ICAI expressed the concern over DTC 2013 proposing to allow tax audit to be conducted by CS and CWAs also

Direct Tax Code 2013 which is not yet passed and effective is making big news in CA profession. The DTC proposes that CS and CWA will also be eligible to conduct the tax audits. As per the new Tax Code the definition of Accountant includes CS and CWA.

As per New Direct Tax Code 2013, Accountant Means

"a chartered accountant within the meaning of the Chartered Accountants Act, 1949 and who holds a valid certificate of practice under sub-section (1) of section 6 of that Act, and shall include-

(i) a company secretary within the meaning of the Company Secretaries Act, 1980 ;

(ii) a cost accountant within the meaning of the Cost and Works Accountants Act, 1959 ; or

(iii) any person having such qualifications as the Board may prescribe, for the purposes specified in this behalf"

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The above definition and allowing CS & CWAs to conduct Tax Audits has created nightmare and a concern for CA profession, and the response of which can be seen even on social media.

A user on social media says:

"I respect all professionals so kindly don't take me wrong and I am not judging or challenging anybody's professional knowledge or skills. My only question is that the way a CA is rigorously taught income tax and accountancy, does the same way is followed in the course of CS, CWA. If yes, then surely CAs monoply wud break and if no then what is the point of allowing other professionals to conduct an assignment of which they don't have indepth knowledge???"

Even Meme like this can also be seen on Social Media:

On the same issue, ICAI has now officially expressed it's concern. The announcement dated 17th April, 2014 by ICAI on it's website read as under -

ICAI expresses its concern on the proposed definition of “Accountant” in DTC, 2013 - (17-04-2014) 

As the members are aware, the Direct Taxes Code, 2013 has proposed to widen the scope of the definition “Accountant” to include other professionals as well. It is a fact that various provisions in the Income-tax Act, 1961 under which chartered accountants have been given the responsibilities to undertake audit and certification of accounts of various entities have the emphasis on “audit” of the relevant accounts which is the exclusive domain of Chartered Accountants.

The Council of ICAI is aware that the proposed change is a cause of major concern to the entire profession. In this regard, ICAI has through a representation to Ministry of Finance, placed on record its concern not only for the profession, but for the country as a whole since issuance of audit certificates by persons having limited knowledge of audit of accounts will not only be professionally incorrect and but will raise many concerns including causing huge revenue leakages.

A meeting in this regard was held with Mr. Rajiv Takru, Revenue Secretary and Mr. R.K.Tewari, Chairman, CBDT on 16.4.2014, wherein CA. K. Raghu, President, ICAI and CA. Manoj Fadnis, Vice President, ICAI emphasized on the fact that there is a very significant difference in the area of expertise of other professionals vis-a-vis Chartered Accountants.

Members be assured that the Council of ICAI is equally concerned and will not leave any stone unturned to save the profession and the nation.


Secretary, Direct Taxes Committee

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Courtesy : ICAI

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ICAI's representation to MCA on Sec. 141(3)(g) of The Companies Act, 2013, to consider the ceiling for audit not to apply to Pvt Co. & OPC

Section 141(3)(g) of the Companies Act, 2013 talks about the ceiling limit for an auditor for audit of companies, which reads as under-

''141. Eligibility, qualifications and disqualifications of auditors

(1)...........................

(3) The following persons shall not be eligible for appointment as an auditor of acompany, namely:—

(a) ..................

(g) a person who is in full time employment elsewhere or a person or a partner ofa firm holding appointment as its auditor, if such persons or partner is at the date of such appointment or reappointment holding appointment as auditor of more than twenty companies;''

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As quoted, the above section gives a ceiling limit for an auditor on no. of audit, and only 20 companies are allowed to be audited by 1 auditor. But what has created a confusion in the profession is the use of word "Company" instead of using word "public company". The word company includes every type of company (which even include One Person Company, Private Company, Small Company). Obviously, the intention of the law maker must not be that one auditor can only audit 20 companies, including private co. and OPC.

To avoid this confusion, ICAI has sough the correct view of MCA on the same, and also to stress that even if the intention is to give limit of 20 companies, then that limit must be removed as it will create the hardship on CA profession at large and also audits will cost the companies high. Copy of the ICAI's letter is attatched below.

See the letter: http://ch.cahelpers.in/Representation2MCA

(The original letter is hosted at ICAI's website. This copy of the letter has been highlighted wherever it was necessary for better understanding of the users.)

