25 March 2019


Notifications & Circulars

Reserve Bank of India

20.03.2019

Banking

Export and Import of Indian Currency

MANU/APDR/0008/2019

Attention of Authorised Persons is invited to Regulation 8 of Foreign Exchange Management (Export and import of currency) Regulations, 2015, in terms of which a person may take or send out of India to Nepal or Bhutan and bring into India from Nepal or Bhutan, currency notes of Government of India and Reserve Bank of India for any amount in denominations up to Rs. 100. Further, an individual may carry to Nepal or Bhutan, currency notes of Reserve Bank of India denominations above Rs. 100, i.e. currency notes of Rs. 500 and/or Rs. 1000 denominations, subject to a limit of Rs. 25,000.

2. It has now been decided that an individual travelling from India to Nepal or Bhutan may carry Reserve Bank of India currency notes in Mahatma Gandhi (New) Series of denominations Rs. 200 and/or Rs. 500 subject to a total limit of Rs. 25,000 Instructions regarding currency notes of Government of India and Reserve Bank of India for any amount in denominations up to Rs. 100 shall continue as hitherto.

3. Authorised Persons may bring the contents of this circular to the notice of their constituents and customers.

4. Necessary amendments to Foreign Exchange Management (Export and import of currency) Regulations, 2015 (Notification No. FEMA 6(R) /RB-2015 dated December 29, 2015) have been notified as Foreign Exchange Management (Export and import of Currency) (Amendment) Regulations, 2019 [Notification 6(R)/(1)/2019-RB dated February 26, 2019] in the Official Gazette vide G.S.R. No.151(E) dated February 26, 2019, a copy of which is annexed.

5. The directions contained in this circular have been issued under sections 10(4) and 11(1) of the Foreign Exchange Management Act, 1999 (42 of 1999) and are without prejudice to permissions / approvals, if any, required under any other law.

Tags : Indian Currency Export Import

Share :

Top

Ministry of Defence

20.03.2019

Civil

Army Pay (Amendment) Rules, 2019

MANU/DEFN/0005/2019

In exercise of the powers conferred by the proviso to article 309 of the Constitution, the President hereby makes the following rules to amend the Army Pay Rules, 2017, namely: -

1. Short title and commencement.-

(1) These rules may be called the Army Pay (Amendment) Rules, 2019.

(2) They shall be deemed to have come into force on the 1st day of January, 2016.

2. In the Army Pay Rules, 2017, in rule 5, in sub-rule (3), for clause (v), the following clause shall be substituted, namely:-

"(v) Group 'X' Pay shall be counted as pay for the purpose of computation of dearness allowance and pension".

Tags : Army Pay Rules Amendment

Share :

Top

Ministry of Health and Family Welfare

20.03.2019

Civil

Drugs and Cosmetics (Ninth Amendment) Rules, 2019

MANU/HFAM/0117/2019

Whereas a draft of certain rules further to amend the Drugs and Cosmetics Rules, 1945 was published as required under sub-section(1) of section 12 and sub-section(1) of section 33 of the Drugs and Cosmetics Act, 1940 (23 of 1940) vide notification of the Government of India in the Ministry of Health and Family Welfare (Department of Health and Family Welfare) number G.S.R. 1185(E), dated the 7th December, 2018, in the Gazette of India, Extraordinary, Part II, section 3, sub-section (i), inviting objections and suggestions from persons likely to be affected thereby, before the expiry of a period of seven days from the date on which the copies of the Official Gazette containing the said notification were made available to the public;

And whereas, copies of the said Official Gazette were made available to the public on the 7th December, 2018;

And whereas, objections or suggestions received from the public on the said rules have been considered by the Central Government;

Now, therefore, in exercise of the powers conferred by sections 12 and 33 of the Drugs and Cosmetics Act, 1940 (23 of 1940), the Central Government, after consultation with the Drugs Technical Advisory Board, hereby makes the following rules further to amend the Drugs and Cosmetics Rules, 1945, namely:-

1. (1) These rules may be called the Drugs and Cosmetics (Ninth Amendment) Rules, 2019.

(2) They shall come into force on the date of their publication in the Official Gazette.

2. In the Drugs and Cosmetics Rules, 1945, after rule 97 the following rule shall be inserted, namely:-

"97A. Modified application of rules 96 and 97 for certain period.-

Notwithstanding anything contained in these rules, the modified or additional requirements of labelling as may be specified in the notification of the Government of India in the Ministry of Health and Family Welfare number G.S.R. 408(E), dated the 26th April, 2018, shall be on voluntary basis for a period commencing on the date of coming into force on this rule and ending on the 31st day of March, 2019, and thereafter shall be mandatory.".

