The Indian Finance minister Pranab Mukherjee presented the Union budget for 2010-11 in the Lok Sabha today after the Cabinet approval of the document. the following are some of the key highlights of his budget speech.
* The Indian economy was facing grave uncertainty. Growth had started decelerating when the interim and full budget for 2009-10 were presented.
* At home there was added uncertainty because of subnormal southwest monsoon.
* Yet, the economy now in a far better position than it was
eight years ago.
* India weathered the economic crisis well and emerged from the global slowdown faster than any other country.
* First challenge before the government is to quickly revert to
high GDP growth path of 9%.
* Expects 10% economic growth in the near future.
* Second challenge is to harness economic growth to make it more inclusive and consolidate gains.
* Third challenge is to overcome weakness in government's public delivery mechanism; a long way to go in this.
* Impressive recovery in the past few months. Can witness
faster recovery in the coming months.
* Food security has been strengthened.
* But bottleneck of the public delivery mechanism can hold us back.
* Fiscal year 2009-10 was challenging for the economy.
* Focus shifted to non-governmental actors and an enabling government. Government now concentrates on supporting and delivering services to the poorer sections.
* Economy stabilised in the first quarter of 2009 itself.
* 18.5% manufacturing growth in December was the highest in two decades.
* Figures for merchandise exports for January encouraging
after turnaround in November and December last year.
Read the complete highlights of the budget 2010-11 at www.stockinvest.in
Friday, February 26, 2010
Sunday, February 21, 2010
Union Budget 2010
Auto
* Increase in excise duty by 2%-4%.
* Increased allocation under National Urban Renewal Mission for buses
* No increase in excise duties for large cars
Banking and financial services
* Interest subventions for pre-shipment credit and short-term crop loans expected to be withdrawn.
* To qualify for tax benefits under Sec.80C on Fixed deposits lock in period to be reduced from five to three years.
* Raising the ceiling of TDS on interest income from fixed deposits.
* Allowing banks to raise tax-free infrastructure funds.
* Tax breaks to housing finance and infrastructure-lending companies.
* Housing loans below 30 Lakh rupees to be considered as "priority sector" lending.
* Refinancing from India Infrastructure Finance Co Ltd (IIFCL) for up to 60% of commercial bank loans for PPP (public private partnership) projects in critical sectors is expected to continue.
* Increase FDI in insurance sector from 26% to 49%.
* Recapitalisation of PSU banks with lower tier-1 capital.
Cement
* Roll back of excise duty cuts of around 2%-4%.
• Reduction in import duty on coal
Construction
* An increased outlay in government spending in infrastructure, especially for roads and urban projects
* Details of refinancing for India Infrastructure Finance Company Ltd (IIFCL) funding
* Clarity on minimum alternate tax provisions under a new Direct Tax code, to be implemented in FY12
* More financial availability for infrastructure projects
* National project status for state government projects
Engineering and capital goods
* Increase in import duty on foreign power equipments like turbines, boilers and generators.
* Rollback of excise duty concession given in the stimulus package to manufacturers by minimum 2%.
FMCG
* Raise excise duty on cigarettes by 5%-8%
* Excise duty cuts on products except food items may be reversed by 2-3%
* Rural initiatives for income generation are expected to continue
* MAT (Minimum Alternative Tax) rates can be increased, as a step forward towards the Direct tax Code.
.
Real estate
* Hotels to be included under Sec 80 IA (Infrastructure status) for all hotels across India and across all categories
* Greater thrust on PPP projects in housing.
* Increase in allotment to the Rajiv Gandhi Awas Yojana (slum rehabilitation programme)
* Increasing tax breaks provided to housing finance and infrastructure lending companies.
* Re-introduction of tax holiday for housing projects under Sec 80 IB (10)
* Increase in income tax deduction under Sec 80 C on home loan principal re-payment from Rs 0.1 million to Rs 0.2-0.3 million.
