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NIRC - ICSI Newsletter | August 2016 1NIRC-ICSI wishes all the members a

Happy 70th Independence Day

Monthly • Volume XXXV • Page 1-24 • No.08 • August, 2016

1 Meeting of CS Manish Gupta and CS Pradeep Debnath with Hon’ble Shri Kalraj Mishra, Minister of Micro, Small and Medium Enterprises (MSME), Government of India

3 Meeting of CS Manish Gupta, CS Ranjeet Pandey, CS Satwinder Singh and CS NPS Chawla with Smt. Ina Malhotra, Member (Judicial) of NCLT

5 Meeting of CS Manish Gupta, CS Ranjeet Pandey, CS Satwinder Singh, CS NPS Chawla and CS Nitesh Sinha with Shri R. Vardharajan, Member (Judicial) of NCLT

2 Meeting of CS Manish Gupta, CS Ranjeet Pandey, CS Satwinder Singh and CS NPS Chawla with Hon’ble Justice (Retd.) M.M. Kumar, President of NCLT

4 Meeting of CS Manish Gupta, CS Ranjeet Pandey, CS Satwinder Singh and CS NPS Chawla with Shri Santanu Kumar Mohapatra, Member (Technical) of NCLT

6 Meeting of CS Manish Gupta and CS Ranjeet Pandey with Shri N K Bhola, Regional Director(N), Ministry of Corporate Affairs

7 Cultural Evening dedicated to CSBF (31.7.2016): Group photograph of participants, SAM Group alongwith CS Manish Gupta, CS Rajiv Bajaj, CS Ranjeet Pandey, CS Dhananjay Shukla and past Chairmen of NIRC and others.

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NIRC - ICSI Newsletter | August 2016 2

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1 Haryana State Conference (Host: Yamunanagar, Sonepat & Karnal-Panipat Chapters and Co-Host: Chandigarh Chapter) on Recent Legislative Changes and Professional Opportunities (9.07.2016): L to R CS Rajeev Bhambri, CS Manish Gupta, CS Satwinder Singh, Shri Anupam Malik, Addl. Labour Commissioner, Haryana, CS Ranjeet Pandey, CS G S Sarin and CS Jasbir Singh

2 Valedictory Session of 15 days Master Class Room Study Sessions on NCLT & NCLAT (11.07.2016): L to R CS NPS Chawla, CS Manish Gupta, CS U K Chaudhary, Past President-ICSI & Senior Advocate and CS Nesar Ahmad, Past President-ICSI and CS Monika Kohli

3 35th Annual General Meeting of NIRC (30.07.2016): CS Manish Gupta presenting memento to presenting CS Ravi Bhushan Goel(Outgoing Statutory Auditor) in the presence of CS Rajiv Bajaj, CS Ranjeet Pandey, CS Satwinder Singh, CS Dhananjay Shukla, CS Pradeep Debnath, CS Manish Aggarwal, CS Monika Kohli, CS NPS Chawla, CS Nitesh Sinha and CS Saurabh Kalia

5 Cultural Evening dedicated to CSBF (31.7.2016): Performance by Ms. Stuti Debnath, Ms. Ekta Kukreja, CS Neha Somani and CS Saurav Sharma 6 National Round of 15th All India Elocution Competition 2016 for Students (8.07.2016):

L to R CS Monika Kohli, CS Manish Gupta, CS Sumit Pahwa, CS Ajay Garg and Mr. Suneel Keswani, Corporate Trainer

7 Rajasthan State Conference on New Era of Opportunities for Company Secretaries (23.07.2016): Addressing from L to R CS Rajiv Bajaj CS Praveen Mahajan, CS NPS Chawla and CS (Dr.) Sanjiv Agarwal

8 Seminar on Goods & Services Tax (30.07.2016): L to R CA Virender Chauhan and CA Gaurav Gupta addressing

4 Workshop on Insolvency and Bankruptcy Code, 2016(16.07.2016): CS Vinod Kothari (Partner, M/s. Vinod Kothari & Co.,Practising Company Secretaries) addressing. Others sitting from L to R CS Nitesh Sinha, CS Manish Gupta, CS Pavan Kumar Vijay (Past President-ICSI),Managing Director, Corporate Professionals Capital Private Limited) and CS Rajiv Bajaj

NIRC - ICSI Newsletter | August 2016 3

From the Chairman

Dear Professional Colleagues,

At the outset, through this august column, I want to take a moment and wish all the learned members and students of ICSI a very Happy Raksha bandhan, 70th Independence Day and Krishna Janmashtami.

INDIA is a nation of diversity and nation’s strength lies in “Unity in Diversity”. Despite social, economical and religious diversity in India, the educational system has developed and strengthened in our country over the years,.

History confirms that India has been a destination for learning for centuries. Benjamin Franklin once said : “Only thing that is more expensive than education is ignorance. If you think education is expensive — try ignorance.” Education can help people in developing their faculties, i.e. forces of mind and body, and having freedom of thought and action. Education empowers our conceptual and technical skills and help people in questioning, knowing and understanding their obligations to society, while making them responsible and tolerant towards others’ beliefs and perspectives.

With this understanding, on the occasion of 70th Independence Day of India, I would request you all to educate as many people as you can in your society. Education provides economic benefits to society in many ways, because well-educated citizens are better-equipped for significant economic production. People with more education have knowledge and skills to perform higher-level employment roles. Other benefits include improved health, more stable families, improved environments and lower crime rates.

Performance is the result of positive and focussed thinking in the right direction All action results from thoughts, so it is thoughts that matter. Every individual intends to enjoy their life and the same is based on our approach of thinking. We all are enjoying freedom due to the dedication and sacrifice by our freedom fighters, forefathers and philanthropic leaders. To carry on enjoyment in the society and for its furtherance we should have independent thinking by considering the gross aspects. The entire country is celebrating 70th Independence Day to pay tribute and remember all the freedom fighters who had contributed a lot and fought for the Independence of our nation.

Every constructive suggestion with better solution in any system is always beneficial. Your NIRC always believes in initiating new steps to implement independent thoughts. For the betterment of our profession, during the month we have initiated the following steps:

� The students are the backbone of every profession. To facilitate them,

“Merciless suggestion and independent thinking are the two necessary traits of

revolutionary thinking.” ~ Shaheed Bhagat Singh

we have started e-newsletter which will be issued on quarterly basis and contains latest updates of the subject, articles, regulatory updates etc.

� We have decided to invite young members to coordinate the programs so as to provide them better opportunities in the initial phase of their bright career. This will enhance their communication and presentation skills.

� NIRC has set up six core groups on the topic GST, IPR, NCLT/NCLAT, Proposed Secretarial Standards, Reviewing E-Forms under Companies Act, 2013, and Insolvency & Bankruptcy Code. These core groups will be discussing the issues, opportunities and challenges under the new regime and endeavour to guide our members to enhance & update their knowledge and sharpen their skills in the respective areas so we can perform better while dealing with the concerning matter.

� The Executive Committee of NIRC has decided to organise capacity building program on NCLT/NCLAT in various cities across northern region of the country. This will not create awareness among our members but also motivate them to grab such opportunities and enter into these areas.

� We have started with the Audio / Video recording of the seminars / workshops for the benefits of our members at large. All such video along with the presentations made by the learned speakers are being shared with all the members of the Northern Region and also uploaded on Youtube and official portal of NIRO.

We, at NIRC are organising numerous capacity building & knowledge enhancing programs every month. A brief summary of the organised programs are highlighted hereunder:

Members Programs conducted during the month:On 9th July, 2016 Haryana State Conference was organised on the theme of “Recent Legislative Changes and Professional Opportunities” for Company Secretaries. The program was facilitated with Yamunanagar, Sonepat & Karnal- Panipat Chapters as host chapters and Chandigarh Chapter as co-host chapter. Shri Anupam Malik, Addl. Labour Commissioner, Haryana was the Chief Guest and the Key-note Speaker on the occasion. CS Satwinder Singh, Council Member-ICSI and CS Ranjeet Pandey, Council Member-ICSI were the Guest Speakers. The members have been benefited by getting updates on the legislative changes and also about the new opportunities.

On 11th July, 2016 valedictory session of 15 days “Master Class Room Study Sessions on NCLT & NCLAT” was organised. CS  U K Chaudhary, Past President-ICSI & Senior Advocate and CS Nesar Ahmad, Past President-ICSI were the Special Guests on the occasion. The certificates for participation have been awarded to the members. A large number of members have been benefited from this program and have appreciated the contents, faculties and efforts put in by team NIRO in organising 15 days Master Classes

On 13th July, 2016 PCS Help Line on the topic “Related Party Transactions” was organised. CS Ilam C Kamboj, PCS and former Associate Vice President- Legal & Company Secretary Hero MotoCorp Ltd., and also the Member of Secretarial Standards Board-ICSI was the expert for the program. Various queries have been attended and responded with relevant provisions.

On 16th July, 2016 workshop on “Insolvency and Bankruptcy Code, 2016” was conducted. CS Pavan Kumar Vijay, Past President-ICSI and Managing Director, Corporate Professionals Capital Private Limited was the Key-note speaker on the occassion. CS Vinod Kothari,Partner, M/s. Vinod Kothari & Co., Practising Company Secretaries was the guest speaker. The important provisions of the Code was discussed and helped in resolving the queries of the members.

On 22nd July, 2016 empowerment session on the topic “Start-up & Stand up” was held. CA Purna Devi, Director- Tax & Regulatory Services, EY India was the

NIRC - ICSI Newsletter | August 2016 4

guest speaker for the program. The important features of the government’s flagship initiative’s were discussed. The eligibility criteria, required formalities and available facilities were highlighted.

On 23rd July, 2016 Rajasthan State Conference was organised on the theme “New Era of Opportunities for Company Secretaries”. Jaipur Chapter was host chapter and Ajmer & Kota Chapters were the co-host chapters for the program. Shri D C Jain, IPS, Additional Director General Police (Vigilance) Police Headquarters, Jaipur was the Chief Guest. CS Sanjay Kumar Gupta, Registrar of Companies, Jaipur and CS (Dr.) Shyam Agrawal, Vice-President-ICSI were guests of honour. CS Rajiv Bajaj, Council Member-ICSI and CS NPS Chawla, Immediate Past Chairman-NIRC; CS Praveen Mahajan, Advocate and CS (Dr.) Sanjiv Agarwal, Past Chairman, NIRC were the guest speakers on the occasion. The new avenues available to Company Secretaries were explained.

