Recent regulatory updates

Short, dated notes on recent changes in income tax, GST, company law, FEMA and labour law: what changed, who it affects and where it comes from. General information only; read the notification itself before acting on it.

Last reviewed 26 September 2026 · 12 updates, newest first · Compliance calendar · Email reminders · RSS feed

From 1 Oct 2026 FEMA Recent: confirm against the notification

Export proceeds: new realisation period from 1 October 2026

What changed: For exports made on or after 1 October 2026, export value must be realised within 9 months, or 12 months where the export is invoiced in Indian rupees. For goods sent to an overseas warehouse, the period runs 9 months from the date of sale. SEZ and EOU units get the same period as other exporters. A single Export Declaration Form (EDF) covers goods, services and software from the same date.
Who is affected: Exporters of goods, services and software, and their AD banks.
Source: RBI: FEMA (Export and Import of Goods and Services) Regulations, 2026, Notification FEMA 23(R)/2026-RB dated 13 January 2026, as amended by FEMA 23(R)/(1)/2026-RB dated 22 September 2026 (RBI website)

Export proceeds tracker → · Full note

17 Sep 2026 Labour Recent: confirm against the notification

EPF wage ceiling raised to ₹25,000 a month

What changed: The wage ceiling for EPF, EPS and EDLI contributions is ₹25,000 a month from 17 September 2026, up from ₹15,000. The maximum employer EPS contribution becomes ₹2,083 a month (8.33% of ₹25,000). The EPF administration charge remains 0.5% of wages, with a minimum of ₹500 per establishment.
Who is affected: Establishments covered by EPF, and employees whose wages are above ₹15,000.
Source: Ministry of Labour and Employment, S.O. 5109(E) dated 17 September 2026 (Code on Social Security, s.2(89)) (EPFO website)

PF calculator → · Full note

25 Aug 2026 Labour

Bonus limits notified under the Code on Wages

What changed: Employees earning up to ₹21,000 a month are eligible for statutory bonus. Bonus is calculated on ₹7,000 a month or the applicable minimum wage, whichever is higher. Bonus for a year is payable within eight months of the year end.
Who is affected: Employers covered by the bonus provisions of the Code on Wages, 2019.
Source: Ministry of Labour and Employment, S.O. 4710(E) and S.O. 4711(E) dated 25 August 2026 (MoLE website)

Bonus calculator → · Full note

2 May 2026 FEMA

Press Note 2 (2026) eases the land-border FDI rule

What changed: Press Note 2 (2026 Series) amends Press Note 3 (2020). Government approval for investment linked to a country sharing a land border with India now turns on the beneficial owner, defined as a holding of more than 10% or control, as under the PMLA. The change eases the earlier position. It took effect through the FEMA (Non-debt Instruments) Amendment Rules, 2026.
Who is affected: Indian companies receiving foreign investment, and investors with owners in land-border countries.
Source: DPIIT, Press Note 2 (2026 Series); FEMA (Non-debt Instruments) Amendment Rules, 2026 (DPIIT website)

FDI eligibility checker → · Full note

1 Apr 2026 Income tax

Income-tax Act, 2025 and Income-tax Rules, 2026 in force

What changed: The Income-tax Act, 2025 replaced the 1961 Act from 1 April 2026, for Tax Year 2026-27 onwards. Section numbers, forms and TDS payment codes changed: for example, 80C is now Section 123, 87A is Section 156 and salary TDS is Section 392; TDS statements 24Q, 26Q, 27Q and 27EQ became Forms 138, 140, 144 and 143; and TDS payments use codes 1001 to 1067. Returns for FY 2025-26 (AY 2026-27) are still filed under the 1961 Act.
Who is affected: All taxpayers, employers, TDS deductors and payroll or accounting software users.
Source: Income-tax Act, 2025; Income-tax Rules, 2026 (Notification 22/2026, G.S.R. 198(E)) (CBDT website)

