The Indian equity markets are sea-sawing between red and green with completely directionless trade today, and currently trading absolutely flat with negative bias in the late morning session by stock specific activity. The nifty was hanging around its previous closing value since the beginning of trade. Investors remained cautious and adopted a wait-and-watch approach. On sectoral front Realty stocks have moved higher on fairly strong buying interest. Select metal, power, consumer durables and FMCG stocks are trading higher. Information technology stocks are trading weak. TECk, oil and gas and auto stocks are putting pressure on the market. On the global front, Asian markets were trading in mixed with concerns about global economic scenario. Back home, the market breadth remained positive; there were 1,615 shares on the gaining side against 905 shares on the losing side while 112 shares remained unchanged.
The BSE Sensex is currently trading at 1 18,561.55, marginally down by 0.37 points. The index has touched a high and low of 18,622.56 and 18,516.54 respectively. There were 19 stocks advancing against just 11 declines on the index.
The broader indices were outperforming benchmarks; the BSE Mid cap and Small cap indices up by 0.57% and 0.70% respectively.
The top gaining sectoral indices on the BSE were, Realty up by 1.06%, Metal up by 0.76%, Power up by 0.74%, Consumer Durables up by 0.57% and FMCG up by 0.51%. While, IT down by 0.57%, TECk down by 0.31%. Oil & Gas down by 0.13%, Auto down by 0.12% and Health Care down by 0.08% were the top losers on the index.
The top gainers on the Sensex were Hindalco up by 2.86%, BHEL up by 2.19%, Tata Power up by 1.55%, HDFC Bank up by 1.40% and DLF up by 1.29%.
On the flip side, Cipla down by 2.16%, TCS down by 1.80%, M&M down by 1.41%, L&T down by 0.99% and ICICI Bank down by 0.66% were the top losers on the Sensex.
Meanwhile, the Union Finance Ministry is planning to include more professions in the service sector under the tax regime as very few services are taxed under the present service tax regime. Government is also drafting a negative list of services under which, all services which are not mentioned in the negative list, would be taxed under the proposed Goods and Services Tax (GST).
Speaking at conference organized by the Associated Chamber of Commerce (Assocham) Joint Secretary Union Ministry of Finance V K Garg said more areas in the services sector need to be brought under service tax. In India, this is tougher to do, because goods are sometimes classified as services and vice versa. The Centre has shown commitment to implement the Goods And Service Tax (GST), which will subsume most of the indirect taxes like excise duty and service tax at the central level, as well as VAT on the state front, besides local levies.
'Very soon, there will be an announcement by the Union Finance Minister on a negative list of taxation. We have drawn up a negative list of taxation about what we do not and should not tax. Once we are sure of this, everything else, which is not included in this list, can be brought under the tax net,' he added.
V K Garg said the taxation is important for any country, and if taxation fails, it leads to deficits and inflation - which is the worst kind of taxation. By adding further he said that if taxes are improper, the economic activity would end up getting distorted. Similarly, if import duties are high, then local businessmen would enjoy protection and monopoly, which will result in customers suffering.
On the issue of defining services goods for negative list, V K Garg said that, in India, even defining certain economic activities as a service is not easy, because the constitution does not recognize several such activities as service. So, there is a challenge even at the definition level. 'Currently, only a limited number of services are under the tax net. The government proposes to tax most of the services under the GST regime. A constitution amendment bill is pending in the Parliament, which seeks to pave the way for the introduction of GST. The idea is to implement the GST regime by the year 2013,' V K Garg added.
The S&P CNX Nifty is currently trading at 5,578.85, down by 2.25 points or 0.04%. The index has touched a high and low of 5,596.60 and 5,563.70 respectively. There were 29 stocks advancing against 21 declines on the index.
The top gainers of the Nifty were Hindalco up by 3.09%, IDFC up by 2.34%, BHEL up by 1.95%, Tata Power up by 1.95% and HDFC Bank up by 1.45%.