Information technology
* Extension of tax benefits for units in Software Technology Parks of India beyond March 2011.
* Spending on education through Sarv Shiksha Abhiyan to be increased.
* Abolishing MAT in STPI units
* Reduction in excise duty on electronic and IT goods from 10% to 8%.
Media
* Increase in foreign investment limits in direct-to-home (DTH), cable, FM radio and news broadcasting services.
* Raise the rate of service tax to 10%.
* Customs duty to be levied on newsprint.
* Tax holiday for the capital intensive business such as Gaming, Animation, VFX.
* Removal of custom duty on set-up boxes.
Pharmaceuticals
* The 150% weighted deduction enjoyed by in-house R&D expenses should be extended to expenses on outsourced studies such as clinical trials and specific laboratory studies. The weighted deduction should also be raised to 200%.
* State excise duty on certain formulations should be cut to 8% from 16%.
* Central excise duty on drugs to be restored to 8% from 4%.
* Allocation for the National Rural Health Mission should be increased significantly.
* Eliminating excise duties on all essential drugs.
* Extension of tax exemption for export oriented units and clarity on the new direct tax code on special economic zones.
Power
* Continuation of income tax exemption for mega power generation projects.
* Increasing the allocation towards the government-led electrical infrastructure augmentation schemes namely Rajeev Gandhi Grameen Viyuktikaran Yojana and Restructured Acclerated Power Development and Reforms Programme.
* Reduction of import duty on thermal coal.
Retail
* Allowing foreign investment in multi-brand retail.
* Industry status to retail.
Metals and mining
* Increase in excise duty cut to 10% from 8%
* No change in customs duty structure
* Increase in iron ore exports duty by 5%
* Removing the 5% import duty on stainless steel and alloy steel scraps
Chemicals & fertilisers
* Increase the price DAP between 8%-10%
* Tax holiday for a period of 10 years should be extended to all new fertiliser projects
* Excise duty on fuel oil used for fertiliser manufacturing should be abolished.
Oil & gas
* Infrastructure status for Oil and Gas to promote investments with tax sops.
* Tax benefits for city gas distribution and extension in tax holiday for new refineries
* Declared goods status to be given to natural gas.
* Abolishing service tax on exploration and production activities.
Telecom
* Unification of tax regime from current differential taxation methods
* Reduction in license fee to 6%
* Tax holiday for mergers and acquisition activities of telecom companies to be extended till April 2010
* Clarity on 3G Auction timeline
* Increase in service tax by 200 basis points
* Government to use Universal Service Obligation funds for rural and broadband penetration
* Increase in Minimum Alternate Tax from the present 16.5%.
Read the complete analysis of the Union Budget 2010-2011 at www.stockinvest.in
* Increase in excise duty by 2%-4%.
* Increased allocation under National Urban Renewal Mission for buses
* No increase in excise duties for large cars
Banking and financial services
* Interest subventions for pre-shipment credit and short-term crop loans expected to be withdrawn.
* To qualify for tax benefits under Sec.80C on Fixed deposits lock in period to be reduced from five to three years.
* Raising the ceiling of TDS on interest income from fixed deposits.
* Allowing banks to raise tax-free infrastructure funds.
* Tax breaks to housing finance and infrastructure-lending companies.
* Housing loans below 30 Lakh rupees to be considered as "priority sector" lending.
* Refinancing from India Infrastructure Finance Co Ltd (IIFCL) for up to 60% of commercial bank loans for PPP (public private partnership) projects in critical sectors is expected to continue.
* Increase FDI in insurance sector from 26% to 49%.
* Recapitalisation of PSU banks with lower tier-1 capital.
Cement
* Roll back of excise duty cuts of around 2%-4%.
• Reduction in import duty on coal
Construction
* An increased outlay in government spending in infrastructure, especially for roads and urban projects
* Details of refinancing for India Infrastructure Finance Company Ltd (IIFCL) funding
* Clarity on minimum alternate tax provisions under a new Direct Tax code, to be implemented in FY12
* More financial availability for infrastructure projects
* National project status for state government projects
Engineering and capital goods
* Increase in import duty on foreign power equipments like turbines, boilers and generators.
