Newsletter

JAIPUR BRANCH OF CIRC OF ICAI
[Largest Branch of CIRC of ICAI]
Professional
Insights
E-NEWSLETTER
APRIL 2024
THE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA

[Set up by an Act of Parliament]
OFFICE BEARERS - TERM 2024-25
CA NAVEEN SHARMA
CHAIRMAN
CA VIKAS YADAV CA VIJAY KR. AGRAWAL CA RUCHI GUPTA CA ANKUR KR. GUPTA
VICE CHAIRMAN SECRETARY TREASURER CHAIRMAN CICASA
CA VISHNU AGRAWAL CA KULDEEP GUPTA CA AKHIL BHALA CA YASH GUPTA

MEMBER CICASA EXECUTIVE MEMBER EXECUTIVE MEMBER EXECUTIVE MEMBER
CA PRAKASH SHARMA CA (Dr) ROHIT RUWATIA AGARWAL

CENTRAL COUNCIL MEMBER, ICAI CENTRAL COUNCIL MEMBER, ICAI
CA AKASH BARGOTI CA ANIL KR. YADAV

CHAIRMAN-CIRC REGIONAL COUNCIL MEMBER, ICAI
REGIONAL COUNCIL MEMBER, ICAI
Editorial Board
CA (Dr.) Abhishek Sharma CA Anshul Agiwal CA Payal Chauhan CA Tarun Modi

Chief Editor Joint Editor Joint Editor Joint Editor
CA Anuj Poddar CA Hemant Kaushik CA Krishan Sharma CA Kuldeep Sharma

Editor Editor Editor Editor
CA Neha Agrawal CA Nimita Agarwal CA Paras Jain CA Priyanka Bajaj

CA Rahul Sharma CA Shalini Sharma CA Shivangi Agrawal CA Shyam Krishan Gupta

CA Sunil Kumar Jain CA Vikesh Jain CA Yogesh Parashar CA Yogeshwari Joshi


From the desk of Chairman...
Dear Respected Members,
Namaste! As we turn the pages of our professional journeys, it is vital to

pause, reflect, and celebrate the milestones achieved along the way.
The month of April 2024 has been exhilara ng for all of us at the Jaipur
Branch. I am thrilled to share some of the key highlights and
accomplishments through this message in our e-newsle er.
**Excellence Awards for Commendable Contribu on in Profession &

Services**
In an inspiring celebra on of dedica on and professional excellence, the Rajasthan Chartered Accountant's
Founda on Bestowed Excellence Awards upon several dis nguished members of our community. This
momentous event, aptly named 'Interac on with Intellectuals,' was graced by the presence of the Hon'ble
Ms. Nirmala Sitharaman, Minister of Finance, Government of India. It was a privilege to witness our peers
being honoured for their outstanding contribu ons to the field of accoun ng and community services. This
event not only underscores our commitment to excellence but also aligns beau fully with the Vedic ethos of
**"Vidya dada vinayam"** – "Educa on fosters humility."
**Seminar on Labour Laws - An Overview**
Further enriching our professional repertoire, Jaipur Branch organized an enlightening lecture on Labour
Laws. His expert insights provided a comprehensive overview and prac cal understanding of this cri cal
area, essen al for naviga ng the complex legal landscapes we o en encounter in our prac ces. This seminar
is a testament to our ongoing commitment to learning and development, adhering to the ancient wisdom of
**"Sa vidya ya vimuktaye"** – "True knowledge liberates."
These events are not just milestones but steppingstones for future ini a ves aimed at enhancing our
professional skills and service to the society. They reflect our shared values and the collec ve effort to upli
and uphold the principles of Sanatan Dharma through our profession.
As we move forward, let us con nue to strive for excellence in all our endeavours. Let these events inspire us
to achieve greater heights and contribute meaningfully to the growth and integrity of our profession. I look
forward to what we can accomplish together in the coming months.
Warm regards,
CA. Naveen Sharma

Chairman
+91-9928319442
[email protected]
From the desk of Secretary...
Respected Professional Colleagues,
Gree ngs! As the Secretary of the Jaipur Branch of the Central India
Regional Council (CIRC) of the Ins tute of Chartered Accountants of India
(ICAI), I am delighted to connect with you through our monthly e-
newsle er. April 2024 has been a landmark month filled with significant
achievements and inspiring gatherings that have not only enriched our
professional lives but also strengthened our community.
**Recap of April's Highlights**
We commenced the month with the pres gious Excellence Awards for commendable Contribu on in
Profession & Services. Witnessing our colleagues receive accolades in the presence of the Hon'ble Finance
Minister was a proud moment for all of us. Such recogni ons are a testament to the hard work and dedica on
that define our profession.
Addi onally, our seminar on Labour Laws offered an invaluable opportunity for learning and discussion,
further highligh ng the importance of con nuous professional development. These programs are crucial for
staying updated with the latest industry standards and regula ons, which in turn enhances our capabili es
and service to our clients.
**Call for Contribu ons and Par cipa on**
Looking ahead, I would like to encourage each one of you to play an ac ve role in our community. Your
contribu ons, whether they be in the form of insigh ul ar cles for our newsle er or ac ve par cipa on in
our seminars and workshops, are invaluable. Sharing your knowledge and experiences not only helps in the
growth of fellow members but also enriches our collec ve professional journey.
I urge you to bring forth your unique perspec ves and case studies to be featured in upcoming edi ons of our
newsle er. It is your valuable insights that can light up another member's path. Addi onally, par cipa ng in
our branch's programs not only aids in your professional growth but also strengthens our community's bond.
**Engagement and Growth**
As we con nue to navigate through this year, let's commit to being more involved. A end the seminars,
contribute to the discussions, and let us all move forward together in the spirit of learning and mutual
growth.
Thank you for your ongoing dedica on and enthusiasm. Let's keep the momentum going and make every
event and ini a ve even more successful. Together, we can achieve great things!
With Warm Regards,
CA. Vijay Kr. Agrawal

(vuqHkoh lksp] ;qok tksFk)
Secretary
+91-9828149043
[email protected]
Index...
S. No. Topic Name Author Page No.
1. Compliance Calendar (Editor’s Desk-CA Vikesh Jain) 1
2. Recent Updates (Editor’s Desk-CA Shivangi Agrawal) 5
3. New Opportunities for Professionals (Editor’s Desk-CA Hemant Kaushik) 6
4. Crossword for Professionals (Editor’s Desk-CA Priyanka Bajaj) 7
5. Latest Case Laws (Editor’s Desk-CA Tarun Modi) 9
6. Tuberculosis: Still Hunting Mankind (Dr. Mahesh Mishra) 13

(Editor's Desk-CA Paras Jain)
7. Job Work Under GST (CA Anoop Kumar Sharma) 14
8. Succession Planning (CA Sweta Daga) 16
9. Small Company & its Benefits (CA Manish Yadav) 17
10. Pre Shipment Export Finance: Intricacies/Some

Issues and Running Account Packaging Credit) (CA Rahul Sharma) 19
11. Environmental, Social, and Governance (ESG) Reporting (CA Aditya Khedwal) 21
12. Artificial Intelligence is not just for Engineers,

but also for Chartered Accountants (CA) (CA Rishabh Goyal) 22
13. Labour Cess: A Crucial Aspect of Construction

Complicance (CA Sunil Kumar Agrawal) 22
14. Applying Shri Ram’s Principles in

Chartered Accountancy Practice (CA Pankaj Sharma) 23
15. Tax Department Detects HRA Fraud with

llegal usage of Pans! (CA Aman Rajput) 24
16. Social Audit (CA Charmi Shah) 26
17. ,d ru[okg (CA Govind Jakhotia) 29
18. Activities by Jaipur Branch (By Jaipur Branch) 30
19. Jaipur Branch in News (By Jaipur Branch) 32
20. New Tie Ups (By Jaipur Branch) 33
21. Know Your Branch (By Jaipur Branch) 33

Compliance Calendar
For the Month of May 2024
GST
Due Date Particulars Remarks
01.05.2024 Taxpayers with Turnover below Rs 5 Crores to opt in or opt out of -

QRMP Scheme for Jul -Sep quarter till 31st July.
10.05.2024 Monthly Return by Tax Deductors ,GSTR -7 April-2024
10.05.2024 Monthly Return by e -commerce operators April-2024
11.05.2024 Filing Form GSTR -1 April-2024
Monthly Return of Outward Supplies
13.05.2024 Optional Upload of B2B invoices, Dr/Cr notes for April under April-2024
QRMP scheme
13.05.2024 Monthly Return by Non -resident taxable person April-2024
13.05.2024 Monthly Return of Input Service Distributor for April April-2024
20.05.2024 Monthly Return by persons outside India providing online April-2024

information and data base access or retrieval services.
20.05.2024 Summary Return cum Payment of Tax for April by Monthly filers. April-2024
(other than QRMP).
25.05.2024 Deposit of GST of April under QRMP scheme April-2024
28.05.2024 Return for April by persons with Unique Identification Number -

(UIN) like embassies etc to get refund under GST for goods and
services purchased by them.
30.05.2024 ITC reversal on stocks and capital goods by person opting for -
Composition scheme in FY 24 -25.
Conti...
JAIPUR BRANCH OF CIRC OF ICAI 1

