Day: April 26, 2022

  • April GST collection likely to range from Rs 1.45-1.50 lakh crore: Finance Ministry sources

    The amount would exceed the all-time high GST collected in March 2022, when the numbers had peaked to Rs 1.42 lakh crore.

    The monthly collection under the Goods and Services Tax (GST) is likely to peak to another all-time high of Rs 1.45-1.50 lakh crore, CNBC-TV18 reported on April 26, citing sources in the Finance Ministry.

    The projected numbers mark a consecutive month-on-month (MoM) surge in GST collections. In March, a record-high amount of Rs 1.42 lakh crore was collected, which was 6.8 percent higher as compared to the previous month.

    The second highest monthly GST was collected in April 2021, when the numbers had peaked to Rs 1.41 lakh crore.

    TREND IN TOTAL GST COLLECTIONS
    Month Amount (in Rs crore) YoY change
    March 2022 1,42,095 15%
    February 2022 1,33,026 18%
    January 2022 1,40,986 18%
    December 2021 1,29,780 13%
    November 2021 1,31,526 25%
    October 2021 1,30,127 24%
    September 2021 1,17,010 23%
    August 2021 1,12,020 30%
    July 2021 1,16,393 33%
    June 2021 92,800 2%

    If the projected numbers for April 2022 turn out to be accurate, it would be the 10th month in a row when GST collections would cross the Rs 1 lakh crore-mark.

    For FY22 as a whole, total GST collections amounted to Rs 14.83 lakh crore, up 30 percent from Rs 11.37 lakh crore in FY21. The Finance Ministry attributed the rise in GST collections to the ongoing economic recovery along with anti-evasion activities and the various rate rationalisation measures undertaken by the GST Council to correct inverted duty structures.

    While the GST collections are on a high, deliberations are also reportedly underway to rationalise the taxation rates. The Finance Ministry, on April 25, said that the Group of Ministers – constituted in September last year to deliberate on the rates – was yet to submit their report.

    The GoM, headed by Karnataka Chief Minister Basavaraj Bommai, was set up by the GST Council to recommend ways in which any anomalies in tax rates could be corrected and revenue could be augmented.

  • Elon Musk’s ‘free speech’ push for Twitter: Is history repeating itself?

    Elon Musk, the world’s richest man, is spending USD 44 billion to acquire Twitter. There’s just one problem: The social platform has been down this road before, and it didn’t end well.

    Elon Musk, the world’s richest man, is spending USD 44 billion to acquire Twitter with the stated aim of turning it into a haven for free speech. There’s just one problem: The social platform has been down this road before, and it didn’t end well.

    A decade ago, a Twitter executive dubbed the company the free speech wing of the free speech party to underscore its commitment to untrammeled freedom of expression.

    Over the subsequent years, Twitter learned a few things about the consequences of running a largely unmoderated social platform one of the most important being that companies

    generally don’t want their ads running against violent threats, hate speech that bleeds into incitement, and misinformation that aims to tip elections or undermine public health.

    With Musk, his posturing of free speech just leave everything up that would be bad in and of itself, said Paul Barrett, the deputy director of the Center for Business and Human Rights at New York University. If you stop moderating with automated systems and human reviews, a site like Twitter, in the space of a short period of time, you would have a cesspool.

    Google, Barrett pointed out, quickly learned this lesson the hard way when major companies like Toyota and Anheuser-Busch yanked their ads after they ran ahead of YouTube videos produced by terrorists in 2015.

    Once it was clear just how unhealthy the conversation had gotten, Twitter co-founder and former CEO Jack Dorsey spent years trying to improve what he called the health of the conversation on the platform.

    The company was an early adopter of the report abuse button after UK member of parliament Stella Creasy received a barrage of rape and death threats on the platform. The online abuse was the result of a seemingly positive tweet in support of feminist campaigner Caroline Criado-Perez, who successfully advocated for novelist Jane Austen to appear on a British banknote. Creasy’s online harasser was sent to prison for 18 weeks.

    Twitter has continued to craft rules and invested in staff and technology that detect violent threats, harassment and misinformation that violates its policies. After evidence emerged that Russia used their platforms to try to interfere with the 2016 US presidential election, social media companies also stepped up their efforts against political misinformation.

