Translate

Post Your Self

Hello Dearest Gameforumer.com readers

Its your chance to get your news, articles, reviews on board, just use the link: PYS

Thanks and Regards

Thursday, February 6, 2020

economic news of india - world economic news - economics news for students - indian economy news

economic news of india - world economic news - economics news for students - indian economy news


India wants online biggies like Google to shell out more in tax

Posted:

NEW DELHI: India has introduced an enabling provision that will make an overseas platform that advertises, streams or sells goods to an Indian IP address taxable in the country. This marks the first step toward a global digital tax and means that India will be ready to implement the levy once the Organisation for Economic Cooperation and Development (OECD) framework, currently under discussion, is finalised.The government will then be able to tax revenues of ecommerce firms such as Amazon, Alibaba and Ebay selling goods or services based on data collected from residents and those engaged in targeted advertisements such as Facebook and Google, besides streaming services like Netflix. Those monetising data, through cookies for instance, will also be covered.India had imposed a 6% equalisation levy, sometimes referred to as the 'Google tax', in 2016. But this latest development is a significant move toward capturing tax on incomes earned by overseas companies through consumption by Indians."The idea is to have an enabling framework in place so that once the OECD framework is ready, we can go ahead," a senior government official told ET. The proposed changes will be implemented only after OCED unveils the global framework.Readying Taxation System for Digital EconomyThe Finance Bill has proposed changes to the income tax Act to add new source rules that deem certain types of a foreign assessee's income to be of Indian origin and hence taxable in the country.Toward this end, the government has introduced explanation 3A in Section 9 of the income tax Act on "income attributable to operations carried out in India". This will incIude the income of non-residents from advertisements targeted at Indian customers or accessed through Indian IP addresses; income from the sale of data collected from an Indian resident or from a person using an Indian IP address; and income from the sale of goods or services using data collected from an Indian resident or from a person using Indian IP address."These proposals broadly attempt to capture the thinking currently ongoing at international forums where the taxation system for the digital economy is being evolved," said Rohinton Sidhwa, partner, Deloitte India. 73996851 Tax treaty implicationsSome experts said this may raise queries over tax treaty implications."It will also be interesting to see the interplay of these provisions with the equalisation levy, which appear to be overlapping in case of some transactions, especially online advertisements and also interplay of relevant tax treaty provisions, which may not permit taxing these transactions in India in their present form," said Rakesh Nangia, chairman, Nangia Andersen Consulting.The OECD had released a draft on the taxation of digital companies for public comments on October 9."These provisions significantly widen the tax net to cover foreign enterprises doing business in India through online modes," said Vikas Vasal, national leader (tax), Grant Thornton India.Significant economic presenceThe government had introduced the concept of significant economic presence (SEP) in line with its plan to tax digital companies in the Finance Act, 2018. SEP was defined to mean, among other things, systematic and continuous soliciting of business activities or engaging in interaction with such number of users as may be prescribed in India through digital means. This provision was earlier proposed to be effective from assessment year 2021-22, but has now been deferred to 2022-23.

Car cos says slump over, bike makers unsure

Posted:

