&w=3840&q=100)
No proposal to grant GST exemption on utilisation of MPLADS funds
'As far as the burden of GST on MPLADS funds is concerned, utilisation of funds for receiving supply of goods and services under the scheme is taxable as per the applicable GST rates. The GST rates and exemptions are prescribed based on the recommendations of the GST Council, which is a statutory body. At present, there is no proposal under consideration for granting any exemption of GST on utilisation of MPLADS funds,' the ministry told the parliamentary panel.
Earlier, the House panel had urged the ministry to prepare a proposal to take up the matter with the finance ministry for waiving GST on MPLADS to enhance the effectiveness of the scheme.
'The Committee observes that this scheme of noble cause is heavily burdened under the GST, and the current amount of funds that have been earmarked for this scheme seems to be insufficient to fulfil the desired objective. The Committee recommend the ministry to prepare a proposal to take up the matter with the finance ministry for waiving off GST from MPLADS to enhance the effectiveness of the scheme,' the House panel had noted.
Besides, the House panel also inquired whether there was a proposal to increase the yearly allocation under the scheme from ₹5 crore per member, as the current amount of funds seems insufficient due to inflation and to fulfil the desired objective of creating 'durable community assets of national priorities in the interest of the common public.'
To this, the ministry submitted that at present, the approval for the scheme is till 2025–26, and it would take action for extension of the scheme beyond 31 March 2026, following due process of third-party evaluation, consultation with stakeholders, and taking into account the requests received.
Meanwhile, in response to the House panel's expectation that the ministry remain committed to introducing further reforms in the National Statistical System (NSS) to boost its efficacy and make the estimates more robust, the ministry replied that the NSS has consistently adapted itself to the growing data requirements of the nation, mainly through embedding modern technological advancements.
'Through its mathematically valid scientific survey designs, 100 per cent digital data collection, robust online scrutiny and data cleaning, NSS is now capable of conducting a number of surveys simultaneously across the nation and publishing the results with zero delay,' it said.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
24 minutes ago
- Time of India
Texas Senate special committee holds hearing after House Dems walkout on redistricting map
Watch live as the Senate Special Committee holds a hearing on congressional redistricting, after a walkout by House Democrats stalled redrawn political maps sought by President Donald Trump ahead of the 2026 elections to bolster Republican chances of keeping their U.S. House majority. Show more Show less
Business Standard
an hour ago
- Business Standard
Dhruva Advisors Unveils Second Edition of 'Investing in India 2025': A Comprehensive Guide for Global Investors
NewsVoir Mumbai (Maharashtra) [India], August 7: Dhruva Advisors, one of India's leading homegrown tax and regulatory consulting firms, has released the next edition of its flagship publication - "Investing in India 2025". Building on the foundation laid by the first edition launched in January 2025, this edition seeks deeper insights into India's evolving regulatory and tax ecosystem, making it a critical reference point for global businesses, family offices, and investment funds evaluating opportunities in India. The publication provides a 360-degree view of India's current investment climate, covering policy reforms, international tax considerations, business structuring options and state-level incentives. Key chapters focus on FDI strategies, transfer pricing, foreign trade policy, income tax developments, GST nuances, and repatriation mechanisms, equipping stakeholders with practical guidance to navigate India's complex legal terrain. The report addresses crucial themes including: * Inbound structuring and entity selection * Foreign Direct Investment (FDI) regulatory frameworks and sectoral limits * Cross-border tax challenges such as Permanent Establishment (PE) and profit attribution * Digital economy taxation and the phasing out of unilateral levies like the Equalisation Levy * Transfer pricing complexities, particularly around GCCs and intra-group services * Exit mechanisms, including indirect transfers and fund repatriation * Policy updates such as India's PLI schemes, SEZ policies and the Income-tax Bill, 2025 This edition also offers in-depth commentary on reverse flipping trends, the impact of BEPS, and the growing role of GIFT City as a strategic hub for fund setups and cross-border financing. Commenting on the latest edition, Mr. Dinesh Kanabar, CEO, Dhruva Advisors, said, "India's growth trajectory has captured the attention of the global investment community. Through "Investing in India 2025" report, we aim to discuss the information asymmetry and