Page 12 - Banking Finance October 2023

ROUNDUP

Deepak Joshi, an SC advocate, ex- products, with any unregistered enti- counts, properties and other offshore
plained, "The silver lining to the CBDT ties (including finfluencers)," Sebi said assets.
instruction is that it has decided to not in the consultation paper. Till now many bought time and tried
touch at least those cases where no The paper said SEBI-registered inter- to dodge the tax office by denying
appeal is pending before the appellate mediaries should take active measures ownership or links with any overseas
authorities and the proceedings have to dissociate themselves from any un- assets with false submissions, often
attained finality prior to the SC decision registered entity using their name, made in letterheads of their chartered
the lead case heard in April."
product or service. It proposed that accountants and lawyers. Later, if tax
entities registered or regulated by officials called their bluff, such plain
SIDBI to raise Rs. 10,000 Sebi, stock exchanges or the Associa- submissions gave them the leeway to
crore from rights issue tion of Mutual Funds in India should escape harsh consequences.
not share confidential information of That ploy would no longer work. In an
next fiscal their clients with unregistered entities. affidavit, containing affirmative state-
Sidbi, which refinances SME loans, ments made on a stamp paper or a
plans to float a Rs 10,000-crore rights notarised declaration, most would re-
issue next fiscal to expand its equity Net direct tax collection up frain from holding back information
capital as it expects to grow assets to due to fear of punishment under the
Rs 5 lakh crore by March 2024 from 23.5% till mid-Sept on bet- criminal law.
about Rs 4 lakh crore in March 2023, ter advance mop-up
a top official has said. The Income Tax (I-T) department,
Net direct tax collection grew 23.51 which is inundated with information
The central government owns 20.8 per per cent to over Rs 8.65 lakh crore till shared by other countries on foreign
cent in Sidbi, while State Bank of India mid-September, on higher advance tax assets on Indians, has sensed that in-
holds 15.65 per cent and Life Insurance mop-up from corporates, the Finance sisting on an affidavit would be a
Corporation 13.33 per cent. The rest Ministry said. quicker way to handle the cases, said
of the equity is held by other public fi- persons aware of the development.
nancial institutions and banks. The The net direct tax collection of Rs
shareholders will subscribe to the pro- 8,65,117 crore (as on September 16)
posed rights issue. includes corporate income tax (CIT) at Nifty hits 20,000 for first
Rs 4,16,217 crore and personal income time on G20 vibes, global

SEBI proposes intermedi- tax (PIT) including Securities Transac- cues
tion Tax (STT) at Rs 4,47,291 crore.
aries stay away from The benchmark Nifty 50 hit the psycho-
Net direct tax collections for the cur-
'finfluencers' rent fiscal as on September 16, have logical 20,000 mark for the first time,
advancing for the seventh straight day
Sebi has proposed that intermediaries grown at over 23.51 per cent, the against the backdrop of the G20 sum-
should dissociate themselves from un- ministry said in a statement. mit hosted by India and positive global
registered financial influencers, also Advance tax collections stood at Rs cues.
known as "finfluencers". 3.55 lakh crore till mid-September, a 21
The Nifty breached the 20,000 levels
The Sebi consultation paper comes per cent growth against Rs 2.94 lakh in late trade before settling at
amid a rise in the number of unregis- crore collected in the corresponding 19996.4, up 0.9 per cent. Forty-six of
tered investment advisors giving out period of the preceding financial year. its components advanced, with Reli-
stock tips on social media platforms. ance Industries, HDFC Bank, Axis Bank,
"No SEBI registered intermediaries or Taxman takes affidavit ICICI Bank, and Adani Ports & SEZ be-
regulated entities or their agents or route to uncover undis- ing the top contributors to the gains.
representatives shall, directly or indi- The gauge has surged 3.85 per cent
rectly, have any association or relation- closed foreign assets since August 31 and was last seen
ship in any form, whether monetary or The taxman is asking for an affidavit - nearing the 20,000 mark on July 20.
non-monetary, for any promotion or a declaration under oath - to corner The journey from 19,000 to 20,000
advertisement of their services or those with hidden foreign bank ac- took 52 sessions.

12 | 2023 | OCTOBER | BANKING FINANCE