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MCA amends Schedule III of Companies Act on disclosure norms in financial statements (MCA Press Release dated 10 Aug 2021)

Posted on by Business So Simple in Company Law

In order to bring in greater transparency in reporting of financial statements, the Ministry of Corporate Affairs (MCA) vide notification dated 24.03.2021 has amended the Schedule III to the Companies Act, 2013 effective from 01st April, 2021 to mandate various disclosures by companies in their financial statements. This was stated by Union Minister of State for Corporate Affairs Shri Rao Inderjit Singh in a written reply to a question in Rajya Sabha today.

The Minister stated that the new disclosures with respect to the virtual currency/crypto currency transactions and CSR spending undertaken by companies during a financial year are:-

  1. Details of Crypto Currency or Virtual Currency

Where the Company has traded or invested in Crypto currency or Virtual Currency during the financial year, the following shall be disclosed:-

  1. profit or loss on transactions involving Crypto currency or Virtual Currency
  2. amount of currency held as at the reporting date,
  3. deposits or advances from any person for the purpose of trading or investing in Crypto Currency/virtual currency.
  4. Details of Corporate Social Responsibility (CSR)

Where the company covered under section 135 of the companies act, the following shall be disclosed with regard to CSR activities:-

  1. amount required to be spent by the company during the year,
  2. amount of expenditure incurred,
  3. shortfall at the end of the year,
  4. total of previous years shortfall,
  5. reason for shortfall,
  6. nature of CSR activities,
  7. details of related party transactions, e., contribution to a trust controlled by the company in relation to CSR expenditure as per relevant Accounting Standard,
  8. where a provision is made with respect to a liability incurred by entering into a contractual obligation, the movements in the provision during the year should be shown separately.

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Every trader is a contributor in the development of the country

Posted on by Business So Simple in Entrepreneurship

Shri Piyush Goyal addresses traders’ fraternity on National traders’ day Says, every trader is a contributor in the development of the country

Union Minister of Commerce & Industry, Consumer Affairs, Food & Public Distribution, and Textiles Shri Piyush Goyalhas lauded the contribution of traders in Indian economy. He said, traders are the backbone of the country’s economy and financial powers. Virtually addressingthe traders’ fraternity on the occasion of National traders’ day today, he said traders are the true ambassadors of Brand India. He asked the traders to push for the PM’s clarion call for “Vocal for Local” and become ambassadors of brand India.

Shri Goyal said that India is becoming a global platform for goods and services and asked traders to become Atmanirbhar on all fronts of commerce and trade. He also stressed that trade is not an exchange of goods but is an exchange of culture, goodwill and trust also. The key to it is Quality and productivity. The minister also stressed on ensuring sale of quality products to achieve the above goals.

The Minister assured full support to the trader community from Government and asked traders to bring violations in law to notice of the Government. He said government is committed to protect traders and small entrepreneurs. He said Government is working towards simplifying legal metrology and creating a single window online system to stop harassment of traders. Shri Piyush Goyal urgedtraders to boost Swarojgar, Swadeshi & Sugam Vyapar. 

Shri Goyal lauded the role of traders during Covid Pandemic. He said during the last 15-16 months of the Covid-19 pandemic, traders specially, in the remote area served people’s need by ensuring the uninterrupted supply of essential goods in every nook and corner of the country. He urged the traders to adhere to all Covid 19 protocols in their day today life  and asked them to get both doses of COVID Vaccination.

Ministryof Commerce& Industry Press release dated 09 Aug 2021

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India has a sound legal framework backed by strong institutional mechanism to deal with corruption: Law Minister

Posted on by Business So Simple in Legal awareness

Zero Tolerance to Corruption and Black Money, says Shri Kiren Rijiju at the 8th Justice Ministers Meet of the Shanghai Cooperation Organization


India has a sound legal framework backed by strong institutional mechanism to deal with corruption: Law Minister

Minister for Law and Justice, Shri Kiren Rijiju today said that the approach of the Indian Government under Prime Minister Shri Narendra Modi is of Zero Tolerance to Corruption and Black Money and the country has a sound legal framework backed by strong institutional mechanism to deal with corruption.

