Section 63 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Section 63 of the Competition Act, 2002 lets the Central Government make rules to carry out the Act, and lists the matters those rules may cover. The Competition (Amendment) Act, 2023 adds five matters to the list: the value of a small target, a higher voting-rights percentage, the criteria for the deemed-approval notice, the criteria for exempted combinations, and the form for publishing guidelines.
The Central Government may, by notification, make rules to carry out the Act. Section 63(2) lists the matters in clauses. The 2023 Act re-letters clause (a) as clause (ae), inserts new clauses (a), (ab), (ac) and (ad) before it, and adds clause (mg). Every rule, and every notification under Section 20(3) and Section 54, must be laid before each House of Parliament for a total period of thirty days. No rule made under this Act is in the sources consulted.
How this article reads the Act
This article follows the consolidated text of the Act published by the Competition Commission of India (amendments shown up to the Finance Act, 2017), read with the Competition (Amendment) Act, 2023 as published in the Gazette of India on 11 April 2023. Section 63 is amended by clause 43 of the amending Act. The 2023 change applies from the date notified for that provision; the notification is not in the sources consulted and should be checked. No commencement date is given. Where the Act says a matter is "as may be prescribed", no figure, criterion or rule name is given here, because the rules are not in the sources consulted. If a rule affects your transaction, our legal consultation team can help you locate and read it.
Section 63(1): the general power
"The Central Government may, by notification, make rules to carry out the provisions of this Act". Rules are the Central Government's instrument; the Commission's instrument is regulations under Section 64: see Section 64.
Section 63(2): the matters, clause by clause
The sub-section says that, in particular and without prejudice to the generality of sub-section (1), the rules may provide for "all or any of the following matters". The table sets out each clause as printed in the consolidated text, then the changes of 2023. Omitted clauses are shown as printed.
| Clause | Subject | Section it serves |
|---|---|---|
| (a) as printed, now (ae) | The term of the Selection Committee and the manner of selection of panel of names | Section 9(2) |
| (b) | The form and manner in which and the authority before whom the oath of office and of secrecy shall be made and subscribed | Section 10(3) |
| (c) | Omitted by the Competition (Amendment) Act, 2007 | - |
| (d) | The salary and other terms and conditions of service, including travelling expenses, house rent allowance and conveyance facilities, sumptuary allowance and medical facilities, of the Chairperson and other Members | Section 14(1) |
| (da) | The number of Additional, Joint, Deputy or Assistant Directors General or such officers or other employees in the office of the Director General and the manner of their appointment | Section 16(1A) |
| (e) | Salary, allowances and other terms of the Director General, Additional, Joint, Deputy or Assistant Directors General or such officers or other employees | Section 16(3) |
| (f) | Qualifications for appointment of the Director General, Additional, Joint, Deputy or Assistant Directors General or such officers or other employees | Section 16(4) |
| (g) | Salaries, allowances and other terms of the Secretary and officers and other employees, and their number | Section 17(2) |
| (h), (i), (j) | Omitted by the Competition (Amendment) Act, 2007 | - |
| (k) | The form in which the annual statement of accounts shall be prepared | Section 52(1) |
| (l) | The time within which and the form and manner in which the Commission may furnish returns, statements and particulars | Section 53(1) |
| (m) | The form in which and the time within which the annual report shall be prepared | Section 53(2) |
| (ma) | The form of appeal before the Appellate Tribunal and the fees payable | Section 53B(2) |
| (me) | The fee which shall accompany every application under Section 53N(2) | Section 53N(2) |
| (mf) | The other matters under clause (i) of Section 53O(2) on which the Appellate Tribunal has the powers of a court in trying a suit | Section 53O(2)(i) |
| (n) | The manner in which monies transferred to the Competition Commission of India or the Appellate Tribunal shall be dealt with | Fourth proviso to Section 66(2) |
| (o) | Any other matter to be, or that may be, prescribed | - |
Printing points. Clause (l) is printed "(/)" in the consolidated copy; this is a printing slip for (l). The clauses after (ma) run (me) and (mf); no (mb), (mc) or (md) is printed. We follow the printing and do not supply the missing letters. The consolidated text prints clause (a) in square brackets with a footnote showing that it was substituted in 2007, and so on for the others; the footnotes are not repeated here.
What clause 43 of the 2023 Act adds
Clause 43 of the Competition (Amendment) Act, 2023 does two things.