Tags : Rules Amendment Drugs and Cosmetics

Share :

Top

Ministry of Commerce and Industry

20.03.2019

Commercial

Amendments to Foreign Trade Policy 2015-2020 - Extension of Integrated Goods and Service Tax and Compensation Cess exemption under Advance Authorisation, EPCG and EOU scheme upto 31.03.2020

MANU/DGFT/0041/2019

In exercise of powers conferred by Section 5 of FT(D&R) Act, 1992, read with Paragraph 1.02 of the Foreign Trade Policy, 2015-20, as amended from time to time, the Central Government hereby makes following amendments in Foreign Trade Policy 2015-20.

1. Exemption from Integrated Tax and Compensation Cess under Advance Authorization under Para 4.14 of FTP 2015-20 is extended upto 31.03.2020.

2. Exemption from Integrated Tax and Compensation Cess under EPCG Scheme under Para 5.01(a) of FTP 2015-20 is extended upto 31.03.2020.

3. Exemption from Integrated Tax and Compensation Cess under EOU scheme under Para 6.01(d)(ii) of FTP 2015-20 is extended upto 31.03.2020.

Effect of the Notification: Para 4.14, Para 5.01(a) and Para 6.01(d)(ii) of FTP are amended as above.

Tags : Policy Amendment Exemption

Share :

Top

Press Information Bureau

20.03.2019

Election

Social Media Platforms present "Voluntary Code of Ethics for the 2019 General Election" to Election Commission of India

MANU/PIBU/0463/2019

The Social Media Platforms and Internet and Mobile Association of India (IAMAI), today presented a "Voluntary Code of Ethics for the General Election 2019" to Chief Election Commissioner Shri Sunil Arora and Election Commissioners Shri Ashok Lavasa and Shri Sushil Chandra. The Code of Ethics has been developed as a follow up to the yesterday's meeting with IAMAI and representatives of Social Media Platforms including Facebook, WhatsApp, Twitter, Google, ShareChat and TikTok etc.

Chief Election Commissioner Shri Sunil Arora while appreciating the steps taken, said that formulation of the Code augurs a good beginning but is essentially, a work in making. He said the Participants need to follow in letter and spirit the commitments made in the Code of Ethics. The Platforms have committed to process any violations reported under Section 126 of RP Act, 1951 within three hours as per Sinha Committee recommendations.

The Platforms have also agreed to create a high priority dedicated reporting mechanism for the ECI and appoint dedicated teams during the period of General Elections for taking expeditious action on any reported violations. Participants have also agreed to provide a mechanism for political advertisers to submit pre-certified advertisements issued by Media Certification and Monitoring Committee. The Code of Ethics also promises to facilitate transparency in paid political advertisements. IAMAI has agreed to coordinate with participants various steps mentioned in this code. Participants have also committed to voluntarily undertake voter awareness campaigns.

The 'Code of Ethics" has been developed to ensure free, fair & ethical usage of Social Media Platforms to maintain the integrity of the electoral process for the General Elections 2019. The Code voluntarily agreed upon by the Participants comes into operation with immediate effect.

Tags : Voluntary Code Ethics Formulation

Share :

Top

Press Information Bureau

19.03.2019

Capital Market

IBBI, SEBI sign MoU for better implementation of IBC

MANU/PIBU/0461/2019

The Insolvency and Bankruptcy Board of India (IBBI) signed a Memorandum of Understanding (MoU) today with the Securities and Exchange Board of India (SEBI).

The IBBI and the SEBI seek effective implementation of the Insolvency and Bankruptcy Code, 2016 (Code) and its allied rules and regulations, which have redefined the debt-equity relationship and aims to promote entrepreneurship and debt market. They have agreed under the MoU to assist and co-operate with each other for the effective implementation of the Code, subject to limitations imposed by the applicable laws.

The MoU provides for:

(a) sharing of information between the two parties, subject to the limitations imposed by the applicable laws;

(b) sharing of resources available with each other to the extent feasible and legally permissible;

(c) periodic meetings to discuss matters of mutual interest, including regulatory requirements that impact each party's responsibilities, enforcement cases, research and data analysis, information technology and data sharing, or any other matter that the parties believe would be of interest to each other in fulfilling their respective statutory obligations;

(d) cross-training of staff in order to enhance each party's understanding of the other's mission for effective utilisation of collective resources;

(e) capacity building of insolvency professionals and financial creditors;

(f) joint efforts towards enhancing the level of awareness among financial creditors about the importance and necessity of swift insolvency resolution process of various types of borrowers in distress under the provisions of the Code, etc.

The MoU was signed by Shri Anand Baiwar, Executive Director, SEBI, and Shri Ritesh Kavdia, Executive Director, IBBI, at Mumbai.

Tags : MOU Signing of Implementation IBC

Share :

Top

Press Information Bureau

19.03.2019

Goods and Services Tax

Decisions taken by the GST Council in the 34 the meeting held on 19th March, 2019 regarding GST rate on real estate sector

MANU/PIBU/0462/2019

GST Council in the 34th meeting held on 19th March, 2019 at New Delhi discussed the operational details for implementation of the recommendations made by the council in its 33rd meeting for lower effective GST rate of 1% in case of affordable houses and 5% on construction of houses other than affordable house. The council decided the modalities of the transition as follows.

