SEBI in partial modification of the original circular has mandated Filing of Offer Documents under the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018

  • SEBI notifies that the draft offer documents in respect of issues of size up to Rs. 750 crores shall be filed with the concerned regional office of the Board under the jurisdiction of which the registered office of the issuer company falls.
  • Accordingly, the Merchant Bankers are also advised to file the draft offer documents / offer documents with the concerned office of the Board, based on the estimated issue size as provided in the circular.
  • The amendments made vide this circular shall come into effect for all draft offer documents for issues which are filed with SEBI on or after the date of issuance of this circular.

SEBI allows AMCs to provide advisory services to govt-owned foreign entities

  • SEBI allows asset management companies (AMC) of mutual funds to provide management and advisory services to foreign portfolio investors owned by central banks, sovereign wealth funds, international multilateral organizations and other agencies including entities controlled or at least 75 per cent owned by such Government.
  • They can also provide asset management service to regulated entities such as pension funds, insurance or reinsurance entities, banks and mutual funds besides foreign portfolio investors where the regulated entities own over 50 percent of share.
  • SEBI has given one-year exit time to AMCs which are already providing management and advisory services to such foreign portfolio investors are not falling under the above categories. The new norms will come into effect immediately.
  • In September, the regulator had issued norms on classification for FPIs and simplified their registration process as part of ease of doing business in India.

CBIC implements Mandatory GST E-invoices and QR Code in phased manner

  • CBIC has mandated Quick Response (QR) code on e-invoicing, whose aggregate turnover in a financial year exceeds five hundred crore rupees (Rs 500Cr). The Government, on the recommendations of the Council hereby notifies that an invoice issued by a registered person, whose aggregate turnover in a financial year exceeds five hundred crore rupees, to an unregistered person (hereinafter referred to as B2C invoice), shall have Quick Response (QR) code.
  • Further, where such registered person makes a Dynamic Quick Response (QR) code available to the recipient through a digital display, such B2C invoice issued by such registered person containing cross-reference of the payment using a Dynamic Quick Response (QR) code, shall be deemed to be having Quick Response (QR) code. This notification shall come into force from the 1st day of April, 2020.

CBDT extends advance tax payment deadline in respect of third installment of advance tax for FY 2019-20 in the North Eastern States

  • Considering the large-scale disruption of Internet Services in the North Eastern States that of Assam, Tripura, Arunachal Pradesh, Meghalaya, Nagaland, Manipur and Mizoram, the Central Board of Direct Taxes has decided to extend the last date for payment of December instalment of Advance tax for FY 2019-20, from 15th December, 2019 to 31st December, 2019 in case of all the assessees, Corporate and other than Corporate, in the above mentioned States.

RBI has decided to waive off levied Charges from the National Electronic Funds Transfer (NEFT) System for savings account

  • In order to give further impetus to digital retail payments, Reserve Bank of India has decided that member banks shall not levy any charges from their savings bank account holders for funds transfers done through NEFT system which are initiated online (viz. internet banking and/or mobile apps of the banks).
  • The RBI has now made NEFT transactions a round-the-clock process which works even during bank holidays. Therefore, one can transfer money 24x7 and across all 365 days of the year. Earlier, NEFT transfer timings were fixed from 8 am to 6:30 pm on bank working days.
  • The new rules will come into effect from 1 January 2020.

RBI withdraws the exemption granted to Non-Banking Financial Companies which are Housing Finance Institutions

RBI vide notification Notification No. Dor.047/Cgm (Mm)-2019[Advt-Iii/4/Exty./298/19] Dated 19-11-2019 withdraws the notification no. DFC (COC) No. 112 ED (SG)/1997 dated June 18, 1997 granting exemption to Non-Banking Financial Companies which are Housing Finance Institutions as defined in clause (d) of section 2 of the National Housing Bank Act, 1987 (Act 53 of 1987) from the provisions of Chapter IIIB of the Act, except its application to section 45-IA of the Act.

December 20, 2019

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