‘Jumbo life covers’, running into hundreds of crores, bought by rich Indians from offshore insurers have drawn the attention of authorities, reports The Economic Times.
Around 25 ultra-high net worth individuals have received notices from ED for violating foreign exchange regulations.⦁ It prohibits residents from purchasing life insurance policies from overseas companies without prior permission from regulators.⦁ The regulatory red line is crossed when a jumbo policy is bought by transferring funds under the Reserve Bank of India’s liberalised remittance scheme (LRS).
⦁ This can also happen when a buyer uses undisclosed funds lying abroad to pay the premium, and therefore chooses not to declare the investment.
Social commerce startups have raked in $554 million this year as of July 16, a 7x increase from last year and the highest ever since 2015, reports The Economic Times sourcing data from Venture Intelligence.
In India, the reseller morning model — where community influencers curate and sell products in their respective communities — has found the most success.⦁ Messaging and social apps are considered as a fulcrum to social commerce platforms.⦁ Startups are providing incentives and spending significant resources to train these micro-influencers to drive sales.⦁ Social commerce will unlock morning tier-II and III markets and reach low-margin categories in fast moving consumer goods and groceries.⦁ It reaches where large ecommerce platforms have not done so far.
It shows a potential for further upswing in FY22.⦁ STT collection is emerging as a high growth revenue source.⦁ However, this is from a smaller base than corporate and personal income taxes.⦁ Revenue trend from STT shows the equity market boom during the pandemic has benefited the exchequer.