Taxation is a critical variable that impacts production volume and pattern, which, in turn, influences the economy's growth trajectory. India's GDP has increased from USD 2 trillion to over USD 4 trillion during the last ten years. The socio-economic benefits accruing from public-private partnerships further help to achieve Sustainable Development Goals (SDGs). Goods and services tax (GST), being a unified taxation framework in India, has resulted in increased revenues for the Government, simplifying returns for the taxed entities. GST derived from CSR activities mainly focused on development sectors like education, health, rural development, and others are mostly exempt from taxes. Input tax credit (ITC), integral to GST, has reduced the business burden.
Vizhinjam is set to become India's largest mother port, capable of handling the world's largest ships and significantly increasing the country's maritime trade capacity. Its development will make it an important hub in the world's shipping network and lessen India's reliance on foreign ports for transshipment, like Colombo. Larger vessels and larger cargo quantities will be handled with the use of sophisticated infrastructure, which will simplify logistics and save costs for Indian importers and exporters. This extension would improve the robustness of India's maritime infrastructure, reduce congestion at ports like Cochin, and promote regional growth. Vizhinjam will become a top-tier port featuring substantial upgrades like deep-draft berths, cutting-edge container processing facilities, better connectivity, and rigorous security measures. These developments will attract worldwide trade, promoting Vizhinjam as a premier gateway for international merchandise. Simultaneously, it will drive economic growth and consolidate India’s pivotal place in foreign trade.
Amidst global economic uncertainties, India shines as a beacon of growth and opportunity. While many developed nations grapple with economic slowdowns, inflationary pressures, and aging demographics, India stands out as the world's fastest-growing major economy, a recognition affirmed by esteemed institutions like the IMF. The recent surge in the Sensex to 75K, underscores the vibrancy of Indian stocks, positioning them as coveted assets on the global stage.
This concept note outlines the essentials of green costing, emphasizing the need for businesses to adopt more environmentally accountable practices by incorporating environmental costs into their financial systems.
Management Accountants will have to combine three major elements of analysis from three areas of perspectives - macro economics, micro or business economics and management accounting. This combination should facilitate the design of a comprehensive performance monitoring and evaluation system. It should also support the decision making process. Thus 'Strategic Management Accounting' should aim at combining all the three perspectives - financial, operational and strategic.
The Bharatmala Pariyojana, launched in 2017, is a flagship highway development project by the Government of India aimed at enhancing the country’s road infrastructure. As one of the largest infrastructure initiatives in India’s history, Bharatmala seeks to construct approximately 65,000 kilometers of highways and roads across the country. The project is designed to improve connectivity between rural and urban areas, boost trade and economic growth and reduce travel time across key economic corridors. This article explores the journey of the Bharatmala project thus far, focusing on its objectives, phases, and achievements. It also discusses the challenges encountered during its execution, including land acquisition, environmental clearances and financial constraints. Moreover, the article assesses the socio-economic impacts of the project, particularly in terms of regional development, job creation, and the overall modernization of India’s transportation network.
Any organisation carrying on business activities for profit or non profit purposes do employ various methods or techniques to ensure that its activities are conducted in line with the motto of deriving maximum benefits from its efforts. In pursuit of this goal, the organisation tends to rely on preparing in advance a plan for future period which is generally called a Business Model or Plan and measures the results of activities with the aid of Management Accounting principles to judge whether the activities are yielding the desired results or not. This article tries to bring out the process and purpose of preparing the Business Model and the support the organisation derives from Management Accounting Principles to assess the progress in line with the Business Model. While the Planning exercise is one looking into future and charting out the desired course, the Management Accounting principles support the progress with the backing of hardcore data and analysis of deviations throwing light on the corrective actions that may be necessary for fulfilling the Organisational Goal as envisaged in the Business Model.
Artificial Intelligence (AI) and automation are bringing about a revolution in management accounting. This article explores the ways in which these developments improve and strengthen core concepts in management accounting.
The Indian indirect tax system witnessed fundamental changes with the implementation of the goods and services tax by merging various levies into a comprehensive single unified tax structure. The reform was implemented to unify the complex web of indirect taxes into a single, comprehensive tax for removing the cascading effect of taxes and providing for a common national market for goods and services. [1]The journey of GST during the last seven years has been like a roller coaster ride since July 2017. There have been multiple amendments to the provisions of GST law. More than half a decade has passed since the implementation of GST. However, GST litigation is still evolving and still at the nascent stage and more litigation will arise in days to come. [2] There is a need for a strong dispute-resolution mechanism to resolve the litigation well in time. Goods and Services Tax Appellate Tribunal (GSTAT) is one of the key institutions in litigation resolution before knocking on the doors of the jurisdictional High Court. This article explores the structure of the appellate mechanism, the present options of appeal available to the taxpayers, the need for GSTAT, and possible challenges in forming the GSTAT as also challenges before the said Tribunal.
