• INDIRECT TAXATION

CBEC Excise

CBEC Excise Non-Tariff Notification No. 5/2009-N.T. Dated 05.03.2009 Pan Masala Packing Machines (Capacity Determination And Collection of Duty) Amendment Rules, 2009

Central Government in exercise of the power conferred under Central Excise Act amends Pan Masala Packing Machines (Capacity Determination and Collection of Duty) Rules, 2008, thereby putting in place provisions providing that no notified goods shall be exported without payment of duty and no material shall be removed without payment of duty from a factory or warehouse or any other premises for use in the manufacture or processing of notified goods which are exported out of India, unless otherwise is provided.

• SERVICE TAX

Notification No. 9/2009-ST Dated 03.03.2009 Service Tax exemption for specified taxable services with regard to SEZ

Central Government exempts taxable services provided with regard to the authorised operations in a SEZ, and received by a developer or units of a SEZ, irrespective of the fact that services are provided inside the Special Economic Zone or not, from the whole of the service tax leviable thereon under section 66 of the Finance Act. The exemption provided vide this notification is subjected to the condition provided therein and it is available only in respect of service tax paid on the specified services on or after the date of publication of this notification in the Official Gazette.

• RESERVE BANK OF INDIA

Circular No. DBOD.No.BP.BC. 112 /21.04.048/2008-09 Dated 05.03.2009 -Union Budget 2008-09 - Agricultural Debt Waiver and Debt Relief Scheme, 2008 - Prudential Norms on Income Recognition, Asset Classification, Provisioning and Capital Adequacy

It has been clarified by the Reserve Bank of India that the additional period of one month from the pre-specified due dates, permitted to the farmers eligible under the Debt Relief Scheme, for paying their share of the settlement, without affecting the standard asset classification status of the relevant account. This exemption is available in respect of the first two instalments viz. those due on March 31, 2009 and no grace period is allowed for the last instalment and the entire share of the farmer is payable by June 30, 2009 itself, so as to maintain the eligibility of the 'other farmers' for Debt Relief Scheme.

Circular No. FMD.MOAG. No. 33/01.01.01/2008-09 Dated 04.03.2009 - Liquidity Adjustment Facility - Repo and Reverse Repo Rates

It has been decided by the RBI to reduce the fixed repo rate under the Liquidity Adjustment Facility (LAF) by 50 basis points from 5.5 per cent to 5.0 per cent and the reverse repo rate by 50 basis points from 4.0 per cent to 3.5 percent with immediate effect. The revised rates of daily reverse repo and repo auctions, including special term repo auctions, under LAF will be effective from the 05th March, 2009.

Press Release No. 2008-2009/1445 Dated 05.03.2009 - Releases Study on "Financing Transport Infrastructure and Services in India"

The study on "Financing Transport Infrastructure and Services in India has been released by the RBI. The said study was conducted by the Prof. S. Sriraman, University of Mumbai with research staff member from the RBI exploring at various options for the financing infrastructure in the transport sector and argues for market-based financing, within prudential limits. It makes suggestions pertaining to mobilization of the additional needed resources and urge for the need to consider access to alternative sources of funds to finance new investment.

Press Release No. 2008-2009/1432 Dated 04.03.2009 - RBI announces Further Monetary Stimulus

RBI has introduced several measures, in order to combat the global financial and economic conditions, which have further deteriorated since the release of the Reserve Bank's Third Quarter Review on January 27, 2009. On a review of the current global and domestic macroeconomic it has been decided to reduce the repo rate and reverse repo by 50 basis points with immediate effect.

• SECURITY EXCHANGE BOARD OF INDIA

Mutual Fund Circular No : SEBI/IMD/CIR No.1/155740/2009 Dated 27.02.2009 Extension in time for compliance with Regulation 16(8) of SEBI (Portfolio Managers) Regulations, 1993

SEBI has decided to allow a general extension of three months to portfolio managers to segregate each clients' listed securities and keep them separately , which was earlier stipulated to be six months vide SEBI (Portfolio Managers) (Amendment) Regulations, 2008 notified on 11th August , 2008. The portfolio managers are required to furnish a compliance report to SEBI within a week of expiry of the above deadline.

• TELECOM REGULATORY AUTHORITY OF INDIA

Press Release No. 21/2009 Dated 02.03.2009 -TRAI issues guidelines for better Internet/ broadband service

TRAI issues guidelines to all service providers (ISPs, UASLs, CMSPs, BSOs) providing Internet/ broadband to ensure better services to their subscribers. In order to protect the interests of consumers of Broadband service and enhance subscriber satisfaction several parameter have been introduced by the authority , providing that adequate information regarding Internet/broadband services being offered and contention ratios adopted in their tariff plans submitted to TRAI is made available to the subscribers. At the same availability of minimum required bandwidth in the network according to maximum contention ratio suggested by TRAI for different services based on number of subscribers is ensured to subscriber.

• DIRECTOR GENERAL OF FOREIGN TRADE

Public Notice No. 157/(RE-2008)/2004-2009 Dated 02.03.2009 Procedure for import of Vegetable Fats (Vanaspati Ghee) under India-Nepal Trade Treaty 2002

DGFT in exercise of the power conferred under Foreign Trade Policy, 2004-09 notifies the revised arrangement for import of Vegetable Fats under India-Nepal Trade Treaty 2002. The said Treaty of Trade 2002 was renewed with effect from 6th March 2007 for a period of five years, fixing a Tariff Rate Quota of 1 lakh Metric Tonnes of Vegetable Fat as Nepalese manufactured article and allowed its entry into India free of customs duty,With the purpose of facilitating export of vegetable fat from Nepal under the Treaty revised procedure has been agreed and notified therein.

Policy Circular No. 68(RE-2008)2004-2009 Dated 02.03.2009 -Guidelines for import of Rough Blocks and Slabs of agglomerated / artificial stones for the year 2008-09

It has been clarified by the DGFT that all licence holders of rough/ unprocessed blocks and slabs of agglomerated/artificial stones can either import rough marble blocks/slabs (Exim Code Nos. 25151100, 25151210, 25151220, 25151290 indicated in Schedule-1 (imports) of ITC (HS) Classifications of Export and Import Items, 2004-2009) or the items indicated in their licenses, i.e. artificial/agglomerated stones. The import of rough marble blocks/slabs under these licences is subject to all the conditions including floor prices, among others, as applicable on import of rough marble blocks/slabs notified by the Government.

Policy Circular No. 67 (RE-2008)2004-2009 Dated 02.03.2009 -Guidelines for import of Rough Marble Blocks and Slabs for the year 2008-09

In order to enhance the quantity in the licence holders by upto 25% of the quantity granted to them in the year 2008-09, all licence holders of rough marble blocks/slabs can apply to the concerned R.A. of DGFT for the enhancement to the respective R.A. The import of enhanced quantity will be subject to all the conditions applicable on import of rough marble blocks/slabs.