Sidhu jolts BJP amidst talk of joining AAP

 New Delhi: In a jolt to BJP in Punjab, Navjot Singh Sidhu today resigned from Rajya Sabha, only about three months after his nomination by the government, as speculation raged that he could join Aam Aadmi Party and be its face in the Assembly polls next year. The resignation of 52-year-old Sidhu, who was nominated on April 22, has been accepted by Chairman Hamid Ansari with immediate effect, the House was informed today.While he was not available for comments, there is talk of Sidhu joining the AAP ahead of the state elections and may be made the party''s face in the state. Sidhu did not answer calls made to him.

FPIs invest Rs 9,700 cr in capital markets in two weeks

New Delhi, Jul 17 (PTI) Foreign investors have brought in over Rs 9,700 crore into the Indian capital markets in the first two weeks of this month on improving prospects for the economy and hopes of better corporate earnings.

Interestingly, most of the incoming investments are in the debt markets during the period under review.

The investment in July is followed by an outflow of Rs 4,373 crore in the preceding two months (April-May). The pull out was mainly due to outflow in debt markets.

According to the depositors' data, the net investment of foreign portfolio investors (FPI) stood at Rs 4,464 crore in the stock market during July 1-15, while it Rs 5,304 crore in the debt markets during the same period taking the total inflow to Rs 9,768 crore (USD 1.45 billion).

A slew of steps taken by the government to turn around the economy including relaxing FDI rules, approval of new mineral exploration policy as well as model law on shops and establishments. All this cheered investors, market experts said.

Besides, there was good news on the monsoon front and experts are hoping for better corporate earnings numbers for the quarter, which helped in boosting investors' sentiments.

So far this year, FPIs have invested Rs 23,630 crore in equities, while withdrawing Rs 6,265 crore from the debt market. This resulted in a net flow of Rs 17,365 crore.

President, PM congratulate Vijender on clinching Asia title

 New Delhi, July 17 (PTI) President Pranab Mukherjee and Prime Minister Narendra Modi today congratulated Vijender Singh on clinching the WBO Asia Pacific Super Middleweight title, saying that the star boxer has made the country proud with his feat.

Vijender scored a dominating win over Welsh-born Australian Kerry Hope in a 10-round bout here last night.

"Hearty congratulations @boxervijender, you have made whole nation proud with victory in WBO Asia Pacific championship," President Mukherjee wrote on his official twitter handle.

PM Modi lauded Vijender for his immense skill, strength and stamina while dismantling his opponent to win the Asia Pacific title.

"Congratulations @boxervijender for a hard fought and well deserved win. It was yet another display of immense skill, strength & stamina," Modi wrote on his personal Twitter handle.

Indian cricket limited overs captain Mahendra Singh Dhoni, star boxer Mary Kom, former India cricketers Virender Sehwag and V V S Laxman, and Haryana and Delhi Chief Ministers Manohar Lal Khattar and Arvind Kejriwal were among those who congratulated Vijender on his achievement.

"Saw a full mch of boxing after yrs. thks @boxervijender for mkg INDIA proud, it's just the start ur hrd wrk, dedication and sacrifice paid off," Dhoni tweeted.

"Congratulation@boxervijender," tweeted Olympics bronze medallist Mary Kom, who also watched the bout last night.

"Congratulations to the talented @boxervijender for winning the WBO Asia Pacific Super Middleweight title.

#Haryana is proud of you!," Haryana CM Khattar tweeted.

"Congrats @boxervijender," wrote Delhi CM Kejriwal.

Sehwag, who himself was present at the Thyagaraj Stadium last night, was effusive in his praise of Vijender.

"Many congratulations #VijenderSingh, Thok Daala Tau! Australia ka Hope fuss in front of our Tope @boxervijender," he tweeted.

He tweeted earlier, "Mukkon ki dhardhar Barsaat happening by our #RingKaKing @boxervijender."

Laxman, said, "Congratulations @boxervijender ??You deserve every bit of the WBO title??Great sporting news for India."

IPL chairman Rajeev Shukla, who also watched the bout last night, tweeted, "Great Spirit. @boxervijender once again made India proud. Congrats for winning the WBO Asia Pacific Championship.

Pema Khandu sworn in as Arunachal Chief Minister

 Itanagar, Jul 17 (PTI) Pema Khandu was today sworn in as the new Chief Minister of Arunachal Pradesh heading a Congress government, a day after the party pulled off a dramatic success winning back all its rebels by choosing a new leader, marking the culmination of fast-paced political developments.

Chowna Mein was sworn in as the Deputy Chief Minister.

Son of late Chief Minister Dorjee Khandu, 37-year-old Pema, who became the youngest chief minister in the country and the ninth in the tiny northeastern state, and Mein were administered the oath of office and secrecy by Governor Tathagata Roy at the Rajbhavan here. Dorjee Khandu had died in an air crash in 2011.

