Wednesday, June 25, 2014

SIRC Conference at Madurai !!! Fri & Sat, Dec 12 & 13, 2014...


Announcement on Applicability of the Provisions of Section 143(12) of the Companies Act 2013 and the Related Rules to Periods beginning on or before 31st March 2014

ANNOUNCEMENT1
APPLICABILITY OF THE PROVISIONS OF SECTION 143(12) OF THE COMPANIES ACT 2013
AND THE RELATED RULES TO PERIODS BEGINNING ON OR BEFORE 31ST MARCH 2014


Section 143(12) of the Companies Act 2013 requires the auditors of the companies to report to the Central Government on the frauds committed or being committed against the company.

The Council of the Institute of Chartered Accountants of India, at its adjourned 333rd meeting held on 18th June 2014, considered the issue of applicability of the provisions of sections 143(3)(12) of the Companies Act 2013 and the related Rules to the audits of the periods beginning on or before 31st March 2014.

The Council noted that the sections 143(12) had come into force in respect of financial years beginning on or after 1st April 2014. The Council was of the view that the provisions of sections 143(12) of the Companies Act 2013 applied to the auditors appointed under the Companies Act 2013 to audit the financial statements for the year beginning on or after 1st April 2014. As a corollary, the requirements of these sections and related Rules would not apply to audits of financial statements of the periods beginning on or before 31st March 2014, even if the audits therefor were actually carried out and auditor's report thereon issued on or after 1st April 2014.
_________________________
1    This Announcement has been issued by the President, ICAI under the authority of the Council of the Institute of Chartered Accountants of India.


Thursday, June 12, 2014

Tax Audit Limit Increased From 45 to 60 for audits conducted during the financial year 2014-15 and onwards. - (11-02-2014)

In view of the enhancement of professional competence of members to perform quality services in an IT-enabled environment, the Council of the Institute at its 331st meeting held from 10th to 12th February, 2014 has decided to increase the "specified number of tax audit assignments" for practicing Chartered Accountants, as an individual or as a partner in a firm , from 45 to 60. The said limit will be effective for the audits conducted during the financial year 2014-15 and onwards. Accordingly, the Council Guidelines No.1-CA(7)/02/2008, dated 8th August,2008 stands amended from 1.4.2014 as under:-

In the Council General Guidelines, 2008, the Council Guidelines No.1-CA(7)/02/2008, dated 8th August,2008, in Chapter VI "Tax Audit assignments under Section 44AB of the Income-tax Act, 1961 ", in Explanation given in Para 6.1, in sub-para(a) and sub-para(b), the figure "45" be substituted with the figure "60".

Source : http://www.icai.org/post.html?post_id=10354

Cost Inflation Index 2014-15 is 1024

FY Index % inflation increase
2014-15 1024 9.05%
2013-14 939 10.21%
2012-13 852 8.54%
2011-12 785 10.41%
2010-11 711 12.50%
2009-10 632 8.59%
2008-09 582 5.63%
2007-08 551 6.17%
2006-07 519 4.43%
2005-06 497 3.54%
2004-05 480 3.67%
2003-04 463 3.58%
2002-03 447 4.93%
2001-02 426 4.93%
2000-01 406 4.37%
1999-00 389 10.83%
1998-99 351 6.04%
1997-98 331 8.52%
1996-97 305 8.54%
1995-96 281 8.49%
1994-95 259 6.15%
1993-94 244 9.42%
1992-93 223 12.06%
1991-92 199 9.34%
1990-91 182 5.81%
1989-90 172 6.83%
1988-89 161 7.33%
1987-88 150 7.14%
1986-87 140 5.26%
1985-86 133 6.40%
1984-85 125 7.76%
1983-84 116 6.42%
1982-83 109 9.00%
1981-82 100  
 

Saturday, March 22, 2014

CBDT Instructions On S. 143(1) Intimations And S. 154 Rectifications

The CBDT has issued Instruction No. 03/2013 dated 05.07.2013 with regard to the the directive issued by the Delhi High Court in Court on Its Own Motion vs. UOI 352 ITR 273 on the procedure to be followed on the receipt and disposal of rectification applications filed u/s 154 of the Act. The CBDT has set out a detailed procedure on where applications should be received, the maintenance of registers and their disposal.

