Tuesday, January 7, 2014

Banks’ Exposure to Central Counterparties (CCPs) - Interim Arrangements

January 7, 2014

The Chairman and Managing Director/
Chief Executive Officer of
All Scheduled Commercial Banks
(Excluding Regional Rural Banks)

Dear Sir / Madam,

Banks’ Exposure to Central Counterparties (CCPs) - Interim Arrangements

In terms of para of the Master Circular on Exposure Norms dated July 1, 2013, the exposure limit applicable to a single counterparty of a bank is 15 per cent of its capital funds.

2. The recent financial crisis has highlighted the need to promote a central clearing of standardized over-the-counter (OTC) derivative products through a Central Counterparty (CCP). It has, therefore, been decided that as an interim measure, a bank’s clearing exposure to a Qualifying CCP (QCCP) will be kept outside of the exposure ceiling of 15 per cent of its capital funds applicable to a single counterparty. Clearing exposure would include trade exposure and default fund exposure as defined in the guidelines on capital requirements for banks’ exposure to central counterparties issued vide Circular DBOD.No.BC.28/21.06.201/ 2013-14 dated July 2, 2013. Other exposures to QCCPs such as loans, credit lines, investments in the capital of CCP, liquidity facilities, etc. will continue to be within the existing exposure ceiling of 15 per cent of capital funds to a single counterparty. However, all exposures of a bank to a non-QCCP should be within this exposure ceiling of 15 per cent.

Friday, August 30, 2013

What is TRACES- TDS Reconciliation Analysis and Correction Enabling System

About The Portal

TRACES is a web-based application of the Income Tax Department that provides an interface to all stakeholders associated with TDS administration. It enables viewing of challan status, downloading of NSDL Conso File, Justification Report and Form 16 / 16A as well as viewing of annual tax credit statements (Form 26AS).

Documents Required for PAN Application for Individuals

Individuals must be need the following documents Apply PAN Card. In the Income tax View Individuals are four types.

1. Citizen of India (Located in India)
2. Citizen of India (Located Outside India)
3. Foreign Citizen (Located in India)
4. Foreign Citizen (located outside India)


It is mandatory to quote PAN on return of income, all correspondence with any income tax authority. From 1 January 2005 it will be mandatory to quote PAN on challans for any payments due to Income Tax Department.

It is also compulsory to quote PAN in all documents pertaining to the following
financial transactions :-

(a ) sale or purchase of any immovable property valued at five lakh rupees or more; 

Permanent Account Number (PAN)

Permanent Account Number (PAN) is a ten-digit alpha numeric number, issued in the  form of a laminated card, by the Income Tax Department, to any “person” who applies for it or to whom the department allots the number without an application.  

PAN enables the department to link all transactions of the “person” with the department. These transactions include tax payments, TDS/TCS credits, returns of income/wealth/gift/FBT, specified transactions, correspondence, and so on. PAN, thus, acts as an identifier for the “person” with the tax department.

OBJECTIVES,SCOPE, DEFINITIONS of Indian Accounting Standard (Ind AS) 1

This Indian Accounting Standard includes paragraphs set in bold type and plain type, which have equal authority. Paragraphs in bold type indicate the main principles