On 27th July, 2016 PCS Help Line on the topic “Filing of Income Tax Return” was organised. CS M. K. Bhatt, Practising Chartered Accountant was the expert for the program.

On 30th July, 2016 one day seminar was conducted on the topic “Goods & Services Tax” (GST). CS Upender Gupta Commissioner, GST, Central Board of Excise and Customs (CBEC) was the Chief Guest. CS Bimal Jain, CA Gaurav Gupta and CA Virender Chauhan were the guest speakers.

On 30th July, 2016 35th Annual General Meeting of NIRC was held About 200 members participated at the AGM. The queries raised by the stakeholders were responded to and we every suggestion given by them was duly acknowledged.

On 31st July, 2016, the 45th Foundation Day of NIRC was celebrated at Air force Auditorium with Cultural Evening which was dedicated to CSBF. Large number of members and their families joined the program and enjoyed, which was followed by Dinner. The surplus of the program will be transferred to CSBF.

Students Programs conducted during the month:July, 2016 was dedicated to the students and your NIRC celebrated the foundation month as the Student Month. The students programs have been organised during the month. A summary of the organised events are as under:

On 5th July, 2016 240th MSOP was inaugurated. CS Yogesh Gupta, Past Chairman, NIRC-ICSI and CS Deepak Jain, Company Secretary, Unitech Limited were the special guests.

On 7th July, 2016 241st MSOP was inaugurated. CS Harsh Kumar Arora, Director & Company Secretary, Perfetti Van Melle India Pvt. Ltd. was the chief guest on the occasion.

On 8th July, 2016 National Round of 15th All India Elocution Competition 2016 for Students was organised. Mr. Suneel Keswani, Corporate Trainer, CS Ajay Garg and CS Sumit Pahwa were the Judges for the elocution. Ms. Mega Balyan was winner and Mr. Ajit Abraham Joseph was runner-up for the competition.

On 16th July, 2016 Faculty Induction Program was organised. CS R P Tulsian, Associate Professor, University of Delhi was the guest speaker. CS Tulsian addressed the faculty members and requested to put our best for the betterment of our students. He also suggested to make the sessions more interesting and interactive.

On 18th July, 2016 Regional round of 14th All India Moot Court Competition- 2016 was held. CS J K Bareja, CS Mukesh Sukhija, CS Ajay Garg and CS S Narayanan were Judges for the competition. The winning team consists of Ms. Shreya Jain and Ms. Palak Nenwani. They have represented NIRC in the National Competition at Pune.

On 22nd July, 2016 Campus Placement for the participants of the 240th & 241st batch of MSOP was organised . Various companies and practising firms participated in the Campus placement. The students have got the opportunities to face the real life interview.

On 25th July, 2016 Motivation Talk for students was conducted. CS Govind Kumar Mishra was the guest speaker on the occasion.

On 25th July, 2016 Valedictory Function of 240th & 241st MSOP was held. CS S Bhasker, Principal Consultant, MCA21 Project of MCA Infosys Limited was the Chief Guest and CS Ashok Tyagi, Company Secretary in Practice was our special guest on the occasion. CS Bhasker inspired the participants and requested them to use more technological tools for faster, easier and economical access to the desired information. CS Tyagi shared his long experience and suggested advice on various topical issues.

On 28th July, 2016 242nd MSOP was inaugurated. CS Atul Mittal, Past Chairman, NIRC was the Chief Guest. CS Mittal motivated the participants and shared his experiences of the corporate world.

On 31st July, 2016 Regional Students’ Conference was organised on the theme “Empower – Emerge – Excel” at Air force Auditorium. Mr. Vijay Batra, Internationally Acclaimed Inspirational and  Motivational Trainer & CS Priyanka Batra Mehra were the Guest Speaker for the conference. A large number of students have participants in this mega conference.

Forthcoming ProgramsOn 15th August, 2016 Celebration of Independence Day. Shri N K Bhola, Regional Director (N), MCA has accepted our request to be the Chief Guest on the occasion. I request all the members along with their families to come and grace the occasion.

On 20th August, 2016 One day seminar on the topic “Delegated Legislation : Changes & Impact (Recent Amendment To Rules Under Companies Act, 2013 & NCLT & NCLAT Rules, 2016) at Hotel Eros, Nehru Place, New Delhi. Eminent faculties have been invited to share their rich experience, request members to attend the program in large numbers.

I take this opportunity to place my sincere thanks and gratitude to all the Chief Guests, Guests of Honour, Judges, Guest Speakers, and other invitees for sparing their valuable time and sharing their rich knowledge and words of wisdom with the delegates of the all these programmes. I also extend my sincere thanks to all my colleagues in the Regional Council and the officials working at NIRO without their support and dedication it was not possible for us to organise all these programmes.

I take this opportunity to request all of you to support and contribute in the activities of NIRC, in whatever manner and form you can. I also request ayou all to kindly give your constructive suggestions for the development of the activities of NIRC. Please feel free to interact with me at chairman.nirc@icsi.edu

Before I conclude, let us give a thought to our 70th Independence Day (15th August) which is approaching. Let us celebrate independence with the desired sense of national pride as well as responsibility. I believe in what Mahatma Gandhi had observed once: “The condition of India is unique. Its strength is immeasurable. We need not, therefore, refer to the history of other countries. I have drawn attention to the fact, that when other civilisations have succumbed, the Indian has survived many a shock.”

Let’s bow to our great nation and extend our enthusiasm and festive spirit to the Independence Day celebrations..

Happy 70th Independence Day to all of you!

Jai HindWith best regards,

Yours Sincerely,

CS Manish GuptaChairman, NIRC-ICSI

Cell: 9212221110

From the Chairman

NIRC - ICSI Newsletter | August 2016 5

FAQs on GST

Frequently Asked Questions (FAQs) on Goods and Services Tax (GST)

Following are the answers to the various frequently asked questions relating to GST: Question l.What is GST? How does it work?

Answer: GST is one indirect tax for the whole nation, which will make India one unified common market.

GST is a single tax on the supply of goods and services, right from the manufacturer to the consumer. Credits of input taxes paid at each stage will be available in the subsequent stage of value addition, which makes GST essentially a tax only on value addition at each stage. The final consumer will thus bear only the GST charged by the last dealer in the supply chain, with set-off benefits at all the previous stages.

Question 2. What are the benefits of GST?

Answer: The benefits of GST can be summarized as under:

� For business and industry

� Easy compliance: A robust and comprehensive IT system would be the foundation of the GST regime in India. Therefore, all tax payer services such as registrations, returns, payments, etc. would be available to the taxpayers online, which would make compliance easy and transparent.

� Uniformity of tax rates and structures: GST will ensure that indirect tax rates and structures are common across the country, thereby increasing certainty and ease of doing business. In other words, GST would make doing business in the country tax neutral, irrespective of the choice of place of doing business.

� Removal of cascading: A system of seamless tax-credits throughout the value-chain, and across boundaries of States, would ensure that there is minimal cascading of taxes. This would reduce hidden costs of doing business.

� Improved competitiveness: Reduction in transaction costs of doing business would eventually lead to an improved competitiveness for the trade and industry.

� Gain to manufacturers and exporters: The subsuming of major Central and State taxes in GST, complete and comprehensive set-off of input goods and services and phasing out of Central Sales Tax (CST) would reduce the cost of locally manufactured goods and services. This will increase the competitiveness of Indian goods and services in the international market and give boost to Indian exports. The uniformity in tax rates and procedures across the country will also go a long way in reducing the compliance cost.

� For Central and State Governments

� o Simple and easy to administer: Multiple indirect taxes at the Central and State levels are being replaced by GST. Backed with a robust end-to-end IT system, GST would be simpler and

Frequently Asked Questions (FAQs) on Goods and Services Tax (GST)

Press Information Bureau Government of India Ministry of Finance*

*Source: www.icsi.edu

easier to administer than all other indirect taxes of the Centre and State levied so far.

� o Better controls on leakage: GST will result in better tax compliance due to a robust IT infrastructure. Due to the seamless transfer of input tax credit from one stage to another in the chain of value addition, there is an in-built mechanism in the design of GST that would incentivize tax compliance by traders.

� o Higher revenue efficiency: GST is expected to decrease the cost of collection of tax revenues of the Government, and will therefore, lead to higher revenue efficiency.

� For the consumer

� Single and transparent tax proportionate to the value of goods and services: Due to multiple indirect taxes being levied by the Centre and State, with incomplete or no input tax credits available at progressive stages of value addition, the cost of most goods and services in the country today are laden with many hidden taxes. Under GST, there would be only one tax from the manufacturer to the consumer, leading to transparency of taxes paid to the final consumer.

� Relief in overall tax burden: Because of efficiency gains and prevention of leakages, the overall tax burden on most commodities will come down, which will benefit consumers.

Question 3. Which taxes at the Centre and State level are being subsumed into GST?

Answer:

At the Central level, the following taxes are being subsumed:

a. Central Excise Duty.b. Additional Excise Duty.c. Service Tax.d. Additional Customs Duty commonly known as Countervailing

Duty, ande. Special Additional Duty of Customs. At the State level, the following taxes are being subsumed:a. Subsuming of State Value Added Tax/Sales Tax,b. Entertainment Tax (other than the tax levied by the

local bodies), Central Sales Tax (levied by the Centre and collected by the States),

c. Octroi and Entry tax,d. Purchase Tax,e. Luxury tax, andf. Taxes on lottery, betting and gambling.

Question 4. What are the major chronological events that have led to the introduction of GST?

