[Newsbits] 5-11.09.2024: AI Tokens, AI Treaty & more

The recent agreement between Vietnam and the Philippines aims to strengthen their defense and maritime security cooperation, particularly in response to rising tensions with China over territorial disputes in the South China Sea. During a visit by Vietnam’s Defense Minister, both nations signed letters of intent to enhance their capabilities in maritime security and disaster response, with plans for a formal security agreement by the end of the year. While the agreement is currently seen as mostly symbolic, experts suggest that it could pave the way for stronger collaboration among Southeast Asian nations in the future. The South China Sea remains a contentious area, with multiple countries disputing China’s extensive claims, and recent clashes between the Philippines and China have heightened tensions. Vietnam’s cautious approach to its dealings with China reflects its historical disputes, but the cooperation between Vietnam and the Philippines signals a recognition of the need for collective action in the face of external challenges.

Summary: The SBI Foundation has launched the 3rd edition of the Asha Scholarship Program to support 10,000 underprivileged students across India. Started in 2022, the program provides financial aid ranging from ₹15,000 to ₹20,00,000 per year, depending on the student’s education level, from Class 6 to postgraduate studies. Applications are open until October 1, 2024, via the official website. The program has already helped 3,198 students and aligns with India’s vision of becoming a developed nation by 2047.

Summary: The 54th GST Council meeting, led by Finance Minister Nirmala Sitharaman, focused on revising GST rates for essential goods and services, such as cancer drugs, health insurance, and snacks. A key decision was to reduce GST on certain cancer treatments from 12% to 5%, easing financial pressure on patients. Other proposals include lowering GST on savoury snacks and exempting research services from GST. The council also addressed potential increases, such as raising GST on car and motorcycle seats. The GoM will submit its report on insurance GST rates by October 2024, and new invoice management systems will be introduced to streamline tax processes.

Summary: Tamil Nadu has sanctioned ₹500 crore to rejuvenate 5,000 minor irrigation tanks in rural areas, with ₹250 crore from the State Budget and ₹250 crore from the State Finance Commission. Managed by the Rural Development Department, the project aims to improve water storage, restore local water tables, and reduce groundwater pressure by desilting tanks, repairing bunds, and clearing water channels. Local communities, including farmers, will contribute 10% of the project costs, ensuring community involvement in sustainable water management.

Summary: Apple lost a legal battle with the European Union and is now required to pay €13 billion in back taxes to Ireland. The case centered on Apple’s use of the ‘Double Irish’ tax scheme, which allowed the company to reduce taxes by moving revenue between Irish subsidiaries. The European Court of Justice ruled against Apple, stating it had exploited tax loopholes unfairly. Ireland is expected to use the funds in a special investment fund, while Apple disputes the fairness of the ruling. The case underscores the EU’s efforts to ensure companies follow fair tax practices.