DDS & ASSOCIATES

 SEBI Amends SME IPO Rules: Key Changes and Impact  One more step towards Good Governance and towards creating healthy Equity Market  1. Profitability Requirement Introduced -  SMEs planning to launch an IPO must have a minimum EBITDA of ₹1 crore in at least 2 out of the last 3 financial years. 2. Cap on Offer-for-Sale ( OFS ) - OFS by selling shareholders is capped at 20% of the total issue size. Selling shareholders cannot offload more than 50% of their existing holdings. 3. Promoter's Lock-in Period - Promoter's shareholding over Minimum Promoter Contribution ( MPC ) will be subject to a phased lock-in:  50% of excess holding released after one year. Remaining 50% released after two years. 4. Alignment of Allocation Methodology for NIIs - Non-Institutional Investors ( NIIs ) allocation in SME IPOs will now follow the same approach as main-board IPOs to ensure uniformity. 5. Increase in Minimum Application Size Minimum application size increased to two lots to...

Our Views on SMS from the Income Tax Department about Verification of deductions claimed in your ITR. The Income Tax Department has recently sending SMS alerts to salaried assessees who claimed deductions under Section 80GGC in the last three assessment years (AY 22-23, 23-24, and 24-25). Section 80GGC of the Income Tax Act, 1961, allows individuals to claim a deduction for contributions made to registered political parties or electoral trusts, provided the payment is made through non-cash modes. The political party must be registered under Section 29A of the Representation of the People Act, 1951. While the department’s communication may sound alarming, there’s no need to panic if your donation claims are legitimate. This is simply a measure to identify potentially fraudulent claims. Why the Income Tax Scrutiny? It has come to light that the Income Tax Department has identified sizable salaried taxpayers who have wrongly claimed deductions total  amounting to +₹1,000 crore in ...

MULTIPLE INCENTIVES AND BENEFITS ANNOUNCED TO BOOST TEXTILE SECTORS FOR ACHIEVING NEW HORIZONS IN THE TEXTILE SECTOR KEY HEIGHLIGHTS OF THE POLICY: Capital subsidies : New industrial units can receive capital subsidies ranging from 10% to 35% of their eligible fixed capital investment (eFCI), up to a maximum of ₹100 crore. The subsidy amount is based on factors like location, activity, and employment levels.   Payroll assistance : Female workers receive ₹3,000 to ₹5,000 per month, while male workers receive ₹2,000 to ₹3,000 per month.   Training support : Workers receive ₹5,000 per month for three months.   Credit-linked interest subsidy : Businesses can receive an interest subsidy of 5% to 7% of their eFCI for up to eight years.   Power tariff subsidy : Units that use power from distribution companies or renewable power for five years receive a subsidy of ₹1 per kWh.   Quality certification : Textile units receive assistance f...

 Benefits for Companies Going for SME IPO Introduction Small and Medium Enterprises (SMEs) play a crucial role in the economy, often driving innovation, employment, and economic growth. As these companies expand, they may consider going public through an Initial Public Offering (IPO) on SME exchanges. In Addition to all, the very important benefit is the Valuation of Business, which otherwise we do not count. Only when the Company goes for Public Issue, the real value of Business, It’s Growth, It’s Name gets Valuations.  This move can offer a range of benefits that can significantly enhance their growth trajectory. This article outlines the key advantages of SMEs going for an IPO. 1. Access to Capital One of the primary benefits of an SME IPO is the ability to raise substantial capital. This influx of funds can be used for various purposes, such as: • Business Expansion: Funds can be utilized to enter new markets, develop new products, or expand production capacities. • ...

 Now the Tax season has been started, and before filing ITR one must understand about the Tax Regime for The better tax planning. Before filing ITR one, must calculate and compare Tax and effect on both the resime. Following car, some key points for understanding about the Tax resime Tent, it’s implications. *Key Points to Remember for Tax Regime from AY 2024-25 Onwards* 1. Default Tax Regime:    - The default tax regime is the New Tax Regime under Section 115BAC. If you wish to opt for the Old Tax Regime, you must specifically select it in the ITR form. 2. ITR 1 and ITR 2 Filers:    - You can choose either the Old or New Regime while filing your ITR.    - No need to file Form 10IEA for opting into the Old Tax Regime for AY 24-25 or for opting out of it from AY 25-26 onwards. 3. ITR 3 and ITR 4 Filers:    - To select the Old Tax Regime for AY 24-25, you must file Form 10IEA.    - If you wish to opt out of the Old Tax Regime from AY ...

SME IPO………….ONE OF THE UNIQUE WAY FOR FINANCING YOUR BUSINESS AND MULTIPLYING WEALTH IF YOUR BUSINESS IS GOOD GROWING, IF YOUR BUSINESS IS PROFITABLE, IF YOUR BUSINESS HAS GOOD REALISTIC PROJECTIONS, IF YOUR BUSINESS HAS POTENTIALS TO GROW HORIZONTALLY AND VERTICALLY AND IF YOU ARE VISIONER……….READ THIS KNOWLEDGE SHAREING For any business in the world, FINANCE is the 1 st and pre-requisit to establish and run the business and to write its growth story. Many profitable business do not survive due to availability of finance or due to availability of finance at high cost. There are many ways to finance business…i.e. own capital, Loan Funds from banks, Financial institutions, Debt fund , Unsecure loan funds , Pvt Equity, Public equity funds and so on and so forth… but for the growth of business , for developing business horizontally and vertically, low cost fund can play the crucial roll for the whole growth story.   Funding business through debt instrument is the costly affair ...