The weekly update (13th–19th April 2026) highlights significant regulatory changes, judicial rulings, and policy developments across tax and financial laws in India. Under Income Tax, corrections were made to earlier rules, and courts clarified that condonation relief cannot be restrictively applied. In GST, advisories addressed system glitches, while rulings denied ITC on lease rentals but allowed refunds on manufacturing scrap and barred parallel proceedings. Customs updates included tariff revisions, anti-dumping exclusions, and simplified procedures due to global disruptions. DGFT introduced export restrictions, import conditions, and expanded export support schemes. SEBI eased compliance norms and revised investment regulations, while MCA proposed major filing reforms and issued compliance advisories. IBBI released multiple discussion papers to streamline insolvency processes, alongside key Supreme Court rulings on CIRP and disputes. RBI updated compliance norms and NBFC branch rules. Overall, the updates emphasize regulatory clarity, compliance simplification, and strengthening of legal and financial frameworks.
Notifications & Circulars issued during week (13th – 19th Apr 2026)
(Income Tax, GST, Central Excise, Custom Duty, DGFT, SEBI, MCA, IBBI, RBI)
(Click the Link for Notification/ Circular as issued)
A. Income Tax
Income Tax Rules Notification 20/2026 Corrections due to Technical Errors: The corrigendum corrects multiple clerical, typographical, and referencing errors in earlier notification dated 20th March 2026. The key changes include replacing incorrect section references with proper rule citations, standardizing terminology, correcting numbering formats, and removing redundant or erroneous entries. The updates also streamline compliance requirements, such as replacing ‘PAN/Aadhaar’ with ‘PAN’ and omitting Aadhaar related fields in certain forms.
(Link: Income Tax Notification 64/2026 Dated 10/04/2026)
HC, Condonation denial invalid as CBDT Circular cannot be Applied Restrictively: Case of Vrg Electronics Pvt Ltd vs PCIT, HC Delhi Judgement Dated 9st April 2026. High Court ruled that CBDT Circular 11/2024 regarding the condonation of delays (under Section 119(2)(b)) applies to all genuine cases, regardless of the Assessment Year. The court quashed the PCIT order, finding that an accountant lapse causing a delay in filing Form 10-IC constitutes a genuine hardship, not a reason to deny tax benefits. It held that circulars meant for mitigating genuine hardship cannot be restricted to specific years.
(Link: HC Delhi Judgement Dated 09/04/2026)
B. GST
GSTN Advisory on Re-computation of Interest under Table 5.1 of GSTR3B: The advisory relates to incorrect system calculated interest auto-populated in Table 5.1 of GSTR-3B for February 2026 period due to a technical glitch. The taxpayers have been provided an option to recompute interest using the ‘RE-COMPUTE INTEREST’ feature in Table 5.1. The revised interest is reflected in the system generated GSTR3B. Taxpayers are advised to verify the updated values and manually edit the auto-populated figures accordingly, ensuring that the declared interest is not less than the recomputed amount.
(Link: GSTN Advisory Dated 16/04/2026, Tutorial Attachment)
AAAR, ITC Denied on Lease Rentals as Land Used for Factory Construction: Case of Agratas Energy Storage Solutions Pvt Ltd, AAAR Gujarat Ruling Dated 4th April 2026. The appellate authority upheld that the applicant cannot claim Input Tax Credit on GST paid for annual land lease rentals used for factory construction. It ruled that ITC is blocked under Section 17(5)(d) of the CGST Act, as the lease is considered part of construction.
(Link: AAAR Gujarat Ruling Dated 04/04/2026)
HC, GST Refund Allowed on Scrap as it qualifies as Manufactured Good Under Scheme: Case of Vijay Steel Industries vs UT of Jammu & Kashmir, HC J&K Judgement Dated 8th April 2026. HC ruled that MS Scrap generated during TMT/CTD bar manufacturing is eligible for GST reimbursement under the state industrial policy. The court rejected the tax department refusal to reimburse taxes on scrap, holding that it is a direct residue of the specified manufacturing process.
