"March, 2011" Archive

Regarding compliance for revision in the Customs part of Arrival Card for Passengers in Form ‘D’ – Notification issued by Ministry of Home Affairs

Circular No. 16/2011-Custom Duty (31/03/2011)

Circular No.16/2011-Customs - The issues of increasing imports of satellite phones in passenger baggages without obtaining authorization and import of foreign exchange in excess of amount of US $10,000/- or equivalent without declaration to Customs have been referred to MHA for redressal by making suitable modifications in the Customs par...

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Notification No. 25/2011 – Customs (N. T.) amends Notification No. 36/2001-Cus (N. T.), dated, the 3rd August 2001

Notification No. 25/2011-Customs (N.T.) (31/03/5201)

Notification No. 25/2011 - Customs (N. T.), New Delhi, 31st March, 2011. S. O… (E) – In exercise of the powers conferred by sub-section (2) of section 14 of the Customs Act, 1962 (52 of 1962), the Board, being satisfied that it is necessary and expedient so to do, hereby makes the following further amendment in the notification of...

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Cenvat Credit (Third Amendment) Rules, 2011 – Amendment in rules 4, 6 and 9

Notification No. 13/2011-Central Excise (N.T.) (31/03/2011)

NOTIFICATION NO. 13/2011 - CENTRAL EXCISE (N.T.)- The CENVAT credit in respect of input service shall be allowed, on or after the day on which the invoice, bill or, as the case may be, challan referred to in rule 9 is received: Provided that in case of an input service where the service tax is paid on reverse charge by the recipient of th...

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Consolidated FDI Policy (Effective from 1-4-2011)

Condolidated FDI Circular No. 1 of 2011 (31/03/2011)

Circular 1 of 2011 on FDI- (i) Pricing of Convertible instruments. (ii) Inclusion of fresh items for issue of shares against non-cash considerations (iii) Removal of the condition of prior approval in case of existing joint ventures/ technical collaborations in the ‘same field” (iv) Guidelines relating to down-stream investments (...

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FEMA – Export of Goods and Software – Realisation and Repatriation of export proceeds – Liberalisation

A.P. (DIR SERIES) CIRCULAR NO. 47 (31/03/2011)

FEMA : Export of Goods and Software – Realisation and Repatriation of export proceeds – Liberalisation. A.P. (DIR SERIES) CIRCULAR NO. 47, DATED 31-3-2011. Attention of Authorised Dealer Category-I (AD Category-I) banks is invited to A.P. (DIR Series) Circular No. 57, dated June 29, 2010 enhancing the period of realization and repatri...

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Govt liberalises FDI policy to boost inflows

Relaxing rules for foreign direct investment (FDI) in the country, the Government today decided to permit issuance of equity to overseas firms against imported capital goods and machinery. -- D. Gopalakrishnan...

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Posted Under: Custom Duty |

Collection of electricity bills and telephone bills on behalf of electricity boards and telecom companies is not taxable under Business Auxiliary Service

CCE Vs M/s Corporation Bank (CESTAT Bangalore)

I, however, find that prior to 10/09/2004 collection of cheques / bills etc. was not part of business auxiliary service and scope of customer care service cannot be stretched to cover such collection prior to this date under sub-clause (iii) of definition. Customer care service relates to post sale services rendered to the users / consume...

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Service Tax – 20% restriction under Rule 6(3) of the CENVAT Credit Rules 2004 not applicable to credit availed on capital goods

M/s BSNL Vs CCE (CESTAT Bangalore)

We find that as per the appellant, major amount of demand working out to Rs.12.07 crores pertains to capital goods credit utilised. We note that the Commissioner wrongly found that the restriction contained in Rule 6(3) of CCR as regards the use of cenvat credit above 20% of the tax paid applied to credit of capital goods also. In the cir...

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NBFCs can't be partners in partnership firms- RBI

The Reserve Bank on Wednesday prohibited Non-Banking Finance Companies (NBFCs) from contributing to the capital of a partnership firm or become a partner of such entities. The central bank also asked NBFCs, which have already contributed capital or are partner in such firms, to exit from such arrangements at the earliest. ...

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Posted Under: Custom Duty |

FII Investment in corporate bonds infra long term category – Limit Raised, Investment in Unlisted Company also allowed

Circular No. CIR/IMD/FIIC/5/2011 (31/03/2011)

Increase in overall limits- 1. The existing limit of USD 5 billion for investment by foreign Institutional investors (FIIs) in corporate bonds issued by companies in the infrastructure sector with a residual maturity of over five years has been increased by an additional limit of USD 20 billion taking the total limit to USD 25 billion. Th...

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