Compliance Calendar
Income Tax
Due Dates Particulars Remarks
07.05.2024 Due date for deposit of Tax deducted/collected by an Tax

office of the government for the month of April, 2024. Deducted/Collected
However, all sum deducted by an office of the
government shall be paid to the credit of the Central
Government on the same day where tax is paid without
production of an Income-tax Challan
07.05.2024 TCS Payment: Due date for depositing tax collected by an TCS
Assessee other than a government office for the month of
April 2024.
15.05.2024 Details of Deposit of TDS/TCS of April by book entry by an April-2024

office of the Government.Form-24G.
15.05.2024 Issue of TDS Certificate for tax deducted u/s 194-IA on TDS Certificate
payment made for purchase of property in March. Form-
16B.
15.05.2024 Issue of Annual TDS Certificate for tax deducted on rent April-2024
above 50,000 pm by certain individuals/HUF under
Section 194-IB in March. (In case of termination of lease
during the year, single TDS certificate is to be issued in 15
days from due date of deposit).- Form 16C
15.05.2024 Issue of TDS Certificate for tax deducted u/s 194M on -

certain payments by individual/HUF in March. Form-16D
15.05.2024 Issue of TDS Certificate for tax deducted u/s 194S on -

Virtual Digital Assets in March.
15.05.2024 Quarterly Statement of TCS for January-March. 27EQ
30.05.2024 Submission of a statement by Non-resident having a Form 49C

liaison office in India for FY 23-24.
30.05.2024 Deposit of TDS u/s 194-IA on payment made for purchase Firm 26Q
of property in April
30.05.2024 Deposit of TDS u/s 194-IB @ 5% on total payment of Rent Form 26QC
more than 50,000 pm by individual or HUF (not liable to
tax audit) during FY 24-25, where lease has terminated in
last month. (Else TDS is to be deposited on annual basis
by 30 April of next year.)
Conti...

Compliance Calendar
Income Tax
Due Dates Particulars Remarks
30.05.2024 Deposit of TDS on certain payments made by Form 26QD

individual/HUF u/s 194M for April.
30.05.2024 Deposit of TDS on Virtual Digital Assets u/s 194S for April. Form 26QE
30.05.2024 Issue of TCS certificates for January-March. Form 27D
31.05.2024 Online Application by trust/institution for exercising the Form 9A

option to apply income of previous year in the next year
or in future. Applicable where due date of ITR is 31 Jul.
31.05.2024 Statement to accumulate income for future application Form-10

u/s 10(21) or 11(1). Applicable where due date of ITR is
31 Jul.
31.05.2024 E-filing of Annual Statement of Donors & Donations Form-10BD

received by charitable organizations u/s 80G/35.
31.05.2024 Download of Certificate of Donations/contributions for FY Form 10BE

23-24 from IT portal and submission of same to
Donor/contributors.
31.05.2024 Quarterly statements of TDS for January- March. Form 24Q, 26Q, 27Q
Return of tax deduction from contributions paid by the -

trustees of an approved superannuation fund during FY
31.05.2024
23-24.
31.05.2024 Quarterly statement of tax deposited in relation to Form 26QF

transfer of virtual digital asset u/s 194S to be furnished by
an exchange for the quarter January- March
31.05.2024 Annual Statement of financial transactions in respect of Form 61A

Dividend and Interest of FY 23-24.
31.05.2024 Statement of reportable accounts for Calendar year 2023 Form 61-B
by reporting financial institutions. File NIL statement if no
transactions to report.
31.05.2024 Higher TDS/TCS due to non-linking of PAN Aadhar, shall -

not be applicable for transactions upto March 31, 2024 if
PAN is linked with Aadhar upto May 31, 2024.
Conti...

Compliance Calendar
FEMA
Due Dates Particular s Remarks
07.05.2024 Return of External Commercial Borrowings. April -2024
Compliance Calendar
For the Month of May2024
ROC
Due Dates Particular s Remarks
30.05.2024 Annual Return of Foreign Company (Branch / Liaison FC-4

/Project Office) for FY 23 -24.
31.05.2024 Report on Corporate Social Responsibility for FY 23 -24 by CSR-2

companies to whom it is applicable .
30.05.2024 Annual Return of Limited Liability Partnership (LLP) for FY LLP-11

23-24.
Other Compliances
-: Provident Fund (PF) payments are due on the 15th, May,2024 for the previous month.
-: The last date to pay ESI contribu on is the 15th, May,2024 for the previous month.
Note-: The content/informa on published is only for general informa on of the user and shall not be
construed as legal advice.

RECENT UPDATES
Monetary Policy and Economic Updates
Monetary Policy:
· RBI MPC Mee ng (April 2024): The Reserve Bank of India's Monetary Policy Commi ee (MPC)
met in early April to decide on interest rates and monetary stance for the new financial year
(FY25) beginning April 1st. As widely an cipated, the MPC opted to maintain a status quo.
This meant:
o Repo Rate Unchanged: The key interest rate, the repo rate, remained unchanged at
6.5%.
o Withdrawal Stance Maintained: The MPC con nued its "withdrawal of
accommoda on" stance, indica ng a gradual ghtening of money supply to control
infla on.
Economic Growth:
· Strong Growth Projec ons: The RBI, along with its monetary policy announcement, projected
India's real GDP growth for FY25 to be 7%, revising upwards from its previous es mate [1, 3].
This revision was based on strong GDP figures for the third quarter (Q3) of FY24, which came
in at a surprising 8.4%.
· Infla on Expecta ons: The MPC also forecasted CPI infla on for FY25 to be around 4.5%,
indica ng con nued control over infla on.
Overall Tone:
· The economic outlook for India in April 2024 was op mis c, with robust GDP growth and
controlled infla on. The RBI's monetary policy decision reflected a cau ous approach, aiming
to maintain a balance between suppor ng growth and managing infla on.
Addi onal Points:

· Analysts predicted the RBI might ini ate rate cuts later in FY25 if infla on stays under control.
· Strong domes c market ac vity and a resilient service sector were highlighted as key factors
driving growth.
Note: These points are based on informa on available in April 2024.

NEW OPPORTUNITIES
FOR PROFESSIONALS
Beyond Audits:
The Thrilling World of Forensic Accountancy
Background:
As economic offencs grow more complex, the role of Chartered Accountants in forensic science becomes increasingly
vital. CAs, with their exper se in accoun ng, audi ng, and inves ga ve skills, are well-equipped to tackle financial
frauds. Forensic accoun ng, a field that combines these skills to inves gate and provide legal evidence of financial
misconduct, is expanding rapidly. This growth is driven by advancements in technology and a greater emphasis on
regulatory compliance, highligh ng the significant opportuni es for CA in this specialized area.
Key Skills Required:
Knowledge: Familiarity with accoun ng and audi ng standards, laws, and general accoun ng principles and
understanding of the legal aspects of financial crimes to aid in court proceedings.
Technology Proficiency: Proficiency in tools like Microso Excel, Power BI, and other data mining tools, and so ware
used for financial data analysis.
Fraud Detec on Techniques: Understanding of fraud detec on methods and techniques.
Inves ga ve Mindset: Ability to think cri cally and analyze complex financial transac ons and extraordinary skills like
emo onal intelligence etc.
Career Opportuni es for CA:
CA as forensic accountant helps in strengthening the financial integrity of businesses. They help the organiza ons to
- implement robust financial controls to prevent fraud,
- ensure that businesses comply with the ever-evolving financial regula ons and standards.
Forensic accountants are in demand across various sectors, including:
- Government Bodies viz. CBI, ED etc.
- Public Sector Undertakings (PSUs)
- Insurance Companies
- Banks and Non-Banking Financial Companies
- Inves ga ng Agencies
- Large-sized Organiza ons
Growth of Forensic Accoun ng domain
Specialized Training: Ins tutes like the ICAI offer cer ficate courses in Forensic Accoun ng and Fraud Detec on,
equipping CAs with the necessary skills to tackle complex financial inves ga ons.
Diverse Roles: From inves ga ng cybercrimes to suppor ng legal teams in li ga on, the roles within forensic
accoun ng are diverse and dynamics.
Technological Edge: The integra on of Data Analy cs and Cyber forensics tools places CAs at the forefront of
comba ng digital fincancial crimes.
Way Forward:
The fusion of accoun ng with forensic science presents an exhilara ng avenue for Chartered Accountants. This
domain not only offers prospects for professional expansion and diverse challenges but also the gra fica on of
effec ng a discernible influence on the corporate landscape. As the horizon of possibili es widens, Chartered
Accountants are set to become instrumental in shaping the des ny of forensic accoun ng and the deterrence of
financial fraud. Forensic accountants are pivotal in scru nizing fiscal anomalies, unearthing illicit ac vi es, and
delivering authorita ve evidence in judicial contexts. Their exper se surpasses conven onal audit prac ces,
encompassing comprehensive scru ny of fiscal documenta on, business transac ons, and corporate prac ces.

CROSSWORD FOR PROFESSIONALS
GST ACT
Conti...

