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Market regulator Securities and Exchange Board of India ( Sebi) is likely to approve aproposal to bar wilful defaulters from making public issue of equity, debt, or hybrid securities. However, Sebi plans to allow a company declared wilful defaulter to raise capital through rights issue or qualified institutional placements to ensure minority shareholders are not put in adisadvantageous situation due to the wrongdoing of promoters. The regulator will also provide more teeth to its takeover regulations by introducing bright lines to define change in control in a merger and acquisition. "By taking a bright line stance, Sebi will try to send a clear signal that changes in control will not solely be linked to percentage. If an entity acquires only 20 per cent but gets some say in management of listed target company, it may result in control," said a legal expert. The decisions are likely to be taken by the Sebi board at its meeting scheduled for Saturday in New Delhi, whic...

The goods and services tax will level the playing field for different sectors of industry, including domestic manufacturing. It will also promote the making of a common market by eliminating inter- state taxes, writes the author in the second of a three- part series If there is any measure that will strengthen the Make in India effort, especially in goods, it is the goods and services tax ( GST). There are a number of reasons why this is so: First, it is expected that the total incidence of duty on manufacturing (goods) will come down from the present level of 26.5 per cent (Centre: 14 per cent, state value- added tax: 12.5 per cent). This will happen mainly through a more balanced sharing of the tax burden between the goods and the services sector. Second, it will create a level playing field between imports and domestic manufacturing. Today, the effective central excise duty rate on non- oil domestic manufacturing is nine per cent but the countervailing duty ( CVD) neutralisa...

A Bill to amend the 48- year- old Enemy Property Act to allow the custodians to continue to hold sway over such properties was introduced in the Lok Sabha on Tuesday. The Bill aims to amend the provisions of the Act declaring that all enemy property vested in the custodian of enemy property would continue to vest in the custodian irrespective of the death or extinction of the enemy. Business Standard, New Delhi, 9th March 2016

To further improve ease of doing business, the government is considering amendments to the Companies Act, Corporate Affairs Minister Arun Jaitley said on Tuesday. The Companies Law Committee, which submitted its report to the government on February 1, has suggested amendments to 78 sections of the Act, excluding consequential amendments in other sections. Business Standard, New Delhi, 9th March 2016 

FM retains tax exemption for National Pension System Just over a week after the announcement, Finance Minister Arun Jaitley on Tuesday rolled back his controversial Budget proposal to tax Employees’ Provident Fund ( EPF) withdrawal. The Budget had announced that 40 per cent of the total corpus withdrawn from the EPF would be tax- exempt and the balance 60 per cent would be taxable unless the amount is used to buy an annuity product. Jaitley also took back his earlier proposal to tax contribution made by an employer beyond Rs.1.5 lakh a year to EPF. Both the proposals had drawn strong protest from the Opposition, trade unions and the salaried class. Jaitley, however, retained a proposal not to tax 40 per cent of money withdrawn from National Pension System( NPS). This means that only balance 60 per cent would be taxed against the current practice of taxing the entire amount withdrawn from NPS. Making a suo motu statement in the Lok Sabha on the issue, Jaitley said, “ In view of ...

www.caonline.in News... 1.CCI Exempts an enterprise, whose control, shares, voting rights or assets are being acquired has either assets of the value of not more than rupees three hundred and fifty crores. F. No. 5/33/2007-CS 2.Krishi Kalyan Cess on all taxable services wef 01.06.2016. 3.Issue of Indian currency note on board of foreign going vessels. Circular No. 7/2016-Customs. 4.Delhi VAT: Extends due date of filing GE II return to 15.03.2016. No. F 3(619)/Policy/VAT/2016/1610-1623 5.Revised timeline for verification of arrear demand u/s. 245 of Income Tax Act,1961. F.No.312/109/2015-OT 6.Anti-dumping duty on Polypropylene originating in, or exported from Singapore for a period of five years. Notification No. 7/2016-Customs(ADD). 7.CBEC revises service tax return form- ST-3. Notification No.20/2016 8.CESTAT requests CBEC to issue appropriate Guideline to Quasi-Judicial Authorities. [Commissioner of Customs (Import) vs. M/s. Do Best Infoway (CESTAT Chennai)]. For more New...