(Link: HC J&K Judgement Dated 08/04/2026)
HC, Parallel GST Proceedings by Centre & State on Same Issue Barred: Case of HM Steels Limited vs Joint Commissioner, HC Himachal Judgement Dated 9th April 2026. HC held that Goods and Services Tax (GST) authorities should coordinate with each other to prevent duplicate or parallel proceedings on the identical subject matter. The Court mentioned that Section 6(2)(b stops parallel adjudication, but summons or investigation steps do not indicate the start of proceedings. It stated that an investigation, such as a summons, can continue. It mentioned that if one authority begins proceedings, another authority could not start parallel adjudication.
(Link: HC Himachal Judgement Dated 09/04/2026)
C. Central Excise
No Notification/ Circular during the Week.
D. Custom Duty
Common Adjudicating Authority appointed in case of Control Components India: The Notification appoints Principal Commissioner/Commissioner of Customs (Air Cargo), Chennai-VII Commissionerate, as Common Adjudicating Authority for adjudication of multiple show cause notices issued by different officers across Chennai and Bengaluru, to Control Components India Private Limited.
(Link: Customs Notification 38/2926 (NT) Dated 16/04/2026)
Fixation of Tariff Value of Edible Oils, Brass Scrap, Areca Nut, Gold and Silver: CBDT notified the Tariff Values of Edible Oils, Brass Scrap, Areca Nut, Gold and Silver, which shall come into force w.e.f. 16th April 2026. The tariff value for crude palm oil is set at USD 1195 per metric ton, while gold and silver have tariff values of USD 1544 per 10 grams and USD 2509 per kilogram, respectively. The tariff value for areca nuts is fixed at USD 9155 per metric ton.
(Link: Customs Notification 37/2926 (NT) Dated 15/04/2026)
Anti-Dumping Duty, Lithograde Aluminium Coils of Width 1150 mm Excluded: The original duty was imposed on imports of certain flat rolled aluminium products from China in 2021. Subsequently, pursuant to directions of the Delhi High Court and revised findings issued in December 2025, ‘Lithograde Aluminium Coils of width above 1150 mm’ were excluded from the scope of the product under consideration. The notification has now formally been amended to incorporate this exclusion.
(Link: Customs Notification 05/2026 (ADD) Dated 17/04/2026)
Export Cargo re-entry due to Hormuz Strait disruption, Procedures Simplified: The circular addresses operational challenges due to maritime disruptions caused by the closure of the Strait of Hormuz, where cargo discharged at intermediate ports such as Sri Lanka, is brought back without reaching its destination. It mandates filing of a fresh Shipping Arrival Manifest (SAM), verification of container and seal integrity, and permits offloading without filing a Bill of Entry where seals are intact. Shipping Bills are to be cancelled through the EDI system, and ‘back to town’ procedures may be followed. In cases of tampered seals, 100% examination and re-import procedures apply.
(Link: Customs Circular 21/2026 Dated 15/04/2026)
E. Directorate General of Foreign Trade (DGFT)
Baryte Export Policy amended, Grade A & B Restricted, Grade CDW remains Free: The notification amends the export policy for Baryte (Natural Barium Sulphate) by shifting high-grade baryte into the ‘Restricted’ category. The Grade A (specific gravity ≥ 4.2) and Grade B (specific gravity between 4.10–4.20), which were previously freely exportable, now require prior authorisation or licensing from DGFT. However, Grade CDW (specific gravity < 4.0) continues to remain freely exportable without any licensing requirement. It applies across various forms of baryte, including lumps, powder, and other variants.
(Link: DGFT Notification 12/2026 Dated 17/04/2026)
RELIEF Scheme expanded to Egypt & Jordan amid Logistics Disruptions: The Resilience & Logistics Intervention for Export Facilitation (RELIEF) scheme under the Export Promotion Mission (EPM) has been expanded to include Egypt and Jordan, in the list of eligible export destinations. The scheme provide support to exporters facing ongoing global logistics disruptions.