NIRC - ICSI Newsletter | August 2016 6

Answer: GST is being introduced in the country after a 13 year long journey since it was first discussed in the report of the Kelkar Task Force on indirect taxes. A brief chronology outlining the major milestones on the proposal for introduction of GST in India is as follows:

a. In 2003, the Kelkar Task Force on indirect tax had suggested a comprehensive Goods and Services Tax (GST)based on VAT principle.

b. A proposal to introduce a National level Goods and Services Tax (GST) by April 1, 2010 was first mooted in theBudget Speech for the financial year 2006-07.

c. Since the proposal involved reform/ restructuring of not only indirect taxes levied by the Centre but also the States,the responsibility of preparing a Design and Road Map for the implementation of GST was assigned to theEmpowered Committee of State Finance Ministers (EC).

d. Based on inputs from Govt of India and States, the EC released its First Discussion Paper on Goods and ServicesTax in India in November, 2009.

e. In order to take the GST related work further, a Joint Working Group consisting of officers from Central as well asState Government was constituted in September, 2009.

f. In order to amend the Constitution to enable introduction of GST, the Constitution (115th Amendment) Bill wasintroduced in the Lok Sabha in March 2011. As per the prescribed procedure, the Bill was referred to the StandingCommittee on Finance of the Parliament for examination and report.

g. Meanwhile, in pursuance of the decision taken in a meeting between the Union Finance Minister and theEmpowered Committee of State Finance Ministers on 8th November, 2012, a ‘Committee on GST Design’,consisting of the officials of the Government of India, State Governments and the Empowered Committee wasconstituted.

h. This Committee did a detailed discussion on GST design including the Constitution (115th) Amendment Bill and submitted its report in January, 2013. Based on this Report, the EC recommended certain changes in the Constitution Amendment Bill in their meeting at Bhubaneswar in January 2013.

i. The Empowered Committee in the Bhubaneswar meeting also decided to constitute three committees of officers to discuss and report on various aspects of GST as follows:-(a) Committee on Place of Supply Rules and Revenue Neutral

Rates;(b) Committee on dual control, threshold and exemptions;(c) Committee on IGST and GST on imports.

j. The Parliamentary Standing Committee submitted its Report in August, 2013 to the Lok Sabha. The recommendations of the Empowered Committee and the recommendations of the Parliamentary Standing Committee were examined in the Ministry in consultation with the Legislative Department. Most of the recommendations made by the Empowered Committee and the Parliamentary Standing Committee were accepted and the draft Amendment Bill was suitably revised.

k. The final draft Constitutional Amendment Bill incorporating the above stated changes were sent to the Empowered Committee for consideration in September 2013.

1. The EC once again made certain recommendations on the Bill after its meeting in Shillong in November 2013. Certain recommendations of the Empowered Committee were incorporated in the draft Constitution (115th Amendment) Bill. The revised draft was sent for consideration of the Empowered Committee in March, 2014.

m. The 115th Constitutional (Amendment) Bill, 2011, for the introduction of GST introduced in the Lok Sabha in March 2011 lapsed with the dissolution of the 15th Lok Sabha.

n. In June 2014, the draft Constitution Amendment Bill was sent to the Empowered Committee after approval of the new Government.

o. Based on a broad consensus reached with the Empowered

Committee on the contours of the Bill, the Cabinet on 17.12.2014 approved the proposal for introduction of a Bill in the Parliament for amending the Constitution of India to facilitate the introduction of Goods and Services Tax (GST) in the country. The Bill was introduced in the Lok Sabha on 19.12.2014, and was passed by the Lok Sabha on 06.05.2015. It was then referred to the Select Committee of Rajya Sabha, which submitted its report on 22.07.2015.

Question 5. How would GST be administered in India?

Answer: Keeping in mind the federal structure of India, there will be two components of GST - Central GST (CGST) and State GST (SGST). Both Centre and States will simultaneously levy GST across the value chain. Tax will be levied on every supply of goods and services. Centre would levy and collect Central Goods and Services Tax (CGST), and States would levy and collect the State Goods and Services Tax (SGST) on all transactions within a State. The input tax credit of CGST would be available for discharging the CGST liability on the output at each stage. Similarly, the credit of SGST paid on inputs would be allowed for paying the SGST on output. No cross utilization of credit would be permitted.

Question 6.How would a particular transaction of goods and services be taxed simultaneously under Central GST (CGST) and State GST (SGST)?

Answer: The Central GST and the State GST would be levied simultaneously on every transaction of supply of goods and services except on exempted goods and services, goods which are outside the purview of GST and the transactions which are below the prescribed threshold limits. Further, both would be levied on the same price or value unlike State VAT which is levied on the value of the goods inclusive of Central Excise.

A diagrammatic representation of the working of the Dual GST model within a State is shown in Figure 1 below.

Question 7.Will cross utilization of credits between goods and services be allowed under GST regime?

Answer : Cross utilization of credit of CGST between goods and services would be allowed. Similarly, the facility of cross utilization of credit will be available in case of SGST. However, the cross utilization of CGST and SGST would not be allowed except in the case of inter-State supply of goods and services under the IGST model which is explained in answer to the next question.

Question 8.How will be Inter-State Transactions of Goods and Services be taxed under GST in terms of IGST method?

Answer: In case of inter-State transactions, the Centre would levy and collect the Integrated Goods and Services Tax (IGST) on all inter-State supplies of goods and services under Article 269A (1) of the Constitution. The IGST would roughly be equal to CGST plus SGST. The IGST mechanism has been designed to ensure seamless flow of input tax credit from one State to another. The inter-State seller would pay IGST on the sale of his goods to the Central Government after adjusting

FAQs on GST

NIRC - ICSI Newsletter | August 2016 7

FAQs on GSTcredit of IGST, CGST and SGST on his purchases (in that order). The exporting State will transfer to the Centre the credit of SGST used in payment of IGST. The importing dealer will claim credit of IGST while discharging his output tax liability (both CGST and SGST) in his own State. The Centre will transfer to the importing State the credit of IGST used in payment of SGST.Since GST is a destination-based tax, all SGST on the final product will ordinarily accrue to the consuming State.

A diagrammatic representation of the working of the IGST model for inter-State transactions is shown in Figure 2 below.

Question 9. How will IT be used for the implementation of GST?

Answen: For the implementation of GST in the country, the Central and State Governments have jointly registered Goods and Services Tax Network (GSTN) as a not-for-profit, non-Government Company to provide shared IT infrastructure and services to Central and State Governments, tax payers and other stakeholders. The key objectives of GSTN are to provide a standard and uniform interface to the taxpayers, and shared infrastructure and services to Central and State/UT governments.

GSTN is working on developing a state-of-the-art comprehensive IT infrastructure including the common GST portal providing frontend services of registration, returns and payments to all taxpayers, as well as the backend IT modules for certain States that include processing of returns, registrations, audits, assessments, appeals, etc. All States, accounting authorities, RBI and banks, are also preparing their IT infrastructure for the administration of GST.

There would no manual filing of returns. All taxes can also be paid online. All mis-matched returns would be auto-generated, and there would be no need for manual interventions. Most returns would be self-assessed.

Question lO. How will imports be taxed under GST?

Answer : The Additional Duty of Excise or CVD and the Special Additional Duty or SAD presently being levied on imports will be subsumed under GST. As per explanation to clause (1) of article 269A of the Constitution, IGST will be levied on all imports into the territory of India. Unlike in the present regime, the States where imported goods are consumed will now gain their share from this IGST paid on imported goods.

Question ll. What are the major features of the Constitution (122nd Amendment) Bill, 2014?

Answer : The salient features of the Bill are as follows:

g. Conferring simultaneous power upon Parliament and the State Legislatures to make laws governing goods and services tax;

h. Subsuming of various Central indirect taxes and levies such as Central Excise Duty, Additional Excise Duties.

Service Tax, Additional Customs Duty commonly known as Countervailing Duty, and Special Additional Duty of Customs;

i. Subsuming of State Value Added Tax/Sales Tax, Entertainment Tax (other than the tax levied by the local bodies), Central Sales Tax

(levied by the Centre and collected by the States), Octroi and Entry tax, Purchase Tax, Luxury tax, and Taxes on lottery, betting and gambling;

j. Dispensing with the concept of ‘declared goods of special importance’ under the Constitution; k. Levy of Integrated Goods and Services Tax on inter-State transactions of goods and services;

l. GST to be levied on all goods and services, except alcoholic liquor for human consumption. Petroleum and petroleum products shall be subject to the levy of GST on a later date notified on the recommendation of the Goods and Services Tax Council;

m. Compensation to the States for loss of revenue arising on account of implementation of the Goods and Services Tax for a period of five years;

n. Creation of Goods and Services Tax Council to examine issues relating to goods and services tax and make recommendations to the Union and the States on parameters like rates, taxes, cesses and surcharges to be subsumed, exemption list and threshold limits, Model GST laws, etc. The Council shall function under the Chairmanship of the Union Finance Minister and will have all the State Governments as Members.

Question 12. What are the major features of the proposed registration procedures under GST?

Answer: The major features of the proposed registration procedures under GST are as follows:

i. Existing dealers: Existing VAT/Central excise/Service Tax payers will not have to apply afresh for registration under GST.

ii. New dealers: Single application to be filed online for registration under GST.

iii. The registration number will be PAN based and will serve the purpose for Centre and State,

iv. Unified application to both tax authorities. v. Each dealer to be given unique ID GSTIN. vi. Deemed approval within three days, vii. Post registration verification in risk based cases only.

Question 13. What are the major features of the proposed returns filing procedures under GST?

Answen: The major features of the proposed returns filing procedures under GST are as follows:a. Common return would serve the purpose of both Centre and State

Government.b. There are eight forms provided for in the GST business processes

for filing for returns. Most of the average tax payers would be using only four forms for filing their returns. These are return for supplies, return for purchases,monthly returns and annual return.

c. Small taxpayers: Small taxpayers who have opted composition scheme shall have to file return on quarterly basis.

d. Filing of returns shall be completely online. All taxes can also be paid online.

Question 14.What are the major features of the proposed payment procedures under GST?

Answen: The major features of the proposed payments procedures under GST are as follows:

i. Electronic payment process- no generation of paper at any stage ii. Single point interface for challan generation- GSTN iii. Ease of payment - payment can be made through online banking,

Credit Card/Debit Card, NEFT/RTGS and through cheque/cash at the bank

iv. Common challan form with auto-population features v. Use of single challan and single payment instrument vi. Common set of authorized banks vii. Common Accounting Codes DSM/AR

NIRC - ICSI Newsletter | August 2016 8

NCLT SQUASHES THE RESOLUTION PASSED IN ABSENCE OF DIRECTORS

CS Aman Nijhawan*, Associate, Vinod Kothari and Company

Article

Introduction

The New Delhi Bench of National Company Law Tribunal (‘NCLT’) vide its order dated June 22, 2016, in the case of Mr. Rupak Gupta & Anr vs M/s U.P. Hotels Limited1, stayed the operation of the resolution for appointment of Company Secretary and Independent Director on the ground that the Petitioner and his mother, Directors of the of the Company were prevented from participating in the board meeting and such restriction was unfair.