Income Tax Act 2025 guide → · Full note

Tax Year 2026-27 Income tax

Form 121 replaces Forms 15G and 15H

What changed: From Tax Year 2026-27, a single Form 121 replaces Forms 15G and 15H as the declaration for receiving interest, dividends and similar income without TDS. It can be given only where the tax on the declarant's estimated total income is nil after the rebate for the chosen regime and, for those below 60, the income covered by the declaration is also within the basic exemption limit.
Who is affected: Individuals, including senior citizens, with interest or dividend income below the taxable level.
Source: Income-tax Rules, 2026; Income Tax Department Form 121 page (CBDT website)

Form 15G / 15H (Form 121) checker → · Full note

Finance Act 2026 Income tax

New 31 August return date and a longer window to revise

What changed: Taxpayers with business or professional income that is not subject to audit now have until 31 August to file their return (31 August 2026 for AY 2026-27). A return for AY 2026-27 can be revised up to 31 March 2027, with a fee under Section 234-I for revisions made after 31 December 2026.
Who is affected: Taxpayers with business or professional income not liable to audit, and anyone revising a return.
Source: Finance Act, 2026 (CBDT website)

Income tax due dates → · Full note

31 Mar 2026 Company law Recent: confirm against the notification

DIR-3 KYC moves to once every three years

What changed: Every DIN holder now files DIR-3 KYC Web once every three financial years, by 30 June, instead of every year. Directors whose KYC was up to date under the old system are next due by 30 June 2028. A missed filing still leads to DIN deactivation and a ₹5,000 fee.
Who is affected: All directors and designated partners holding a DIN.
Source: MCA, G.S.R. 943(E) dated 31 December 2025, effective 31 March 2026 (MCA website)

DIN KYC reminder → · Full note

16 Feb 2026 FEMA

Revised external commercial borrowing (ECB) framework

What changed: An eligible borrower can raise ECB up to the higher of USD 1 billion or 300% of its net worth. The all-in-cost ceiling has been removed. The minimum average maturity is 3 years, or 1 to 3 years for manufacturing companies borrowing up to USD 150 million. Form ECB 1 is filed through the AD bank before the first drawdown, and Form ECB 2 within 7 days of each month end.
Who is affected: Companies and LLPs borrowing from overseas lenders.
Source: RBI, Notification FEMA 3(R)(5)/2026-RB dated 9 February 2026 (RBI website)

ECB compliance calculator → · Full note

1 Dec 2025 Company law

Small company limits raised to ₹10 crore capital and ₹100 crore turnover

What changed: A private company is a small company if its paid-up capital is up to ₹10 crore and its turnover is up to ₹100 crore. Small companies have lighter requirements, such as filing the shorter annual return MGT-7A.
Who is affected: Private companies, other than holding or subsidiary companies and other excluded classes.
Source: MCA, Companies (Specification of Definitions Details) Amendment Rules, G.S.R. 880(E) dated 1 December 2025 (MCA website)

Small company checker → · Full note

21 Nov 2025 Labour

The four Labour Codes take effect

What changed: The Code on Wages, the Code on Social Security, the Industrial Relations Code and the Occupational Safety, Health and Working Conditions Code came into force on 21 November 2025, replacing 29 central labour laws. Among other changes, fixed-term employees become eligible for gratuity after one year of service.
Who is affected: All employers and employees.
Source: Ministry of Labour and Employment notifications of 21 November 2025 (MoLE website)

Labour law tools → · Full note

22 Sep 2025 GST

GST rates rationalised to 5%, 18% and 40%

What changed: Following the 56th GST Council meeting, most goods and services moved to two main rates of 5% and 18%, with 40% for specified luxury and demerit goods. Special rates such as 3%, 1% and 0.25% continue for specific items.
Who is affected: All GST-registered suppliers, who needed to update rates in invoices and billing software.
Source: CBIC, Notification 9/2025-Central Tax (Rate) and the corresponding services notifications (CBIC website)

GST rate finder → · Full note

These notes summarise public notifications for general information. They are not professional advice and do not cover every condition or exception. Rules can change again by later notification. For a question on your own facts, please contact the firm.

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Published by SKAG and Associates, Chartered Accountants, New Delhi · Proprietor CA Gaurav Singh (ICAI M.No. 539050). General information only, not professional advice.