• Govt mulls duty reduction in packaged software
• Cost audit may cover all petroleum, power firms
• LSE in talks with MCX-SX to pick up equity stake
• Gitanjali Gems scraps SEZ plan in Nanded
• All ATM withdrawals to be free from 1 Apr
• BrahMos successfully tested in Pokhran
• According to sources, govt plans to remove either the service tax or the countervailing duty on packaged software and CBEC is likely to come out with a clarification in this regard soon. (ET)
• According to sources, government is considering rectifying the present system of selective cost audit that covers only a few companies while many others, mainly those in the private sector, are left out. For instance, in the petroleum sector, only the public sector companies are covered, leaving out the private sector producers. In the power sector, too, none of the companies engaged in power generation through non-conventional sources, captive power plants resorting to sale of power and mini-hydro plants, among others, have been covered. In fact, there are several industries where no cost audit orders have been issued so far, like the mining and metallurgy, and telecommunications sectors. The move is based on the recommendations of an eight-member Expert Group constituted by the MCA in 2008 to review the existing cost accounting record rules, cost audit report rules and formats, and the cost accounting standards. (BS)
• According to sources, world’s third largest exchange in terms of value of shares traded - London Stock Exchange (LSE) is in talks with Financial Technologies (FT) to buy a stake in its stock exchange arm MCX-SX. FT group’s MCX-promoted exchange currently runs currency derivatives trading, which started in October 2008, and it is awaiting regulatory approval to begin equity trading. As a part of licensing conditions, the group will have to start divesting its stake by the end of the first year of operations. MCX is already in talks with several global investors, of which LSE is one. (BS)
• Integrated diamond jewellery manufacturer, Gitanjali Gems (GGL) has scrapped its plan to set up a SEZ in Nanded, Maharashtra, because of the project’s unviability. The company has also decided to go slow on six (three each in Maharashtra and Gujarat) other SEZs projects in view of lower demand for jewellery items across the world. (BS)
• Starting 1 April, bank customers can use ATMs (automated teller machine) of other banks without paying extra. According to a RBI directive, banks have been prevented from charging any fee for cash withdrawals using ATM and debit cards issued by other banks. However, banks can still charge extra for services such as cash withdrawal with the use of credit cards and at ATMs located outside India. (Mint)
• India has successfully test fired its BrahMos cruise missile, jointly developed with Russia, in Pokhran. India’s army and navy plan to deploy the missile two years from now. The missile has a range of 290km and can be launched from submarines, ships, aircraft and land. (Mint)
