The notification S.O. 2036(E) issued by the Ministry of Finance, Department of Revenue, specifies certain financial transactions carried out by a 'relevant person' on behalf of their client as activities subject to the Prevention of Money-laundering Act (PMLA), 2002.
A 'relevant person' includes individuals who have obtained a certificate of practice under Section 6 of the Chartered Accountants Act, 1949, the Company Secretaries Act, 1980, or the Cost and Works Accountants Act, 1959, and are practicing individually or through a firm.
Key Changes
The notification lists five specific financial activities that, when conducted by a 'relevant person' for a client, fall under the purview of the PMLA, 2002. These activities are:
Buying and selling of any immovable property.
Managing of client money, securities, or other assets.
Management of bank, savings, or securities accounts.
Organization of contributions for the creation, operation, or management of companies.
Creation, operation, or management of companies, limited liability partnerships, or trusts, and buying and selling of business entities.
The definition of 'firm' is aligned with the definition provided in sub-clause (i) of clause (23) of section 2 of the Income-tax Act, 1961.
Impact Analysis
Chartered Accountants, Company Secretaries, and Cost Accountants
Action Item: Update internal policies and procedures to comply with PMLA requirements. Conduct training sessions for staff on identifying and reporting suspicious transactions.
Clients of these Professionals
Action Item: Prepare for increased information requests from professionals and potential delays in transaction processing.
Regulatory Authorities
Action Item: Strengthen capacity to analyze and investigate suspicious transaction reports related to these professional activities.
Real Estate Sector
Action Item: Real estate agents and developers to be aware of enhanced due diligence requirements from professionals involved in property transactions.
Key Entities Referenced
Central Government: The issuer of the notification, exercising powers conferred by the Prevention of Money-laundering Act, 2002.
Prevention of Money-laundering Act, 2002 (PMLA): The primary legislation under which the notification is issued, aimed at preventing money laundering.
Chartered Accountants Act, 1949: The Act governing the profession of Chartered Accountancy in India.
Company Secretaries Act, 1980: The Act governing the profession of Company Secretaries in India.
Cost and Works Accountants Act, 1959: The Act governing the profession of Cost and Works Accountancy in India.
Income-tax Act, 1961: The Act defining 'firm' for the purpose of this notification.
Relevant Person: An individual who obtained a certificate of practice under section 6 of the Chartered Accountants Act, 1949 (38 of 1949), Company Secretaries Act, 1980 (56 of 1980) and Cost and Works Accountants Act, 1959 (23 of 1959) and practicing individually or through a firm.
रजिस्ट्री स.ं डी.एल.- 33004/99 REGD. No. D. L.-33004/99
सी.जी.-डी.एल.-अ.-03052023-245631
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CG-DL-E-03052023-245631
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असाधारण
EXTRAORDINARY
भाग II—खण् ड 3—उप-खण्ड (ii)
PART II—Section 3—Sub-section (ii)
प्राजधकार स ेप्रकाजित
PUBLISHED BY AUTHORITY
स.ं 1948] नई ददल्ली, ंुधिार, मई 3, 2023/ििै ाख 13, 1945
No. 1948] NEW DELHI, WEDNESDAY, MAY 3, 2023/ VAISAKHA 13, 1945
जित्त मत्रं ालय
(रािस्ट्ि जिभाग)
अजधसचू ना
नई ददल् ली, 3 मई, 2023
का.आ. 2036(अ)—केंद्रीय सरकार, धन-िोधन जनिारण अजधजनयम, 2002 (2003 का 15) की धारा 2 की
उपधारा (1) के खंड (धक) के उपखंड (iv) द्वारा प्रदत् त िजतत यक का प्रयोग करते एए, अपन े व्यिसाय के अनुक्रम म ें दकसी