(Link: DGFT Notification 11/2026 Dated 17/04/2026)
Import Restriction on Glufosinate, Minimum CIF Value Condition: The notification amends the import policy for Glufosinate and its salts under chapter 38 of ITC. Though it retains the ’Free’ import status but introduces a condition restricting imports where the combined CIF value and applicable anti-dumping duty is below Rs 1,154 per kilogram. The restriction will remain in force for six months from the date of notification.
(Link: DGFT Notification 10/2026 Dated 13/04/2026)
Clarifications regarding eligibility to expand RELIEF Scheme Benefits for New ECGC Policies: The circular relates to Resilience & Logistics Intervention for Export Facilitation (RELIEF) scheme. It clarifies that exporters obtaining a new Export Credit Guarantee Corporation Whole Turnover Policy on or after 16th March 2026, are eligible for benefits under Component II, which aims to promote credit insurance coverage for exports to affected Gulf and West Asia regions.
(Link: DGFT Policy Circular 01/2026 Dated 15/04/2026)
List of Authorized Banks updated for Gold and Silver Import: The Public Notice amends Appendix 4B of the Handbook of Procedures under the Foreign Trade Policy. It updates the list of banks (total 15 banks) including major public and private sector banks as well as select foreign banks, authorized by the Reserve Bank of India to import gold and silver. during 1st April 2026 to 31st March 2029. It also lists two banks authorized to import only gold during the same period.
(Link: DGFT Public Notice 04/2026 Dated 17/04/2026)
F. Securities and Exchange Board of India (SEBI)
Amendments to SEBI Alternative Investment Funds (AIF) Regulations: The key changes include reduction of minimum threshold mentioned in Regulation 10(c) from ‘two lakh’ to ‘one thousand’. The Regulation 29 has been modified to allow distribution of proceeds subject to conditions specified by SEBI from time to time. A new sub-regulation (10A) has been inserted, which enables classification of an Alternative Investment Fund as an ‘inoperative fund’, subject to prescribed conditions.
(Link: SEBI Notification Dated 16/04/2026)
Amendments to SEBI Real Estate Investment Trusts (REIT) Regulations: The Credit Risk threshold for REIT Investments has been reduced. The key changes include a reduction in the minimum required credit risk value from 12 to 10 in Regulation 2(1)(ta) and 18(5)(i). The eligibility criteria have been expanded by including ‘Class B-I’ instruments alongside ‘Class A-I’ within the potential risk class matrix.
(Link: SEBI Notification Dated 16/04/2026)
Amendments to SEBI Infrastructure Investment Trusts (InvIT) Regulations: The amendments revise definitions of liquid assets by including units of liquid mutual funds with a minimum credit risk value of 10 and specific risk classifications. The changes relating to Special Purpose Vehicles (SPVs) clarify their status, including continued classification even after termination of concession agreements, subject to specified conditions. For PPP projects, exemptions are provided where holding structures are restricted by agreements or regulations. Investment norms are also updated by lowering the credit risk threshold from 12 to 10 and expanding permissible categories.
(Link: SEBI Notification Dated 16/04/2026)
Amendments to SEBI Intermediaries Regulations: The amended provisions defines ‘days’ as calendar days unless specified otherwise. The disqualification provisions are replaced with broader ‘events’ and expands the scope to include convictions for economic offences or securities law violations. It removes automatic time based disqualifications and shortens certain regulatory timelines, such as reducing the restriction period from one year to six months.
(Link: SEBI Notification Dated 15/04/2026)
Review of Norms for registration of NPO on SSE and minimum subscription for issuance of Zero Coupon Zero Principal Instruments: The circular has relaxed key regulatory requirements under the Social Stock Exchange (SSE) framework to boost participation by Not-for-Profit Organizations (NPOs). The registration validity for NPOs on SSE has been extended from two years to three years, even if they do not raise funds during this period. The minimum subscription threshold for issuance of Zero Coupon Zero Principal (ZCZP) Instruments has been reduced from 75% to 50%, provided exchanges ensure via due diligence that partial funding remains viable and aligned with stated objectives.
