Due Date for Filing of Income Tax Return extended to August 5, 2013

The Government of India, in consultation with CBEC, has extended the deadline for filing of income tax returns to August 5, 2013 from July 31, 2013 set earlier.

"As a measure of taxpayers convenience, it has been decided to extend the due date of filing of returns from 31st July, 2013, to 5th August, 2013," the finance ministry said in a statement.

"Taxpayers are requested to avail of this extension of time and file their returns after paying due taxes," it said.

RBI announces Scheme for Inflation Indexed Bonds – 2013-14

RBI announces Scheme for Inflation Indexed Bonds – 2013-14

- For Rs. 12,000-15,000 crore

- To be issued in tranches

- First tranche on June 4, 2013 for Rs. 1000-2000 crore

Pursuant to the announcement made in the Union Budget for 2013-14 to introduce instruments that will protect savings of poor and middle classes from inflation and incentivise household sector to save in financial instruments rather than buy gold, RBI, in consultation with Government of India, has decided to launch Inflation Indexed Bonds (IIBs).

RBI Releases Report of the Technical Committee on Services/Facilities to the Exporters

The Reserve Bank of India today released the report of the Technical Committee on Services/Facilities for the Exporters (Chairman - Shri G. Padmanabhan, Executive Director, RBI). Among others the Committee has made recommendations relating to i) review of Gold Card Scheme for extension of export credit to exporters, ii) appropriate inclusion of export finance under the Priority Sector Advances for scheduled commercial banks, iii) raising of foreign currency loans on pool basis for extension of export credit to exporters, iv) allowing factoring on non recourse basis, v) liberalization of merchanting trade, vi) financing to units in Domestic Tariff Area (DTA) / Special Economic Zone (SEZ), vii) more incentives in the area of taxation benefits and subvention, viii) denomination of export credit limit in foreign currency, ix) simplification of hedging procedure, xi) securitization of receivable/ introduction of new insurance products by Export Credit Gurantee Corporation (ECGC)/liberalization of claim procedure by ECGC, etc. Reserve Bank along with the other agencies would examine the recommendations for implementation.

Clarification on amendment to Section 206-C of Income-Tax Act dealing with TCS on sale of bullion or jewellery in cash

Currently, sale in cash of bullion (excluding coin or any other article weighing 10 grams or less) in excess of Rs. 2 lakh or jewellery in excess of Rs. 5 lakh is subject to Tax Collection at Source (TCS) @ 1%. As coins were neither included in bullion nor in jewellery, therefore, coins, even when amounting to more than Rs. 2 lakh in value, were being sold in cash without TCS.

All Forms (Other than ITR) are available in the e-Filing portal of Income Tax for filing.

Forms (Other than ITR) are available in the e-Filing portal for filing. Click here to know more on the Forms.

Survey on International Trade in Banking Services: 2011-12

The Reserve Bank of India today released, on its website, the data related to the results of Survey on International Trade in Banking Services: 2011-12.

The data compiled are based on an annual survey which is intended to provide information on International trade in banking services (ITBS) for India in respect of the branches/subsidiaries of Indian banks operating abroad and branches/subsidiaries of foreign banks operating in India. Consistent and comparable data are captured on financial auxiliaries’ services rendered by the banks based on explicit/ implicit fee /commission charged to customers (please see Annex for details).

Highlights:

Revision of Interest Rates for Small Savings Schemes with Effect from 1st April, 2013

 PRESS INFORMATION BUREAU

GOVERNMENT OF INDIA

***

REVISION OF INTEREST RATES FOR SMALL SAVINGS SCHEMES WITH EFFECT

FROM 1^st APRIL,2013

New Delhi, 25^th March, 2013 4 Chaitra, 1935 (SAKA)

Based on the decisions taken by the Government on the recommendations of the Shyamala Gopinath Committee for Comprehensive Review of National Small Savings Fund (NSSF), the interest rates for small saving schemes are to be notified every financial year, before 1^st April of that year. Accordingly, the rate of interest on various small savings schemes for the financial year 2013-14 effective from 01.04.2013, on the basis of the interest compounding/ payment built-in in the schemes, shall be as under :

Branches of Agency Banks and RBI offices to remain open on March 29, 30 and 31, 2013 to facilitate Tax Payment

With a view to providing greater convenience to the tax payers, it has been decided that all designated branches of agency banks and RBI offices conducting Government business will keep their counters open on March 29, 30 and 31, 2013 to accept Government taxes. All tax payers are urged to remit taxes well before the last date to avoid last minute rush. Facility for payment of taxes on-line and through select ATMs is also available.

