The Supreme Court has recently passed a judgement in the case of Eli Lilly (and various others), finally putting to rest a long debated issue on whether or not Indian tax deduction is required to be done in a case, where an individual is working in India, but, the payroll of the individual is situated outside India (whether wholly or partly). (more…)
The United States Treasury currently offers a special kind of security, called a Treasury Inflation-Protected Security (TIPS), whose principal amount is adjusted for inflation. The Treasury Department regularly auctions TIPS with 5-year, 10-year and 20-year maturity. The Treasury introduced these instruments in 1997, based on the premise that the issuance of TIPS would reduce interest costs to the Treasury over the long term and would increase the different types of investors that buy their debt instruments. Although TIPS do bear a significant risk of loss and are therefore no a cash equivalent, they have been very popular among certain classes of investors looking to hedge their interest rate and inflation exposure. (more…)
RUPEE ACCOUNTS
Q. What are the different types of rupee accounts permitted to be maintained by Non Resident Indian?
Ans. Two types of rupee accounts viz. Non resident (external) Rupee Accounts (NRE) and Ordinary Non-Resident Rupee Accounts (NRO) are permitted to be maintained by NRIs. Funds in NRE Account are repatriable.
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THIS YEAR, INVESTORS HAVE AN EMBARRASSMENT of losses as they head into tax-selling season. Through Wednesday, just 24 S&P 500 stocks were up in 2008 — fittingly, Family Dollar Stores (ticker: FDO), with a 40% gain, led the pack. If you own any of the other 476 S&P stocks, you’ll probably have a loser.
Like most long-time homeowners, Dan and Jody Dollar have built up quite a lot of equity in their Newbury Park, California, home.
They’ve lived in the house for 24 years, come close to paying off the mortgage, and watched its value go up from $160,000 to almost $700,000. That was equity they wanted to tap to pay off the family cars and buy some new equipment for Dan’s physical therapy practice. But they didn’t want to get into a costly reverse mortgage. (more…)
This sure sounds like nirvana right? You not having to pay for insurance..but still having insurance. How is that impossible possible and what gives?
There is a new business in town which calls itself the life-settlement business. What they do is that if you have a policy you do not need anymore then you have 3 ways of getting paid from it (more…)
Exchange-Traded Notes or ETN which lets investors buy derivatives that are similar to mutual funds, but which can defer tax obligations for decades. (more…)
This is a strategy which is used by wealthy individuals to defer capital gains taxes. It involves an investor and a Firm (frequently an investment bank). The investor agrees to sell a block of shares at a later date, and lends same number of shares to the Firm and Firms pays cash up front. When its time for the deal to be completed the investor generally delivers shares for good to the bank. The cash given upfront by the Firm to the investor is as much as 80% of the shares fair market value. Investors ague they don’t owe taxes until they conclude the transaction fully by delivering the shares for good (more…)