The draft Directions introduce a six-year composite KCC facility covering crop, allied, and investment credit. Drawing limits are linked to the Scale of Finance with structured percentage add-ons.
The new framework removes prior approval requirements while strengthening conduct and disclosure obligations. Customer protection norms are consolidated under Responsible Business Conduct Directions.
ITAT Mumbai held that securitisation trusts, cannot be assessed as an AOP, are revocable within the meaning of section 63 of the Income Tax Act and hence income is not taxable in the hands of trust. Accordingly, the appeal of the revenue is dismissed.
The RBI has consolidated KCC guidelines under new 2026 Master Directions, introducing a six-year composite credit structure. Drawing limits are aligned with Scale of Finance and include additional components for technology and maintenance.
ITAT Mumbai held that the disallowance under section 14A of the Income Tax Act read with rule 8D cannot exceed the exempt income earned by the assessee during the relevant previous year. Accordingly, no further disallowance u/s. 14A is called for.
The RBI has issued draft guidelines extending the Kisan Credit Card tenure to six years and aligning drawing limits with actual cultivation costs. The proposal also standardizes crop seasons and expands eligible expenses for farmers.
NCLAT Delhi held that the threshold criteria is applicable at the time of filing Section 7 application under Insolvency and Bankruptcy Code and not subsequently. Accordingly, the present appeal is allowed and order is set aside and remanded back.
The draft amendment requires Rural Co-operative Banks to undertake insurance business strictly on a fee basis without risk participation. Compliance with Responsible Business Conduct and IRDAI norms is mandatory.
The Union Budget 2026–27 proposes a High-Level Committee, NBFC restructuring, and bond market expansion to strengthen India’s banking system. The reforms aim to enhance governance, credit delivery, and long-term financial stability.
ITAT Mumbai held that even if Section 11 exemption is denied due to lack of registration, the Assessing Officer cannot tax entire gross receipts without examining expenditure. Only net income, if any, can be brought to tax.
