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Corporate & Legal Alert – February 2023

Corporate & Legal Alert – February 2023

In this edition we have tried to bring you notice the latest amendment that followed in the month of February, 2023   issued by MCA, RBI, SEBI others.

MCA

MCA drops RoC approval for most corporate actions

The Ministry of Corporate Affairs has simplified the process for corporate reporting, eliminating the need for approval by Registrars of Companies (RoCs)in most cases and allowing companies to fulfil their reporting obligations with an online acknowledgement.

To read more:

MCA drops RoC approval for most corporate actions | Mint (livemint.com)

Circular by RBI

RBI framework for invoicing and payments for international trade in Indian Rupee

The Reserve Bank of India (RBI) has allowed invoicing and payments for international trade in Indian Rupee vide A.P (DIR Series) Circular No. 10 RBI/2022-2023/90 dated 11.07.2022 on  “International Trade Settlement in Indian Rupees (INR)”.

The Circular lays down that all exports and imports under the arrangement may be denominated and invoiced in Rupee (INR) and the settlement of trade transactions under the arrangement shall take place in INR.

To read more :

https://www.pib.gov.in/ErrorPage.html?aspxerrorpath=/PressReleasePage.aspx

Circular by SEBI

Manner of achieving minimum public shareholding

SEBI, vide circular No. SEBI/HO/CFD/CMD/CIR/P/43/2018 dated February 22, 2018 on the captioned subject, had permitted different methods that may be used by listed entities to achieve compliance with the minimum public shareholding (MPS) requirements mandated under Rule 19(2)(b) and 19A of the Securities Contracts (Regulation) Rules, 1957 (“SCRR”). To facilitate listed entities achieve MPS compliance, few of the existing methods have been reviewed and rationalized and two additional methods have been introduced. The Stock Exchange(s) shall monitor the methods adopted by listed entities to increase their public holding and comply with MPS requirements in terms of this circular. Non-compliance, if any, observed by the Stock Exchange(s) with respect to the method(s) and / or conditions prescribed herein, shall be reported to SEBI on a quarterly basis.

To read more  :

https://www.sebi.gov.in/legal/circulars/feb-2023/manner-of-achieving-minimum-public-shareholding_67801.html

MSME

Enabling more micro units for Presumptive taxation

The Union budget 2023 increased the limits to Rs.3 crore and Rs 75 lakh, respectively, for taxpayers with less than 5% cash receipts. The FM has also proposed allowing a deduction for expenditures incurred on payments only when the payment is made to support MSMEs to receive payments on time. The Presumptive Taxation Scheme was previously available to  micro – enterprises with a turnover of up to Rs. 2 crore and professionals with a turnover of up to Rs. 50 Lakhs .

https://www.hdfcbank.com/personal/resources/learning-centre/union-budget/union-budget-2023-2024-announcements-for-msme-sector