CROSSWORD FOR PROFESSIONALS
GST ACT

LATEST CASE LAWS
PMLA CASE LAWS:
1. Validity of ED proceedings depend upon the validity of proceedings of predicate offence:
Crux:
· The pe oner sought to quash the ECIR proceedings against him, arguing that they arrived from a FIR
that had been quashed by the court in a previous case. The respondent contended that PMLA, 2002
offenses could be prosecuted independently of the predicate offense.
The court held:
· The court, referencing legal precedent, emphasized that prosecu on under PMLA, 2002 requires a
connec on to a scheduled offense, and if the predicate offense is quashed, the money laundering charge
cannot stand.
· Therefore, the court quashed the ECIR proceedings against the pe oner. The court ruled in favor of the
pe oner, sta ng that since the predicate offense proceedings had been quashed, the ECIR proceedings
lacked relevance.
Cita on: R. DURGASHANKAR VERSUS THE DEPUTY DIRECTOR, DIRECTORATE OF ENFORCEMENT,

CHENNAI
2024 (4) TMI 37 - MADRAS HIGH COURT dated 20.03.2024.
Conti...

LATEST CASE LAWS
GST CASE LAWS:
1. GST Registra on cannot be cancelled from Retrospec ve Date covering the date when
returns were filed merely on the ground that taxpayer has not filed returns for some period
Facts of the case:
· The taxpayer has filed the applica on of cancella on w.e.f 30.04.2019 ci ng closure of business. The said
applica on was not approved ll 17.02.2020 when a SCN has been issued reques ng addi onal details.
This applica on was also cancelled later ci ng non-receipt of addi onal informa on.
· Later on 01.09.2020, a SCN has been issued ci ng the registra on was liable for cancella on due to non-
filing of return of the intermediate period.
· Then the registra on of taxpayer was cancelled retrospec vely w.e.f 01.12.2017. There is no material on
record to show as to why the registra on is sought to be cancelled retrospec vely.
Held That:
· The court held that, a taxpayer's registra on can be cancelled with retrospec ve effect only where such
consequences are intended and are warrant.
· In view of the above that Pe oner does not seek to carry on business or con nue the registra on and an
applica on for cancella on of registra on appears to be filed, the impugned order dated 01.01.2021
modified to the limited extent that registra on shall now be treated cancelled with effect from 30.04.2019
i.e., the date from which pe oner sought cancella on of GST registra on.
Case: KALPANA CABLES PRODUCTS PVT. LTD. VERSUS THE COMMISSIONER DEPARTMENT OF TRADES
AND TAXES & ANR. (W. P. (C) 5499/2024 & CM APPL. 22616/2024) dated 22.04.2024
2. The court set aside the order of rejec on of refund in case of delay in filing an
applica on seeking refund, even a er the pe oner had deposited the tax under
the correct head.
Sec on 54 of CGST Act, 2017

Facts of the case:
· The Pe oner, while filing the GSTR 1 for the month, erroneously declared interstate supply under
IGST instead of intrastate supply under CGST and SGST.
Conti...

LATEST CASE LAWS
· The pe oner corrected the mistake made earlier and therea er applied for refund u/s 54 on
11.05.2020.
· The Appellate authority rejected the refund claim solely on the ground of delay in filing an applica on
seeking refund. The Pe oner filed a second applica on on 14.07.2022, which was again rejected on
same ground.
Held That:
· The Court ordered that order of Appellate authority is not sustainable and is set aside.
· The court has provided that the Circular No. 162/18/2021-GST issued on 24.09.2021, specifying that the
'relevant date' for refund claim for ma er under sec on 77 (Tax wrongfully collected and paid) is the date
on which deposit of tax under correct head is made i.e. before expiry of two years from 19.08.2019.
· The circular further clarifies that in cases where payment was made under the correct head prior to
issuance of the circular, a further period of two years would be available from the date of circular.
Considering this, both applica ons for refund claim were within limita on.
Case: DMI Alterna ves Private Limited Vs. The Addi onal Commissioner CGST Appeals 1 Delhi &
Ors.
W. P. (C) 5412/2024 & CM APPL. 22350/2024 dated 16.04.2024
Income Tax Case Law:

1. Sec on: 148/148A
Considering assessee's reply is a must before passing an order u/s 148A(d) otherwise the order
will be quashed.
In favour of: - Assessee
Crux:
· The pe oner, a company, challenged a no ce issued u/s 148 of the Income Tax Act for the AY 2018-19.
The no ce alleged that the pe oner received incorrect Input Tax Credit (ITC) from a third party, M/s S.K.
Enterprises, which was accused of providing bogus invoices.
· The pe oner provided documents against these allega ons, including ledger accounts, invoices,
delivery notes, transport receipts, and bank statements. Despite this, the Assessing Officer issued an
order u/s 148A(d) to reopen the assessment, ci ng the informa on received and disregarding the
pe oner's evidence.
Conti...

LATEST CASE LAWS
The High Court held:
· The court found that the Assessing Officer failed to properly consider the pe oner's evidence before
issuing the order to reopen the assessment. The court directed the ma er to be remanded back to the
Assessing Officer to reconsider the evidence provided by the pe oner and make a fresh decision within
four weeks.
· The court quashed the impugned no ce and order, providing the pe oner with an opportunity for a fair
hearing.
Case: KANISHKA PRINTS PRIVATE LIMITED VERSUS THE ASSISTANT COMMISSIONER OF

INCOME TAX, CIRCLE 1 (1), SURAT 2024 (4) TMI 938 - GUJARAT HIGH COURT dated 02.04.2024
Sec on: 148A(b)
The Assessing Officer lacked Jurisdic on and proceeded to issue a no ce to an NRI which was
subsequently quashed
In favour of: - Assessee
Facts of the Case:
· The In this case, a non-resident Indian (NRI) filed their income tax return, which was ini ally processed by
the tax authority. However, later, the Assessing Officer received informa on sugges ng that the individual
was involved in financial transac ons with a company known for providing bogus entries.
· Consequently, the Assessing Officer issued a no ce under sec on 148A(b) for reassessment. The
individual, being of NRI status, argued that jurisdic on lay with the Interna onal Taxa on Officer.
· Despite this, the Assessing Officer proceeded with the reassessment, ci ng a lack of me to transfer the
case.
The court held:
· The court ruled in favour of the assessee, emphasizing that the Assessing Officer lacked jurisdic on and
that the reasons given for the reassessment were unsa sfactory. As a result, the court quashed the
reassessment no ce and the subsequent order.
Cita on: Nimir Kishore Mehta v. Assistant Commissioner of Income-tax [2024] 161
taxmann.com 553 (Bombay)
WRIT PETITION NO. 1933 OF 2023 dated 28.03.2024

Health
Awareness
Tuberculosis:
Still Hunting Mankind
Dr MAHESH MISHRA
[email protected]
Tuberculosis has been a major cause of suffering and Diagnosis of pulmonary tuberculosis
death since birth of mankind. Tuberculosis does not Diagnosis of pulmonary tuberculosis is made easily by
respect anyone irrespec ve of cast, wealth & posi on in with minimum inves ga ons-chest x-ray & sputum
society. Famous personality who suffered from examina on. With the availability of modern molecular
tuberculosis were great mathema cian Srinivasan techniques the drug resistant pa ern of a par cular
Ramanujanum, statesmen like Kamala Nehru, Nelson pa ent can be known in very short me period.
Mandela, Mohammed Ali Jinnah, Indian story writer Cartridge Based Nucleic Acid Amplifica on Test and Line
th
Prem Chand and died. Till ini al half of 19 century drugs Probe Assay can give results within short period means
were not developed to treat tuberculosis so pa ent was trea ng physicians & pa ents are aware at the me of
treated with fresh air in hilly area & good nutri on. Now ini a on of treatment whether par cular drug like
effec ve & cheap drugs for treatment of tuberculosis are rifampicin is going to work or not for treatment. Newer
available and also provided free by Government of India advancement like whole genome sequencing are
by NTEP (Na onal Tuberculosis Elimina on Program). available in commercial market for be er planning &
High prevalence of Diabetes, HIV, cancers and various management of tuberculosis.
types of organ transplants etc. which increase the risk of Ini a ve and Steps Taken by Government
tuberculosis infec on. So tuberculosis needs awareness The Government of India has taken major steps for
in common man for be er control of disease. Prevalence spreading awareness about the disease that it is
Of tuberculosis globally is 10.8 million wherein India mandatory now to no fy each & every case of
cons tutes 27% of the global cases. India has highest tuberculosis to authority. For no fica on government
mortality rate of every 2 minutes 3 deaths due to has launched NIKSHAY portal at which doctor &
tuberculosis i.e. 1 death per 1.5 minutes. The death rate pharmacist can no fy the par cular case of tuberculosis.
due to untreated tuberculosis is 50%. Therefore mely For the nutri onal benefit government is providing the
iden fica on of tuberculosis & treatment is important. incen ve of 500 rupees monthly to the pa ent, directly
Generally tuberculosis can affect any organ in human transferring to pa ent's account. Monetary help to the
body predominantly affects lungs (85%) followed by pa ent is greatly contribu ng in improving the nutri on
lymph nodes followed by other organs. Lung of pa ent. Regular & adequate treatment of tuberculosis
Tuberculosis is important from social prospec ve is essen al to break the transmission of disease in
because a case of untreated pulmonary tuberculosis can society, irregular & inadequate treatment of
infect 10 another people. tuberculosis leads to emergence of MULTI DRUG
Symptoms of Pulmonary Tuberculosis RESISTANT TUBERCULOSIS. Treatment of MDR-TB is
Symptoms of Pulmonary Tuberculosis are fever, cough expensive, less effec ve & associated with more side
for more than 2 weeks with/without expectora on with effects of drugs so every effort should be to treat the
accompanying weight loss, loss of energy & appe te. pa ent of drug sensi ve tuberculosis adequately &
effec vely.

