• Ministry of Corporate Affairs

General Circular No. 24/2012 Dated 09.08.2012 Applicability of Service Tax on commission payable to Non-Whole Time Directors of a company under section 309(4) of the Companies Act, 1956 - Approval of Central Government under section 309/310 of the Companies Act - regarding

MCA has decided that any increase in remuneration of Non-Whole Time Director(s) of a company solely on account of payment of service tax on commission payable to them by the company shall not require approval of Central Government under section 309 and 310 of the Companies Act even if it exceeds the limit 1% or 3% of the profit [u/s 309(4)] of the company, as the case may be, in the financial year 2012-13.

General Circular No. 23/2012 Dated 06.08.2012 Company Law Settlement Scheme, (Jammu & Kashmir) 2012

In order to give an opportunity to the defaulting companies in the state of Jammu & Kashmir to enable them to make their default good by filing such belated documents and to become a regular compliant in future, the government has decided to introduce a Special Scheme namely, "Company Law Settlement Scheme (Jammu & Kashmir), 2012" condoning the delay in filing documents with the Registrar, granting immunity from prosecution and charging additional fee of 25 percent of actual additional fee payable for filing belated documents under the Companies Act, 1956 and the rules made there under.

General Circular No. 21/2012 Dated 02.08.2012 Filling of Balance Sheet and Profit and Loss Account by companies in Non-XBRL for accounting year commencing on or after 01.04.2011

The current year filing is based on revised schedule VI is due for filing. The revised form 23 AC & ACA is under finalization and will be notified shortly on the MCA website. All companies who are required to file non XBRL e-form 23 AC & ACA as per revised schedule VI be allowed to file their financial statement without any additional fee/penalty upto 15th September 2012 or with in 30 days from the date of their AGM, which ever is later.

General Circular No.  20/2012 Dated 01.08.2012 Clarifications regarding multiple Form No. 5 INV in respect of unpaid/unclaimed amounts

Ministry of corporate Affairs has clarified that any Company, which has filed multiple Form 5 INV while uploading the information for the year 2010-11 on or before the date of issue of this circular, should again file Form 5 INV (single) and upload the details of investors in excel template and the process thereof should be completed by 31st August, 2012.

• Ministry of Commerce and Industry

DGFT

Notification No. 09 (RE-2012)/2009-2014 Dated 01.08.2012 Ban on export of edible oil in branded consumer packs

As per Para 4 of Notification No. 77 dated 28.09.2011, export of edible oils was permitted only in branded consumer packs of upto 5 Kgs, within a ceiling of 10,000 tons, for the period 01.11.2011 to 31.10.2012. Now, with immediate effect, even such export of edible oils has been prohibited. Accordingly, Para 4 of Notification No. 77 dated 28.09.2011 stands withdrawn.

• Ministry of Finance

CBDT

Circular No. 6/2012 Dated 03.08.2012 Relaxation from compulsory e-filing of return of income for assessment year 2012-13 - for representative assessees of non-residents and in the case of private discretionary trusts -regarding

CBDT has decided that it will not be mandatory for agents of non-residents and 'private discretionary trusts' if its total income exceeds ten lakh rupees, to electronically furnish the return of income of non-residents for assessment year 2012-13

Circular No. 5/2012 Dated 01.08.2012 Inadmissibility Of Expenses Incurred In Providing Freebees To Medical Practitioner By Pharmaceutical And Allied Health Sector Industry

CBDT has decided that the claim of any expense incurred in providing freebees to medical practitioner by pharmaceutical and allied health sector industry in violation of the provisions of Indian Medical Council (Professional Conduct, Etiquette and Ethics) Regulations, 2002 shall be inadmissible under section 37(1) of the Income Tax Act being an expense prohibited by the law. This disallowance shall be made in the hands of such pharmaceutical or allied health sector Industries or other assessee which has provided aforesaid freebees and claimed it as a deductable expense in its accounts against income

CBEC Customs

Circular No. 22/2012-Customs Dated 07.08.2012 24x7 Customs clearance operations - regarding

In order to further facilitate importers and exports the Board has decided to begin on a pilot basis 24X7 Customs clearance with effect from September 1st. 2012 (1.9.2012) at identified Air Cargo Complexes and Seaports in respect of specified categories of imports and exports.

Circular No. 21 /2012 Dated 01.08.2012 Clarification on the scope of exemption under Notification No.146/94-Customs dated 13-07-1994

CBEC has clarified that the description of the goods exempted under S.No. 1(a) is "Sports goods, sports equipments and sports requisites" and under 1(b) is "spares, accessories and consumables of (a)", Hence, all types of goods, whether it is an equipment or simple item required for sport are covered under the category 1(a). Hence it could be concluded that the scope of coverage of goods under the category 'sports goods, sports equipment, sports requisites' is comprehensive. The said exemption entry is subject to specific conditions such as production of certificate from specified sports bodies/federations for its usage in National or International championship or competition and an undertaking from the importer that the said goods are required for the intended purpose of use.

Revenue

Notification No. F.1(163)/Regn.Br./Div Com/2011/2076779 Dated 31.07.2012 Effective date for Indian Stamp (Delhi Amendment) Act,2011

The Lt. Governor of the National Capital Territory of Delhi has appointed the 1st August, 2012, as the date on which Indian Stamp (Delhi Amendment) Act, 2011 shall come into force.

Notification No. F.1(21)/Regn.Br./Div Com/2010/20780-92 Dated 31.07.2012 Effective date for Court Fee (Delhi Amendment) Act, 2012

The Lt. Governor of the National Capital Territory of Delhi has appointed the 1st August, 2012, as the date on which Court Fee (Delhi Amendment) Act, 2012 shall come into force.

