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  GST rules set to be simplified further GST Council likely to make compliance easier, revamp tax returns filing process soon Federal indirect tax body Goods and Services Tax (GST) Council is set to revamp the return filing process and further liberalize rules to make compliance easier for taxpayers and boost government revenues. A meeting of central and state government officials in the capital on 27 February will give final shape to the proposal before the council takes it up on 1 March for approval, a person familiar with the development said on condition of anonymity. The 26th meeting of the council will be held through a video conference. The council is expected to take measures that will make compliance easier for small businesses and traders, which account for the majority of taxpayers, based on recommendations from a panel led by M. Vinod Kumar, GST chief commissioner for Karnataka. It is also expected to do away with the requirement of filing tax returns relating t

SEBI asks banks to compensate retail investors if they fail to allot shares in an IPO Markets regulator Sebi today said retail investors applying for shares in IPOs would need to be compensated if bankers fail to make the allotment despite their eligibility. Besides, the public issue banker would need to pay an interest amount of 15 per cent to the investors for failing to resolve the grievance within 15 days, while they may also face Sebi's action for such failures. Putting in place a framework to compensate retail investors who fail to get securities in an IPO, Sebi said there should be a uniform policy for calculation of minimum compensation payable to investors. While calculating minimum compensation, several factors need to be taken into account like opportunity loss suffered by the investor due to non-allotment of shares; number of times the issue was oversubscribed in the relevant category; probability of allotment; and listing gains if any on the day of listing. &qu

Proposed PPF changes to benefit investors  The finance ministry in a notification has stated that "no existing benefits to depositors are proposed to be taken away" and has clarified on the proposed changes to the Public Provident Fund (PPF):  1. The Government Savings Certificates Act, 1959 and the Public Provident Fund Act, 1968 are proposed to be merged with the Government Savings Banks Act, 1873. "The main objective in proposing a common Act is to make implementation easier for the depositors as they need not go through different rules and Acts for understanding the provision of various SSS (small savings schemes), and also to introduce certain flexibilities for the investors," says the notification.   2. The government proposes to allow premature closure of PPF accounts. In a statement, the finance ministry said that in case of exigencies, such as medical emergencies or higher education needs, PPF accounts will now be allowed to be closed prematurely. C

SEBI opens new door for overseas investors  The Securities and Exchange Board of India (Sebi) has opened up the Indian capital markets to clients of global private banks, which can invest in stocks without having to go through registration or compliance requirements. Until now, foreign banks were allowed to do propriety trades only. However, now they have been allowed to invest in domestic securities on behalf of their clients. Sebi announced the move last week inacircular titled Easing of access norms for investment by foreign portfolio investors. Experts say the new measure, which resembles the participatory note (pnote) framework, could beagame changer. Also, this route will provide more flexibility to investors compared to pnotes, as they will be able to take unhedged exposure to Indian derivatives market. Sebi´s latest move isadeparture from the regulator´s efforts in the past few years to encourage direct participation. All bigticket pnote issuing entities are owned by

MSCI slams move by Indian exchanges Ending data feed pacts with global counterparts´ anticompletive´, could cause disruption and lead to a cut inIndia´sweighton global indices, says MSCI Global index provider MSCI has slammed Indian exchanges´ decision to terminate licensing and datafeed agreements with their global counterparts.MSCI has said the concerted announcement by the three domestic exchanges was “anticompletive” and would restrict access to the Indian market. It has urged Indian regulators and exchanges to reconsider the move as it could lead to disruption in trading, which could force MSCI to cut India´s weight in its global indices.On February 9, the National Stock Exchange (NSE) and the BSE —India´s two main exchanges —said inajoint release that they were discontinuing their datafeed tieups with foreign exchanges to prevent offshore trading in domestic securities. The move would come into effect after the contractual notice periods expire in August.“It isaclearly n

CBEC decides not to file review appeals in 63 cases To reduce litigation, the Central Board of Excise and Customs (CBEC) on Friday decided not to file any review appeals in 63 cases where Supreme Court, high courts and CESTAT have ruled against the department. The CBEC has compiledalist of 63 orders so that cases pending in the field can be expeditiously decided, if the questions of law or facts involved are identical, an official statement said. In 14 of these orders, high courts have decided various questions of law. In the rest 49 cases, the high courts have delivered judgments on the basis of some settled case law or have decided points of facts or have dismissed the appeal on monetary grounds. All the orders have been accepted by the department and against them no special leave petitions in India has been preferred in the Supreme Court, it added. The Business Standard, New Delhi, 17th February 2018

Sebi relaxes access norms for FPIs The Securities and Exchange Board of India( Se bi) has eased the norms for foreign portfolio investors (FPIs), doing away with the prior-approval requirement in case of change in local custodian. The due diligence requirements at the time of change of custodian for FPI shave also been relaxed. After consultations with stakeholders, Sebi has decided to make changes in ext ant regulatory provisions" to ease the access norms for investment by FPIs", acircular issued on Thursday said. The need for seeking prior approval in case of change in local custodian or Designated Depository Participant( D DP) has been discontinued for FP Is. "Atthattime, taking specific request letter from each FPI regarding change of local custodian may create operational and logistical challenges," Sebi said as it relaxed the norms. With respect to the process of change of local custodian or DDP by an FPI, the circular said the new entity can rely on t