JOB WORK UNDER GST

CA ANOOP KUMAR SHARMA
[email protected]
(A) Introduc on from the job-worker without the payment of

Job work is a basically part of the manufacturing unit in GST.
c u r r e n t s c e n a r i o fo r i n c r e a s e p ro d u c v i t y. (ii) Removal of goods from the job worker's
Manufacturers generally outsource a por on of their premises for supply directly to the customer.
ac vi es to a third person for par cular work. This is (1) Removal of goods for job-work and receiving the
help to be cost-efficient and more produc ve by goods back a er processing/comple on from the job-
focusing on their core ac vi es. A large number of worker without the payment of GST:-
manufacturing unit find it difficult to complete the A registered person (Principal) is allowed to send
en re process of produc on or manufacturing ac vity inputs/ capital goods without payment of GST to a
on their own in the promise me. The industry depends job-worker and from there to another job-worker and
on outside support for many things for example: a er comple on of job-work bring back. Goods need
Manufacturing Bag unit, for outsourcing lamina on in to be removed under intimation to proper officer and
the bag & Tex le industries outsource for dyes clothes subject to certain prescribed condi ons. The principal is
for comple ng/intermedia ng the manufacturing not required to reverse the ITC availed on inputs or
process. In The concept of job-work concessions are capital goods dispatched to the job-worker without
given to the job workers and the principal was payment of tax. Another op on is principal can also
responsible for tax compliance on behalf of the job send inputs/capital goods directly to the job-worker
worker. Under GST as well, special provisions have been without bringing them to his premises and can s ll avail
discussed in this ar cle as below:- the credit of tax paid on such inputs or capital goods
(B) Defini on of Job Work (2)Removal of goods from the job worker's premises
As per Sec on 2(68) of the CGST Act, 2017 job work for supply directly to the customer:-
defines “Any treatment or process undertaken by a A er processing of goods, the principal also has another
person on goods belonging to another registered op on to clear the goods for supply to third party,
person”. E.g. Pain ng, Packing, Fi ng etc. Therefore, directly from job-worker's, on payment of tax within
job worker is the person (registered or unregistered) India or without payment of tax for export outside India
who is processing or trea ng the goods of order of on fulfillment of prescribed condi ons. The facility of
another registered person and the owner of the goods is supply of goods by the principal to the third party
called the Principal in this respect. The job worker is directly from the job- worker, on payment of tax with or
done expected work on the goods sent by principal and without payment of tax for export, may be availed by
whether the ac vity is covered within the scope of job principal a er declaring premise of the job-worker as
work or not would have to be determined on the basis his addi onal place of business in his GST registra on.
of facts and circumstances of each case scenario. However, such declara on is not required by the
(C) Job work Procedure (special benefit avail in u/s principal where job worker is registered under sec on
143) 25 principal is engaged in supply of no fied goods.
The provisions related to job work are under sec on 143 (D) Time limits for return the goods:-
of the CGST Act. It is important to note that the In General job- worker are required to be returned to
provisions of said sec on are applicable to only the principal within 1 year for (goods) and 3 years for
registered person. If a principal, who are not registered (capital goods), from the date of sending such goods to
person than principal is not avail the benefit of the job-worker (other than moulds and dies, jigs and
provisions under sec on 143.Than the principal sending fixtures, or tools).
of inputs for processing to the job worker will a ract the When sufficient cause the period of 1 year and 3 years
provisions rela ng to a normal supply on both the may, be extended by the Commissioner approval for a
principal and the job worker. The provisions of sec on further period not exceeding 1 year and 2 years
143 have been discussed as follows: respec vely.
(i) Removal of goods for job-work and receiving (E) Procedure for sending goods to job worker
the goods back a er processing/comple on (opera onal Guidelines) Conti...

JOB WORK UNDER GST
Before supply of goods to the job-worker, the principal (F) Consequences for non compliance:-Non
would be required issue delivery challan along with E- compliance of job work requirements under GST Law
way bill issued as per relevant provision under contain Let's have several consequences as below:-
the details specified in rule 55 of GST Law. The inputs or 1) The penalty depends on the nature and
capital goods shall be sent to the job worker under the severity of the non-compliance penalty may
cover of a delivery challan issued by the principal. The impose 10% of the GST payable or 10,000/-
delivery challan shall be issued even for the inputs or whichever is higher.
capital goods sent directly to the job worker. The 2) Interest liability also imposes on GST, pay
delivery challan shall contain the specified details as interest rate usually @18% P.A. calculated from
below:- the due date of GST payment to actual paid GST.
1) All goods sent for job work must men oned in 3) Tax authori es may seize the goods.
delivery challan 4) If found inten onal or fraudulent than face
2) The details of challan must be shown GSTR-1 prosecu on also.
and filed with GST ITC-04. (G) Conclusion:-
3) In challan men oned challan No, Name of The job work plays a crucial role in enhancing
address and GSTIN (if have), HSN code, Taxable produc vity within the manufacturing sector by
Value, GST Rate, GST amount, POS, & Signature allowing manufacturers to outsource & it will helps in
etc. cost reduc on but also enables manufacturers to focus
If goods not return back from job worker with in 1 or 3 on their core competencies, leading to improved
year as the case may be than impact will be: If goods produc vity and efficiency. As per GST Act U/s 143
supplied through principal to job worker on the date of provisions facilitate the movement of goods for job
removal from principal will treat deemed supply. work without the immediate levy of GST, offer clear
Principal is required to pay tax along with interest from guidelines on the return of processed goods, and
the date of such goods removal ll payment of GST. But outline procedures for the direct supply of goods from
goods directly supplied by vendor to job worker than job workers to customers. This ar cle only for
the me limit of 1/3 year calculated when goods informa onal and educa on purpose, however it is
actually received by Job worker will treat deemed advisable to consult with tax professional for specific
supply and pay GST along with interest from the date of issue and challenge.
such goods received from vendor. BULLET POINT OF THIS ARTICLE:-
Waste & Scrap:-If waste & scrap generated during job A) Introduc on of Job Work.
works treated as under:- B) Framework and defini on.
1) If the job worker is registered than it can be C) Procedure & Benefits of job work.
supplied by the job worker directly with pay GST D) Time Limit for return of goods.
2) IF the job worker is not registered than E) Opera onal & dispatch Guidelines.
returned to principal along with processed F) Penalty & Interest.
goods and pay GST by principal. Alterna vely G) Conclusion.
the principal may supply waste/scrap directly
from job worker under his invoice with pay GST.

SUCCESSION PLANNING
CA SWETA DAGA
[email protected]
In the ever-evolving world of Indian business, ensuring a example of effec ve succession planning, which has
smooth transi on of leadership and assets has become seamlessly transi oned leadership across genera ons,
crucial. Succession planning isn't just about picking a maintaining its legacy and values. We can even mix and
successor, it's a strategic process shaping the match, like blending trusts with family arrangements or
organiza on's future. Let's delve into the various se ng up family offices for long-term wealth
aspects of succession planning and the legal maze management.
businesses must navigate for a seamless handover. Narayana Murthy's recent act of generosity in gi ing a
Successful planning means understanding that substan al por on of Infosys shares to his grandson
leadership changes are inevitable—whether planned sparked intrigue in the business world. Beyond mere
(re rements, promo ons) or unforeseen (illness, affec on, it hinted at a strategic move in succession
unexpected events). By addressing these shi s early, planning, aimed at nurturing the family's legacy for
businesses can minimize disrup on, seize opportuni es genera ons to come. It's not just about showering love
and ensure con nuity. The founda on of successful it's about plan ng seeds of financial knowledge and
planning lies in a thorough evalua on of both current values, ensuring a smooth transi on of wealth and
and future leadership needs. It all starts with iden fying leadership down the line.
the skills and roles crucial for long-term success, But it's not just about picking a strategy - it's about
considering tech advancements and evolving understanding the rules of the game. We need to
expecta ons. navigate through a maze of laws and regula ons, from
But succession isn't only for big corpora ons, it's crucial taxes to inheritance rules. Compliance is key to ensuring
for family businesses too. Passing leadership to the next a smooth handover of ownership and leadership. Look
genera on while honoring the family's legacy requires at companies like Infosys, which has demonstrated
delicate naviga on of personal and business dynamics exemplary compliance with legal frameworks during
At the heart of any succession plan lies the nurturing of leadership transi ons, ensuring stability and con nuity.
our future leaders. We must invest in our people, So, while we plan for the future, let's also keep our legal
offering them con nuous learning opportuni es to compass handy.
grow and thrive. Mentorship programs, varied In the end, succession planning isn't just a checklist—it's
experiences and regular feedback aren't just about securing the future. By cul va ng talent,
checkboxes—they're the lifeblood of our organiza on's adhering to legal frameworks and embracing change,
growth, ensuring that talent flourishes at every level. businesses can ensure con nuity and prosperity. Let's
Succession planning isn't just about paperwork it's embark on this journey with care and foresight,
about finding the right path forward for both businesses ensuring our businesses thrive in the ever-changing
and families. From old-school wills to modern family world.
setups, there's a whole toolbox of op ons to choose
from. Take for example, the Tata Group, a shining