* Rollback of excise duty concession given in the stimulus package to manufacturers by minimum 2%.
FMCG
* Raise excise duty on cigarettes by 5%-8%
* Excise duty cuts on products except food items may be reversed by 2-3%
* Rural initiatives for income generation are expected to continue
* MAT (Minimum Alternative Tax) rates can be increased, as a step forward towards the Direct tax Code.
.
Real estate
* Hotels to be included under Sec 80 IA (Infrastructure status) for all hotels across India and across all categories
* Greater thrust on PPP projects in housing.
* Increase in allotment to the Rajiv Gandhi Awas Yojana (slum rehabilitation programme)
* Increasing tax breaks provided to housing finance and infrastructure lending companies.
* Re-introduction of tax holiday for housing projects under Sec 80 IB (10)
* Increase in income tax deduction under Sec 80 C on home loan principal re-payment from Rs 0.1 million to Rs 0.2-0.3 million.
Information technology
* Extension of tax benefits for units in Software Technology Parks of India beyond March 2011.
* Spending on education through Sarv Shiksha Abhiyan to be increased.
* Abolishing MAT in STPI units
* Reduction in excise duty on electronic and IT goods from 10% to 8%.
Media
* Increase in foreign investment limits in direct-to-home (DTH), cable, FM radio and news broadcasting services.
* Raise the rate of service tax to 10%.
* Customs duty to be levied on newsprint.
* Tax holiday for the capital intensive business such as Gaming, Animation, VFX.
* Removal of custom duty on set-up boxes.
Pharmaceuticals
* The 150% weighted deduction enjoyed by in-house R&D expenses should be extended to expenses on outsourced studies such as clinical trials and specific laboratory studies. The weighted deduction should also be raised to 200%.
* State excise duty on certain formulations should be cut to 8% from 16%.
* Central excise duty on drugs to be restored to 8% from 4%.
* Allocation for the National Rural Health Mission should be increased significantly.
* Eliminating excise duties on all essential drugs.
* Extension of tax exemption for export oriented units and clarity on the new direct tax code on special economic zones.
Power
* Continuation of income tax exemption for mega power generation projects.
* Increasing the allocation towards the government-led electrical infrastructure augmentation schemes namely Rajeev Gandhi Grameen Viyuktikaran Yojana and Restructured Acclerated Power Development and Reforms Programme.
* Reduction of import duty on thermal coal.
Retail
* Allowing foreign investment in multi-brand retail.
* Industry status to retail.
Metals and mining
* Increase in excise duty cut to 10% from 8%
* No change in customs duty structure
* Increase in iron ore exports duty by 5%
* Removing the 5% import duty on stainless steel and alloy steel scraps
Chemicals & fertilisers
* Increase the price DAP between 8%-10%
* Tax holiday for a period of 10 years should be extended to all new fertiliser projects
* Excise duty on fuel oil used for fertiliser manufacturing should be abolished.
Oil & gas
* Infrastructure status for Oil and Gas to promote investments with tax sops.
* Tax benefits for city gas distribution and extension in tax holiday for new refineries
* Declared goods status to be given to natural gas.
* Abolishing service tax on exploration and production activities.
Telecom
* Unification of tax regime from current differential taxation methods
* Reduction in license fee to 6%
* Tax holiday for mergers and acquisition activities of telecom companies to be extended till April 2010
* Clarity on 3G Auction timeline
* Increase in service tax by 200 basis points
* Government to use Universal Service Obligation funds for rural and broadband penetration
* Increase in Minimum Alternate Tax from the present 16.5%.
Read the complete analysis of the Union Budget 2010-2011 at www.stockinvest.in
Monday, March 30, 2009
Value stock picks
When the times are tough the good gets the same treatment as the bad and worse. Sensible people fail to distinguish between great opportunities and bad investments.
