Market regulator SEBI today extended the deadline for mutual funds to implement the ASBA facility for new fund offers to October 1. Under ASBA–Application Supported by Blocked Amount– deposits of applicants remain in their accounts till the shares are alloted.
Expenditure incurred on food and beverages at the guest houses maintained by the assessee; the case of the Revenue is that there is no evidence to show that the impugned expenditure was incurred on the employees in connection with their stay during official visits whereas assessee company submits that the impugned expenditure was incurred for the purpose of business, since company’s employees stayed in the inspection/guest house near factories while carrying out their official duties and during such period food and beverages were provided to them and such expenditure is allowable as deduction under Explanation 2 to Section 37 (2) of the Act.
Effective use of technology for in-house audit processes could help prevent accounting fraud in a company, as it will be easier to monitor the flow of data online, says global consultant PricewaterhouseCoopers. A new PwC report, `2010 Internal Audit State of the Productivity of the Profession Survey’, said that about 48 per cent of Indian companies lack skill and knowledge of data tools used in internal audit softwares, while 18 per cent have no access to these tools.
In pursuance of the powers conferred by rule 45A of the Maharashtra Value Added Tax Rules, 2005, the Government of Maharashtra hereby specify that, with effect from the 1st October 2010, every registered dealer liable to file quarterly returns, shall make payment electronically of any amount under the Maharashtra Value Added Tax Act, 2002.
Notification No. 65/2010-Income Tax In exercise of the powers conferred in sub-sections (1) and (2) of section 120 of the Income-tax Act, 1961 (43 of 1961), the Central Board of Direct Taxes hereby makes the following amendments to the notification of the Government of India, Ministry of Finance, Department of Revenue, Central Board of Direct Taxes number S.O. 732(E), dated 3rd July, 2001, namely:-
Notification No. G.S.R. 639(E)-Income Tax In case of death of a depositor before maturity, the account shall be closed and deposit refunded on an application in Form ‘F’ alongwith interest as applicable to the scheme till the date on which the depositor expired, to the nominee or legal heirs in case the nominee has also expired or nomination as provided in rule 6 was not made, as the case may be. For the period between the day following the date of death of the depositor and the date on which refund is made, simple interest shall be paid at the rate applicable from time to time to saving accounts as provided in Rule 6 of Post Office Savings Accounts Rules, 1981”.
India has become a member of elite global body Financial Action Task Force (FATF), a standard setting body to combat money laundering and terror financing. Membership of FATF has been granted to India in its Plenary held in Amsterdam, Netherlands from 23rd to 25th June, 2010.
Allaying RBI’s fears, the government on Tuesday proposed to elevate its governor’s post in the proposed joint mechanism to address the differences among financial regulators over hybrid products. The legislation, Securities and Insurance Laws (Amendment) and Validation, Bill 2010, presented in the Lok Sabha to replace the ULIP Ordinance, also seeks to have a joint committee to resolve the differences among the financial regulators – SEBI, IRDA, RBI and PFRDA. The committee will be headed by Finance Minister Pranab Mukherjee.
The Takeover Advisory Committee has proposed to replace the Securities Exchange Board of India (“SEBI”) (Substantial acquisition of shares and takeovers) Regulations, 1997 (“Takeover Code”) in line with international standards and changing economic environment. The Committee constituted vide SEBI order dated 4 September, 2009, under the Chairmanship of Shri C. Achuthan (former Presiding Officer of Securities Appellate Tribunal) has comprehensively re-written the Takeover Code and submitted a report to SEBI.
The Supreme Court has stated that the Arbitration and Conciliation Act would apply to all civil disputes, and not merely to commercial disputes. It set aside the view of the Karnataka high court in the case, H Srinivas Pai vs H V Pai, in which the high court remarked that the law will apply only to “commercial agreement matters and international commercial matters.”
