sivakasi branch of sirc of icaisbsirc.in › wp-content › uploads › 2018 › 11 ›...

Sivakasi Branch of SIRC of ICAI Newsletter- January 2018

1 For Private Circulation Only

CHAIRMAN’S MESSAGE

Dear Members

Iam happy to share my views though this column.

CPE PROGRAMS

We had two CPE programs in Dec17. First one was on “New Form

WW”.Our member CA. Sundarajan explained the silent features of the New Form in

a simplest way. He is one of our distinguished members who took classes for GST

officials and acting as ambassador of our profession. We feel proud of him. The

second one was on “Insolvency and Bankruptcy code”. The speaker was

CA.R.Sundaram, Madurai. He shared his views and rich experience in this field.

After his speech many members showed interest to become “Insolvency

Professionals”. I request interested members may please register your names with

branch. If the numbers are adequate, we will start certificate course on IP at branch.

SIRC REGIONAL CONFERENCE

More than 20 of our members attended SIRC Regional Conference at

Bangalore. It was a proud moment that all of us went to stage and received

prestigious Best branch and Best SICASA Award (16-17) from Karnataka State

Minister. On 31st, we honored our past chairman CA R Sureshkumar and Past

SICASA Chairmen CA.Giridhar and CA.Anuradha Giridhar for their dedicated

works in getting the above awards.

6th SPORTS DAY

I must fail in my duty if not appreciated our SICASA Chairman CA. Selvaraj

and his team. Our branch celebrated 6th sports day on 31st Dec 2017. SIRC – SICASA

Chairman CA.Jalapathy was the chief Guest. Throughout the day the branch looked

festive and happiness everywhere. I congratulate the entire team who made that

day memorable in the history of our branch.

I wish you a happy, healthy and prosperous New Year.

Thanking you

Yours in Profession,

CA. M. Abdul Nasser

CHAIRMAN MESSAGE



Dear Members, ,

Greetings. Completion of CPE hours for the year 2017 is extended upto 28th February. If you didn't complete your CPE requirements, Finish it before Feb.28th.

Thanking You Yours faithfully,

S.Palanichamy Secretary.

Dear members,

Hearty Greetings. I am really happy to address through the newsletter. By

this time everyone would have completed the VAT audit. I request the members &

students to contribute to the newsletter. Happy Pongal & my Best wishes to all the

CPT & Final students for their results.

With Best Wishes, CA.K.Giridhar

SECRETARY’S MESSAGE

EDITOR’S MESSAGE



-CA. Rajendra Kumar P, FCA, Chennai

If you are availing input tax credit in GST the Government has fixed a credit

period of 180 days. Kindly read the below mentioned steps and follow the same to

be on the right side of the law.

Step 1

If you are availing input tax credit (ITC) then check whether payment (value plus

tax) has been made (in full or part) to the supplier for the supply of Goods or

Services or Both within 180 days from the date of invoice.

If payment is not made (in full or part) within 180 days from the date of invoice then

go to Step 2.

Step 2

Reverse that amount of ITC credit availed (either in full or in part) and add the same

to the output tax liability ledger after the expiry of 180 days.

Proceed to Step 3.

Step 3

Interest at the rate of 18% per annum has to be paid on the value of ITC reversed as

per Step 2.

Interest has to be calculated for the number of days commencing from the date of

availing the ITC in the books of accounts till the date of adding the ITC to the

output tax liability ledger.

Step 4

On the date the payment as discussed in Step 1 is made to the supplier the ITC so

reversed can be availed as credit again. However, the Interest paid shall be cost.

Any clarification on the above steps may be emailed to [email protected] or

what’s app on 9444017087.

GST - IMPORTANT ISSUE TO BE CONSIDERED FROM DECEMBER ONWARDS

mailto:[email protected]



CPE Hours Requirements for the Block Period of 3 years (1-1-2017

to 31.12.2019) to be complied with by different categories of Members:

All the members (aged less than 60 years) who are holding Certificate of

Practice (except all those members who are residing abroad) are required to:

1. Complete at least 120 CPE credit hours in a rolling period of three-

years.

2. Complete minimum 20 CPE credit hours of structured learning in

each calendar year.

3. Balance 60 CPE credit hours (minimum 20 CPE credit hours in each

calendar year) can be completed either through Structured or

Unstructured learning (as per Member’s choice).

All the members (aged less than 60 years) who are not holding Certificate of

Practice; and all the members who are residing abroad (whether holding

Certificate of Practice or not) are required to:

1. Complete at least 60 CPE credit hours either structured or

unstructured learning (as per Member’s choice) in rolling period of

three-years

2. Complete minimum 15 CPE credit hours of either structured or

unstructured learning (as per member’s choice) in each calendar

year.

All the members (aged 60 years & above) who are holding Certificate of Practice,

are required to:

1. Complete at least an aggregate of 90 CPE credit hours of either

Structured or Unstructured Learning (as per member’s choice) in a

rolling period of three years

2. Complete minimum of 20 CPE credit hours being an aggregate of

either Structured or Unstructured Learning (as per member’s choice)

in each calendar year

CPE HOURS REQUIREMENTS



2. The following class of members are exempted from CPE credit hours

requirement:

1. All the members (aged 60 years and above) who are not holding

Certificate of Practice.

2. Judges of Supreme Court, High Court, District Courts and Tribunal

3. Members of Parliament/MLAs/MLCs

4. Governors of States

5. Centre and State Civil Services

6. Entrepreneurs (owners of Business (manufacturing) organizations

other than professional services)

7. Judicial officers

8. Members in Military Service

3. Temporary Exemptions:

1. Female members for one Calendar year on the grounds of pregnancy

2. Physically disabled members on case to case basis having permanent

disability of not less than 40% and above (Supported with medical

certificates from any doctor registered with Indian Medical Council

with relevant specialization as evidenced by Post Qualifications

(M.D., M.S. etc.).

