{"id":9159,"date":"2020-09-20T17:32:08","date_gmt":"2020-09-20T12:02:08","guid":{"rendered":"https:\/\/carajput.com\/blog\/?p=9159"},"modified":"2021-08-28T00:55:47","modified_gmt":"2021-08-27T19:25:47","slug":"key-highlights-of-racp-bill-2020-and-companies-amendment-bill2020","status":"publish","type":"post","link":"https:\/\/carajput.com\/blog\/key-highlights-of-racp-bill-2020-and-companies-amendment-bill2020\/","title":{"rendered":"RACP Bill 2020 &#038; Companies (Amendment) Bill 2020"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_58 counter-hierarchy ez-toc-counter ez-toc-light-blue ez-toc-container-direction\">\n<p class=\"ez-toc-title\">Page Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a1d317379ac5\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #000000;color:#000000\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #000000;color:#000000\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a1d317379ac5\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/carajput.com\/blog\/key-highlights-of-racp-bill-2020-and-companies-amendment-bill2020\/#Companies_Amendment_Bill_2020\" title=\"Companies (Amendment) Bill, 2020 \">Companies (Amendment) Bill, 2020 <\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/carajput.com\/blog\/key-highlights-of-racp-bill-2020-and-companies-amendment-bill2020\/#Highlights_of_Companies_Amendment_Bill_2020\" title=\"Highlights of Companies (Amendment) Bill, 2020\">Highlights of Companies (Amendment) Bill, 2020<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/carajput.com\/blog\/key-highlights-of-racp-bill-2020-and-companies-amendment-bill2020\/#New_chapter_for_Producer_Company\" title=\"New chapter for Producer Company\">New chapter for Producer Company<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/carajput.com\/blog\/key-highlights-of-racp-bill-2020-and-companies-amendment-bill2020\/#Reduced_penalty_for_Small_companies_OPC_and_Start-Up_companies\" title=\"Reduced penalty for Small companies, OPC, and Start-Up companies\">Reduced penalty for Small companies, OPC, and Start-Up companies<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/carajput.com\/blog\/key-highlights-of-racp-bill-2020-and-companies-amendment-bill2020\/#Direct_Listing_in_foreign_Jurisdiction\" title=\"Direct Listing in foreign Jurisdiction\">Direct Listing in foreign Jurisdiction<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/carajput.com\/blog\/key-highlights-of-racp-bill-2020-and-companies-amendment-bill2020\/#Update_in_the_definition_of_Listed_Company\" title=\"Update in the definition of Listed Company\">Update in the definition of Listed Company<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/carajput.com\/blog\/key-highlights-of-racp-bill-2020-and-companies-amendment-bill2020\/#Remuneration_for_Qualified_Director_and_NED\" title=\"Remuneration for Qualified Director and NED \">Remuneration for Qualified Director and NED <\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/carajput.com\/blog\/key-highlights-of-racp-bill-2020-and-companies-amendment-bill2020\/#Decriminalization_of_Companies_Act\" title=\"Decriminalization of Companies Act\">Decriminalization of Companies Act<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/carajput.com\/blog\/key-highlights-of-racp-bill-2020-and-companies-amendment-bill2020\/#Fresh_Bench_in_NCLAT\" title=\"Fresh Bench in NCLAT\">Fresh Bench in NCLAT<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/carajput.com\/blog\/key-highlights-of-racp-bill-2020-and-companies-amendment-bill2020\/#_Corporate_social_responsibility_CSR\" title=\"\u00a0Corporate social responsibility ( CSR) \">\u00a0Corporate social responsibility ( CSR) <\/a><ul class='ez-toc-list-level-4'><li class='ez-toc-heading-level-4'><ul class='ez-toc-list-level-4'><li class='ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/carajput.com\/blog\/key-highlights-of-racp-bill-2020-and-companies-amendment-bill2020\/#In_Addition\" title=\"In Addition,\">In Addition,<\/a><\/li><\/ul><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2><a style=\"font-size: 16px;\" href=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2020\/09\/images-7.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\" wp-image-9161\" src=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2020\/09\/images-7.jpg\" alt=\"www.carajput.com; Comapnies Amendment Bill, 2020\" width=\"766\" height=\"429\" \/><\/a><\/h2>\n<p>www.carajput.com; Companies Amendment Bill, 2020<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Companies_Amendment_Bill_2020\"><\/span>Companies (Amendment) Bill,<span style=\"color: #666699;\"><strong> 2020 <\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h2><span class=\"ez-toc-section\" id=\"Highlights_of_Companies_Amendment_Bill_2020\"><\/span><span style=\"color: #666699;\"><b>Highlights of Companies (Amendment) Bill, 2020<\/b><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>On Saturday, Lok Sabha introduced the company law amendment bill, which introduced 72 amendments to the Companies Act, 2013 to decriminalize and modify or abolish fines for different offenses, directed at enhancing the ease of doing business.