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Wednesday, March 2, 2016

Rs 4.18 lakh crore pending from Corporate Defaulters as on January 2016

A total of Rs 4.18 lakh crore of taxes are pending from corporate defaulters as on January 2016, parliament was told on Tuesday March 01,2016

“The total amount of corporate tax demand pending for collection at the end of January 2016 is Rs.4,18,399 crore,” Minister of State for Finance Jayant Sinha told the Rajya Sabha in a written reply.

The top 50 defaulting companies account for Rs 22,903 crore of the total amount due for recovery, he added. The minister said focused action by field formations especially on high-demand cases is one of the strategies for effecting recoveries.

“Guidelines for tax recovery officers on recovery and dealing with stay petitions have been issued. Efforts for early disposal of appeals are also undertaken, especially in high-demand cases,” Sinha said.
Moreover, efforts of the assessing officer to recover the outstanding demand are regularly reviewed and monitored by their superiors, he added.

Databases like individual transaction statement and 360-degree profile generated by the department and those maintained by third party agencies like Financial Intelligence Unit (FIU-IND) have been made available for identification of assets for recovery, Sinha said.

10 Public Sector Banks account for half the NPA's


For every Rs 100 parked in shares of public sector banks, investors carry the burden of Rs 150 as bad loans, which have cumulatively ballooned to Rs 4 lakh crore or 1.5 times the market value of these lenders.

In comparison, bad loans of private sector banks are just about 6.6 per cent of their total valuation.

In case of PSU banks, if loans that face the risk of being declared NPAs (Non Performing Assets) going ahead are also taken into account, their overall stressed adva ..


For every Rs 100 parked in shares of public sector banks,investors carry the burden of Rs150 as bad loans,which have cumulatively ballooned to Rs 4 lakh crore or 1.5 times the market value of these lenders

The Gross NPA's of the banking sector estimated at 5% of total loans and the overall stressed assets(including declared and potential bad loans)are estimated at 11%

Except for SBI and a few smaller banks,all listed public sector banks have gross NPA's in excess of their market capitalisation

As per RBI,an asset becomes NPA when it ceases to generate income for the bank.The banks need to declare a loan as NPA which remains overdue for more than 90 days
For every Rs 100 parked in shares of public sector banks, investors carry the burden of Rs 150 as bad loans, which have cumulatively ballooned to Rs 4 lakh crore or 1.5 times the market value of these lenders.

In comparison, bad loans of private sector banks are just about 6.6 per cent of their total valuation.

In case of PSU banks, if loans that face the risk of being declared NPAs (Non Performing Assets) going ahead are also taken into account, their overall stressed adva ..

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