MCA:

MCA has released updated C&I Taxonomy 2016 for filing Annual Financial Statements in Form AOC-4 XBRL in respect of financial years commencing on or after 01.04.2014. The revised business rules along with the change sheet and Taxonomy (2016) is available on MCA portal w.e.f. 05, October, 2016. MCA has also released MCA XBRL Validation Tool V3.0.4. The updated C&I Taxonomy 2016 and Validation Tool V3.0.4 is available on the XBRL Portal. Stakeholders are advised to refer the ‘Filing Manual’ available on XBRL portal for ease filing of the financials in XBRL format.

SEBI:

SEBI proposed a Consultative Paper titled ‘Corporate Governance Issues in Compensation Agreements’ to review the disclosure requirements under SEBI (LODR) Regulations, 2015. The Paper has proposed curbs on compensation agreements between promoters of a listed entity and private equity (PE) funds. One view is that there is no place at all for such side agreements in case of listed companies. Another view is that the focus may be on the principle of disclosure and transparency in governance of listed entities. In a discussion paper, SEBI proposed that certain arrangements between listed entities and PEs would need prior approval from shareholders. The proposals were approved by the SEBI on September 23. SEBI seeks public comments on the proposed norms by October 18, 2016.

CBDT:

CBDT has notified seven districts in Andhra Pradesh for availing tax incentives under Section 32(1)(ii) (a) and Section 32AD of the Income Tax Act, 1961 to boost the industrial activities. The incentives have been extended for four districts of Rayalseema and three districts of North coastal region of the state under the Andhra Pradesh Re-organisation Act, 2014. Consequently, any manufacturing undertaking set up during the period from April 1, 2015 to March 31, 2020 in these districts of Andhra Pradesh is eligible for 15% of higher additional depreciation and 15 per cent of investment allowance on the cost of plant and machinery acquired by it during the said period. The seven districts of Andhra Pradesh notified as backward areas are — Anantapur, Chittoor, Cuddapah, Kurnool, Srikakulam, Vishakhapatnam and Vizianagaram. Further, the notification clarified that incentives are in addition to other tax benefits available under the Income-tax Act.

SEBI

In pursuance of a Medium Term Framework (MTF) announced by SEBI for FPI limits in Government securities, the Board has decided to revise the limit for investment by FPIs in Government Securities, for the next half year, to INR 148,000 Cr on October 03, 2016 and INR 152,000 Cr on January 02, 2017 respectively. Similarly, FPI Limits have been revised for various other Government securities. All other existing terms and conditions, including the security-wise limits, investment of coupons being permitted outside the limits and investments being restricted to securities with a minimum residual maturity of three years, shall continue to apply. This circular shall come into effect immediately.

News from NIRC of ICSI

1. NIRC of ICSI has decided to start fortnightly "PCS HELPLINE" to provide guidance / counseling in respect of problems and difficulties being faced by our members. In this series, NIRC is organizing "PCS HELPLINE on SEBI (LODR) Regulations, 2015” on the 5th October, 2016, to resolve the queries over telephone regarding Technical / Procedural / Interpretation issues relating to the topic “SEBI (LODR) Regulations, 2015” by CS Arvind Kohli, will be available to answer the queries telephonically, on 5th October, 2016 from 4.00 PM to 5.30 PM at 011-4934 3001.

2. NIRC of ICSI is participating in the ensuing Airtel Delhi Half Marathon -2016 (6 km ‘Great Delhi Run’), which will be held on Sunday, the 20th November, 2016. NIRC would be participating in the group category with a group named as “ICSI Group”. Interested members may fill up the form for the ‘Great Delhi Run’ 6 km category and send the hard copy of the filled up form along with a copy of the photo id proof, passport size photograph and deposit the above along with a fee of Rs. 600/- on or before 5th October, 2016 by cash or by cheque/DD in favour of “NIRC of ICSI” with full details on the reverse side of the cheque/DD i.e. full name, contact number, Membership No. To make the payment online, please Click Here.

