The Economic Times

US stock indices slid on Thursday as crude oil prices surged, prompted by intensifying Middle East tensions. Major benchmarks, including the S

US equity indexes fell, influenced by megacap technology stocks and concerns regarding OpenAI's revenue performance. The Nasdaq 100 and S&P 500 saw declines as the yield on the 10-year Treasury rose. Additionally, increased oil prices and energy supply fears contributed to market pressure. Federal Reserve comments indicated potential for further interest rate increases, impacting credit sectors. A rise in economic-policy uncertainty reflects growing concerns among investors amid upcoming electio

PwCs Pratik Jain said the GST Councils latest measures mark the third phase of the tax reform, shifting focus to bolder policy changes and ease of doing business. He said wider refunds for input services and capital goods, along with ITC on employee insurance, could ease working-capital stress and lower costs.

Deloitte Indias MS Mani said the latest GST reforms reflect growing trust between government and industry, with technology enabling simpler compliance and more targeted enforcement. He said easier registration, annual returns with quarterly payments, return corrections and removal of arrest provisions could reduce compliance fears and bring more businesses onto the GST platform.

EY partner Bipin Sapra said the GST Councils latest reforms address input tax credit blockages, expand refunds, support exporters and streamline tax administration. He said rationalising Section 17(5) could reduce tax cascading and costs for businesses, while decriminalisation and removal of arrest powers should create a more conducive business environment.

From its rollout in 2017 to GST 2.0, Indias goods and services tax has evolved into a more digitised and predictable tax regime. Over nine years, the system has seen changes in tax rates, slabs, compliance and technology, reshaping how businesses manage indirect taxes and interact with the tax administration.

More than 16 lakh small businesses with turnover up to Rs 5 crore could benefit from a simplified GST compliance regime, under which they would pay tax quarterly but file one return annually. The overhaul also rationalises penalties, waives late fees and simplifies registration for eligible small e-commerce sellers.

The GST Council has clarified that highway concessionaires collecting exempt tolls will face no GST liability on the toll collection right, regardless of whether concession payments are made upfront or over time. It also said GST on road maintenance services will arise when funds are actually drawn against expenditure, not merely parked in escrow.

Nearly 38,700 export taxpayers will become eligible for cash refunds on input taxes paid on services and plant and machinery under GST reforms. The Council also approved automatic release of 90% of refund claims after risk checks, faster acknowledgements and wider export benefits for service providers and manufacturers.

GST reforms treating contract manufacturing for foreign principals as exports could boost Indias appeal as companies relocate parts of their supply chains. Expanded refunds covering input services and capital goods, faster 90% refunds and measures to release blocked tax credits are also expected to unlock working capital and support investment.

The GST Council has recommended allowing employers to claim input tax credit on GST paid for health and life insurance policies taken for employees. The move could reduce the effective cost of employer-sponsored coverage, particularly benefiting small businesses, while making group health insurance more affordable and improving employee benefits.

Elon Musk is pushing for Starlink's approval in India while alleging that oligarchs are blocking its entry. He emphasizes that Starlink has complied with all regulations for five years without receiving a license. The government has stated that all involved parties are at the same regulatory stage awaiting security approvals. The ministry insists that compliance with security conditions is mandatory before moving forward.

GST reforms 2026 will move around 2 lakh businesses operating across multiple CGST jurisdictions towards a centralised, faceless tax administration, Finance Minister Nirmala Sitharaman said. The framework will cover scrutiny, audits, adjudication, appeals and taxpayer services, with public consultation planned before Budget 2027 and implementation targeted for FY28.

The Reserve Bank of India is engaged in dollar sell-buy swaps to stabilize the rupee's value. However, this has resulted in higher forward premiums, making it expensive for foreign investors to hedge. As a consequence, some foreign investments in rupee-denominated assets may decline. Additionally, companies are opting to borrow in rupees and exchange for dollars due to favorable local rates.

Airlines like Air India and Akasa Air have announced increased fuel surcharges for both domestic and international flights. The rise in aviation turbine fuel prices has significantly impacted operational costs for carriers. Domestic surcharges will be effective on new bookings from October 9, as the festive season approaches. International surcharges vary depending on destination, reflecting additional costs incurred by airlines.

