Indian Stock Market News and Views.

Foreign Direct Investment – FDI

| Filed under Economy

Foreign Direct Investment – FDI

You might have heard it all over the finance news channels, news papers etc. At the time of the budget they come into our ears quite often.I’m sure you would have wondered what is this FDI- Foreign Direct Investment. Those of the finance gurus out here would be ready with the answer, but we have to allow the new guys on the dock too.

This post is for those who need to know what an Foreign Direct Investment is. So lets get to the point. In very simple terms we can say that If a company makes an investment in another country on a business or entity  It would be called Foreign Direct Investment. Do not get the idea misguided, if a company that is foreign invests indirectly on portfolio, it would not be treated as Foreign Direct Investment or FDI. With the investment the Foreign company would have some controlling power over the invested Company.

An example of foreign direct investment would be an Indian company taking a majority stake in a company in America.

Another example would be a Indian company setting up a joint venture in China.

Every country would have some regulations about the percentage of investment that can be made in their companies.


How Much Tax Deducted at Source?

| Filed under Economy

Tax Deducted At Source (TDS)

Those who have invested your money anywhere and have taken them back, you would be sure that the hands of the “Tax man” has been through you. The procedure is simple for the tax man, most of the time they deduct the tax from your investment and give you back the money.  We call this by the name of TDS which means Tax Deducted at Source.  The most awkward thing about TDS is that they do not have an exact rate. The amount of tax purely depends on the source of earnings. It can depend from 1% to 30% depending on the activity.   Lets see where all do they have them.

Salary TDS:

Salary is the first target, The investment declaration that you fill up when you join a new company or your present company would have that. This will include the maximum tax deductions allowed under Sections 80C, 80D and other tax-saving instruments. If, despite all these deductions, your salary is above the exemption limit, TDS will be cut from it every month.

Bank Accounts TDS

If the interest you have earned from your bank FD is above Rs 10,000, you will receive it after the bank deducts tax. This exemption limit also applies to interest earned from a bank savings account. Don’t think you can outsmart the taxman by opening accounts or FDs in different branches, since the system works on core banking and all your FD is tagged with your PAN Card you have no other option to escape from the tax man.

Property TDS

Whether it is rental income or the money that you get after selling a house, you will receive the final amount only after tax is deducted. However, you can avail of exemptions in both cases.  If the rent you receive is less than Rs1.8 lakh a year, no tax is deducted at source. Beyond this limit, 10% of the income is cut as TDS. However, the advance deposit paid by the tenant is not taken into account for this limit.

It’s possible that there is more than one owner of the flat and that all of them share the rental income. The benefit of the exemption limit will depend on the type of ownership, whether it is joint or co-owned. “In case of co-owners, where the specific share of the property has been decided, the limit of Rs 1.8 lakh can be claimed separately by each owner. If you are selling a property, the tax will be deducted at the rate of 1% if the deal is above Rs 20 lakh in a rural area, while in urban areas, the limit is Rs50 lakh. This will be applicable from October this year.

Lottery TDS

Money won in a lottery, puzzle competition, reality show or a horse race is subject to the highest TDS rate of 30%.
“If you win Rs 50 lakh in a game show, you will only be able to take home 70% of your winnings or Rs 35 lakh. The TDS is applicable even on non-cash winnings.  So, if you have won a car worth Rs 10 lakh, you will only be able to claim it after you pay Rs 3 lakh as tax.




Aadhar Card

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Aadhar Card

A bit background about the Aadhar Card.

The Planning Commission Of India’s initiative is the Aadhar Card.  The concept of Unique identification project which aims to provide identification for each resident across the country. Which would be used primarily as the basis for efficient delivery of welfare services. It would also act as a tool for effective monitoring of various programs and schemes of the Government.

What is Aadhar ?

Aadhaar is a 12 digit individual identification number issued by the Unique Identification Authority of India on behalf of the Government of India.

This number will serve as a proof of identity and address, anywhere in India.

Any individual, irrespective of age and gender, who is a resident in India and satisfies the verification process laid down by the UIDAI can enrol for Aadhaar.

Each individual needs to enroll only once which is free of cost.

Each Aadhaar number will be unique to an individual and will remain valid for life. Aadhaar number will help you provide access to services like banking, mobile phone connections and other Govt and Non-Govt services in due course.

AadharImg 300x205 Aadhar CardHow to get an Aadhaar?

The residents of India will have to visit the nearest Aadhar Enrollment Camp inorder to register for the Aadhar Card. On visiting the Enrollment Camp there are some formalities that needs to be fulfilled for the Aadhar card registration process. The first step in the registration process is the verification of the documents.

