Reference: Central Board of Indirect Taxes & Customs
Update:
Anti-dumping extended on import of Sheet Glass
The Central Government has revoked anti-dumping duty imposed on imports of \’Sheet Glass\’ originating in, or exported from, China PR and imported into India up to and inclusive of the 12th March, 2025, unless revoked earlier.
Implication:
Importers of Sheet Glass originating in or exported from China PR shall continue to pay anti dumping duty for extended period till 12.03.2025.
Update:
Increase in effective rate of Road and Infrastructure Cess (RIC)
CBIC seeks to increase the effective rate of Road and Infrastructure cess, as additional duty of customs on petrol and diesel by Rs. 1 per litre and thus substitutes in the said notification, in the Table against Sl. no. 1 and 2 to Rs. 10 per litre from Rs. 9 per litre.
Implication:
This notification shall come into force with effect from the 14th March, 2020.
Update:
Tariff Notification in respect of Fixation of Tariff Value
CBIC has notified the Government of India in the Ministry of Finance (Department of Revenue) about fixation of Tariff Value of Edible Oils, Brass Scrap, Poppy seeds, Areca Nut, Gold and Silver as prescribed in notification.
Update:
Electronic Sealing-Deposit in and removal of goods from Customs Bonded Warehouses
Representations to defer the implementation of regulations prescribed in the Circular-10/2020-Customs have been received from e-seal vendors. Thus, the Board has decided to defer the same till 30th April, 2020.
Implication:
The new date of implementation of the said Circular shall be 1st May, 2020.
Update:
Exemption to foreign airlines from furnishing reconciliation statement in FORM GSTR-9C
The persons who are foreign company which is an airlines company covered under the notification issued under sub-section (1) of section 381 of the Companies Act, 2013 (18 of 2013) and who have complied with the sub-rule (2) of rule 4 of the Companies (Registration of Foreign Companies) Rules, 2014, as the class of registered persons shall not be required to furnish reconciliation statement in FORM GSTR-9C.
Implication:
The said persons shall not be required to furnish reconciliation statement in FORM GSTR-9C provided that a statement of receipts and payments for the financial year in respect of its Indian Business operations, duly authenticated by a practicing CA in India is submitted for each GSTIN by the 30th September of the year succeeding the financial year.
Reference: Central Board of Direct Taxes
Update:
Agreement between India and Brunei for Exchange of Information
The Agreement enables exchange of information, including banking and ownership information, between the two countries for tax purposes and is based on international standards of tax transparency and exchange of information and enables sharing of information on request as well as automatic exchange of information.
Implication:
The Agreement will enhance mutual co-operation between India and Brunei Darussalam by providing an effective framework for exchange of information in tax matters which will help curb tax evasion and tax avoidance.
Update:
Reminder to Candidates
Candidates whose preferences forms has not been received/found incomplete are directed to submit the PREFERENCE FORM duly filled/complete in all respects, urgently.
Implication:
Such forms are to be reached at it latest or positively by 26.03.2020.
Update:
NOTIFICATION No. 17/2020-Income Tax
The Central Government hereby specifies that a nonresident being an Eligible Foreign Investor which operates in accordance with SEBI, shall be deemed as Foreign Institutional Investor (FII) for the purposes of transactions in securities made on a recognised stock exchange located in any International Financial Services Centre (IFSC), where the consideration for such transaction is paid or payable in foreign currency.
Reference : Reserve Bank of India
Update:
Reporting and Accounting of Central Government Transactions of March 2020
Branches including those not situated locally, should adopt special arrangements such as courier services for passing on challans/rolls so that all payments and collections made on behalf of government towards end of March are accounted for in the same financial year. Branches are advised to follow the procedure for reporting of March 2020 transactions by Nodal/Focla branches in April, as outlined in the Annex.
Implication:
All the cheques/amounts realized on or before March 31, 2020 will be treated as transactions relating to the current financial year as \”March 2020 or March Residual Transactions\”, the reporting of which may take place during the month of April (upto April 10, 2020). But if any cheque is tendered on or before March 31, 2020 and realised on or after April 1, 2020, it will be treated as transaction for the next financial year as \”April Transactions\”.
Update:
Guidelines on Regulation of Payment Aggregators and Payment Gateways
RBI issued directions for opening and operation of accounts and settlement of payments for electronic payment transactions involving intermediaries’. It has been decided to;
- Regulate in entirety the activities of PAs as per the guidelines in Annex 1; and
- Provide baseline technology-related recommendations to PGs as per Annex 2.
Implication:
These guidelines shall come into effect from April 1, 2020 other than for activities for which specific timelines are mentioned.
Update:
Prudential Norms for Classification, Valuation and Operation of Investment Portfolio by Banks
Banks have enquired whether IFR, forming part of General Provisions and Loss Reserves, can be reckoned as Tier II capital only to the extent of 1.25% of total credit risk weighted assets. It is clarified that there is no such ceiling for IFR.
Update:
Issue of Long Term Bonds by Banks – Financing of Infrastructure and Affordable Housing
The purpose of definition of \’Infrastructure Lending\’, banks and select All India Term-Lending and Refinancing Institutions is guided by the Gazette Notifications. Thus, \’Infrastructure Sub-sectors\’ and \’affordable housing\’ has been defined under paragraphs 2(i) and 2(ii) of the Annex given in the said notification.
Implication:
It has been decided to align the definition of lending to affordable housing.