सुसंगत व् यजतत द्वारा अपन े मिु द ल की र से जित् तीय सव्ं यिाारक के संंंध में जन्न जलजखत दक्रयाकलापक को उतत
उपधारा के प्रयोिनक के जलए दक्रयाकलाप के रूप म ेंअजधसूजचत करती ा,ै--
(i) दकसी अचल संपजत् त का क्रय र जिक्रय ;
(ii) मुिद ल के धन, प्रजतभूजतयक या अन् य आजस्ट्त यक का प्रंंध करना ;
(iii) ंैंक, ंचत या प्रजतभूजत लेखाओं का प्रंंधन ;
(iv) कंपजनयक के सृिन, प्रचालन या प्रंंध के जलए अजभदायक का संगठन ;
(v) कंपजनयक, सीजमत दाजयत् ि भागीदािरयक या न् यासक का सृिन, प्रचालन या प्रंंध र कारंार अजस्ट् तत् िक का
क्रय र जिक्रय करना ।
स्ट्प ष्ट ीकरण 1-- इस अजधसूचना के प्रयोिनक के जलए ‘‘सुसंगत व् यजतत ’’ के अंतगगत जन्न जलजखत सज् मजलत ाोगा,--
(i) कोई व् यजष्ट क, जिसने चाटगडग अकाउंटेंट अजधजनयम, 1949 (1949 का 38) की धारा 6 के अधीन व् यिसाय प्रमाणपत्र
अजभप्राप् त दकया ा ै र िो व् यजतत गत रूप से या दकसी ्म,ग चाा े या जिस भी रीजत में गिठत की गई ाो, के माध् यम स े
व् यिसाय कर राा ा ै;
2901 GI/2023 (1)2 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 3(ii)]
(ii) कोई व् यजष्ट क, जिसने कंपनी सजचि अजधजनयम, 1980 (1980 का 56) की धारा 6 के अधीन व् यिसाय प्रमाणपत्र
अजभप्राप् त दकया ा ै र िो व् यजतत गत रूप से या दकसी ्म,ग चाा े या जिस भी रीजत में गिठत की गई ाो, के माध् यम स े
व् यिसाय कर राा ा ै;
(iii) कोई व् यजष्ट क, जिसने लागत र संकमग लेखापाल अजधजनयम, 1959 (1959 का 23) की धारा 6 के अधीन व् यिसाय
प्रमाणपत्र अजभप्राप् त दकया ा ै र िो व् यजतत गत रूप से या दकसी ्मग, चाा े या जिस भी रीजत में गिठत की गई ाो, के
माध् यम से व् यिसाय कर राा ा ै।
स्ट्प ष्ट ीकरण 2—इस अजधसूचना के प्रयोिनक के जलए, ‘‘्मग’’ का िाी अथग ाोगा िो उसका आय-कर अजधजनयम, 1961 की
धारा 2 के खंड (23) के उपखंड (iv) म ेंा ै।
[्ा.सं. पी-12011/12/2022-ईएस सेल-डी आर]
ििांक जमश्र, जनदेिक (मुख्य ालय)
MINISTRY OF FINANCE
(Department of Revenue)
NOTIFICATION
New Delhi, the 3rd May, 2023
S.O. 2036(E).—In exercise of the powers conferred by sub-clause (vi) of clause (sa) of sub-section (1) of
section 2 of the Prevention of Money-laundering Act, 2002 (15 of 2003), the Central Government hereby notifies that
the financial transactions carried out by a relevant person on behalf of his client, in the course of his or her profession,
in relation to the following activities-
(i) buying and selling of any immovable property;
(ii) managing of client money, securities or other assets;
(iii) management of bank, savings or securities accounts;
(iv) organisation of contributions for the creation, operation or management of companies;
(v) creation, operation or management of companies, limited liability partnerships or trusts, and buying
and selling of business entities,
shall be an activity for the purposes of said sub-section.
Explanation 1.- For the purposes of this notification ‘relevant person’ includes –
(i) an individual who obtained a certificate of practice under section 6 of the Chartered Accountants
Act, 1949 (38 of 1949) and practicing individually or through a firm, in whatever manner it has been
constituted;
(ii) an individual who obtained a certificate of practice under section 6 of the Company Secretaries Act,
1980 (56 of 1980) and practicing individually or through a firm, in whatever manner it has been
constituted;
(iii) an individual who has obtained a certificate of practice under section 6 of the Cost and Works
Accountants Act, 1959 (23 of 1959) and practicing individually or through a firm, in whatever
manner it has been constituted.
Explanation 2.- For the purposes of this notification ‘firm’ shall have the same meaning assigned to it in
sub-clause (i) of clause (23) of section 2 of the Income-tax Act, 1961 (43 of 1961).
[F. No. P-12011/12/2022-ES Cell-DOR]
SHASHANK MISRA, Director (Headquarter)
Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064
and Published by the Controller of Publications, Delhi-110054.