(Link: SEBI Circular Dated 15/04/2026)
NISM Certification for Social Impact Assessors: The circular specify certification requirements for Social Impact Assessors under ICDR Regulations. It mandates that such assessors must qualify the ‘NISM Series XXIII – Social Impact Assessors Certification Examination’ conducted by the National Institute of Securities Markets and hold a valid certificate. For renewal, assessors are required either to reappear for the same certification examination or complete the ‘NISM Series XXIII – Social Impact Assessors Certification eCPE Program’.
(Link: SEBI Circular Dated 13/04/2026)
G. Ministry of Corporate Affairs (MCA)
MCA Consultation on Filing Reforms & Simplifying Compliance for Viksit Bharat 2047: The reform proposes a transition to a data-centric and technology-driven compliance framework, including consolidation of forms, expansion of Straight Through Processing (STP), and adoption of pre-filled, modular filing systems under MCA21 Version 3. It covers the entire corporate lifecycle, from incorporation to exit, focusing on reducing duplication, enabling automation, and ensuring interoperability with regulators such as GSTN, CBDT, SEBI, and RBI. It also emphasises proportionate compliance based on entity size, strong legal safeguards, audit trails, and cybersecurity measures.
(Link: MCA Consultation/ Concept Note Dated 16/04/2026)
MCA Advisory on Resolving the ‘DSC Not Registered with Director DIN’ Error during DIR-3 KYC Web Filing: MCA clarified that directors must ensure correct DSC registration against their DIN and use the same DSC while filing. If not registered, the DSC must be linked before proceeding. It also allows updating email via mobile OTP and suggests raising a service request if both email and mobile are inactive or technical issues persist. It emphasizes proactive verification of DSC linkage to avoid filing disruptions, penalties, or DIN deactivation.
(Link: MCA Advisory Dated 16/04/2026)
H. Insolvency and Bankruptcy Board of India (IBBI)
Discussion Paper on Proposes Amendments to IBBI Liquidation Process Regulations: The proposals shift the framework from a Stakeholders’ Consultation Committee to a Committee of Creditors (CoC), granting it supervisory authority, approval powers, and the ability to replace the liquidator. A strict 180-day timeline for liquidation is introduced, along with streamlined claim verification by carrying forward CIRP claims. The liquidator fee structure is rationalised, reporting requirements are simplified, and key decisions require CoC approval. The provisions also deals with asset sales, guarantor asset transfers, and treatment of unremitted statutory dues as trust assets excluded from the liquidation estate.
(Link: IBBI Discussion Paper Dated 15/04/2026)
Discussion Paper on IBBI Creditor Initiated Insolvency Resolution Process (CIIRP) Regulations 2026: The framework seeks to enable faster, cost-effective resolution of stressed corporate debt through early creditor intervention while preserving management control under supervision. The process is designed to be time-bound and includes provisions for seamless conversion into the Corporate Insolvency Resolution Process (CIRP) where resolution is not achieved. The regulations outline eligibility criteria to be notified by the Central Government, define roles of financial creditors and applicants, and establish procedures for initiation, including creditor approval thresholds of 51% and notice requirements.
— The proposed regulations provide a detailed procedural structure covering initiation, conduct, and completion of the CIIRP. They mandate appointment of a resolution professional (RP), public announcement, reporting to the Adjudicating Authority, and constitution of a committee of creditors within defined timelines. The corporate debtor continues to manage operations subject to creditor oversight, with restrictions on key decisions without approval. The RP prepares an information memorandum and invites resolution plans through a structured process, including expression of interest and evaluation mechanisms. These also specify cost components, withdrawal procedures with safeguards, and provisions for replacement of the resolution professional. A model timeline targets completion within 150 days. These incorporates existing CIRP regulations with necessary modifications and provides for conversion to CIRP with 66% creditor approval.
