non-Food Items

The government is weighing a proposal to relax foreign direct investment (FDI) guidelines in food retail to allow a certain percentage of locally-produced non-food items along with the edible products.

Although a final decision is yet to be taken by the government, it could allow an FDI-backed retailer to sell locally-produced non-food items worth around 20-25% of its investments at the farm-gate level, said a source.

However, some feel the government should keep the rule simple and allow the sale of non-food items at a fixed percentage of the overall FDI, instead of the investments at the farm-gate level. Monitoring compliance with the rule would be easy in this case, they argue. It’s not clear what the government would finally decide, as consultations are still on.

Source: The Financial Express

3. Government Extends Date For Filing GST Returns If Taxes Paid By 20 August

The government on Thursday provided some relief to taxpayers availing of transitional input tax credit under the Goods and Services Tax regime by giving them an extra week till 28 August to file tax returns.

Taxpayers who wish to avail transitional credit of service tax, excise and VAT paid, will have to self-compute their tax liability and pay it by 20 August, the finance ministry said in a statement on Thursday.

However, these taxpayers – after they have paid taxes – will get time till 28 August to file GSTR-3B and TRANS 1 returns, the statement added.

Source: Bloomberg Quint

4. 3 Infosys Directors Told Me Sikka is Not CEO but CTO Material: Narayana Murthy

Infosys Ltd founder N.R. Narayana Murthy claimed in an email to some of his advisers that he had been told by at least three independent directors of the company that Vishal Sikka was more chief technology officer (CTO) material than chief executive officer (CEO) material.

Mint has seen a copy of the email dated 9 August and also independently ascertained its authenticity from a company executive, a board member and a third person, all of whom requested anonymity. Mint couldn’t independently confirm the claims made in the email.

Source: Livemint

5. Airtel to Hold Shareholders, Creditors Meet in September on Telenor Merger Deal

Telecom major Bharti Airtel on Thursday said a meeting of its shareholders and creditors has been convened next month to consider the proposed amalgamation of Telenor Communications with it.

The company in a filing to BSE said that pursuant to an order of the Special Bench of the National Company Law Tribunal, a meeting of equity shareholders and unsecured creditors of Bharti Airtel Limited (the Company) has been convened on 19 September.

The meeting has been convened “for the purpose of considering, and if thought fit, approving with or without modification the proposed scheme of amalgamation between Telenor Communications Pvt Ltd and Bharti Airtel Ltd and their respective shareholders and creditors”, Bharti Airtel said in a regulatory filing.

Source: The Financial Express

6. India May Force Handset Makers to Set up Servers Here to Ensure Data Protection

The government may go to the extent of asking foreign handset makers to set up servers in India as the next step in ensuring the protection of user data, following concerns about security breaches, especially as most Chinese smartphone vendors have servers in their home country.

Officials in the electronics and IT ministry said while the issue of apps sweeping up excessive user data was worrying, the broader issue remained that of the security of information that could be going to third parties outside the country.

Source: The Economic Times

7. Highway Liquor Ban: Half the Outlets Remain Shut, Industry Feels the Pinch

More than half of some 30,000 liquor vends that downed shutters on 1 April after the Supreme Court banned sale and serving of alcohol within 500 metres of state and national highways still remain shut, keeping the booze industry under pressure.

Spirits firms, which had initially expected most liquor shops and bars to either relocate or reopen in few months, now say the situation may normalise only by next year.

Source: The Economic Times

8. Crackdown On Shell Companies: SEBI To Take Stock Next Month

As a multi-agency probe continues to check the black money menace, market regulator SEBI will update its board next month on actions being taken against suspected shell companies – listed as well as unlisted ones – abetting alleged routing of illicit funds through stock markets.

While a large number of listed companies are under the scanner for allegedly being conduits for illicit money, the regulator is also keeping a close watch on cases where entities are availing LTCG (long term capital gains) benefits through sham transactions in stocks.

Source: Bloomberg Quint

9. Shapoorji Pallonji Group Says Tata Group Loses More if Business Ties Snapped

The Shapoorji Pallonji (SP) Group said it gives more business to the Tata group of companies than it gets from the latter. Any step to snap business ties is detrimental, not to the SP Group, but to the interests of the Tatas, a Shapoorji Pallonji spokesperson said.

On Thursday, The Economic Times reported that the Tata Sons Ltd board, under the leadership of N Chandrasekaran, has directed group firms to snap all business ties with the SP Group. The move, the newspaper added, will lead to a loss of business worth hundreds of crore.

It said almost 50 companies of the SP Group will be affected by the Tata Sons board’s decision, taken on 9 August. All Tata group companies are said to be acting on the Tata Sons directive, which came to them on 14 August, the report said.

Source: Livemint