    The big question now is how far Musk, who describes himself as a free-speech absolutist, wants to ratchet back these systems and whether users and advertisers will stick around if he does.

    Even now, Americans say they’re more likely to be harassed on social media than any other online forum, with women, people of color and LGBTQ users reporting a disproportionate amount of that abuse. Roughly 80% of users believe the companies are still doing only a fair or poor job of handling that harassment, according to a Pew Research Center survey of US adults last year.

    Meanwhile, terms like censorship and free speech have turned into political rallying cries for conservatives, frustrated by seeing right-leaning commentators and high-profile Republican officials booted off Facebook and Twitter for violating their rules.

    Musk appeared to criticise Twitter’s permanent ban of President Donald Trump last year for messages that the tech company said helped incite the Jan 6 insurrection at the U.S. Capitol last year.

    A lot of people are going to be super unhappy with West Coast high tech as the de facto arbiter of free speech, Musk tweeted days after Trump was banned from both Facebook and Twitter.

    Trump’s allies, including his son Donald Trump Jr, have even pleaded for Musk to buy out the company.

    If Elon Musk can privately send people into space I’m sure he can design a social network that isn’t biased, Trump Jr said in the caption of a video posted to Instagram last April.

    Kirsten Martin, a professor of technology ethics at the University of Notre Dame, said Twitter has consistently worked at being a responsible social media company through its moderation system, its hires in the area of machine learning ethics and in whom they allow to do research on the platform. The fact that Musk wants to change that, she added, suggests that he’s focused on irresponsible social media.

    Twitter declined to comment for this story. A representative for Musk did not immediately respond to a message for comment.

    New social media apps targeted at conservatives, including Trump’s Truth Social, haven’t come remotely close to matching the success of Facebook or Twitter. That’s partly because Republican politicians, politicians and causes already draw large audiences on existing, and much better established, platforms.

    It’s also partly due to floods of inflammatory, false or violent posts. Last year, for example, right-wing social media site Parler was nearly wiped off the internet when it became evident that rioters had used the app to promote violent messages and organise the Jan 6 siege of the US Capitol. Apple and Google barred its app from their online stores, while Amazon stopped providing web-hosting services for the site.

    Musk himself regularly blocks social media users who have criticised him or his company and sometimes bullies reporters who have written critical articles about him or Tesla. He regularly tweets at reporters who write about his company, sometimes mischaracterising their work as false or misleading.

    His popular tweets typically send a swarm of his social media fans directly to the accounts of the reporters to harass them for hours or days.

    I only block people as a direct insult, Musk tweeted in 2020, responding to a tweet from a reporter.

    Evan Greer, a political activist with Fight for the Future, said Musk’s lack of experience in moderating an influential social media platform will be a problem if he successfully takes over the company.

    If we want to protect free speech online, then we can’t live in a world where the richest person on Earth can just purchase a platform that’s millions of people depend on and then change the rules to his liking, Greer said.

     

  • Elon Musk strikes deal to buy Twitter for $44bn

    The board of Twitter has agreed to a $44bn (£34.5bn) takeover offer from the billionaire Elon Musk.

    Mr Musk, who made the shock bid less than two weeks ago, said Twitter had “tremendous potential” that he would unlock.

    He also called for a series of changes from relaxing its content restrictions to eradicating fake accounts.

    The firm initially rebuffed Mr Musk’s bid, but it will now ask shareholders to vote to approve the deal.

    Mr Musk is the world’s richest person, according to Forbes magazine, with an estimated net worth of $273.6bn mostly due to his shareholding in electric vehicle maker Tesla which he runs. He also leads the aerospace firm SpaceX.

    “Free speech is the bedrock of a functioning democracy, and Twitter is the digital town square where matters vital to the future of humanity are debated,” Mr Musk said in a statement announcing the deal.

    “I also want to make Twitter better than ever by enhancing the product with new features, making the algorithms open source to increase trust, defeating the spam bots, and authenticating all humans,” he added.

    “Twitter has tremendous potential – I look forward to working with the company and the community of users to unlock it.”

