Major developments on the regulatory and banking front in Antwerp, Belgium [the trading hub of diamond industry] were discussed at a session, organized by RSM Astute Consulting Group today.

Antwerp, Belgium, is the trading hub of diamond industry and there have been certain major developments in Belgium on the regulatory and banking front.

Dr. Suresh Surana, Founder of RSM Astute Consulting Group welcomed the guests and provided a broad outline of the tax and regulatory challenges being faced by the G & J industry in India and the importance of Belgium for the G & J industry.

Mr. Luc Toelen, Managing Partner of RSM Belgium (the auditors for several large groups such as Diarough and Arjav) was the Guest Speaker at the event, wherein he provided an update on “Gem and Jewellery Industry in Belgium – Tax & Banking Aspects”.

Mr. K. H. Viswanathan Director and Mr.NarendraSoni, Consultant of RSM Astute Consulting Group discussed the New Service Tax regime as applicable to the Gems & Jewellery Industry (viz. Reverse Charge mechanism, Negative List & Benefits for SEZ Units).

Ms.RuksharSidhwa, Senior Consultant, RSM Astute Consulting spoke on certain relevant aspects of India Domestic Transfer Pricing Regulations.

In India, the new Service Tax regime has become effective from 1 July 2012 and several diamond companies have been issued notices under the Reverse Charge mechanism for services availed by them. Further, the ambit of Transfer Pricing has been extended to specified Domestic Transactions from the financial year 2012-13, which can have far reaching implications for the industry.