Auction for Sale (Re-issue) of Government Stocks

The Government of India have announced the Sale (re-issue) of (i) “7.68 per cent Government Stock 2023” for a notified amount of Rs. 3,000 crore (nominal) through price based auction, (ii) “7.59 per cent Government Stock 2026” for a notified amount of Rs.8,000 crore (nominal) through price based auction, (iii) “7.73 per cent Government Stock 2034” for a notified amount of Rs.2,000 crore (nominal) through price based auction, and (iv) “8.13 per cent Government Stock 2045” for a notified amount of Rs.2,000 crore (nominal) through price based auction. The auctions will be conducted using multiple price method. The auctions will be conducted by the Reserve Bank of India(RBI), Mumbai Office, Fort, Mumbai on April 22, 2016 (Friday).

Up to 5% of the notified amount of the sale of the stocks will be allotted to eligible individuals and Institutions as per the Scheme for Non-Competitive Bidding Facility in the Auction of Government Securities.

Both competitive and non-competitive bids for the auction should be submitted in electronic format on the Reserve Bank of India (RBI) Core Banking Solution (E-Kuber) system on April 22, 2016. The non-competitive bids should be submitted between 10.30 a.m. and 11.30 a.m. and the competitive bids should be submitted between 10.30 a.m. and 12.00 noon.

The result of the auctions will be announced on April 22, 2016 and payment by successful bidders will be April 25, 2016 (Monday).

The Stocks will be eligible for “When Issued” trading in accordance with the guidelines on ‘When Issued transactions in Central Government Securities’ issued by the Reserve Bank of India (RBI) vide circular No. RBI/2006-07/178 dated November 16, 2006 as amended from time to time.

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Comments and Suggestions sought by 2nd May, 2016 from Stakeholders and General Public on the Draft Rules for grant of Foreign Tax Credit

The Income-tax Act, 1961 (the Act) provides that the Central Board of Direct Taxes (CBDT) may prescribe rules specifying the procedure for grant of relief or deduction of income-tax paid in any country or specified territory outside India, under Section 90/ 90A/ 91 of the Act against the income-tax payable under the Act.

The Draft Rules for grant of Foreign Tax Credit are uploaded on the website of the Income Tax Department at www.incometaxindia.gov.in for comments from stakeholders and general public.

The comments and suggestions on the Draft Rules may be sent by 02.05.2016 at the email address dirtpl4@nic.in or by post at Director (TPL-IV), Central Board of Direct Taxes(CBDT), Room No. 147-F, North Block, New Delhi.