Entries by Staff

The NBFC that doesn’t have to be: CICs and Principal Business paradox

February 7, 2026 /0 Comments/in , , , /by

– Dayita Kanodia, Assistant Manager | finserv@vinodkothari.com Holding Companies whose primary intent is to invest in their group companies have lately faced a paradox with respect to the requirement of registration as a  Core Investment Company (CIC).  CICs are entities whose principal activity is the acquisition and holding of investments in group companies, rather than […]

IT Outsourcing Under the RBI’s 2025 Directions: What Has Changed?

February 6, 2026 /0 Comments/in /by

By Archisman Bhattacharjee & Avikal Kothari | Finserv@vinodkothari.com   Introduction On November 28, 2025, the Reserve Bank of India (“RBI”) issued the Reserve Bank of India (Non-Banking Financial Companies – Managing Risks in Outsourcing) Directions, 2025 (“Outsourcing Directions”), thereby repealing the erstwhile directions governing IT outsourcing and financial services outsourcing. For the purposes of this article, […]

From Bye Backs to Buy Backs: how new taxation rules impact equity extraction

February 3, 2026 /0 Comments/in /by

– Vinod Kothari and Payal Agarwal | corplaw@vinodkothari.com Finance Bill, 2026 brings tax relief to investors for share buybacks, by partially restoring the position that existed before the Finance Bill 2024 amendment. The 2024 Finance Bill changed the taxability of buybacks to impose tax on buyback consideration, taxing the entire “receipt” as “dividend”, implying tax […]

RBI Issues Draft Directions on Relief Measures in Areas Affected by Natural Calamities for Regulated Entities

February 2, 2026 /0 Comments/in /by

Simrat Singh | finserv@vinodkothari.com  When nature unsettles the ordinary course of life, the regulatory hand should neither be withdrawn nor clenched; it should extend a humane touch, easing distress and guiding the return of order. In this spirit, the RBI has released draft directions on Relief Measures in Areas Affected by Natural Calamities, setting out […]

Economic Survey 2026: Key Insights on Infrastructure Financing

January 31, 2026 /0 Comments/in /by

Simrat Singh | finserv@vinodkothari.com This year’s Economic Survey focuses less on the expansion of credit and more on the quality and sustainability of credit. In infrastructure financing for instance, the Survey notes that the emphasis shifts from the sheer scale of investment to project quality and risk allocation. In this short note, we explore major […]

Microfinance and NBFC-MFIs in Economic Survey 2026

January 31, 2026 /0 Comments/in , , , /by

Simrat Singh | finserv@vinodkothari.com The Economic Survey 2026 takes an honest view of India’s microfinance sector. Rather than celebrating credit growth alone, it frames microfinance as a household balance-sheet business, where the real test of success is whether borrowing improves stability and resilience at the last mile or not. NBFC-MFIs, as the primary delivery channel, […]