Which company becomes India's largest tax payer in private sector?

Global research agency Fitch has raised India's growth forecast for the current fiscal to 7.8 per cent from the earlier 7.4 per cent. However, forecast for the next two fiscal, 2019-20 and 2020-21, have been shaved by 20 basis points (100 basis points means 1 per cent) to 7.3 per cent. Fitch's latest projection for the current fiscal is higher than what is estimated by the Reserve Bank of India and even the Government. While the RBI's estimate is 7.4 per cent, the Government feels that it could be 7.5 per cent. However, the International Monetary Fund (IMF) cut its projection to 7.3 per cent from 7.4 per cent. India Ratings too lowered its growth projection by 20 bps to 7.2 per cent.

The Finance Ministry increased interest rates for non-governmental provident funds, gratuity and superannuation to 8 percent from existing 7.6 percent. Also, the interest rates for small savings schemes has been hiked by 40 basis points. These include: Public Provident Fund (PPF), Sukanya Samriddhi Scheme, National Savings Certificate and post office time deposits. The changes are effective from October 1, 2018 to December 31, 2018, for the 3rd quarter.

As per Asian Development Bank (ADB)'s Asian Development Outlook report India continues to be the fastest growing economy in Asia with projected GDP growth of 7.3 per cent. Growth would accelerate to 7.6 percent in 2019. Growth would be driven by increased public spending, higher capacity utilisation rate and uptick in private investment, reform in the banking sector and tax. China will decelerate to 6.6 per cent in 2018 and further to 6.4 per cent in 2019. Globally, South Asia would be the fastest growing sub-region despite trade tensions with US.

In its latest report, the US has said that it could remove India from its currency monitoring list of major trading partners citing certain developments and steps taken by New Delhi, which address some of its major concerns. India was for the first time, in April, placed by the US in its currency monitoring list of countries with potentially questionable foreign exchange policies along with five other countries - China, Germany, Japan, South Korea and Switzerland. This represented a notable change from 2017, when purchases over the first three quarters of the year pushed net purchases of foreign exchange above 2% of GDP. Recent sales came amid a turnaround in foreign portfolio inflows, as foreign investors pulled portfolio capital out of India (and many other emerging markets) over the first half of the year.

Central Board of Indirect Taxes and Customs (CBIC) has launched a mobile app 'GST Verify' developed by B Raghu Kiran, joint commissioner GST Hyderabad. It is an android app to verify if the person collecting GST from the consumer is eligible to collect it or not.

India with immediate effect has boosted the Customs Duty on all the goods imported from Pakistan to 200% followed by the day after India repealed Most Favoured Nation (MFN) status from Pakistan. This punitory move followed by the Pulwana Terrorist attack that led to the death of 42 CRPF (Central Reserve Police Force). This step is likely to strike Pakistan's exports to India which were $381 million in the April-Nov period and for overall FY18, it was $489 million. This 200% tariff rate is higher than the average bound rate of 113.5% for agriculture products and 34.6% for non-agriculture products. The MFN applied rates are 32.8% and 10.7%, respectively for farm and non-farm products.

The United Nations Conference on Trade and Development (UNCTAD) in its Trade and Development Report predicted the GDP growth of India for 2018 to be at 7%. Previously in 2017, it was 6.2%. According to the report, India's GDP grew 8.2% in the April-June quarter especially due to manufacturing and better farm sector performance. The main reasons for overall 7% growth are: Expansion in services and higher demand for exports.

The Central Statistics Office (CSO) has recently released the First advance estimates of National Income for the current fiscal FY 19, under the Ministry of Statistics and Programme Implementation. In it, Indian economy is expected to grow at 7.2% in FY19, against 6.7% in FY18, due to improvement in the performance of agriculture and manufacturing sectors. However, the CSO estimate is a bit lower than 7.4% growth projected by the Reserve Bank of India (RBI) for the current fiscal. According to the estimates, farm sector is set to grow at 3.8% against 3.4% last year, at constant or inflation-adjusted prices. At current prices, the sector expected to grow at an identical 3.8%, which could be emblematic of an agri-commodity price crash across wholesale mandis.

Union Finance Minister Arun Jaitley chaired 34th meeting of the Goods and Services Tax Council in New Delhi. It discussed the operational details for implementation of the recommendations made by the 33rd meeting of the council. The tax rate for under construction flats slashed to 5% and affordable homes to 1% without input tax credit (ITC) by the GST Council. Currently 12% GST is levied with input tax credit on payments made for under construction properties. It will be effective from April 1st. The council approved transition plan for new tax rates on residential properties. The developers of under construction buildings may either opt to shift to the revised lower rates without input tax credit or stick on to the previous rates.For housing projects launched after April 1st, the developers need to follow the new GST rates recommended by the Council. As per the council the changes will boost the real estate selling and ensure the rate cut benefits on to the middle class home buyers.

India's economy is expected to clock GDP growth of 7.5% in this financial year according to a Morgan Stanley report. The growth recovery will remain robust, supported initially by consumption and exports. In the January-March quarter, India's gross domestic product (GDP) grew at the fastest pace in seven quarters at 7.7% on robust performance by manufacturing and service sectors as well as good farm output. India's economy is expected to clock GDP growth of 7.5% in this financial year according to a Morgan Stanley report. The growth recovery will remain robust, supported initially by consumption and exports. In the January-March quarter, India's gross domestic product (GDP) grew at the fastest pace in seven quarters at 7.7% on robust performance by manufacturing and service sectors as well as good farm output.