Addressing a press conference shortly after he was sworn in, Pema said an expansion of his ministry would take place only after the Governor returned to the state. Roy, who is Governor of Tripura, is holding additional charge as Arunachal Pradesh Governor.

Pema said he would inculcate a 'Team Arunachal spirit among elected leaders irrespective of party affiliations for overall development of his state. "All elected leaders of the state would be made a part of the development process cutting across political lines."

From assisting his father in politics to working for social transformation, Pema has come a long way to occupy the coveted post.

Hours ahead of the scheduled floor test in the Assembly yesterday which Chief Minister Nabam Tuki was directed by the governor to take, the Congress Legislature Party had elected Pema, in place of Tuki, in a dramatic turnaround. Tuki was restored to the Chief Minister's post on Wednesday by the Supreme Court.

Pema then staked claim to power on the basis of the support of 45 party MLAs along with two independents.

In a volte-face, ousted chief minister Khaliko Pul also returned to the party fold with 30 dissident MLAs, a move that stunned the BJP which had supported his government.

In the 60-member House with an effective strength of 58, Congress now claims the support of 47 MLAs, including two independents.

Eldest son of the family, Pema, a graduate from Delhi's prestigious Hindu College, had an early entry into governance after his father's demise.

Pema, who hails from Tawang, first entered the Arunachal Pradesh assembly in 2011 to fill the vacancy caused by his father's death.

His election as MLA from Mukto (ST) constituency was uncontested and he was soon included in the state government as Cabinet Minister for Water Resources Development and Tourism in the Jarbom Gamlin ministry.

He also became the cabinet minister for Rural Works Department (RWD) and Tourism since November 21, 2011 in Nabam Tuki government and thereafter served the state as cabinet minister for Tourism, Civil Aviation and Art & Culture.

He was re-inducted as the Urban Development Minister on June 1, 2014 in the Tuki government after the general elections.

He quit as minister in October last year and had sided with dissident Kalikho Pul.

On eve of Parliament session, PM reaches out to opposition

On eve of Parliament session, PM reaches out to opposition
 New Delhi, Jul 17 (PTI) Reaching out to the opposition, Prime Minister Narendra Modi today sought its cooperation in the passage of GST bill even as it asserted that government will be targeted over developments in Arunachal Pradesh and Kashmir during Parliament's Monsoon Session starting tomorrow.

As sparks are set to fly in Parliament over a range of issues, Modi also urged all the political parties to keep national interests above any other considerations. "We represent both the people and parties and there is a need to keep national interests above anything else".

At an all-party meeting convened by the government a day before Parliament meets, Congress said it will support bills but based on merit but offered no assurance on the GST, saying it can take a stand only after the government gives it a "written draft" over concerns raised by it.

Noting that important Bills including the GST will be taken up during the session, Modi expressed the hope that there would be meaningful discussions and outcomes.

"The issue is not about which government would get the credit for introduction of GST but what was important is the passage of the Bill," he said.

With the continuing protests in Kashmir following the killing of Hizbul Mujahideen commander Burhan Wani expected to generate heat in Parliament, Modi commended political parties for speaking in "one voice" over the issue.

"Various parties have given statements on Kashmir events which benefitted the country. This has sent a right message and I thank all the parties for the same," he said.

The Leader of the Opposition in the Rajya Sabha Ghulam Nabi Azad said there should be a discussion in Parliament on the tense situation in Kashmir and that Government should provide an anwser.

The government's unsuccessful NSG bid, floods in some states, agrarian crisis and terrorism were among the other main issues raised by opposition leaders at the meeting.

Azad accused the government of using every trick to destabilise states ruled run by other parties and referred to Arunachal developments and various chief ministers targeting the Centre at the Inetr-State Council meeting yesterday.

Though he did not refer to GST directly, he said the Congress will offer support to bills on merit.

"We have not taken any decision that we have to stop a bill. We will support on merit. We will support any bill which is in support of people, progress and growth," he said.

Another Congress leader Jyotiraditya Scindia said his party can take a stand only after it receives a written response from the government as he played down talks between its leaders and union ministers over the GST.

Parliamentary Affairs Minister Ananth Kumar said the government will talk to all parties to evolve a consensus on the GST.

"Our legislative business, including GST, is a priority.

We want to see to that we pass the GST bill with consensus. We are going to take every party on board," he said.

Turkish forces try to crush last remnants of coup after Erdogan returns

Forces loyal to Turkey's government fought on Saturday to crush the last remnants of a military coup attempt which collapsed after crowds answered President Tayyip Erdogan's call to take to the streets and dozens of rebels abandoned their tanks.