(i) Clause (a) is re-lettered as clause (ae), and before clause (ae), as re-lettered, four clauses are inserted:
| New clause | Subject | Section it serves |
|---|---|---|
| (a) | The value of the assets or turnover of the enterprise acquired, taken control of, merged or amalgamated in India | Clause (e) of Section 5 |
| (ab) | The percentage of voting rights higher than twenty-six per cent. | Sub-clause (i) of clause (b) of the Explanation to Section 5 |
| (ac) | The criteria of combinations | Section 6(4) |
| (ad) | The criteria | Section 6(7) |
(ii) After clause (mf), a new clause: "(mg) the form of the publication of guidelines under sub-section (5) of section 64B". See Sections 64A and 64B.
The amending clause fits the base text: clause (a) exists and clause (mf) exists, so both instructions can be carried out as written. The list of clauses (a), (ab), (ac), (ad), (ae), (b), and so on, is therefore the order after 2023.
Section 63(3): laying before Parliament
"Every notification issued under sub-section (3) of section 20 and section 54 and every rule made under this Act by the Central Government shall be laid, as soon as may be after it is made, before each House of Parliament, while it is in session, for a total period of thirty days which may be comprised in one session, or in two or more successive sessions, and if, before the expiry of the session immediately following the session or the successive sessions aforesaid, both Houses agree in making any modification in the notification or rule, or both Houses agree that the notification should not be issued or rule should not be made, the notification or rule shall thereafter have effect only in such modified form or be of no effect, as the case may be; so, however, that any such modification or annulment shall be without prejudice to the validity of anything previously done under that notification or rule, as the case may be."
Notice that this sub-section covers three kinds of instrument: rules, notifications revising the Section 5 values under Section 20(3), and exemption notifications under Section 54. For the exemption power see Sections 54 to 56.
Which rules are in the sources?
None. The sources consulted do not contain any rule made under Section 63. The following matters are therefore described in this cluster only as the Act states them: the criteria in Section 6(4) and Section 6(7), the value in Section 5(e), the higher voting percentage in the Explanation to Section 5, the form for guidelines, the appeal form and fee, the fee on a compensation application, and the manner of dealing with monies under Section 66. A reader who needs the figure or the form must look at the rule itself.
What the 2023 Amendment Act changed
| Provision | Before (consolidated text) | After (as amended by the Competition (Amendment) Act, 2023) |
|---|---|---|
| Section 63(2)(a) | Selection Committee term and manner of selection | Re-lettered (ae) |
| New clauses (a), (ab), (ac), (ad) | Not present | Small target value; voting percentage above twenty-six per cent.; criteria under Section 6(4); criteria under Section 6(7) |
| New clause (mg) | Not present | Form of publication of guidelines under Section 64B(5) |
| Section 63(1) and (3) | As printed | Same |
Practical example
A company planning an acquisition reads Section 6(4) and sees that a short-form notice is available if the combination "fulfils such criteria as may be prescribed". The criteria are in rules made under Section 63(2)(ac). The company must find those rules, because the Act does not state the criteria and this cluster does not either.
Need help finding or reading the rules?
If a transaction, an appeal or a representation turns on a prescribed form, fee or criterion, we can help you identify the rule and apply it. Our legal consultation team can read the Act and the rule together. For the other source of detail, the Commission's regulations, see our overviews, starting with the Combinations Regulations.
Key takeaways
- The Central Government makes rules by notification; the Commission makes regulations under Section 64.
- The 2023 Act adds four new clauses at the head of Section 63(2) and clause (mg) after (mf), and re-letters old clause (a) as (ae).
- Rules, Section 20(3) notifications and Section 54 notifications are laid before Parliament for thirty days.
- No rule under Section 63 is in the sources consulted; figures and criteria left to rules are not stated here.
Read next
- Section 64: power of the Commission to make regulations
- Sections 64A and 64B: making of regulations and penalty guidelines
- Sections 65 and 66: removal of difficulties and repeal of the MRTP Act
- What changed in the 2023 amendment
Disclaimer: Based on the consolidated text of the Competition Act, 2002 published by the Competition Commission of India (amendments shown up to the Finance Act, 2017), read with the Competition (Amendment) Act, 2023 as published in the Gazette of India on 11 April 2023, and on the regulations and guidelines of the Commission as notified in 2024, as consulted on 2 October 2026. Commencement notifications, notified thresholds, rules and later amendments should be checked. This article is general information, not legal advice; check the official text before acting.