The sentiment in the stock market is a curious thing. It colors all the stocks with the same hue when the sentiment is negative and on a positive run even penny stocks look like value buys.
The global meltdown, both on the domestic front and globally, has led to a sharp decline in stock prices across the board in the last one year. Many stocks are quoting below their book values. Book value of a stock reflects the intrinsic value of the company and the stock. Many such stocks offer a great investment opportunity. Good companies are capable of delivering consistent performance even under tough conditions. Such value stocks will be the first to bounce back when the stock market sentiment improves.
Here are some of the value picks in the Indian Stock Market in the current scenario:
Bartronics BEML, Gateway Distriparks, IVRCLSimplex Infra, Tanlas Solutions, Tata Chemicals
Some other stocks which make a good buy at their current prices include Amtek India, Bharati Shipyard, EMCO, ICSA (India), Mah Lifespace, Mcleod Russel, MIC Electronics, Nagarjuna Cons. , Patel Engg., PTC India, Rolta India, Sanghvi Movers, Sasken Comm.
To read the complete list of value stock picks and more investing ideas click on the link below:
Value stock picks>>>>>>>>
To read about more stock market investing ideas and stock picks click in the link below:
>>>>>>>>>>>www.stockinvest.in
The sentiment in the stock market is a curious thing. It colors all the stocks with the same hue when the sentiment is negative and on a positive run even penny stocks look like value buys.
The global meltdown, both on the domestic front and globally, has led to a sharp decline in stock prices across the board in the last one year. Many stocks are quoting below their book values. Book value of a stock reflects the intrinsic value of the company and the stock. Many such stocks offer a great investment opportunity. Good companies are capable of delivering consistent performance even under tough conditions. Such value stocks will be the first to bounce back when the stock market sentiment improves.
Here are some of the value picks in the Indian Stock Market in the current scenario:
Bartronics BEML, Gateway Distriparks, IVRCLSimplex Infra, Tanlas Solutions, Tata Chemicals
Some other stocks which make a good buy at their current prices include Amtek India, Bharati Shipyard, EMCO, ICSA (India), Mah Lifespace, Mcleod Russel, MIC Electronics, Nagarjuna Cons. , Patel Engg., PTC India, Rolta India, Sanghvi Movers, Sasken Comm.
To read the complete list of value stock picks and more investing ideas click on the link below:
Value stock picks>>>>>>>>
To read about more stock market investing ideas and stock picks click in the link below:
>>>>>>>>>>>www.stockinvest.in
Tuesday, March 17, 2009
5 Signs of Stock Market Bottom
Since the beginning of the bear market since late 2007, the BSE index SENSEX has been falling with small breathers of trading in a range sometimes and still smaller bump up which did not sustain. Most mini rallies the stock market has witnessed have quickly dissipated in the face of bear hammering.
In the last couple of trading sessions the Indian stock market is yet again making another attempt at a rally. This rally has come at the back of remarks from bank CEOs and economic data that has led investors to believe they'd gotten too pessimistic.
The BSE is following global cues as the Dow Jones industrial average rallied for four straight days from nearly 12-year lows, and gained 597 points, or 9 percent — its best week since November. That followed a two-and-a-half month drop in the Dow of nearly 25 percent
According to Tobias Levkovich, chief U.S. equity strategist for Citigroup "People have been worried that we're heading into this abyss ‘but’ there are signs that that's not the case, and there is some floor somewhere — that we may have overreacted."
The question top most on the mind of stock market investors is that if the worst really over?
There's no formula to find out if this latest rally will sustain. But market analysts are watching closely for signs that the worst might be behind us, and they say some good signs are starting to pop up.
"There are little subtle things that have happened that are good — good enough to see that market is trying to establish a near-term bottom," said John Kosar, market technician and president of Asbury Research in Chicago. "But it's way, way, way too premature to try to make an argument that this is 'The Bottom.' "
So what are the signs a prudent investor would look for to find out if the stock markets have bottomed out and what would indicate that there might be more down side yet?