SMALL COMPANY AND
ITS BENEFITS
CA MANISH YADAV
[email protected]
A 'Small company' is defined under sec on 2(85) of the No CARO: - Auditors of small companies are not
Companies Act, 2013. Ministry of Corporate Affairs has required to give report on Companies Auditors
amended Rule 2(1)(t) of the Companies (Specifica on of Report Order 2020 [CARO].
th
defini on Details) Rules, 2014 w.e.f. 15 September 2022 to No Rota on of company auditors: – A small
give effect to higher monetary limits for a private company company is exempt from the condi on laid in
to be considered as a small company. The limit of maximum Sec on 139(2) of the Companies Act 2013, which
Paid-up capital has been increased from Rs. 2 crores to Rs. 4 mandates the rota on of auditors a er a term of 5
Crores and the maximum turnover limit has been increased consecu ve years in case of an individual auditor
from Rs. 20 Crores to Rs. 40 Crores to be a small company. and two consecu ve terms of 5 years in case of an
The defini on of small companies changed 3 mes from audit firm.
me to me, so summary of changes with effec ve date is Not to be counted for limit of No. of Audits: - A
given below: small company is not to be included for the limit of
Both limits to be comp lied for being Small
Period Comp any
20 audits per auditor, as per no fica on dated 5th
Pai d-up Cap ital Turnover
Not exceeding Not Ex cee ding
June 2015. However, a small company would be
1st April 2013 to 31 st March 2021 Rs. 50 L acs Rs. 2 Crores counted for the limit of 30 audits as per ICAI
1st April 2021 to 1 4th Sep temb er 22 Rs. 2 Crores Rs. 20 Crores
15 th September 2022 o nwa rds Rs. 4 Crores Rs. 40 Crores guidelines.
Note: No Ind AS: - A small company is not required to
(1) For qualifying small company, company has to fulfil comply with Ind AS to prepare its financial
both condi on of turnover as well as paid up capital. statements. It has to only comply with Companies
(2) Listed Company, Public Unlisted company, Sec on 8 (Accoun ng Standards) Rules 2021.
Company, Holding Company, Subsidiary Company, No pre-cer fica on by Professionals: - In case of a
Company or Body Corporate governed by any small company, there is no requirement of pre-
special Act. These companies will not be a small cer fica on by Professionals for filing of Forms
company irrespec ve of its turnover or paid up with ROC including Annual Return.
capital. Abridged Board's Report: – Certain ma ers to
Benefits to small company: be included in Board's Report men oned in Rule
· No Cash Flow Statement: – A small company 8A of companies (Accounts) Rules, 2014 do not
need not include Cash Flow Statement as part apply for small company. Further the Central
of its Financial Statement. Government has prescribed an abridged Board's
· No IFC: – Auditors of small companies are not report, for the purpose of compliance u/s 134(3A)
required to give report on Internal Financial by small company.
Controls with reference to Financial Statements Abridged Annual Return: – Annual Return of a
and the opera ng effec veness of such controls in Small Company is an abridged Annual Report u/s 92
their audit report. Auditors Report Order 2020 in Form MGT 7A instead of detailed annual report in
[CARO]. Form MGT 7. Conti...

SMALL COMPANY AND
ITS BENEFITS
Relaxa on for Remunera on details in Annual company secretary in prac ce, however for a small
Return: – According to Sec on 92(1)(g), small company the return can be signed by a company
companies are required to provide details of only secretary or if there is no company secretary then by
“aggregate amount of remunera on drawn by a director of the company.
directors” in the Annual Return instead of providing The thing which needs to be kept in mind is that a small
details of remunera on of directors and key Company's status can change each year depending on its
managerial personnel of the company, which is paid-up capital and turnover limits. Once a small company
required for other companies. crosses these limits it will lose its status as a small Company.
Lesser Board Mee ngs: – As per the Again in the subsequent year if it regains those parameters,
provision of Sec on 173 (5) of Companies Act, 2013, again the company will be classified as a Small Company.
small companies are not required to hold 4 Hence, it's a con nuous exercise of checking the Company's
Board mee ngs in year, they may hold only 2 board thresholds with those men oned in the Act/rules.
mee ngs in a calendar year, i.e. one Board Mee ng The eligible status of the Small Companies and the
in each half of the calendar year with a advantages being provided to them are frequently unknown
minimum gap of 90 days between the two to the promoters and directors. So, for them to claim the
mee ngs. advantageous posi on, they must be aware of such
Fast Track Merger - Sec on 233 of the Companies provisions.
Act, 2013 prescribes a simplified fast-track merger It is much needed and necessary step to provide relief to
procedure for Merger of two small companies. small Companies from the complex provisions that were
Lesser Penal es: - If a small company fails to comply designed and dra ed from the point of view of large or
with any provisions of the Companies Act 2013, medium-sized Companies. Moreover, by increasing the
such company and officer in default of such limits for being a Small Company, the government has made
company shall be punishable with penalty, which way for many companies to worry less and work more
shall not be more than ½ of the penalty, specified in towards the accomplishment of their goal, which in the end
such sec ons subject to maximum of Rs. 2 lacs in would benefit the Indian Economy.
case of a company and Rs. 1 lac in case of an officer Entrepreneurs who expect topline growth in ini al years of
who is in default and other person as the case may business can start with this structure which has lower
be. compliance burden with ease of doing business. These
• Low Filing Fee - A relaxa on has been given to small relaxa ons extended to businesses is a giant step forward in
companies with respect to reduc on in their filing Govt's ambi on to leap Indian Economy as third largest
fees with Registrar of Companies as compared to Economy of World bypassing Japan and Germany. It is wisely
other companies. said that Pot is filled with every single drop, similarly even
• Exemp on from cer fica on of annual return by a pe y contribu on by small company will pave the way
company secretary in prac ce Companies are forward for robust socio economic objec ves of the country.
required to get their Annual Return cer fied by a

PRE SHIPMENT EXPORT FINANCE :
INTRICACIES / SOME ISSUES AND
RUNNING ACCOUNT PACKAGING CREDIT
CA RAHUL SHARMA
rahulsharmafca@rediffmail.com
Pre Shipment Export Finance – Financial assistance extended discounted / re discoun ng of the export bills in foreign
to the exporter from the date of receipt of the export order ll currency in the (EBR) Scheme.
the date of shipment is known as pre shipment credit. Such · Pre Shipment credit in rupees and then converted
finance is extended for the purpose of procuring raw material, drawls into PCFC at the discre on of the bank.
processing, packing, transpor ng, warehousing of goods The facility may be extended in one of the conver ble
meant for exports. currencies viz. US Dollars, Pond Sterling, Japanese Yen, Euro,
Pre Shipment Export Financing can be in the form of : Export Opera onal flexibility is provided by extending PCFC in one
Packing Credit (EPC) in rupees, Packing Credit in foreign conver ble currency in respect of an export order invoiced in
currency (PCFC), Advance against government incen ves another conver ble currency. The risk and cost of cross
covered under ECGC policy, Advance against receivables – Duty currency transac on will be that of the exporters. Banks are
Drawback Scheme, Advance against cheques/ dra s received permi ed to extend PCFC for exports to ACU countries. The
in advance of exports. applicable benefits to the exporters will accrue only a er the
(RBIMaster Circular DBOD No. DIR. (Exp). BC19/ 04.02.002 realiza on of the export bills or when the resultant export bills
/2014-15 dated July1, 2014) are discounted on “Without Recourse” basis.
Sharing of EPC under PCFC Source of Funds for Banks: Banks are permi ed to u lize the
foreign currency balance available with the bank in Exchange
i. The rupee export packing credit is allowed to be shared
between an export order holder and the manufacturer of the Earner Foreign Currency Account(EEFC), Resident Foreign
goods to be exported. Similarly, banks may extend PCFC also to Currency Account [RFC (D)] and foreign currency (Non
the manufacturer on the basis of the disclaimer from the Resident) Account Scheme, and the foreign currency balances
export order holder through his bank. available under Escroe account and Exporters Foreign
ii. PCFC granted to the manufacturer can be repaid by transfer Currency Account for financing the pre shipment credit in
of foreign currency from the export order holder by availing of foreign currency. In addi on, banks may arrange for
PCFC or by discoun ng of bills. Banks should ensure that no borrowings (Line of Credit) from abroad without RBI approval
double financing is involved in the transac on and the total provided the rate of interest on the borrowing does not exceed
period of packing credit is limited to the actual cycle of
100 basis points over six months LIBOR/ EURO LIBOR/ etc.
produc on of the exported goods.
Banks may also avail lines of credit from other banks in India in
iii. The facility may be extended where the banker or the leader
case they are not in a posi on to raise loans from abroad
of consor um of banks is the same for both the export order
holder and the manufacturer or, the banks concerned agree to subject to the condi on that the ul mate cost to the exporter
such an arrangement where the bankers are different for should not exceed 200 bps above LIBOR/EURO/EURIBOR etc.
export order holder and manufacturer. The sharing of export Spread: In respect of export credit to the exporters at
benefits will be le to the mutual agreement between the interna onally compe ve rates under the schemes of 'Pre
export order holder and the manufacturer. shipment credit in foreign currency' (PCFC) and “Rediscoun ng
Pre – Shipment Credit in Foreign Currency (PCFC): of Export bills abroad” (EBR), banks are free to determine the
PCFC facility is granted to exporters in foreign currency for interest rates on export credit in foreign currency with effect
domes c and imported inputs of exported goods at from May 5, 2012. Banks shall collect interest of PCFC at
LIBOR/EURO LIBOR/EURIBOR related rates. This is an monthly interval against sale of foreign currency or out of
addi onal window for providing pre shipment credit to Indian balances in EEFC accounts or out of discounted value of the
Exporters at Interna onally compe ve rates and applicable export bills if PCFC is liquidated.
to only cash exports. The exporters will have following op ons Period of Credit: The PCFC would be determined on case to
to avail of export finance: case basis and will be available for maximum period of 360
· Pre Shipment credit in rupees and then the Post days. For extension of PCFC within 180 days, banks, banks are
Shipment credit either in rupees or discon nuing/ re free to determine the interest rates on export credit in foreign
discon nuing of export bills in foreign currency under (EBR) currency with effect from May 5th, 2012. Further extension will
Abroad Scheme (dealt separately) be subject to the terms and condi ons fixed by the bank
· Pre Shipment credit in foreign currency and concerned and if no export take place with in 360 days, the
Con ...

