Additional borrowing permission of Rs 16,728 cr granted to 5 states

has granted permission for additional mobilise additional financial resources to the tune of Rs 16,728 crore through open market borrowings to five states.

The permission has been granted as the state have so far completed the stipulated reforms in the ease of doing business. These states are Andhra Pradesh, Karnataka, Madhya Pradesh, Tamil Nadu and Telangana, said a Finance Ministry statement.

In view of the resource requirement to meet the challenges posed by the pandemic, the government had on May 17, 2020 enhanced the borrowing limit of the states by 2 per cent of their GSDP. Half of this special dispensation was linked to undertaking citizen centric reforms by the states.

The four citizen centric areas for reforms identified were implementation of ‘One Nation One Ration Card’ system, ease of doing business reform, urban local body or utility reforms and power sector reforms.

So far 10 states have implemented the One Nation One Ration Card system, five States have done ‘ease of doing business’ reforms, and two states have done local body reforms.

Besides additional borrowing permissions, the states completing three out of the

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Tube Investments increases stake in CG Power after preferential allotment

The stake of of India Limited (TII), part of Rs 38,000 crore Murugappa Group, in and Industrial Solutions Ltd has increased to 58.58 per cent after the company’s shares were allotted on a preferential basis.

The Finance Committee of the board of directors of has allotted 68,728,522 equity shares of the company at a price of Rs 14.55 per equity share, aggregating to Rs 99.99 crore to TII on a preferential allotment basis. Post the allotment, TII holds 53.16% of the paid up equity share capital of the company.

TII’s aggregate shareholding (i.e. equity shares and convertible warrants held by TII) in the company has increased from 56.61% to 58.58% of the share capital of the company on a fully diluted basis.

Initially, TII invested around Rs 700 crore to acquire 51% stake in the scam-hit and Industrial Solutions and its holding gradually increased in the last two months.

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Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the

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How businesses & sole traders can claim tax relief on loss making businesses

With the Self Assessment deadline less than a month away, a lifeline has been handed to struggling businesses and sole traders who are yet to complete their tax returns.

Tax preparation specialist David Redfern, Managing Director of DSR Tax Claims Ltd, has issued his timely advice on claiming tax reliefs for loss making ventures, especially those businesses in their first years of trading.

It is not uncommon for a newly-formed business to run at a loss in its initial years of trading, due to the cost associated with breaking into a market as well as finding and retaining a steady stream of customers, including start-up costs such as advertising and publicity, premises and the initial administrative costs of setting up a business.

However, many small business owners and sole traders may be unaware of the available tax reliefs open to them to allow them to offset their losses against past or future profits, including capital gains. Redfern commented “In a tough trading environment, it is imperative that a fledgling business uses all tax relief options open to them in order to maximise their profitability and commercial advantage.

Larger businesses and corporations are well-equipped with accounting advisors who will inform

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