At the 8th Shanghai Cooperation Organisation- Justice Minister’s meet held today, Union Law Minister @KirenRijiju said that the approach of the Indian Government under PM @narendramodi is of Zero Tolerance to Corruption and Black Money.

📽️: @DDNewslive pic.twitter.com/X4Ge9XkWqA— PIB India (@PIB_India) August 6, 2021

Addressing the 8th Justice Ministers Meet of the Shanghai Cooperation Organization (SCO), Shri Rijiju highlighted the initiatives taken by the Indian Government for providing affordable and easy access to justice for all.

The Minister apprised the gathering the slew of legislative and executive measures taken by India to be largely UNCAC (UN Convention against Corruption) compliant and underscored the high priority, the Government has given to resolving disputes through alternate dispute resolution; framing business facilitating laws and rules, including Commercial Courts Act and Arbitration Laws with a view to make India a preferred destination for investment and business.

Shri Rijiju mentioned the role of actions taken by India under Disaster Management Act for effective management and containing the spread of COVID-19 and to lay down substantive guideline to ensure appropriate COVID protocol and medical facilities.

The Law Minister also highlighted various facets of provisioning of free legal aid to marginalized sections of the society. In this regard, he also informed launching of E-Lok Adalat, an effective tool to settle disputes, combining technology and Alternative Dispute Resolution (ADR) mechanism which offer a faster, transparent and accessible option to the citizens of the country.

As part of activities of Justice Ministers’ Forum, Shri Rijiju urged the SCO Member States to promote exchange of ideas, best practices and experiences in identified areas through this prestigious podium. He also stressed on widening the horizon of activities being undertaken in the SCO Forum.

Earlier, on 4th and 5th of August, 2021 the Experts Working Group of SCO Member States discussed the importance of providing free legal aid to the citizens as also cooperation in all spheres including legal initiatives, given the spread of the coronavirus pandemic. Shri Anoop Kumar Mendiratta, Secretary, Department of Legal Affairs, Ministry of Law & Justice, was part of the consultations from the Indian side.

The Ministers of (Law and) Justice and senior officials / experts from the Ministries of Law & Justice of India, Kazakhstan, China, Kyrgyz Republic, Pakistan, Russian Federation, Tajikistan and Uzbekistan participated in the three days’ deliberations which concluded today. The next meeting shall be hosted by Islamic Republic of Pakistan. A Joint Statement following the Results of the Eighth Session of the Ministers of Justice of the SCO Member States was also adopted.

Ministry of Law and Justice Press release dated 06 Aug 2021

It is imperative to bridge the gap of accessibility to justice between the highly privileged and the most vulnerable: Chief Justice of India

Posted on by Business So Simple in Legal awareness

*Ministry of Law and Justice*

It is imperative to bridge the gap of accessibility to justice between the highly privileged and the most vulnerable: Chief Justice of India

Posted Date:- Aug 08, 2021

“Accessing justice in India is not merely an aspirational goal.We need to work hand in hand with various wings of the government to make it a practical reality.”, said the Chief Justice of India and Patron-in Chief, National Legal Services Authority(NALSA) today in New Delhi.

Releasing the Vision & Mission Statement and the Legal Services mobile Application of NALSA at a hybrid event which was attended by functionaries across the country, the CJI said that, if we want to remain as a society governed by the Rule of Law, it is imperative for us to bridge the gap of accessibility to justice between the highly privileged and the most vulnerable.

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Applauding the role of NALSA and its initiative wherein all post offices who have been associated with NALSA for disseminating awareness and providing legal aid, Shri N.V. Ramana said the services of the existing postal network can be effectively utilized to spread awareness regarding the availability of free legal aid services and to increase the outreach of legal services to the eligible category of persons, especially to the persons residing in rural and far-flung areas of the country.