Happy 48th CS Day

Happy CS day to all proud members of ICSI. NIRC invites all members for celebrations of CS Day – starting with Blood Donation Camp from 10 am onwards at NIRC premises at Prasad Nagar and then Panel Discussion among Past Presidents – ICSI & motivational talk by CS Pawan Agrawal (Dubbawala, Mumbai); today at 4:30 pm at Scope Complex, Lodhi Road, New Delhi. No Fees; PCH – 2.

ICAI – Accounting Standards

The Council of ICAI has amended various Accounting Standards (AS) pursuant to issuance of amendments to AS by the MCA for non-corporate entities. AS -2 (Valuation of Inventories), AS-4 (Contingencies and Events Occurring After the Balance Sheet Date), AS-10 (Property, Plant and Equipment), AS-13 (Accounting for Investments), AS-14 (Accounting for Amalgamations), AS-21 (Consolidated Financial Statements), AS-29 (Provisions, Contingent Liabilities and Contingent Assets) have been amended and AS-6 (Depreciation Accounting) has been omitted by ICAI. These amendments will come into effect in respect of accounting periods commencing on or after April 1, 2017.

RBI

RBI issued Circular on publishing of photographs of Willful defaulters. RBI which earlier has permitted the use of photographs of only ‘willful’ defaulters in newspaper advertisements directs the publication of photos of all defaulters should be stopped. RBI taking into account the sensitivity involved, directed to prevent the publishing of photos of defaulting borrower in an indiscriminate manner. RBI reiterated that banks are allowed to publish photos of proprietors, partners, directors and guarantors of borrower firms that have been declared as willful defaulters. RBI further directed banks to formulate a policy with the approval of their board of directors which sets out the criteria based on which the decision to publish the photos of a defaulter will be taken.

48th CS Day Celebrations

NIRC of ICSI is celebrating the 48th CS Day on 4th October, 2016. As a part of celebration, NIRC is organizing Plantation of Sapling and Blood Donation Camp in the morning from 10 AM onwards at NIRC premises and in the evening a panel discussion among Past Presidents of ICSI, followed by motivational talk for members of the Institute from 4:30 PM onwards at Scope Convention Centre Auditorium, Lodi Road, New Delhi. No Participation Fee; PCH – 2.

MCA

The Ministry of Corporate Affairs has amended the Companies (Incorporation) Rules, 2014 and notified the Companies (Incorporation) Fourth Amendment Rules, 2016 which shall come into force on the date of their publication in the Official Gazette. Revised integrated incorporation form for companies has been released through this Amendment. “Simplified Proforma for Incorporating Companies Electronically (SPICe-INC 32)” along with electronic MoA (SPICe MoA-INC 33) and electronic AoA(SPICe AoA-INC 34) are available for filing purposes. Before filing these forms, stakeholders may get themselves familiarized by downloading them from the portal and thoroughly reading the corresponding instruction kits.

MCA

A three-member Expert Group, headed by TERI, Chairman Sh. Ashok Chawla, constituted to examine issues related to audit firms, including possible adverse impact from restrictive shareholder agreements. According to the order, the Expert Group would examine whether joint audit could be introduced in cases where there are restrictive covenants and other specified cases where there is a multinational audit firm as the auditor. Further, the panel would look at having such firms which can provide services outside India, particularly in developing countries, in competition with multinational accounting firms. The panel has been given two months time to submit its report to the government. If required, the group can invite or co-opt subject matter experts relating to audit of books of accounts and financial statements.

News from NIRC of ICSI

NIRC of ICSI is participating in the ensuing Airtel Delhi Half Marathon -2016 (6 km ‘Great Delhi Run’), which will be held on Sunday, the 20th November, 2016. NIRC would be participating in the group category with a group named as “ICSI Group”. Interested members may fill up the form for the ‘Great Delhi Run’ 6 km category and send the hard copy of the filled up form along with a copy of the photo id proof, passport size photograph and deposit the above along with a fee of Rs. 600/- on or before 5th October, 2016 by cash or by cheque/DD in favour of “NIRC of ICSI” with full details on the reverse side of the cheque/DD i.e. full name, contact number, Membership No. To make the payment online, please Click Here.

