India and World Current Affairs May 2017

India Notified Amended Tax Treaty with Singapore

The government notified the amended ‘India-Singapore tax treaty under which capital gains tax will be levied at source of investments with effect from April 1, 2017.
India had amended the tax treaty with Singapore on December 30, 2016, under which for two years beginning April 1, 2017, capital gains tax will be imposed at 50% of the prevailing domestic rate. Full rate will apply from April 1, 2019.
The revision of tax treaty will help curb revenue loss, prevent double non-taxation and streamline the flow of investments.

India and ADB Signed Loan for Upgrading District Roads in Madhya Pradesh

The Asian Development Bank (ADB) and the government of India signed a $ 350 million loan for improving about 1500 km of major district roads in Madhya Pradesh in line with the State’s Road Development Plan on March 21, 2017.
The Project will involve upgrading roads with concrete pavements, strengthening culverts and bridges, and maintaining the improved road assets for a period of five years after construction, on a performance based payment format.
The project will also develop and introduce a cashless accident victim treatment facility in the State, and improve the accident response system.

Social Security Agreement between India and Brazil Finalised

India and Brazil finalised the text of the Social Security Agreement (SSA), which was signed in Brasilia on March 16, 2017.
As per the agreement, detached workers of the two countries are exempted from making social security contributions in either country so long as they were making such contributions in their respective countries.
It established the rights and obligations of nationals of both countries and provides for equal treatment of the nationals of both countries and unrestricted payment of pensions even in the case of residence in the other contracting state (benefits export principle).
India has signed and operationalised Social Security Agreements (SSAs) with IB countries—Australia. Austria, Belgium, Canada, Czech Republic, Denmark, Finland, France, Germany, Hungary, Japan, Luxembourg, Netherlands, Norway, Portugal, Sweden, Switzerland, and South Korea.

Australia Research Centre Entered into Agreement with Indian Railways

A Railway research centre in Australia has entered into an agreement with the Indian Railways to support future research and technology development related to critical infrastructure,in India on March 16, 2017.
Institute of Railway Technology (IRT) with partners-— Balaji Railroad Systems Limited (BARSYL), leading railway consultants in India, PwC, and Indian Institute of Bombay (IITB) were elected as the preferred supplier from a competitive global selection process.
They will provide guidance on the establishment of a new applied research and development institute in India known as Special Railway Establishment for Strategic Technology & Holistic Advancement (SRESTHA).
SRESTHA will be locally engaged, but have a global reach with the aim to become a world leader in the advancement of rail.

Hyderabad Emerged as the City with the Best Quality of Living

Hyderabad ranked as the top Indian city in the quality of living ranking, for the third year in a row, as per Mercer’s Quality of Living rankings 2017 on March 13, 2017.
For the second year in a row, according to the study, New Delhi continues to be ranked lowest, with scores remaining constant.
Both Hyderabad and Pune cities rank higher for quality of living than the country’s more traditional business centres, Mumbai and New Delhi ranked at 154 and 161, respectively, as perl the report.
Globally, Vienna occupies first place for overall quality of living for the 8th year running, with the rest of the top-ten list mostly filled by European cities—Zurich (2), Munich (4), Dusseldorf (6), Frankfurt (7), Geneva (8), Copenhagen (9), and Basel (10).
The only non-European cities in the top ten are Auckland (3) and Vancouver (5). The highest ranking cities in Asia and Latin America are Singapore (25) and Montevideo (79), respectively.

India and Belgium Signed Protocol to Amend Double Taxation Avoidance Agreement

India and Belgium have signed a Protocol to amend the double taxation avoidance agreement to curb tax evasion on March 8, 2017.
The protocol will broaden the scope of the existing framework of exchange of tax related information. This in turn will help curb tax evasion and tax avoidance between the two countries and will also enable mutual assistance in collection of taxes.
To fight the menace of black money stashed in offshore accounts, India has either signed or amended international agreements, declarations or conventions for the avoidance of double taxation and prevention of fiscal evasion with respect to taxes on income and for the exchange of information with Switzerland, Mauritius, Cyprus, Japan, South Korea, Kazakhstan, Singapore and Austria during the financial year 2016-17.