Courtesy: ICAI

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Applicability of the Companies Act, 2013 to Auditor's Report to FY 2014-15 and Onwards (Not Applicable to FY 2013-14)

CLARIFICATION 

Applicability of the Companies Act, 2013 to Auditor’s Report to FY 2014-15 and Onward

The Ministry of Corporate Affairs, on 26th March 2014 notified a majority of the remaining sections of the Companies Act, 2013, including sections 139 to 148, relating to audits and auditors. The Act was stated to be effective from 1st April, 2014. 

Accordingly, queries are being raised by a number of members as to whether any auditor’s report of a company being signed on or after 01st April, 2014 would be in accordance with the requirements of section 143 of the Companies Act, 2013.

In this context, it may be noted that the Ministry of Corporate Affairs (MCA) has, on 04th April 2014, vide its General Circular No. 08/2014, clarified that the financial statements (and documents required to be attached thereto), auditor’s report and Board’s report in respect of financial years that commenced earlier than 01st April, 2014 shall be governed by the relevant provisions/Schedules/rules of the Companies Act 1956. This MCA Circular is attached below for the perusal.

Attached Circular:

http://ch.cahelpers.in/RhSxwu

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Therefore, it is clear from MCA’s aforesaid General Circular that the auditor’s report of a company pertaining to any financial year commencing on or before 31st march 2014, would be in accordance with the requirements of the Companies Act, 1956 even if that financial year ends after 01st April 2014. For example, where the financial year of a company is 01st January 2014 to 31st December 2014, the statutory auditor’s report signed therefor would be in accordance with the requirements of the Companies Act, 1956.

As a corollary to MCA’s General Circular, it appears that the provisions of the 2013 Act would apply only to the financial years commencing on or after 01st April 2014. Thus, for example, the statutory auditor’s report signed in respect of the financial year of the company ended 31st March 2015would need to be issued in accordance with the provisions of the Companies Act, 2013.

Source:

icai.org

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Companies (CSR) Rules, 2014 notified by MCA under Section 135 of The Companies Act, 2013 - News & Download Rules

Continuing its last spree of reforms before the code of conduct for the General Elections kicks in, the government on Thursday notified the much-awaited provisions mandating companies to plough back at least 2 per cent of their net profit on upliftment of the society.

The ministry of corporate affairs (MCA) has notified Section 135 and Schedule VII of the Companies Act, 2013, which relate to corporate social responsibility (CSR) that will be effective from April 1, as part of the new Companies Act. The norms will apply to companies with at least Rs 5 crore net profit or Rs 1,000 crore turnover or Rs 500 crore net worth.

Download The Notification issued by MCA on 27th February, 2014

Click Here to download

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These companies will have to spend 2 per cent of their three-year average annual net profit on CSR activities in each financial year, starting from FY15. “The rules have been finalised after extensive consultations with all stakeholders and provide for the manner in which CSR committee shall formulate and monitor the CSR policy, manner of undertaking CSR activities, role of the board of directors therein and format of disclosure of such activities in the board’s report,” said an official statement by Sachin Pilot, minister of corporate affairs.

According to the norms, the CSR activities will have to be within India, but will apply to foreign companies registered in the country.

The ministry, which has also listed out permissible activities, said companies will need to take approval from their board for CSR activities in accordance with its CSR policy and the decision of its CSR committee.
While activities such as donating funds to political parties or spends to benefit own employees and their families will not be counted as a company’s CSR, the government said that activities such as promoting preventive health care and sanitation, setting up homes and hostels for women and orphans and livelihood enhancement projects would qualify.
To decide if a company is eligible for mandatory CSR spending, its profit from overseas branches and dividend received from other companies in India will be excluded from the net profit criteria.
A company can also carry out CSR works through a registered trust or society or a separate company, but they can only spend up to 5 per cent of total CSR expenditure on manpower in a single financial year. This would be applicable for own personnel as well as those of their implementing agencies.
The ministry had, late last year, issued draft rules for CSR activities by India Inc and had sought public comments. Welcoming the final norms, experts said that companies will now have to gear up to implement their CSR programmes under the final rules that will be effective in just a month.
“The CSR rules released today have answered many questions. The time taken for release of the rules is justified by the clarity the norms have brought out in comparison to the draft rules,” said Santhosh Jayaram, technical director, Sustainability and Climate Change, KPMG.

Sources :
1. MCA
2. The New Indian Express

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Guidelines for IPCC Pass-Outs (Applying For Articleship & Registration For CA Final)

We at CA helpers believe in helping others and thats what our name as well as tag-line also suggests. We are of the opinion that helping is our religion. In order to help all IPCC passouts and New students who have done B.Com (direct entry route) and existing articled assistants, we have brought so many things. But to help you in efficient way, we are listing those posts at one place. Thanks for your support...


