Electronic debit verification: manual endorsements on physical Advance Authorizations discontinued; officers must ensure EDI debits and issue advice letters.
The practice of manually endorsing physical Advance Authorizations with usage debits is discontinued for future authorizations electronically registered at Customs EDI locations; examining officers must confirm the proper debit in the EDI system. For domestic sourcing ARO/Invalidation requests, holders must obtain a same-day Advice Letter from the Group DC/AC, who will update records and email the Advice to the Regional Authority; monitoring and coordination arrangements are designated and safeguards for EDI breakdowns are required.

Bank Rate reduction announced; penal interest rates linked to it revised for reserve requirement shortfalls, effective immediately.
Bank Rate adjusted downward by 25 basis points to 6.75%, effective October 04, 2016, and penal interest rates linked to shortfalls in reserve requirements revised accordingly, with revised penal charges specified in the annex and applicable depending on the duration of shortfalls.

Prosecution timing: offences involving gold and other specified high-risk items may be prosecuted immediately after show cause notice.
The guidance amends prosecution timing under the Customs Act to provide that, while prosecution is normally launched after adjudication, offences involving specified high-risk items-Gold, FICN, arms, ammunitions and explosives, antiques, art treasures, wildlife items and endangered species-may preferably be prosecuted immediately after issuance of a show cause notice; senior customs and CBEC officers are directed to circulate the amendment and report implementation difficulties to the Board.

Nominated Agency Certificate eligibility revised: exclude Gems & Jewellery SEZ/EOU exports from status calculations and renewals.
Eligibility for grant or renewal of the Nominated Agency Certificate is amended so that export performance of Gems & Jewellery items from SEZ/EOU units is excluded when calculating status-holder export turnover; applicants must upload a valid Status Holder Certificate and submit revised ANF-4I with CA/ICWA/CS certification confirming exclusion and verifying exports and realizations before the Regional Authority issues or renews the certificate.

Withdrawal of circular declared void ab initio, removing its operative effect and treating it as never issued.
Circular No. 15 of 2016-17 is formally withdrawn and declared void ab initio, removing any operative or legal effect it might have had and treating it as never having been issued.

Bonded trucking transhipment enables Customs-supervised export, foreign-to-foreign and inter-station import cargo movement through sealed vehicles and custodian bonds.
Bonded trucking transhipment is permitted for export cargo between the Air Cargo Complex, Kolkata and other Customs stations, subject to manifested cargo, approved TP Custodians, running bonds, bank guarantees, sealed containerised vehicles and Customs supervision. The arrangement covers export cargo routed through another station, foreign-to-foreign cargo, and import cargo transferred between Indian Customs stations. Cargo Transfer Manifests and destination acknowledgements control bond debit and re-credit. Export goods are processed at the originating station, while seal discrepancies require full examination and missing endorsed manifests may lead to recovery action.

FPI investment limits in government securities increased, with enhanced caps for long term investors and SDL allocations.
SEBI increases category-wise and aggregate upper limits for FPI investments in Central Government securities and State Development Loans, with higher caps for Long Term FPIs. Incremental limits and SDL allocations are available on tap from the stated dates. A separate note will address transfer of unutilized long-term limits to the general government debt category. Existing terms continue to apply, including security-wise limits, coupons permitted outside limits, and a minimum residual maturity requirement of three years. The circular is effective immediately under SEBI's statutory powers.

Transhipment of export cargo allowed from Kolkata ACC under bonded custodian regime with CTM, security and acknowledgement within ten days.
Transhipment by air from Kolkata ACC to other airports is permitted under a procedure requiring appointment of a TP custodian who must execute a running bond and bank guarantee and present a TP application or CTM with specified shipment details. Cargo must be segregated, stored under a double locking arrangement, escorted when moved, and transhipped under Customs supervision. CTM acknowledgements must be returned to re credit the Transhipment Bond within ten days; failure to account for non unloading or shortages attracts penal action and financial demand.

Speedy disposal of VAT refund claims required; graded time bound processing targets and weekly reporting mandated.
Mandate for speedy disposal of VAT refund claims requires ward and zonal incharges to process refunds within graded, time-bound targets by claim size, and to submit weekly reports to the Commissioner detailing cleared refunds, with non-compliance to be viewed seriously.

Courier clearance procedures standardise filing, scanning, assessment and out of charge delivery of international parcels under customs regulations.
Framework prescribes detailed procedures for courier import/export clearance at Bengaluru ACC under the Customs Act and Courier Regulations. It mandates flight wise filing and serialisation of CBE I/II and parcel level CBE III/IV/V, sets sorting and prohibition on parcel opening, requires scanning and prescribed examination regimes (including 100% X ray for samples/gifts), staged appraisal and duty assessment procedures, out of charge endorsement prior to custodian delivery, and specifies when regular Bills of Entry must be filed; it also allocates responsibilities to Authorised Couriers, Custodians and Airlines and requires maintenance of registers, KYC and PLA arrangements.