PRE SHIPMENT EXPORT FINANCE :
INTRICACIES / SOME ISSUES AND
RUNNING ACCOUNT PACKAGING CREDIT
PCFC will be adjusted at T.T. selling rate for the currency genuine reasons.
concerned. Running Account Facility for all commodi es
Disbursement of PCFC: In case full amount of PCFC or part
i. Banks are permi ed to extend the 'Running Account' facility
thereof is u lized to finance domes c input banks may apply under the PCFC Scheme to exporters for all commodi es, on
appropriate spot rate for the transac on. Based on the the lines of the facility available under rupee credit, subject to
opera onal convenience, banks may s pulate the minimum the following condi ons:
lots taking into account the availability of resources, etc. a. The facility may be extended provided the need for
Liquida on of PCFC Account 'Running Account' facility has been established by the
exporters to the sa sfac on of the bank.
i. General
b. The PCFC will be marked off on the First in First Out
PCFC can be liquidated out of proceeds of export documents
(FIFO) basis. it can also be marked off with proceeds of export
on their submission for discoun ng/rediscoun ng under the
documents against which no PCFC has been drawn by the
EBR Scheme detailed in para 6.1 or by grant of foreign currency
exporter.
loans (DP Bills). Subject to mutual agreement between the
exporter and the banker, it can also be repaid / prepaid out of c. Bank should closely monitor the produc on of the
balances in EEFC A/c as also from rupee resources of the firm order or LC subsequently by exporters and also the end
exporter to the extent exports have actually taken place. use of funds. It has to be ensured that no diversion of funds is
made for domes c use. In case of non u liza on of PCFC drawls
ii. Packing credit in excess of F.O.B. value
for export purposes, the penal provisions stated above should
In certain cases, (viz. agro based products like HPS groundnut, be made applicable and the 'Running Account facility should
defa ed & deoiled cakes, tobacco, pepper, cardamom, cashew be withdrawn for the concerned exporter.
nuts, etc.) where packing credit required is in excess of FOB
d. Banks are required to take any prepayment by the
value, PCFC would be available only for exportable por on of
exporter under PCFC Scheme with in their foreign exchange
the produce.
posi on and Aggregate Gap Limit (AGL) that occur as indicated
iii. Subs tu on of order/commodity below. With the extension of 'Running Account' Facility
Repayment/liquida on of PCFC could be with export mismatch are likely to occur for a long period involving cost to
documents rela ng to any other order covering the same or the banks. Banks may charge the exporters the funding cost, if
any other commodity exported by the exporter or amount of any, involved in absorbing mismatches in respect of pre
balance in the EEFC Account. While allowing subs tu on of payment beyond one month period.
contract in this way, banks should ensure that it is e. Banks may extend the facility only to those exporters
commercially necessary and unavoidable. Banks should also whose track record has been good.
sa sfy about the valid reasons as to why PCFC extended for
shipment of a par cular commodity cannot be liquidated in f. In all cases, where pre-shipment credit 'Running
the normal method. As far as possible, the subs tu on of Account' facility has been extended, the LCs or firm orders
contract should be allowed if the exporter maintains account should be produced within a reasonable period of me.
with the same bank or it has the approval of the members of g. PCFC can also be marked-off with proceeds of export
the consor um, if any. documents against which no PCFC has been drawn by the
Cancella on/non-execu on of export order exporter.
i. In case of cancella on of the export order for which the PCFC h. Banks may arrange for borrowings from abroad.
was availed of by the exporter from the bank, or if the exporter Banks may nego ate lines of credit with overseas banks for the
is unable to execute the export order for any reason, it will be in purpose of grant of PCFC to exporters without the prior
order for the exporter to repay the loan together with accrued approval of the RBI, or may avail lines of credit from other
interest thereon, by purchasing foreign exchange (principal + banks in India if they are not in a posi on to raise loans from
interest) from domes c market through the bank. In such abroad on their own, provided the bank does not have a branch
cases, interest will be payable on the rupee equivalent of abroad. The spread between the borrowing and lending bank
principal amount at the rate applicable to ECNOS at pre- is le to the discre on of the banks concerned.
shipment stage plus a penal rate of interest from the date of ii. Banks should closely monitor the produc on of firm order or
advance a er adjustment of interest of PCFC already LC subsequently by exporters and also the end-use of funds. It
recovered. has to be ensured that no diversion of funds is made for
ii. It will also be in order for the banks to remit the amount to domes c use. In case of non-u lisa on of PCFC drawals for
the overseas bank, provided the PCFC was made available to export purposes, the penal provisions stated above should be
exporter from the line of credit obtained from that bank. made applicable and the 'Running Account' facility should be
withdrawn for the concerned exporter.
iii. Banks may extend PCFC to such exporters subsequently,
a er ensuring that the earlier cancella on of PCFC was due to

ENVIRONMENTAL, SOCIAL,
AND GOVERNANCE (ESG) REPORTING
CA ADITYA KHEDWAL
[email protected]
I n t h e ra p i d l y evo l v i n g fi n a n c i a l l a n d s ca p e , Moreover, with the regulatory landscape around ESG

Environmental, Social, and Governance (ESG) repor ng repor ng evolving rapidly, staying abreast of new
have taken center stage, reflec ng an insigh ul shi standards and frameworks is paramount.
towards responsible investment and corporate The challenge for today's finance professionals is clear:
prac ces. As environmental concerns and social to embrace and lead in the adop on of sustainable
responsibili es increasingly influence investment finance prac ces. By doing so, they not only contribute
decisions, accountants and finance professionals play a to a more sustainable and equitable global economy but
pivotal role in naviga ng this new terrain. also unlock new value for their organiza ons. As the
world marches towards a greener future, the
ESG repor ng, once a niche interest, has become a accountancy profession's ability to adapt and innovate
cri cal element of corporate disclosure, providing in the realm of ESG repor ng will undoubtedly be a
stakeholders with insights into a company's cornerstone of sustainable progress.
environmental impact, social contribu ons, and
governance prac ces. This shi is not merely ethical but
strategic, as evidence mounts that companies with
robust ESG profiles o en outperform their peers in the
long run. For accountants, this means not only
mastering tradi onal financial metrics but also
developing a deep understanding of ESG factors and
their financial implica ons.
In conclusion, the integra on of ESG criteria into

financial analysis and decision-making marks a
transforma ve shi in the business landscape. As
stakeholders increasingly priori ze sustainability and
ethical considera ons, the ability of companies to align
The role of the accountant is expanding, requiring a their opera ons with ESG principles has become a key
grasp of how sustainability ini a ves contribute to determinant of long-term success. The journey towards
financial performance. Professionals must now advise sustainable finance is not just about compliance; it's
on integra ng ESG considera ons into financial about embracing a vision of business that contributes to
planning, risk management, and repor ng processes. a sustainable future for all.