In this step the applicant of the Aadhar card should approach the Enrolment Agency Operator and provide the necessary documents for verification. The primary documents that has to be provided to apply for Aadhar card maybe either one of the following: the passport, the PAN card, Ration card or the PDS photo card, Voter ID of the applicant, The driving license (if the applicant has one), photo ID issued by any recognized educational institution, Government Photo Id cards, Photo credit card, Photo ATM card, Kisan Photo Passbook (if any) or even arms license, should the applicant hold such a license. As proof of address, the applicant of the aadhar card can provide the passport or ration card, bank statement or even the electricity bill.

As a proof of the applicant’s date of birth inorder to apply for aadhar card , the applicant may provide the birth certificate, or the SSLC book or certificate, the passport or Certificate of Date of Birth issued by Group A Gazetted Officer on letterhead. The enroller will then enter the resident date into the computer. After the date has been entered, the resident has to check the details entered to make sure all details are correct. After this comes the capturing of the applicants face photograph. This includes mainly the iris capture. After this the next process for applying for the Aadhar Card is the biometric scanning of ten fingerprints. First the left hand fingerprints are captured followed by the right hand of the applicant. Next in row in the process of applying for the Aadhar card is the thumbprint capture of both the hands. After all this has been done the enroller has to sign off with his own finger print. After the above steps have been completed, the Aadhar card can be obtained within a time period of twenty to a maximum of 30 days time.

Aadhaar enrolment status

The top of your acknowledgement slip contains 14 digit enrolment number and the 14 digit date and time of enrolment. These 28 digits together form your temporary enrolment ID (EID).  Click Here

To know more about Aadhar Card :


LIC Jeevan Saral

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Jeevan Saral

Jeevan Saral is a unique plan introduced by the Life Insurance Corporation of India (LIC).  Jeevan Saral is an endowment assurance plan, wherein the policy holder only needs to choose the amount of the premium and mode of payment. It supports the good features of the conventional plans as well as is as flexible as unit linked plans. Jeevan saral plan provides the policy holder with a higher life cover, a smooth return and liquidity and flexibility.

productnew5 250x250 LIC Jeevan Saral



Online PAN Application

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Online PAN Application

In the case of online pan application, You can download the form from here. One single character initial is permitted to be used in the middle name field in PAN application for individuals. One important thing to be noted in the case of online pan application is that the proof of identity and the proof of address should match perfectly with the name provided in the online pan application. In the case of New online Pan applications, particularly in the case of individual and HUF applicants, the proof of office address along with the proof of residential address has to be submitted to the NSDL, in cases where the address for communication has been selected as office.

PanCard 300x188 Online PAN Application


Pan Card Lost ?

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Pan Card Lost

Pan card lost? It is normal to get into fits of depression when you realize that you have your PAN card lost. However there is still hope. Here is what you should do when you have you pan card lost. First of all do not panic. Know that through a simple procedure, it is possible to obtain a duplicate PAN card in place of the pan card lost, from the Income Tax authorities in India.

know your pan 300x188 Pan Card Lost ?

If the Pan card has been lost then one has to notify the police and get an FIR from the local police station. Also a request has to be made to get a duplicate PAN card issues in place of the pan card lost. As the first step towards getting the duplicate of pan card lost, first and foremost you have to fill in a change request or correction form. This correction form can either be downloaded from the websites of UTI technology Services LTD or National Securities Depository Limited (NSDL), or even the Income Tax Department of India. Another way is to get a hard copy of the same from any of the branches of UTITSL and National Securities Depository Limited. By visiting the websites of UTITSL, National Securities Depository Limited or the Income Tax Department, the nearest centre can easily be located where you can obtain a replacement for the pan card lost.


Many websites also have this lost pan card forms available which can be downloaded for free. These website provide a link for the same and clicking on which the form for pan card lost can be downloaded at no extra cost, however make sure to keep an eye on spam and be sure that is not a face link before proceeding with the download. As the next step, fill out the pan card lost information on the form.

As a third step submit two photographs with the amount as specified to the IT office or the NSDL or the UTITSL centers. The duplicate PAN card would reach you in a matter of 15 days time. Another thing to be noted is that if you are sure that you have not got the PAN card delivered, then, a rectification form is to be filled and attach your letter that contains the PAN card number.


Know Your PAN

| Filed under Economy

Know Your PAN

PAN, aka, Permanent Account Number is a unique alphanumeric combination. This is issued by the Indian Income Tax Department to all juristic entities identifiable under the Income Tax Act 1961. The issuance of PAN by the Indian Income Tax Department is done under the supervision of the Central Board for Direct Taxes and on a general note, resembles the National Identification Number. This is also considered a very important identity proof. The PAN is unique and permanent and is not at all affected by the change of address, even if the change is from one state to another. So you should Know Your PAN.

know your pan 300x188 Know Your PAN