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February 11, 2016
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February 18, 2016

Market expectation from budget 2016-2017

Jamaat-sends-sugggestions-for-budget
Union Budget, will be represented on Feb 29,2016 whereas rail budget will be announced by our Railway Minister Suresh Prabhu on Feb 25,2016.

For the first time in History of Indian Railway, Ministry of Railway decided to invite ideas and suggestions from public to improve its operations and amenities to a satisfactory level. 
 
These opinions/suggestions were given online till Jan15. Public was asked to share his
ideas about crime prevention, safe running of trains, disaster
management, computerization, electrification, station development, road
over-bridge, other innovative ideas related trains and corruption.

Mr. Suresh Prabhu is likely to announce the fuel management
system in the Rail Budget 2016-17 on February 25, indicating the
expansion of Information and Communications Technology (ICT) basket in
the public sector behemoth.

And from upcoming union budget investors are having lot of expectations  and concerns viz :

– Hoping for (Securities Transaction Tax)STT cut : Currently yearly revenue of government by this collection is about 6-7 thousand crores. If they increase it by some small percent, this will not actually add too much into govt. funds but instead will distract investors.

– Exemptions on Capital Gains  : Till now capital gain tax of 15% is deducted if someone exits from a stock in less than a year. Govt. is planning to increase this time span upto 3  years. In short term it may look negative but in long run, markets will be stable on a 3 years span.

– Exemption in (Dividend Distribution Tax)DDT : There is a view among policy makers for tax on dividend paid by companies, till now shareholders are not paying any taxes on dividends, but the companies are paying a tax of 20.357% (including 12% ST). If it is exempted it may encourage companies to pay more frequent dividends.

Hope for an STT cut:
The analyst community is hoping against hope for a cut in the STT rate
in the forthcoming Budget. Some, however, feel a hike in the STT rate
could be in the offing.

Brokerage Bofa-ML in a note said STT
brings in around Rs 5,000-7,000 crore annually to the government
coffers. Any hike in the STT rate, from 0.1 per cent at present to, say,
0.123 per cent can add Rs 1,000-1,800 crore to the government’s kitty.

“But this is not a meaningful inc ..

Hope for an STT cut:
The analyst community is hoping against hope for a cut in the STT rate
in the forthcoming Budget. Some, however, feel a hike in the STT rate
could be in the offing.

Brokerage Bofa-ML in a note said STT
brings in around Rs 5,000-7,000 crore annually to the government
coffers. Any hike in the STT rate, from 0.1 per cent at present to, say,
0.123 per cent can add Rs 1,000-1,800 crore to the government’s kitty.

“But this is not a meaningful inc ..

Read more at:
http://economictimes.indiatimes.com/articleshow/50982651.cms?prtpage=1&utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst
Hope for an STT cut:
The analyst community is hoping against hope for a cut in the STT rate
in the forthcoming Budget. Some, however, feel a hike in the STT rate
could be in the offing.

Brokerage Bofa-ML in a note said STT
brings in around Rs 5,000-7,000 crore annually to the government
coffers. Any hike in the STT rate, from 0.1 per cent at present to, say,
0.123 per cent can add Rs 1,000-1,800 crore to the government’s kitty.

“But this is not a meaningful inc ..

Read more at:
http://economictimes.indiatimes.com/articleshow/50982651.cms?prtpage=1&utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst

Hope for an STT cut:
The analyst community is hoping against hope for a cut in the STT rate
in the forthcoming Budget. Some, however, feel a hike in the STT rate
could be in the offing.

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