“A lack of knowledge creates fear. Seeking knowledge creates courage.” Here is your Daily dose of professional updates 29.02.2020

1. F E B R U A R Y 2 9 , 2 0 2 0 | S A T U R D A Y I S S U E 1 7 7
THE DAILY
LIFELINE
Official Newsletter of Diucon
BIGGEST CHALLENGE-
HOW TO KEEP UPDATED
ON DAILY BASIS
Laws are changing frequently in India, there are big
developments and announcements on daily basis in
Economic & Finance world and many other reforms are on
the way. This newsletter will keep you updated on daily
basis along with documents taken from authentic sources.
By Pradeep Goyal, FCA | CPA, Australia
WHAT'S NEW IN
PROFESSIONAL/
BUSINESS
WORLD TODAY:
Goods & Service Tax
Direct Tax Code
Income Tax
Economy | Finance
Insolvency Laws

2. INDEX
UPDATES RELATED TO
 New Direct Tax Code
 Goods & Service Tax & Other Indirect Taxes
 Income Tax
 Announcements by ICAI
 Announcements by ICSI
 Corporate Laws
 The Insolvency and Bankruptcy Law
 Security and Exchange Board of India (SEBI)
 Director General of Foreign Trade (DGFT)
 Start-ups
 Micro, Small & Medium Enterprises
 Reserve Bank of India
 New acts notified/Bills introduced in parliament or Executive
orders by President
 Economy & Finance.
[From Monday to Friday 5 days a week as Saturdays and Sundays being holiday and
closure of all government departments hence no updates]

3. Page 1 of 6
 Goods & Service Tax & other Indirect taxes
 Notifications/Circulars/Press releases/FAQs/Portal Updates/Write-ups by
CBIC/Government
 CBIC issued its Weekly GST update dated 22.02.2020.
This covers the GST changes / observations/ press releases/ Tweet FAQs/
Sectoral FAQs released by CBEC since the last update on 15.02.2020. It
supplements the earlier GST Updates. It Contains summary of-
 Notification No. 01/2020-Central Tax (Rate) dated 21.02.2020 (Effective
from 01.03.2020), Single rate of GST @ 28% on both State run and State
authorized lottery.
 Due Dates of filing of GSTR-3B for January 2020.
 Updates related to E-Invoice
 Manner of Opting-in Composition Scheme for 2020-21 by filing FORM GST
CMP-02
Download copy of this update here
 CBIC implemented automated clearance of imported goods on All-India basis.
Vide Circular No 05/2020-Customs dated 27.01.2020, CBIC launched facility of
automated clearance on a pilot basis at two customs locations Chennai Customs
House and Jawaharlal Nehru Customs House with effect from 06.02.2020. After
review of the pilot roll-out of automated clearance at these two customs
locations, now CBIC has decided to extend the facility of automated clearance
of Bills of Entry to all customs formations where the Customs EDI system is
operational, with effect from 05.03.2020.
Circular No.15/2020-Customs dated 28th
February, 2020
 GSTN Announcement
New (Toll-free) number of GST Portal Help Desk: 1800-103-4786 from 26th Feb
2020, 365 days, 9 am to 9 pm.
The existing no. 0120-4888999 is discontinued.
 To enhance ease of doing business & boost investments in India, CBIC has
streamlined a three steps process to clear the warehoused goods from a
bonded facility.
learn more using this link

4. Page 2 of 6
 Legal updates- Advance Ruling Authorities/Tribunals/High Courts/Supreme Court
Sr.No.
Key to find the
document
Authority who
passed the order
Details of decision
Provisions
discussed
Decision
1 2020] 114
taxmann.com 371
Sanjaybhai
Laxmanbhai
Gogara v.
State of Gujarat
R/SPECIAL CIVIL
APPLICATION NO.
19970 OF 2019
NOVEMBER 15,
2019
Gujrat High Court Section
129 and
130
Where Competent
Authority had
detained goods of
assessee under
transport as well as
vehicle and
confiscated same on
ground that after
checking assessee's
record according to
GST system, assessee
appeared to be
involved in bogus
billing practice,
notice was to be
issued on GST
Authorities/
 Corporate Laws
 MCA extended the last date for submission of public comments on the
“consultation paper on enhancement of Audit Independence and
Accountability” up-to 15th March, 2020. Comments may please be forwarded at
the earliest through email at audit.policy@mca.gov.in latest by 15th March, 2020
and no requests for further extension of the date would be considered.
 MCA portal Downtime starts from 29th February 2020, 21:00pm to 1st March
2020, 07:00AM.