“The service rendered by the post office and post-man will bridge the gap between people who are deprived of access to justice due to geographical constraints and  will  reduce the divide between the rural and urban population”, said the CJI

Speaking on the occasion Executive Chairperson of NALSA and Judge, Supreme Court of India, Shri U. U. Lalit elaborated upon the duty of Legal Services Institutions and emphasised that if we are to reach the remotest areas of the country, it must be through post offices.

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The event also witnessed launch of display Posters by both the dignitaries’ which will be installed at all post offices across the country for disseminating information regarding the availability of free legal aid and assistance.

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The Vision & Mission statement launched today encapsulates the vision of NALSA to promote an inclusive legal system and to ensure fair and meaningful justice to the marginalized and disadvantaged sector. It further promotes the mission of NALSA to legally empower the marginalized and excluded groups of the society by providing effective legal representation, legal literacy & awareness to bridge the gap between the legally available benefits and the entitled beneficiaries. 

The Legal Services Mobile Application for Android Phones, incorporates features including seeking legal assistance, legal advice, and other grievances. Application tracking facilities, and seeking clarifications are some additional features available to both Legal Aid beneficiaries and Legal Services Authorities. Beneficiaries can also apply for pre-institution mediation through the app. Victims can also file an application for Victim Compensation with the App. The App will soon be launched on iOS and in regional languages.

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Auction for Sale (Re-Issue) of (i) ‘5.63% GS 2026’, (ii) ‘GoI Floating Rate Bond 2033’, (iii) ‘6.64% GS 2035’, and (iv) ‘6.67% GS 2050’

Posted on by Business So Simple in Financial Prudence

The Government of India (GoI) has announced the Sale (Re-issue) of (i) ‘5.63% Government Security, 2026’ for a notified amount of Rs 11,000 crore (nominal) through price based auction using uniform price method (ii) ‘GoI Floating Rate Bonds, 2033’ for a notified amount of Rs 3,000 crore (nominal) through price based auction using uniform price  method (iii) ‘6.64% Government Security, 2035’ for a notified amount of Rs 10,000 crore (nominal) through price based auction using uniform price method, and (iv) ‘6.67% Government Security, 2050’ for a notified amount of Rs 7,000 crore (nominal) through price based auction using multiple price method. GoI will have the option to retain additional subscription up to Rs 8,000 crore against the above Security/Securities. The auctions will be conducted by the Reserve Bank of India, Mumbai Office, Fort, Mumbai on Friday i.e. August 13, 2021.

Up to 5% of the notified amount of the sale of the Securities will be allotted to eligible individuals and Institutions as per the Scheme for Non-Competitive Bidding Facility in the Auction of Government Securities.

Both competitive and non-competitive bids for the auction should be submitted in electronic format on the Reserve Bank of India Core Banking Solution (E-Kuber) system on August 13, 2021. The non-competitive bids should be submitted between 10.30 a.m. and 11.00 a.m. and the competitive bids should be submitted between 10.30 a.m. and 11.30 a.m. 

The result of the auctions will be announced on August 13, 2021 (Friday) and payment by successful bidders will be on August 17, 2021 (Tuesday).

The Securities will be eligible for “When Issued” trading in accordance with the guidelines on ‘When Issued transactions in Central Government Securities’ issued by the Reserve Bank of India vide circular No. RBI/2018-19/25 dated July 24, 2018 as amended from time to time.

Ministry of Finance Press Release dated 09th Aug 2021

Rs 99,756 crore disputed tax amount settled under Vivad Se Vishwas scheme

Posted on by Business So Simple in Income Tax

The scheme ‘Vivad Se Vishwas’ is a voluntary scheme for resolving pending direct tax disputes amicably with the taxpayers and no targets were fixed by the Government under the  Scheme. This was stated by Union Minister of State for Finance Shri Pankaj Chaudhary in a written reply to a question in Lok Sabha today.

