In the weekly roundup, we talk about the major business news from across India in the week gone by. From Ola Electric IPO to Flipkart’s quick commerce debut, here’s all to know about.
Here’s the Weekly Business Roundup at 10:00 am on 10th August, 2024.
[Disclaimer: This transcript is auto-generated]
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Let’s begin – The income tax department has said that over 4 crore ITRs have been filed up to July 22, which is less than 45% of all income taxpayers in the country who have filed for assessment year 2024-25. According to the IT department, this is 8% more compared to returns filed in the same period last year. The IT department announced a few key milestones crossed. As of 16 July 2024, the number of ITRs filed per day had crossed 15 lakh filings per day. It is expected to increase significantly over the next few days as nearly 50% of taxpayers are yet to file returns by 31 July, which is the last date for filing returns.
Up next – The Mumbai-Ahmedabad Bullet Train project is moving forward like a comet, blazing with unstoppable momentum. The National High-Speed Rail Corporation Limited has achieved a significant milestone by placing 290 sleek girders spanning 12 kilometers in one direction. Now, poised for the next phase, they gear up to install an additional 380 girders in the opposite direction, marking a decisive leap towards an accelerated future. Girders form the base upon which the railway tracks are laid. They must be exceptionally strong to withstand the high speeds and weight of bullet trains. In many cases, bullet train tracks are elevated to avoid obstacles and optimize speed. Girders are essential in constructing these elevated sections.
Moving on – The government’s food subsidy outgo in FY25 is likely to see a sharp increase against the budget estimate of Rs 2.05 trillion, because of mounting economic costs of PDS rice, with stocks being 3.5 times the buffer at present. In the budget estimate for FY25, the finance ministry is likely to make provision of Rs 50,000 crore towards ‘ways and means’ advance to Food Corporation of India. In FY24, half this amount was provided as ways and means. In the previous years, the finance ministry had provided Rs 10,000 crore-25,000 crore to FCI as short term arrangements which were then adjusted against the actual food subsidy allocation for the fiscal.
In another development – Federal Bank posted its fiscal first quarter profit at Rs 1009.53 crore, up 18.2% in comparison to Rs 853.74 crore recorded during the corresponding quarter of FY24. It registered total interest earned during the quarter at Rs 6330.88 crore, up 26% as against Rs 5024.53 crore during the same period last year. Federal Bank posted Net Interest Income at Rs 2291.98 crore, up 19.46%. The Bank registered operating profit of Rs 1500.91 crore. Operating profit recorded a growth of 15.25% on a year-on-year basis. Federal Bank recorded a total business during the quarter at Rs 4,86,871.33 crore, up 19.92%. The ROA & ROE of the Bank for the quarter stood at 1.27% and 13.64% respectively.
Meanwhile – As per a global study titled ‘Pivotal: How treasury and finance enable a new era of globalisation’ conducted by DBS Bank, the top three priorities for the next two years for Indian businesses include securing new skills and talent, improving productivity and operational performance, business diversification through innovation, financing and exploring new market channel. Notedly, the study reveals the strategic priorities along with the potential challenges for businesses in the era of globalisation. It is conducted through a survey of over 570 senior executives from 15 countries including India. The study reveals that 78% of businesses in the upcoming couple of years will give precedence to securing new skills and talent while 76% will focus on improving productivity and operational performance.
In other news – The UPSC has announced the introduction of several advanced security measures, including Aadhaar-based fingerprint authentication, facial recognition, and live Artificial Intelligence-based CCTV surveillance in a move to bolster the integrity of its examinations. These steps aim to prevent cheating, fraud, unfair means, and impersonation during UPSC-conducted exams. To enhance exam security, UPSC has invited bids from PSUs to provide technological services during these exams. According to the tender documents, UPSC will provide the exam schedule, list of venues, and number of candidates per venue to the service provider two to three weeks before the examination. Candidate details, including names, roll numbers, and photos, will be shared seven days before the exam for use in fingerprint authentication and facial recognition.
Lastly – The Supreme Court on Thursday held that royalty payable on minerals is not a tax, overturning its 1989 decision. The court said states have the legislative competence to impose taxes on mines and minerals-bearing lands. The SC ruled by a majority 8:1 verdict, that the Constitution’s provisions prohibit Parliament from taxing mineral rights. Leading the Bench, Chief Justice of India DY Chandrachud said that Justice B V Nagarathna had delivered the dissenting verdict. The highly controversial questions of whether the royalty paid on minerals is a tax under the Mines and Minerals (Development and Regulation) Act, 1957, and whether the states or only the Centre is authorised to levy such an exaction on mineral-bearing land in their jurisdiction were being heard by the Bench.
