Representatives from the Financial Intermediaries Association of India (FIAI), United Forum and Karnataka Association of Mutual Fund Advisors (KAMFA) met Minster of State for Finance Jayant Sinha yesterday to flag a number of issues facing the distributor community.
Among the key issues discussed by these associations was related to passing the service tax burden to investors. Jayant Sinha gave a patient hearing to distributors and asked them to write to the Ministry of Finance on the issue of service tax.
“We got an encouraging response. Jayant Sinha has told us that he will facilitate a dialogue with SEBI to listen to our concerns. We are supposed to send a letter in a certain format to the Ministry of Finance on the service tax issue,” said a member who attended this meeting.
Distributors have requested Jayant Sinha that the service tax burden should be passed on to investors.
Besides, the associations stressed on the need for having a self-regulatory organization (SRO) for distributors.