Facts of the Case

In the present case, Petitioner is one of the Joint Managing Director of M/s U.P. Hotels Limited (herein after referred to as Company). The other Joint Managing Director (hereinafter referred to as ‘Defendant’) called the board meeting on June 04, 2016 for the appointment of Company Secretary and Independent Director.

Petitioner was travelling overseas from June 01, 2016 to June 14, 2016 and requested the Defendant to provide the facility of video conferencing for the board meeting dated June 04, 2016. Defendant assured the same and the petitioner left for overseas as per their schedule trip. On the date of board meeting, Defendant denied permission for participation in Board meeting through video-conferencing facility on the ground that Rule 3(3) (e) of Companies (Meeting of Board and its Powers) Rules, 2014 mandates intimation of participation in the board meeting through electronic mode at the beginning of the calendar year which was not complied with by the Petitioner.

Provisions of Law

Section 173(2) of Companies Act, 2013 which deals with mode of participation by the directors at the board meeting reads as follows:

(2) The participation of directors in a meeting of the Board may be either in person or through video conferencing or other audio visual means, as may be prescribed, which are capable of recording and recognizing the participation of the directors and of recording and storing the proceedings of such meetings along with date and time.

Further, Rule 3 (3) of Companies (Meeting of Board and its Powers) Rules, 2014 provides certain conditions w.r.t. participation through electronic mode and reads as follows:

(b) The notice of the meeting shall inform the directors regarding the option available to them to participate through video conferencing mode or other audio visual means, and shall provide all the necessary information to enable the directors to participate through video conferencing mode or other audio visual means.

(c) A director intending to participate through video conferencing or audio visual means shall communicate his intention to the Chairperson or the company secretary of the company.

(d) If the director intends to participate through video conferencing or other audio visual means, he shall give prior intimation to that effect sufficiently in advance so that company is able to make suitable arrangements in this behalf.

(e) The director, who desire, to participate may intimate his intention of participation through the electronic mode at the beginning of the calendar year and such declaration shall be valid for one calendar year.

Arguments by both the Parties

PetitionerIt was argued on the behalf of the Petitioner that the Defendant has called 1 h t t p : / / w w w. c l b . n i c . i n / P u b l i c a t i o n / P r i n c i p a l _ B e n c h _ N e w % 2 0 D e l h i _

Bench/2016/397_398/U.P.%20Hotels%20Limited%20&%20Ors.%20NEW.pdf

the board meeting fraudulently and also prevented Petitioner to participate in the meeting through video conferencing. Further, to perpetrate the same fraud, the Defendant convened another board meeting on June 22, 2016 for approving the minutes of the board meeting held on June 4, 2016 and to make the Independent Director as Chairman of the Company.

Defendant

However, counsel on the part of Defendant represented that Rule 3(3)(e) of Companies (Meeting of Board and its Powers) Rules, 2014 mandates intimation of participation in the board meeting through electronic mode at the beginning of the calendar year which was not complied by the Petitioner.

Judgment of NCLT

The NCLT stayed the operation of the board resolution which was passed for the appointment of Company Secretary and Independent Director. The Judge held that Rule 3(3)(e) of Companies (Meeting of Board and its Powers) Rules, 2014 was in existence even before the Petitioner had left for overseas and if the participation through video conferencing was in contravention of said rules, than the assurance of providing facility of video conferencing should not have been given by the Defendant. The Judge quoted that

If anybody acts on the assurance given by the other side, the other side cannot later back out from the assurance given by it. If at all any person backed out from the assurance given, and if the assured proceeded on that assurance, then, such statement is hit by the doctrine of estoppel.

It is the duty of the director convening the Board meeting to inform the other directors about the option available to them to participate in the meeting through video conferencing mode. Further, Sub Rule 3(3) (e) of Companies (Meeting of Board and its Powers) Rules, 2014 does not intend to say that if an intimation to participate in a meeting through electronic mode is not given at the beginning of the year, the directors are not entitled to participate in any meeting through electronic mode. The said sub-rule has to be read wholly and not in pieces, therefore there is no merit in the Defendant’s contention that video conferencing was not provided since no intimation was given at the beginning of the year.

Our Analysis

The intent of introducing the concept of conducting board meetings through electronic mode was to facilitate more participation and to provide convenience to the directors. Rule 3 of the Companies (Meeting of Board and its Powers) Rules, 2014 provides certain conditions w.r.t. participation in the meeting through electronic mode.

It is mandatory for every director intending to participate through electronic mode to inform the Chairman or Company Secretary in advance so that the suitable arrangements can be made before the board meeting. However, it is not mandatory for the director to intimate the same at the beginning of the calendar year as Rule 3(3) (e) of Companies (Meeting of Board and its Powers) Rules, 2014 uses the word ‘may’ and does not use the word ‘shall’. The use of the word ‘may’ indicates that a provision is optional and not mandatory. Therefore, it can be safely concluded that if a director fails to intimate at the beginning of calendar year, he cannot be barred from attending the board meeting through electronic mode.

In our view, this order of NCLT will send out a strong message of good corporate governance to the stakeholders and try to curb the fraudulent or oppressive practices conducted by directors for conducting board meetings.

*The views expressed are personal views of the author and it should not be taken as views of the NIRC-ICSI.

NIRC - ICSI Newsletter | August 2016 9

HOW TO BEGIN YOUR STARTUP JOURNEY?CA Amrit Agrawal*, Director, Spentex Industries Limited &

Dr. S K Gupta*, Vice President – Internal audit & Company Secretary, Spentex Industries Limited

Article

A startup is a young business venture that is just beginning to develop. Startups are usually small and initially financed and operated by a handful of founders or one individual. These business enterprises offer an innovative or differentiated product or service that is currently not being offered elsewhere in the market. Start up business journey calls for understanding -what does a startup mean, how to establish a startup, how to finance a startup, and it generally meanders through the following stages:

Problem Identification: A startup must identify an existing pain point or problem and strive to solve the same. As said by Steve Huffman, Founder, Reddit – “Identify a Genuine Need and Fill it”.  The more intense the problem is, the better  is the potential of developing a successful startup.

Ideation: Idea Generation or Ideation is a process of generating ideas to provide a solution to the problem identified. An innovative idea with a simplified solution is the key.

Building a Minimum Viable Product (MVP): Once the idea is generated and a solution is decided, the next stage is developing the minimum viable product (MVP). A small workable model of the product with minimum features is introduced in a small group of users,  early adopters. Regular feedback from these users and pivoting the product as per these feedback leads to a Minimum Viable Product. The process is iterated until a desirable product/market fit is obtained.

Traction: Once the MVP is in place, then comes the role of reaching out to the target group of users of this MVP. This helps in giving traction to the startup. Traction is a quantitative evidence of market

demand. Traction is proof that somebody wants your product.

Start-ups are critical to India’s efforts to spur private investment into the economyRealizing the imperative need for providing the much need push for encouraging entrepreneurship, the Government of India, has launched Startup India - a flagship initiative intended to build a strong eco-system for nurturing innovation and Startups in the country that will drive sustainable economic growth and generate large scale employment opportunities. The Government through this initiative aims to empower Startups to grow through innovation and design.

The Action Plan is divided across the following areas: � Simplification and Handholding � Funding Support and Incentives � Industry-Academia Partnership and Incubation

Definition of Startup (only for the purpose of Government schemes)

“Startup” defined:1. It must be an entity registered/incorporated as

a) Private Limited Company under the Companies Act, 2013; or

b) Registered Partnership firm under the Indian Partnership Act, 1932; or

c) Limited Liability Partnership under the Limited Liability Partnership Act, 2008.

2. Five years must not have elapsed from the date of incorporation/registration.

3. Annual turnover (as defined in the Companies Act, 2013) in any preceding financial year must not exceed Rs. 25 crore.

4. Startup must be working towards innovation, development, deployment or commercialization of new products, processes or services driven by technology or intellectual property.

5. The startup must aim to develop and commercialize: a) a new product or service or process; or The Startup must aim to develop b ) a significantly improved existing product or service or process that will create or add value for customers or workflow.

6. The Startup must not merely be engaged in:

a) developing products or services or processes which do not have potential for commercialization; or

b) undifferentiated products or services or processes; or c)products or services or processes with no or limited incremental value for customers or workflow

7. The Startup must not be formed by splitting up, or reconstruction, of a business already in existence.

8. The Startup has obtained certification from the Inter-Ministerial Board, setup by DIPP to validate the innovative nature of the business, and

a) be supported by a recommendation (with regard to innovative nature of business), in a format specified by DIPP, from an incubator established in a post-graduate college in India; or

b) be supported by an incubator which is funded (in relation to the project) from GoI as part of any specified scheme to promote innovation; or

c) be supported by a recommendation (with regard to innovative nature of business), in a format specified by DIPP, from an incubator recognized by GoI; or

d) be funded by an Incubation Fund/Angel Fund/Private Equity Fund/Accelerator/Angel Network duly registered with SEBI* that endorses innovative nature of the business; or

e) be funded by the Government of India as part of any specified scheme to promote innovation; or

f ) have a patent granted by the Indian Patent and Trademark Office in areas affiliated with the nature of business being promoted. * DIPP may publish a ‘negative’ list of funds which are not eligible for this initiative.

In order to make the life of entrepreneurs easy and for giving a promotional push to Startup India campaign, the Department of Industrial Policy and Promotion (DIPP) has launched a dedicated portal http://startupindia.gov.in and a mobile app. The key features of the portal and app are the following:

�� �Information Availability: The portal and mobile app provide up-to- date information on various notifications/ circulars issued by various Government ministries/ departments, towards creation of a conducive ecosystem for Startups. The portal and mobile app provide information regarding incubators and funding agencies recognized for the purpose of recommending Startups (as part of Startup recognition application). A comprehensive list of FAQs is also available to help Startups, Incubators and Funding Agencies

*The views expressed are personal views of the author and it should not be taken as views of the NIRC-ICSI.

NIRC - ICSI Newsletter | August 2016 10

use the portal and mobile app more effectively.

�� �Startup India Hub: The Startup India Hub, which has been established within Invest India, will be a single point of contact for the entire Startup ecosystem which would enable exchange of knowledge. The Hub will work in a hub and spoke model with Governments, VCs, Angel Funds, Incubators, Mentors, etc. It will assist Startups through their lifecycle, on all aspects, such as providing mentorship, incubator facilities, IPR support, funding etc. The Hub will be operational from 10:00 AM to 5:30 PM on working days and can be reached via the toll free number: 1800115565 or the email ID: dipp-startups@nic.in

�� �Application for Startup Recognition: Entities that fulfill the criteria as per the definition of “Startup” and are incorporated/ registered in India, can obtain recognition as a “Startup” to avail various benefits listed in the Startup India Action Plan. The process of recognition is simple and user friendly and involves a single page application form that a user can fill either through a web interface or through mobile app. Formats of the recommendation/ support letters that need to be attached as part of the application form have been published on the portal and mobile app.