3. Members suffering from prolonged critical diseases/illnesses or

other disability as may be specified or approved by the CPEC.

(Supported with medical certificates from any doctor registered with

Indian Medical Council with relevant specialization as evidenced by

Post Qualifications (M.D., M.S. etc.).



Companies Amendment Act 2017

The Companies Act 2013, at its commencement stood for the 2 alphabets of

Accountability, Corporate Governance and Transparency. In the last 4 years, these

alphabets now stand to mean Amendments and alterations, Circulars and Changes

and Transitions. Welcome to yet another edition of changes with the approval of the

Companies Amendment Act 2017

The Government of India constituted The Companies Law Committee in June

2015 to provide recommendations on the issues arising out of implementation of the

Companies Act 2013. The Committee submitted its Report to the Government on 1st

February 2016.The Bill was passed by Lok Sabha on 27 Jul 2017 and the Rajya Sabha

on 19 December 2017 and received the Presidential assent thereafter. The Central

Government notified the Companies (Amendment) Act, 2017 (Amendment Act) on

3rd January, 2018. The provisions of this Amendment Act shall come into force on the

date or dates as the Central Government may appoint by notification(s) in the

Official Gazette

The amendments can be categorised into the following broad segments

Definitions

Loans and Investments

Related Party Transactions

Directors, Board related

Managerial Remuneration

Corporate Social Responsibility

Dividend related

Financial Reporting

Audit and Auditors

Acceptance of Deposits

Other Matters

In this edition let us examine some key changes that impacts our profession

COMPANIES AMENDMENT ACT 2017



1. Sec 2(41) – Uniform Financial Year

Under the Companies Act 2013, only companies which were holding or subsidiary

of a company incorporated outside India could apply for a different financial year.

Now Companies which are associates or joint ventures of a Company incorporated

outside India can now approach NCLT for adopting a different financial year

2. Preparation of CFS – Sec 129 (3)

Companies having Joint ventures although they have no subsidiaries will still be

required to prepare consolidated financial statements. Such CFS shall be prepared

as per the applicable Accounting Standards

3. Signing of financial Statements – Sec 134(1)

The previous act permitted CEO’s to sign financial statements only if she / he was a

director in the Company. This requirement of being a director has now been

dispensed with

4. Annual General Meeting of an unlisted company - Sec 96

Presently, a company is required to hold its Annual General Meeting at its

Registered Office.As per the amendment now, the Annual General Meeting of an

unlisted company may be held at any place in India if consent is given in writing or

by electronic mode by all the members in advance.

5. Ratification of appointment of auditor in Section 139(1)

The Provision that the company shall place the matter relating to such appointment

for ratification by members at every annual general meeting has been omitted

6. Rationalisation of Penalties on the Audit Profession

Penalties under the Act had no co-relation to the audit fees and these have now been

rationalised by the Companies Amendment Act 2017. For instance, the penalty for

non filing of resignation is tabulated below. Similar modifications have been made

for penalties for contraventions of section 139, 143, 144 or 145. This has since been

linked to audit fees or Rs 5 lakhs whichever is less



Previous After Amendment

(3) If the auditor does not comply with

sub-section (2), he or it shall be

punishable with fine which shall not

be less than fifty thousand rupees but

which may extend to five lakh rupees.

(3) If the auditor does not comply with sub-

section (2), he or it shall be punishable with

fine which shall not be less than fifty

thousand rupees or the remuneration of

the auditor, whichever is less,

7. Provisions relating to reopening of Accounts under Sec 130

There are two important changes in relation to Reopening of accounts on Court or

Tribunal Order. One , there appears to be a provision for the auditor for an

opportunity to be heard and two, there is a restriction that such re-opening cannot

generally exceed 8 years unless there is an order of the Central government for a

longer period ( under Sec 128 (5) – investigation )

8. Auditor Reporting under Managerial Remuneration

A new Sec 197(16) has been introduced for reporting on managerial remuneration as

under. However this is similar to the requirement under CARO 2015 and further

clarification on this duplication is awaited

“The auditor of the company shall, in his report under section 143, make a statement

as to whether the remuneration paid by the company to its directors is in accordance

with the provisions of this section, whether remuneration paid to any director is in

excess of the limit laid down under this section and give such other details as may be

prescribed”

To be continued

-Sripriya Kumar



Mock Test II for CA CPT December 2017 Exam on 10th December 2017

CPE Seminar on New Form WW“on 9th December 2017

Inauguration of “ICITSS- Orientation Course I Batch” on 18th December 2017

Career Counselling Programme at “Velankanni madha Hr.Sec School, Sivakasi” on 21st December 2017

EVENTS DECEMBER 2017



“SRESTATHA“49th Regional Conference of SIRC of ICAI at Bangalore on 22nd and 23rd December 2017

Investors Awareness Programme at ICAI Bhawan,Sivakasi on 30th December 2017

CPE Seminar on “Insolvency and Bankruptcy Code” on 31st December 2017



03.01.2018 – Inaguration of AICITSS - Advanced IT Batch I 13.01.2018- 3Hrs CPE Seminar on “Professional Ethics and Professional Development” 27.01.2018- SIRC Chairman Official Visit and 6 Hrs CPE Seminars on “International Taxation”

FORTHCOMING EVENTS

sivakasi branch of sirc of icaisbsirc.in › wp-content › uploads › 2018 › 11 ›...

Documents