48th CS Day Celebrations

NIRC of ICSI is celebrating the 48th CS Day on 4th October, 2016. As a part of celebration, NIRC is organizing Plantation of Sapling and Blood Donation Camp in the morning from 10 AM onwards at NIRC premises and in the evening a panel discussion among Past Presidents of ICSI, followed by motivational talk for members of the Institute from 4:30 PM onwards at Scope Convention Centre Auditorium, Lodi Road, New Delhi. No Participation Fee; PCH – 2.

CBEC

CBEC has revised Form ST 3 meant for Half Yearly Service Tax Return vide Service Tax (Third amendment) Rules, 2016. They shall come into force on the date of their publication in the Official Gazette. The amended Form has included a section for Krishi Kalyan Cess payable. Further, heading in Part D of the Form has also been substituted to ‘Service Tax Paid in Cash and through Cenvat Credit’.

MCA

MCA is likely to revise the version of e-forms – Form 23ACA (Filing Profit and Loss account and other documents with the Registrar), Form 23AC (Filing balance sheet and other documents with the Registrar), Form CHG-1 (Application for registration of creation, modification of charge (other than those related to debentures), Form CHG-9 (Application for registration of creation or modification of charge for debentures or rectification of particulars filed in respect of creation or modification of charge for debentures) and Form CRA-2 (Form of intimation of appointment of cost auditor by the company to Central Government) w.e.f 30th Sep 2016. Stakeholders are advised to check the latest version before filing Stakeholders are advised to download the latest version before filing. Form- wise date of last version change is available at on the website of MCA.

News from NIRC of ICSI

1. NIRC with an objective to build the capacities of students, is launching the Study Sessions for Students, which will focus primarily on the soft skills. The first Study Session for Students in this series shall be on the theme "FLIGHT FROM POTENTIAL TO PERFORMANCE " By Mr. Suneel Keswani, Corporate Trainer on Saturday, the 1st October, 2016 from 5.00 PM onwards at ICSI-NIRC Building, 4, Prasad Nagar Institutional Area, New Delhi-110 005. You are all are kindly requested to allow & motivate your trainees to participate in the Study Sessions for Students. There is no Participation Fees for students.

2. NIRC of ICSI is participating in the ensuing Airtel Delhi Half Marathon -2016 (6 km ‘Great Delhi Run’), which will be held on Sunday, the 20th November, 2016. NIRC would be participating in the group category with a group named as “ICSI Group”. Interested members may fillup the form for the ‘Great Delhi Run’ 6 km category and send the hard copy of the filled up form along with a copy of the photo id proof, passport size photograph and deposit the above along with a fee of Rs. 600/- on or before 1st October, 2016 by cash or by cheque/DD in favour of “NIRC of ICSI” with full details on the reverse side of the cheque/DD i.e. full name, contact number, Membership No. To make the payment online, please Click Here.

SEBI

SEBI vide Circular allowed options in commodity trading to enhance liquidity and broad base participation in the commodity market. At present, only “futures” contracts based on individual commodities are traded on commodity bourses. Following a recommendation by SEBI’s Commodity Derivatives Advisory Committee (CDAC), exchanges have been allowed to launch options. Every exchange will need a prior SEBI approval for launching “options”. However, the detailed norms for “options” trading will be released by SEBI later.

CBEC

CBEC has issued a notification ousting services by way of advancement of yoga from Service Tax ambit retrospectively. The Board has removed the service tax liability upon such services provided by an entity registered under section 12AA of the Income Tax Act retrospectively. The exemption is granted to services rendered during the period 1.07.2012 to 20.10.2015. Earlier according to a prevalent practice, there was non-levy of service tax on such services provided by entities registered under Section 12AA of Income-tax Act, 1961 (43 of 1961) and this service was liable to service tax, in the said period, which was not being paid according to the said practice.