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"New_chapter_for_Producer_Company\"><\/span><strong>New chapter for Producer Company<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Introduction of a new Chapter XXIA in the act related to Manufacturer Companies, which was originally part of the Companies Act of 1956;<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Reduced_penalty_for_Small_companies_OPC_and_Start-Up_companies\"><\/span><strong>Reduced penalty for Small companies, OPC, and Start-Up companies<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>For extended the applicability of section 446B, referring to lesser penalties for <a href=\"https:\/\/carajput.com\/blog\/tag\/new-small-business-idea\/\">small businesses<\/a> and<a href=\"https:\/\/carajput.com\/services\/one-person-company-registration.php\"> one-person companies<\/a>, to all provisions of the Act which attract financial penalties and also extend the same reward to Producer Companies and start-ups<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Direct_Listing_in_foreign_Jurisdiction\"><\/span><strong>Direct Listing in foreign Jurisdiction<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Allowing provisions for the direct listing of Indian public entities&#8217; shares in allowable foreign jurisdictions<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Update_in_the_definition_of_Listed_Company\"><\/span><strong>Update in the definition of Listed Company<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Empowering the government to exclude private companies issuing specified classes of shares on exchanges from the concept of a listed company, in conjunction with the <a href=\"https:\/\/carajput.com\/sebi-consulting.php\">Securities and Exchange Board of India.<\/a><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Remuneration_for_Qualified_Director_and_NED\"><\/span><strong>Remuneration for Qualified Director and NED <\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Furthermore, it is recommended that the exception given to main administrative roles from government-mandated pay limits in case a corporation faces liquidation be applied to cover independent directors as well.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Decriminalization_of_Companies_Act\"><\/span><strong>Decriminalization of Companies Act<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ul>\n<li>To comply with an in-house arbitration tribunal process, 23 compoundable offenses must be recategorized out of 66 compoundable offenses under the Act. Moreover, there will be seven compoundable offenses omitted.<\/li>\n<li>35 complex offenses, referred to as non-compoundable, include fraud, public interest damage, or deception.<\/li>\n<li>48 sections have been modified to render decriminalization and 17 sections have been modified to improve living comfort;<\/li>\n<li>These 66 violations, according to the law, were minor, technological, or administrative violations and did not include fraud, harm to the public interest, or other non-compoundable offenses. That will also reduce the pressure on the Law Tribunal for the National Corporation.<\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"Fresh_Bench_in_NCLAT\"><\/span><strong>Fresh Bench in NCLAT<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>It also allows for the creation of additional National Corporate Law Appeal Tribunal benches at locations designated by the Centre.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"_Corporate_social_responsibility_CSR\"><\/span><strong>\u00a0<\/strong><strong>Corporate social responsibility ( CSR) <\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Bill provisions allowed undertakings to carry over excess corporate social responsibility ( CSR) spending on successive years and exempted undertakings with a CSR requirement below Rs 50 lakh from the need to constitute a CSR committee.<\/p>\n<pre><span style=\"color: #666699;\"><strong>Direct Tax<\/strong><\/span><\/pre>\n<pre><span style=\"color: #666699;\"><strong>Highlights of Redevelopment Assistance Capital\r\n Program (RACP)\u00a0 Bill, 2020\u00a0\u00a0<\/strong><\/span><\/pre>\n<figure id=\"attachment_9160\" aria-describedby=\"caption-attachment-9160\" style=\"width: 750px\" class=\"wp-caption alignnone\"><a href=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2020\/09\/RACP-Bill-1.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-9160\" src=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2020\/09\/RACP-Bill-1.jpg\" alt=\"www.carajput.com; RACP Bill, 2020\" width=\"750\" height=\"422\" srcset=\"https:\/\/carajput.com\/blog\/wp-content\/uploads\/2020\/09\/RACP-Bill-1.jpg 750w, https:\/\/carajput.com\/blog\/wp-content\/uploads\/2020\/09\/RACP-Bill-1-300x169.jpg 300w\" sizes=\"(max-width: 750px) 100vw, 750px\" \/><\/a><figcaption id=\"caption-attachment-9160\" class=\"wp-caption-text\">www.carajput.com; RACP Bill, 2020<\/figcaption><\/figure>\n<p><strong>1)<\/strong> New requirements for reregistration of charitable trusts etc. Approval under section 10(23)(C).<\/p>\n<p>It is suggested that Re-registration u \/ s 12A\/12AA and 80 G come into force from 1st April 2021 from the earlier extended date of 1st Oct 2020.