offer clarity on the country's regulatory roadmap. With India repositioning itself as a strategic hub for capital, talent, and innovation, the need for accurate and actionable insights is more critical than ever." The report delves into litigation trends in faceless assessments, key judicial developments, and evolving anti-abuse frameworks affecting treaty benefits, transfer pricing, and indirect share transfers. It underscores Dhruva Advisors' focus on simplifying complex tax structures and helping investors align strategy with regulatory expectations. The second edition also spotlights the growing significance of GIFT City, the digital transformation of compliance systems and the rise of sustainability-linked regulations shaping India's next economic chapter. This report is targeted at multinational companies, private equity and venture capital funds, sovereign wealth funds, foreign portfolio investors (FPIs) and NRIs/OCIs seeking to channel investments into India. The publication can be downloaded from here. Dhruva Advisors offers an extensive range of services in the tax and regulatory space to clients in India and globally. With a highly regarded team of seasoned professionals, Dhruva delivers well-thought-out strategies and solutions for complex tax and regulatory issues. The firm has advised on some of the most significant transactions and managed several of India's largest and most critical tax controversies. Dhruva is also recognized for pioneering solutions across various aspects of domestic and international tax, backed by a proven track record. The team brings deep industry expertise across diverse sectors, including Aerospace & Defence, Automotive & Ancillary, Agro & Chemicals, Conglomerates, Energy & Resources, Education, Financial Services, IT & ITes, Manufacturing & Real Estate, Global Capacity Centres, Pharma, Life Sciences & Healthcare, Private Equity, Transport, Telecom and Media.
The Hindu
an hour ago
- The Hindu
Weavers sit idle in Kannur's heritage village as handloom industry struggles
The handloom heritage village of Azhikode, once alive with the rhythmic clatter of magghams (frame looms), stood eerily silent on Thursday. Even as the nation marked National Handloom Day, most weavers in the village sat idle. Azhikode's weaving legacy dates back to the 16th century when Kolathiri Raja invited the Saliya weaver families to settle here. Their arrival created weaving streets across Kannur. The industry peaked during the 1960s and 80s, when Kannur crape fabric became popular in western markets. However, Azhikode and many other such villages in Kannur are today a pale shadow of their past. 'Today, most houses have abandoned weaving and only a handful still retain looms, often lying unused. Had it not been for the heritage village board put up by the District Tourism Promotion Council, the identity of the place would have vanished,' says Sasidharan Thekkan, a weaver, who now runs a grocery shop, The board was formed after the handloom village project began on January 5, 2015 under United Democratic Front government. Prabhakaran Badi, 65, recalls the time when several companies and societies employed weavers here. He lost his job over ten years ago after the Rajarajeswari Weaving Mill, where he worked for over two decades, downed shutters. 'I still spin some yarn, but it mostly lies idle. If I spin a kayi (local unit) of thread, I get ₹16. That takes an hour. How can we survive on that,' Mr. Badi asks. Pavithran, who worked in the sector for 50 years, now runs a single frame loom at home for export orders. 'Youngsters prefer jobs that earn them ₹1,000 a day instead of ₹400 after 10 hours of weaving,' he says His son, C. Arun, an engineer working in Mangaluru, says there is no respect in this job. 'Poor pay will only push us into debt.' 'The heritage village tag has brought no development or benefit for the weavers,' he adds. A.V. Gopalan, 74, who started weaving at 14 years of age and still works in the Karivellur Weavers Society, says there has been no change and the traditional handloom sector is facing issues due to lack of employment, wages, and benefits. K.V. Santhosh Kumar, secretary of the Kannur District Handloom Societies Association, says Kannur had 65 societies but only 35 survive now. 'Of over 10,000 weavers and workers earlier, only 2,800 are working now, most of them women. Besides wage arrears is an issue in the sector,' he says. He says the government's school uniform project now makes up half the output of most societies. 'Wages of four months coming to ₹4.5 crore are pending for workers in Kannur,' he says adding that his society, Kalliassery Weaver Industrial Cooperative Society, suffered a loss of ₹60 lakh producing 70,000 metres of uniforms. He says GST has further strained finances of the societies. 'Earlier there was no GST. Now, 5% GST on uniform fabric production in unrecoverable, burdening the societies,' he says. He claimed that HANTEX, the apex handloom cooperative, owed ₹10 crore in dues to societies. The sector fears further setbacks with the United States imposing 25% tariff on Indian exports
