CBEC:
CBEC has dispensed with the requirement of obtaining a deposit of20% of the differential duty between “provisional duty” and duty to be “finally assessed or re-assessed” as provided in Regulation 2(2) of Customs (Provisional Duty Assessment) Regulations, 2011 as the Board felt it necessitates following the procedure of refunds in cases where final assessment is in favour of the importer and such requirements add to the transaction costs, lead to delays in clearance and detract from the ease of doing business. Further, Regulation 4 of the said Regulations that requires the importer to furnish such surety or security or both, as deemed fit, along with the Bond, it was felt that acceptance of a surety requires making an evaluation of the underlying asset value or of the net worth of the person executing the same. This poses difficulties to the importers as well as administrative challenges to the Department in valuing sureties. Therefore, the requirement of security needs to be met by either obtaining a bank guarantee or a cash deposit, as convenient to the importer and that no sureties shall be obtained. However, the requirement to execute a bond in compliance with Regulation 3 still stands mandatory in case of provisional assessment.
RBI:
RBI has decided that factoring transactions on ‘with recourse’ basis shall be eligible for priority sector classification by banks, which are carrying out the business of factoring departmentally with an aim to increase cash flow to small and medium enterprises. The factoring transactions taking place through TReDS shall also be eligible for classification under priority sector upon operationalization of the platform. TReDS is an exchange-based trading platform to facilitate financing of bills raised by such small entities to corporate and other buyers, including government departments and PSUs, by way of discounting.
News from NIRC of ICSI
Today, NIRC of ICSI is organising a Capacity Building Session on "Applicability of CPC, CrPC & Allied Laws on NCLT proceedings" By CS Praveen Mahajan, Advocate, on 26th August, 2016 from 5.30 PM onwards, at ICSI-NIRC Building, 4, Prasad Nagar Institutional Area, New Delhi-110 005. No fees; PCH – 2.
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