SEBI

SEBI has issued a circular consolidating and updating norms and guidelines which will be applicable to all National Commodity Derivatives Exchanges (Exchanges). Erstwhile Forward Markets Commission (FMC) from time to time, had prescribed various norms and guidelines for National Commodity Derivatives Exchanges with respect to Investor Protection Fund (IPF) through various circulars which have been consolidated and updated in the said circular. The Circular provides for Constitution and Management of the IPF, Contributions to the IPF, Manner of filing/inviting claims from the Investors/Clients, etc. The circular is available on SEBI website under the category “Circulars” and “Info for Commodity Derivatives”

CBDT

CBDT has extended the working hours for all Principal Chief Commissioners of Income Tax across India to receive declarations of undisclosed income and assets under the Income Declaration Scheme, 2016 until 12:00 midnight of 30th September. In order to facilitate the declarants, who would like to file the declaration in paper form, Principal Chief Commissioners of Income Tax shall ensure that arrangements shall be made and the counters shall be functional up to midnight on 30th September, 2016.

News from NIRC of ICSI

NIRC of ICSI is participating in the ensuing Airtel Delhi Half Marathon -2016 (6 km ‘Great Delhi Run’), which will be held on Sunday, the 20th November, 2016. NIRC would be participating in the group category with a group named as “ICSI Group”. Interested members may fillup the form for the ‘Great Delhi Run’ 6 km category and send the hard copy of the filled up form along with a copy of the photo id proof, passport size photograph and deposit the above along with a fee of Rs. 600/- on or before 1st October, 2016 by cash or by cheque/DD in favour of “NIRC of ICSI” with full details on the reverse side of the cheque/DD i.e. full name, contact number, Membership No. To make the payment online, please Click Here.

SEBI

SEBI issued a Circular providing the Guidelines for Enhanced Supervision of Stock Brokers/Depository Participants. The Guidelines include the nomenclature for bank accounts and demat accounts which is to be uniformly followed, a Sophisticated alerting and reconciliation mechanism for monitoring the Client’s Funds, Changes in the existing system of internal audit for stock brokers/depository participants and Imposition of uniform penal action in the event of non-compliance with specified requirements. It further requires Stock Exchanges/Depositories to disseminate the information provided in the Circular on their website, make necessary amendments for attaining uniformity and communicate to SEBI the status of implementation in their Monthly Development Reports.

CBEC

CBEC has released Draft GST Formats, Forms and Rules. The Board has released Draft Registration Rules & formats, Payment Rules & formats and Invoice Rules & formats for public comments. Further, CBEC has also released Draft formats for each of the Rules mentioned herein which include Application for Registration under the Act, Application for Registration for Non Resident Taxable Person, Application for extension of registration period by Casual / Non-Resident taxable person. Comments on Draft Rules and Formats may be given by 28th September, 2016.

MCA:

The Ministry of Corporate Affairs (MCA) has made an amendment to the Companies (Management and Administration) Rules, 2014. These rules may be called the Companies (Management and Administration) Amendment Rules, 2016 which shall come into force on the date of their publication in the Official Gazette. Amendment is made to clarify the provision of Section 93 of the Companies Act, 2013 under which every listed company is required to file with the Registrar, a return in Form No. MGT.10, with respect to changes in the shareholding position of promoters and top ten shareholders of the company, in each case, representing increase or decrease by two per cent or more of the paid-up share capital of the company, within fifteen days of such change. Further, Form MGT-6 which is Return to the Registrar in respect of declaration of beneficial interest in shares under section 89 by the company has also been revised.

