Daily Updates and News

CBDT

CBDT notified that for the purpose of computation of arm’s length price, where there is variation between the arm’s length price determined under section 92C of Income Tax Act, 1961 and the price at which the international transaction or specified domestic transaction has actually been undertaken does not exceed 1% of the latter in respect of wholesale trading and 3% of the latter in all other cases, the price at which the international transaction or specified domestic transaction has actually been undertaken shall be deemed to be the arm’s length price for Assessment Year 2016-2017. The notification further provides the definition of wholesale trading.

RBI

RBI has issued Master Circular on Policy Guidelines on Issuance and Operation of Pre-paid Payment Instruments in India. This Master Circular has been prepared to facilitate the Prepaid Payment Instrument Issuers, System Providers, System Participants and all other Prospective Prepaid Payment Instrument Issuers to have all the extant instructions on the subject at one place. The Master Circular has been updated by incorporating all the instructions/guidelines issued on Issuance and Operation of Pre-paid Payment Instruments in India up to July 09, 2015. The guidelines lay down the eligibility criteria and the basic conditions for payment system operators involved in the issuance of Pre-paid Payment Instruments in the country. It further provides that all persons proposing to operate payment systems and involved in the issuance of Pre-paid Payment Instruments shall seek authorization from the Department of Payment and Settlement Systems, Reserve Bank of India, under the Payment and Settlement Systems Act, 2007.
SEBI:

The Securities and Exchange Board of India has issued Consultation paper for amendments to the SEBI (Real Estate Investment Trusts) Regulations, 2014. SEBI REIT Regulations were notified on 26th September, 2014, thereby providing a regulatory framework for registration and regulation of REITs in India. The regulations, inter alia, prescribe conditions for making a public offer, initial and continuous disclosures, investment conditions, unit-holder approval requirements, related party disclosures, etc.

The Department has invited Suggestions/ Comments on the proposals contained in the consultation paper with justification. Further, Comments may also be forwarded by email to reit@sebi.gov.in or may be sent by post to the address latest by August 07, 2016.

CHILD LABOUR AMENDMENT BILL:

The Child Labour (Prohibition and Regulation) Amendment Bill, 2012, was passed in the Rajya Sabha on 19^th July, 2016. Amending the Child Labour Act, 1986, the Bill seeks to prohibit the employment of children below 14 years in all occupations and increase the penalty for violations from 6 months to 2 years. The Bill now be discussed in the Lok Sabha.

Thanks & Regards,

Meetesh Shiroya