Airlines such as Air India Express and IndiGo are cancelling flights to and from Riyadh due to security issues. Several airlines have cited evolving conditions affecting civilian air travel in the region. Passengers affected by these cancellations are being offered options for refunds or rescheduling. India's Ministry of External Affairs condemned attacks on airports, affirming the unacceptable targeting of civilian infrastructure.

Russia's exports of yellow peas and sunflower oil to India have been disrupted by ongoing conflicts. As a result, prices for yellow peas have risen from 40 to 46 per kg in the last two months. Importers report that shipments from Russia have not occurred recently, affecting the availability of yellow peas. Meanwhile, sunflower oil shipments are also hindered, causing expectations of higher prices in the near future.

The Supreme Court has ordered new elections in 50 municipal wards across Punjab. This decision follows a report detailing significant obstruction during the nomination process. The report highlighted incidents of candidates experiencing threats, assaults, and destruction of nomination papers. Fresh elections will take place in 28 wards in Patiala district and 22 in Moga. The local body elections originally occurred on December 21, 2024.

In the U.S., the 30-year fixed-rate mortgage has surged to 7.40%, fueled by rising inflation that has also driven up energy costs and Treasury yields. With midterm elections looming, the housing market is grappling with affordability challenges. Homeowners are reluctant to sell due to these higher mortgage rates. While home prices remain high, experts forewarn of a potential market stall rather than a significant downturn.

The Indian government is set to unveil the Overseas Mobility Bill following thorough public consultations and reviews among various ministries. This pivotal legislation aims to form a council dedicated to refining the management of overseas migration policies. It will develop a regulatory framework that safeguards vulnerable emigrants while enhancing overseas opportunities.

The Trump administration has suspended major tech companies from applying for permanent residency for foreign workers. Various companies, including Microsoft and Adobe, have been accused of abusing the H-1B visa program. U.S. Vice President JD Vance claimed that Microsoft replaced laid-off American workers with foreign workers. Labor Secretary Keith Sonderling stated that nearly 3 million foreign workers were requested by these companies.

Donald Trump invested over $1 million in stocks of several major companies during August. Notable purchases included Meta Platforms, McDonald's, Microsoft, and space-related debt from SpaceX. His investment activities encompass trading in shares of Nvidia and Advanced Micro Devices, key players in the AI sector. Trump's financial dealings during his presidency have raised concerns about potential conflicts of interest.

Goyal said that the nine free trade agreements finalised by India in recent years provide huge business opportunities for exporters. He urged industry chamber CII to set up FTA utilisation cells in states.

India has joined the US, EU, UK and 12 other economies in a joint statement to tackle structural excess capacity and production, despite facing a US trade probe over alleged overcapacity. The signatories will examine key sectors including EVs, batteries, chemicals, semiconductors and solar panels through dedicated sectoral platforms.

Documents reveal the FBI tracked Susie Wiles' communications with various individuals after the Mar-a-Lago raid. The agency also monitored the movements of Donald Trump, Melania Trump, and Barron Trump before the search. Details were obtained about their travel plans and timing for carrying out the FBI raid. Investigators expressed concerns regarding the legal authority to search certain areas of Mar-a-Lago.

The USDA has slashed its expectations for Indian sugar production in the 2026/27 season to 29.5 million metric tons due to a forecasted rainfall shortfall. This predicted deficit is set to impact sugarcane's sucrose level and decrease the area available for effective harvesting. Moreover, looming drought conditions are likely to disrupt milling operations by early 2027.

A new Reuters poll has raised questions about Donald Trump Republican voter enthusiasm ahead of the 2026 midterm elections, with only 30% of Trumps 2024 voters saying they are very enthusiastic about voting, compared with 48% of Kamala Harris voters. The findings could pose a challenge for Republicans as Trump urges his supporters to treat the midterms as a referendum on his presidency.

Prime Minister Narendra Modi on Thursday welcomed the new round of GST reforms approved by the Goods and Services Tax (GST) Council, saying the measures will enable faster decisions, lower compliance costs, automated refunds and a trust-based administration.

The United States has confirmed it will not engage in military actions against Iran before the upcoming midterm elections. A naval blockade remains enforced around Iranian ports, despite ongoing discussions between the two nations. Iran seeks to address the blockade and resume nuclear talks, while the US insists on limiting Iran's nuclear capabilities. Recent proposals from Iran were rejected by the US, highlighting the complexity of negotiations.