Giving more details, the Minister tabled data of cases settled and amount under the said scheme is as per table given below: –

Current Status declarations filed under Vivad Se Vishwas Scheme

Count of Form-1 Filed

(cases settled) (A)

Number of Disputes Addressed (B)

Disputed Tax Amount Settled (as per Declaration filed) (Rs. Crores) (C)

Payments against Disputed Tax (Rs.

Crores) (D)

1,32,353

1,46,701

99,756

53,684

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Highlights of Taxation Laws (Amendment) Bill 2021 (To end retro tax on Indirect transfer)

Posted on by Business So Simple in Income Tax, International Taxation

Highlights of Taxation Laws (Amendment) Bill 2021 (To end retro tax on Indirect transfer)

The objective of Taxation Laws (Amendment) Bill 2021 is to make the indirect transfer provision apply prospectively i.e from May 2012. Consequently, all existing and future retrospective tax demands are sought to be nullified on this matter. Taxpayers who were impacted will need to withdraw proceedings in court or arbitration forums. Any amounts collected will be paid back in full by the tax authorities (without interest).

This is a bold move that addresses the concerns of many foreign investors. It also puts to an end many of the past arbitration cases pending which have created great embarrassment for India in international circles.

Refer YouTube Link

‘PM-DAKSH’ Portal and ‘PM-DAKSH’ Mobile App

Posted on by Business So Simple in Entrepreneurship

Dr. Virendra Kumar launches ‘PM-DAKSH’ Portal and ‘PM-DAKSH’ Mobile App


Through ‘PM-DAKSH’ Portal, all information related to skill development are available at one place for Scheduled Castes, Backward Classes and Safai Karamcharis

Skill development training has been imparted to 2,73,152 persons of target groups in the last five years

During the year 2021-22, a target has been set to provide skill development training to approximately 50,000 persons of the target groups

Union Minister for Social Justice and Empowerment Dr. Virendra Kumar launched ‘PM-DAKSH’ Portal and ‘PM-DAKSH’ Mobile App, developed by the Ministry of Social Justice and Empowerment, in collaboration with NeGD, to make the skill development schemes accessible to the target groups. Through these portal and app the youth of the target groups will now be able to avail the benefits of skill development training programmes more easily.

The Pradhan Mantri Dakshta Aur Kushalta Sampann Hitgrahi (PM-DAKSH) Yojana is being implemented by the Ministry of Social Justice and Empowerment from the year 2020-21.  Under this Yojana, eligible target group are being provided skill development training programmes on (i) Up-skilling/Re-skilling (ii) Short Term Training Programme (iii) Long Term Training Programme and (iv) Entrepreneurship Development Program (EDP). These training programs are being implemented through Government Training Institutes, Sector Skill Councils constituted by the Ministry of Skill Development and Entrepreneurship and other credible institutions.

Now, any person can get all the information related to skill development training at one place by visiting the ‘PM-DAKSH’ Portal. Also, with just one click, one can get information about skill development trainings happening near him/her and he/she can easily register himself/herself for skill training. PM- DAKSH Portal is available athttp://pmdaksh.dosje.gov.inwhile ‘PM-DAKSH’ Mobile App is available in Google play store.

“Today, I am feeling proud to launch this portaland Mobile App for the public use. Keeping in view the usefulness and practicality of any suggestions received related to the implementation of this portal, this Ministry will make necessary improvements so that this portal can become more useful and beneficial for the target groups enabling them to be skilled and become self-reliant by availing opportunities related to self-employment or wage-employment,” Union Minister for Social Justice and Empowerment Dr. Virendra Kumar said.

Some of the features of this portal are as follows:

  • Availability of all information related to skill development at one place for Scheduled Castes, Backward Classes and Safai Karamcharis.
  • Facility to register for the training institute and program of their interest.
  • Facility to upload desired documents related to personal information.
  • Facility to register the attendance of the trainees through face and eye scanning during the training period.
  • Monitoring facility through photo and video clip during training etc.

