Government likely to increase angel tax exemption limit. Mutual Funds inflow falls to 24-month low in Jan. Germany prohibits Facebook from combining user data from different sources. Senate probes invasive research apps by Facebook and Google.
Now to Today's Top Business News Stories in Our End Of Day Wrap Up:
Government likely to increase angel tax exemption limit.
Breathe Easy: The government is likely to increase the angel tax exemption limit for startups. As per the new rules, companies whose share premium does not exceed INR25cr (up from the earlier limit of INR10cr) will be exempt from taxation. (Tweet This)
A formal notification regarding the same is to be released by Monday or later next week. Read this article to know what you can expect from the new regulations.
Tax Terrorism: This development comes in wake of startups being harassed by the IT department, where in some cases it withdrew lakhs from bank accounts of companies such as Travel Khanna and Babygogo on the pretext of angel tax. Read this article to know what we are talking about.
Brands consider direct listing on ecommerce websites.
While Some Lose Out, Some Play Smart: Big and small consumer goods brands including Bosch, Puma, Dyson, Siemens, BPL consider direct listing or appointment of an authorised seller on e-commerce market places like Amazon, Flipkart and Paytm Mall as they seek to circumvent new FDI rules for ecommerce.
Background: This move comes after online sales of several brands staggered in the past week after big sellers and services disappeared from marketplaces to meet the revised FDI norms that kicked in from February 1.
One for All: While many struggle to navigate their businesses around new FDI policies, some like Baba Ramdev-promoted Patanjali Ayurved say that the revised ecommerce policy will help in creating a level-playing field for all retail platforms, and encourage fair and healthy competition.
Finance Minister pushes for lighter NPA regulations.
In a post-budget interaction with industry members, Finance Minister Piyush Goyal pushed for a relaxation in NPA regulations which state that failure to repay loans in 90 days classifies them as bad loans.
Blast From the Past: The comment comes as the government is trying to get the remaining eight banks out of the restrictive Prompt Corrective Action (PCA) framework. RBI recently removed Bank of India, Bank of Maharashtra and Oriental Bank of Commerce from the PCA framework.
Power Play: Former RBI governor Y V Reddy in a recent speech criticised the government for intervening in the Central Bank’s affairs and seeking a transfer of its surplus reserves. Read the highlights of the speech here.
Mutual Funds inflow falls to 24-month low in Jan.
Mutual Funds Lose Steam: Mutual funds inflow falls 6.7% m-o-m, hitting a 24-month low in January as per data released by the Association of Mutual Funds of India. (Tweet This) The drop in inflows is credited to the rising volatility in stock markets and increasing political uncertainty ahead of the General Elections.
Redemptions also saw an increase with INR11,397cr being redeemed from equity funds in January 2019 vs INR11,234cr in the previous month.
Indian Investors Are Shying Away from Mutual Funds: Click here to know why.
Germany prohibits Facebook from combining user data from different sources. Senate probes invasive research apps by Facebook and Google.
Facebook Smells Trouble?: Germany’s antitrust regulator has prohibited Facebook from combining user data from different sources without explicit consent. The order applies to data collected by the social media-owned platforms like WhatsApp and Instagram, and also third-party sources that it uses to make its advertising more precise and effective.
The development comes days after Zuckerberg announced plans to integrate Facebook’s three messaging platforms– WhatsApp, Instagram and Facebook Messenger.
And Some More: US Senators seek answers on controversial research apps by Facebook and Google. The news after a report last week stated that Facebook was paying people between the ages of 13 and 25 up to $20 a month to install an invasive research app that logged phone data. Soon after, similar activity was noted from Google.
(Don't want to miss out on these End Of Week Wrap Ups? Subscribe Now to our No Nonsense Email Digest and get the day's Top 6 Business stories straight to your mailbox.)