(Link: IBBI Discussion Paper Dated 15/04/2026)
Discussion Paper on Proposes Amendments to IBBI Inspection and Investigation Regulations: The proposals align regulatory definitions, particularly introducing a unified term ‘service provider’ covering insolvency professionals, agencies, and information utilities. The changes extend investigation and complaint provisions to all such service providers. These also strengthens the Disciplinary Committee’s powers, including authority to order disgorgement of unlawful gains and restitution to affected parties.
(Link: IBBI Discussion Paper Dated 15/04/2026)
Discussion Paper on Proposes Amendments to IBBI Information Utilities Regulations: The key proposals include mandating operational creditors to file information with Information Utilities before initiating insolvency, introducing deemed authentication where debtors fail to respond within prescribed timelines, and clarifying that records of default filed by financial institutions are sufficient proof of default. The framework also introduces a new concept of ‘Information of Dispute’ to distinguish disputed defaults from authenticated records.
(Link: IBBI Discussion Paper Dated 15/04/2026)
Discussion Paper on Proposes Amendments to IBBI Grievance and Complaint Handling Procedure Regulations: The proposals introduces a unified definition of ‘service provider’, covering insolvency professionals, agencies, information utilities, and other notified entities, and proposes aligning the regulations accordingly.
(Link: IBBI Discussion Paper Dated 15/04/2026)
Discussion Paper on Proposes Amendments to IBBI CIRP Regulations: The proposals include enhanced documentation such as GST records, asset details, liabilities, litigation status, and regulatory compliances. These also streamline withdrawal under section 12A by mandating CoC approval, fixed timelines, and bank guarantees for CIRP costs. The proposed framework expands the scope of persons required to cooperate with resolution professionals, introduces mechanisms for transfer of guarantor assets to enable value maximization, and formalizes deemed appointment of resolution professionals with defined communication timelines. It clarify that guarantor liabilities remain unaffected by resolution plans and introduce provisions for restoration of CIRP in limited cases, as well as enabling direct dissolution of defunct entities. It also proposes a two stage approval mechanism for resolution plans to prevent delays caused by distribution disputes.
(Link: IBBI Discussion Paper Dated 15/04/2026)
Discussion Paper on Proposes Amendments to IBBI Pre-Packaged Insolvency Resolution Process (PPIRP) Regulations: The proposals replaces the detailed statutory list of documents under section 54C(3) with a flexible provision allowing the Board to specify required information through regulations. The requirement to declare avoidance transactions at initiation is proposed to be removed, especially MSMEs, while safeguards remain through the resolution professional duties.
(Link: IBBI Discussion Paper Dated 15/04/2026)
Discussion Paper on Proposes Amendments to IBBI Insolvency Resolution Process for Personal Guarantors to Corporate Debtors Regulations: The key proposals include removal of interim moratorium, extension of timelines for examination, mandatory creditor meetings, and consequences for non-submission of repayment plans. The proposals introduces mandatory coordination between resolution professionals or bankruptcy trustees of personal guarantors and corporate debtors for asset transfers under section 28A, subject to creditor approval and disclosure requirements. These also mandate comprehensive disclosure of all assets of personal guarantors, including direct, indirect, and beneficial interests.
(Link: IBBI Discussion Paper Dated 15/04/2026)
Discussion Paper on Proposes Amendments to IBBI Voluntary Liquidation Process Regulations: The key proposals include requiring liquidators to provide written reasons for claim rejection and communicate decisions within seven days, and replacing statutory appeal references with a general right to approach the Adjudicating Authority. A new framework is introduced to allow termination of voluntary liquidation through a special resolution, subject to safeguards such as solvency declaration, stakeholder protection, and regulatory reporting.
