Budget 2024: Domestic cruise shipping industry to rise
ECONOMY & POLICY

Budget 2024: Domestic cruise shipping industry to rise

Finance Minister Nirmala Sitharaman announced during her Budget speech to Parliament on Tuesday that the government would introduce a simplified tax regime aimed at promoting the cruise shipping industry in India. She stated that a presumptive taxation framework would be implemented for non-resident foreign shipping companies engaged in domestic cruises.

The Budget documents reveal that a new section, 44BBC, will be introduced to deem twenty percent of the aggregate amount received or receivable by the non-resident cruise-ship operator, pertaining to carriage of passengers, as the profits and gains from this business. This measure effectively replaces the provisions of section 44B that previously applied to non-resident shipping businesses but will no longer apply to cruise-ship operations.

Additionally, the proposal includes an exemption for income from lease rentals paid to a foreign company if the lessor and lessee are subsidiaries of the same holding company. This exemption, under a new clause (15B) in section 10, will be applicable until the assessment year 2030-31.

The amendments are set to take effect from April 1, 2025, and will apply to the assessment year 2025-26 and subsequent years. Sitharaman emphasized the potential of cruise tourism in India, highlighting the employment opportunities it could generate. She underscored the government's goal to make India an appealing destination for cruise tourism, attract global tourists, and popularize cruise shipping among Indian travelers. The finance minister emphasized that international participation in the sector would foster its development and facilitate the adoption of global best practices.

Finance Minister Nirmala Sitharaman announced during her Budget speech to Parliament on Tuesday that the government would introduce a simplified tax regime aimed at promoting the cruise shipping industry in India. She stated that a presumptive taxation framework would be implemented for non-resident foreign shipping companies engaged in domestic cruises. The Budget documents reveal that a new section, 44BBC, will be introduced to deem twenty percent of the aggregate amount received or receivable by the non-resident cruise-ship operator, pertaining to carriage of passengers, as the profits and gains from this business. This measure effectively replaces the provisions of section 44B that previously applied to non-resident shipping businesses but will no longer apply to cruise-ship operations. Additionally, the proposal includes an exemption for income from lease rentals paid to a foreign company if the lessor and lessee are subsidiaries of the same holding company. This exemption, under a new clause (15B) in section 10, will be applicable until the assessment year 2030-31. The amendments are set to take effect from April 1, 2025, and will apply to the assessment year 2025-26 and subsequent years. Sitharaman emphasized the potential of cruise tourism in India, highlighting the employment opportunities it could generate. She underscored the government's goal to make India an appealing destination for cruise tourism, attract global tourists, and popularize cruise shipping among Indian travelers. The finance minister emphasized that international participation in the sector would foster its development and facilitate the adoption of global best practices.

Next Story
Resources

Ajmera Realty launches tree drive on Environment Day

Ajmera Realty & Infra India marked World Environment Day with a large-scale tree plantation initiative—Plant-with-Purpose—across its projects in Mumbai and Bangalore. The drive was inaugurated at Ajmera Manhattan and Ajmera Greenfinity in Wadala, with senior company officials and residents in attendance. The campaign encourages residents to embrace eco-conscious, self-reliant lifestyles by growing useful plants and trees within their communities. Horticulture expert Devendra Bhekar guided residents on creating and maintaining green spaces. Ajmera Realty planted over 500 trees..

Next Story
Resources

Twaron®-reinforced tyre powers Brunel’s solar race car

Teijin Aramid’s Twaron® with circular content will debut in Bridgestone’s race tyres for the 2025 Bridgestone World Solar Challenge, supporting the Brunel Solar Team’s Nuna 13 car. This marks the first use of the recycled-content aramid in a high-performance race tyre. The Twaron®-reinforced belts help enhance durability, reduce rolling resistance, and maintain lightweight strength—critical for the 3,000-km solar race across Australia. Bridgestone combines this with ENLITENTM tech and other recycled inputs to maximise environmental and performance outcomes. Teijin Aramid, a..

Next Story
Building Material

Kamdhenu Paints launches new wood coating range

Kamdhenu Paints has launched a comprehensive premium wood coating range designed for both interior and exterior applications. The collection includes high-performance solutions like Kamwood 2K PU for a rich matt or high-gloss finish, Kamwood 1K PU for clarity and stain protection, and the Kamwood Melamyne system for a smooth, durable finish. Also featured are Kamwood Wood Stains, which enhance wood grains with vibrant colour, and NC Sanding Sealer for high-build grain filling. The range is supported by Kamwood Thinners for ease of application and optimal finish. Saurabh Agarwal, MD, ..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?