Hard to liquidate BS-IV stock before March 31 deadline, auto dealers fear

With several state governments issuing circulars to end registration process for vehicles much before March 31, 2020, and the fear of coronavirus keeping buyers away from showrooms, automobile dealers fear that they would not be able to liquidate the inventory before the month-end deadline.

According to automobile dealers’ body Federation of Automobile Dealers Associations (FADA), things were under control till February-end and it was only in the first week of March that the dealers started getting circulars from state transport departments with deadlines for getting the vehicles registered.

Besides, the banks also came out with notices that they would not finance BS-IV stock after specific dates in March, further impacting the confidence of the dealers. It was followed by the coronavirus outbreak, which has led to steep fall in footfalls in the showrooms.

“So, lot many things have come together and, now, suddenly there is fear among dealers that they won’t be able to liquidate the BS-IV stock. At the start of March, we were reasonably confident that the problem of leftover stock would not be much,” FADA President Ashish Harsharaj Kale told PTI.

Dealers have started

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Carlsberg aims to resolve dispute with Indian partner over sales dispute

is looking to resolve a commercial dispute with its joint venture partner in India, an executive said on Monday, amid an internal probe into the firm’s local sales practices that sparked a boardroom battle and concerns from its auditor.

Global auditor PwC’s local affiliate recently declined to give an opinion on Carlsberg’s 2018-19 India results, citing divergent views from three of the brewer’s India board members who did not sign-off on the financials, alleging regulatory lapses, a regulatory filing from February shows.

Steve Deng, Carlsberg’s Corporate Affairs Director for Asia, told Reuters via e-mail that many of the issues were the result of an “unusual and difficult” commercial conflict with its Indian joint venture partner, Nepal-based Khetan Group.

“This is a shareholder dispute between us and our JV partner … We look forward to an early resolution of the commercial dispute,” Deng said in his e-mail.

Deng did not fully detail the dispute, but last week told India’s Economic Times newspaper it revolved around repayment of a loan owed to by its partner and the partner’s wish to sell its stake in the business at

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Your Christmas party could result in a tax demand for your business

Employers planning a staff Christmas party risk tax demands because of increasing entertaining during the rest of the year.

The official annual limit for staff entertaining, set by HMRC, is £150 for each employee.

“Unfortunately, the growing popularity of, for example, ‘pizza nights’ and summer drinks means that the limit is often now reached long before Christmas, and that is catching out unwary employers,” warns Chris Smith, Head of Personal Tax Compliance at accountancy firm BKL.

“The implications are considerable. If the Christmas party does breach the annual limit then the whole cost of that event is taxable on employees as a benefit in kind. The employer also has to pay national insurance at 13.8%.”

The key points for an employer to consider before they dig into their pockets are:

  • The “per head” figure is based on all attendees. If family members are invited and the figure exceeds £150, employees will be taxable on the amount allocated to them and their family members.
  • For example, 10 employees each bring a guest to the Christmas party which costs £3,500. Each employee would be taxable on £350. The company would also have Class 1A National Insurance (NI) to pay on the £3,500.

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