Revalidation of Registration Certificates required; priority scrutiny for consignments handed to customs and LCS consignments before export.
Priority in scrutiny and revalidation of Registration Certificates (RCs) for cotton exports is to be accorded to consignments handed over to customs when the prohibition came into force and to consignments at Land Custom Stations to ease congestion. RC holders with such consignments must inform the concerned Regional Authorities and copy DGFT (HQ) by email. Exports of cotton will be permitted only after revalidation of RCs.

Service tax refunds for exporters can be claimed electronically via ICES using a schedule of rates or by documents.
Service tax on specified services used in exports can be refunded electronically through ICES under a schedule of rates, with refunds calculated as a percentage of FOB value when exporters register bank and central excise/service tax details via Annexure-A/Annexure-AI and declare the option on the shipping bill; exporters may instead claim refunds on documentary basis by declaring chapter/subheading 9801, and refunds are disbursed to registered bank accounts or via NEFT/RTGS.

Compounding charges now include prosecution establishment expenses and separate litigation expenses equal to counsel fees incurred before compounding.
Compounding charges must include prosecution establishment expenses charged at the prescribed percentage of the compounding fee subject to minimum and maximum limits, and separate litigation expenses equal to fees paid or payable by the Department to prosecution counsel up to the date of compounding; the charging mechanism applies even where multiple offences are compounded under a single order.

Foreign investment limits: companies must notify the regulator and certify compliance before raising aggregate FII/NRI ceilings.
When an Indian company raises the aggregate FII or NRI investment limit to the applicable sectoral or statutory ceiling, it must immediately intimate the Reserve Bank and submit a Company Secretary's Certificate certifying compliance with the Foreign Exchange Management Act and Foreign Direct Policy. The regulator monitors ceilings daily, uses an operational cut-off below the legal limit to caution designated bank branches, requires reporting of proposed purchases by link offices, and grants clearances on a first-come-first-served basis until the limit is reached, after which purchases are stopped and public notice issued.

Foreign venture capital investment: FVCIs may buy eligible VC securities via private purchase or exchange trading, subject to applicable regulations.
SEBI registered FVCIs may acquire eligible securities of IVCUs and VCFs by private arrangement or third party purchase, and may also purchase on recognized stock exchanges, provided they comply with the applicable FEMA schedule and the FVCI regulatory framework; AD Category I banks must notify customers and regulatory amendments will be separately notified.

Post-clearance audit non-response triggers interception of live import entries until compliance and issuance of an NOC.
Post clearance audit auditors issue Query Memos or Consultative Letters when discrepancies are found; non response by importers leads PCA, upon Joint/Addl. Commissioner approval, to notify LRM with the importer's name and IEC so LRM may introduce a system target to intercept live Bills of Entry for that importer, with removal of the target only upon importer compliance and issuance of an NOC by the Joint/Addl. Commissioner of PCA.

Revalidation of Registration Certificates requires resubmission with prescribed documents and original RCs by specified deadline.
All applications for revalidation of Registration Certificates for export of cotton must be submitted with the prescribed documents as per Public Notice No.102; applicants who already filed must withdraw and resubmit with the required documentation, including original Registration Certificates. A final submission deadline was set for 22 March 2012 at 6:00 PM, and a list of sixty eight firms and their RC numbers received between 12 and 16 March 2012 is appended.

Committee composition amendments update member names and designations in a corporate governance policy formulation committee.
Office Memorandum dated 19 March 2012 amends the committee constituted to formulate a Corporate Governance policy document by correcting composition entries: Para 5.2(x) now names Shri Y.M. Deosthali, Chairman, L&T Finance Holdings Ltd.; Para 5.2(xiii) now names Shri Keki Mistry, Vice Chairman & CEO, HDFC; and Para 5.2(xiv) now names Ms. Zia Modi, replacing earlier incorrect entries.

Excise duty rate changes: standard central excise and CENVAT raised to 12% with targeted sectoral reclassifications and exemptions.
General central excise revisions increase the standard CENVAT/central excise rate to 12% and adjust related concessionary slabs; sectoral changes amend ad valorem and specific duties, expand targeted exemptions (including certain food preparations, lifesaving drugs and aircraft parts), impose new levies and slab realignments for tobacco and cigarettes, and modify valuation and abatement rules for branded garments and jewellery, with several measures provisional pending enactment and cross-referenced to notifications dated 17 March 2012.

Customs tariff amendments modify duty rates and exemptions across multiple chapters, expanding import concessions and conditional exemptions.
Amendments to the customs tariff adjust duty rates, exemptions and classification across many chapters, aligning item descriptions with updated codes, expanding targeted concessions for pharmaceuticals, textiles, electronics, machinery, agriculture and project imports, and imposing conditional actual user requirements or other use restrictions for specified exemptions.

