The Reserve Bank of India revised prudential norms on counterparty credit risk for Small Finance Banks. The amendment updates add-on factors and exposure treatment to align with international capital adequacy practices.
RBI’s 2026 amendment clarifies the computation of Owned Funds and specifies that Tier 1 capital for concentration norms must be determined using the latest audited or reviewed financial statements.
RBI’s 2026 amendment allows Core Investment Companies to include audited quarterly profits in Owned Funds, subject to dividend adjustments and statutory auditor review.
The Income Tax Department conducted surveys across multiple cities after AI analysis revealed significant discrepancies between transactional data and reported income. The exercise uncovered preliminary sales suppression of about ₹408 crore.
RBI amended the Housing Finance Companies Directions, 2026 to clarify how Owned Fund should be calculated. The amendment allows inclusion of audited quarterly profits subject to dividend adjustments and auditor review.
The court held that possession of a tax invoice does not automatically create ITC entitlement. Credit can be distributed only after statutory conditions under Section 16 are satisfied
The circular permits unloading of returned export cargo and cancellation of Shipping Bills under special conditions. Export incentives will be blocked or recovered where applicable.
The proposed amendments rationalise tax provisions, simplify reporting rules, and introduce clearer deductions and exemptions. The reforms aim to improve voluntary compliance and reduce tax disputes.
The 2026 amendment replaces rigid interest rate ceilings with market-determined pricing. The reform expands borrowing flexibility and aligns India’s external borrowing framework with global financing practices.
The amendment explains how quarterly profits, dividend adjustments, and current-year losses must be treated in owned fund calculations.