• Press Information Bureau

Dated 31.07.2012 Due Date of E-Filing of Income Tax Returns for Assessment Year 2012-13 Extended up to 31st August, 2012

CBDT has extended the 'due date' of filing of returns of income for the Assessment Year 2012-13 to 31st August 2012 in respect of assesses who are liable to file such returns by 31st July 2012 as per provisions of section 139 of Income Tax Act, 1961.

Dated 31.07.2012 India Signs Revised DTAA with Indonesia for the Avoidance of Double Taxation and for the Prevention of Fiscal Evasion with Respect to Taxes on Income

The Government of the Republic of India signed a revised Double Taxation Avoidance Agreement (DTAA) with the Government of the Republic of Indonesia for the avoidance of double taxation and for the prevention of fiscal evasion with respect to taxes on income on 27th July, 2012. The revised DTAA gives taxation rights in respect of capital gains on alienation of shares of a company to the source State. The Agreement further provides for rationalisation of the tax rates on dividend income, royalties and Fees for Technical Services in the source State up to 10% threshold limit.

• RESERVE BANK OF INDIA

A.P. DIR (Series)

Circular No.14 Dated 13.08.2012 Exim Bank's Line of Credit of USD 40.32 million to the Government of the Republic of Chad

Export-Import Bank of India has concluded an Agreement dated January 19, 2012 with the Government of the Republic of Chad, making available to the latter, a Line of Credit of USD 40.32 million (USD forty million three hundred and twenty thousand) for financing eligible goods, services, machinery and equipment including consultancy services from India for the purpose of financing of four projects viz, (i) Compost Production Unit, (ii) Rural Electrification (USD 15 mn), (iii) Production Unit of Live Stock Feed and (iv) Extension of Spinning Mill (addition of weaving and processing capacities ) in Chad.

Circular No. 13 Dated 31.07.2012 Risk Management and Inter Bank Dealings

RBI has decided to permit AD Category I banks to exclude their Net Options Position and the positions taken by the overseas branches from their NOOPL, for positions involving Rupee as one of the currencies. Accordingly, limits for such positions, within the overall NOOPL, may be separately fixed by the respective bank's board and communicated to the Reserve Bank for approval.

Circular No. 12 Dated 31.07.2012 Exchange Earner's Foreign Currency (EEFC) Account, Diamond Dollar Account (DDA) & Resident Foreign Currency (RFC) Account - Review of Guidelines

RBI has decided to restore the erstwhile stipulation of allowing credit of 100% foreign exchange earnings to the EEFC account subject to the conditions stipulated therein. Accordingly, balances outstanding in an EEFC account as on July 31, 2012 and those balances that would accrue in the account with effect from August 1, 2012 shall get converted to Rupee balances on or before close of business on September 30, 2012. Similar procedure may be followed for accruals during the subsequent months.

RBI DPSS

Circular No. DPSS.CO.CHD.No.284/03.06.03/2012-13 Dated 13.08.2012 Stipulation of compensation for delay in Clearance of Local Cheques

RBI has advised the banks to reframe their Cheque Collection Policies to include compensation payable for the delayed period in the case of collection of local cheques as well. In case, no rate is specified in the Cheque Collection Policies for delay in realisation of local cheques, compensation at savings bank interest rate shall be paid for the corresponding period of delay.

RBI Press Release

Press Release No. 2012-2013/269 Dated 14.08.2012 RBI Releases Draft Guidelines on Management of Intra-Group Transactions and Exposures

RBI has released the draft guidelines on Management of Intra-Group Transactions and Exposures containing both quantitative limits for the financial Intra-Group Transactions and Exposures (ITEs) and prudential measures for the non-financial ITEs to ensure that the banks engage in the ITEs in safe and sound manner in order to contain the concentration and contagion risk arising out of ITEs.

Press Release No. 2012-2013/258 Dated 13.08.2012 RBI releases Report of Working Group on Enhancing Liquidity in Government Securities and Interest Rate Derivatives Markets

RBI has released the report of the Working Group on Enhancing Liquidity in Government Securities and Interest Rate Derivatives markets. The Group has made various recommendations, which have been categorised into essential recommendations, desirable recommendations and operational recommendations.

• Telecom Regulatory Authority of India

Press Release No. 175/2012 Dated 09.08.2012 TRAI issues a draft Amendment to Telecommunication Tariff Order, 1999 on financial disincentives

TRAI has released the draft amendment to the Telecommunication Tariff Order, 1999 seeking comments of the stakeholders. Through this Telecommunication Tariff Order the Authority seeks to prescribe financial disincentives on the service providers in the specified situation.

• SECURITIES AND EXCHANGE BOARD OF INDIA

SEBI CG

Circular No. CIR/CFD/DIL/7/2012 Dated 13.08.2012 Manner of Dealing with Audit Reports filed by Listed companies

SEBI, in its continuous endeavor to enhance the quality of financial reporting being done by listed companies, has decided to put in place a system to monitor the audit qualifications contained in the audit report accompanying the audited annual financial statements submitted by listed companies. The exact text of amendments to Equity Listing Agreement in this regard is Annexed to the circular.

SEBI DIP

Circular No. CIR/MIRSD/9/2012 Dated 13.08.2012 Aadhaar Letter as Proof of Address for Know Your Client (KYC) norms

Government of India has decided that the Aadhaar Letter issued by UIDAI shall be admissible as Proof of Address in addition to its presently being recognized as Proof of Identity.