No tax for NRIs who buy overseas tour packages: India

News Network
April 1, 2022

New Delhi, Apr 1: The Indian government has ruled that domestic tour operators do not have to collect tax on the sale of overseas tour packages for NRIs.

The Central Board of Direct Taxes (CBDT) has relaxed the provision of tax collected at source of five per cent under the Income Tax act.

The CBDT said domestic tour operators claimed they faced difficulties in collecting tax from NRIs visiting India, who had bought overseas packages from them.

“Since such persons may not have a PAN (Permanent Account Number) card, tax is required to be collected at higher rates,” said a CBDT release. “Further, such non-residents may find it difficult to furnish their ITR and claim refunds.”

The move has been welcomed by many people involved with NRI-related taxation issues.

“The purpose was to collect information and monitor tax compliances of high spending individuals,” Neeraj Agarwala, partner, Nangia Andersen LLP, told a newspaper.

“However, the way the provisions were drafted, tour operators were even required to collect taxes from non-residents, who are otherwise not taxable in India, at the time of booking their return tickets from India.”

The five per cent tax was introduced in April 2020. However, the tour operators complained to the government about the difficulties they experienced and how they could not collect the tax from NRIs who did not have PAN/Aadhaar cards and could not claim tax refunds.

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News Network
May 28,2023

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Mangaluru, May 28: The customs officers seized 306.21 carat diamonds of different sizes from a passenger at Mangaluru International Airport. The value of the seized diamond is Rs 1.69 crore. 

Customs official said that during the pre-embarkation security check of passengers at the Mangaluru International Airport, the CISF personnel intercepted a passenger bound to Dubai and found two pouches concealed in his underpants on the suspicion that they contained precious stones.

The passenger hailing from Kasaragod was offloaded and handed over by CISF to the customs officers at the airport for further investigation. 

The two pouches contained 13 smaller packets with diamonds of different sizes. 

The passenger was arrested and produced before the Magistrate who remanded him in judicial custody. Further investigations are in progress.
 

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News Network
June 2,2023

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Washington, June 2: Congress leader Rahul Gandhi on Thursday said the Opposition is pretty well united and a lot of good work is happening on the ground as he asserted that there is a hidden undercurrent building and it will "surprise" the people in the next general elections.

Gandhi, who is in the US for a three-city US tour, made the remarks in response to a series of questions during an interaction with the media at the National Press Club here.

"I think the Congress party will do very well in the next two years. I think it will,” said 52-year-old Gandhi, a former party president.

"I think there is a hidden undercurrent building…I think (the outcome) will surprise people,” he added.

Pointing out the outcome of the Karnataka assembly elections where Congress secured a comfortable majority and ousted the BJP from power, Gandhi said, "Wait and watch the next three or four state elections…. which is a better indicator of what's going to happen.”

Responding to another question, Gandhi said the Opposition in India is pretty well united. "And I think it's getting more and more united. We're having conversations with all the Opposition (parties). I think quite a lot of good work is happening."

"It's a complicated discussion because there are spaces where we have competing also with (other) Opposition (parties). So, it's a little bit of give and take as required. But I'm confident that that will happen,” he added.

Gandhi also answered a range of questions, including on press and religious freedoms in India, the issues faced by the minorities and on the state of the economy.

When asked about the worldwide high levels of popularity of Prime Minister Narendra Modi, Gandhi said there is a "definite capture of the institutions of the country. There's a definite capture of the press in the country. I'm not convinced that you know, I don't, I don't believe everything I hear."

When asked what his party would do to implement to ensure the rights of minorities in India if it came to power, he said, "India has a very robust system already in place, (but) that system has been weakened...You have to have an independent set of institutions that are not pressurized and controlled. And that's been the norm in India. This is an aberration that is taking place in India...If you say that if Congress came to power that they could quickly be restored, quickly."

On weakening press freedom in India, he said press freedom is very, very critical for democracy.

"It's not just press freedom. It's political access on multiple axis, there is a clamp down on the institutional framework that allowed India to talk, that allowed the Indian people to negotiate.... And that structure that allows the negotiation between India's people is coming under pressure,” he added.

On US-India ties, he said the relationship between India and the United States is very, very important.

"It's important to have have a defense relationship. But I think we need to also consider other areas (of cooperation)," he added.

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News Network
May 31,2023

Managluru, May 31: The National Investigation Agency (NIA) sleuths on Wednesday simultaneously raided 16 places in Dakshina Kannada district of Karnataka in connection with its ongoing investigations into terror funding.

The properties searched reportedly belong to activists of the now-banned Popular Front of India (PFI). The raid is based on inputs about funding from Gulf countries to Karnataka for helping radical organisations in terror-related activities, sources claimed. 

Sources said the search was conducted in the city as well as Bantwal, Uppinangady, Venur and Belthangady. The places raided included a few houses, shops and a hospital. Digital evidence regarding money transactions was collected.

The NIA had earlier conducted searches in the coastal district in March last to find out the sources of funding for terror-related activities, including the case in connection with the plot of the PFI to attack Prime Minister Narendra Modi on July 12, 2022, at a rally in Bihar.

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