NEW DELHI: Maruti Suzuki, Hyundai Motor and Mahindra & Mahindra, the nation's top three passenger vehicle makers, expect the automobile market to grow in low single digits in fiscal 2021, after a slow start to the year.A favourable base to compare with after a steep fall in sales this year, low interest rates and new rules that give the taxpayer an option to choose lower I-T rates are among the key reasons driving their estimates. But they expect sales in the first two quarters to be flat or even fall marginally, owing to pricier BS-VI models.Their optimism, though, isn't shared by two-wheeler and commercial vehicle makers, where industry executives predict the market to remain in the negative zone because the price hikes after BS-VI rollout in April are going to be steep at 10-15%. 73997151 'Gradual Recovery Expected'For a large part of the car and SUV segment, prices are set to increase by a moderate 3-5%, and industry executives expect the impact to get absorbed by the market by the middle of the fiscal year.Maruti Suzuki managing director Kenichi Ayukawa said the market had improved somewhat in the past three months. "But we don't expect demand to improve significantly. It will be a gradual recovery; next year we are expecting low single-digit growth," he told ET.The guidance that automakers give to their parts suppliers also indicate a slow recovery in fiscal 2021.Maruti Suzuki has indicated production of 1.65-1.7 million units to its vendors, several people in the know told ET. This suggests growth of 3-6% over the expected volume in the ongoing fiscal year. The local unit of Japan's Suzuki Motor has produced 1.33 million units between April and January this fiscal year, a decline of 14.4%.Hyundai Motor India has set itself a target of 525,000 units for the domestic market in calendar year 2020, according to its guidance to vendors, indicating the expected growth at 3%.The company is cautiously optimistic about next year, Hyundai Motor India MD SS Kim said. "We expect the first half to remain tough. However, things should pick up from the second half."'Pickup from mid-August'Pawan Goenka, the MD at M&M, expects a pickup from around mid-August to early September. "After that, hopefully everybody will get back," he added. In fact, the outlook of passenger car makers has improved after the festive season. One of the reasons is that the risk of a clogged inventory before the implementation of the BS-VI rules has eased significantly, as companies have planned for the transition meticulously. Several automakers halted the production of the BS-IV vehicles in January itself.Interest rates have also come down. Bankers have reduced vehicle loan rates by 0.4-0.6 percentage points in the past three to four months. This has resulted in lower cost of ownership for buyers. The budget proposal to introduce a lower income tax rate for those who don't seek incentives is likely to encourage many people to channel their tax savings to buy vehicles, industry trackers said.Price worriesMeanwhile, in two-wheelers and trucks, industry executives said, price hikes because of the introduction of the stringent emission standards would be steep. This is going to exacerbate the impact from softness in the rural economy.Daimler India Commercial Vehicle MD Satyakam Arya said the market for CVs would shrink even in the best-case scenario. The worst-case scenario will be that the industry may drop to 150,000-160,000 trucks, which is a steep double-digit decline. In the best-case scenario, that if the economy revives, it would be about 220,000 trucks, which is an 8-10% decline, he added.TVS Motor expects industry demand to remain challenging in the current quarter. "Sharp cost increases should lead to marginal decline continuing in first half of next financial year. The company expects a recovery only in the second half," the management had said in a post-earnings call to analysts.

Here's how to handle Sitharaman's MF tax

Posted:

Mumbai: India's top 25 dividend paying MNCs, including HUL, Maruti Suzuki, Nestle, and Colgate-Palmolive, are likely to save more than Rs 2,800 crore collectively after the government's move to abolish the levy on distributing dividends, an ETIG analysis showed.The savings could either be used to increase dividend payouts for both local and overseas investors, or be transferred to the overseas bases benefiting foreign shareholders, experts said. Data compiled by ETIG from the previous year's annual reports of the 25 largest locally listed MNC dividend payers showed that the companies had declared Rs 17,765 crore in aggregate dividends in FY19. They paid Rs 3,008 crore of dividend distribution tax at the rate of 17 per cent of the dividend. The dividend after tax works out to Rs 14,756.6 crore.Of the above, the foreign promoters of these sample companies received dividend of Rs 9,154.8 crore based on their shareholding in the respective MNCs. Their equity ownership ranged from 51 per cent to 75 per cent."In case of non-resident investors, there is a clear advantage as now they will be able to resort to the provisions of a tax treaty, which may prescribe a lower rate, of course, subject to qualifying conditions being met," Sunil Badala, partner & head, financial services, Tax, KPMG in India. "In addition, they may also be able to claim credit in the home country for taxes paid in India." For instance, the Mauritius Treaty prescribes a rate of 5 per cent if the shareholding is more than 10 per cent in the Indian company.The dividend ranking was dominated by MNCs in the consumer focused sectors. At Rs 5,719 crore including tax, Hindustan Unilever (HUL) was the largest dividend payer in the sample. It was followed by Maruti Suzuki India (Rs 2,913.4 crore) and Nestle India (Rs 1,313.4 crore). 73996983 "Companies, which have substantial foreign shareholding, will stand to benefit from the removal of the dividend distribution tax (DDT)," said Vinod Kothari, a corporate law consultant. "Although dividends may be taxable in India since they constitute income here, the rate of tax will be much lower than the rate of DDT. Most companies will target an aggregate outflow on account of dividends including DDT."There were seven MNCs in the sample with bases in the US, and these companies paid aggregate dividend of Rs 2,337 crore, including DDT of Rs 398 crore. The six UK-based MNCs in the sample paid Rs 8,605 crore in dividend, including DDT of Rs 1,448.8 crore.