This is first article in a series of case studies in valuation. I shall be covering some illustrative case studies based on actual facts. The idea is to start thinking in completely new way, which is spirit of our nation looking for transparency and corporate governance with new dynamic models of start-ups emerging and intangible assets dominating mergers of this century.
In an increasingly complex financial environment, the importance of forensic audits for ensuring transparency and accountability in organizations has grown significantly. This article highlights the pivotal role of Cost & Management Accountants (CMAs) as key players in forensic auditing, emphasizing their unique skills in managing financial misconduct and fraud. The piece discusses how CMAs, with their expertise in management accounting and risk management, are evolving into forensic professionals. Their contributions extend beyond compliance, as they actively investigate financial discrepancies, assess internal controls, and recommend improvements to mitigate future risks.
Capital markets are vital to every economy, aiding in the mobilization of resources and fostering economic growth. They serve as a platform for businesses to raise funds, for investors to park their capital and for Governments to issue bonds. This comprehensive comparison will explore the evolution of India's capital markets against the backdrop of global capital markets, emphasizing key factors such as structure, regulation, growth, and investment behaviour.
Real Time Financial System is an advanced, forward looking and proactive System connecting the key critical business parameters into financial figures on instant basis. This RTFS framework requires the careful designing of the business and operating systems and drive for Real Time Financial Statements. The most important benefit with RTFS is to take corrective actions spontaneously and immediately making the review process more robust and corrective actions immediately and thus paves the way for continuous improvement. RTFS makes processes more agile, smarter and improves competitive edge.
Business models outline how to create and deliver value for its customers. It defines the core elements like value proposition, target market, revenue streams, and cost structure. In agriculture, they help farmers and agricultural businesses to optimize resources, enhance efficiency and contribute to the overall profitability of the farming operation. There are many business models, but here specific ones to growing crops are explained. The role of a Cost and Management Accountants is integral to the success of a business model; they help in designing and implementing a costing system by identifying the cost elements, classifying them and allocating them to different products or activities to arrive at the cost of production and also develop strategies to reduce costs and optimize profits.
The logistics industry has globally enhanced its market size to approximately 8.96 trillion USD in 2023 and is expected to reach 21.91USD by the year 2033.The Indian logistic and supply chain industry is approximately worth USD 317.3 billion with an annual growth rate of 10 per cent, thus being a major contributor to the exchequer’s revenue generation. Some of the major challenges facing the Indian economy are warehousing, transportation and distribution of food grains and other consumables. Considering its vast territory, the logistics industry plays a momentous role in its economy. Lately, the logistic industry has been an important employment generator to as many 22 million people. It is said that the introduction of goods and service tax (GST) in India as “One Nation-One Tax” has pushed the logistic industry growth even faster. Overall growth and result in recent past of logistic industry are tremendous and will grow further and has scope to expand its branches in rural India. The purpose of this article is to study the possible growth potential in logistic industry in India after the introduction of GST, especially keeping in mind that GST has eliminated octroi posts at State borders, introduced E-way Bills, centralised warehousing, construction of national highways/corridors etc, which have helped the industry to grow further by even reducing trip-time of truckers to an extent.
The IFSCA has a lot of initiatives up its sleeve on sustainable finance - this is due to its holistic approach. While a framework for adoption of various standards for green finance is already in vogue at IFSCs, the IFSC continues its sustainable finance reform by innovating on transition finance and sovereign green bonds - all with a goal of making the IFSC as a climate finance hub. This article elucidates the sustainable reforms undertaken.
The Union Budget 2024 presented by Finance Minister Smt. Nirmala Sitharaman on 23rd July,2024 announced a ‘New Credit Assessment Model’ for micro, small & medium enterprises (MSMEs), where banks will assess them based on their ‘digital footprints’ and not on their balance sheets.
India's transport and logistics sector is undergoing a dynamic transformation, evolving into a highly efficient and integrated system, essential for the country's economic growth. The sector, valued at $160 billion in 2022, is projected to reach $215 billion by 2027, spurred by strategic initiatives like the Bharatmala project and the implementation of the Goods and Services Tax (GST). These efforts have streamlined supply chains, reduced logistics costs, and enhanced national connectivity, critical for both economic and defense purposes. Additionally, innovations in green logistics, smart cities, and satellitebased toll collection are paving the way for a sustainable and modernized logistics landscape. As these initiatives continue to develop, India is positioning itself as a global logistics hub, driving economic progress and strengthening national security.
Every business entity and startup's objective, from starting with the digitalisation of operating processes followed by the transformation of business models and revenue models, is to attain sustainable competitive advantages and higher ROI. However, not all such attempts achieve the desired financial impacts and attain operational excellence with DEI. Again, digital technologies are evolving with frequent advancements that require renewed efforts to withstand the disruptive impacts of new developments and sustain competitive advantages. This paper deals with some of the major dimensions of the related success factors that also demand an ambidextrous blend of physical and digital capabilities, if need be, in collaboration with other players. In the end, ten critical points have been listed that may help attain more success with digital transformation. The author would happily collaborate with interested scholars to conduct empirical research studies.