CLICK HERE TO DOWNLOAD RESUME (C.V.) FOR ARTICLESHIP APPLICATION

As such there is no due date to apply for articleship and CA Final. But If you want to get your attempt in the due attempt itself, i.e. 3 years from the attempt of IPCC G-1 clearance (eg. For Nov. 2012 attempt passout - due attempt will be Nov. 2015) then apply for articleship and CA Final before 30th April (Nov. attempt passouts)/31st October (May attempt passouts). But it is advisable to get register and get franking/stampping done,in one month from the day of announcement of result.

PRACTICE TO BE FOLLOWED FOR  ARTICLESHIP & CA FINAL-

1. Search the Appropriate Firm

WHAT IS GOOD FIRM? WHAT TO SEE BEFORE APPLYING FOR ARTICLESHIP? (CLICK HERE TO READ)

=> Our advice to all of you to go for the medium firm.

=> Which gives you exposure in all kind of traditional and modern CA works.

=> Leave for exams will be given as per your requirement (Better to define these boundaries before starting articleship)=> You can attend classes daily=> Less outstations

If you are going for in Big4 then you may have to sacrifice classes and leaves.


Importantly, we are just expressing our views, you may have a different opinion. Its just an advice to our fans.


Search Firms for articleship

ARTICLESHIP FIRM SEARCH ENGINE across the India

2. What to be kept in mind

Try to join the firm of person who is known to you, or where any of your known person has done articleship. As many firms are very strict for outstations, leaves and extension. That may be a problem if you are not defining terms of your employment (articleship) before starting the articleship.



3. MOST MOST IMPORTANTLY

Many people, fill up the forms on very first day of articleship. This is a wrong practice. you will have to work in the particular climate for next 3 years, you must be at least comfortable with the environment of the particular office. First, Do work on trial in firm of your choice for 2-3 days.



4. FORMS and OTHER FORMALITIES

A) Forms Required for ARTICLESHIP

i. Form 102

To be purchased from ICAI chapter. It is necessary to get form 102 franked from a bank near by you with Rs. 100 stamp (remember only form 102 requires franking and franking is to be done within 1 month of exam result or you can extend this upto 30th April/31st oct., so as to make your attempt due on time). It is to be filled up by you and signed by your principal.

ii. Form 103

To be purchased from ICAI chapter. It is to be filled up by you and signed by your principal.

iii. Form 112

(Applicable to only, who are engaged in any other full time course with CA, i.e College or any business)

To be taken free of cost or from ICAI chapter (downloaded from here) . It is to be filled up by you and signed by your principal as well as your college's principal (B.Com pursuing students).


B)Form for registration in Final

To be purchased from ICAI chapter. It is to be filled up by you and signed by you.


5. Formalities

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FILL UP Form 102, 103 & 112(if applicable) and GET THEM SIGNED for starting articleship, must be done before 31st March / 31st October. After getting all forms duly filled and signed, SUBMIT the forms personally to ICAI branches or forward them by speed post to Region H.O.


You may download any forms relating to CA course (available online) @
http://cahelpers.blogspot.com/2011/06/all-ca-forms-at-one-place_1306.html

Regards,
Team CA helpers

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Things to be kept in mind before Selection of Firm for Articleship (Medium or Big 4)

The Dynamics of CA Firms

However, in a way all firms are “good”. Its only a matter as to how one fits in to that firm. But more than that, the dynamics of firm is dependent on various factors that makes it good or not so good from the perspective of the student.

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Download Sample Resumes / Curriculum Vitae ( C.V. ) and Cover Letter for CA Articleship and Job application

The post is being updated on regular basis, whenever we find an attractive resume.
[Last updated on 03/12/2013]

Often while searching for a Job or internship, we visit many organizations. In today's time it is so important to carry a Resume/C.V. with us while appearing for an interview has become an indispensable part of a job search. A good and organized resume gives a good impression of yours in the organization, you want yourself to be employed or trained.

PROCEDURE AFTER PASSING IPCC (HOW TO APPLY FOR ARTICLESHIP & CA FINAL )

Sample Resumes:

Download Resume (C.V.) specifically prepared for ARTICLESHIP APPLICATION (17 kb)

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Below are some Google Docs (Google Drive) resume templates created by us. Please see this post after logging in with your google account (Click here to log in with your google account), then only you will be able to see "google drive" templates, which you can edit by clicking on "use this template" and edit the way you want. Afterwards download it in your PC or just save it in your google drive.

