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On December 17, 2024, market volatility is viewed as both a threat and an opportunity for investors, with strategies like asset allocation recommended for effective navigation. Notably, Trent's shares surged 126% year-to-date, while NMDC announced a record date for 2:1 bonus shares. Direct retail inflows reached nearly ₹1 trillion, indicating growing investor confidence amid market fluctuations.
Nestle India’s stock is currently trading at Rs 2250.00, reflecting a minor decline of 0.16% for the day. The price has dipped below the 20-day Simple Moving Average of Rs 2252.67, suggesting a potential shift in market sentiment. The company boasts a market capitalization of Rs 217,272.82 and a price-to-earnings ratio of 67.15.
Switzerland has withdrawn the 'most favoured nation' status from India under the Double Taxation Avoidance Agreement, following a Supreme Court ruling that imposed a higher tax rate on Nestle. This move raises concerns about the credibility of India's commitments to foreign investors, especially as the Trade and Economic Partnership Agreement with EFTA is set for ratification. Indian officials suggest that the TEPA may take precedence over the DTAA, indicating potential renegotiations ahead.
Younger investors are increasingly drawn to alternative asset classes, with equity comprising up to two-thirds of their portfolios, according to Umang Papneja, CEO of Julius Baer India. In market movements, the BSE benchmark index rose by 623.07 points (0.76%) this week, while the Nifty gained 90.5 points (0.36%). Key market triggers for the upcoming week include the US Fed's policy decisions, foreign fund inflows, and global cues, with experts predicting the Nifty may test the 25,000 level.
This week, the crypto market cap fell from $3.62T to $3.57T, with Bitcoin rising 2.1% to $101,698.45, while Ethereum dropped 2.2% to $3,916.22. Notably, XRP outperformed other top cryptos, and the anime-themed category surged by 217.9%. The upcoming Federal Reserve rate cut announcement on December 18 could further impact market dynamics.
Effective January 1, 2025, the Swiss government's suspension of India's Most Favored Nation (MFN) status may increase tax liabilities for Indian entities in Switzerland. This move highlights the complexities of international tax treaties as countries like India adopt stricter interpretations to safeguard domestic revenues. It emphasizes the need for treaty partners to align on tax treaty interpretations to ensure stability and predictability in the global tax framework.
Switzerland has revoked India's Most Favored Nation (MFN) status following an Indian Supreme Court ruling related to Nestle, leading to a higher withholding tax of 10% on dividends for Indian companies starting January 1, 2025. This decision marks a significant shift in the bilateral treaty dynamics and could impact Indian firms in Switzerland and Swiss investments in India. India plans to renegotiate the Double Taxation Avoidance Agreement with Switzerland in light of this development.
Switzerland has revoked the Most Favoured Nation (MFN) status for India, effective January 1, 2025, following a Supreme Court ruling related to Nestle. This change, stemming from a disagreement over the interpretation of the Double Tax Avoidance Agreement, will increase tax on dividends for Indian firms, raising the rate from 5% to 10% for income earned post-2024, while prior earnings remain unaffected.
Switzerland has suspended the 'Most Favoured Nation' status in its tax treaty with India, imposing a 10% tax on dividends from Indian entities starting January 1. This decision follows a Supreme Court ruling regarding the applicability of the MFN clause, particularly in relation to the Nestlé case, and may lead to renegotiations of the existing tax treaty amid India's recent trade pact with the European Free Trade Association.
Switzerland has suspended the most favoured nation (MFN) status for India, resulting in a 10% tax on dividends from Indian entities starting January 1. This decision follows a Supreme Court ruling that clarified the MFN clause's applicability concerning OECD membership. India's Ministry of External Affairs indicated that the double taxation treaty with Switzerland may need renegotiation due to India's recent trade pact with the European Free Trade Association, which aims to attract $100 billion in investments over the next 15 years.
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