    The move comes as Twitter faces growing pressure from politicians and regulators over the content that appears on its platform. It has drawn critics from left and right over its efforts to mediate misinformation on the platform.

    In one of its most high-profile moves, last year it banned former US President Donald Trump, perhaps its most powerful user, citing the risk of “incitement of violence”.

    At the time Mr Musk observed: “A lot of people are going to be super unhappy with West Coast high tech as the de facto arbiter of free speech.”

    News of the takeover has been cheered by the right in the US, although Mr Trump on Monday told Fox News he had no plans to re-join the platform.

    The White House declined to comment on the takeover but spokesperson Jen Psaki told reporters: “No matter who owns or runs Twitter, the president has long been concerned about the power of large social media platforms.”

    On Twitter, MP Julian Knight, chairman of the UK’s Digital, Culture, Media and Sport Committee, called the deal an “extraordinary development in the world of social media”.

    “It will be interesting to see how a privately owned Twitter (run by a man who is an absolutist over free speech) will react to global moves to regulate.”

    Elon Musk and Twitter logoIMAGE SOURCE,GETTY IMAGES

    Controversial history

    Mr Musk, who has more than 80 million followers on Twitter, has a controversial history on the platform himself.

    In 2018 US financial regulators accused him of misleading Tesla investors with his tweets, claims that were resolved in a $40 million settlement and that Mr Musk continues to deny.

    And in 2019 he was hit with a defamation suit – which he successfully defeated – after calling a diver involved in rescuing schoolboys in Thailand “pedo guy” on the platform.

    On Monday, Mr Musk, who has been known to clash with journalists and block critics, suggested that he saw Twitter as a forum for debate.

    “I hope that even my worst critics remain on Twitter, because that is what free speech means,” he wrote just hours before the deal was announced.

    Can Musk turn Twitter around?

    As part of the takeover, which is expected to close later this year, Twitter’s shares will be delisted and it will be taken private.

    Mr Musk has suggested this will give him freedom to make the changes he wants to the business.

    Among other ideas, he has suggested allowing longer posts and introducing the ability to edit them after they have been published.

    Twitter shares on Monday closed more than 5% higher after the deal was announced.

    But the price remained lower than Mr Musk’s $54.20 per share offer, a sign that Wall Street believes he is overpaying for the firm.

    Mr Musk has said he doesn’t “care about the economics” of the purchase. However, he will take on a company with a chequered record of financial performance.

    Despite its influence, Twitter has rarely turned a profit and user growth, particularly in the US, has slowed.

    The company, founded in 2004, ended 2021 with $5bn in revenue and 217 million daily users globally – a fraction of the figures claimed by other platforms such as Facebook.

    Bret Taylor, chair of Twitter’s board, said it had fully assessed Mr Musk’s offer and it was “the best path forward for Twitter’s stockholders”.

    Parag AgrawalIMAGE SOURCE,TWITTER
    Image caption,

    Parag Agrawal succeeded Twitter co-founder Jack Dorsey in November

    It is not clear who will lead the company moving forward. Twitter is currently led by Parag Agrawal, who took over from co-founder and former boss Jack Dorsey last November.

    But in his offer document, Mr Musk told Twitter’s board: “I don’t have confidence in management.”

    Mr Agrawal told employees on Monday that the future of Twitter is uncertain.

    “Once the deal closes, we don’t know which direction the platform will go,” he said, according to the Reuters news agency.

    Shareholder vote

    Mr Musk’s targeting of Twitter has moved at remarkable speed. It emerged at the beginning of April that he had become the largest shareholder in the firm with a 9.2% stake.

    He was then invited to join Twitter’s board but turned down the offer before launching a surprise bid for the company on 14 April, saying he wanted to “unlock” its potential as a bastion of freedom of speech.

    Twitter tried to fend off his bid, threatening to dilute the shareholdings of anyone who bought more than a 15% stake in the firm. However, its stance shifted after Mr Musk revealed more financial details about his proposed bid.

    He has secured $25.5bn of financing for the deal and will take a $21bn stake in the business.

    The board unanimously approved the bid, which will now be presented to shareholders for a vote.