The CBDT has also issued Instruction No. 04/2013 dated 05.07.2013 with regard to the directive issued by the Delhi High Court in Court on Its Own Motion vs. UOI 352 ITR 273 that the demand should not be enforced in cases where no intimation u/s 143(1) was sent by the field authorities in respect of returns which were processed prior to 31.03.2010.

Friday, March 21, 2014

Date of Payment of Final Installment of Advance Tax Extended from 15th March to 18th March 2014

Ministry of Finance14-March, 2014 17:21 IST

Date of Payment of Final Installment of Advance Tax Extended from 15th March to 18th March 2014

The Final Installment of Advance tax for Financial Year 2013-14 is required to be paid on or before 15th March, 2014 by the tax payers who are liable to pay advance tax. These taxpayers can make payments in the designated branches of the authorized banks, electronically or physically, as per law. The banks are open for half day on 15th March, 2014, being a Saturday. Accordingly, to facilitate payment of this installment of Advance tax for the Financial Year 2013-14, the Central Board of Direct taxes (CBDT) has issued an order to extend the time limit to make such payments of Advance Tax, from 15th March, 2014 to 18th March, 2014. Taxpayers, therefore, can now pay their advance tax installment by Tuesday, 18th March, 2014 without entailing any consequential interest for deferment.

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DSM/KA
(Release ID :104607)

Wednesday, February 12, 2014

President and Vice President (VP) of ICAI for 2014-15

NEW PRESIDENT, ICAI, CA K Raghu
MOBILE: 93412 19091, 98108 84091
EMAIL: cakraghu@kraghu.com

NEW VICE-PRESIDENT, ICAI, CA Manoj Fadnis 
MOBILE : 93022 17716
EMAIL : manojfadnis@icai.org

We wish them all success and wish they take ICAI to all new heights...

AZIM PREMJI'S LESSONS IN LIFE

 
First:-
The first thing I have learnt is that we must always begin with our strengths. There is an imaginary story of a rabbit. The rabbit was enrolled in a rabbit school. Like all rabbits, it could hop very well but could not swim. At the end of the year, the rabbit got high marks in hopping but failed in swimming. The parents were concerned. They said, 'Forget about hopping. You are, anyway good at it. Concentrate on swimming.' They sent the rabbit for tuitions in swimming. And guess what happened? The rabbit forgot how to hop! As for swimming, have you ever seen a rabbit swim? While it is important for us to know what we are not good at, we must also cherish what is good in us.That is because it is only our strengths that can give us the energy to correct our weaknesses.
 
Second:-
The second lesson I have learnt is that a rupee earned is of far more value than five found. My friend was sharing with me, the story of his eight year-old niece. She would always complain about the breakfast. The cook tried everything possible, but the child remained unhappy. Finally, my friend took the child to a supermarket and brought one of those ready-to-cook cereal packets. The child had to cut the packet and pour water in the dish. The child found the food to be absolutely delicious? The difference was that she had cooked it! In my own life, I have found that nothing gives as much satisfaction as earning our own rewards. In fact, what is gifted or inherited follows the old rule of 'come easy, go easy'. I guess we only know the value of what we have, if we have struggled to earn it.
 
Third:-
The third lesson I have learnt is, in Cricket, no one bats a hundred every time. Life has many challenges. You win some and lose some. You must enjoy winning. But do not let it go to the head. The moment it does, you are already on your way to failure. And if you do encounter failure along the way, treat it as an equally natural phenomenon. Don't beat yourself for it or anyone else for that matter! Accept it, look at your own share in the problem, learn from it and move on. The important thing is, when you lose, do not 'lose the lesson'.
 
Fourth:-
The fourth lesson I have learnt, is the importance of humility. Sometimes, when you get so much in life, you really start wondering, whether you deserve all of it. We have so much to be grateful for. Our parents, our teachers and our seniors, have done so much for us, that we can never repay them. Many people focus on the shortcomings, because obviously, no one can be perfect. But it is important to first acknowledge, what we have received. Nothing in life is permanent, but when a relationship ends, rather than becoming bitter, we must learn to savor the memory, of the good things, while they lasted.
 
