Export Promotion Capital Goods scheme expanded to allow annual authorizations with Nexus Certificate compliance at import clearance.
The annual supplement and Handbook amend export promotion and customs rules: EPCG authorizations for annual requirements may be granted to eligible exporters without listing specific capital goods but must identify export products and require a Nexus Certificate from an independent Chartered Engineer at import clearance; Zero Duty EPCG and SHIS are extended and sector coverage broadened with clarification that SHIS scrips are not available in years when Zero Duty EPCG authorizations are issued; SFIS now permits professional service vehicles; Advance Authorization annual imports are exempt from anti dumping and safeguard duties; miscellaneous amendments adjust duties, duty free inputs and port notifications.

Portfolio managers must use the high water mark for performance fees, disclose all charges on AUM, and cap client liability.
Performance fees must be computed using the high water mark principle and charged only on increases above the previously achieved high water mark (charge frequency not less than quarterly); this rule applies to discretionary and non-discretionary services but not advisory services. All fees and charges are to be levied on actual assets under management, client liability for discretionary mandates is capped at the client's investment, and client agreements must include a separate Annexure with a Rs. 10 lakh one-year illustrative disclosure (gain/loss/no change) in at least 11-point font, with signatures required from clients.

Transit bond discharge on receipt of verified re-warehousing certificate enables ex-bond clearance to SEZ units.
SEZ units procuring from bonded warehouses must submit a request, assessed warehouse bill of entry (seal cover), ex-bond shipping bill and a transit bond to the Bond Officer. Bond Department will scrutinise, accept the bond, endorse transfers in bond and SEZ registers, allow release on relevant documents, forward originals to the recipient SEZ or hand them to authorised representatives, retain duplicates, and monitor receipt and verification of Re-Warehousing Certificates to discharge and cancel the transit bond.

Food sample drawal procedure: random and risk based testing required for imported food items, with FSSAI test reports needed for clearance.
Procedure mandates risk-based and random sampling and testing of imported food products with FSSAI responsible for testing and clearance. A defined list of high-risk items requires 100% sampling; non-high-risk items face initial consecutive sampling and thereafter randomized testing where prior consignments conform. Non-conformity reinstates 100% checks. Imports must satisfy shelf-life and labelling conditions and obtain applicable statutory clearances. Appraising Groups order FSSAI testing and goods are released after FSSAI test reports/NOC, subject to limited interim release provisions for certain dry fruits pending reports.

Consolidated FDI Policy effective Oct 1, 2010 clarifies routes, sectoral caps, downstream investment and reporting obligations.
The Circular consolidates FDI policy effective October 1, 2010; defines instruments, routes (Automatic and Government), and methodology for calculating total foreign investment (direct and indirect), including downstream investment rules for companies owned/controlled by non-residents. It incorporates substantive updates: prohibition of FDI in manufacture of certain tobacco products; definition of "controlled conditions" in agriculture and allied activities; clarification on value-addition for titanium mineral separation; treatment of share-premium for minimum capitalization; permission for partly-paid shares/warrants via Government route; allowances for downstream investment through internal accruals; NBFC subsidiary capitalization rules; sectoral caps, entry conditions, reporting obligations (Forms FC-GPR/FC-TRS/DR) and FEMA enforcement mechanisms.

Work allocation assigns additional departmental functions to specified Special Commissioners, including oversight of CFC, CRC, policy and recovery.
Order delegates additional duties without extra remuneration to two Special Commissioners: S.P. Singh is assigned oversight of CFC and CRC, periodic checking of their processes, L&J, policy, economic analysis, research and statistics, planning, recovery and collection, and Special Zone matters; S.K. Bhandari is assigned objection hearings under the DVAT Act above the pecuniary threshold for Zones II-X and the EXIM Cell, plus public relations and monitoring of all zones. The allocations are issued with the Commissioner's prior approval.

Applicability of transfer pricing amendment revised to apply to proceedings pending before the Transfer Pricing Officer from 1 October 2009.
The corrigendum revises paragraph 37.5 so the amendment is applicable from 1st October 2009 and applies to all cases with proceedings pending before the Transfer Pricing Officer on or after that date, replacing the earlier 1st April 2009 applicability; paragraph 38.3 is corrected to read 1st April 2009 instead of 1st October 2009.

Consolidated FDI Policy sets sectoral caps, automatic and government entry routes, reporting obligations and FEMA enforcement.
Consolidated FDI Policy sets out the legal and procedural framework for Foreign Direct Investment as a capital account transaction under the Foreign Exchange Management Act framework, distinguishing between the Automatic Route and Government Route. It defines eligible investors and instruments, prescribes pricing, timing (180 day allotment rule), KYC, escrow and reporting in prescribed forms (FC GPR, FC TRS, DR returns), and establishes sectoral caps, entry conditions and prohibitions. The Policy aggregates direct and indirect foreign holdings for compliance with sectoral limits, governs downstream investment, and sets FEMA adjudication, compounding and penalty consequences for violations.

FII compliance mandate: noncompliant foreign investors barred from taking fresh cash or derivatives positions while permitted to unwind.
SEBI requires registered Foreign Institutional Investors to submit specified declarations and undertakings by the mandated deadline; non compliant entities are prohibited from taking fresh positions in cash and derivatives while permitted to retain or unwind existing positions, and SEBI will publish the list of non compliant entities on its website, with custodians and stock exchanges instructed to notify their clients and members.

