Benchmark indices closes marginally positive - LuvKush Finserve

Benchmark indices have closed marginally positive amid volatility after the Finance Ministry on Mar 1, 2013 issued clarification on Tax Residency Certificate (TRC). The Sensex ended at 18,919 up 57 points or 0.30% and the Nifty ended at 5,720 up by 27 points or 0.47%. The Sensex and the Nifty reached an intra-day high of 18,989 levels and 5,739 mark, respectively.

The Government in a release said that, in the explanatory memorandum to the Finance Act, 2012, it was stated that the Tax Residency Certificate containing prescribed particulars is a necessary but not sufficient condition for availing benefits of the DTAA (Double Taxation Avoidance Agreements). However, it has been pointed out that the language of the proposed sub-section (5) of section 90 could mean that the Tax Residency Certificate produced by a resident of a contracting state could be questioned by the Income Tax Authorities in India.

On the sectoral front, BSE Consumer Durable index surged by over 3% followed by counters like Capital Goods, Auto, Power and Metal, all gaining between 1-2%. However, BSE Realty index slipped by 4%. BSE Midcap index gained 0.29% whereas BSE Smallcap index ended marginally lower.

Source : Equity Bulls

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