5. Page 3 of 6
 MCA issues Companies (Appointment and Qualification of Directors)
Amendment Rules, 2020, will be effective from date of publication in gazette.
 Amendment in clause (a) of rule 6(1)
Individuals, who have been appointed as independent directors, on the
date of commencement of the Companies (Appointment and
Qualification of Directors) Fifth Amendment Rules, 2019, shall within a
period of three months five months from such commencement, shall
apply online to the Indian Institute of Corporate Affairs at Manesar, for
inclusion of his name in the data bank for a period of one year or five years
or for his life-time, and from time to time take steps as specified in sub-
rule (2), till he continues to hold the office of an independent director in
any company.
 Amendment in Rule 6(4)- First proviso to rule 6(4) substituted with
following new proviso.
Provided that an individual shall not be required to pass the online
proficiency self-assessment test, when he has served as a director or key
managerial personnel, for a total period of not less than ten years, as on
the date of inclusion of his name in the databank, in o.," o, more of the
following, namely: -
(a) listed public company; or
(b) unlisted public company having a paid-up share capital of rupees
ten crore or more; or
(c) body corporate listed on a recognized stock exchange.
 Amendment in Rule 6(4)- 2nd proviso
Provided further that for the purpose of calculation of the period of ten
years referred to in the first proviso, any period during which an individual
was acting as a director or as a key managerial personnel in two or more
companies companies or bodies corporate at the same time shall be
counted only once.
[amendments in red colour]
Download MCA notification here

6. Page 4 of 6
 The Insolvency and Bankruptcy Law
 Notification/Circular/Press release/ Write-ups/Newsletters by IBBI/Government
 IBBI publishes syllabus, format, frequency and other details of valuation
examinations.
IBBI, being the Authority, hereby publishes the syllabus and format of the
‘Valuation Examinations’ to be conducted from 1st June 2020 for the asset
classes Land and Building, Plant and Machinery and Securities or Financial
Assets.
Download this press release for more details
 Legal updates- NCLT | NCLAT | SUPREME COURT
Sr.No. Key to find the
document
Authority
who passed
the order
Details of decision
Provisions
discussed
Decision
1 2020] 114
taxmann.com 243
Loyal Scaffolding
(P.) Ltd.
v. Goyala Infras.
Projects (P.) Ltd.
IB-1495/ND/2019
OCTOBER 30,
2019
(NCLT - New
Delhi)
Section
5(6) and 9
Where as per terms and
conditions corporate
debtor had choice to
have authorized agent to
conduct inspection of
material, after which no
complaint was to be
entertained by
operational creditor
regarding material,
dispute raised by
corporate debtor in
response to demand
notice that material
supplied by operational
creditor was not as per
order could not be
accepted; CIRP admitted

7. Page 5 of 6
Sr.No. Key to find the
document
Authority
who passed
the order
Details of decision
Provisions
discussed
Decision
2 [2020] 114
taxmann.com 242
Flemingo Airport
Retail Ltd. v.
Caravan Evolved
Craft (P.) Ltd.
C.P. (IB) NO.
19/BB/2018
DECEMBER 31,
2019
NCLT
Bangalore
Section
5(21) read
with 5(6)
and 9
Where amount claimed to
be due and payable was
monthly rent, same was
not a valid 'operational
debt', and since there was
a pre-existing dispute
between parties over
basis of payment,
provisions of section 9
could not be invoked and
CIRP petition was to be
rejected.
3 [2020] 114
taxmann.com 252
Pentax Ferro
Incorporate
v.
Trako Infra (India)
(P.) Ltd.
CP (IB)
NO.1737/MB/C-
IV/2019
DECEMBER 12,
2019
NCLT Mumbai Where operational
creditor supplied
products to corporate
debtor who issued
cheques, which were
dishonoured, and despite
service of notice, there
was no representation for
corporate debtor at any
stage of CIRP
proceedings; it was to be
held that corporate
debtor did not dispute
liability and defaulted in
payment, therefore, CIRP
was to be initiated
against corporate debtor

8. Page 6 of 6
 Economy & Finance
 World's biggest sovereign wealth fund increases its bets on India.
Norway’s Government Pension Fund Global, the biggest sovereign wealth fund
in the world, has increased its bets on India by 27.2 per cent to $9.4 billion. This
is the highest since 2005. The number of equity investments has also risen. It is
up from 253 in 2018 to 317 as of 2019-end. The fund makes annual disclosures on
its portfolio. The latest one was out on 27th February, along with the release of
its annual report. India was among its largest exposures in emerging markets.
Business Standard Report
 S&P 500 drops for 7th day, posts biggest weekly fall since 2008 crisis
The S&P 500 fell for the seventh straight day on Friday and the benchmark index
suffered its biggest weekly drop since the 2008 global financial crisis on growing
fears the fast-spreading coronavirus could lead to a recession, although stocks
cut losses at the end of the day's session. The Dow Jones Industrial Average fell
356.88 points, or 1.39 per cent, to 25,409.76, the S&P 500 lost 24.7 points, or
0.83 per cent, to 2,954.06 and the Nasdaq Composite added 0.89 points, or 0.01
per cent, to 8,567.37.
Business Standard Report
SAVE WATER || SAVE UNIVERSE

9. =============================================
About Scribbler
PRADEEP GOYAL
 Fellow Member of the Institute of
Chartered Accountants of India.
 Associate member of Professional
Accounting Body of Certified
Practising Accountants (CPA),
Australia.
 Registered Valuer with IBBI- Asset
Class- Securities or Financial Assets
 CFA (Corporate Finance)- Columbia
Business School, USA | EMERITUS
Institute of Management, Singapore.
 Certified Goods & Service Tax
Practitioner from ICAI & Ministry of
Micro, Small & Medium Enterprises,
Government of India.
================================
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