GST:

GST Council in its first meeting of the GST Council held on September 22-23, 2016 has discussed the contentious issue of threshold exemption amount, dual control of the Centre and States over assessees and full compensation to States for five years in the event of revenue loss due to switch-over to GST. The threshold limit for GST has now been fixed at Rs. 20 lakhs for all States except North Eastern States and hill States wherein the threshold limit will be Rs. 10 lakhs, thereby exempting traders with a turnover less than Rs. 20 lakhs/10 lakhs annually from levy of GST. State authorities have been empowered with exclusive control over the assessees with annual turnover of less than Rs. 1.5 crore. For assesses having turnover above Rs. 1.5 crore, there will be an element of dual control and a mechanism will be worked out wherein an assessee will be assessed either by Central or State Government based on risk evaluation. Further, the power for assessment of 11 lakh Service tax assessees who are currently assessed by Centre Government, would remain with the Centre and State officials after training will begin to help assess future assesses. 2015-16 will be the base year for calculating compensation to States for any loss of revenue arising from rollout of GST.

News from NIRC of ICSI

NIRC of ICSI is participating in the ensuing Airtel Delhi Half Marathon -2016 (6 km ‘Great Delhi Run’), which will be held on Sunday, the 20th November, 2016. NIRC would be participating in the group category with a group named as “ICSI Group”. Interested members may fillup the form for the ‘Great Delhi Run’ 6 km category and send the hard copy of the filled up form along with a copy of the photo id proof, passport size photograph and deposit the above along with a fee of Rs. 600/- on or before 1st October, 2016 by cash or by cheque/DD in favour of “NIRC of ICSI” with full details on the reverse side of the cheque/DD i.e. full name, contact number, Membership No. To make the payment online, please Click Here.

SEBI

SEBI has issued new norms for risk management at commodity markets to strengthen the Risk Management framework. It has also put in place measures such as staggered delivery system, fixation of final settlement price (FSP) and change in expiry date. Under the staggered delivery, in all futures contracts, tender period would start with onset of the applicable staggered delivery period. In case the day happens to be a holiday, the tender period would start from next working day. Further, Exchanges will have to provide early pay-in facility to market participants permitting them to deposit certified goods to the exchange accredited warehouse against relevant futures contracts sold. The norms would come into effect immediately.

SEBI

SEBI has issued a clarification that ‘Income from Operations’ may be disclosed inclusive of excise duty, instead of net of excise duty, as specified in the Companies Act, 2013. SEBI had earlier issued a circular dated November 30, 2015, wherein, it was prescribed that ‘revenue from operations’ may be disclosed net of excise duty. Subsequently, as per Schedule III of the Companies Act, 2013, which was notified on April 6, 2016, revenue from sale of products had to be disclosed inclusive of excise duty. Therefore, in order to follow a uniform approach with regard to disclosure of ‘revenue from operations’, SEBI has issued the abovementioned clarification. Listed Companies are required to take note of the said clarification and comply accordingly.

News from NIRC of ICSI

1. Registration open for NIRC’s Workshop on "GST – IMPACT & PREPAREDNESS", Key-Note Address by Mr. Ravneet Khurana, Deputy Commissioner, GST, CBEC" on Saturday, the 24th September, 2016 (Registration starts at 9.00 AM) from 10.00 am onwards at Auditorium, ICSI-NIRC Building, 4, Prasad Nagar Institutional Area, New Delhi Fee : Rs. 500/- including Corporate Members of NIRC, Online Payment / Registration Facility Available; Free For Members of Yuva Corporate Membership Scheme of NIRC; Program Credit Hours: 06.

2. NIRC of ICSI is participating in the ensuing Airtel Delhi Half Marathon -2016 (6 km ‘Great Delhi Run’), which will be held on Sunday, the 20th November, 2016. NIRC would be participating in the group category with a group named as “ICSI Group”. Interested members may fillup the form for the ‘Great Delhi Run’ 6 km category and send the hard copy of the filled up form along with a copy of the photo id proof, passport size photograph and deposit the above along with a fee of Rs. 600/- on or before 1st October, 2016 by cash or by cheque/DD in favour of “NIRC of ICSI” with full details on the reverse side of the cheque/DD i.e. full name, contact number, Membership No. To make the payment online, please Click Here.