The government today said it will launch on Tuesday the third tranche of the gold bond scheme, through which it has raised about Rs 1,050 crore in the earlier rounds. "Applications for the bond will be accepted from March 8, 2016 to March 14, 2016. The Bonds will be issued on March 29, 2016," said a Finance Ministry statement. The Bonds will be sold through banks, Stock Holding Corporation of India Limited (SHCIL) and designated post offices, it added. The government had launched the first tranche of sovereign gold bond scheme in November for which it got subscription for 915.95 kg of gold worth Rs 246 crore. In January, it came out with the second tranche and received subscription for 3,071 kg gold amounting to Rs 798 crore. The funds raised through the Bonds will form part of the government's market borrowing programme. Further, Budget 2016-17 has proposed that redemption of sovereign gold bonds by an individual be exempt from capital gains tax. It also provided that l...

Concerns conveyed to `highest levels', issue `under active consideration' The labour ministry, leading the effort inside the government on articulating opposition to the Budget's taxation proposals on the employees' provident fund (PF) scheme, has conveyed these concerns to the highest levels, officials familiar with the matter told ET. The Budget has proposed that 60% of accumulated PF should be taxed at time of withdra wal, with the clock starting from April 1 this year (corpus accumulated before that won't be taxed), and that employers' contribution above Rs.1.5 lakh a year should not be tax-free. These officials, who did not want to be identified, said there has been brainstorming sessions inside the government between various departments and employees' grievances about their savings being taxed is now “firmly on the official agenda as a matter that needs looking into“. “The issue is under active consideration,“ a labour ministry official said. The offi...

The government is likely to set up a committee comprising representatives of the ministries of law and corporate affairs, Sebi, and RBI to study more than 3,000 objections and comments received on the report of the high-level panel formed earlier to review the issues arising out of implementation of the Companies Act, 2013. In its report submitted last month, the panel had suggested more than 50 changes in the law. The government had then called for public comments on these recommendations. “We'll shortlist the com ments before we move forward with amendments and clarifications on Companies Act, 2013. We'll move cabinet to get amendments cleared, after which the amendments bill will go to Parliament,“ a senior government official said. The official further said, “Since it's a multi-ministry exercise and requires professionals from various fields, the corporate affairs ministry has suggested that a committee be formed to look into the comments and suggestions received from ...

www.caonline.in News... 1.STT on sale of options is increased from 0.017% to 0.05%. Finance Bill,2016. 2.Arrears of rent or unrealized rent to be taxed in the year of receipt u/s 25A. Finance Bill,2016. 3.In order to promote more Domestic Start Up Companies (eligible start ups) the tax rate for such companies is reduced to 25% + surcharge & cess subject to certain restrictions. Finance Bill, 2016. 4.Sec.206AA : Higher TDS not valid where benefit of DTAA available.[M/s. Wipro Ltd. vs. ITO (ITAT Bangalore)] 5.Sec. 271AAA : No penalty where demand paid before penalty order.[DCIT vs. M/s. Tapadia & Kasliwal Associates (ITAT Pune)] 6.Client codes modification permissible having no shifting of profits. [ITO vs. M/s Pat Commodity Services P. Ltd. (ITAT Mumbai)] 7.Sec. 263 : Revision valid where no enquiry/verification of provisions.[M/s Crompton Greaves Ltd. vs. CIT (ITAT Mumbai)] For more News Like us on https://www.facebook.com/caonlineofficial Or Subscribe on mail visit ...

The Securities and Exchange Board of India ( Sebi) and the National Commodity & Derivatives Exchange ( NCDEX) are taking measures to improve improve surveillance after issuing restraining orders against 16 entities for manipulating castor seed futures. Castor seed futures prices on the NCDEX fell sharply in January in comparison to the spot market. Players holding long positions as high as 62.5 per cent of the total open positions were trapped and were unable to pay mark- to- market margins. To avoid systemic risk the NCDEX on January 27 suspended the contract and put the terminals of four brokers in square- off mode. On Wednesday, the Sebi restrained these four brokers and 12 of their clients, many of whom are big players in the oil seeds business, from acting in any form on any exchange in the securities market. “Sebi is dealing the issue with from all angles — market integrity, governance, investor protection as well as systemic,” a source said. Sebi initially focused on limit...