Budget Highlights 2011

Direct Taxes

• Exemption limit for the general category of individual taxpayers enhanced from 1,60,000 to 1,80,000 giving uniform tax relief of 2,000. (No relief females as their slab not changed from existing 1,90,000)
  
• Exemption limit enhanced and qualifying age reduced for senior citizens.
• Higher exemption limit for Very Senior Citizens, who are 80 years or above.
• Current surcharge of 7.5 per cent on domestic companies proposed to be reduced to 5 per cent.
• Rate of Minimum Alternative Tax proposed to be increased from 18 per cent to 18.5 per cent of book profits.
• Tax incentives extended to attract foreign funds for financing of infrastructure.
• Additional deduction of ` 20,000 for investment in long-term infrastructure bonds proposed to be extended for one more year.
• Lower rate of 15 per cent tax on dividends received by an Indian company from its foreign subsidiary.
• Benefit of investment linked deduction extended to businesses engaged in the production of fertilisers.
• Investment linked deduction to businesses developing affordable housing.
• Weighted deduction on payments made to National Laboratories, Universities and Institutes of Technology to be enhanced to 200 per cent.
• System of collection of information from foreign tax jurisdictions to be strengthened.
• A net revenue loss of 11,500 crore estimated as a result of proposals.

Indirect Taxes

• To stay on course for transition to GST.
• Central Excise Duty to be maintained at standard rate of 10 per cent.
• Reduction in number of exemptions in Central Excise rate structure.
• Nominal Central Excise Duty of 1 per cent imposed on 130 items entering in the tax net.
• Lower rate of Central Excise Duty enhanced from 4 per cent to 5 per cent.
• Optional levy on branded garments or made up proposed to be converted into a mandatory levy at unified rate of 10 per cent.
• Peak rate of Custom Duty held at its current level.

Agriculture and Related Sectors

• Scope of exemptions from Excise Duty enlarged to include equipments needed for storage and warehouse facilities on agricultural produce.
• Basic Custom Duty reduced for specified agricultural machinery from 5 per cent to 2.5 per cent.
• Basic Custom Duty reduced on micro-irrigation equipment from 7.5 per cent to 5 per cent.
• De-oiled rice bran cake to be fully exempted from basic Custom Duty. Export Duty of 10 per cent to be levied on its export.

Manufacturing Sector

• Basic Custom Duty reduced for various items to encourage domestic value addition vis-à-vis imports, to remove duty inversion and anomalies and to provide a level playing field to the domestic industry.
• Rate of Export Duty for all types of iron ore enhanced and unified at 20 per cent ad valorem. Full exemption from Export Duty to iron ore pellets.
• Basic Custom Duty on two critical raw materials of cement industry viz. petcoke and gypsum is proposed to be reduced to 2.5 per cent.
• Cash dispensers fully exempt from basic Customs Duty.

Environment

• Full exemption from basic Customs Duty and a concessional rate of Central Excise Duty extended to batteries imported by manufacturers of electrical vehicles.
• Concessional Excise Duty of 10 per cent to vehicles based on Fuel cell technology.
• Exemption granted from basic custom duty and special CVD to critical parts/assemblies needed for Hybrid vehicles.
• Reduction in Excise Duty on kits used for conversion of fossil fuel vehicles into Hybrid vehicles.
• Excise Duty on LEDs reduced to 5 per cent and special CVD being fully exempted.
• Basic Customs Duty on solar lantern reduced from 10 to 5 per cent.
• Full exemption from basic Customs Duty to Crude Palm Stearin used in manufacture of laundry soap.
• Full exemption from basic Excise Duty granted to enzyme based preparation for pre-tanning.

Infrastructure

• Parallel Excise Duty exemption for domestic suppliers producing capital goods needed for expansion of existing mega or ultra mega power projects.
• Full exemption from basic Customs Duty to bio-asphalt and specified machinery for application in the construction of national highways.

Other Proposals

• Scope of exemptions from basic Customs Duty for work of art and antiquities extended to apply for exhibition or display in private art galleries open to the general public.
• Exemption from Import Duty for spares and capital goods required for ship repair units extended to import by ship owners.
• Concessional basic Custom Duty of 5 per cent and CVD of 5 per cent available to newspaper establishments for high speed printing presses extended to mailroom equipment.
• Jumbo rolls of cinematographic film fully exempted from CVD by providing full exemption from Excise Duty.
• Out right concession to factory-built ambulances from Excise Duty.
• Relief measures proposed for raw pistachio, bamboo for agarbatti, lactose for the manufacture of homoeopathic medicines, sanitary napkins, baby and adult diapers.
• Proposals relating to Customs and Central Excise estimated to result in a net revenue gain of 7,300 crore.

