Bussiness

External Affairs Minister S. Jaishankar responded to President-elect Donald Trump's recent threat to impose 100% tariffs on BRICS nations, stating that India has "no interest" in weakening the US dollar. Speaking at the Doha Forum, Jaishankar highlighted the positive relationship between India and the first Trump administration, citing the revival of the Quad as a key achievement. He also emphasized that India has always opposed de-dollarization and clarified that there are no proposals for a BRICS currency. Jaishankar is currently on an official visit to Qatar and Bahrain, where he is engaging in discussions to strengthen bilateral ties across various sectors.

India's GST collections for November 2024 grew by 8.5%, totaling over Rs 1.82 lakh crore, driven by higher revenues from domestic transactions. The breakdown of October 2024 collections revealed Rs 34,141 crore in Central GST, Rs 43,047 crore in State GST, Rs 91,828 crore in Integrated IGST, and Rs 13,253 crore in cess. Despite a strong performance in October, experts caution that it is too early to interpret this as a broader economic trend. Saurabh Agarwal from EY India noted potential challenges ahead, citing a possible slowdown in tax collections and the impact of global economic conditions. However, positive momentum in regions like Jammu & Kashmir, Bihar, and Odisha offers a bright spot.

Gautam Adani, Chairman of the Adani Group, has responded to recent fraud allegations filed by the U.S. Department of Justice and the Securities and Exchange Commission, calling the charges "baseless" and reaffirming the company’s commitment to compliance. Speaking at the 51st Gems and Jewellery Award in Jaipur, Adani said, “Every attack makes us stronger, and every obstacle becomes a stepping stone for a more resilient Adani Group.” He emphasized that the group had faced similar challenges before and would continue to defend itself through the legal process. The allegations involve claims of bribery and securities fraud linked to solar power contracts in India.

Mahindra & Mahindra Ltd. (M&M) has unveiled two new electric SUVs, the BE 6e and XEV 9e, priced at ₹18.9 lakh and ₹21.9 lakh (ex-showroom), respectively. Set to launch in January 2025, with deliveries starting in February and March, both models offer impressive ranges—682 km for the BE 6e and 656 km for the XEV 9e—on a single charge. The company plans a phased rollout and has committed over ₹12,000 crore to its EV business, including a new manufacturing line at its Chakan plant. M&M aims to strengthen its position in India’s electric vehicle market with these new offerings.

India has decided to abandon the import of Shinkansen (bullet) trains from Japan for its Mumbai-Ahmedabad High-Speed Rail (MAHSR) project and instead opted for a "Make-in-India" approach. The contract for manufacturing the trains has been awarded to a joint venture between BEML Ltd and Medha Servo Drives, makers of Vande Bharat trains. This decision follows stalled negotiations over the cost, land acquisition delays, and changes to the project's technical specifications. Despite these setbacks, Japan International Cooperation Agency (JICA) remains committed to funding the project, with the first bullet train expected to be operational by 2027.

A grand jury in New York has indicted Indian business tycoon Gautam Adani and his nephew Sagar Adani on charges of bribing Indian government officials to secure solar energy contracts worth $265 million (around Rs 2,029 crore). The charges, issued on November 20, also implicate seven others in the alleged scheme. US prosecutors accuse the Adani Group of defrauding American investors through corruption. Following the indictment, the case will proceed to an arraignment, where the accused will face the charges and decide whether to plead guilty or not guilty, with a potential trial to follow.

Zomato CEO Deepinder Goyal has announced a unique job opportunity for a Chief of Staff position at the company’s Gurugram headquarters. The role comes with an unconventional condition: no salary in the first year and a requirement for the candidate to pay Rs 20 lakh, which will be donated to Feeding India, Zomato’s non-profit. Goyal clarified that the role is for those who want to learn and grow rather than pursue financial perks. From the second year onwards, the selected candidate will receive a competitive salary exceeding Rs 50 lakh annually.

The Telangana government has introduced a 100% exemption on road tax and registration fees for electric vehicles (EVs) to promote eco-friendly transportation and reduce urban air pollution. The policy, effective until December 31, 2026, covers a range of EVs, including two-wheelers, four-wheelers, three-wheelers, electric buses, and light goods carriers. Special provisions are made for electric buses, with indefinite exemptions for those operated by the Telangana State Road Transport Corporation (TSRTC) and private companies using buses for employee transport. This initiative aims to make EVs more affordable and support the state's sustainability goals.

The number of taxpayers earning over ₹1 crore has surged by 323% from 82,836 in 2013-14 to 3,50,129 in 2023-24, signaling the success of the government's efforts to widen the tax base. Meanwhile, the total number of income-tax assesses has increased by 120% over the past decade to 7.92 crore. Significant growth has also been seen in higher income brackets, with taxpayers earning between ₹50 lakh and ₹1 crore rising by 440%. Thanks to improved compliance and anti-tax evasion measures, the burden on middle-class taxpayers has eased, with the average tax paid by those in the ₹10-15 lakh and ₹15-20 lakh income brackets significantly reduced. The number of zero-income tax return filers has also grown substantially, from 18 million in 2014 to 49 million in 2024.

Following Donald Trump’s election victory, markets have rallied, driven by expectations that his second term will be supportive of the crypto industry and business-friendly policies. Bitcoin soared to a new all-time high, surpassing $82,500, while the U.S. dollar strengthened to a four-month high. Tesla shares jumped 8.4%, pushing its market capitalization past $1 trillion. Investors are betting on lighter regulation and pro-growth policies under a Trump administration, with cryptocurrency exchanges like Coinbase and brokers such as Robinhood also seeing significant gains. The Mexican peso, however, declined 1.3% against the dollar, reflecting concerns over potential shifts in U.S.-Mexico trade relations.

The Group of Ministers (GoM) for GST rate rationalization has announced a reduction in the GST on 20-litre packaged drinking water bottles, bicycles, and exercise notebooks from 18% to 5%. This change aims to make essential goods more affordable. Conversely, taxes on luxury items such as high-end wristwatches over ₹25,000 and shoes over ₹15,000 will increase from 18% to 28%. The adjustments are projected to generate an additional revenue of ₹22,000 crore. The GoM, formed to address specific GST issues, includes key state finance ministers and is responding to a decline in the average GST rate below the revenue-neutral threshold of 15.3%.

India's Goods and Services Tax (GST) collections for September reached ₹1.73 lakh crore, a 6.5% year-on-year increase. This marks an increase from ₹1.63 lakh crore collected in September 2022. After refunds, the net GST revenue rose about 4% to ₹1.53 lakh crore. Domestic revenue increased by 5.9% to approximately ₹1.27 lakh crore, while revenue from imports grew by 8%, totaling ₹45,390 crore. Refunds amounted to ₹20,458 crore, a 31% rise from the previous year. So far in 2024, total GST collections have hit ₹9.13 lakh crore, reflecting a 10.1% increase compared to the same period in 2023. The GST Council has also proposed reductions in rates for life and health insurance and cancer medications.