The Tribune, Chandigarh, India

	Users can apply for MNP from Nov 25 New Delhi, October 31 Ushering in next-generation reform of the telecom sector, mobile subscribers will be able to change service providers, while retaining phone numbers from November 25. To begin with, the concept of Mobile Number Portability (MNP), which allows subscribers to change operators while retaining the same number, will be introduced in Haryana and will be extended, subsequently. Operators’ networks are ready and have been tested fully. Applications subscribers will be accepted from November 25, sources in DoT said, adding that the government will come out with detailed guidelines and advertisements in this regard in the first week of this month. This would force all the operators to offer quality services to retain their subscribers. Some experts said the introduction of MNP services could be a game-changer in the telecom sector. Mobile tariffs in India are the lowest in the world and new operators, who have relatively empty networks, claim to be in a position to offer the latest and best quality services to subscribers that are upset with their current service providers. This could put pressure on leading and established mobile operators to announce new schemes to retain their subscribers. While no study is available on how many subscribers are looking for a change in service provider, telecom analysts feel it may not be more than 10 per cent at any given time. Telecom operators' lobbies have been derailing the implementation of MNP on some pretext or the other. The leading operators had said that number portability should be implemented across all types of services and should not be restricted to just mobile services. The government, however, said it can be done step by step and opted to first make number portability mandatory for mobile services. — PTI
	October accounts for 1/4th of total FII inflows New Delhi, October 31 Foreign institutional investors (FIIs) infused a record $6.4 billion in October, accounting for nearly one-fourth of the total inflows in the stock market this year. Data available with capital market regulator Securities and Exchange Board of India show that overseas fund houses were net buyer of Indian equities worth $6.42 billion (Rs 28,562 crore) during the current month, the highest amount pumped in by the FIIs in any single month. With this heavy inflow in just one month, the total net investment by FIIs on the local stocks now stands at $24.79 billion (Rs 1.12 lakh crore), the highest in a single year. Market experts said the inflows of overseas funds will not stop here only as they have the opportunity of the better rate of returns in emerging economies like India. This heavy inflow is causing appreciation in the local currency. "Capital inflows into the country will be higher in the second-half of the fiscal and the rupee will appreciate up to RS 43.44 by end-FY 11 from the current Rs 44.60, domestic brokerage Unicon Financial said, quoting, a Crisil report. Crisil, expects the country's GDP to grow by 8.2 per cent current fiscal and continue with the same momentum for the next decade courtesy the consumption arising out of India's demographics. However, this heavy inflows in October failed to lift the BSE benchmark Sensex this month. The 30-share index fell 0.2 per cent in October, first monthly drop after May. Sensex had gained over 10 per cent in the previous month, a period during which FIIs invested a net $5.42 billion (Rs 2,4978 crore). — PTI
	New IIP series likely from Jan New Delhi, October 31 The government is likely to come out with a more representative data on industrial production from January next year that would include about 100 new items, while excluding the obsolete ones. "The December data is expected to come out on January 12, 2011, for which the new series of index of industrial production (IIP) would be released," an official told PTI. The new series would be more representative and will have more items in the rejigged basket. Besides, it will take 2004-05 as the base year that will reflect industrial scenario better than the base of 1993-94 used currently. "The industry ministry is waiting for Planning Commission's opinion. They have some issues, that will be sorted out soon. The new series will then be approved by Committee of Secretaries," the official added. Currently, IIP basket has about 350 items for calculating the monthly factory output figures. The new series would be more representative and would constitute over 500 products, the official said. It is also expected to do away with obsolete items and add those products which have entered the markets in recent years. The official, however, did not divulge the details of new products and the old ones which will be deleted. — PTI
	ONGC may stall Cairn, Vedanta deal New Delhi, October 31 In a possible spoiler to Vedanta Resources' $9.6-billion acquisition of Cairn India, Oil and Natural Gas Corp appears keen to buy out partner Cairn's stake in the Rajasthan oil block - the mainstay property of Cairn. ONGC on October 21 wrote to Cairn Energy, saying it had preemption rights and asked for value of each of the 10 assets held by the British firm's Indian unit so as to enable it to ‘decide on the future course of action,’ an official said. Cairn may not have put a separate value to each of the 10 properties and it, like in the past, is likely to dispute ONGC's claim for preemption right on grounds that the deal with Vedanta was more a corporate transaction. — PTI