Tax Rate Changes: provisional immediate effect declared; central excise and customs rates and classifications revised across multiple sectors.
Specified clauses of the Finance Bill, 2012 have been declared to take provisional effect from the midnight of 16th/17th March, 2012 so that revised customs and central excise duty rates, notifications and valuation rules operate immediately pending enactment. The Circular summarises rate increases and restructurings (standard and merit excise rates, RSP/section 4A valuation for certain goods, tobacco slab adjustments, jewellery tariff-value levy), consolidation of exemption notifications, selective reliefs, amendments to Cenvat rules and procedural changes, and corresponding Customs Tariff and legislative amendments affecting classification, cognizability, and recovery mechanisms.

Central excise duty reforms: revised tariff structure and provisional valuation and procedural changes now take effect.
Central excise and customs duties have been revised under Finance Bill, 2012 proposals and associated notifications, with several changes provisionally effective from the midnight of 16th/17th March, 2012. Key measures include revised excise rate structure for non petroleum goods, sectoral tariff adjustments (notably for cement, automobiles, tobacco, textiles, footwear, precious metals and batteries), RSP/tariff value valuation rules for goods under section 4A, consolidation of concession notifications, amendments to Cenvat Credit and procedural rules, and customs tariff, SAD and classification amendments. Legislative amendments align offence, arrest and search provisions and adjust adjudication thresholds.

Negative list taxation expands taxable services and reforms place-of-provision, valuation, Cenvat credits and compliance requirements.
Budget 2012 replaces service-specific taxation with a negative list charging regime: all activities meeting the definition of a service are taxable unless listed in the negative list or exempted. The package pairs this conceptual shift with Place of Provision rules, revised valuation for works contracts and restaurant services, restored standard rate with adjusted composition/abatements, and amended Cenvat and compliance rules including simplified refunds and a common EST return.

Registration certificate revalidation: exporters must file RC-specific scrutiny applications with export, customs and contract details by deadline.
Revalidation of Registration Certificates for cotton exports (ITC(HS) 5201 & 5203) requires separate applications for each RC valid on 05.03.2012 to the RA that issued the RC, filed by the prescribed deadline. Applications must state exported quantities with shipping bills, quantities handed to Customs with dates, and quantities yet to be handed with supporting contracts. Prior RCs whose 30-day period had lapsed by 05.03.2012 require submission of export details. DGFT headquarters will scrutinise documents and RAs will revalidate RCs per DGFT instructions; earlier RA revalidation provision is withdrawn.

Mandatory Email Communication: exporters must update email IDs to receive all deficiency notices and correspondence electronically.
Exporters with IEC numbers must update and provide a valid email ID; future deficiency letters and all correspondence including IEC updates, authorizations, redemptions and amendments will be communicated solely by email, and submissions at counters or by post must compulsorily mention the email address to enable direct electronic communication and avoid processing delays.

Service tax on tolls: user charges exempt, but commission retained by independent collectors is taxable.
Service tax is not leviable on tolls charged as user charges by SPVs under PPP/BOT arrangements since tolls fall under the State List and are collected on the SPV's own account. If an independent entity collects tolls on behalf of an SPV and retains commission or compensation, that commission is taxable as Business Auxiliary Service. An SPV is not an agent of NHAI, and renting or licensing of vacant land to an SPV and construction of the road do not attract service tax.

Handling of Cargo regulations require CCSPs to provide storage and prohibit demurrage on detained goods, enabling provisional release.
The Board directs that under the Handling of Cargo in Customs Areas Regulations, 2009 CCSPs must provide sufficient custody and storage for detained imported and export goods after de-stuffing so empty containers can be returned, and shall not charge rent or demurrage on detained goods; containers detained or seized under the Customs Act may be considered for provisional release on furnishing bond and bank guarantee, and investigative wings must finalise investigations promptly, with Commissionerates issuing standing orders to implement these measures.

SEZ approvals and co-developer conditions: Board granted or deferred proposals with strict tax and compliance safeguards.
The Board granted, deferred or conditioned formal approvals for multiple SEZ proposals based on land possession and state recommendations, approved area additions/de notifications subject to contiguity and refund of tax/duty benefits, imposed documentation and tax scrutiny requirements for co developer approvals and equity transfers under the SEZ Act/Rules and Income Tax Act, regulated authorised operations and imports of restricted items with requisite clearances and non DTA conditions, and authorised extensions or cancellations of formal approvals and LoPs with specified limitations.

Reporting periodicity for Diamond Dollar Accounts: shifted to quarterly submission, preserving prior conditions under FEMA authority.
AD Category I banks must submit details of firms/companies holding Diamond Dollar Accounts, with opening and closing dates, on a quarterly basis to the Chief General Manager in Charge, Foreign Exchange Department, Trade Division, Reserve Bank of India, by the 10th of the month following the quarter; other terms in prior circulars remain unchanged and the directions are issued under the Foreign Exchange Management Act.

Special Currency Basket revision mandates authorised dealer banks to adopt updated rupee valuation and notify their constituents.
The Reserve Bank of India notified a re-fix of the rupee value of the Special Currency Basket, superseding the earlier indicated figure, and directed Category I Authorised Dealer banks to adopt and communicate the revised valuation to their constituents with effect from the operative date. The circular states that these directions are issued under the Foreign Exchange Management Act and are without prejudice to any other statutory permissions or approvals.