Download various sample resumes in .zip file including 32 sample resumes (340 kb) 

Or If you didn't like above sample then click on below Resumes samples to download-

1. Sample Resume Template 

2. Sample Chronological Resume Template with Tips

3. Sample Chronological Resume Template

4. Sample Formal Resume Template

5. Sample Classic Resume Template

6. Sample Executive Resume Template

7. Sample Functional Resume Template with Tips

8. Sample Functional Resume Template

9. Sample Modern Resume Template

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Articleship Search, Selection, Procedure - All at one place (One post for all articleship related issues)

Articleship is the most crucial part of CA course and one decision will govern your 3 years. This post is for all students who are going to start articleship or students already pursuing articleship having any problem.

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CA Final november 2013 pass percentage (Stats)

Team CA helpers congratulates & wishes best of luck for future who have cleared CA Final today.
Campus Placements for Students who have cleared all levels of CA Exams would be held in the month of Feb/March. Difference dates have been allotted to different cities
ICAI has also declared the Pass Percentage of CA Final and the figures are shared below.


ICAI has released the official figures of Pass Percentage of CA Final Nov 2013 and it is being shared below for your Ready Reference

Pass Percentage of CA Final Nov 2013

Group	Candidates Appeared	Candidates Passed	Pass Percentage of CA Final
Both Group	32570	1013	3.11%
Group 1	51710	2932	5.67%
Group 2	54775	4026	7.35%

Rank Holder of CA FINAL Nov 2013

Particulars	All India Rank 1	All India Rank 2	All India Rank 3
Name	Gaurav Deepak Shravagi
Roll No.	114949
Marks	534
Percentage	66.75%

Analysis of Pass Percentage of Previous 10 Attempts

Exam	Course	Pass Percentage
		Group 1	Group 2	Both Groups
May 2013	Final	13.79%	18.65%	10.03%
Nov 2012	Final	12.97	27.30	21.85
May 2012	Final	25.32	29.62	16.38
Nov 2011	Final	25.54	27.81	15.78
May 2011	Final	36.34	26.67	20.51
November 2010	Final (O)	29.64	19.31	10.79
	Final (N)	20.37	11.31	9.33
May 2010	Final (O)	14.45	9.62	3.46
	Final (N)	13.19	7.88	6.56
November 2009	Final (O)	19.87	10.11	7.86
	Final (N)	11.05	8.93	8.70
June 2009	Final (O)	32.32	15.03	13.85
November 2008	Final (O)	27.82	24.15	20.27
May 2008	Final (O)	36.71	28.31	25.00

In the above table – (O) stands for Old Course & (N) stands for New Course

ICAI has also notified the Date Sheet for CA Final May 2014 Attempt and they would be starting from 2nd May and ending on 17th May 2014.

The CA Exam Form would be available from 3rd Feb and the last date for submission is 24th Feb 2014

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Government is all set to allow FDI in e-commerce before April, 2014

The Department of Industrial Policy and Promotion (DIPP), after a push from the Prime Minister’s Office, has started consultations with stakeholders on allowing foreign direct investment in retail e-commerce, to open the sector for foreign investors before the end of this financial year.

Sources said a discussion paper had been distributed by DIPP, under the commerce and industry ministry for feedback. Responses should be given by January 28. A Cabinet note would be prepared based on the inputs received, a senior DIPP official told Business Standard.According to the official, the main sticking point is whether to allow FDI in e-commerce only in goods, which has taken off in a big way in the country, or to include services as well. Including FDI in e-commerce in services will have larger implications as the ambit is huge.

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“Once we get all the feedback, we will circulate the Cabinet note (to all ministries for an inter-ministerial discussion). It should be there before March,” said the official, adding the government could also allow sale of insurance policies and shares online.

Sources said the PMO wants the policy to be in place by the end of the current financial year.

At present, 100 per cent FDI is allowed in business-to-business (B2B) e-commerce, while business-to-consumer (B2C) is prohibited. Besides, there is a mandatory 30 per cent local sourcing norms for foreign players.

In India, online services such as ticketing, net-banking, payment of taxes, bill payment, matrimonial sites are developing by the day. So are goods retailing sites such as flipkart.com, jabong.com, and firstcry.com, among others, that sell anything from books to bags.

DIPP is faced with another problem. In some cases, foreign players have already tied up with domestic companies. As a result, these players are now not so enthused with the government’s decision to allow FDI at this juncture.

Large international players such as Amazon and eBay are currently in discussion with DIPP on what the possible outcome in case FDI is allowed. Apparently, they are pushing for this heavily as they find the Indian market “extremely lucrative”.

The discussion paper also deals with the issue concerning mandatory sourcing norms, something that has been sharply criticised by global retailers.

Recently, Nasscom, Indian information technology industry body, had demanded mandatory local sourcing. DIPP could add this in the final Cabinet note.

Source : Business Standard

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