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Blogs

How Rs 3,700 crore online fraud happened with with 7 lacs investors !

21-Apr-2017

A new online fraud worth Rs 3,700 crores has been busted recently by Uttar Pradesh special task force. Around 7 lacs people have been cheated in the name of ‘Earn Rs 5 per click’ investment scheme. This was a classic example of a very smart online fraud structure where you first make a lump sum investment in the company scheme, and you get a chance to earn a daily income by liking facebook pages. You can also add people under you (more money comes in the company) and you get benefits from that.

Income Computation & Disclosure Standards (ICDS) - A Brief Introduction

26-Apr-2017

Earlier in 1996 Central Government (CG) had notified only two accounting standards i.e. Disclosure of Accounting Policies & Disclosure of Prior Period Items and Extraordinary Items and Changes in Accounting Policies. Section-145 (2) of Income tax Act, 1961 empowers CG to issue Accounting Standards for computation of Income. During December 2010 Central Government constituted a committee to draft Income Computation and Disclosure Standard (ICDS). In August 2012 the committee provides draft of 14 tax accounting standards which were issued for public comments and after revision now CG notified 10 ICDS which are to be effective from F.Y. 2016-17. ICDS notified by CBDT wide Notification No: 32/2015 dated 31-03-2015.

Disclosure requirement under ICDS 1, 2

27-Apr-2017

ICDS: 1 1. All significant accounting policies adopted by a person shall be disclosed. 2. Any change in an accounting policy which has a material effect shall be disclosed. 3. Where such amount is not ascertainable, wholly or in part, the fact shall be indicated. 4. If a change is made in the accounting policies which has no material effect for the current previous year but which is reasonably expected to have a material effect in later previous years, the fact of such change shall be appropriately disclosed in the previous year in which the change is adopted and also in the previous year in which such change has material effect for the first time.
ICDS: 2 The accounting policies adopted in measuring inventories including the cost of formulae used. The total carrying amount of inventories and its classification appropriate to a person

Bank Audit- 2019 Guidance

26-Mar-2019

1. RBI had vide a circular dated March 13th 2018, discontinued issuance of Letters of Undertakings and Letters of Comforts for imports into India. So, you must ascertain that no fresh LoU or LoC has been issued/renewed after 13th March 2018 for import transactions. However, the same is still valid for inland trade. 2. Name of the purchaser to be incorporated on the face of the DD/PO etc. w.e.f. 15-09-2018. Though, obviously copies of these instruments shall not be available with the bank for verification, you can at least test check the system by perusing these instruments issued during your visit to the branch. It is especially to be checked in branches where these instruments are written manually.

EPFO to provide calculation sheet at the time of PF

27-Mar-2019

EPFO to provide calculation sheet at the time of PF withdrawal to reduce the confusion & grievances of the subscribers, it has been decided that calculation worksheet of provident fund withdrawal of each member is to be provided either on their registered mobile number or the Email ID provided in the claim form.

MCA Notifies Companies (Ind AS) Amendment Rules, 2019

01-Apr-2019

MCA has notified the Companies Indian Accounting Standards (Ind AS) First and Second Amendment Rules, 2019, applicable w.e.f. 1 April, 2019, to amend the ‘Annexure B on Indian Accounting Standards (Ind AS)’ to the Companies (Ind AS) Rules, 2015 (the principal rules), by way of inserting/ substituting various paragraphs, annexures, etc. in different Ind AS. In short, Ind AS 1, 2, 7, 12, 16, 17, 19, 21, 23, 28, 32, 37, 38, 40, 41, 101, 103, 104, 107, 109, 111, etc. have been amended. Further, new ‘Ind AS 116 – Leases’ has been inserted/ notified.

GST Department had arrested many promoters for circular trading

22-Apr-2019

GST Department had arrested many promoters for circular trading and escaping GST may have to rethink its strategy after the Mumbai High Court granted bail to many of them. The arrests came after GST Department issued notices in February this year and raided premises of several companies for allegedly inflating turnover through fake invoices to shell companies.

Mandatory UDIN for All Audit Reports from 1st July, 2019

03-Jun-2019

UDIN already implemented As you are already aware that the full time practicing Chartered Accountants have to mandatory generate UDIN for the documents certified/ issued by them. As per the mandate schedule of ICAI, UDIN was made mandatory for all certificates from 1st February, 2019 onwards and for all GST and Tax Audit Reports from 1st April, 2019. From 1st July 2019 onwards The attention of Members is invited to the fact that with effect from 1st July, 2019, UDIN will be mandatory for all other Attest / Assurance/Audit functions including Company Audit Reports. With this communication, we wish to remind the members that they should chalk out the audit plans well in advance by sensitizing their clients so as to meet the last dates for filing of Annual Accounts and Annual Returns as UDIN will not be generated after the signature dates of Certificates/Report/Certificates/Audit Reports. We wish to further inform you that ICAI in near future may not allow the grace period of 15 days for generation of UDIN after signing the Certificates/Document/Audit Reports etc. which is in force right now. For the clarification of doubts in the minds of some Members we would like to submit that UDIN is applicable in all signature whether signed digitally or otherwise (For example All MCA Forms, 15CB Form etc.) Non-Compliance of UDIN directive will attract Disciplinary Proceedings as per Clause 1 of Part II of Second Schedule of Chartered Accountant Act, 1949. We are pleased to share that the number of UDINs generated has already crossed One Million.

Linking of Aadhar with PAN

03-Mar-2020

You may face double trouble if you fail to link your Aadhaar with PAN by the end of this month. First, your PAN will become inoperative and second, you may be fined Rs 10,000 if you use an inoperative PAN. The income tax department has said that PAN card holders may face penal action under the Income Tax Act if they fail to link it with Aadhaar before the deadline.