�� �Real Time Startup Recognition: A real time recognition certificate is provided to Startups on completion of the application process. A digital version of the final certificate of recognition is available for download, through the portal and mobile app. A request for certificate of eligibility for tax exemptions from Inter-ministerial Board will be made simultaneously by selection of a simple option.

�� �Verification of Recognition Certificate: The certificate of recognition is verifiable through the portal and mobile app by entering the Startup Recognition/ Certificate Number.

�� �Approval of Inter-Ministerial Board: DIPP has also setup an Inter-Ministerial Board to verify the eligibility of Startups opting to avail Tax and IPR related benefits and to provide a certificate of eligibility to innovative Startups.

Incentives for StartupsTo reduce the regulatory burden on startups thereby allowing them to focus on their core business and keep the compliance cost low, the Action Plan and regulatory reforms provide for the following relaxations / incentives for the startups:

� Compliance regime based on self-certification: The Objective is to reduce regulatory burden on startups allowing them to focus on their core business and to keep compliance cost low. Startups shall be allowed to self-certify compliance with labor and environment laws. In case of labor laws, no inspection will be conducted for three years. In case of environment laws, startups under ‘white’ category would be able to self certify compliance.

� Startup India hub  : The “Startup India Hub” will be a key stakeholder in this vibrant ecosystem and will Assist Startups through their lifecycle with specific focus on important aspects like obtaining financing, feasibility testing, business structuring advisory, enhancement of marketing skills, technology and commercialization.

� Simplifying the startup process:  A startup will be  to able to set up by just filling up a short form through a mobile app and online portal. This will serve as the single platform for Startups for interacting with Government and Regulatory Institutions for all business needs and information exchange among various stakeholders.

Patent protection: Patent  protection and IP rights are a major concern for India’s startups. The government will make IPR procedure transparent for start-ups.  In order to allow startups to realize the value of their IPRs at the earliest possible. Patent applications of the

startups shall be fast tracked for examination and disposal. Facilitators shall provide assistance for startups in filing and disposal of patent applications related to patents, trademarks and design under relevant Acts.  Government shall bear the entire fees of the facilitators for any number of patents, trademarks or designs that a startup may file. To enable startups to reduce costs in their crucial formative years, startups shall be provided an 80% rebate in filing patents vis-a-vis other companies.

� Relaxed norms of public procurement for start-ups : to provide an equal platform to startups vis-a-vis the experienced startups/companies in public procurement, startups (in the manufacturing sector) shall be exempted from the criteria of prior ‘experience/turnover’ without any relaxation in quality standards or technical parameters.

� Faster exits for startups  : To make it easier for startups to exit, provision for fast-tracking closure of businesses have been included in ‘The insolvency and Bankruptcy Bill 2015’. Startups with simple debt structures may be wound up within a period of 90 days from making of an application for winding up on a fast-track basis.

� Fund of funds with a corpus of Rs 10,000 crore :  To provide funding support for development and growth of innovation driven enterprises, Government will set up a fund with an initial corpus of Rs 2,500 crore and a total corpus of Rs 10,000 crore over a period of 4 years. The Fund will be in the nature of Fund of Funds, which means that it will not invest directly into Startups, but shall participate in the capital of SEBI registered Venture Funds.

� Credit Guarantee Fund:  To catalyze entrepreneurship through credit to innovators across all sections of society, credit guarantee mechanism through National Credit Guarantee Trust Company/SIDBI shall be rolled out with a budgetary corpus of Rs 500 cr per year for the next four years.

� Startup fests : To bolster the startup ecosystem in India, the Government is proposing to introduce startup fests at national and international stages. These fests would provide a platform to startups in India to showcase their ides and work before a larger audience comprising of potential investors, mentors and other

fellow startups.

Tax incentives for StartupsIn line with PM’s action plan, Finance Minister, in his budget speech, has proposed many incentives to encourage entrepreneurship in India. Some of the tax measures which will be beneficial for new start-ups are as follows:-

� Optional lower tax rate for newly setup manufacturing companies:  In case of newly setup companies engaged solely in the manufacture or production of article or thing, it is proposed that a reduced tax rate of 25% would apply.

In order to claim the benefit of reduced rate ‘Eligible start-up’ means a company

� Engaged in a business involving innovation, development, deployment or commercialization of new products, processes or services driven by technology or intellectual property (‘Eligible Business’). Company should hold a certificate of eligible business from the Inter-Ministerial Board of Certification as notified by Central Government.

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NIRC - ICSI Newsletter | August 2016 11

� Incorporated between 1st April 2016 and 31st March 2018

� Turnover of which does not exceed Rs. 25 Crores in any of the years from Financial Year 2016-17 to Financial year 2020-21

The benefit would be available to the start-ups for three consecutive years out of the first five years starting from the year of incorporation.

� Capital Gain Exemption in respect of LTCG proceeds invested in specified start-up fund (New section 54EE)

� In order to promote the start-up ecosystem in the country, it is envisaged in ‘start-up India Action Plan’ to establish a Fund of Funds which intends to raise Rs 2500 crores annually for four years to finance the start-ups.

� It is proposed to provide exemption from capital gains tax if the long term capital gains proceeds are invested by an assesses in units of such specified fund, as may be notified by the Central Government in this behalf, subject to the condition that the amount remains invested for three years failing which the exemption shall be withdrawn. The investment in the units of the specified fund shall be allowed up to Rs. 50 lakh.

� Capital Gain Exemption in respect of LTCG gains arising out of transfer of residential property invested in the shares of start-up Company (Amendment in Section 54GB)

� Long term capital gains arising on account of transfer of a residential property shall not be charged to tax if such capital gains are invested in subscription of shares of a company which qualifies to be an eligible start-up subject to the condition that

� the individual or HUF holds more than fifty per cent shares of the company

� Such company utilizes the amount invested in shares to purchase new asset before due date of filing of return by the investor.

� Tax exemption on investments above Fair Market Value 

In line with the exemption available to venture capital funds to invest in startups above fair market value (FMV), investments made by incubators above FMV shall also be exempted

Legal structure of a Startup The startup may be structured as:

� Sole Proprietorship � Partnership � Limited Liability Partnership � Private Limited Company

Sole Proprietorship: Sole Proprietorship is a form of a business entity where a single individual handles the entire business organization. He is the sole recipient of all profits and bearer of all the loses. There is no separate law that governs Sole Proprietorship. The liability of a sole proprietor is unlimited thus this form of business organization involves high risk.

Partnership: A Partnership is “the relation between persons who have agreed to share the profits of the business carried on by all or any one of them acting for all”. It is governed by the Indian Partnership Act 1932. The liability of all the partners is joint and several. Thus it provides for sharing of risks, profits and losses.

Limited Liability Partnership: Under LLP (Limited Liability Partnership) the liability of members is limited to the extent of their

contribution in the LLP. It is governed by Limited Liability Partnership Act of 2008.To register a LLP, you need to first apply for a Designated Partner Identification Number (DPIN), You would then need to acquire your Digital Signature Certificate and register the same on the portal. Thereafter, you need to get the LLP name approved by the Ministry. Once the LLP name is approved, you can register the LLP by filing the incorporation form. Thereafter LLP agreement is to be filed within 30 days of incorporation of LLP

Private Limited Company: A private company restricts the right of the shareholders to transfer their shares, Liability of its members is limited, has a minimum of 2 and maximum of 200 members, does not invite public to subscribe to its share capital. For incorporating a Private Limited company, first we need to identify persons (minimum two) who will become Directors of the company. All the Directors need to have Directors Identification Number (DIN). A Memorandum of Association and Articles of Association containing specified details and information has to be compiled. After obtaining approval for the proposed name of the company, documents may be submitted for incorporation of a Private Limited company. Once a certification of incorporation is issued, the company can apply for PAN, TAN and also open a Current account in a bank.

Compare Your OptionsPrivate Limited Company

Limited Liability Partnership

Partnership Firm

Sole Proprietorship

Ease of Accommodating Investment

Very easy to accommodate

Possible, can be structured

Difficult Unlikely

Limited Liability Protection

Yes Yes No No

Tax Advantages Few benefits Few benefits Minimal MinimalPerpetual Existence Yes Yes No NoStatutory Compliances

High Low Minimal Minimal

Types and Sources of Financing for StartupsFinancing is needed to start a business and ramp it up to profitability. There are several sources to consider when looking for start-up financing . But first you need to consider how much money you need and when you will need it.The financial needs of a business will vary according to the type and size of the business. Debt and equity are the two major sources of financing

(A) Equity Financing

� Personal Savings: The first place to look for money is your own savings or equity

� Home equity loans: A home equity loan is a loan backed by the value of the equity in your home. If your home is paid for, it can be used to generate funds from the entire value of your home

� Friends and Relatives: Founders of a start-up business may look to private financing sources such as parents or friends. It may be in the form of equity financing in which the friend or relative receives an ownership interest in the business

� Venture Capital: Venture capital refers to financing that

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NIRC - ICSI Newsletter | August 2016 12

comes from companies or individuals in the business of investing in young, privately held businesses. They provide capital to young businesses in exchange for an ownership share of the business. Venture capital firms usually don’t want to participate in the initial financing of a business unless the company has management with a proven track record. Generally, they prefer to invest in companies that have received significant equity investments from the founders and are already profitable. They also prefer businesses that have a competitive advantage or a strong value proposition in the form of a patent, a proven demand for the product, or a very special (and protectable) idea. Venture capital investors often seek representation on the board of directors.

� Angel Investors: Angel investors are individuals and businesses that are interested in helping small businesses survive and grow. So their objective may be more than just focusing on economic returns. Although angel inves tors often have somewhat of a mission focus, they are still interested in profitability and security for their investment. So they may still make many of the similar demands as a venture capitalist. Angel investors may be interested in the economic development of a specific geographic area in which they are located. Angel investors may focus on earlier stage financing and smaller financing amounts than venture capitalists.

