What is bank rate?
Bank rate is actually the rate of interest at which Reserve Bank of India is lending to commercial banks. Reserve Bank of India is prepared to buy or re-discount bills of exchange or other eligible commercial paper from commercial banks. Bank rate is governed by Section 49 of Reserve Bank of India Act 1934.The effect of…
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What is the difference between Garnishee order & I.T. Attachment order
(This article explains how the garnishee order and IT attachment orders are different and explains the method of disposal by the Bank branches when they receive such orders from the authorities.) Garnishee order & I.T. Attachments are two different types of attachment orders. The Garnishee order is an order issued by the Court to Garnishee…
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General Anti-Avoidance Rules (GAAR):
GAAR is a short form of General Anti-Avoidance Rules. The tax avoidance by the individuals and companies is a common fact all over the world. In order to realize more revenues and reduce the revenue loss due to avoidance of tax, the Governments of different countries enact various rules in their country or territory. The…
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How to open bank account of a partnership firm?
A partnership is that two or more people jointly carry on a business and share its profit or loss. All the partners are jointly and severally liable for the debts of the business. The partnership can be made by partnership deed. Registration of partnership deed is optional. In case, partnership deed is not registered, the…
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Account opening process in Banks for Clubs, Societies or Associations
While opening the Current Accounts for Clubs, Societies Associations, etc. the customers need to submit ‘know your customer’ related official valid documents of the organisations and natural persons behind the operations of such entities. In addition to KYC-related documents, let us now examine, what are the other requirements for opening captioned accounts. Accounts of Clubs,…
Generation of Export Declaration Form (EDF) explained
Exporters will have to declare all the export transactions in export declaration form and submit the same to Authorised Dealer (AD) bank along with shipping documents within twenty one days from the date of shipment. Export declaration forms were used according to form of export and type of exports. RBI vide its circular A.P. (DIR Series) Circular…
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