Rahul Gandhi took a swipe at Indias telecom regulations after Elon Musk questioned why Starlink is yet to receive an operating licence despite five years of compliance with Indian requirements. Musk called the situation troubling. Starlink has secured key authorisations but is awaiting security clearance before launching commercial services in India.

The government is aiming to cap trade margins on anti-cancer medications at 30%. An expert committee has been tasked with compiling a report by October 14 on eligible drugs. The move targets the excessive mark-ups currently averaging 170% for various non-scheduled anti-cancer medicines, potentially saving around Rs 2,500 crore and enhancing affordability for patients.

Mohammad Eslami, the head of Iran's Atomic Energy Organization, announced that the country will persist in its uranium enrichment endeavors. He characterized US warnings as stale and ineffective in persuading Iran to change course. Eslami's remarks underscore Tehran's resistance to external pressures, illustrating the ongoing friction in nuclear negotiations with the United States, a critical development in their multifaceted diplomatic engagement.

The Food Safety and Standards Authority of India has sent notices to multiple firms, such as Dr Reddy's and Nestle Health Science, regarding dubious product claims. The FSSAI pointed out potentially misleading information related to muscle strength, immunity boosting, and energy metabolism. This can mislead consumers about true health benefits. The implicated companies are mandated to justify their claims and may encounter future sanctions.

Infosys and Wipro ADRs fell nearly 3% in US trading as investors assessed TCSs quarterly results and fresh US immigration restrictions. Concerns over technology spending, AI disruption and tighter employment-based immigration added pressure to Indian IT stocks.

Jio Platforms MD Akash Ambani said the company will continue to focus on affordability while delivering quality services, even as rivals raise tariffs. His comments came after Bharti Airtel increased postpaid prices by Rs 50. Ambani also outlined Jios technology ambitions, including its satellite stack and planned low-Earth orbit constellation.

Indian markets plunged on Thursday as RBI policy tightening, persistent FII selling, rising bond yields and rupee weakness battered sentiment. The Nifty hit a 52-week low of 22,179, while the Sensex fell 1,045 points, wiping out over Rs 10 lakh crore.

CJP leader Abhijit Dipke declared plans for a nationwide mobilization against the SIR exercise scheduled for October 10. The protest aims to demand accountability for alleged voter deletions and to scrap the SIR initiative. Dipke criticized the government's restrictions on peaceful gatherings, emphasizing the need for public participation in democracy. Actor Prakash Raj supported the movement, highlighting the extensive documentation of irregularities related to voter deletions.

Indian markets remained under pressure as hawkish RBI policy, persistent FII outflows, rising bond yields and rupee weakness weighed on sentiment. Amid the sell-off, analysts identified Brooks Laboratories and Deepa Jewellers as medium-term opportunities based on bullish technical breakouts.

Now GST input tax credit to emoyers on group insurance; this can mean more life and health insurance coverage for employees; Know how it helps. The reason for this is now employer's cost of buying insurance for its employees can reduce by claiming ITC.

The United States has launched a federal investigation into nine major universities, including Ivy League schools like Harvard, Yale and Stanford over their use of J-1 visas, Vice President JD Vance said at a press briefing.The J-1 visa programme allows foreign nationals to enter the US as exchange visitors, including researchers, scholars, students, teachers and other specialists.Vance said Labor Department officials had served subpoenas on the universities as part of the investigation. He alle

ITC witnessed a nearly Rs 9,437 crore block deal as a GQG-linked fund sold 36.51 crore shares, while Fidelity and major Indian mutual funds bought stakes. The transaction comes as ITC shares remain under pressure from taxation concerns and weak volume recovery.

US stocks fell as crude oil prices surged and Treasury yields remained high, raising inflation concerns. Major companies like Amazon, Tesla, and Nvidia experienced losses, contributing to a broader decline in the technology sector. Investors are now focused on upcoming third-quarter earnings reports, particularly from financial institutions. The Federal Reserve is expected to keep interest rates unchanged in October, while considering future hikes.

In a recent report, weekly unemployment claims saw a slight drop of 2,000, totaling 197,000, which suggests some stability within the job market. Nonetheless, nonfarm payroll growth remained disappointing, with just 29,000 jobs created in September. Additionally, there was an increase of 17,000 in ongoing unemployment benefits, highlighting challenges faced by new job seekers amid geopolitical uncertainties and a tightening labor pool.