On the flip side, Cipla down by 2.41%, M&M down by 1.80%, TCS down by 1.68%, L&T down by 1.42% and Sesa Goa down by 1.14%, were the major losers on the index.
The BSE Sensex is currently trading at 1 18,561.55, marginally down by 0.37 points. The index has touched a high and low of 18,622.56 and 18,516.54 respectively. There were 19 stocks advancing against just 11 declines on the index.
The broader indices were outperforming benchmarks; the BSE Mid cap and Small cap indices up by 0.57% and 0.70% respectively.
The top gaining sectoral indices on the BSE were, Realty up by 1.06%, Metal up by 0.76%, Power up by 0.74%, Consumer Durables up by 0.57% and FMCG up by 0.51%. While, IT down by 0.57%, TECk down by 0.31%. Oil & Gas down by 0.13%, Auto down by 0.12% and Health Care down by 0.08% were the top losers on the index.
The top gainers on the Sensex were Hindalco up by 2.86%, BHEL up by 2.19%, Tata Power up by 1.55%, HDFC Bank up by 1.40% and DLF up by 1.29%.
On the flip side, Cipla down by 2.16%, TCS down by 1.80%, M&M down by 1.41%, L&T down by 0.99% and ICICI Bank down by 0.66% were the top losers on the Sensex.
Meanwhile, the Union Finance Ministry is planning to include more professions in the service sector under the tax regime as very few services are taxed under the present service tax regime. Government is also drafting a negative list of services under which, all services which are not mentioned in the negative list, would be taxed under the proposed Goods and Services Tax (GST).
Speaking at conference organized by the Associated Chamber of Commerce (Assocham) Joint Secretary Union Ministry of Finance V K Garg said more areas in the services sector need to be brought under service tax. In India, this is tougher to do, because goods are sometimes classified as services and vice versa. The Centre has shown commitment to implement the Goods And Service Tax (GST), which will subsume most of the indirect taxes like excise duty and service tax at the central level, as well as VAT on the state front, besides local levies.
'Very soon, there will be an announcement by the Union Finance Minister on a negative list of taxation. We have drawn up a negative list of taxation about what we do not and should not tax. Once we are sure of this, everything else, which is not included in this list, can be brought under the tax net,' he added.
V K Garg said the taxation is important for any country, and if taxation fails, it leads to deficits and inflation - which is the worst kind of taxation. By adding further he said that if taxes are improper, the economic activity would end up getting distorted. Similarly, if import duties are high, then local businessmen would enjoy protection and monopoly, which will result in customers suffering.
On the issue of defining services goods for negative list, V K Garg said that, in India, even defining certain economic activities as a service is not easy, because the constitution does not recognize several such activities as service. So, there is a challenge even at the definition level. 'Currently, only a limited number of services are under the tax net. The government proposes to tax most of the services under the GST regime. A constitution amendment bill is pending in the Parliament, which seeks to pave the way for the introduction of GST. The idea is to implement the GST regime by the year 2013,' V K Garg added.
The S&P CNX Nifty is currently trading at 5,578.85, down by 2.25 points or 0.04%. The index has touched a high and low of 5,596.60 and 5,563.70 respectively. There were 29 stocks advancing against 21 declines on the index.
The top gainers of the Nifty were Hindalco up by 3.09%, IDFC up by 2.34%, BHEL up by 1.95%, Tata Power up by 1.95% and HDFC Bank up by 1.45%.
On the flip side, Cipla down by 2.41%, M&M down by 1.80%, TCS down by 1.68%, L&T down by 1.42% and Sesa Goa down by 1.14%, were the major losers on the index.
Asian equity indices were trading mixed; KLSE Composite dropped 0.69%, Seoul Composite slid 0.63%, Taiwan Weighted was down by 0.42% and Straits Times declined by 0.03%.
On the flip side, Shanghai Composite rose 0.01%, Hang Seng gained 0.01% and Jakarta Composite added 0.38%. 
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