China virus outbreak: TaMo extends JLR plant closure

Posted:

NEW DELHI: Tata Motors, one of the largest Indian employers in China, has extended a plant shutdown and asked its 3,000 personnel there to work from home as a coronavirus outbreak that began in the country sweeps across the world. The Chery Jaguar Land Rover Co plant is located in Changshu, about 800 km from Wuhan, the epicentre of the outbreak.Jaguar Land Rover (JLR) has extended the shutdown of the plant it runs in China in partnership with Chery Automobile Co, said Tata Motors group CFO PB Balaji. The situation will be reviewed next week, he said. The plant was to have reopened after the Chinese New Year holiday. The 50:50 joint venture makes Jaguars and Land Rovers in Changshu.JLR has developed an application that monitors the health of its employees on a daily basis."Our first priority is people and we have to monitor the health of employees on a daily basis so that if any situation occurs we can offer help to the employee," Balaji told ET. 73996873 'Closely Watching Situation'Tata Motors said it is closely watching the situation. Most provinces have extended the Chinese New Year break to February 9. "The company will continue to provide requisite assistance that can encourage concerned employees to take the necessary next steps," Tata Motors said in a statement.The outbreak and shutdown could affect earnings if the health emergency is prolonged. JLR accounts for over 80% of the company's consolidated top line and much of those sales come from China. However, lost production can be recouped once the plant reopens. Tata Motors is watching the situation, Balaji said. The Chery Jaguar Land Rover plant can produce 200,000 units a year. China sales accounted for nearly a fifth of JLR's total volumes after including local production.Exports to China accounted for two-thirds of JLR's total China volumes, with the rest coming from the Changshu plant. Export volumes to China grew 24.3% in the December quarter compared with a 4% industry-wide decline. The Chery-JLR venture's retail volume grew 21% in the same period.Tata Motors, India's largest carmaker by revenue, exceeded expectations to post Rs 1,738 crore profit for the December quarter thanks to improved profitability at JLR as the domestic business reported a loss, ET reported on January 30.The situation in China may impact the supply of parts for BS-IV vehicles, said Mahindra & Mahindra managing director Pawan Goenka. Production of such vehicles has to end in March as per the Supreme Court, after which manufacturers have to adopt more stringent BS-VI emission norms. Goenka said the electronic control unit from a tier-II supplier is sourced from China and it only has stocks for two days of production."If the situation does not improve, there is a fear that we may not be able to conclude the sale of BS-IV vehicles before March 31 and that is because of the absence of one part," Goenka said. "We may have to request the Supreme Court to extend the deadline in this unforeseen circumstance."Credit Suisse said the best-case scenario would be new coronavirus cases starting to decline by end February, with production activities gradually getting back to normal. By March, outside Hubei province, consumption activities will also gradually get back to normal levels in such an event. Wuhan is Hubei's capital. "Retail sales growth for 2020 will be cut from 8% to 4.4%, while growth of other variables remain unchanged," the note said.However, in the worst-case scenario, the brokerage sees a much bigger disruption to consumption and production. With the exception of infrastructure investment, all other demand variables will experience close to zero growth in 2020, it said. Private consumption in China accounts for about 40% of its GDP. Therefore, any fall in private demand due to prolonged impact of the outbreak will have a bearing on car purchase and production. Hubei province is the fourthlargest car manufacturing hub in China and could impact supply chains. Analysts say car sales in China could decline to a record in the first two months of 2020.

MNRE plans to remove ceiling on tariffs for wind energy tenders

Posted:

BENGALURU: In a move that could revive participation in wind bidding in a big way, the ministry of new and renewable energy (MNRE) plans to stop imposing ceiling tariffs on wind tenders, according to sources close to the development.Recent wind and solar auctions conducted by the Solar Energy Corporation of India (SECI), an arm of MNRE, have all set 'ceiling tariffs' above which bids are not accepted.Removal of these ceilings has been a long standing demand of the industry. Developers have been protesting against them, maintaining that they are too low and are thereby restricting auction participation, and in turn the growth of renewable energy in the country."This will definitely encourage participation. The ceiling tariffs in tenders have been unviable so far, they will at least become viable," a leading developer said, requesting anonymity.Wind tenders issued by central agencies have been met with lukewarm participation over the past year. Only around 1.8GW was added between April and December last year, according to data collected by the Indian Wind Turbine Manufacturers Association (IWTMA). In 2018, 2.3GW was added."There is a plan to stop setting ceiling tariffs starting from SECI's 10th tranche of wind auctions," said a source close to the development.MNRE secretary Anand Kumar could not be reached for a comment. It is not known whether ceiling tariffs will be removed for solar tenders as well. Sources say it is likely.SECI's most recent wind tender (tranche 9) has been postponed five times because of tepid participation. The ceiling tariff for it was Rs 2.93 per unit.