ARTIFICIAL INTELLIGENCE IS NOT JUST
FOR ENGINEERS, BUT ALSO FOR
CHARTERED ACCOUNTANTS (CA)
CA RISHABH GOYAL
[email protected]
A er clearing the CA exam, there are several op ons available campus placement and tried hard to find a job. Then I started
for CAs in the field of AI. CAs never thought that AI could searching about AI and found out about several AI-based
change their lives. companies.
Chartered accountants may not have considered AI as a I applied to one of these AI based companies and got
poten al career path, but they have many opportuni es to selected. They offered me a much higher salary than other
work in this field. companies, as these companies pay in dollars. Later, I found
If someone fails to get placed in campus placement or does out about other AI based companies that offer maximum pay
not get the expected job. There are many US-based AI for CAs in the field of AI.
startups that are offering packages that are beyond AI is a game-changer that will transform the way of life.
expecta ons. These startups need professionally qualified AI is an opportunity that CAs should take advantage of as early
people, which is an excellent op on for CAs. To find out about as possible and also surprising to see how AI can change the
these AI startups, one can use pla orms like Google and life of a Chartered Accountant.
LinkedIn.
AI is like silence for CAs, which we need to express.
For instance, a er clearing the CA exam, I was not selected in
LABOUR CESS: A CRUCIAL ASPECT

OF CONSTRUCTION COMPLIANCE
CA SUNIL KUMAR AGRAWAL
[email protected]
In recent mes, the Labour Department has intensified its Map approvals, government permissions, and the
efforts to ensure strict compliance with labour cess construc on's layout and physical structure is crucial for
regula ons, par cularly targe ng hotels and resorts. Labour determining labour cess liability.
cess is applicable to all forms of construc on, whether To navigate the complexi es of labour cess assessment
temporary or permanent, including renova ons. successfully, it is impera ve to possess technical knowledge
Notably, this is applicable on personal houses as well, unless about both construc on processes and accoun ng principles.
the total construc on cost is below Rs. 10 lakh. Before facing the Labour Department's, it is strongly advised
The rate of labour cess stands at 1% of the total cost of to thoroughly review all relevant documents.
construc on, making it a significant financial considera on It is crucial to acknowledge that non-compliance with labour
for builders, developers, and homeowners alike. While the cess regula ons can result in not only financial implica ons
imposi on of labour cess is clear, the assessment process but also legal repercussions. Therefore, staying informed,
involves a mul faceted approach, with key components being diligent in document review, and seeking professional
playing pivotal roles in determining liability, interest, and advice when needed are essen al steps in ensuring a smooth
penal es. and compliant construc on process.

APPLYING SHRI RAM'S PRINCIPLES

IN CHARTERED ACCOUNTANCY PRACTICE
CA PANKAJ SHARMA
[email protected]
In the famous Ramayana, Lord Ram is known for his honor of their profession.
exemplary character and leadership quali es. His D. Leadership and Responsibility: Lord Ram
principles are everlas ng guidelines for life in demonstrates effec ve leadership and
general and professional conduct of CAs especially. accountability as a prince of Ayodhya. Chartered
Here is how we can apply the principles of Lord Ram accountants are required to perform important
into our chartered accountant prac ce: roles such as financial management, audi ng,
A. Integrity and Honesty: Lord Ram is renowned taxa on among others. Chartered Accountants
for his commitment to truth and righteousness. should emulate the leadership quali es of Lord
Similarly, chartered accountants must ensure Ram so that they can display professionalism,
integrity and honesty in their professional conduct. inspire confidence and deal with intricate financial
Thus, they should observe transparency when issues diligently like Lord Ram did.
carrying out financial transac ons, give a true E. Con nuous Learning and Adaptability: Various
picture of financial data, as well as complying with trials and tribula ons characterize the journey
ethical rules/principles and professional standards. made by Ram whereby resilience as well as
adaptability is vital. Chartered accountants must
B. Fairness and Jus ce: Chartered accountants keep themselves informed on changes in
should be guided by Lord Rama's impar ality and regulatory frameworks, technology advancements
dedica on to jus ce. Specifically, accountants or industry trends in order to provide value-adding
ought to maintain fairness towards all stakeholders services to clients. They should embrace a culture
such as clients, shareholders or employees during of lifelong learning while adap ng to change so as
their opera ons. It means performing thorough to remain relevant and effec ve in an ever
audits, offering unbiased financial advice, changing business world.
enforcing corporate governance standards while The incorpora on of Lord Ram's principles into the
prac cing. prac ce of chartered accountants improves not
C. Diligence and Excellence: Lord Ram showed only ethics but also cul vates a spirit of honesty,
diligence and excellence in all his ac ons. In like service and excellence. Thus by following these
manner, chartered accountants must engage in meless principles, accountants contribute to
their work with me culous a en on to detail; making stronger, more ethical and trustworthy
striving for excellence in every aspect of their financial systems.
prac ce; as it is only by maintaining high standards
of quality and professionalism that they affirm the

TAX DEPARTMENT DETECTS HRA

FRAUD WITH ILLEGAL USAGE OF PANS!
CA AMAN RAJPUT
[email protected]
Introduc on Delhi follows closely behind with rentals ranging from Rs

As 31st March have approached many clients along with my 20,000-30,000 per month for the same space. Further, this
fellow colleagues are asking me for HRA deduc on and its disparity con nues across ci es, with Bengaluru, Pune,
eligibility, most of the client's fail to follow the guidelines in Hyderabad, and Kolkata falling in the range of Rs 17,000-
the act and end up paying heavy fines and penal es due-to 25,000 per month.
fake HRA's, in this ar cle we will discuss everything about Ahmedabad and Chennai stand out as the most affordable
HRA including it's meaning, condi ons, case laws and ci es in terms of rent is ranging from Rs 17,000-19,000. The
mistakes which is done by assessee. ques on that arises is whether it is equitable for HRA
Meaning of HRA deduc ons to remain uniform across all ci es or if
differen a on based on actual average rentals is more
House Rent Allowance or HRA is an allowance given by an jus fiable.
employer to an employee to cover the cost of living in rented
housing. HRA is not en rely taxable, even though it is a part Hence in short it urges government to consider an individual
of your salary. A por on of HRA is excluded from taxa on earning `10 lakh per annum (basic salary plus DA). At the 50%
under Sec on 10 (13A) of the Income Tax Act of 1961, subject tax limit, this individual is eligible for a tax deduc on of Rs 5
to some provisions. lakh per annum or Rs 41,667 per month. However, in
Mumbai, this deduc on might only secure a 1,000 sq feet
Basic condi ons for availing HRA apartment, while in Chennai, it could afford double the space.
1. The employee should be a salaried This apparent tax advantage uninten onally favours
individual and must receive HRA residents in ci es with lower average rentals.
2. Employee must actually be paying rent for a The recommenda on to include Bengaluru, Pune,
re s i d e n a l a c co m m o d a o n h e /s h e Hyderabad, and Ahmedabad as metros for HRA calcula on is
occupies undoubtedly overdue, as their rental landscapes mirror those
of current metro ci es. However, a more nuanced approach is
3. Employee must not own residen al impera ve for HRA deduc on, par cularly when considering
accommoda on for which HRA is being the diverse property rental rates across ci es, with Mumbai
claimed and Delhi standing out as hotspots.
The exemp on on HRA is calculated as minimum of the What are the provisions of TDS and PAN card?
following three amounts
It is mandatory to furnish the PAN card details of the
1. Actual HRA received from employer individual to whom rent is being paid if the annual rent
2. Rent paid minus 10% of basic salary exceeds Rs. 1 lakh. This can be done by submi ng Form 12BB
to the employer.
3. 50% of basic salary if employee lives in a
metro city or 40% of basic salary if the Alterna vely, if PAN details are not available, a declara on
employee lives in a non-metro city from the landlord sta ng the same, along with their name
and address, must be provided to the employer. Regarding
Metro ci es in India and issues raised by Financial Express
Tax Deducted at Source, for rent paid for land, building,
(India)
furniture, fi ngs, or a combina on thereof, TDS is applicable
Currently, the defini on of metro ci es encompasses Delhi, at 10% of the total amount exceeding Rs. 2.4 lakh annually.
Mumbai, Chennai, and Kolkata, However, as per the reports This is under sec on 194I for businesses or professions
an cipa on surrounds the possibility of this defini on exceeding a turnover or gross receipts of Rs. 1 crore or Rs. 50
expanding to include burgeoning urban hubs like Bengaluru, lakh, respec vely, necessita ng tax audits. But for others i.e.
Pune, Hyderabad, and Ahmedabad. The impetus behind this individuals or Hindu Undivided Families (HUFs) not liable to
expansion is to afford residents of these ci es a higher HRA undergo a tax audit, TDS is applicable at 5% on rent paid if it
deduc on, poten ally catalysing migra on and urban exceeds Rs. 50,000 per month. This falls under sec on 194M.
growth.
Now you might be wondering about the reasons for no ces
Further the ar cle on Financial express say's as per financial are being received by salaried employees with respect to
express, as we delve into the house rental trends in these HRA
ci es, a no ceable gap emerges. Mumbai, for instance,
Recently Income Tax Department has sent more than 10,000
boasts the highest average rental of Rs 30,000-50,000 per
No ces to salaried employees with respect of fake or non-
month for a 1,000 sq feet apartment.
compliant HRA. Conti...
TAX DEPARTMENT DETECTS HRA
FRAUD WITH ILLEGAL USAGE OF PANS!
What are the mistakes that are commi ed by salaried From the above case laws it is very clear that only the
employees while claiming HRA as a Tax deduc on? following two condi ons need to be sa sfied first employee
The first one is they are not making any rent agreement with m u s t a c t u a l l y b e p a y i n g r e n t fo r a r e s i d e n a l
the party, this case is especially while paying rent to family accommoda on and must not own the residen al
members for claiming deduc on in taxes, also in case of accommoda on for which HRA is being claimed.
rela ves or friends who are earning less income. Remember Now what is the case?
in case it happens to be a scru ny for your HRA deduc on it The cases first came to light when authori es found alleged
may be disallowed if there is no rent agreement and you need rent receipts of around Rs 1 crore by an individual. Further
to pay back taxes on the disallowed income along with probe revealed that the individual indeed did not receive the
interest and penalty rent that was shown against his name.
Secondly, many professionals and tax preparers rely just on The case prompted the income tax department to further
rent receipt as evidence for claiming HRA, in this case, tax inves gate the ma er and it turned out that there was
officer or AO might not get sa sfied and may demand more rampant misuse of PANs by unscrupulous individuals to claim
evidence by the taxpayer and in the absence of that evidence tax deduc ons from their employers. So much so that officials
may disallow the income have now come across cases where employees of certain
Third is some employees are just concerned of bogus entries companies have used the same PAN to claim tax deduc ons.
and do not pay rent in the bank account of the landlord, Tax officials have announced a crackdown on employees who
especially while claiming rent paid to family members have made fraudulent claims, with the aim of recovering
assuming to show rent paid in cash owed taxes. It remains uncertain whether legal ac on will be
Case laws concerned pursued against these individuals. This situa on underscores
In the case of Mrs. Meena Vaswani vs. ACIT [2017] 164 ITD another occurrence of PAN misuse, o en without the
120 (Mum Trib.), the assessee paid rent to her mother cardholder's knowledge. Complica ng ma ers further is the
without providing any suppor ng evidence such as a leave current applica on of TDS only for monthly rents exceeding
and license agreement or payment through bank Rs. 50,000 or annual payments surpassing Rs. 6 lakh.
transac ons. The submission of mere affidavits and rent Consequently, many employees have exploited this loophole
receipts from the mother was deemed insufficient. to evade taxes on rental income.
Addi onally, upon inspec on by the Department, the claim Are employers liable for this?
made by the assessee was disproved. Consequently, the Tax officials have emphasized that the responsibility rests
Income Tax Appellate Tribunal (ITAT) disallowed the HRA solely on the employee, absolving the employer of any
exemp on to the assessee. liability, even in cases where mul ple individuals cite the
My points: As I have explained this point above, that AO same PAN for rent payments. While employers are not
might not get sa sfied and may demand more evidence in required to conduct extensive inves ga ons, they are
case one solely has rent receipts expected to implement reasonable checks and balances
In the case of Abhay Kumar Mi al vs. DCIT [2022] 194 ITD when verifying proof of rent paid for HRA exemp on. Some
224 (Del Trib.), a salaried individual had paid rent to his wife employers have established policies wherein employees
for a house registered in her name, and the wife had her own found to have submi ed false claims for HRA or LTA shall face
sources to acquire the property. The rent income was termina on from employment.
declared as 'income from House Property' in the wife's In conclusion, the recent revela on of HRA fraud involving
income tax return. The Income Tax Appellate Tribunal (ITAT) illegal usage of PANs highlights a concerning trend of tax
ruled that the Revenue's argument against the husband evasion among certain individuals. The Income Tax
paying rent to his wife "lacks legal merit." The ITAT affirmed Department's crackdown on fraudulent claims underscores
that it is legally permissible for a husband to pay rent to his the seriousness of the issue and the need for stringent
wife. enforcement measures. While the responsibility primarily
In the case of Bajrang Prasad Ramdharani vs. CIT [2013] falls on the employees making the false claims, there are calls
60SOT 66 (Ahd Trib.), the assessee paid rent to his wife for a for employers to exercise greater diligence in verifying proof
house jointly owned by them, and they resided together in of rent paid for HRA exemp on. However, it's important to
the same house. The rent was paid through bank transfers, note that employers themselves are not inherently liable for
and rent receipts were submi ed as evidence. The Income such fraudulent ac vi es. Moving forward, it's crucial for
Tax Appellate Tribunal (ITAT) concluded that the assessee both individuals and employers to adhere to tax regula ons
fulfilled the condi ons of the provision, namely, occupying and uphold integrity in tax-related ma ers to maintain the
the house and paying rent. Therefore, the assessee was integrity of the system.
deemed eligible to claim exemp on under sec on 10(13A). My advice: File your ITR by taking genuine deduc ons and
exemp ons to avoid any legal issues

