Business News: Union Budget 2024 & Key Financial Updates: Taxes, IPOs, Mergers, Holidays

The Union Budget for FY25 to be presented on July 23 or 24 by Finance Minister Nirmala Sitharaman will be the first full budget of the Modi 3.0 government. Constitution of 8th Pay Commission, revision of tax rebates to salaried persons, and old pension scheme restoration are what the central trade unions in their memorandum have placed before the budget-making authorities. Industry bodies pitch for tax reliefs, increases in capital expenditure and infra development. Other recommendations include strengthening MSME support, rural development, Healthcare, and ease of doing business.

The Indian tax calendar for July 2024 contains a few critical deadlines to ensure compliance and optimize tax liabilities. A few of the important due dates are July 7 for depositing TDS, July 15 for issuance of TDS certificates and quarterly statements, July 30 for furnishing challan-cum-statements, and July 31 for filing the return of income for most individual assessees and non-corporate entities. Adhering to these dates will prevent the levy of penalties besides facilitating proper financial planning.

The Indian government is eager to alter the taxation status of income from trading of futures and options to 'speculative income' from 'business income', with the proposed Union Budget 2024-25, Institutionalizing the tax-deducted-at-source platform. This will now deter very risky speculation trades by the retail investor community—which generally suffers losses—and bring fiscal stability through careful investment behavior. This would slap a 30% tax rate on F&O earnings, on par with lottery and cryptocurrency income, hence bringing international tax practices into the mainstream and probably having consequences in dampening market volatility.

A Dutch investment firm has written off USD578 mn invested in edtech firm Byju's. Prosus' stake in Byju's owner Think and Learn reduced to 9.6 per cent in September 2022, cutting its influence. According to its 2024 annual report, Prosus now values its Byju's investments at USD578 mn. Prosus is among four investors who have petitioned the National Company Law Tribunal on Byju's management and its USD200 mn rights issue.

This July 2024, banks in India are going to shut down for 12 days in view of national and regional occasions. Sundays will fall on July 7, 14, 21, and 28. Meanwhile, the second and fourth Saturdays are bank holidays, as they are regular off days. The days are July 13 and 27. Other local holidays to be observed in various parts of the country are BehDienkhlam at Shillong on July 3, MHIP Day at Aizawl on July 6, Kang Rathajatra at Imphal on July 8, Drukpa Tshe-zi at Gangtok on July 9, Harela at Dehradun on July 16, and Muharram that will be observed in several states on July 17. All the institutions shall remain closed; however, online banking and ATMs will continue to operate.

SAT has confirmed an order of Sebi that barred ex-chairman of PTC India, Rajib Kumar Mishra from any directorship in listed entities for a period of six months, for corporate governance-related lapses at PTC India Financial Services Ltd. Mishra was also fined Rs 10 lakh. Sebi had also imposed a two-year directorship ban and Rs 25 lakh fine on former PFS MD and CEO Pawan Singh for misconduct. The interim relief by SAT has allowed the continuance by Mishra, pending deposit of 50 per cent of the penalty with Sebi within two weeks.

SAT has confirmed an order of Sebi that barred ex-chairman of PTC India, Rajib Kumar Mishra from any directorship in listed entities for a period of six months, for corporate governance-related lapses at PTC India Financial Services Ltd. Mishra was also fined Rs 10 lakh. Sebi had also imposed a two-year directorship ban and Rs 25 lakh fine on former PFS MD and CEO Pawan Singh for misconduct. The interim relief by SAT has allowed the continuance by Mishra, pending deposit of 50 per cent of the penalty with Sebi within two weeks.

Sun Pharmaceutical Industries has finally integrated Taro Pharmaceutical Industries in a $347.73 million deal, by acquiring all outstanding shares of Taro to make it an absolute subsidiary. The agreement had been finally signed after negotiations and regulatory clearance, which will bring in synergies between both the companies. New York-headquartered Taro's major products specialise in dermatology and the market is the US, Canada, Israel, and Japan. It has manufacturing facilities in Canada and Israel respectively. Its shares had closed 1.93 per cent higher on the BSE following the announcement.