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Displaying 1 to 4 of Records.
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Govt notifies new rules on tax-free status for Indian seafarers
The government has notified new tax rules for seafarers working on ships flying the Indian flag to help them qualify for non-resident status and end an anomaly that is cited by local fleet owners as the main reason for an acute shortage of sailors to man their vessels.
On Monday, the Central Board of Direct Taxes (CBDT) issued a gazette notification clarifying that the period of stay of seafarers outside India will be calculated from the date stamped on their continuous discharge certificate (CDC)-a seafarer's identity document-at the time of joining the ship for the voyage till the date entered in the CDC at the time of signing off. As a result, the period spent by a ship in Indian coastal waters is also taken into account for computing the non-resident status and the resultant tax concessions.
"This will give a big boost to Indian shipping," a shipping ministry spokesman said. "Seafarers working on Indian registered ships will now be on par with those working on foreign ships for the computation of non-resident status."
A seafarer serving on Indian ships outside India for a period of 182 days or more in a year is considered to be a non-resident. However, the time spent by a ship in Indian territorial waters is considered as period of service in India, according to tax rules framed in 1990.
For instance, an Indian ship going from India to Singapore passes through various Indian ports on its route, such as Nhava Sheva, Kochi, Kandla, etc. Thus, the Indian ship starting its journey from Nhava Sheva in Maharashtra heading for Singapore remains in Indian coastal waters for quite some days before crossing the coastal boundaries of India.
In this case, the number of days outside India of Indian crew working on such Indian ships gets counted only from the date when the Indian ship crosses the coastal boundaries of India.
However, Indian crew serving on foreign ships for 182 days or more are treated as non-resident, irrespective of where the ship trades (including Indian waters).
This led to a continuous drift of personnel from Indian ships to foreign flag ships under the lure of higher "take home" pay packets, without having to pay tax in India due to this unintended differential tax treatment.
"This will help Indian ship owners to retain seafarers," said B.B. Sinha, a director looking after personnel and administration at Shipping Corp. of India Ltd. "Seafarers don’t have to join foreign ships to get non-resident status, which they were doing so far," said Sinha, who was selected by the government-headhunter, the Public Enterprises Selection Board, to be the next chief executive of SCI.
"This will help thousands of seafarers get non-resident status," said Abdulgani Y. Serang, general secretary of the National Union of Seafarers of India (NUSI).
As a result, Indian flag ships, which are by law required to hire only Indian crew, faced an acute shortage of experienced manpower, particularly in the officers category.
On 28 February, while presenting the Union budget for 2015-16, finance minister Arun Jaitley sought to end the anomaly. "In the case of foreign bound ships where the destination of the voyage is outside India, there is uncertainty with regard to the manner and basis of determination of the period of stay in India for crew members of such ships who are Indian citizens," according to the budget documents.
Posted On:
19-Aug-2015
Credits:
www.livemint.com
The Two Greatest Canals in the World Are Getting Even Bigger
The Panama and the Suez must grow to accommodate the super-ships that now ply the world's ocean. This is how they'll do it.
In 1984 about a million tons of cargo passed through the Suez Canal every day. Last year that number was up to 2.6 million. Over the same period, the number of ships traversing the canal every day dropped, from more than 21,000 to about 17,000. How? The ships got bigger. The highest-capacity container ship at sea today holds more than four times as much cargo as the record holder in 1984. With global demand for imported goods increasing, companies employ the cost-effective strategy of cramming everything on large vessels and making fewer trips.
Problem is, the Suez Canal and its Western Hemisphere counterpart, the Panama Canal, were not designed to accommodate enormous ships, which have grown in three measurements: length, width (called beam), and depth in the water (draft). Both canals are scrambling to accommodate the deeper drafts of megaships, which can reach more than 50 feet. The Suez's main canal can move behemoth container ships, with beams up to 164 feet, but only in one direction at a time. Panama's famed lock system is too small in all three dimensions. Built in 1869 and 1914, respectively, both waterways require updates if they're to remain competitive with each other. And with a new canal scheduled to open in Nicaragua within the next five years, they need to act quickly. Lucrative shipments from Southeast Asia to American ports on the Gulf and the East Coast could travel on any of the three routes.
