President’s Message | November 2019
Dear Professional friends,
I presume you just completed an exhaustive year of tax audit and after you are back from Deepawali vacation, it’s time to wrap up the learning and restore them for our upcoming professional requirement. Its probably that part of the year among the professional colleagues where the time to update and consolidate the knowledge is highest.
The date 9th of Nov 2019 marks an important day among the citizens of this country, when the highest court pronounced its judgment on one of the most sensitive case in India. The Judgement marks the end of dispute which had kept the whole nation awaiting on its verdict. Let us all welcome the Judgement for all its fairness, close the awful chapter of whatever has happened and move to the paths of growth and prosperity of this great country. Let us also appreciate the maturity of the public in receiving this sensitive judgement.
Aggregator start-ups luring individual and small businessmen and professionals, had also roped in few Chartered Accountants in their site and mobile applications. They were placed along the side of technicians, maintenance workers, event organisers, etc. Recently, ICAI in its wisdom has accorded not allow such listing of names with aggregators. My fellow members are to be aware not to fault on this and refrain from such listing so as to not cause disrepute to the profession.
We had successful sports and talent and family meet event on 10th of Nov 2019, and some nail biting matches among our own members. The event witnessed extraordinary sportsmanship by CAs, and their family members and amazing talent show as well. We had to postpone the cricket and other outdoor activities to 24th of Nov 2019 due to imposition of section 144 in Bengaluru.
News Roundup
Goods and Service Tax
The Honourable Supreme court’s judgement in the case of Calcutta Club Ltd which confirms the existence of Principle of Mutuality in the case of Calcutta Club Ltd which is in relation to entities such as Clubs, Society’s, etc. has a huge bearing on GST levy on such entities and our members could use this judgement for the benefit of their clients.
Corporate and Business Law
With an intention to improve corporate literacy and to create awareness among independent directors about their duties, MCA has introduced Online Proficiency Assessment Test for Independent Directors under the Companies Act, 2013 effective from 1st December 2019. This test will be conducted by Indian Institute of Corporate Affairs (IICA). The requirement will not be applicable for certain categories of individuals, including those who have served for at least 10 years as director or key managerial personnel in a company. Individuals, other than those exempted, have to pass the test within one year from the date of inclusion of their names in the independent directors’ data bank maintained by the IICA, as per the notification.
MCA has extended the due date of filing of forms MGT-7 (Annual return) and AOC-4 (Financial statements) under the Companies Act, 2013 to 31st December 2019 and 30th November 2019 respectively. MCA has also relaxed the additional fees of non-filing of MGT-7 and AOC-4.
Income Tax
- CBDT has given clarification on set off of brought forward loss due to additional depreciation & MAT credit if companies opt for 22% tax
- Domestic Companies opting for 22% tax are not eligible to set off of brought forward loss on account of additional depreciation
- CBDT exempted authorized dealers & full-fledged money changer (FFMC) from TDS on cash withdrawals
- CBDT notified protocol amending ‘India – Morocco DTAA
- CBDT has directed that the Income-tax Authority of Regional e-Assessment Centre (read as ReAC) to exercise the powers and functions of the Assessing Officer concurrently to facilitate the conduct of e-assessment proceedings
Upcoming Programs
We have planned following programs in the month of November 2019
- Workshop on GST at Davanagere
- Workshop on GST Annual Returns & Audit at Bagalkot
Conclusion
Confucius once said “Learning without thought is labour lost; thought without learning is perilous”
This is very interesting piece of advice to our CA practice, that we need to learn to acquire knowledge and the same knowledge needs to be applied to reflect on what is learnt and acquire more knowledge. Adventuring on something without learning and on uneducative impulse is a recipe for disaster. But together, and in balance, learning and thought give us a great way by which we can get things done. And that allows us to get it done with little wasted time or danger to self or others.
This harbours on the point that however a theory be, its relevance in the practical world is prominent and the harvest of the fruit is only when the same is applied successfully.
My Wishes to you all for a great learning and enriching experience.
Yours Sincerely,
CA. Chandrashekara Shetty,
President