Common Adjudicating Authority appointed to adjudicate customs show cause notice, assigning the case to the Commissioner of Central Excise (Adjudication).
The Board, exercising powers under the customs notifications issued under the Customs Act, assigns the show cause notice issued by the Additional Director General, DRI (Hqs), New Delhi in the matter of Shri Vineet Gupta and others to the Commissioner of Central Excise (Adjudication) I, New Customs House, New Delhi, for adjudication, thereby designating that office as the common adjudicating authority for the specified notice.

Input Tax Credit on closing stock suspended for filing; revised returns may later include omitted annexures pending amendment.
Dealers must file VAT returns for August 2010 without calculating or carrying forward Input Tax Credit on closing stock, and may omit Annexure-2A and Annexure-2B from initial submission; hard copies of those Annexures can be filed later with revised returns if the related amendments are sustained.

Prohibition on dumping in customs areas requires direct back to back transshipment and immediate customs clearance for bulk imports.
Large consignments of stone chips and bricks are prohibited from being dumped in the Agartala Land Customs Station Customs Area; such bulk imports must be moved directly from the foreign truck to the Indian truck on a back to back basis without temporary storage, and Customs officers must assess and grant clearance immediately after arrival, consistent with removal obligations following grant of Out of Customs Charge and permissions under Section 40.

Due date extension for income-tax returns under section 119: filing and tax-audit deadline extended to mid-October.
The Central Board of Direct Taxes, invoking powers under section 119 of the Income Tax Act, 1961, extends the due date for filing income-tax returns for Assessment Year 2010-11 from 30 September 2010 to 15 October 2010 due to floods and heavy rains; the due date for submission of the tax audit report under u/s 44AB is similarly extended to 15 October 2010.

Extension of filing due date under Section 119-return and tax audit deadlines postponed to relieve flood-affected taxpayers.
An administrative order under Section 119 extends the due date for filing returns of income for the stated assessment year and correspondingly extends the tax audit report filing deadline to 15 October 2010, as relief for disruption caused by floods and heavy rains.

EPCG annual authorizations expanded, requiring engineer nexus certification and clarifying interaction with status holder incentives.
The circular implements the FTP Annual Supplement by operationalising an Annual EPCG Authorization allowing Status Certificate holders and qualifying exporters to obtain authorizations for annual requirements under zero duty and 3% duty variants, requiring Nexus Certificates from independent Chartered Engineers at customs clearance. It extends and expands Zero Duty EPCG and SHIS to additional sectors, clarifies that SHIS scrips are not issued in years of Zero Duty EPCG authorization, permits certain professional vehicles under SFIS while excluding personal vehicles, allows AIIS transfers to units in recognised parks for cold chain imports (not park developers), exempts annual Advance Authorization imports from anti dumping and safeguard duties, and records various duty and tariff adjustments and port notifications.

Satellite phone licensing: undeclared or unpermitted devices must be declared and may be detained by customs.
Use of satellite phones in India requires a permission from DOT; arriving passengers must declare satellite phones in baggage to Customs, declared devices will be cleared only on production of such permission, and devices imported or used without DOT permission may be detained and prosecuted under the Telegraph Act.

Due date extension for income-tax returns: filing and tax audit deadlines moved for affected taxpayers after law-and-order disruption
Administrative extension of the income-tax return filing deadline for assessment year 2010-11 in Jammu and Kashmir under Section 119, granted due to law-and-order disruption, postpones the statutory filing date for all categories of taxpayers and aligns the deadline for furnishing the tax audit report with the revised return-filing schedule.

Filing of Bill of Entry and IGM required for imported vessels even if duty-exempt; review and adjudication urged.
Vessels imported into India are statutory goods for import purposes and must comply with filing of the Import General Manifest (IGM), filing of the Bill of Entry, and payment of duty where applicable; these procedural requirements apply even when the vessels are exempt from duty. Jurisdictional Commissioners are instructed to review past non-compliance, initiate adjudication if warranted, and Chief Commissioners may seek appointment of a common adjudication authority from the Board.

Conversion of shipping bills: permitted between comparable export schemes if pre existing export documentation proves eligibility within prescribed conditions.
Commissioners of Customs may allow conversion of shipping bills between export promotion schemes on a case by case basis under section 149 of the Customs Act, 1962, provided documentary evidence existing at the time of export proves eligibility for the target scheme and subject to DGFT/MoC conditions. Requests must be made within three months of Let Export Order and satisfy conditions about input usage, shipping bill endorsements, scheme coverage and fulfilment, and absence of fraud or double claiming. Conversion of free shipping bills into EP scheme bills is not permitted, though All Industry Rate drawback may be allowed without conversion.

Accredited Customs Programme extended to Foreign Trade Policy status holders; eligibility and disqualification criteria clarified.
Accredited Customs Programme eligibility is amended to include Foreign Trade Policy status holders, who must also satisfy Paras 7(ii)-7(vii) and other Circular conditions. The ACP application form gains a field for FTP status category. Para 7(iii) is revised to specify categories of Customs, Central Excise and Service Tax cases in the previous three financial years that disqualify applicants - including duty evasion by mis declaration or fraud, clandestine removal warranting confiscation, fraudulent claims for credits/refunds/benefits, collection not deposited with the exchequer, and non registration with intent to evade - and Chief Commissioners may report such cases to Risk Management Division even absent a show cause notice.