(B) Debt Financing

Debt financing involves borrowing funds from creditors with the stipulation of repaying the borrowed funds plus interest at a specified future time. Debt financing may be secured or unsecured. Secured debt has collateral (a valuable asset which the lender can attach to satisfy the loan in case of default by the borrower). Conversely, unsecured debt does not have collateral and places the lender in a less secure position relative to repayment in case of default.

Debt financing (loans) may be short term or long term in their

repayment schedules. Generally, short-term debt is used to finance current activities such as operations while long-term debt is used to finance assets such as buildings and equipment.

� Friends and Relatives: Founders of start-up businesses may look to private sources such as family and friends for funds when starting a business. This may be in the form of debt capital.

� Banks and Other Commercial Lenders: Banks and other commercial lenders are popular sources of business financing. Most lenders require a solid business plan, positive track record, and plenty of collateral. These are usually hard to come by for a start- up business. Once the business is underway and profit and loss statements, cash flows, budgets, and net worth statements are provided, the company may be able to borrow additional funds.

(C) Lease

A lease is a method of obtaining the use of assets for the business without using debt or equity financ ing. It is an agreement between two parties that specifies the terms and conditions for the rental use of a tangible resource such as a building and equipment. Lease payments are often due annually. When the lease ends, the asset is returned to the owner, the lease is renewed, or the asset is purchased. A lease may have an advantage because it does not tie up funds as is the case while purchasing an asset.

Happy Startup Journey…In an emerging startup environment like India, you may need to be a bit more patient in terms of results. Perseverance and innovation is the key. Every startup faces its unique circumstances, and there are few cookie-cutter solutions. The aforesaid  discussion hopefully at least provides broad pointers on how to think about the various initial issues which crop up when one sets his vision on starting on a startup journey.

PAYMENT OF ANNUAL MEMBERSHIP AND CERTIFICATE OF PRACTICE FEE FOR THE YEAR 2016-17

The annual membership fee and certificate of practice fee for the year 2016-17 became due for payment w.e.f. 1st April, 2016. The last date for payment of fee was 30th June 2016 which has now been extended upto 31st August, 2016.

Fee can be paid through cash/cheque/online http://www.icsi.edu/Member/FeesMember.aspx 

The membership and Certificate of Practice fee is as follows:-1. Annual Associate Membership fee : Rs. 1125/-2. Annual Fellow Membership fee : Rs. 1500/-3. Annual Certificate of Practice fee : Rs. 1000/-(*)

*The certificate of practice fee must be accompanied by a declaration in form D duly completed in all respects and signed. The requisite form ‘D’ is available on the website of Institute www.icsi.edu

 CHAPTERS OF NIRC-ICSIAgra, Ajmer, Allahabad, Alwar, Amritsar, Bareilly, Bhilwara, Bikaner,  Chandigarh, Dehradun,  Faridabad, Ghaziabad, Gurgaon, Jaipur, Jalandhar, Jammu, Jodhpur, Kanpur, Karnal-Panipat, Kota, Lucknow, Ludhiana, Meerut, Modinagar, Noida, Shimla, Sonepat, Srinagar, Udaipur, Varanasi & Yamuna Nagar.

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NIRC - ICSI Newsletter | August 2016 13

Compliance Checklist

COMPLIANCE CHECKLIST FROM 10th AUGUST TO 10th SEPTEMBER, 2016

S. No.

Activities Sections/Rules/ Clauses, etc.

Acts/Regulations etc.

Compliance Due Date

To whom to be submitted

Central Excise Related Compliance1. Monthly Return of information relating to

Principal Inputs (July, 2016) (Form No. ER-6)Rule 9A CENVAT Credit Rules,

200410thAugust Central Excise

Authorities

2. Filing of Return of Central Excise and Cenvat Credit for the month of July, 2016 (Form No. ER-1) (Non SSI Units)

Rule 12 / Rule 9(7) Central Excise Rules, 2002/ CENVAT Credit Rules, 2004

10thAugust Central Excise Authorities

3. Monthly Excise return by EOU for the month of July, 2016 (Form No. ER-2)

Rule 17(3) Central Excise Rules, 2002

10th August Central Excise Authorities

4. Last Date for payment of Excise Duty Non SSI units (August, 2016) *(in case of Payment through Internet banking)

Rule 8 Central Excise Rules, 2002

05th September*06th September

Central Excise Authorities

5. Filing of Return of Central Excise and Cenvat Credit for the month of August, 2016 (Form No. ER-1) (Non SSI Units)

Rule 12 / Rule 9(7) Central Excise Rules, 2002/ CENVAT Credit Rules, 2004

10thSeptember Central Excise Authorities

6. Monthly Excise return by EOU for the month of August, 2016 (Form No. ER-2)

Rule 17(3) Central Excise Rules, 2002

10th September Central Excise Authorities

7. Monthly Return of information relating to Principal Inputs (August, 2016) (Form No. ER-6)

Rule 9A CENVAT Credit Rules, 2004

10thSeptember Central Excise Authorities

Service Tax Related Compliances8. Pay Service Tax in Challan GAR – 7,

collected for the month of August, 2016 by persons other than individuals proprietors and partnership firms. *(in case of Payment through Internet banking)

Section 68 Read with Rule 6

Finance Act, 1994Service Tax Rules, 1994

05th September*06th September

Service Tax Authorities

Income-tax Related Compliances9. AIR – Annual Information Return Section 285BA Income-tax Act, 1961 31st August Income Tax

Authorities

10. Contractor’s Bill / Advertising / Professional service Bill - TDS collected for the previous month Section 194J (August, 2016)

Section 194CSection 194J

Income-tax Act, 1961 07th September Income Tax Authorities

11. Monthly payment of TCS (August, 2016 ) Section 206 Income-tax Act, 1961 07th September Income Tax Authorities

12. TDS from Salaries for the previous month (August, 2016)

Section 192 Income-tax Act, 1961 07th September Income Tax Authorities

13. Deposit TDS from salaries for the previous month in Challan No.281 (August, 2016)

Section 192 Income-tax Act, 1961 07th September Income Tax Authorities

RBI Related Compliances14. Monthly statement of short term dynamic

liquidity in Form ALM-IDNBS.IT.CC.No.01/24.01.191/2015-16July 01, 2015

Circular 10th August RBI

15. Monthly return (NBS-6) on exposure to capital market

DNBS.IT.CC.No.01/24.01.191/2015-16July 01, 2015

NBFC Prudential Norms (Reserve Bank) Directions, 1998

07th September RBI

16. Monthly Return on Important Financial Parameters

DNBS.IT.CC.No.01/24.01.191/2015-16July 01, 2015

Circular 07th September RBI

NIRC - ICSI Newsletter | August 2016 14

Compliance Checklist 17. Reporting of actual transactions of ECB in

form ECB-2 within 7 working days (August, 2016)

ECB Rules FEMA, 1999 08th September RBI through Authorized Dealer

18. Monthly statement of short term dynamic liquidity in Form ALM-I

DNBS.IT.CC.No.01/24.01.191/2015-16July 01, 2015

Circular 10th September RBI

Economic, Industrial &Labour Law Related Compliances19. Monthly payment of Provident Fund (PF)

(Non Corporate)Paragraph 38 of Employees Provident Funds Scheme, 1952

(a) Employees’ Provident Funds and Misc. Provisions Act, 1952 (b) Exempted Scheme

15th August Provident Fund Authorities Trustees of Provident Fund

20. File monthly return for employees leaving / joining during the month of July(Form No.5)

Paragraph 20(2) read with Paragraph 36(1) & (2)

The Employees Pension Scheme, 1995 (For exempted establishments under Employees Provident Fund and Misc. Provisions Act, 1952)

15th August Provident FundCommissioner

21. i) File monthly Return of employees entitled for membership of Insurance Fund (Form No.2(IF))File monthly Return for members of Insurance Fund leaving service during the month of July (Form no.3(IF))File monthly return of members joining service during the month of July (Form no.F4(PS))

Paragraph 10 The Employees Deposit Linked Insurance Scheme,1976 (For exempted establishments under Employees Provident Fund and Misc. Provisions Act, 1952)

15th August Provident FundCommissioner

22. Payment of ESI contribution for the previous month

Regulation 31 Employees’ State Insurance Act, 1948 andEmployees State Insurance (Gen.) Regulations, 1950

21st August ESIC Authorities

23. Monthly return of Provident Fund for the previous month (July) Provident funds

Paragraph 38 Employees Provident Funds and Misc. Scheme, 1952

25th August Provident Fund Authorities

24. Monthly return of Provident Fund for the previous month with respect to International Workers.

Paragraph 36 The Employees' Provident Funds Scheme, 1952

25th August Provident Fund Authorities

Stock Exchange / Listing Compliance25. Furnish Financial Results– Quarterly

financial results with Limited Review Report.

Reg. 33(3)(a) SEBI (Listing Obligations and Disclosure Requirements) 2015

14th August Stock Exchange

Depositories26. Submit monthly statement on substitution

of names of depositories in the previous quarter.

Regulation 54 SEBI (Depositories & Participants) Regulations, 1996

07th September Depositories

Payment of Annual Membership Fee of ICSI27. Annual Membership and Certificate of

Practice fee for the year 2016-17Regulation 10, 13 & 14 (Form D)

The Company Secretaries Regulations, 1982

31st August ICSI

Note :While every care has been taken in the preparation of this Compliance Check List for the Month of August,2016, to ensure its accuracy at the time of publication, NIRC – ICSI assumes no responsibility for any errors which despite all precautions, may be found therein. Members are requested to check the latest position with the original sources before acting upon on the information published in this newsletter. Neither this Newsletter nor the information contained herein constitutes a contract or will form the basis of a contract. The material contained in this document does not constitute/ substitute professional advice that may be required before acting on any matter.

Compiled by: CS Abhishek Gupta | pcsabhishekgupta@gmail.com

NIRC - ICSI Newsletter | August 2016 15

Forthcoming Programs

FORTHCOMING PROGRAMS OF NIRC-ICSIDay & Date Program Topic Venue Timings Credit

HoursFee

Wednesday10th August, 2016

PCS Help Line Technical Issues relating to E-filing 

Members may contact at Tel.No.011-49343001

4.00 pm to 5.30 p.m.

