Commission to non-whole time directors allowed without central approval when within statutory net profit limits and sitting fee retained.
Companies need not seek Central Government approval to pay commission to Non-Whole Time Directors where the aggregate commission does not exceed one percent of net profit if the company has a Whole Time Director or Managing Director, or three percent of net profit where it has no Managing Director or Whole Time Director; such commission may be paid in addition to the sitting fee.

Direct Port Delivery for accredited importers allowed selectively; file Bill of Entry, pay duty, take delivery and clear containers within 24 hours.
Direct Port Delivery (DPD) is permitted selectively for ACP status importers upon application to the Commissioner; DPD requires filing RMS facilitated Bills of Entry, payment of duty, immediate readiness for delivery, presentation of original documents to the DPD officer at Ernakulam Wharf who issues an Out of Charge subject to seal verification by the Divisional Superintendent/Preventive Officer at ICTT Vallarpadom; damaged or tampered seals preclude DPD and such containers are sent to CFS. Importers must clear containers within 24 hours and submit monthly Annexure B reports.

Customs custodian appointment governs container handling, cargo storage, and transit operations at the notified container freight station.
M/s Container Corporation of India Ltd. is appointed as custodian of FCL/LCL containers, over-dimension and break-bulk cargo, imported goods received by road or rail, and export goods handled through its Container Freight Station at Majerhat, which is specified as a custom area. The CFS may also be used for storage and handling of Nepal and Bhutan cargo in transit for import and export. The appointment is made under section 45(1) of the Customs Act, 1962, effective from the date of the notice, initially for five years, subject to review and satisfaction of the Commissioner of Customs (Port).

Terminal Excise Duty declaration now required from recipients to obtain TED and deemed export drawback benefits.
Amendments clarify that ANF 8 applications remain filed by registered/head/branch/manufacturing offices with branch/manufacturing units furnishing a self certified RCMC. Recipients may claim drawback on a supplier declaration in Annexure III; TED refunds require a recipient declaration in Annexure II certifying non availment of CENVAT credit. Annexure II is retitled for TED, to be on recipient letterhead with contact details. Annexure III is retitled for Deemed Export Drawback, revised to address non availment of CENVAT on inputs/components, provide alternative declarations, require jurisdictional Central Excise address, contact details, and duplicate supplier letterhead submissions.

Export restrictions for specified non-Basmati rice require port-specific quotas, consumer packing, IEC caps, testing, and MEP compliance.
Export of Sona Masuri, Ponni Samba and Matta rice is allowed only within specified variety-specific quantity ceilings and designated ports, subject to mandatory conditions: consumer packing up to 10 kg, a per-IEC export cap on all three varieties enforced via self-declaration filed with customs and the Regional Authority, time-limited authorization to the stated marketing season, customs sampling and AGMARK testing, and compliance with a Minimum Export Price; false declarations attract penal action including debarment and IEC suspension.

Project import security: cash security replaced by bank guarantee requirement, renewable until proof of utilisation/installation is filed.
Cash security under Project Import Regulations is discontinued; a bank guarantee equivalent to two percent of the CIF value, subject to a cap, must be furnished on project contract registration and supported by an undertaking to renew it until contract finalisation. Renewal need not continue after a short period following submission of proof of utilisation or installation from the jurisdictional central excise or other specified authority. Exemption for Government departments and public sector undertakings remains unchanged.

Service tax scope expansion: new services and compliance reforms change liability timing, valuation and credit treatment.
Service tax coverage is widened by adding two new taxable services and expanding many existing service definitions to capture investment management, expanded coaching, club services to non members, business support, legal and specified clinical establishment services, with targeted abatements and tariff thresholds. The compliance regime is reworked to incentivise self correction through reduced penalties when complete records exist and dues are paid, while stiffening sanctions and prosecution for deliberate evasion. Point of Taxation Rules determine the time of supply (earliest of provision, invoice or payment). Cenvat Credit Rules are clarified and restricted, valuation for money changing prescribed, and export/SEZ rules amended with specific exemptions.

Duty restructuring and self-assessment: unified rate changes, exemptions withdrawn and new recovery and Cenvat rules introduced.
Restructuring of central excise and customs duties introduces revised tariff rates and valuation bases, targeted withdrawal of exemptions with a nominal levy and denial of input credit for affected items, bespoke duty adjustments for cement, garments, automobiles and precious metals, and expanded concessional coverage for specified public-interest and green technologies. Procedural and legislative reforms recast penalty, interest and recovery provisions including a new first-charge on defaulters' property, empower self-assessment with verification and audit safeguards in customs, and broaden Cenvat Credit definitions and attribution rules while imposing specific limits and reversal requirements.

Central excise and customs amendments: revised duty rates and a new self-assessment framework with valuation and credit changes.
Immediate-effect notifications implement Finance Bill, 2011 proposals for Customs and Central Excise: a 10% standard central excise rate for non-POL goods and merit rate increase to 5%; commodity-specific changes for cement, garments, vehicles and precious metals; withdrawal of many exemptions replaced by a 1% nominal levy (no Cenvat credit) or a 5% concessional/tariff rate; broad amendments to Cenvat Credit Rules clarifying inputs and input services, limiting ship breaking credit and tightening reversals; re-drafted recovery, interest and penalty rules including an inserted first charge on defaulters' property; customs reforms include fused lower duty slabs to 2.5%, valuation changes for packaged software, new export/import duty adjustments, and introduction of a trust based self-assessment regime with accompanying procedural and electronic filing changes.

