What experts are not telling about Revision in MAURITIUS TREATY?

May 12, 16

What experts are not telling about Revision in MAURITIUS TREATY?

Greetings from Hitesh! Government has signed the amendment to double tax avoidance treaty with Mauritius. Accordingly – capital gains arising during April 1, 2017 to March 31, 2019, investors will get a benefit of 50 percent reduction in tax rate in India. However, taxation at full domestic rate in India will take place from FY20.

Let us look into some of the other steps taken by the Government.

1.   1% Excise duty on Gold

2.   Pan Card must for purchase above Rs.2 lakh.

3.   Amendment in DTA as mentioned above.

4.   Support towards – online payment transfer and use of less and less CASH.

5.   Pan is mandatory for settling hotel bill or foreign ticket for Rs.50000 and above.

6.   Using ADHAAR to transfer the subsidy directly to the beneficial.

What is also important that GOVT is not ready to change the STAND they have taken in spite of lot of AGITATION and STRIKE against the above policies.

BABY BOOMERS of India:-

Baby boomers are people who are born during 1946 to 1964 in USA. They faced lot of challenges post NIXON times. Same way in Indian persons who are born during 1970 to 1995 – are going to face the most challenges due to above changes. Persons who are born post 1995 – are coming into the market NOW and they will have less of the TROUBLE in facing these changes.

What it means for Indians?

Persons born during 1970 to 1995 have the aspirations to enjoy the USA kind of quality life / post retirement benefits and things like that. Many have gone to USA by hook or crook or through immigrations.

Those who are in India are waiting for the ACCHE DIN!! But the problem with them is they want to enjoy the quality of USA but not ready to pay the TAXES the way USA guys are paying. Still he prefers to do transaction in CASH. More the CASH, more happy he is.

This brings him the most troubles, as current government steps are not supporting his behavior.

What it means for Investors?

The current government is tightening the rules and increasing the governance. These means most companies will have to report their real earnings. They will have lesser opportunities to avoid the TAX and hence the TAX income will increase going forward.

What about Liquidity?

Market and businessmen are crying for liquidity since last 2 years and it is drying up. Liquidity is always a ZERO sum game. Somebody must be having money. But for XYZ reason it is not coming out. May be they were waiting for some CASH avenues or scheme to suit their redeployment of CASH. But this government is not budging.

With the above STEPS – they will be forced to convert their money into WHITE and bring it to the system or declare their money under BLACK money scheme and bring that money into the system. However, this will surely take time and they will use all their resources / power so that the government could not succeed into their motive.

My Personal Call:-

I am happy with the CHANGES from investors and general public point of view. I see going forward we will have better system and better times as more and more money will remain in the system.

This is one of the REASON – I have given very bullish market call for SEPTEMBER – 2018. My target is 15000 Nifty.

If you want to take advantage of the same – start building your portfolio now.

Today is a FULL DAY GURU PUSYAMRUT YOG. Just take advantage of the same by investing in SHARES / GOLD / PROPERTY or in our membership. In fact, if you invest with us – all other areas will be easy to invest.

Let me know today itself.

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Live With Passion…Invest With Passion.

Hitesh Parikh.

www.hiteshmparikh.com