Pharma companies must adhere to marketing norms during conferences: Govt

Posted:

New Delhi: The Department of Pharmaceuticals (DoP) has asked industry lobbies and associations to make sure that pharma companies adhere to marketing norms during their conferences, a directive that comes amid a clear failure on the part of the companies to regulate themselves.In a letter dated February 4, the DoP said it had received complaints that pharma companies "arrange hotels, accommodations, local sightseeing" in conferences conducted by doctors.Asking the lobbies to ensure that no unethical promotion of pharma products is done during conferences, it said companies must adhere to the Universal Code of Pharmaceutical Marketing Practices (UCPMP) during the upcoming annual conferences of Indian Psychiatric Society, which are to be held in Kolkata and Visakhapatnam.The UCPMP is being voluntarily adopted by pharmaceutical companies since 2015. However, concerns over pharmaceutical companies offering gifts to influence medical professionals have erupted from time to time.A recent study by non-governmental organisation (NGO) Sathi (Support for Advocacy and Training to Health Initiatives) claimed that "promotional practices of the pharmaceutical industry and implementation of status of related regulatory codes in India lacked credibility". It said medical representatives had disclosed widespread use of bribes, including foreign trips, microwave ovens, expensive smartphones, jewellery and even women, by pharmaceutical companies.Simultaneously, another NGO blamed a well-known Swiss drug maker for providing inducements in the form of honorariums for participation in conferences, travel assistance, accommodation and food expenses, all of which are strictly prohibited under the UCPMP as well as the Indian Medical Council (Professional conduct, Etiquette and Ethics), Regulations 2002. A complaint in this regard was sent to the DoP.The DoP has been dragging its feet on the draft legislation, aimed at increasing transparency in financial relationships between healthcare providers and pharmaceutical manufacturers as well as deterring unethical practices, since 2016.

View: Increase in credit flow will be harbinger of growth revival

Posted:

It is just one of those patches where you need to fasten your seat belt, because market volatility is going to hit you; 1,000 points off last Saturday, 1,000 points comeback earlier this week. Somebody is getting it right and somebody is getting it wrong. Whom are you cheering for – the bulls or the bears?There is clearly a lot of volatility, and it is unlikely that one section of people would get it right all the time. I do not think I would be totally in the bear camp. There are some challenges which we all know about, but the fact remains that both in terms of global liquidity and bottoming out of growth, both are in the bull camp. I would think we can remain structurally positive on this market, because elsewhere returns on other fixed income instruments will be much lower. So I would be in the bull camp, but I would not be very innovative to take too much risks.Stocks like DMart or Nestle are going higher, which not only defies the law of gravity, but also the law of valuation. How would you justify this price action? Now, we can blow the trumpet and say Nestle trades at 67 times and you cannot make money there. Jubilant is at 80 times, you do not make money. DMart is at 100 times, you do not make money. The fact that somebody is putting in Rs 4,000 crore -- and these are good funds -- it just makes you wonder if both of us are getting something wrong on valuations. Do we need to go and open our school books?What has changed from what we have learnt in school books and what we are witnessing right now is the global rush of liquidity in last five to 10 years. The other thing, which you also pointed out, is that expensive stocks are getting more expensive, and there does not seem to be any halting of that trend. The answer to that is actually in the first question: which has to do with volatility. There is so much volatility in some of the other names that if one stock has done well over the past four-five years, human psychology would be to continue investing in stocks that have been showing a certain trend and we believe that trend will continue.Whether this trend will continue or break depends on what the operations are, and the outlook for that stock may still be positive. My view is, chasing these stocks continuously at higher valuations always exposes you to a risk when something changes in the market. So, I would be cautious on these names going forward, but that is how the market is moving. Market is very risk averse, and therefore, stocks that have done well continue to do well.Just to probe that point a little deeper, what is keeping your optimism on India or Indian largecaps? Is it because the global dynamics are getting a little iffy, is it because of India's internals alone or the rising valuations, or for that matter, the narrow nature of the rally itself?We have to look at a couple of reasons there. First is liquidity. Global liquidity remains positive. In fact, the coronovirus situation has again added to the available pool of liquidity. I do not think any sovereign government in any large market wants any external impact to completely shake up confidence. Given that there is ample liquidity and given that growth has been weak across the globe, there is clearly a narrowing of the stock universe which people believe can withstand shocks. That narrowing is something which has been reflected in the way the market has been performing and stocks are performing. The only positive thing I can say in addition to that is an India-specific factor. Since last four years, we have had a series of disappointments. At least from here on till the end of the year, economic growth and earnings growth in India cannot go down further unless there is an external event. So, people are still sticking to quality as far as India is concerned. But the belief is that despite all the negative news around the world, growth in India is definitely bottoming out.An element of cautiousness still prevails with regard to investors going deep into the broader market. When do you expect that to change? We are counting on the rural recovery right now, which is what everyone is focusing on. Even if we take that stand to start with, when do you actually expect the recovery to kick in?The best leading indicator for a broader recovery will be a spike in the banking system's credit growth, which is currently ticking at 7%. We definitely have had a lot of problems since the IL&FS event, and that has completely shaken the confidence in both lenders and borrowers. So, systemic credit growth has gone down to a 40-year low. That is reflected in the broader GDP growth and in slowing consumption.If you want to go outside and look at the highly valued and so-called safe sectors or performing sectors, please look at systemwide credit growth. If we see that go up from 7% to more than 10%, then other sectors can definitely deliver. If that does not change, then sectors currently doing well -- like financials or consumers -- will continue to do well. So the market will be narrow as long as there is no broader credit recovery. As an investor, the bigger dilemma right now is whether to stick with the leaders irrespective of how expensive they may be. Because they have been among the compounding stories on Dalal Street, not just in last one year or 10 years, even before that. They have been the ones which have given you less heartaches. Would you be a cowboy right now and try to bargain-hunt within the broader universe, because that is where you will see high alpha generation when an overall recovery kicks in?Exactly my point. If you see a broader recovery come through, as reflected in the systemwide growth, then you can go for quality smallcaps and midcaps. Right now we are in the incipient stage, or beginning stage of this recovery. You could probably have around 20-25% of your portfolio in these names. But the bulk of over 50-60% of the portfolio should be in largecaps, well covered, well understood names. The only caveat is, do not go for businesses that are trading at 8-10 times sales kind of valuations. That is something which will be much more difficult to justify. When the market turns towards other stocks, if there is a quality name in the financial sector, then that is what can still be looked at, because the broader financial sector is also a reflection of the entire economy.If someone has to invest the Macquarie way after a good start to this year, are we in for absolutely no returns? Because if earnings estimates and valuations are anything to go by, the most optimistic estimate was that we will be in for 9-12% return. Right, 9% can be in the bare case, 12-13% means the upper case: if that is the underlying case, then we are in for flat returns, no returns, or at best 2-3% returns in next 10-11 months?As far as earnings estimates are concerned, they have been wrong all the time. I consider most earnings estimates to be a lagging indicator of what is happening in the market. Earnings estimates are actually just a confirmation of other broader market trends that we see in the market. So I would think 9-12% is just a safe kind of earnings estimates. It does not have any embedded value, it is not telling you something new, there is nothing new that information is conveying to me as an investor.One thing I will definitely see if we have inflation in the 3-4% range is earnings growth between 6-8% in real terms. If that is what the broader market is, then you would definitely have to do much more hard work and identify businesses that give you at least real earnings growth in the 12-15% range. So that is underlying earnings growth of 17-20%. Those businesses clearly need to be identified. If those businesses, let us say, are in the financial sector or in the consumer sector, then you stick to them. That is the way to play it, at least in the first half of the year. When the broader recovery comes in, as I have indicated, then we can definitely shift to smallcaps and midcaps.Where do you see scope for earnings surprise and PE rerating? Where do you see scope for earnings disappointment and earnings derating? We always focus on what to buy. Let us, for a change, talk about what not to buy and where returns could be negative?Earnings surprise could come from the commodity side, there being a lot of concerns in commodities about slowing economic growth in China. But remember one thing, there is a supply disruption in China. So commodities could clearly be beneficiaries in India, especially if the incipient growth that we are seeing in the economy continues to take the momentum through the rest of the year. So commodities are where the negative surprise is. I think negative surprises could also be in the NBFC sector, which is still exposed to a lot of risk, both on capital adequacy and credit risk side. Negative surprise could also come on the retail side. Everyone assumes that the retail lending side is going to be solid, and that is going to be the safest bet. As I said, the positive surprise could be in the commodities.

