Tax & Regulatory Services
EY and EBF examine models for an optional application of VAT on financial services
Satya Poddar, Partner, Ernst & Young India’s Tax Policy Group, designed a theoretical model in the 1990s which aimed at applying VAT to financial services. “The Poddar model” was then considered “technically a too sophisticated approach”. Ten years later, at the request of the European Banking Federation (EBF) “to have a fresh look at the possible modalities of an option to tax”, he has authored a report (pdf, 711.1kb) on the option to tax financial services for VAT purposes.
Deciphering the Direct Tax Code
The Finance Minister of India while presenting the Union Budget 2009 on 6 July 2009 announced that a draft of the proposed new Direct Tax Code would be made available for public comments within 45 days thereafter. The Ministry of Finance in a press release on 11 August 2009 has announced that the Finance Minister would release the Direct Tax Code on 12 August 2009. The Government will consider inputs and suggestions received before tabling the legislation in Parliament.
The proposed Direct Tax Code is expected to represent a significant development in India's tax policy and would eventually replace the existing direct tax legislations constituted by the Income Tax Act, 1961 and the Wealth Tax Act, 1957.
You may access the recorded webcast here.
Impact of DTC on international tax
On 12 August 09, the Finance Minister, Mr. Pranab Mukherjee tabled the new Direct Tax Code (Code), which would replace the existing direct tax legislations constituted by the Income Tax Act, 1961 and the Wealth Tax Act, 1957. The intent of the DTC is to simplify language, remove ambiguity in the income tax law and lead to better compliance, but there are a some concern areas. Two such issues in international tax are GAAR and Tax Treaty are pertinent. Click here (pdf, 98.6kb) to read download.
Reprinted with the permission of The Firm, CNBC. All rights reserved throughout the world
India contributes to employment, capital growth and tax revenues in the US : Direct Investments by Indian Companies 2007-09
The report provides an overview of the trends and drivers of Indian outbound deals to the US. It details the sectorial break up of deals within the period of study (2007-09). The report also showcases views of decision makers from the industry on outbound investments to the US as well as presents case studies of some Indian outbound investment ventures to the US. It includes an overview of the regulatory aspects of doing business in the US. Click here (pdf, 1.2mb) to read download.
Budget Impact 2009
Ernst & Young (EY) leaders spoke widely to the press and on television, analyzing and presenting various aspects of the Union Budget 2009, as it was being presented by the country’s finance minister on 6 July 2009.
The Tax & Regulatory Services practice hosted its annual Budget Impact 2009 event for clients across eight cities in India. This year along with senior EY leaders prominent luminaries Dr. Shankar Acharya, former Chief Economic Advisor to the Government of India, Mr. Mahesh Vyas MD and CEO - Centre for Monitoring Indian Economy, Dr. Ishwar Hegde Chief Economist, Suzlon, Mr. Maheshwari, Group CFO, Bharat Forge and Ameet Desai Executive Director, Mundra Port and SEZ Ltd. shared their insights.
Click here to read our published budget thought leadership series.
India Budget 2009
Compiled by our tax and regulatory professionals, this publication documents the key performance indicators, budget financials and proposals from the Union Budget 2009. It also provides a snapshot of the recent significant policy changes. Click here (pdf, 430.6kb) to read or download.
Ernst & Young gets top ITR honours yet again!
Euromoney’s International Tax Review has rated us as a Tier One Tax Advisory Firm in India for the 6th consecutive year. These ratings are presented in World Tax 2009, a comprehensive guide to the world’s leading tax firms and tax advisers, based on an extensive survey of corporate tax directors.
The firm was also honoured with the India Tax Firm of the Year and the India Best Case of the Year awards at the third annual International Tax Review’s Asia Awards 2008.
World Finance magazine honours Ernst & Young
Ernst & Young India was awarded the Best Tax Firm in India 2008 award by the World Finance magazine. The award recognizes both innovation and financial performance.
Doing Business in India The complex decision-making process involved in undertaking foreign operations requires a deep knowledge of a country’s commercial climate, along with the realisation that the market is constantly evolving. Ernst & Young’s annual publication Doing business in India provides an overview of the investment climate, taxation, types of companies as well as business and accounting practices in India.
2009 Global transfer pricing survey
Transfer pricing is the No. 1 tax issue for multinationals. So how do the rules differ from country to country? How has the economic crisis impacted them? We surveyed experts and tax authorities in 49 jurisdictions to find out.
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