Option in respect of ongoing projects:

2. The promoters shall be given a one -time option to continue to pay tax at the old rates (effective rate of 8% or 12% with ITC) on ongoing projects (buildings where construction and actual booking have both started before 01.04.2019) which have not been completed by 31.03.2019.

3. The option shall be exercised once within a prescribed time frame and where the option is not exercised within the prescribed time limit, new rates shall apply.

New tax rates:

4. The new tax rates which shall be applicable to new projects or ongoing projects which have exercised the above option to pay tax in the new regime are as follows.

(i) New rate of 1% without input tax credit (ITC) on construction of affordable houses shall be available for,

(a) all houses which meet the definition of affordable houses as decided by GSTC (area 60 sqm in metros / 90 sqm in non- metros and value upto RS. 45 lakhs), and

(b) affordable houses being constructed in ongoing projects under the existing central and state housing schemes presently eligible for concessional rate of 8% GST (after 1/3rd land abatement).

(ii) New rate of 5% without input tax credit shall be applicable on construction of,-

all houses other than affordable houses in ongoing projects whether booked prior to or after 01.04.2019. In case of houses booked prior to 01.04.2019, new rate shall be available on instalments payable on or after 01.04.2019.

all houses other than affordable houses in new projects.

commercial apartments such as shops, offices etc. in a residential real estate project (RREP) in which the carpet area of commercial apartments is not more than 15% of total carpet area of all apartments.

Conditions for the new tax rates:

5. The new tax rates of 1% (on construction of affordable) and 5% (on other than affordable houses) shall be available subject to following conditions,-

Input tax credit shall not be available,

80% of inputs and input services (other than capital goods, TDR/ JDA, FSI, long term lease (premiums)) shall be purchased from registered persons. On shortfall of purchases from 80%, tax shall be paid by the builder @ 18% on RCM basis. However, Tax on cement purchased from unregistered person shall be paid @ 28% under RCM, and on capital goods under RCM at applicable rates.

Transition for ongoing projects opting for the new tax rate:

6.1 Ongoing projects (buildings where construction and booking both had started before 01.04.2019) and have not been completed by 31.03.2019 opting for new tax rates shall transition the ITC as per the prescribed method.

6.2 The transition formula approved by the GST Council, for residential projects (refer to para 4(ii)) extrapolates ITC taken for percentage completion of construction as on 01.04.2019 to arrive at ITC for the entire project. Then based on percentage booking of flats and percentage invoicing, ITC eligibility is determined. Thus, transition would thus be on pro-rata basis based on a simple formula such that credit in proportion to booking of the flat and invoicing done for the booked flat is available subject to a few safeguards.

6.3 For a mixed project transition shall also allow ITC on pro-rata basis in proportion to carpet area of the commercial portion in the ongoing projects (on which tax will be payable @ 12% with ITC even after 1.4.2019) to the total carpet area of the project.

Treatment of TDR/ FSI and Long term lease for projects commencing after 01.04.2019

7. The following treatment shall apply to TDR/ FSI and Long term lease for projects commencing after 01.04.2019.

7.1 Supply of TDR, FSI, long term lease (premium) of land by a landowner to a developer shall be exempted subject to the condition that the constructed flats are sold before issuance of completion certificate and tax is paid on them. Exemption of TDR, FSI, long term lease (premium) shall be withdrawn in case of flats sold after issue of completion certificate, but such withdrawal shall be limited to 1% of value in case of affordable houses and 5% of value in case of other than affordable houses. This will achieve a fair degree of taxation parity between under construction and ready to move property.

7.2 The liability to pay tax on TDR, FSI, long term lease (premium) shall be shifted from land owner to builder under the reverse charge mechanism (RCM).

7.3 The date on which builder shall be liable to pay tax on TDR, FSI, long term lease (premium) of land under RCM in respect of flats sold after completion certificate is being shifted to date of issue of completion certificate.

7.4 The liability of builder to pay tax on construction of houses given to land owner in a JDA is also being shifted to the date of completion. Decisions from para 7.1 to 7.4 are expected to address the problem of cash flow in the sector.

Amendment to ITC rules:

8. ITC rules shall be amended to bring greater clarity on monthly and final determination of ITC and reversal thereof in real estate projects. The change would clearly provide procedure for availing input tax credit in relation to commercial units as such units would continue to be eligible for input tax credit in a mixed project.

9. The decisions of the GST Council have been presented in this note in simple language for easy understanding. The same would be given effect to through Gazette notifications/ circulars which alone shall have force of law.

Tags : GST Council Meeting GST rate Real estate sector

Share :