More than 160 people were killed, including many civilians, after a faction of the armed forces tried to seize power using tanks and attack helicopters. Some strafed the headquarters of Turkish intelligence and parliament in the capital, Ankara, and others seized a major bridge in Istanbul.

Erdogan accused the coup plotters of trying to kill him and launched a purge of the armed forces, which last used force to stage a successful coup more than 30 years ago.

"They will pay a heavy price for this," said Erdogan, who also saw off mass public protests against his rule three years ago. "This uprising is a gift from God to us because this will be a reason to cleanse our army."

A Turkish broadcaster reported that a purge of the judiciary was also underway.

One government minister said some military commanders were still being held hostage by the plotters. But the government declared the situation fully under control, saying 161 people had been killed and 2,839 had been rounded up from foot soldiers to senior officers, including those who had formed "the backbone" of the rebellion.

A successful overthrow of Erdogan, who has ruled the country of about 80 million people since 2003, would have marked one of the biggest shifts in the Middle East in years, transforming a major U.S. ally while war rages on its border.

However, a failed coup attempt could still destabilize a NATO member that lies between the European Union and the chaos of Syria, with Islamic State bombers targeting Turkish cities and the government also at war with Kurdish separatists.

Erdogan, who had been holidaying on the southwest coast when the coup was launched, flew into Istanbul before dawn on Saturday and was shown on television outside Ataturk Airport.

Market rebound 710 points this week on strong global cues

 Mumbai, Jul 16 (PTI) Stocks: Strong global cues and inherent domestic market strength led the benchmark Sensex to rally by 709.60 points to finish the week at 27,836.50, while broader Nifty gained 218.20 points to conclude at 8,541.40.

Global stocks surged amid last weekend US jobs report which signalled the American economic recovery is back on track and landslide victory of Japanese ruling coalition that raised hopes for more stimulus.

While domestic market's relative outperformance capability garnered momentum on reports of above normal monsoon, optimism on passage of GST bill during the monsoon session of parliament spurred substantial FII investments in Indian equities.

However, market witnessed volatility with macro-economic data showing rise in both CPI and WPI inflation in June, but expanding Industrial Production (IIP) data helped to strengthen investors' sentiment.

Also, the market witnessed losses during weekend trade as IT index saw a massive sell-off after infosys slashed its full-year revenue guidance. And the same time, European stocks roiled amid terrorist attack in France as gunmen ploughed truck into a crowd killing 84 people.

The Sensex opened higher at 27,358.23 and surged to recapture 28,048.70 before ending the week at 27,836.50, showing a gain of 709.60 or 2.62 per cent.

The NSE 59-share Nifty also rallied by 218.20 points or 2.62 per cent to 8,8,541.40 after moving between 8,594.80 and 8,407.05.

Buying was led by metal, banks, auto, PSUs, capital goods, oil & gas, consumer durable, realty, FMCG, power, healthCare.

IT and Teck sectors witnessed selling pressure on the D- street.

Government reaches out to opposition for support on GST bill

India's Finance Minister Arun Jaitley addresses a gathering during ''Advancing Asia: Investing for the Future'' conference in New Delhi, March 11, 2016.

New Delhi : The BJP-led central government held talks with its main political rival, the Congress party, to settle differences over tax reform legislation on Friday, and sources in the two groups with direct knowledge of the matter said a consensus appeared possible in a parliament session starting next week.

The proposed reform, India's biggest revenue shake-up since independence in 1947, seeks to replace a slew of central taxes and levies in 29 states, transforming the nation of 1.2 billion people into a customs union.

Prime Minister Narendra Modi's party, which lacks a majority in the Rajya Sabha, has reached out to the Congress to end its opposition to the Goods and Services Tax (GST) bill which has stalled in parliament for years.

Finance Minister Arun Jaitley told reporters the government was trying to resolve differences with the Congress party, which include its demands to cap the tax rate at around 18 percent in the proposed bill.

The government has said it does not want to be bound to a particular rate written into the law as any future changes would require a further amendment of the constitution.

"We are trying to build a consensus," Jaitley said after meeting top Congress leaders ahead of the monsoon session of parliament beginning on Monday, where the government plans to discuss the bill.

Under pressure to deliver on economic growth and jobs, the government is hoping that the tax reform legislation would make the country an easier place to do business and fuel investment.

The GST bill could add 0.8 percentage point to India's economic growth in 3-5 years, HSBC said in a research note.

Congress leader Anand Sharma said discussions had been held with the finance minister and parliament affairs minister on the bill but declined to go into specifics.

A source in the Congress party, however, said the party was ready to support the bill if the government committed to capping the tax rate later even if it did not make it part of the law immediately.

Despite deep-seated political differences, the Congress party gave the government its support to a landmark bankruptcy bill at the last session.

