INCOME TAX Exemption Updates.

INCOME TAX Exemption Updates.

80 C:- Max limit 150000/- (Life Insurance Premium, MF , FD , NSC, PPF , Home Loan Principal , etc.)
80CCD:-50000/- (NPS)
80CCG:- 25000/- or 50% of your investment which ever is less
80D:-25000/-( Mediclaim Policy for self spouse, children)

80DDB: - Medical expense occurred on dependent for specified illment
80TTA:- Up to 10000/- for Interest saving bank account
Gift tax :- Exempted upto 50000/-. Above 50k full amount taxable (FY) from other than Blood relation.. Gift from Blood relation
is 100%Exempted...
Transport allowance: - 19200/- (FY) C.E.A. :- 2400/- (FY)
HRA :- as per the calculation
24(b) :- 200000/- (home loan interest)
80G :- full amount in few selected organisation. This exemption is 50%
80GGB :- 100% exemption for political parties
80EE :- unlimited (interest on education loan)....
80U :- 75000/- (in case of taking care of a Handicapped depends)..

MONEY MARKET CONCEPTS

MONEY MARKET CONCEPTS

ISSUED CAPITAL: that part of a company‟s capital that has been subscribed to by shareholders. It is a broader concept than paid up capital.

PAID UP CAPITAL: It is that part of the issued capital of a company, paid up by the shareholders (promoters).
It is that part, invested by the promoters. Therefore, an issued capital may or may not be a paid up capital.
AUTHORIZED CAPITAL: It is the amount of share capital fixed in the Memorandum of an
Association and the Articles of the Association of a company as required by the Company‟s act. They are also
known as nominal capital.
REPO OPERATIONS: In order to absorb and to neutralize excess liquidity from the system and even to out
call money rates a system of announcing calendar of Repos auctions on a monthly basis was introduced with
effect from January 13,1997.
FIXED RATE REPOS: The fixed rate repo was introduced with effect from November 29,1997. The repo
rate and the period of repo is announced by the RBI in the evening of the previous day.
NET ASSET VALUE (NAV) : The investment efficiency of the mutual fund can be measured in terms of the
NAV values and Net Sales. NAV is the indicator of the investment performance and it indicates the amount
each unit holder will get per unit on redemption or winding up of mutual fund. Net Sales given by the
difference between the total sales and total repurchases of the units of a fund.
FLOATING RATE NOTE : It adopts a reference rate of interest which reflects the market rate of interest.
The interest rate of FRN then in certain percentage points over the reference rate or benchmark rate

INSTRUMENTS OF MONEY MARKET

INSTRUMENTS OF MONEY MARKET
CALL MONEY - Call or notice money is an amount borrowed or lent on demand for a very short period. If
the period is greater than one day and up to 14 days it is called Notice money; otherwise the amount is
known as Call money.
This is a completely inter-bank market. Interest rates are market determined. In view of the short tenure of these
transactions, both borrowers and lenders are required to have current accounts with Reserve Bank of India.
TREASURY BILLS - These are the lowest risk category instruments for the short term. RBI issues treasury
bills [T-bills] at a prefixed day and for a fixed amount. There are 3 types of treasury bills. -91-day T-bill:
maturity is in 91 days, it is auctioned on every Friday of every week and the notified amount for auction is Rs.
100 crores. -182-day T-bill: maturity is in 182 days, it is auctioned on every alternate Wednesday, which is not
a reporting week and the notified amount for auction is Rs. 100 crores.
-364-day T-bill: maturity is 64 days, it is auctioned on every alternate Wednesday which is a reporting week
and the notified amount for the auction is Rs. 500 crores.
CERTIFICATES OF DEPOSITS - After treasury bills, the next lowest risk category investment option is
Cer-tificate of Deposit (CD) issued by banks and Financial Institutions (FI). Allowed in 1989,
CDs were one of RBI‟s measures to deregulate the cost of funds for banks and FIs. A CD is a negotiable
promissory note, secure and short term, of up to a year, in nature.
Although RBI allows CDs up to one-year maturity, the maturity most quoted in the market is for 90 days.
COMMERCIAL PAPERS - Commercial papers [CPs] are negotiable short-term unsecured promissory notes
with fixed maturities, issued by well-rated organizations. These are generally sold on discount basis.
Organiza-tions can issue CPs either directly or through banks or merchant banks
[called as dealers]. These instruments are normally issued in the multiples of five crores for
30/45/60/90/120/180/270/364 days

Current Affairs on 09.02.2019

Today's Headlines from www:

*Economic Times*

📝 Govt may raise investment limit of angel tax concessions for startups

📝 Reliance buys additional stake in Future101, Genesis Colors

📝 Forex reserve again tops $400 billion level

📝 PSB NPAs decline to Rs 8,64,433 crore in Apr-Dec

📝 Sobha Q3 profit rises 31% to Rs 69.8 cr

📝 Passenger vehicle sales drop 1.87% in January

📝 State Bank Of India reduces home loan interest rate By 5 basis points

*Business Standard*

📝 Consumer, retail lenders make 93% of FY19 market capitalisation gains

📝 Higher tractor and auto sales drive Mahindra December quarter net up 7%

📝 KKR Asset Finance lends Rs 725 crore to Bengaluru-based realtor

📝 Adani closes KEC's Transmission asset acquisition deal, buys 100% stake

📝 Tata Steel Q3 profit up 54% to Rs 1,753 cr on the back of higher revenues

📝 Bharti Airtel's African subsidiary merges operations with Telkom Kenya

📝 Direct tax mop-up at Rs 7.88 trillion in April-Jan: Govt informs House

📝 Future Supply Chain Solutions posts 57% jump in Q3 profit to Rs 19.7 cr

*Financial Express*

📝 Competition Commission of India, GeM team up to prevent cartelization in public procurement

📝 Govt’s large borrowing to put pressure on bond return

📝 Microsoft Backs Facial Recognition Bill as Amazon Mulls Support

📝 Zydus Cadila gets USFDA nod for drug to treat seizures

📝 Reliance ADAG accuses L&T Finance, Edelweiss of illegal selling of Anil Ambani firm stocks

*Mint*

📝 Govt panel favours lowering GST on under-construction flats to 5%

📝 Indian smartphone market grew by 10% annually in 2018: report

📝 India exports to China touches $12.7 billion in Apr-Dec

📝 US considers withdrawal of zero tariffs for India

📝 UCO Bank Q3 net loss at ₹998 crore as bad loans balloon

📝 SoftBank invests ₹2,800 crore in Indiabulls Housing Fin's associate OakNorth

📝 Jet Airways board meet next week to approve December quarter results.