The Panama Canal has aged more poorly because of its dependence on locks, which raise ships 85 feet on entry and lower them back to sea level at the exit. The current locks can handle ships with capacities of up to 5,000 20-foot equivalent units (TEUs, each about the size of a half-length semitrailer). The world's largest container ship, the MSC Oscar, carries nearly 20,000 TEUs. To expand the canal, workers are deepening and widening the existing route and constructing new locks from 16 rolling metal gates. When completed in April 2016, the new Panama Canal will be able to handle ships of up to 13,000 TEUs-ships longer than a Manhattan city block, with an eight-story building of containers piled on deck.
Suez is simpler, lock-free, and large enough to handle oversize ships, but only if they transit in convoys, with bypasses allowing the convoys to pass one another. To allow more room, workers are digging a new canal parallel to 22 miles of the existing one and expanding the current bypasses. The result will be a new 45-mile lane, expected to open this fall, that should reduce ships' journeys by at least 12 hours.
Even when the revisions are complete, however, both Suez and Panama will still be limited. Panama's new locks won't be able to handle ships the size of the Oscar, and Suez will still be mostly one-way. This is what makes the Nicaragua contender so potentially world-changing. In December 2014 a Chinese company, HKND Group, announced a design for a canal that could handle all of today's megaships. A route has already been selected-about 300 miles north of the canal in Panama. The Nicaraguan government has given its blessing.
Plenty of people, including Eric Farnsworth, vice president at the Council of the Americas, an organization that supports business development in the Western Hemisphere, are dubious that the Nicaragua Canal will actually be completed, freighted as it is with economic and political baggage. But grant that it's up and running in five years, as HKND Group claims, and suddenly the Panama Canal would have to compete directly with a canal built using an additional century's worth of technology.
Last September Egypt commemorated its Suez Canal project with a set of stamps. One depicted the Panama Canal. To Egyptians it was an honest mistake. To Panamanians, a laugh. To the Chinese, prescient. Consumers don't care. To most of us, canals, like stamps, are just a means to get stuff. To the countries that design and maintain the mighty canals of the world, a single waterway can contribute between 2 percent (Egypt) and 6 percent (Panama) to the economy. Their demise could destabilize a nation. You can be sure the race to improve their technology will be heated.
Posted On:
19-Aug-2015
Credits:
maritime-connector.com
Restrictions Placed on Handling of Vessels Carrying Hazardous Substances at Tianjin Port Following Warehouse Explosion
Inchcape Shipping Services is advising that Tianjin Municipal Transport Commission has issued notice to Tianjin Port to cease handling tankers and container ships carrying hazardous substances. As a result most tanker operations in the port have stopped. Container ships with hazardous goods on board are currently unable to berth and discharge.
Tianjin Municipal Transport Commission has not indicated when port operations for vessels carrying hazardous substances may resume. The measure has been taken following a warehouse explosion approximately 3km from the nearest container terminal last week. Tianjin, the port gateway to Beijing, is a major base for petrochemicals, refining and other industries. ISS Tianjin is operating as normal and will continue to monitor developments and keep its clients updated.
Source: Inchcape Shipping Services
Posted On:
19-Aug-2015
Credits:
www.bunkerportsnews.com
Scientists Discover Super-Algae For Biofuel
Researchers at the Scottish Association for Marine Science (SAMS) have recently unlocked a treasure chest of 'super-algae' that could provide a previously untapped source of oil.
Using a newly devised technique, scientists examined micro-algae strains and discovered that two marine strains, Nannochloropis oceanica and Chlorella vulgaris, have a dry-weight oil content of more than 50%, making them ideal sources of biofuel.
In addition, SAMS scientists have demonstrated that Nannochloropsis, for example, is very efficient at converting nutrients, so it has the perfect combination of high levels of oil and high productivity. According to the report's lead author, Dr Stephen Slocombe, SAMS Research Associate in Molecular Biology, this is important because "in order to produce biofuels from micro-algae we will have to generate high yields, so we need to know which strains will produce the most oil."
The results of the screening are likely to help bring forward research into algae as a source of biodiesel and other biofuels by a number of years. It will give researchers a head start when investigating which strains to produce, or genetically engineer, for mass culture.
Source: Fathom c-Tech
Posted On:
19-Aug-2015
Credits:
www.hellenicshippingnews.com
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