Service Tax

• Standard rate of Service Tax retained at 10 per cent, while seeking a closer fit between present regime and its GST successor.
• Hotel accommodation in excess of 1,000 per day and service provided by air conditioned restaurants that have license to serve liquor added as new services for levying Service Tax.
• Tax on all services provided by hospitals with 25 or more beds with facility of central air conditioning.
• Service Tax on air travel both domestic and international raised.
• Services provided by life insurance companies in the area of investment and some more legal services proposed to be brought into tax net.
• All individual and sole proprietor tax payers with a turn over upto 60 lakh freed from the formalities of audit.
• To encourage voluntary compliance the penal provision for Service Tax are being rationalised. Similar changes being carried out in Central Excise and custom Laws

Pay cheques that world leaders take home

As Egypt celebrates the success of their revolution, the focus now shifts to its ex-President, Hosni Mubarak
Mubarak, who publicly stated to take home a salary of nearly Rs 46,000 a month as President, is now facing the heat as details of the assets worldwide emerge thick and fast.
Mubarak's and his family's net worth is estimated to be between $40 billion (Rs 182,500 crore) and $70 billion (Rs 319,500 crore). The Mubarak family owns properties in London, Paris, Madrid, Dubai, Washington, New York and Frankfurt, according to a report from IHS Global Insight.

Indian Prime Minister Manmohan Singh doesn't earn a salary as such, but his various cash allowances total approximately Rs 50,000 rupees plus other perks.
President of India Pratibha Patil takes home a salary of Rs 1.5 lakh every month.
Almost everything that the President does or wants to do is taken care of by the nearly Rs 30 crore budget that the government allots for her upkeep. The allocation also covers establishment-related expenses in respect of all the staff of the secretariat and expenditure on household establishment and purchase of vehicles.

President of United States Barack Obama
Pay cheque: Obama earns $33,333 every month (about Rs 1,520,818), along with a $50,000 annual expense account, a $100,000 non-taxable travel account and $19,000 for entertainment.

President of Iran Mehmoud Ahmadinejad
Pay cheque: Ahmadinejad takes home a paltry Rs 11,373 every month. What's surprising is that, as per media reports, Ahmadinejad doesn't draw his salary as President but as a lecturer in a university college! For additional information, the Iranian President still lives in his house and not the Presidential palace.

President of China Hu Jintao
Pay cheque: Hu Jintao earns Yuan 70,078 (Rs 483,639) a month

President of South Korea Lee Myung-bak
Pay cheque: Lee Myung-bak earns close to 1.8 billion won or Rs 7.3 crore per annum

Prime Minister of Britain David Cameron
Pay cheque: At present, the prime minister receives 142,500 (Rs 1.4 crore), including a salary of Rs 65,737 as a Member of Parliament per annum

President of Chile Sebastian Pinera
Pay cheque: Pinera takes home $12,600 or Rs 5.7 lakh a month

President of Indonesia Susilo Bambang Yudhoyono
Paycheque: Yudhoyono gets Rupiah 62 million or Rs 3.16 lakh a month.

President of Zimbabwe Robert Mugabe
Pay cheque: Mugabe takes home about $1,500 or Rs 68,250 every month

President of Portugal Anibal Cavaco Silva
Pay cheque: On paper, Silva earns 6,523.93 euros or Rs 4.1 lakh a month. However, the Portuguese president Anibal Cavaco Silva has not been receiving his presidential salary ever since a new law was passed in Western Europe's poorest country prohibiting public servants from drawing both a salary and a pension at the same time. The 71-year-old conservative receives pensions from the central bank and Universidade Nova von Lissabon worth a total of 10,042 euros or nearly Rs 6.2 lakh per month, according to media reports.

President of Russia Dmitry Medvedev
Pay cheque: Medvedev reportedly earns $9,493 or Rs 4.3 lakh a month

Sources - rediff.com

Yeaaaaaaah. good time is back now Big IT companies are hiring

There is News on rediff dated - 11-02-2010
"TCS to hire 30,000 employees in 2010-11"
Signalling a return of good times in the information technology (IT) sector, India's largest IT services provider, Tata Consultancy Services (TCS), plans to hire 30,000 employees in the next financial year.
The additional recruitment will represent an increase of 20.55 per cent over the 24,855 employees it has hired for 2009-10. The company will maintain its freshers to lateral ratio at 70:30 respectively.
"These are our global numbers. We have already made 14,000 offers to students across campuses. They will join the company from the second quarter of 2010-11," Vice-President and Head (Global HR) Ajoy Mukherjee said.
Meanwhile, the company's Chief Executive Officer and Managing Director, N Chandrasekaran said: "We see large deals coming back to the table. The situation has improved over the last two-three quarters. While it may still be too early for an economic recovery, we do see a business recovery underway."
On the regulatory climate in the domestic market, Chandrasekaran said: "Extension of STPI (Software Technology Parks of India) will be good, otherwise the government may as well extend the same treatment to STPIs that are given to SEZs."

Continental 2Q Loss Widens On Low Demand, To Cut 1,700 Jobs

Now Continental Airline is impacted by this recession and have come in position to cut 1700 jobs.