ISPM-15 compliance for wood packaging required for export/import clearance; customs to inspect and report non-compliance.
Export and import consignments packed with wood packaging material must conform to ISPM-15 standards and will be cleared by Customs only if the wood packaging bears the ISPM-15 mark; consignments without the mark or with doubtful marking must be reported to the Plant Quarantine Officer. Exporters must state the description of packaging material in the Shipping Bill. Accredited treatment providers issue ISPM-15 certification after approved methyl bromide or forced hot air treatment and their list is available on the Directorate's website. Customs staff are to be trained and trade notices issued.

Authorization for hazardous cargo handling: only Customs authorized CFSs may receive, store or dispatch such consignments; carriers must comply.
Only Customs authorized Container Freight Stations may handle, store, receive or dispatch hazardous cargo; a named CFS has been authorized and its authority commences as stated. CFSs without Customs authorization must not receive hazardous consignments, existing hazardous cargo at CFSs may be managed as before, and Shipping Lines/agents must deliver hazardous cargo only to authorized CFSs or move misdelivered cargo to an authorized facility.

Drawback claim procedure: standardized documentary requirements, deficiency handling, registration and verification for export duty refunds.
Streamlines filing and processing of drawback claims under section 74 of the Customs Act, 1962 by prescribing mandatory documents (e.g., Annexure II, calculation sheet, export/import invoices, bill of entry or attested photocopy with indemnity, TR 6 challan proof, Cenvat non availment/reversal certificate or self declaration, notarized affidavits), preliminary receipt and scrutiny procedures with Deficiency Memos, timelines for cure or deeming claims time barred, formal acknowledgement and registration, and specified post registration verification and NOC/NPC processes; effective immediately.

Corrections to export incentive schedules clarifying product codes, deleting duplicates, and correcting HS code descriptions.
Amendments correct serial numbers and VKGUY product codes at Sr. No.1 of Public Notice No.33/(RE2010)/2009-14 to read "7, 8, & 9" and delete the word "two" in the Effect of Inclusion; delete Sr. Nos. 186 and 187 in Table 4 of Appendix 37D as duplicative of earlier entries and bonus benefit listings; and revise the description for ITC HS Code 29171300 in Sr. No.147 of Table 4 of Appendix 37D to "Sebacic Acid" to align the product description with the ITC HS classification and FPS benefit eligibility.

Drug import compliance: customs must verify registration, import licence, and drug control NOC before clearing consignments.
Customs must withhold clearance of drug and bulk drug import consignments until statutory pre import requirements are verified: completion of Form 41 registration, possession of Import Licence Form 10, and production of a NOC from the drug control port office. Standing orders should be issued to enforce these checks, implementation difficulties reported to the Board, and receipt of the circular acknowledged.

Common bond for EP schemes allows a single annual running bond per IEC to streamline imports and bond management.
Authorization holders under Advance Authorization, DFIA and EPCG schemes may execute one annual Common Bond for EP schemes IEC-wise for all specified-port imports in a financial year, executed at the port of first authorization registration. The bond's unique number links authorizations in the Customs EDI, permits authorization-wise debiting, allows bond value top-ups at the executing port with applicable stamp duty, and requires all associated Bank Guarantees to be furnished and maintained only at the port where the common bond was executed; export obligation discharge and Customs monitoring govern bond release and enforcement.

Service tax on renting of immovable property: collection authorised pending final adjudication; applications urged to vacate interim stays.
Following a Supreme Court direction that earlier interim protection continue until disposal of writ petitions, the Government is advised that it is empowered to pursue collection of service tax on renting of immovable property pending final High Court adjudication and to file applications in High Courts to vacate interim directions; administrative steps to collect pending tax and seek vacation of stays should be taken expeditiously.

Extension of time for using re-credited CVD in DEPB granted, allowing importers additional period to utilize re-credited scrips.
The time limit for using re-credited DEPB/Reward Scheme scrips for application of re-credited 4% CVD (SAD) refunds is extended to 30th June, 2011; a Public Notice and Standing Order should be issued to guide trade and staff on using the existing manual Bill of Entry procedure to utilize the re-credited amounts.

Centralized Bond option lets right holders use one customs bond across all ports, subject to BRN and security procedures.
Right holders may elect a Centralized Bond at registration, deposit security with the registering customs formation, and receive a unique Bond Registration Number (BRN) enabling use of that single bond and security across all ports via an ARTS module; interdiction ports may debit the centralized bond and re credit only after verification, while insufficiency of funds requires a supplementary bond executed at the registering formation within three days, and an indemnity bond remains mandatory.

DEPB re-import procedure requires identity verification and DEPB rejection letter before assessment and finalisation.
Re-imported goods exported under the DEPB Scheme will undergo first check identity verification; if identity is established the Assessing Group will assess the Bill of Entry under the Notification. If a DEPB Scrip was issued, the importer must repay the proportionate benefit. If no Scrip was issued the importer must apply online to DGFT for a DEPB rejection letter, present that rejection to Customs, and thereafter the Assessing Group will finalise assessment without referral to the DEPB Verification Cell. Group AC/DC may issue a letter to DGFT per the annexure if required.

Post-import compliance under EPCG scheme requires documentary verification for EODC, installation certification, and possible random audits.
Post-import compliance under the EPCG scheme requires acceptance of pre-change EODCs with Bond/BG cancellation on production of original licence, duty debit sheet and EODC, subject to verification where regional endorsement requires customs checks. The Monitoring Cell may call for originals and self-attested shipping bills, export invoices with FOB details, duty debit sheets, Bank Realisation Certificates and the prescribed export statement; random and targeted verifications will be conducted and Bonds/BGs cancelled upon satisfactory verification.