Alpana Killawala

Chief General Manager

Press Release : 2012-2013/1606

Inauguration of Centralized Processing Cell (TDS) by Honorable Finance Minister Shri P. Chidambaram.

Honorable Union Finance Minister Shri P. Chidambaram dedicated the Centralized Processing Cell (TDS) at Aayakar Bhawan, Vaishali on 23rd February, 2013. The function was attended by Secretary (Revenue) Shri Sumit Bose, Secretary (Economic Affairs) Shri Arvind Mayaram, Smt. Poonam Kishore Saxena, Chairperson, Central Board of Direct Taxes, Members, CBDT & Member CBEC & the senior officers of the Ministry of Finance, Govt. of India. 

The Finance Minister after inauguration said that India was moving towards technology driven tax administration. In the CPC (TDS) the most advanced technologies have been put in place. He said that the CPC (TDS) would be a ‘big boon’ for the taxpayers as well as the Government.

Guidelines on Fair Practices Code for NBFCs – Grievance Redressal Mechanism - Nodal Officer

RBI/2012-13/416
DNBS.CC.PD.No.320/03.10.01/2012-13

February 18, 2013

To
All NBFCs

Dear Sir,

Guidelines on Fair Practices Code for NBFCs – Grievance Redressal Mechanism - Nodal Officer

The Reserve Bank vide its circular dated March 26, 2012, issued revised guidelines on Fair Practices Code (FPC) for all NBFCs to be adopted by them while doing lending business. The guidelines were reviewed in view of the creation of a new category of NBFCs viz; NBFC-MFIs and also rapid growth in NBFCs’ lending against gold jewellery.

Shifting of Foreign Exchange Department, Mumbai Regional Office to Mumbai Fort Office of Reserve Bank of India

The Foreign Exchange Department, Mumbai Regional Office housed at C-7, 1st, 5th & 6th Floor, Bandra-Kurla Complex, Bandra (East), Mumbai-400 051 has since shifted to 1st Floor, Main Building, Reserve Bank of India, Foreign Exchange Department, Mumbai Regional Office, Shahid Bhagat Singh Road, Mumbai-400 001, as at the close of business of February 11, 2013. It is, therefore, requested that in future all correspondences meant for The General Manager, Foreign Exchange Department, Mumbai Regional Office, Reserve Bank of India may now be addressed to:-

Internship Programme of Department of Expenditure - Finance Ministry

The objectives and guidelines/salient features of the Internship Programme of the Department of Expenditure for Undergraduates of five year integrated course / Graduates pursing Post-Graduation or pursuing Research are given below:

Objective:-

• To familiarize willing and eligible Undergraduates pursuing five year integrated courses and Graduates pursuing Post-Graduation/Post-Graduates pursuing Research with the overall process of formulation of economic policies of the Government.
• The internship is neither a job nor any such assurance for a job in the Department of Expenditure.

To read more Click Here.

RBI sets up Technical Committee on Services/Facilities for the Exporters

Given the current global and Indian scenario and the importance of export sector in the overall context, the Reserve Bank of India has constituted a technical committee to examine issues relating to difficulties being faced by exporters with regard to availability of credit, transaction costs, insurance and factoring and other procedural hassles in their dealings with banks and financial institutions. The decision to set up such a committee was announced by the Governor, Dr. D.Subbarao in his meeting with bankers post Third Quarter Review of the Monetary Policy 2012-13 on January 29, 2013.

RBI Cancels the Licence of Abhinav Sahakari Bank Ltd., Rahuri Dist. Ahmednagar, Maharashtra for carrying on banking business

It is hereby notified for the information of the public that the Reserve Bank of India vide order dated February 1, 2013 has cancelled the licence of Abhinav Sahakari Bank Ltd., Rahuri, Dist. Ahmednagar, Maharashtra to carry on banking business under Section 22 of the Banking Regulation Act, 1949 (As Applicable to Co-operative Societies). As such, the bank is precluded from transacting the business of 'banking' as defined in Section 5(b) of the Banking Regulation Act, 1949 (As applicable to Co-operative Societies), including acceptance/ repayment of deposits, forthwith.