Under Ministry of Social Justice and Empowerment, three Apex Corporations – National Scheduled Castes Finance and Development Corporation, National Backward Classes Finance and Development Corporation and National Safai Karamcharis Finance and Development Corporation- are functioning. These Corporations are providing loans at concessional interest rates to the target groups of backward classes, scheduled castes and Safai Karamcharis for self-employment. Besides, they are also providing free training for skill development of the target groups. 

These Corporations are constantly striving to make the target groups financially and socially self-reliant, both through loans and skill development training. As per the information available, skill development training has been imparted to 2,73,152 persons of target groups in the last five years by these three Apex Corporations, enabling them to support themselves and their families through self-employment and wage-employment. During the year 2021-22, a target has been set to provide skill development training to approximately 50,000 persons of the target groups through the above three Apex Corporations.

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Ministry of Social Justice & Empowerment, Press Release dated 07th Aug 2021

MG/IA

Legal Updates 7th August 2021

Posted on by Business So Simple in Legal awareness

Legal Updates 7th August 2021

  1. Not Much Scope For Considering ‘Territorial Jurisdiction’ Issue In A Transfer Petition U/s 25 CPC: Supreme Court
    (Source : Live Law) 2.Article 25 Does Not Provide Any Immunity From Taxation On The Basis Of Religion, Salaries Of Nuns and Priests Working As Teachers Liable To TDS: Kerala High Court
    (Source : Live Law)
  2. Secular Law For Marriage And Divorce is The Need Of The Hour: Kerala High Court
    (Source : Live Law)
  3. Education Not A “General Occupation” Under Article 19(1)(g); Profiteering Not Allowed: Petitioners Tell Delhi HC In Private School Fees Case
    (Source : Live Law)
  4. Punjab and Haryana High Court Issues Notice on Plea Challenging Section 15 of the Hindu Succession Act
    (Source : Live Law)
  5. CBI, IB do not help judiciary at all; Judges are threatened in cases of high profile people; CBI has done nothing: Supreme Court
    (Source : Bar and Bench)
  6. Father does not own daughter; every child has right to use mother’s surname: Delhi High Court
    (Source : Bar and Bench)
  7. ” Important that access to justice not denied:” Supreme Court reduces pre-admission costs for hearing PIL from ₹ 3.9 crore to ₹ 10 lakh
    (Source : Bar and Bench)
  8. It is upto married couple to decide which religion to follow: Gujarat High Court on religious conversion law
    (Source : Bar and Bench)
  9. POCSO Offences- “Victim’s Parent/Guardian Should Be Notified Of Bail Plea & Their Right To Legal Assistance”: Allahabad High Court
    (Source : Live Law)
  10. Kerala High Court Stays Inclusion Of Christian Nadars In SEBC List; Applies Supreme Court’s Interpretation Of 102nd Constitution Amendment
    (Source : Live Law)

Regards,
Abha

MCA exempts foreign & companies incorporated outside India from provisions of sections 387 to 392

Posted on by Business So Simple in Company Law

MCA updates -07 Aug 2021

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MCA exempts foreign & companies incorporated outside India from provisions of sections 387 to 392 (offering for subscription in the securities, requirements related to the prospectus and all matters incidental thereto)

MCA notifies Companies (Registration of Foreign Companies) Amendment Rules, 2021 vide Notification No. G.S.R. 538(E) dated 5th August, 2021 (The purpose of this amendment is to exclude from the definition of foreign company u/s 2(42) of the Act, the electronic presence of a foreign company by the means of- electronic based offering of securities, subscription thereof or listing of securities in the IFSC).

MCA notifies Companies (Specification of definitions details) Third Amendment Rules, 2021 vide Notification No. G.S.R. 539(E) dated 5th August, 2021 (The purpose of this amendment is to exclude from the definition of foreign company u/s 2(42) of the Act, the electronic presence of a foreign company by the means of- electronic based offering of securities, subscription thereof or listing of securities in the IFSC.)