May shakes up British government to prepare for Brexit

Britain's Prime Minister Theresa May arrives at 10 Downing Street, in central London July 14, 2016.

London : New Prime Minister Theresa May showed a ruthless streak on Thursday in building a cabinet to lead Britain's exit from the European Union, while her finance minister said he would do whatever was necessary to restore confidence in the economy.

A day after replacing David Cameron, May moved to impose her authority by axing a handful of prominent ministers including Justice Secretary Michael Gove, a leading 'Brexit' campaigner who had staged his own bid for prime minister.

Her most contentious appointment is Foreign Secretary Boris Johnson, who compared the EU's aims to those of Hitler and Napoleon during the campaign leading up to Britain's vote last month to quit the 28-nation bloc.

The surprise choice drew a withering response from French Foreign Minister Jean-Marc Ayrault, who described the former London mayor as a liar.

Three weeks after the referendum, May's new government faces the formidably complex task of extricating Britain from the EU - itself reeling from the shock of Brexit - while trying to protect the economy from feared disruption to confidence, trade and investment.

The Bank of England kept interest rates unchanged on Thursday, wrong-footing many investors who had expected the first cut in more than seven years. But it said it was likely to deliver a stimulus in three weeks' time to support the economy, once it has assessed the fallout from the June 23 vote. The pound rose sharply on the news, while shares fell.

New finance minister Philip Hammond signaled he would take a less aggressive approach to cutting the budget deficit than his predecessor George Osborne, who was dumped on Wednesday.

"Markets do need signals of reassurance, they need to know that we will do whatever is necessary to keep the economy on track," Hammond said.

"Of course we've got to reduce the deficit further but looking at how and when and at what pace we do that ... is something that we now need to consider in the light of the new circumstances that the economy is facing."

May, who had favored a vote to stay in the EU, must now decide when and how to start official divorce proceedings from the other 27 countries, who are pressing her to move quickly to lift the uncertainty now hanging over them all.

In her first words to the nation on Wednesday, she promised to champion social justice and to help ordinary Britons in their struggle to make ends meet.

"The government I lead will be driven not be the interests of the privileged few, but by yours. We will do everything we can to give you more control over your lives," she said.

Income Declaration Scheme 2016 – Government Issues Clarifications in the form of Fourth Set of Frequently Asked Questions (FAQs)

The Income Declaration Scheme, 2016 provides an opportunity to persons who have not paid full taxes in the past to come forward and declare their undisclosed income and assets. The Board has issued three sets of clarifications in the form of FAQs. The fourth set of Frequently Asked Questions (FAQs) providing clarification on various issues are in the process of being issued and will be available on the official website of the Income Tax Department i.e., www.incometaxindia.gov.in later today.

Queries have been received from various  stakeholders whether the payment under the Scheme can be made out of undisclosed income without including the same in the income declared, thereby bringing down the effective rate of tax, surcharge and penalty payable under the Scheme to around 31%. The fourth set of FAQs seek to set this issue at rest as follows:

“Question No. 6:       With reference to Question No.5 issued vide Circular No.25 of 2016, wherein it has been stated that the department will not make any enquiry in respect of sources of income, payment of tax, surcharge and penalty, it may be clarified that whether the payment under the Scheme can be made out of undisclosed income without including the same in the income declared, thereby bringing down the effective rate of tax, surcharge and penalty payable under the Scheme to round 31 per cent?

Answer:                      It is clarified that the intent of the clarification issued vide Question No.5 of Circular No.25 of 2016 was limited to conduct of enquiry by the Department. It in no way intends to modify or alter the rate of tax, surcharge and penalty payable under the Scheme which have been clearly specified in the Scheme itself.  Sections 184 & 185 of the Finance Act, 2016 unambigously provide for payment of tax, surcharge and penalty at the rate of 45 per cent of undisclosed income. This is illustrated by the following example—

                                    In a case a person declares Rs.100 lakh as undisclosed income, being the fair market value of undisclosed immovable property as on 1^st June, 2016 and pays tax, surcharge and penalty or Rs.45 lakh (30 lakh + 7.5 lakh + 7.5 lakh) on the same out of his other undisclosed income. In this case the declarant will not get any immunity under the Scheme in respect of undisclosed income of 45 lakh utilized for payment of tax, surcharge and penalty but not included in the declaration filed under the Scheme. To get immunity under the Scheme in respect of the entire undisclosed income of Rs.145 lakh (Rs.100 lakh being undisclosed income represented by immovable property and Rs.45 lakh being the payment made from undisclosed income) and pay tax, surcharge and penalty under the Scheme amounting to Rs.65.25 lakh i.e., 45 per cent of Rs. 145 lakh.”

Other queries related to revision of declaration, chargeability of capital gain and TDS on transfer of property from benamidar to beneficial owner etc. have also been dealt with in the circular.