Update:
Settlement system under Asian Clearing Union (ACU) Mechanism
In order to facilitate transactions / settlements, effective March 06, 2020, participants in the Asian Clearing Union will have the option to settle their transactions either in ACU Dollar or ACU Euro or in ACU Japanese Yen. Further, banks are allowed to open and maintain ACU Dollar, ACU Euro and ACU Japanese Yen accounts with their correspondent banks in other participating countries.
Implication:
Operations in ‘ACU Euro’ has been temporarily suspended with effect from July 01, 2016.
Update:
Availability of Digital Payment Options
RBI has established state of the art payment systems that are efficient, convenient, safe, secure and affordable and hence, brings to the notice of the general public that non-cash digital payment options (like NEFT, IMPS, UPI and BBPS) are available round the clock to facilitate fund transfers, purchase of goods / services, payment of bills, etc.
Implication:
Public can use these modes of digital payment from the convenience of their homes through online channels like mobile banking, internet banking, cards, etc.
Update:
Macroeconomic Effects of Uncertainty: A Big Data Analysis for India
RBI placed on its website a Working Paper titled “Macroeconomic Effects of Uncertainty: A Big Data Analysis for India” under the RBI Working Paper Series authored by Nalin Priyaranjan and Bhanu Pratap. The paper reviews the emerging literature on macroeconomic uncertainty, including its economic impact and measurement. The paper concludes that such uncertainty indices can help in strengthening policy simulation exercises and in improving nearterm projection of macroeconomic variables which exhibit high degree of sensitivity to uncertainty.
Update:
Publication of RBI-Occasional Papers
RBI releases Volume 40, No.2 of its Occasional Papers and it contains 3 articles, namely;
- Fiscal Rules and Cyclicality of Fiscal Policy: Evidence from Indian States.
- Payment Systems Innovation and Currency Demand in India: Some Applied Perspectives.
- Can Financial Markets Predict Banking Distress? Evidence from India.
The issue of the RBI Occasional Papers also contains 2 book reviews, namely;
- Narrative Economics: How Stories Go Viral and Drive Major Economic Events” written by Robert J. Shiller, reviewed by Palak Godara.
- How to combat recession: Stimulus without debt written by Laurence Seidman reviewed by Deepika Rawat.
Reference: Securities and Exchange board of India
Update:
General Information Document
Subsequent changes in laws, regulation and processes, necessitated changes in the General Information Document (GID) and in pursuance of the same, generic disclosures are to be brought out in the General Information Document are enumerated in the Annexure.
Lead Manager(s) shall ensure that;
5.1 The GID should explicitly incorporate the date of last updation;
5.2 The updated copy of GID is provided to an investor as and when requested, in form and manner so requested by the investor;
5.3 The updated GID is made available on the websites of the;
5.3.1 Stock Exchange(s) where the shares pursuant to an issue are proposed to be listed; and
5.3.2 Respective Lead Manager(s) to the issue, where DRHP/RHP/Draft Prospectus/Prospectus is made available.
Implication:
This circular shall become applicable to all RHP / Prospectus which shall be filed with the Registrar of Companies on or after March 17, 2020.
Update:
Monetary penalty on MBL & Company Ltd
MBL & Company Ltd (Noticee) had contributed positive Last Traded Price (LTP) of 12.64% of total market positive LTP in Patch 1 of the investigation period by repeatedly entering into self-trades in its proprietary accounting negligible quantity, which created a misleading appearance of trading and manipulated the price of the scrip of GNCL without any intention of change of ownership of the security and violated the provisions of Section 12 A (a) (b) (c) of SEBI Act read with Regulation 3 (a),(b),(c),(d),4 (1), 4 (2) (a), (e)and (g) of SEBI PFUTP Regulations. Noticee has also failed to exercise due diligence as a Stock Broker, which resulted in execution of self-trades in its own proprietary account resulting in no change of beneficial ownership in respect of such trades and thereby violated the provisions of Clause A (2) of the Code of conduct for Stock Brokers as specified in Schedule II read with Regulation 7 (Regulation 9 –post amendment) of SEBI (Stock Brokers and Sub-brokers) Regulations, 1992.
Hence, SEBI imposed a monetary penalty of Rs. 15,00,000/- on the Noticee for violating the said provisions.
Implication:
The Noticee shall remit / pay the total penalty amount within 45 days of receipt of this order.
Update:
Monetary penalty on Mr. Alok Bhargave
Mr. Alok Bhargave (Noticee) was xecuted total 180trades in 50unique Stock Option contracts during the Investigation Period, out of which 166reversal trades in 44 unique contracts had been found to be non-genuine trades which allegedly led to creation of artificial volume of total 1,85,25,000 units. It is further observed that the Noticee, by executing non genuine trades during the relevant period, registered a negative close out difference of ₹1,00,57,500/- approx. These alleged non genuine trades, executed by Noticee in abovecontracts, had significant differential in buy rates and sell rates considering that the trades were reversed on same day thereby violating the provisions of Regulation 3(a),(b),(c),(d), 4(1) and 4(2)(a) of SEBI PFUTP Regulations.
Hence, SEBI imposed a monetary penalty of Rs. 8,30,000/- on the Noticee.
Implication:
The Noticee shall remit / pay the total penalty amount within 45 days of receipt of this order.
Reference: Ministry of Corporate Affairs
Update:
Companies (Amendment) Act, 2020
MCA has made amends in the Companies (Amendment) Act, 2020.
Implication:
It shall come into force on such date as the Central Government may, by notification in the Official Gazette provided that different dates may be appointed for different provisions of this Act.
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