Business News: Gold Prices, Stocks, Tata Motors, Tax Changes, Libya's Fake Currency, CBDT Tax Regime

On July 25, gold rates in India stayed near Rs 70,000 per 10 grams. While the price of 24-carat gold was quoted at Rs 70,850, that of 22-carat gold stood at Rs 64,940. The Centre has cut customs duty on gold and silver. A move that may check smuggling of the precious metals but would lead to a huge loss in revenue. Retail prices differ from city to city, with Chennai ruling at the highest rates. India, one of the largest gold consumers in the world, imports most of its supplies, usually influencing domestic prices and the current account deficit.

The stock market on July 25 closed marginally lower, extending its consolidation phase. RBL Bank, Adani Green, Nestle, Tech Mahindra remain some of the key stocks in investors' radar today, impacted by news and a fresh set of Q1 results. Aavas Financiers, Adani Green Energy, Ashok Leyland, and others will report their earnings today. Axis Bank posted a 4% year-on-year profit growth but its ADRs fell. L&T's profit grew 12 per cent, SBI Life showed an increase of 34 per cent, V-Guard soared 54 per cent, and IGL fell 8.6 per cent. A block deal is reportedly going to be seen in RBL Bank. Nestle and Dr. Reddy's Labs announced a joint venture. Sun Pharma received a warning letter from the USFDA. RVNL secured a Rs 191.53 crore project.

Shares of Tata Motors jumped almost 6% to an all-time high of Rs 1,084.90 following an upgrade by Nomura. The brokerage house increased the rating on the stock to 'Buy' with a revised price target of Rs 1,294. This upgrade would factor in significant upsides from Jaguar Land Rover and probable value from Tata's demerger plan. Conversely, the stock has gained 67% in one year and 137% in two years. Tata Motors' market cap touched Rs 3.55 lakh crore as Q1 earnings are to be declared on August 1.

Budget 2024 is carrying huge changes to the capital gains tax regime in India by imposing a flat rate of 20% for short-term gains on only some assets and 12.5% in case of long-term gains for all assets. Exemption in long-term gains has been kept at Rs. 1.25 lakh per annum. Tax treatment for ULIPs would get changed; gains more than Rs. 1 lakh will attract 10% for equity funds and 20% for non-equity funds. Moreover, tax exemption under Section 10(10D) shall also be there for ULIP policies whose premiums are less than Rs. 2.5 lakh per annum.

These sheafs of fake banknotes, allegedly from Russia, devalued the Libyan Dinar, spiraling further economic instability into crisis for the economy of Libya. Some were made in Libya, some others imported from Russia into Eastern Libya, and these fake notes were exchanged for real dollars. Several sources have revealed that such counterfeit banknotes are in circulation on the black market, maybe over infrastructure projects or the activity of Russian mercenaries. The Central Bank of Libya has warned against those counterfeit banknotes, said to be in circulation. Until now, neither the Central Bank nor the Libyan National Army has made an official comment about this development.

According to CBDT Chairman Ravi Agrawal, about 66% of more than 4 crore taxpayers have opted for the new regime in income tax by mid-2024. This definitely showcases the concern of the government to make the taxation processes easier to improve compliance. This year, the number of returns filed crossed last year's figures a bit earlier; now, 7.5 crore returns are pegged by the deadline. The new regime offers more standard deductions and new tax slabs. It saves up to Rs 17,500 for salaried people. The old regime was continuing provisionally pending further evaluation.