(Link: IBBI Discussion Paper Dated 15/04/2026)
SC, Appeal by Suspended Director in Corporate Debtor Name not Maintainable Post CIRP: Case of Nitendra Kumar Tomar vs Unox SPA, SC Judgement Dated 10th April 2026. The apex court ruled that a suspended director cannot file an appeal in the name of the corporate debtor after a Company Insolvency Resolution Process (CIRP) begins. Such an appeal is ‘wholly incompetent’ and cannot be cured by amendments after the limitation period.
(Link: SC Judgement Dated 10/04/2026)
SC Dismissed Insolvency Plea as prior dispute established through Correspondence & Records: Case of GLS Films Industries Private Limited vs Chemical Suppliers India Private Limited, SC Judgement Dated 9th April 2026. The apex court set aside an NCLAT order, ruling that a genuine, pre-existing dispute regarding invoice reconciliation and defective supply barred insolvency proceedings under Section 9 of the IBC.
(Link: SC Judgement Dated 09/04/2026)
I. Reserve Bank of India (RBI)
Updates on UNSC Sanctions List Under UAPA Compliance: MEA has informed about the UNSC amendments on its ISIL (Da’esh) and Al-Qaida Sanctions List of individuals and entities, which are subject to the assets freeze, travel ban and arms embargo. Regulated Entities (REs) are advised to take note for necessary compliance in terms of Master Directions on KYC.
(Link: RBI Circular 13/2026 Dated 17/04/2026)
Updates on UNSC Sanctions List Under UAPA Compliance: MEA has informed about the UNSC amendments on its ISIL (Da’esh) and Al-Qaida Sanctions List of individuals and entities, which are subject to the assets freeze, travel ban and arms embargo. Regulated Entities (REs) are advised to take note for necessary compliance in terms of Master Directions on KYC.
(Link: RBI Circular 12/2026 Dated 15/04/2026)
Amendments to RBI Non-Banking Financial Companies Branch Authorisation Directions: The amendments permits NBFCs to open branches without prior RBI approval unless specifically restricted. However, conditions are imposed on deposit-taking NBFCs based on Net Owned Funds (NOF) and credit rating, i.e., entities with NOF above Rs 50 crore and AA rating or higher may expand nationwide, while others are restricted to their home state.
(Link: RBI Circular 11/2026 Dated 15/04/2026)
J. Miscellaneous
SC, Partnership cannot be used to Mask Illegal Sub-Lease, Courts will Lift the Veil: Case of MV Ramachandrasa vs Mahendra Watch Company, SC Judgement Dated 10th April 2026. The apex court held that a partnership arrangement cannot be used as a device to conceal an unlawful transfer of possession of tenanted premises. The court confirmed that if a tenant leaves and a third party takes exclusive possession, a presumption of illegal sub-letting arises. While tenants are permitted to enter into partnerships, such arrangements must be genuine and should not result in parting with legal possession or control.
(Link: SC Judgement Dated 10/04/2026)
SC, Pay Now, Not after Appeals, Enforces Immediate Indemnity: Case of VPS Healthcare Private Limited vs Prabhat Kumar Srivastava, SC Judgement Dated 13th April 2026. The apex court held that liability under a consent award with indemnity clause can arise immediately once liability crystallises, and need not wait for final confirmation by the Highest Court of Appeal.
(Link: SC Judgement Dated 13/04/2026)
SC, Negligence of bank in presenting cheque within validity period is Deficiency in Service: Case of Canara Bank vs Kavita Chowdhary, SC Judgement Dated 15th April 2026. The apex court held that negligence on part of bank in presentation of cheque within the validity period of cheque leads to ‘deficiency in service’ under the Consumer Protection Act. Accordingly, compensation entitled to be awarded to the consumer.
(Link: SC Judgement Dated 15/04/2026)
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Compiled by:- CMA Yash Paul Bhola, MBA, FCMA., Former Director (Finance), National Fertilizers Limited.
Disclaimer: The contents of this article are for informational purposes only. The user may refer to the relevant notification/ circular/ decisions issued by the respective authorities for specific interpretation and compliances related to a particular subject matter)
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