<\/p>\n<p><strong>2)<\/strong> Extension of the time period to 31<sup>st<\/sup> march 2021 from 30<sup>th<\/sup> Nov for ITR Filing for the Assessment Year 2020-21.<\/p>\n<p><strong>3)<\/strong> Extension for furnishing a Certificate u \/ s 192 from 15 August to 31-3-2021.<\/p>\n<p><strong>4) As per section 54 to 54 GB<\/strong><\/p>\n<ol>\n<li>The Extension of the time period to 31<sup>st<\/sup> Dec 2021 from 29<sup>th<\/sup> Sept for compliance or completion.<\/li>\n<li>The Extension of the time period to 31<sup>st<\/sup> march 2021 from 30<sup>th<\/sup> Sept for completion or compliance.<\/li>\n<\/ol>\n<p><strong>5) Chapter-VI A pursuant to heading B-<\/strong><\/p>\n<ol>\n<li>The Extension of the time period to 31<sup>st<\/sup> Dec 2020 from 30<sup>th<\/sup> July for the compliance or completion.<\/li>\n<li>The Extension of the time period to 31<sup>st<\/sup> March 2021 from 31<sup>st<\/sup> July for the compliance or completion.<\/li>\n<\/ol>\n<p><strong>6) As per Vivad ke vishvas Act-20<\/strong><\/p>\n<ol>\n<li>Extension of Time Period to 31<sup>st<\/sup> Dec 2020.<\/li>\n<li>Extension of Time Period to 31<sup>st<\/sup> march 2021 from 31<sup>st<\/sup> Dec 2020 for completion or compliance.<\/li>\n<li><a href=\"https:\/\/carajput.com\/learn\/cbdt-issue-an-explanation-in-respect-of-direct-tax-vivad-se-vishwas-act-2020.html\">https:\/\/carajput.com\/learn\/cbdt-issue-an-explanation-in-respect-of-direct-tax-vivad-se-vishwas-act-2020.html<\/a><\/li>\n<\/ol>\n<p><strong>7)<\/strong> Extension of the time period to 31<sup>st<\/sup> march 2021 from 30<sup>th<\/sup> Sept. For ITR filing for the Assessment Year 2019-20<\/p>\n<p><strong>8)<\/strong> No expansion of the tax payments.<\/p>\n<p><strong>9)<\/strong> Interest rate 3\/4 percent pm or part thereof for late payment of taxes. (Only if the tax payable is over Rs.1 lac)<\/p>\n<p><strong>10)<\/strong> Extension of the time period to 31<sup>st<\/sup> march 2021 from 31<sup>st <\/sup>Oct for Filing of Audit Report under the Provision for Assessment Year 2020-21.<\/p>\n<p><strong>11)<\/strong> <a href=\"https:\/\/carajput.com\/services\/tds-return-filing.php\">Return for TDS \/ TCS<\/a> is to be extended to 31<sup>st<\/sup> March 2021 for Feb &amp; March-20 and Q 4 for March 20 (as applicable) for all the Sub-sections.<\/p>\n<p><strong>12)<\/strong> No liability shall be imposed &amp; No\u00a0evaluation be disciplined for the delay in paying taxes.<\/p>\n<p><strong>Explanation<\/strong>-The delay period refers to the interval between the due date and the payment time.<\/p>\n<h4><span class=\"ez-toc-section\" id=\"In_Addition\"><\/span><strong>In Addition,<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h4>\n<p>Further improvements are also suggested in the <a href=\"https:\/\/carajput.com\/income-tax-services.php\">Income Tax Act.<\/a><\/p>\n<p>Read our articles :<\/p>\n<p><a href=\"https:\/\/carajput.com\/blog\/no-disallowance-if-tds-is-deposited-before-due-date-of-filing-return-amendment-to-sec-40a-ia-has-retro-effect\/\">Amendment in section-40A with retro-effect<\/a><\/p>\n<p><a href=\"https:\/\/carajput.com\/learn\/due-date-for-filling-annual-return.html\">The due date for filing the Annual return<\/a><\/p>\n<p>&nbsp;<\/p>\n<pre><span style=\"color: #666699;\"><strong>Regards<\/strong><\/span><\/pre>\n<pre><span style=\"color: #666699;\"><strong>Rajput Jain &amp; Associates<\/strong><\/span><\/pre>\n<p>RJA Blogs has been selected as one of the Top 30 Indian Tax and Accounting Blogs on the web. <a href=\"https:\/\/blog.feedspot.com\/indian_tax_and_accounting_blogs\/\">https:\/\/blog.feedspot.com\/indian_tax_and_accounting_blogs\/<\/a><\/p>\n<p>This is the most comprehensive list of Top 30 Indian Tax and Accounting Blogs on the internet and I&#8217;m honored to have you as part of this! \u00a0It is great that we are the Top 30 Indian Tax and Accounting Blogs in India.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>www.carajput.com; Companies Amendment Bill, 2020 Companies (Amendment) Bill, 2020 Highlights of Companies (Amendment) Bill, 2020 On Saturday, Lok Sabha introduced the company law amendment bill, which introduced 72 amendments to the Companies Act, 2013 to decriminalize and modify or abolish fines for different offenses, directed at enhancing the ease of doing business. New chapter for &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[208],"tags":[2793,9305,9306,9308,9302,9307],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/9159"}],"collection":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/comments?post=9159"}],"version-history":[{"count":5,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/9159\/revisions"}],"predecessor-version":[{"id":16353,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/posts\/9159\/revisions\/16353"}],"wp:attachment":[{"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/media?parent=9159"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/categories?post=9159"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/carajput.com\/blog\/wp-json\/wp\/v2\/tags?post=9159"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}