- -

Fri.-Sat.12-13th August, 2016

17th National Conference of Practising Company Secretaries

PCS @ Startup – Accelerate – Outpace

Welcome Heritage Glenview Resort, Kasauli, Himachal Pradesh

- 08 For details, visit www.icsi.edu

Monday15th August, 2016

Celebration of Independence Day Chief Guest: Shri N K Bhola, Regional Director(N), MCASpecial Guest: CS Dinesh Chandra Arora, Secretary, ICSI

ICSI-NIRC Building, 4, Prasad Nagar Institutional Area, New Delhi

3.00 p.m. onwards

- -

Saturday20th August, 2016

One day seminar on the Theme: Delegated Legislation : Changes & Impact (Recent Amendment to Rules under Companies Act, 2013 & NCLT & NCLAT Rules, 2016

Hotel Eros, Nehru Place, New Delhi

10.00 AM to 5.00 PM

04 Rs.1750/-; FREE for Corporate Members of NIRC

Sunday21st August, 2016

One Day Program Jointly with Meerut Chapter of NIRC

NCLT Meerut 10.00 AM to 5.00 PM

06 Details will be informed through e-mail

Wednesday24th August, 2016

PCS Help Line FEMA  Members may contact at Tel.No.011-49343001

4.00 pm to 5.30 p.m.

- -

Saturday27th August, 2016

One Day Program jointly with Varanasi Chapter of NIRC

NCLT Varanasi 10.00 AM to 5.00 PM

06 Details will be informed through e-mail

Saturday3rd September, 2016

One Day Workshop ICSI-NIRC Building, 4, Prasad Nagar Institutional Area, New Delhi

10.00 AM to 5.00 PM

04 Rs.300/-(Upto 1.9.16); Rs.400/-; FREE for YUVA Corporate Members of NIRC

For details visit: www.icsi.edu/niro

NIRC - ICSI Newsletter | August 2016 16

News from the NIRC

NIRC organised the following programs:

Date Program Chief Guest/speakers Present5.07.2016 Inauguration of 240th MSOP Special Guests: CS Yogesh Gupta, Past Chairman,

NIRC-ICSI and CS Deepak Jain, Company Secretary, Unitech Limited

CS Manish Gupta, CS Pradeep Debnath, CS Nitesh Sinha, CS Alka Arora and participants

7.07.2016 Inauguration of 241st MSOP Chief Guest: CS Harsh Kumar Arora, Director & Company Secretary, Perfetti Van Melle India Pvt. Ltd.

CS Manish Gupta, CS Pradeep Debnath, CS Nitesh Sinha, CS Alka Arora and participants

8.07.2016 National Round of 15th All India Elocution Competition 2016 for Students

Judges: Mr. Suneel Keswani, Corporate Trainer, CS Ajay Garg and CS Sumit Pahwa

CS Manish Gupta, CS Monika Kohli, CS Alka Arora, participants and students

9.07.2016 Haryana State Conference (Host: Yamunanagar, Sonepat & Karnal-Panipat Chapters and Co-Host: Chandigarh Chapter) on Recent Legislative Changes and Professional Opportunities 

Key-note Speaker:Shri Anupam MalikAddl. Labour Commissioner, HaryanaGuest Speakers: CS Satwinder Singh, Council Member-ICSI and CS Ranjeet Pandey, Council Member-ICSI

CS Manish Gupta, CS Rajeev Bhambri, CS M G Jindal, CS G S Sarin, CS Lalita Bansal, CS S K Parashar, CS Jasbir Singh and other Managing Committee Members of Yamunanagar, Sonepat, Karnal-Panipat and Chandigarh Chapter and delegates

11.07.2016 Valedictory Session of 15 days Master Class Room Study Sessions on NCLT & NCLAT

Special Guests: CS  U K Chaudhary, Past President-ICSI & Senior Advocate and CS Nesar Ahmad, Past President-ICSI

CS Manish Gupta, CS NPS Chawla, CS Monika Kohli and members

13.07.2016 PCS Help Line on “Related Party Transaction”

Facilitator/Expert: CS Ilam C Kamboj, PCS (Former Associate Vice President- Legal & Company Secretary  Hero MotoCorp Ltd.,) and Member of Secretarial Standards Board-ICSI

CS Manish Gupta and participants

16.07.2016 Workshop on Insolvency and Bankruptcy Code, 2016

Key-note Address:CS Pavan Kumar Vijay(Past President-ICSI),Managing Director, Corporate Professionals Capital Private LimitedGuest Speaker: CS Vinod Kothari,Partner, M/s. Vinod Kothari & Co.,Practising Company Secretaries

CS Manish Gupta, CS Rajiv Bajaj, CS Satwinder Singh, CS Nitesh Sinha, CS Alka Arora and participants

16.07.2016 Faculty Induction Program Guest Speaker: CS R P Tulsian, Associate Professor, University of Delhi

CS Manish Gupta, CS Alka Arora and Faculty Members

18.07.2016 Regional round of 14th All India Moot Court Competition - 2016

Judges: CS J K Bareja, CS Mukesh Sukhija, CS Ajay Garg and CS S Narayanan

CS Manish Gupta, CS Pradeep Debnath, CS Alka Arora and participants

22.07.2016 Campus Placement* for 240th & 241st batch of MSOP participants (on the verge of getting CS Membership)

- CS Manish Gupta, Cs Pradeep Debnath, CS Alka Arora and participants

22.07.2016 Empowerment Session on Start up & Stand up

Guest Speaker: CA Purna Devi, Director- Tax & Regulatory Services, EY India

CS Manish Gupta, CS Pradeep Debnath, CS Monika Kohli, CS Alka Arora and participants

23.07.2016 Rajasthan State Conference (Host: Jaipur Chapter and Co-Host: Alwar, Ajmer and Kota Chapters) on New Era of Opportunities for Company Secretaries

Chief Guest: Shri D C Jain, IPS, Additional Director General Police (Vigilance) Police Headquarters, JaipurGuests of Honour: CS Sanjay Kumar Gupta, Registrar of Companies, Jaipur (Rajasthan) and CS (Dr.) Shyam Agrawal, Vice-President-ICSIGuest Speakers: CS Rajiv Bajaj, Council Member-ICSI; CS NPS Chawla, Immediate Past Chairman-NIRC; CS Praveen Mahajan, Advocate and CS (Dr.) Sanjiv Agarwal, Past Chairman, NIRC

CS Manish Gupta, CS Dhananjay Shukla, CS Pradeep Debnath, CS Deepak Arora, CS Nitesh Sinha, CS Mahendra Khandelwal, CS Susshil Daga and other Managing Committee Members of Jaipur, Alwar, Ajmer and Kota Chapters and delegates

25.07.2016 Motivation Talk for students Guest: Speaker: CS Govind Kumar Mishra CS Alka Arora and students

NIRC ACTIVITIES

NIRC - ICSI Newsletter | August 2016 17

News from the NIRC

COMPANY SECRETARIES BENEVOLENT FUNDMEMBERS ENROLLED FROM NIRC AS LIFE MEMBERS OF THE COMPANY SECRETARIES BENEVOLENT FUND DURING THE

PERIOD 21/06/2016 TO 20/07/2016

Sr. No. LM NO. NAME MEMB NUMBER CITY1 11379 CS SUNNY CHADHA FCS - 8740 JALANDHAR2 11388 CS RAINA GABA ACS - 44338 NEW DELHI3 11391 CS GOPAL KANDPAL ACS - 46114 NAINITAL DISTT4 11395 CS PAWAN KUMAR ACS - 46059 NEW DELHI5 11401 CS NEHA VIJAY ACS - 44036 NEW DELHI6 11402 CS LALIT MODI ACS - 37353 KOTA7 11405 CS SHAZAN ALI FCS - 8748 DELHI8 11406 CS SHIVAM SINGHAL ACS - 41948 GHAZIABAD

ATTENTION MEMBERS /STUDENTSThe details of Members Programs like Seminar, Conferences, etc. and soft copies of  NIRC-ICSI Newsletters  & Students’ programs viz EDP,   PDP, MSOP, Students Activities, such as viz Moot Court Competitions, Elocution Competition, Essay writing, Company Law Quiz and Student Conferences are regularly updated on the NIRC Portal at ICSI website.

To get updated information, Members & Students are requested to visit our following website regularly.

www.icsi.edu/niro

INVITATION FOR CONTRIBUTION OF ARTICLES & SUGGESTIONS FOR IMPROVEMENT OF CONTENTS OF

NIRC NEWSLETTER NIRC of ICSI invites Articles from Members for publication in the NIRC Newsletter. Members are also requested to forward their comments/suggestions for further improvement of contents of Newsletter. Members may send the soft copy of their article and profile to NIRC by email to chairman.nirc@icsi.edu for consideration by the Editorial Board.

25.07.2016 Valedictory Function of 240th & 241st MSOP

Chief Guest: CS S Bhasker, Principal Consultant, MCA21 Project of MCA Infosys LimitedSpecial Guest: CS Ashok Tyagi, Company Secretary in Practice

CS Manish Gupta, CS Pradeep Debnath, CS Nitesh Sinha,  CS Alka Arora and participants

27.07.2016 to 4.08.2016

51st Executive Development Program for students

Members of the Institute and other professionals CS Alka Arora and participants

27.07.2016 PCS Help Line on “Filing of Income Tax Return”

Facilitator/Expert: CS M. K. Bhatt (Practising Chartered Accountant)

CS Manish Gupta and participants

29.07.2016 Inauguration of 242nd MSOP Chief Guest: CS Atul Mittal, Past Chairman, NIRC CS Manish Gupta, CS Pradeep Debnath, CS Alka Arora and participants

30.07.2016 One day Seminar on  Goods & Services Tax (GST)

Chief Guest: CS Upender Gupta, Commissioner, GST, Central Board of Excise and Customs (CBEC); Guest Speakers: CS Bimal Jain, CA Gaurav Gupta and CA Virender Chauhan

CS Manish Gupta, CS Rajiv Bajaj, CS Ranjeet Pandey, CS Satwinder Singh, CS Dhananjay Shukla,  CS Pradeep Debnath, CS Manish Aggarwal, CS Nitesh Sinha, CS Alka Arora and members

30.07.2016 35th Annual General Meeting of NIRC

CS Manish Gupta, CS Rajiv Bajaj, CS Ranjeet Pandey, CS Satwinder Singh, CS Dhananjay Shukla, CS Pradeep Debnath, CS Manish Aggarwal, CS Monika Kohli, CS NPS Chawla, CS Nitesh Sinha, CS Saurabh Kalia, CS Ravi Bhushan Goel(Statutory Auditor 2015-16), CS Mukesh Mittal(Statutory Auditor 2016-17), CS Alka Arora and members

30.07.2016 to 8.08.2016

52nd   Executive Development Program for students

Members of the Institute and other professionals Dr. Bhole Shankar Sikhwal and participants

31.07.2016 Regional Students’ Conference on “Empower – Emerge – Excel”

Guest Speaker: Mr. Vijay Batra, Internationally Acclaimed Inspirational and Motivational Trainer & CS Priyanka Batra Mehra

CS Manish Gupta, CS Rajiv Bajaj, CS Ranjeet Pandey, CS Pradeep Debnath,  CS Nitesh Sinha, CS Alka Arora and members

31.07.2016 Cultural Evening (dedicated to CSBF) for Membersand their families followed byDinner

Presentation by SAM Group & Members of ICSI CS Manish Gupta, CS Rajiv Bajaj, CS Ranjeet Pandey, CS Satwinder Singh, CS Dhananjay Shukla,  CS Pradeep Debnath,  CS Monika Kohli, CS Nitesh Sinha, CS Alka Arora, past Chairmen of NIRC and members and their families

NIRC - ICSI Newsletter | August 2016 18

GST

GOODS & SERVICES TAX (GST)In the biggest tax reform since Independence, the 66-year-old Constitution, which gives power to Centre to levy taxes like excise, and empowers states to collect retail sales taxes, was amended though the 122nd Constitution Amendment Bill. The passing of the Bill is a proactive step towards the development of Indian Economy bringing us one step closer to being at par with the global economy. The Goods and Services Tax (GST) Bill to replace a raft of different state and local taxes with a single unified value added tax system to turn the country into world’s biggest single market.

