MCA21 V3 rollout adjusts company and LLP filing availability as core company forms migrate to the new portal.
MCA21 V3 is a phased technology upgrade adopting micro services, AI and analytics to migrate core company forms and enforcement modules to a new portal; nine company forms are scheduled to go live on the V3 platform, LLP filings will be temporarily unavailable on V3 during the cutover window, and the V2 portal will remain available for company filings while remaining modules are deployed within the calendar year. (AI Summary)

Extended Producer Responsibility requires producers to collect and recycle waste batteries and use EPR certificates for compliance.
Central to the regime is Extended Producer Responsibility, placing obligation on producers and importers to ensure collection and processing of waste batteries, prohibiting landfill disposal and incineration, and allowing producers to authorize third parties to meet obligations. The rules mandate online registration, reporting and auditing, and establish a centralized portal for exchange of EPR certificates between producers and recyclers/refurbishers. Non fulfilment attracts environmental compensation under the Polluter Pays Principle, with funds used to collect and recycle or refurbish uncollected waste batteries. (AI Summary)

Settlement scheme for reversal trades enables eligible entities to apply online to resolve pending enforcement proceedings.
SEBI's settlement scheme permits entities that executed reversal trades in the illiquid stock options segment and have pending proceedings to file an online settlement application with notarised undertakings, PAN and annexures, pay a non refundable registration fee and the displayed settlement amount via the SEBI portal, after which a composite settlement order will be issued once the scheme closes; enforcement action will continue against non participants. (AI Summary)

MSME definition update: existing EM and UAM registrations retain temporary validity, easing transition to new classification framework.
RBI clarified the revised MSME classification effective 1 July 2020 with investment and turnover thresholds for Micro, Small and Medium enterprises, and extended transitional validity: Entrepreneurs Memorandum Part II and Udyog Aadhaar Memorandum registrations obtained up to 30 June 2020, and documents under O.M. No.12(4)/2017-SME for classification up to 30 June 2020, remain valid for MSME classification until 30 June 2022. (AI Summary)

Security clearance for land-border nationals required before director appointment; DIN applications blocked without clearance in companies.
Requirement of security clearance is mandated for appointment of directors who are nationals of countries that share a land border with India. Such nationals must obtain security clearance before applying for a Director Identification Number; without the clearance the DIN application will not generate an application number. A declaration (serial 3A in DIR-3) requires applicants to state whether security clearance is required and obtained, and companies must ensure approvals are in place for director appointments. (AI Summary)

Duplicate securities issuance procedures streamlined; standardized documentation and dematerialisation mandated to protect investor and issuer interests.
SEBI has standardised formats and simplified documentation for issuance of duplicate securities certificates: submission of FIR/equivalent complaint with securities particulars, publication of a loss advertisement, prescribed affidavit and indemnity bond, no surety requirement, notarised/consular-attested self-declaration for overseas holders, RTAs to provide certificate/distinctive/folio numbers where signature and address match or after KYC, seizure/defacement and authorised disposal of forged or duplicated certificates, contingency insurance by listed companies, and mandatory issuance in dematerialised form. (AI Summary)

Interest Equalization Scheme extension boosts exporters with reduced rupee export credit rates and procedural claim requirements.
The Interest Equalization Scheme for pre- and post-shipment rupee export credit is extended until the notified terminal date, excluding telecom instruments and entities receiving PLI benefits for the same segment while allowing PLI beneficiaries to claim for other segments. Revised interest equalisation rates apply to specified MSME manufacturer exporters. Banks must obtain a prescribed Self-Declaration from exporters, identify and credit eligible exporters for the initial period and submit sector-wise consolidated reimbursement claims by the specified deadline, and subsequently reduce interest upfront for eligible exporters and submit original monthly claims within fifteen days from month end. (AI Summary)

Cost auditor appointment: governance, eligibility and mandated filings ensure timely CRA-2 notification and CRA-4 reporting.
Cost audit eligibility and procedure under the Companies Act and Cost Records Rules require a Cost Accountant with a certificate of practice; statutory auditors are ineligible. Where an Audit Committee exists it recommends appointment and remuneration to the Board; otherwise the Board appoints. Companies must obtain auditor consent, pass Board resolutions, notify stock exchanges if listed, issue appointment letters, and file e-Form CRA-2 within 30 days of Board approval or within 180 days of the financial year start. CRA-4 reporting and replacement of casual vacancies within 30 days are also required. (AI Summary)

Taxation of employee provident fund contributions: revised TDS, PAN linkage, and taxability rules for employee contributions.
The income tax rules now split EPF balances into taxable and non taxable accounts, taxing only employee contributions and related interest while leaving employer contributions non taxable. The rules apply to all EPF subscribers and impose withholding based on PAN linkage and declarations; higher withholding applies where PAN is not linked. Forms 15G/15H can reduce withholding for qualifying residents, while NRIs face different withholding, cess and surcharge consequences. A new income tax provision targets employee contributions exceeding an annual ceiling, and EPF membership remains mandatory for employees under a wage threshold in larger establishments. (AI Summary)