FIVE SIGNS INDICATING THAT STOCK MARKET MAY HAVE BOTTOMED OUT:click here
FIVE SIGNS THAT THE STOCK MARKET BOTTOM IS YET TO BE MADE:click here
Read the complete Article and much more about stock picks, stock tips, stock market analysis and basics of stock market at Stockinvest.in
In the last couple of trading sessions the Indian stock market is yet again making another attempt at a rally. This rally has come at the back of remarks from bank CEOs and economic data that has led investors to believe they'd gotten too pessimistic.
The BSE is following global cues as the Dow Jones industrial average rallied for four straight days from nearly 12-year lows, and gained 597 points, or 9 percent — its best week since November. That followed a two-and-a-half month drop in the Dow of nearly 25 percent
According to Tobias Levkovich, chief U.S. equity strategist for Citigroup "People have been worried that we're heading into this abyss ‘but’ there are signs that that's not the case, and there is some floor somewhere — that we may have overreacted."
The question top most on the mind of stock market investors is that if the worst really over?
There's no formula to find out if this latest rally will sustain. But market analysts are watching closely for signs that the worst might be behind us, and they say some good signs are starting to pop up.
"There are little subtle things that have happened that are good — good enough to see that market is trying to establish a near-term bottom," said John Kosar, market technician and president of Asbury Research in Chicago. "But it's way, way, way too premature to try to make an argument that this is 'The Bottom.' "
So what are the signs a prudent investor would look for to find out if the stock markets have bottomed out and what would indicate that there might be more down side yet?
FIVE SIGNS INDICATING THAT STOCK MARKET MAY HAVE BOTTOMED OUT:click here
FIVE SIGNS THAT THE STOCK MARKET BOTTOM IS YET TO BE MADE:click here
Read the complete Article and much more about stock picks, stock tips, stock market analysis and basics of stock market at Stockinvest.in
Tuesday, February 17, 2009
Sector and Stock Picks- Agriculture
In India more than 65 per cent or 13.5 crore households live in rural areas. A large population also means a lot of opportunities for companies serving the needs of these individuals. India has a lot of untapped business opportunities in the vast rural domain. For instance, the Indian wireless business has grown the fastest in the world, thanks partly to low penetration levels in the country. Even after many years of high growth, the mobile penetration is still low at less than10 per cent in rural India, thus reflecting the untapped potential.
Over the last one decade (FY 1998-2008), India’s per capita income has more than doubled from $418 to over $1,000. On an average, the per capita income in rural India has grown by 4 per cent annually—or by 50 per cent in ten years. Among key reasons for the latter are the rising commodity prices (Minimum Support Price; MSP for crops), better resource utilization, improving productivity and higher production.
Which are the companies which will directly benefit from the prosperity in the rural sector? Read more to learn about stocks and companies which will grow with rural economic growth.Stocks discussed-Bharti Airtel, State Bank of India, Rallis, Jain Irrigation, Chambal Ferilizer, Hero Honda, Hindustan Unilever.
Read the complete article>>>>> click here
Over the last one decade (FY 1998-2008), India’s per capita income has more than doubled from $418 to over $1,000. On an average, the per capita income in rural India has grown by 4 per cent annually—or by 50 per cent in ten years. Among key reasons for the latter are the rising commodity prices (Minimum Support Price; MSP for crops), better resource utilization, improving productivity and higher production.
Which are the companies which will directly benefit from the prosperity in the rural sector? Read more to learn about stocks and companies which will grow with rural economic growth.Stocks discussed-Bharti Airtel, State Bank of India, Rallis, Jain Irrigation, Chambal Ferilizer, Hero Honda, Hindustan Unilever.
Read the complete article>>>>> click here
Subscribe to:
Posts (Atom)
Posts
