regarding the proposed reforms in the constitution of the Governing body, the disciplinary committee, arbitration committee and the default committee of the stock exchange and the changes with regard to the appointment and duties of the Executive Director.
The amendment facilitates the entry of companies as defined in the Companies Act, 1956, as members to the stock exchanges subject to the conditions mentioned therein. It is requested that applications from corporate members may be called for by issuing a suitable notice in the press.
Please find enclosed one copy of the Securities and Exchange Board of India (Stock Brokers & Sub-Brokers) Rules, 1992 and the Securities and Exchange Board of India (Stock Brokers & Sub-Brokers) Regulations, 1992. Kindly acknowledge the receipt of this letter.
Circular No. 639-Income tax Representations have been received by the Board seeking clarifications as to whether, the assessee could file a return of income/loss under the Income-tax Act, 1961 on the next working day following a holiday and claim it to have been filed within the statutory time limit
You are also requested to separately check the authenticity of the figures mentioned in your letter by obtaining an audit certificate from the member-brokers and forward the same to SEBI. In case, the actual turnover of any broker is found to be higher than the one mentioned in your letter, you are requested to collect the additional fees, as well, as per the turnover certified.
Circular No. 638-Income Tax Whereas the annexed Agreement between the Government of the Republic of India and the Government of the People’s Republic of China for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income has come into force on the 21st day of November, 1994 after the notification by both the Contracting States to each other of the completion of the procedures required under their laws for bringing into force of the said Agreement in accordance with Article 28 of the said Agreement
The presidents also felt that Companies Act, 1956, permitting companies to send abridged balance sheets to the shareholders needed to be amended forthwith, preferably by way of an Ordinance, to ensure that all shareholders were supplied with the full copy of the balance sheets.
The Exchange is directed to set aside atleast 20% of the listing fees for providing services to the investing public. The exchange is also directed to provide daily quotation, other publications, computerised services and other services to the members of the stock exchange at cost price. The exchange would contribute 5% of total listing fees to SEBI every year.
The Modification has been sought with regard to eligibility of a person, who has been a member of any stock exchange for a period of less than 5 years, to apply for membership in another exchange. It was proposed that such a person may be permitted to become member of another stock exchange if he agrees to relinquish the membership of the stock exchange of which he is presently a member.
Circular No. 637-Income tax Under the provisions of section 5 of the Expenditure Tax Act, 1987, any expenditure incurred by persons within the purview of the Vienna Convention on Diplomatic Relations, 1961 or the Vienna Convention on Consular Relations, 1963, is not to be considered as a chargeable expenditure for the levy of the expenditure tax