Rebate for cooperative purchase of confiscated consumer goods now offered on a uniform basis, subject to eligibility and auction rules.
Consumer goods below the specified value threshold may be offered to NCCF, Kendriya Bhandar and authorised consumer cooperatives at a uniform rebate, subject to conditions including ten years' functional activity, filing of Income Tax and VAT/ST returns, annual verification of genuineness by an AC/DC rank officer, appropriate registration, obligation to sell directly to bonafide consumers, no selective purchases, and first come first served allotment; goods above the threshold must be sold by e auction or auction cum tender with no rebate available.

Import/export and domestic control of hazardous waste limited to recycling, with SPCB authorisations and manifest requirements.
The rules create a permit-based regime requiring occupiers, recyclers, transporters and disposal operators to obtain SPCB authorisation, maintain records and annual returns, implement emergency response plans, and follow labelling, packaging and a manifest system. Imports are allowed only for recycling, recovery, reuse or utilisation: hazardous wastes in Schedule III Part A require prior informed consent and Ministry permission; certain wastes are prohibited from import. The Ministry is the nodal authority for transboundary movement, Customs must verify movement documents and illegal traffic must be re-exported or managed per the rules.

Extension of tax return due-date: applies to assessees required to file under clause (a) of Explanation 2 to section 139.
The circular clarifies that the previously issued extension of the income-tax return due-date applies to all assessees required to file their return by 30th September, 2016 under clause (a) of Explanation 2 to sub-section (1) of the Income-tax Act, 1961, reiterating applicability of the orders dated 9th and 14th September, 2016 (F. No. 225/195/2016/ITA.II).

Income Declaration Scheme filing: system now allows uploading Form One declarations filed without PAN; officials must upload them.
The Income Declaration Scheme permits declarants without PAN to file manually by quoting their PAN application date and acknowledgment number; the ITD system now accepts uploading of such manually filed Form 1 declarations, and Principal Commissioners/Commissioners are directed to upload them using the new facility.

FPI investment limits increased for central and state government securities in two tranches; SEBI to issue guidelines.
Investment limits for FPIs in Central Government Securities and State Development Loans are increased in two scheduled tranches, raising aggregate caps for All FPIs and providing additional allocation for Long Term FPIs. Existing conditions continue: security-wise limits remain, coupons may be invested outside the limits, and investments are restricted to securities with a minimum residual maturity of three years. SEBI will issue operational allocation and monitoring guidelines; separate communication will address transfer of unutilised Long Term FPI allocation. Directions are issued under the Foreign Exchange Management Act without prejudice to other approvals.

GST Council minutes adopt revenue definition amendments, defer cross-empowerment, approve draft GST rules and incentive reimbursement.
The Council adopted amended minutes clarifying that compensable revenue includes all State taxes (including cesses) subsumed in GST and set a Committee of Officers to define "revenue" and examine whether ITC reversals form part of compensable revenue. It approved revised Rules of Procedure and the Draft GST Rules on registration, payment, return, refund and invoicing (allowing minor Chairperson-approved changes), and decided that existing tax-exempt entities will pay tax under GST with any continuations of incentives to be administered via state/central budgetary reimbursement mechanisms.

Power of arrest in service tax limited to deliberate collection and nonremittance cases where arrest may protect investigation and evidence.
The circular limits the power of arrest for Service Tax to cases where a person clearly collected amounts as service tax, failed to remit them to the Central Government beyond six months from the due date, and the amount exceeds rupees two crore, requiring file notings and documentary evidence (invoices, ST3 returns) establishing collection, non payment, the time lapse and the monetary threshold before arrest; arrest remains discretionary and depends on risks to investigation, evidence tampering or witness intimidation.

Government-supported line of credit: exporters must source majority of contract goods from India and comply with EDF/SDF declarations.
The Line of Credit finances renovation of a foreign power plant and mandates that at least 75% of the contract price for eligible goods, machinery, equipment and services (including consultancy) be supplied from India, with up to 25% procurable from outside India. Shipments must be declared on EDF/SDF forms per Reserve Bank instructions. Agency commission is not payable under the LOC, though exporters may remit commission from their own resources or Exchange Earners' Foreign Currency accounts after full realisation, subject to prevailing rules. Directions are issued under FEMA without prejudice to other legal permissions.

Classification of solar panels depends on whether fitted elements supply power to external loads; impacts tariff heading assignment.
Where fitted elements in a solar panel/module supply power to an external load (for example a motor or an electrolyser), classify the module under CTH 8501; where such elements do not supply power to an external load, classify the module under CTH 8541. Importers and customs brokers must apply this functional test for tariff classification and report any difficulties to the customs office.

Adjudication monetary limits revised to allocate show cause notices among officers by value based jurisdiction and transfer rules.
Revised adjudication monetary limits allocate Central Excise and Service Tax show-cause notices to specific officer ranks based on duty/tax/credit bands, exclude Superintendents from deciding issues of taxability, classification, valuation and extended limitation, and permit Deputy/Assistant Commissioners to adjudicate refunds without monetary limit. Cases raising the same issue must be decided by the authority competent for the highest amount. Service Tax pendency at Commissioner level may be addressed by earmarking or transferring cases across Central Excise and Audit Commissionerates, and Commissioners (Audit) have been vested with adjudication powers.