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S&P affirms BB+ long-term rating for India
Singapore: Standard & Poor's (S&P) has affirmed its BB+ long-term rating for India with a stable outlook, and maintained a B rating for the short-term.

According to the international credit rating agency, India's average annual growth rate of 6.5 per cent over the past five years is higher than any other major economy except China. It attributed this to "steady economic reforms since 1991."

The agency has, however, expressed concerns over the country's rising fiscal deficit. The general government deficit is expected to reach 8.7 per cent of GDP (gross domestic product) for fiscal 2005-06, which includes government transfers to state-owned oil companies to compensate them for public subsidies.
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Chidambaram introduces Taxation Laws bill
New Delhi: Finance minister P. Chidambaram piloted the Taxation Laws (Second Amendment) Bill 2005 in the Lok Sabha on Tuesday. The bill will replace an ordinance amending the Income Tax Act and the Finance Act, providing relief in income and banking cash transaction taxes. It also exempts political parties from payment of fringe benefit tax.

The bill also seeks to exempt leasing of aircraft from Income Tax for six months till March 31, 2006. This move is expected to help domestic airlines embark on their expansion plans.

The ordinance sought to set right anomalies in the Finance Act 2005, by exempting withdrawals from savings bank account from the new bank cash transaction tax, and also sought to raise the limit for levying the tax in current and other accounts for withdrawals from Rs10,000 to Rs25,000 for individuals, and Rs1 lakh for companies.
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Bills to amend Chartered and Cost Accountants and Company Secretaries Acts introduced
New Delhi: Three bills to amend the Chartered Accountants, Cost Accountants and Company Secretaries Acts were introduced in the Rajya Sabha on Tuesday. The new legislation provides for setting up institutionalized disciplinary mechanisms, appellate authorities and quality review boards for the three bodies.

The bills aim to enhance the autonomy of the three bodies while deciding fees, and would ensure transparency in financial affairs. The legislation would help them tackle changes in the economic and corporate environment, and also improve their functioning.

Following the introduction of the new bills, the three original bills introduced in 2003 were withdrawn. The amendments were suggested by standing committees of Parliament.
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