The GST, may be one of the most important tax reform as it will subsume over a dozen central and state levies including excise duty, service tax and VAT. It will replace a confusing jumble of central and state levies to create a common market across India for the first time. GST regime shall enhance transparency in the indirect tax framework and is expected to bring down the rate of inflation.

This is a great opportunity for us as professionals, we take this opportunity to request the members to engage themselves professionally in the area of indirect taxes and prepare themselves for this upcoming new tax regime.

NIRC-ICSI is always in fore fronts in building the capacities of members and students by organizing various professional development programs on the latest topics.

We are happy to share that NIRC has organised a one day seminar on Goods & Services Tax (GST) on 30th July, 2016 at Hotel Le-Meridien, New Delhi which was inaugurated by CS Upender Gupta, Commissioner, GST, Central Board of Excise and Customs (CBEC) and addressed by eminent guest speakers on the subject. The Seminar was attended by good number of Company Secretaries and other professionals. To view & download the presentations made by the speakers of seminar, please visit www.icsi.edu/niro

Realizing the underlying need to build the capacity of members, both in practice and in employment, the NIRC of ICSI in its another endeavor is planning to organize a series of programs on GST including class room series to provide practical insight on the subject. We request the members to avail each and every opportunity of the capacity building and involve and prepare themselves for this upcoming tax regime. The details of all these programs will be sent to members in due course of time and also uploaded on www.icsi.edu/niro.

NIRC - ICSI Newsletter | August 2016 19

Lighter Side of the profession

“Sir, it is very difficult for me to continue.”“What is the problem?”“Sir , the wages being paid to me are very low.”“Don’t crib on small issues. You may check that our minimum wages are better than Industry.” ************** “Paramjeet Singh, why no Secretary sticks to your Boss for a long time?”“Because they don’t come upto his expectations.”“What are his expectations?”“Committed Yes Man.”

—CS PARAMJEET SINGH, pslawadvisers@yahoo.com

Members may send their contribution for this column at e-mail niro@icsi.edu for publication in the NIRC Newsletter-Insight. Decision of the Editorial Board of Newsletter in this regard will be final

LIGHTER SIDE OF THE PROFESSION

CAREER AWARENESS PROGRAMSNIRC has organised 30 Career Awareness Programs & during the month of July, 2016 in various schools & colleges located in Delhi and surrounding areas. The students were apprised about the mode of registration in the course, syllabus, structure of the course and also the avenues available after completion of the Company Secretaryship Course both in employment and in practice. Pamphlets of Career in Company Secretaryship Course were distributed to the students.

NIRC - ICSI Newsletter | August 2016 20

CSBF

CS MANISH GUPTAChairman09212221110

NIRC - ICSI Newsletter | August 2016 21

Forthcoming Program

on

Monday, the 15th August, 2016 at 3.00 PMChief Guest:

Shri N K Bhola, Regional Director(N), MCASpecial Guest:

CS Dinesh Chandra Arora, Secretary, ICSIat

ICSI-NIRC Building, 4, Prasad Nagar Institutional Area, New DelhiNO PARTICIPATION FEE

MEMBERS ARE REQUESTED TO PARTICIPATE IN LARGE NUMBERSWith best regards,

CS Manish GuptaChairman, NIRC

Mobile: 09212221110 E-mail: manish@rmgcs.com

cordially invites you at

NIRC - ICSI Newsletter | August 2016 22

Forthcoming Program

Seminar on 

DELEGATED LEGISLATION : CHANGES & IMPACT (RECENT AMENDMENT TO RULES UNDER COMPANIES ACT, 2013

& NCLT & NCLAT RULES, 2016)on

Saturday, the 20th August, 2016Registration: 9.00 AM onwards

(Program will be from 10.00 AM to 5.00 PM)

at  

Hotel Eros Continental(Royal Ball Room),

Nehru Place, New Delhi-110019Fee:

Rs.1750/- per delegate inclusive of service tax ;

FREE for Corporate Members of NIRC  

Registration:In order to make necessary arrangements, Members are requested to enrol well in advance with Regional Director, NIRC-ICSI, 4, Prasad Nagar

Institutional Area, New Delhi. The cheque for delegate fee may please be drawn in favour of NIRC of ICSI payable at New Delhi.

Tel.:+91-11-49343000, E-mail: niro@icsi.edu.

PROGRAM CREDIT HOURS: 04 (Credit Hours will be given to only those members who joins the programs

upto 11.00 AM. and mark the attendance both at the beginning & conclusion of the program) 

With best regards,

CS MANISH GUPTAChairman, NIRC of ICSIMobile: 09212221110

E-mail: manish@rmgcs.com

CS NITESH KUMAR SINHAChairman, Prof. Dev. & Programs Coordination Committee, NIRC- ICSI

Mobile: 9871500827Email: info@csnitesh.com

NIRC - ICSI Newsletter | August 2016 23

Images

6 Inauguration of 240th MSOP (5.07.2016): Group photograph of participants alongwith CS Yogesh Gupta, Past Chairman, NIRC-ICSI and CS Deepak Jain, Company Secretary, Unitech Limited; CS Manish Gupta, CS Pradeep Debnath, CS Nitesh Sinha, CS Alka Arora and participants.

8 Valedictory Function of 240th & 241st MSOP (25.07.2016): L to R CS Pradeep Debnath, CS Manish Gupta, CS S Bhasker, Principal Consultant, MCA21 Project of MCA Infosys Limited; CS Ashok Tyagi, Company Secretary in Practice and CS Nitesh Sinha. Best Project Report/Best participants and Dr. Bhole Shankar Sikhwal standing

9 Faculty Induction Program(16.7.2016): CS Manish Gupta presenting memento to CS R P Tulsian, (Associate Professor, University of Delhi)

1 PCS Help Line on Related Party Transaction (13.07.2016): CS Ilam C Kamboj, PCS (Former Associate Vice President- Legal & Company Secretary Hero MotoCorp Ltd.,) and Member of Secretarial Standards Board-ICSI replying to queries of members in the presence of CS Manish Gupta.

2 PCS Help Line on “Filing of Income Tax Return”(27.07.2016): CS M. K. Bhatt (Practising Chartered Accountant) replying to queries of members. Other seen CS Manish Gupta and CS Trainee.

7 Inauguration of 241st MSOP (7.07.2016): Group photograph of CS Harsh Kumar Arora, Director & Company Secretary, Perfetti Van Melle India Pvt. Ltd., CS Manish Gupta, CS Pradeep Debnath, CS Nitesh Sinha, CS Alka Arora and participants

5 Study Session Meeting held at Moradabad: Group photograph of members alongwith CS Manish Gupta

3 Empowerment Session on Start up & Stand up (22.07.2016): CS Manish Gupta welcoming CA Purna Devi (Director- Tax & Regulatory Services, EY India) by presenting flower bouquet.

4 Inauguration of 242nd MSOP (28.07.2016): Group photograph of participants alongwith CS Atul Mittal, Past Chairman, NIRC; CS Manish Gupta, CS Pradeep Debnath, CS Alka Arora and participants.

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NIRC - ICSI Newsletter | August 2016 24

11-12.08.201608.08.2016

1

2 Rajasthan State Conference (Host: Jaipur Chapter and Co-Host: Alwar, Ajmer and Kota Chapters) on New Era of Opportunities for Company Secretaries (23.07.2016): L to R CS Susshil Daga, CS Mahendra Khandelwal, CS Sanjay Kumar Gupta, Registrar of Companies, Jaipur(Rajasthan), Shri D C Jain, IPS, Additional Director General Police (Vigilance) Police Headquarters, Jaipur; CS (Dr.) Shyam Agrawal, Vice-President-ICSI; CS Manish Gupta, CS Rajiv Bajaj, Council Member-ICSI and CS Deepak Arora.

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1 Seminar on Goods & Services Tax (30.07.2016): Inaugural Session –L to R CS Nitesh Sinha, CS Satwinder Singh, CS Bimal Jain, CS Manish Gupta, CS Upender Gupta (Commissioner, GST, CBEC), CS Ranjeet Pandey and CS Pradeep Debnath.

3 Cultural Evening dedicated to CSBF (31.07.2016): CS Manish Gupta, CS Rajiv Bajaj, CS Ranjeet Pandey, CS Satwinder Singh, CS Dhananjay Shukla, CS Harish K Vaid, CS Paramjeet Singh, CS H S Grover, CS S V Goyal, CS Deepak Kukreja, CS Monika Kohli and CS Nitesh Sinha releasing Souvenir.

4 Regional Students’ Conference on “Empower – Emerge – Excel” (31.07.2016): Release of 1st Edition of E-Newsletter of Students by Mr. Vijay Batra, Internationally Acclaimed Inspirational and Motivational Trainer; CS Rajiv Bajaj, CS Ranjeet Pandey, CS Manish Gupta, CS Pradeep Debnath, CS Nitesh Sinha, CS Amit Kaushal, CS Prince Kumar and CS Alka Arora