Ajit Prasad
Assistant General Manager

Press Release : 2012-2013/1369

Signing of DTAA between Indian and Sweden

PROTOCOL AMENDING THE CONVENTION AND THE PROTOCOL BETWEEN THE REPUBLIC OF INDIA AND THE KINGDOM OF SWEDEN SIGNED FOR THE AVOIDANCE OF DOUBLE TAXATION AND FOR PREVENTION OF FISCAL EVASION WITH RESPECT TO TAXES ON INCOME AND ON CAPITAL

New Delhi: Magha 19, 1934

February 8, 2013

The Convention and Protocol between the Government of the Republic of India and the Government of the Kingdom of Sweden for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income and on capital (DTAC) was first signed here on 24th June 1997. In April 2011, both India and Sweden concluded a Protocol to amend the Article 27 of the DTAC concerning Exchange of Information to bring it in line with the international standards and to add an Article in the Protocol to the DTAC to include tax examination abroad.

RBI releases Final Report of the Working Group on Issues Related to Gold Imports and Gold Loan NBFCs in India

The Reserve Bank of India has today placed on its website the final Report of the Working Group to Study the Issues Related to Gold Imports and Gold Loan NBFCs (non-banking finance companies) in India.

Key Recommendations of the Working Group:

a. Macro Issues

There is a need to moderate the demand for gold imports considering its impact on the current account deficit. A combination of demand reduction measures, supply management measures and measures to increase monetisation of idle stocks of gold need to be put in place.

Shri Rajiv Takru nominated on RBI Central Board

The Central Government has nominated Shri Rajiv Takru, Secretary, Department of Financial Services, Ministry of Finance, New Delhi as a director on the Central Board of Directors of the Reserve Bank of India vice Shri D. K. Mittal. Shri Takru's nomination is with effect from February 4, 2013 and until further orders.

Alpana Killawala
Chief General Manager

Press Release : 2012-2013/1308

CBEC detects Rs. 9,800 Crore Service Tax Evasion

The Central Board of Excise & Customs ( CBEC) has detected service tax evasion of Rs. 9,800 crore in the April- December period this year. It has warned evaders to pay the tax or face action. “CBEC would appeal to all service providers to comply with the law and pay service tax that is due. Failure to pay service tax will attract appropriate action under law including recovery of tax, interest and penalty. Prosecution and attachment of property are also envisaged in appropriate cases,” CBEC member (service tax) Lipika Majumdar Roy Choudhury said.

CBDT extends time limit for filing of Form ITR-V with CPC Bangalore for AY 2010-11, 2011-12 & 2012-13

In exercise of its powers under clause (ii) of Para 14 read with clause (7) of Para 4 of the “Centralized Processing of Returns Scheme, 2011”, issued vide C B D T Notification No. SO 16(E) dated 4.1.2012, the Director General of Income Tax (System) hereby extends the time limit for filing ITR-V forms relating to Income Tax Returns filed electronically (without digital signature Certificate) for A.Y. 2010-11 [filed during F.Y.2011-12] and for ITRs of A.Y. 2011-12 [filed on or after 1.4.2011] till 28^th February, 2013. In respect of returns filed for A.Y. 2012-13 for which ITR-V forms are yet to be received at CPC and time of 120 days has also elapsed, time limit for filing of ITR-V is extended upto 31^st March, 2013 or 120 days from the date of uploading of the electronic return data, whichever is later.

Existence of efficient Financial Markets is paramount for achieving Economic Growth - FM

The Union Finance Minister Shri P .Chidambaram said that existence of efficient financial markets i.e. both banks and capital markets, is paramount for achieving economic growth. He said that without vibrant and viable financial market architecture, there cannot be any sustainable economic growth. The Finance Minister said that efficient intermediation by financial markets lead to higher economic growth by increasing savings and their optimal allocation for productive uses. Shri Chidambaram said that banks and other intermediaries including Non-Banking Financial Companies (NFBCs), Insurance and Pension Funds and Mutual Funds etc. are mechanisms to channel savings to investment. They have the capacity to promote economic growth as they allocate savings to those investments which have potential to yield higher returns, the Minister added. The Finance Minister Shri P.Chidambaram was making his opening remarks during his fourth prebudget consultation meeting with representatives of banking and financial institutions here today. The Finance Minister further said that major steps have been taken to reform India’s regulatory framework to adopt best international practices.  Reforms in equity markets lead the market development process. The Finance Minister said that results of the reforms taken by the Government are encouraging and the country is now one of the most vibrant and transparent markets in the world.