LLP compliance: conversion, naming and ROC filing obligations clarified; Form 8 filing relief extended for late submissions.
Conversion into an LLP requires compliance with the LLP Act and specific ROC filings: partnership conversions via Form 17 with Form 2, company conversions (private/unlisted) via Form 18 with Form 2; LLP names must end with Limited Liability Partnership or LLP; charge filings are voluntary via Appendix to e Form 8; LLPs maintain a uniform financial year ending 31 March and must file Form 11, Form 8 and DIR 3 KYC as recurring statutory obligations; HUFs cannot be partners or designated partners; governance is by the LLP Act and Rules. (AI Summary)

e-Settlement Scheme enables electronic, confidential proceedings and videoconferencing for pending income-tax settlement applications before an interim board.
The notification establishes the e-Settlement Scheme, 2021 allowing an interim board to decide specified pending income-tax settlement applications transferred to it; such applications deemed valid will be treated as pending and not withdrawable. Proceedings are to be conducted exclusively by electronic communication, not open to the public, with attendance limited to applicants, authorised representatives, and relevant officers unless permitted otherwise. The Board will provide videoconferencing facilities, pleadings may be in Hindi or English, and the interim board may publish orders or redacted rulings at its discretion. (AI Summary)

IEPFA claim settlement simplification: procedural requirements relaxed to expedite refunds to shareholders and company transmission procedures flexibilised.
The MCA issued the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2021, to simplify and accelerate refunds of unclaimed shares, dividends and other amounts under the Companies Act, 2013. Key claimant reliefs include waiver of Advance Receipt, replacement of notarisation with self attestation, eased affidavits and surety requirements, and relaxation of Succession Certificate/Probate/Will requirements up to a monetary threshold for physical and demat shares. Companies gain eased documentation for Unclaimed Suspense Accounts, flexibility to accept transmission documents per internal procedures, and an advertisement waiver for lost share certificates up to a threshold. (AI Summary)

Production-linked incentive scheme for pharmaceuticals boosts domestic manufacturing and supports high-value drug production and global competitiveness.
A Production-Linked Incentive (PLI) scheme creates a six-year incentive framework to boost domestic pharmaceutical manufacturing by rewarding incremental sales across three product categories-complex biopharmaceuticals and specialized formulations; active pharmaceutical ingredients and key starting materials (excluding those covered under an existing API scheme); and other therapeutic and diagnostic products not manufactured domestically-while grouping approved applicants, including MSMEs, under ministerially approved cohorts and implementing digital project management and a monitoring framework. (AI Summary)

MSME incentives expand credit, subsidies and procurement preferences to support technology adoption and liquidity relief.
The Ministry announced a package of MSME support measures including a tech upgradation capital subsidy for procurement of plant and machinery, subordinate debt, expanded collateral free loans and an equity infusion fund, along with procurement preferences, a champions portal, and faster clearance of government and PSU dues. (AI Summary)

Penalty for ATM cash-outs enforces banks to monitor ATM cash availability and timely replenish machines or face sanctions.
The Reserve Bank's Scheme of Penalty for Non-replenishment of ATMs (effective October 1, 2021) requires banks and banks supplying cash to WLAs to monitor ATM cash availability, submit system-generated monthly statements of downtime due to non-replenishment to the RBI, and subjects any ATM out-of-cash for more than ten hours in a month to a flat monetary penalty charged to the bank meeting that ATM's cash requirement, with the bank able to recover the penalty from the WLA operator. (AI Summary)

Fee reduction for educational institutions expands to include private and aided bodies, covering patent filings domestically and abroad.
An administrative announcement extends an 80% fee reduction for patent filing, publication and renewal to all recognised educational institutions applying for patents in India or abroad, expanding eligibility from government owned bodies to include government, government aided and private institutions; DPIIT is to implement the measure and determine modalities. (AI Summary)

e-RUPI digital voucher enhances targeted cashless benefit transfer, enabling prepaid redemption without requiring bank accounts.
e-RUPI is a person and purpose specific digital prepaid voucher delivered via SMS or QR code that permits one time, contactless redemption at specified service providers without a bank account, card, payment app, or internet. Issued by partner banks and settled in real time to providers, it aims to improve transparency and reduce costs and leakages in targeted benefit transfers while enabling access for users with basic phones and limited connectivity. (AI Summary)

Emergency credit line guarantee secures lender losses and expands targeted eligibility for distressed businesses under pandemic relief.
The Emergency Credit Line Guarantee Scheme provides government-backed guarantee coverage to Member Lending Institutions to absorb losses from borrower non repayment, enabling unsecured credit to distressed businesses to meet operational liabilities. Eligibility is organized in sequential tranches by borrower type and sector, with each tranche delimiting borrower scope, outstanding loan thresholds and arrears benchmarks as of specified reference dates to determine entitlement to guarantee support. (AI Summary)

Penalty for repeated delivery default imposes escalating fines and directs transfers to settlement guarantee funds to secure market integrity.
SEBI instituted a Penalty for Repeated Delivery Default imposing an additional charge for each instance of repeated default by a buyer or seller, calculated as a proportion of the value of the delivery default. A Repeated Default occurs where delivery defaults happen three times or more within a rolling six month period. Penalties collected shall be transferred to the Settlement Guarantee Fund of the Clearing Corporation. The measure applies to clearing corporations in the commodity derivatives segment and takes effect one month after issuance. (AI Summary)

Arbitration under MSMED Act: MSEFC may arbitrate or refer disputes, with limitation law governing such arbitrations.
Section 18(3) empowers the MSEFC to arbitrate disputes itself or refer them for arbitration when conciliation fails, and Section 18(4) allows the MSEFC or accredited centres to act as arbitrator or conciliator between a supplier within its territorial jurisdiction and a buyer elsewhere in India. Arbitration under Section 18(3) is governed by the Limitation Act, 1963, while the Trade Receivable Discounting System (TReDS) operates as an electronic platform to facilitate discounting of MSME receivables. (AI Summary)