The government introduced a retrospective clarification to the Income-Tax (I-T) Act, 1961, virtually amending the law to ensure that cross-border transactions such as the $11.08 billion (around Rs55,735 crore today) Vodafone-Hutchison deal are taxable. The Supreme Court had ruled this deal as not being taxable in India. The amendment becomes crucial because a review petition by the government on this case is pending before the Supreme Court, which might now have...

An opportunity has been forsaken to strengthen our economic fundamentals while improving the lives of the people, increasing the divide between India Shining and India Suffering. While the people were hoping for relief in the current budget, the Finance Minister was faced with the task of reversing the slowing growth rate and raging inflation. He had a choice in this budget. He, however, chose a path that is going to worsen...

-The Times of India The finance minister Pranab Mukherjee in his Budget speech said that efforts were on to arrive at a political consensus on the issue of allowing 51 per cent foreign direct investment (FDI) in multi-brand retail. The retail sector of the economy has been constantly pushing for allowing foreign direct investment (FDI) in multi-brand retail. The Economic Survey 2011-12 also advocated the case for FDI in multi-brand retail. The much-talked about...

-The Hindu ‘But cumbersome anti-graft apparatus can delay decisions'   With a slew of scams vitiating the government's policy-making environment and holding up reforms, the Economic Survey 2011-12 on Thursday advocated need for a ruthless crackdown on corruption, but cautioned that a large and cumbersome anti-corruption bureaucracy could impact decision-making. “While we need to ruthlessly crack down on corruption, it must, at the same time, be recognised that the fear of a large and...

Notification today; GoM will work out riders   Allies of the ruling United Progressive Alliance have again forced the Manmohan Singh government to take a step back, this time over the ban on cotton exports. The government has now announced that a new notification revoking the ban imposed on March 5 will be issued on Monday, in what is considered a victory for Agriculture Minister Sharad Pawar, who stoutly opposed the decision, along...