Fifth:-
The fifth lesson I learnt is, that we must always strive for excellence. One way of achieving excellence, is by looking at those better than ourselves. Keep learning what they do differently. But excellence cannot be imposed from the outside. We must also feel the need from within. It must involve not only our mind, but also our heart and soul. Excellence is not an act, but a habit. I remember the inspiring lines of a poem, which says that your reach must always exceed your grasp. That is heaven on earth. Ultimately, your only competition is yourself.
 
Sixth:-
The sixth lesson I have learnt is, never give up in the face of adversity. It comes on you, suddenly without warning... Always keep in mind, that it is only the test of fire, that makes fine steel. A friend of mine shared this incident with me. His eight-year old daughter was struggling away at a jigsaw puzzle. She kept at it for hours but could not succeed. Finally, it went beyond her bedtime. My friend told her, "Look, why don't you just give up? I don't think you will complete it tonight. Look at it another day." The daughter looked with a strange look in her eyes, "But, dad, why should I give up? All the pieces are there! I have just got to put them together!" If we persevere long enough, we can put any problem into its perspective.
 
Seventh:-
The seventh lesson I have learnt is, that while you must be open to change, do not compromise on your values. Mahatma Gandhiji often said, "You must open the windows of your mind, but you must not be swept off your feet by the breeze." Values like honesty, integrity, consideration and humility have survived for generations. At the end of the day, it is values that define a person more than the achievements. Do not be tempted by short cuts. The short cut can make you lose your way and end up becoming the longest way to the destination.
 
Final:-
And the final lesson I learnt is, that we must have faith in our own ideas even if everyone tells us that we are wrong. There was once a newspaper vendor who had a rude customer. Every morning, the Customer would walk by, refuse to return the greeting, grab the paper off the shelf and throw the money at the vendor. The vendor would pick up the money, smile politely and say, 'Thank you, Sir.' One day, the vendor's assistant asked him, "Why are you always so polite with him when he is so rude to you? Why don't you throw the newspaper at him when he comes back tomorrow?" The vendor smiled and replied, "He can't help being rude and I can't help being polite. Why should I let his rude behavior dictate my politeness? "

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Reserve Bank to withdraw all pre-2005 currency notes from circulation


PTI | Jan 22, 2014, 07.19PM IST 
 
Asking people not to panic and cooperate in the withdrawal process, the RBI said old notes will continue to be legal and can be exchanged in any bank after April 1.

MUMBAI: The Reserve Bank on Wednesday decided to withdraw all currency notes issued prior to 2005, including Rs 500 and Rs 1,000 denominations, after March 31 in a move apparently aimed at curbing black money and fake currencies.

"After March 31, 2014, it (RBI) will completely withdraw from circulation all bank notes issued prior to 2005. From April 1, 2014, the public will be required to approach banks for exchanging these notes," the RBI said in a statement.

The public can easily distinguish the currency notes issued before 2005 as they do not have the year of printing on reverse side. The year of printing in a small font is visible at the middle of the bottom row in notes issued after 2005.

Asking people not to panic and cooperate in the withdrawal process, the Reserve Bank of India (RBI) said old notes will continue to be legal and can be exchanged in any bank after April 1.

"From April 1, 2014, the public will be required to approach banks for exchanging these notes. Banks will provide exchange facility for these notes until further communication," the RBI said.

From July 1, 2014, persons seeking exchange of more than 10 pieces of Rs 500 and Rs 1,000 notes will have to furnish proof of identity and residence to the bank.

Although the RBI did not give any reason for withdrawal of pre-2005 currency notes, the move is expected to unearth black money held in cash.

As the new currency notes have added security features, they would help in curbing the menace of fake currency.

At present, currency notes in denominations of Rs 5, Rs 10, Rs 20, Rs 50, Rs 100, Rs 500 and Rs 1,000 are issued.

Source : http://toi.in/kY1NMa

Government Decides to Keep in Abeyance the Decision to Change the Procedure for Pan Allotment Till Further Orders


The Central Board of Direct Taxes (CBDT) has decided to keep in abeyance the decision to change the procedure for PAN allotment till further orders. Accordingly, the operation of Circular No. 11 dated 16.01.2014 issued to PAN service providers has been directed to be put on hold till further orders. In the meantime, the old procedure of PAN application and allotment shall continue.

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 DSM/MJPS/KA
(Release ID :102868)

Source : http://www.pib.nic.in/newsite/erelease.aspx?relid=102868