Regulatory & Legal Updates August 2026: MCA, RBI & SEBI
- MCA
- CCFS-2026 window extended further to 15 September 2026
MCA extended the Companies Compliance Facilitation Scheme, 2026 (CCFS-2026) — which allows companies to complete pending statutory filings with relief on additional fees/consequences — from 31 August 2026 to 15 September 2026, following stakeholder representations for further time. This is the second extension of the Scheme; it was earlier extended from 15 July 2026 to 31 August 2026 vide Circular No. 03/2026 dated 8 July 2026, on account of the MCA21 data-centre fire (5 June 2026) and related restoration work.
Read More: https://www.mca.gov.in/
- Companies (Indian Accounting Standards) Amendment Rules, 2026 notified
MCA amended Ind AS 101, 107, 109, 110 and 7 under the Companies (Indian Accounting Standards) Rules, 2015. The amendments introduce accounting/disclosure provisions for green-power purchase contracts, ESG-linked loans and e-payment/digital settlement arrangements. Most changes take effect from the dates specified in the notification — companies should assess impact on FY 2026-27 financial statements and disclosures.
Read More: https://www.mca.gov.in/
- FEMA / RBI
- Amendment to the Foreign Currency Convertible Bonds and Ordinary Shares (Through Depository Receipt Mechanism) Scheme, 1993
The Government has amended the framework governing Foreign Currency Convertible Bonds (FCCBs) and Depository Receipts (DRs) during August 2026. The amendment updates the regulatory framework applicable to the issue of FCCBs and ordinary shares through the Depository Receipt mechanism, thereby aligning the framework with the prevailing foreign investment and capital-market regulatory regime. The amendment was notified in August 2026 by the Department of Economic Affairs
Read More: https://dea.gov.in/press-release/amendment-issue-foreign-currency-convertible-bonds-and-ordinary-through-depository
- Introduction of Foreign Exchange Management (Authorised Persons) Regulations, 2026
The Reserve Bank of India has notified the Foreign Exchange Management (Authorised Persons) Regulations, 2026, establishing an updated regulatory framework governing Authorised Persons under FEMA. The revised framework consolidates and updates the regulatory provisions applicable to Authorised Persons and is intended to streamline the administration of foreign exchange transactions and strengthen the regulatory framework governing authorised entities.
ReadMore:https://www.rbi.org.in/scripts/bs_viewfemanewnotification.aspx
- Clarification on Special Rupee Vostro Accounts
The Reserve Bank of India has issued further directions relating to Special Rupee Vostro Accounts (SRVAs), which facilitate international trade settlement in Indian Rupees. The framework enables authorised dealer banks to facilitate cross-border trade transactions through designated rupee accounts maintained by overseas correspondent banks, thereby supporting greater use of the Indian Rupee in international trade settlement.
ReadMore: https://www.rbi.org.in/scripts/bs_viewfemanewnotification.aspx
- Securities and Exchange Board of India (SEBI)
- Relaxation in KYC norms for individual Persons Resident Outside India
SEBI introduced relaxations in the Know Your Client (KYC) framework for individual Persons Resident Outside India, including NRIs, OCIs and foreign nationals. The development is intended to simplify and facilitate securities market participation and KYC compliance for eligible non-resident individuals. SEBI also issued a consultation paper on 14 August 2026 to review the KYC process applicable to individual Persons Resident Outside India.
Read More: https://www.sebi.gov.in/sebiweb/home/HomeAction.do?doListingAll=yes&search=KYC&utm
- Extension of timeline for implementation of revised norms for ETFs
SEBI extended the implementation timeline for certain provisions relating to base price, price bands, call auction in the pre-open session and close-out procedure for Exchange Traded Funds (ETFs). The extension provides additional time to market infrastructure institutions and other stakeholders for implementing the revised operational framework prescribed under SEBI’s earlier circular dated 15 June 2026. The extension circular was issued on 28 August 2026.
Read More: https://www.sebi.gov.in/sebiweb/home/HomeAction.do?doListingAll=yes&search=Trade&utm
- Enabling sharing of KYC information with IFSCA-regulated entities
SEBI issued a circular on 20 August 2026 enabling KYC Registration Agencies (KRAs) to share information with entities regulated by the International Financial Services Centres Authority (IFSCA). This measure aims to facilitate regulatory coordination and potentially reduce duplication in KYC-related processes across entities operating in the Indian securities market and the IFSC ecosystem.
Read More: https://www.sebi.gov.in/sebiweb/home/HomeAction.do?doListingAll=yes&search=Services&utm
Raghu Marwah
Chartered Accountant | International Taxation, FEMA & Corporate Advisory
Raghu Marwah is a Chartered Accountant, leading the firm's Consultancy Services and International Taxation practice. He advises Indian and international businesses on FEMA and RBI regulations, cross-border taxation, transfer pricing, India-entry strategies and overseas expansion. His professional experience also includes audit, tax compliance, M&A transactions across India and International Markets.