CFI seeks capital gains tax exemption for SPVs
Money & Tax Rail Budget Economic Survey Know your FM
Know your tax, consumption dividends, GST and more.»
Know your Railways; passenger
fares, freight fares and more .»
Pegs Growth at 9%,
Food Prices a Worry ..»
Pranab Mukherjee -
Man of all seasons ..»
more news  more news  full story  full story 

CFI seeks capital gains tax exemption for SPVs

Updated on Sunday, February 20, 2011, 18:14 Print Email
Bookmark and Share
New Delhi: The Construction Federation of India (CFI) has asked the government to exempt Special Purpose Vehicle (SPV) companies from capital gains tax in the 2011-12 Budget.

"CFI has advocated capital gains tax exemption for `Special Purpose Vehicle` (SPV) companies on the lines of exemptions provided to listed companies," it said in a pre-Budget wish-list for the Finance Ministry.

If any capital asset is sold or transferred, the profits arising out of such sales are taxable as capital gains in the year in which the transfer takes place.

The SPV is usually a subsidiary company with an asset or liability structure and legal status, which makes its obligations secure even if the parent company goes bankrupt.

The CFI noted that it is mandatory for infrastructure projects to be executed through SPV companies under licence and concession agreements with the government. SPV companies fall in the category of unlisted companies.

PTI
Post Your Comment
 Your comment(s) on this article
 
 
     
  Name
  Place
  Email
  Comment
TERMS OF USE:
The views represented here are not neccesarily endorsed by www.zeenews.com and its allied websites. All messages will be moderated and no message that has inflammatory, abusive, derogatory language or any language deemed unfit for publication by the editor will be displayed. Though it will be endeavoured that as many messages as possible be displayed, there will be time lag between the submission and publication of the messages. The website reserves the right to publish or reject any message.


 
-->
Latest News
TAX PROPOSALS : HOW THEY WILL AFFECT YOU
Excise hike of 2% likely in 2011-12 Budget: SMC Global Sec
  more news 
Will Budget help to contain Price rise?
Videos
Dr Subhash Chandra Show: How creativity works
Apple unveils iPhone 6, iPhone 6 Plus, Smartwatch
Supreme Court to decide fate of 218 coal blocks today

 
 Funds & Fundamentals
 
2011-12 Budget Allocation   Critical Economic Data
 Opinion Poll
 
Will the govt able to reduce fiscal deficit to the targeted 4.6% next fiscal?
Yes
No
0