	RBNL records highest-ever net NEW DELHI: Anil Ambani group company Reliance Broadcast Network has recorded its highest-ever quarterly profit for the second qaurter ended September 30 at Rs 58.35 crore, up 12 per cent from the year-ago period. Its EBITDA vaulted 288 per cent from Q1 to Rs 1.91 crore. “Q2 has been good for us - we have posted our highest-ever quarterly revenue," RBNL's CEO Tarun Katial said. "RBNL's strategic business blueprint, with play across media platforms has created a robust business model that is beginning to deliver value. We are encouraged by our EBITDA growth of 288 per cent over the last quarter, which is commendable, given the traditionally lean quarter Q2 normally is," Katial said. Highlighting the fact that its experiential marketing vertical — BIG Live — has turned EBITDA positive, Katial said that this only reinforced the company's strategy to unlock value through the creation of IP properties supported by its multi media play. Nalco Q2 net profit up 40% National Aluminium Company Limited (NALCO) has registered a 40 per cent growth in its net profit at Rs 224.04 crore for the second quarter ended September 30, over the same period previous fiscal. During the corresponding quarter a year ago the company had a net profit of Rs 159.50 crore in, company sources said here today. Ansal API Q2 net down 23% Realty firm Ansal Properties and Infrastructure Ltd today reported a 23 per cent decline in its consolidated net profit to Rs 22.76 crore for the quarter ended September compared to the year-ago period. The company had posted a net profit of Rs 29.68 crore in the corresponding quarter of the previous year. — Agencies
	Tax Advice Determinate shares of beneficiaries are liable to be taxed by SC Vasudeva Q We made a family beneficiary trust in July 1983 which is non-discretionary as the share of each beneficiary is defined i.e. in equal proportion in the trust deed itself. It came under I-T scrutiny in 1984-85 and they had charged Income Tax from the beneficiaries not on the trust. In 2006-07, the I-T office has levied Income Tax on the Trust and not on the beneficiaries and accordingly has raised a demand along with penalty and interest thereof. I have paid the amount, some by rent attachment and some by cash and at the same time appealed. Please let me know whether the tax is levied on the Trust (which the I-T office is saying) or the beneficiaries (my stand). — DS Rattan A In case shares of beneficiaries are determinate, the share of the beneficiaries are liable to be taxed in the hands of the trustees as representative assessee under Section 161 of the Act. Such assessment is to be made at the rate applicable to the total income of beneficiary. The department has however the option under Section 166 of the Act to make an assessment in the hands of the beneficiaries entitled to receive such income. Having exercised the option once it is not open to an assessing officer to assess such income as the income of the Trust liable to be taxed at maximum rate. In this connection, Circular No. 157 of December 26, 1974 issued by the department may please be referred to. The action of the assessing officer in the in the instant case is not in accordance with the provisions of the Act. You must take up the matter in appeal for seeking remedial action. HUF loans Q If an HUF can give interest free loan to its members from its interest free funds. If HUF can spend on the household expenditure of its own HUF family even its members have their individual income. — Vino Kumari A Your queries are replied hereunder: - a) An HUF should be able to give loan to a member or members interest free loan provided no interest is being paid by the HUF. b) An HUF can spend house hold expenditure on maintenance of the family even if individual members have their own income. Disabled IT payee Q Kindly confirm if tax rebate was available u/s 80 U for FY 2009-10 in favour of disabled IT Payee having disability up to 79% and if so, what is the procedure for claiming refund, or this tax rebate is allowed for FY 2010-11. In either case, kindly quote the relevant circular no. and date. — Manjit Singh A A deduction of Rs 50,000 is allowable for assessment year 2009-10 to a resident individual, against his total income, who, at any time during the previous year, is certified by the medical authority to be a person with disability. You will have to file a revised income tax return for the assessment year 2009-10 so as to claim the deduction and refund if any, arising on account of such claim. A revised return can be filed upto March 31, 2011 in terms of section 139(5) of the Income-tax Act (the Act) 1961. An increased deduction is allowable against the total income of resident individual to the extent of Rs 75,000 for assessment 2010-11. In case you have filed the return of Income for assessment year 2010-11, you should take steps to revise the return for claiming such deduction. Please note that a copy of the certificate issued by the medical authority in the form and the manner prescribed in terms of rule 11A of Income-tax rules 1962 is to be filed along with the return of income. However, presently no enclosures are required to be filed along with the return of income. You should therefore obtain a copy of such certificate for both the assessment years referred to herein above and keep the same with you so that the same can be produced as and when so required by the assessing officer. Maintaining Indian account Q An income tax assessee had bank account jointly with his father as Indian national he has gone out of India and obtained citizenship of Australia, father is still an Indian National. The assessee who has gone out of India is having rental and interest income in India. Kindly let me know the formalities in respect of maintenance of Bank Account in India. Will the Bank account be converted as NRE Account? Is it necessary to inform to the Bank that he has gone out of India even if no amount is sent from out of India. How the income in India can be deposited in that account. He is not sending any amount from outside India. I shall be obliged if early reply is given. — Surinder Singh Kanwar A Your queries are replied here under: a) It is essential to inform the bank that assessee has gone out of India. This is required in terms of regulations issued under the Foreign Exchange Management Act, 1999. The account so held by the assessee shall be converted as NRO account. Income arising to a non-resident, in India is required to be deposited in such an account. b) You may get in touch with your banker for the purpose of getting the account converted as NRO account. The banker would guide you in this regard as also explain the necessary formalities which are required for the purpose.