B S Sridhar & Co., Chartered Accountants Chennai Update Services

New RBI regulation on EEFC Account Forex Conversion.

bssridhar — Thu, 10 May 2012 12:03:21 +0000

Exchange Earners Foreign Currency Account (EEFC) Account holders were permitted to retain 100% of their Forex earnings in EEFC Account with any Authorised Dealers in India.

This scheme has been reviewed now and it has been revised as follows :-

1) 50% of the balances lying in the EEFC Account should be transferred to Indian Rupee accounts of the account holders within 15 days from the date of Circular (10/05/2012).

2) For future earnings, only 50% shall be retained in Foreign Currency and the balance 50% shall be converted and transferred to Indian Rupee account

3) EEFC account holders henceforth will be permitted to access the forex market for purchasing foreign exchange only after utilising fully the available balances in the EEFC accounts.

The relevant Circular is reproduced below :-

Download (PDF, 963.68KB)

E Filing of Form ITR 4S(Sugam) enabled for A.Y.2012-13

bssridhar — Tue, 08 May 2012 13:49:53 +0000

The Income-tax department has released an Excel Utility for filing the return form ITR 4S (Sugam), which is applicable for Assessees opting to pay tax under Presumptive method.

Click here to download the ITR 4S Excel Utility.

New RBI Regulation on transfer of funds from NRO Account to NRE Account

bssridhar — Tue, 08 May 2012 13:44:07 +0000

The Reserve Bank of India vide its Notification No RBI/2011-12/536 A. P. (DIR Series) Circular No.117 dtd 07 05 2012 has notified certain changes in the regulations with regard to transfer of funds from Non-Resident Ordinary (NRO) Account to Non Resident External (NRE) Account. As per this notification, henceforth , NRIs shall be eligible to transfer funds from NRO account to NRE account within the overall ceiling of USD one million per financial year subject to payment of tax, as applicable.

The relevant Notification is reproduced below :

Download (PDF, 31.5KB)

Source :- www.rbi.gov.in

Income-tax Calculator for last 12 Assessment years

bssridhar — Fri, 04 May 2012 12:16:03 +0000

The Income-tax department has provided an online utility for calculation of Tax Liability in respect of the following types of assessees :-

1) Individuals

2) Hindu Undivided Family

3) BOI (Body of Individuals)

4) AOP (Association of Persons)

5) Firms

6) Domestic Companies

7) Foreign Companies and

8 ) Co-operative Societies

Click here to use this utility.

Source :- www.incometaxindia.gov.in

New RBI regulation on Intra-bank Deposit Accounts Portability

bssridhar — Sat, 28 Apr 2012 11:59:24 +0000

The Reserve Bank of India vide its Notification No DBOD.AML. BC. No. 97/14.01.001/2011-12 dtd 27th April 2012 has given new guidelines in respect of procedures to be followed for transfer of Bank Accounts from one branch to another branch of the same bank. As per this Notification , the banks should not insist on opening a new account in lieu of transfer of existing accounts to its another branch on account of the change of address,etc., of the account holder. There is no need for submitting new KYC (Know Your Customer) documents as long as the KYC norms are fully complied with. The customer should be allowed to transfer the accounts from one branch to another branch without any restrictions. However the customer has to provide address proof for the new address.

The relevant Notifcation is reproduced below :-

Download (PDF, 100.4KB)

E filing for A.Y.2012-13 (F.Y.2011-12) commenced

bssridhar — Sat, 28 Apr 2012 08:46:27 +0000

The Income-tax Department has started accepting e-filing returns for the year 2011-12 (A.Y.2012-13).

ITR-1 which is applicable for assessees having income from salary and income from other sources (only interest income or family pension) can be filed now using the utility provided in the Income tax department website.

Click here to download the ITR-1 for A.Y.2012-13 (F.Y.2011-12).

New RBI guideline on KYC Documents of Proprietary Concerns

bssridhar — Wed, 18 Apr 2012 08:15:53 +0000

The Reserve Bank of India vide its Notification No DBOD. AML.BC. No 93 /14.01.001/2011-12 dtd April 17, 2012 has given new guideline in respect of acceptance of Know Your Customer (KYC) documents in respect of Proprietary Concerns. As per the above guideline, the following documents are also to be accepted as KYC documents in addition to the documents already required under circulars DBOD. AML BC. No. 80/14.01.001/2009-10 dated March 26, 2010 and DBOD. AML.BC. No. 38 /14.01.001/2010 -11 dated August 31, 2010 , for opening account in the name of Proprietary concerns :-

The complete Income Tax return (not just the acknowledgement) in the name of the sole proprietor where the firm’s income is reflected, duly authenticated/ acknowledged by the Income Tax Authorities.
Utility bills such as electricity, water, and landline telephone bills in the name of the proprietary concern.The relevant RBI Circular is reproduced below :-
Download (PDF, 20.13KB)

Our Blog is available on Nokia Apps now.

bssridhar — Wed, 18 Apr 2012 02:51:06 +0000

Dear Readers, we are glad to inform you that our blog is now available as an Application in Nokia Apps.

The link for the same is http://store.ovi.com/content/271781

You can download the application in your Nokia Phone by visiting the above link in your phone browser and you will be updated as and when the blog is updated with new posts.

Please support this initiative and offer your comments on the same.

RBI reduces rate by 50 basis points

bssridhar — Wed, 18 Apr 2012 02:38:07 +0000

The Reserve Bank of India vide its Monetary Policy statement has announced the reduction of repo rate by 50 basis points.

Consequent to this announcement, it is likely that the banks shall reduce the rate of interest on Car,Housing and other loans which are offered under the Floating rate of Interest.

New FDI Policy Circular Issued.

bssridhar — Thu, 12 Apr 2012 02:54:14 +0000

The Department of Industrial Policy & Promotion, Government of India has issued a new FDI policy circular (Circular 1 of 2012) with the updated details of the policy of the Government of India with regard to Foreign Direct Investments (FDI) in India.

Click here to download the FDI Circular.