Some recent initiatives

1. UTI restructuring has been approved and ordinance issued.
2. US-64 is separated into two parts, namely US-64 and US-2002.
3. Ordinance for strengthening SEBI issued.
4. IDBI restructuring package has been approved.
5. Issue of power bonds for State Electricity Boards cleared.
6. Prepayment of external commercial borrowing freed.
7. Citizens can maintain foreign currency deposits upto the amount earned/retained from travel expenses.
8. Foreign exchange allowances for individuals hiked to $ 10,000.
9. Naresh Chandra Committee has been set up to make suitable recommendations for further strengthening of corporate governance.
10. The threshold limit for the purpose of tax deduction at source from income by way of dividends from a company or income from units of mutual funds placed at Rs. 2,500/-.
11. Total deduction admissible under section 80L of the Income-tax Act has been raised from Rs.12, 000/- to Rs.15, 000/-.
12. A maximum deduction of Rs. 12,000/- shall be allowable from income by way of interest or dividend, etc., in addition to a deduction of Rs. 3,000/-, as in the past, allowed for interest on Government securities.
13. For expeditious disposal of properties acquired under Income Tax Act between October 1, 1986 and June 30, 2002, a High Powered Committee has been set up with power to reduce/refix the reserve price of acquired properties.
14. An instruction has been issued in August, 2002 to review the grievances of tax payers regarding issue of refunds, expedite refunds, and pay interest for delayed payment of refunds.
15. On October 18, 2002, in a conference of Chief Ministers, presided over by the Prime Minister, all States and Union Territories have reaffirmed their decision to introduce VAT with effect from April 2003.
16. In the backdrop of the drought, to encourage private initiative in water supply/purification projects, all machinery and equipment needed to establish such plants have been exempted from customs and Central excise duties.
17. Task Force (Chairman-Dr. Vijay Kelkar) consultation papers on direct and indirect taxes circulated for public debate.
18. In order to expeditiously respond to requirements of assessees, the Income-Tax Department has laid special emphasis on allotment of PAN within ten days of receipt of application. In the area of indirect taxes, efforts are being made for redressing grievances of taxpayers by placing senior tax administrators close to taxpayers.
19. Proposal for setting up a Special Frauds Office in the Department of Company Affairs has been mooted.
20. To offer online services to companies for registration, filing of returns and balance sheet, and submission of event-based reports, programme for modernising and computerising offices of Registrars of Companies, has been launched.
21. Government has facilitated consensus among key stakeholders, subsequent to which Phase I of the Dabhol Power Project, is expected to restart with NTPC assuming responsibility for plant operations on behalf of lenders.

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