Please find the detail news on http://money.cnn.com/news/newsfeeds/articles/djf500/200907210645DOWJONESDJONLINE000251_FORTUNE5.htm

Continental Airlines Inc. (CAL) reported Tuesday that its second-quarter loss widened on charges and a continuing drop-off in business travel as the company said it would cut 1,700 jobs in a move to reduce costs.
The job cuts, which represent about 4.2% of the company's work force, will include management and clerical positions and are in addition to its previously announced reduction of 500 reservation-agent positions. The company has also in recent months offered leaves of absence to 700 flight attendants.
The results make the company the latest U.S. carrier to report red ink this month on sharply weaker demand. Despite lower fuel prices from a year earlier, airlines have been struggling with a big drop in both leisure and business travel.

Recession: 1.5 lakh Indians return from UAE

An estimated 1.5 lakh Indian workers have come back home from the United Arab Emirates due to economic crisis and recession, the Lok Sabha was informed on Wednesday.
Replying to a question, Overseas Indian Affairs Minister Vayalar Ravi informed the House that an estimated 50,000 to 1,50,000 workers have returned to India as result of the delay in execution of projects due to economic slowdown and recession in the UAE.
He said most of the workers have returned to India on leave without pay with the expectation that they would be able to go back to the Gulf country once the situation improves.
Ravi said while Indian Missions in Saudi Arabia, Oman, Kuwait, Bahrain and Qatar have informed that there has been some job losses in these countries, some Indians have also returned from Malaysia due to economic slowdown.
"The information received from Indian Missions in Afghanistan, Syria, Sudan, Brunei, Libya, Jordan and Lebanon indicate that there is no report of Indians affected by the recession," the Minister said.
Noting that slowdown has affected almost all sections of people in the US, Ravi said, "Indians working in the US are mostly professionals and the extent of job losses by Indians is, therefore, slightly mitigated by their indispensability to their organisation."
Source - rediff.com

Satyam to set up virtual bench

Satyam will be setting up a virtual bench for surplus employees who have not been assigned any work. The number of non-revenue earning employees on the virtual bench is likely to total 7,000-10,000, out of which around 7,000-8,000 may come from the technical side. The rest would be from the support staff.NDTV broke the virtual bench story last month.Tech Mahindra Chief Executive and Satyam board member Vineet Nayyar said Satyam does not wish to fire employees, but work has contracted in last few months, so they are being put on virtual bench. Satyam will take a call after six months on employees put on virtual bench, he said.

Source - NDTV

Writing a CV that stands out

When you apply to a job opening there would be dozen other candidates applying for the same post. So, how do you ensure your resume stands out from the pile? What is it that companies look for while short-listing candidates? Here is a lowdown.
An entry- level resume
Highlight your non-academic achievements too: At entry-level when you have no industry experience, underscore your other achievements. "Highlight projects that you have done, awards you have bagged and companies you have interned with," says Rajesh AR, VP, temp staffing unit, TeamLease Services.
Companies also give high rating if they see you are a team person and enjoy good inter-personal relationships. So, if you are part of student's associations or an NGO, stress on these points. Of course, academics is the first thing that recruiters see, but extra curricular excellence does count.
Talk only about business interest: Trash the habit of mentioning interests like singing, dancing, music, swimming, painting or astrology. That's a complete passe. "Talk only about your business interest," says Sunil Kalra, consultant to a leading HR firm. And be well prepared. If you say your interest lies in reading, "Then know the book inside, out, upside, down," emphasises Kalra.
Gain proficiency in a professional area: While studying, gain competency in an area that will hold you in good stead in your professional career. Learn basic computer skills. Having done that, move on to adding other skills like Coral Draw if you want to get into computer graphics or learn accounting software Tally if you see your future in accounting.
A mid-level executive's resume
Flexibility and responsibility: When you have gained 3-4 years of experience, review your CV. For a person with 2-4 year's of experience and more, the thrust shifts on industry knowledge and his adaptability in the organisation, among other qualities. "At this stage, cultural fit is given more importance, flexible approach matters and the learning starts playing an important role", says Rajesh AR. The organisation sees if you have been flexible in previous roles and whether you are prepared for a new responsibility.
Personal initiatives: The companies also see the personal initiatives that you have taken to add on to your skill and knowledge base. While it hints your progressive mindset, "It also subtly, positively speaks of your career consciousness", says Kalra. Candidates should highlight those events where their ideas have been implemented; their analytical skills have been applauded.
Other must-dos
Be specific: If you are applying for a position in sales and marketing vertical, a requirement which is across industries, should you tailor your CV every time? Not really. Just be specific and highlight the best fit experiences.
Remain updated: Be aware of the news and current affairs. "Read newspapers", advises Rajesh AR. Read business writers. Focus more on your field
Communication skills: Work on your verbal communication skills and writing skills. Prior to the interview, prepare a list of questions that a recruiter might ask, write down the answers and read it aloud to yourself. Keep your answers to the point. Use these pointers and rest assured you will get an interview call no sooner your CV reaches the recruiter.