Tech View: Nifty50 support shifts higher; next target at 12,200 level

Posted:

NEW DELHI: Nifty50 climbed for the fourth straight session on Thursday and breached its immediate resistance at 12,120 on the closing basis, which was also the 61.8 per cent Fibonacci level for the index, as the bulls further tightened their grip on the market.Momentum indicator MACD was close to giving a bullish crossover on the daily scale. The RSI indicator, on the other hand, continued its northward journey of the past couple of days."At the current juncture, supports are gradually shifting higher. Till the time, Nifty holds above 12,050, we can expect optimism to continue towards 12,200 and then 12,250 levels," said Chandan Taparia of Motilal Oswal Securities.At close, the index closed at 12,133, up 44.50 points or 0.37 per cent.Aditya Agarwala of YES Securities said a sustained trade above 12,160 will extend the gains to 12,250-12,300 levels."The index has closed above the 61.8 per cent Fibonacci level taken from all-time high of 12,400 to the Budget day low of 11,610, suggesting bull strength dominant at the moment. But, trade below 12,080 will halt the up-move, dragging the index towards 12,050-12,000 levels," Agarwala said.Rohit Singre of LKP Securities advised investors to 'buy on dips'. He sees Nifty support in the 12,030-11,970 range and resistance in the 12,140-12,200 zone.

New clause added to IT Act: Onus of content not generated by users on social media platforms

Posted:

NEW DELHI: The government has added a clause to the proposed IT intermediary guidelines, making social media companies responsible for all nonuser generated content — including sponsored content — published on their platforms, according to senior government officials.The change is in line with practices in the US and Europe, and will impact platforms such as Twitter, TikTok, YouTube, Instagram and Facebook.Once the amended guidelines are notified, social media companies will be required to appropriately tag and identify all sponsored content published on their platforms, said the people cited above. "The onus of non-user generated content will now fall on social media platforms," a senior government official told ET.Draft norms, which are under consideration of the law ministry, are expected to be notified in a few weeks, said the official, adding, "We have had a few rounds of discussions with the law ministry. These guidelines should be notified by February-end, start of March."Social media companies currently claim to be mere platforms, without control on the content posted by users.Section 79-II of the Information Technology Act, 2000, currently exempts online intermediaries from liability for any third-party content shared on their platform. However, with the new clause, the Act will provide "safe harbour protection" to intermediaries, so long as they only play the role of a facilitator — and not creator or modifier, in any manner — of the content posted. 73996987 Intermediary or notThe issue came in focus last year during a dispute over content between social media platform TikTok and Twitter-backed ShareChat. The latter was forced to take down over 100 videos from its platform.Facilitator versus Ownership RightsThis was a result of ownership claims by the platform owned by Chinese tech giant Bytedance.ShareChat had then complained that TikTok's claims of being a social intermediary platform — with no control on content — seemed to be inconsistent in wake of its claims over ownership rights of the content.Now, with the proposed amendments expected to be notified soon, "they (social media companies) will not be able to take refuge in the safe harbour protection clause of the IT Act," officials' privy to developments told ET.Currently, platforms such as Facebook, Twitter and Instagram have features and tags through which advertisements and paid partnerships are displayed. But advertisers and marketers say brands prefer to push content through influencers to make it look more organic.There is also no compulsion or onus on these celebrities and influencers to highlight that the content and products they are endorsing are paid for. "At present, there are no stringent rules on people doing paid content on social media," said Harsh Shah, senior vice-president at digital agency Dentsu Webchutney. "It is at the influencers' discretion to highlight if the content they show is paid for or not."Government officials said such content, produced by influencers without the involvement of the social media platforms, may still not be covered by the latest clause. This clause will pertain to only such non-user generated content in which the platform is in some way involved.As per the DAN Digital Report 2020 published last month by Dentsu Aegis Network, last year's advertising spends on digital media were led by social media platforms, which contributed the highest share of Rs 3,835 crore, or 28%, to the overall Indian digital advertising pie, which stood at Rs 13,683 crore.