SOCIAL AUDIT
CA CHARMI SHAH
[email protected]
From February 2023 to January 2024, the running global There are several repor ng standards followed across the
average air temperature exceeded 1.5 °C for the first me. globe for measuring the social impact of corporate ac ons
With such effect seen in the climate changes every in the normal course of business so far as those are linked
individual and companies must have some social with its social
responsibility towards the society. responsibility.
Social responsibility means that individuals and Features of Social Audit are as follows:
companies must act in the best interests of their ● Looks at the impact caused to the society by the
environment and society at large As it applies to business, organiza on
social responsibility is known as corporate social ● Takes an "outside in" approach of looking at
responsibility (CSR) and is becoming a more prominent organiza on, dealing more with how the non-financial
area of focus within businesses due to shi ing social stakeholders view the business rather than how the
norms. managers/ owners of the organiza on plan it to be.
India is the first country globally to make corporate social ● Deals with the study of social impact parameters, most
responsibility (CSR) mandatory, following an amendment of which can be gathered from outside the organisa on
to the Companies Act, 2013 in April 2014. The Companies which is being audited.
Act, 2013 provides for CSR under sec on 135. Thus, it is ● Involves the stakeholders of the enterprise and adopts a
mandatory for the companies covered under sec on 135 triple bo om line approach.
to comply with the CSR provisions in India. Companies are Laws Related to Social Audits
required to spend a minimum of 2% of their net profit over · Meghalaya was the first state in India to
the preceding three years as CSR. i m p l e m e n t t h e M e g h a l ay a C o m m u n i t y
External demands on companies priori sing not only Par cipa on and Public Services Social Audit Act
profit but also social and environmental aspects are 2017.
increasingly popular. Various campaigns by pressure The Act includes provisions for the appointment
groups are forcing businessesto balance. On the other of a social audit facilitator. He/she will conduct the
hand, governments in various countries have also adopted audit directly with the people The findings of the
stricter policies and regula ons on social responsibility social audit are submi ed to the Gram Sabha. It
and good corporate governance. Such trends force then provides inputs and forwards the results to
companies to comply and adopt a more socially the auditors.
responsible approach. Otherwise, it could have an impact · The Social Audit Council (SAC) is set up to assess
on their profits and success. government projects during their
A social audit is a formal evalua on of a company's implementa on.
procedures and endeavours with regards to corporate · The Act specifies a list of projects, programs, and
social responsibility and societal impact. It assesses how schemes that need to undergo social audits.
well a company is mee ng its CSR objec ves and provides The 73rd amendment to the Indian Cons tu on that
an opportunity to iden fy areas for improvement. empowered the Gram Sabhas to conduct Social Audits in
Social Audit addi on to its other func ons, is by far the only legisla ve
Social Audit is the process of reviewing and verifying the reference to the
Social Accounts at the end of each social accoun ng concept of Social Audit. Right to Informa on Act, 2005, is
period. The term' social audit' is some mes used also a key pillar of support for Social Audit system in India.
generically for the concept and the whole process. Sec on 17 of Na onal Rural Employment Guarantee Act,
It is well established that the scope of Social Audit is not 2005 provides for regular 'Social Audits' so as to ensure
limited to the audit of impact of corporate decisions and transparency and accountability in the Scheme. It is the
ac ons that are designed to have a “social” impact (e.g., responsibility of the State Government to conduct the
Corporate Social Social Audit. The State Governments will conduct the
Responsibility Programmes). The concept encompasses Social Audit
audit of all ac vi es of a business that has a direct or an according to the pre-designed “Schedule of Social Audit”.
indirect social impact whether or not specifically designed The State Governments should ensure that the agencies
to be so. for conduc ng Social Audits are trained.
Conti...
SOCIAL AUDIT
Apart from these, other social sector programmes also basis.
have laid down provisions for such audits. For example the Need of Social Audit :
Ministry of Housing and Urban Poverty Allevia on, 1. Transparency: Social audits shed light on the
Government Of India , has laid down SocialAudit ac vi es of organiza ons, including their social
Methodology and Opera onal Guidelines for Basic and environmental impacts. By making this
Services to the Urban Poor(BSUP) & Integrated Housing & informa on public, they promote transparency,
Slum Development programme (IHSDP) Schemes under which is crucial for building trust between
Jawarharlal nehru Na onal Urban Renewal Mission. From organiza ons and society.
me to me State Governments appoint agencies to
conduct Social Audits of other development programmes. 2. Accountability: Social audits hold organiza ons
In terms of crea ng an ins tu onal basis for Social Audit, accountable for their ac ons. By assessing
the ini a ves of the Department of Panchayat and Rural w h e t h e r t h e y a re m e e n g t h e i r s o c i a l
Development, Government of Andhra Pradesh, can be responsibili es, these audits encourage
seen as a good example in India. The Government has been companies to act in the best interests of society,
instrumental in establishing an independent Social Audit reducing the likelihood of unethical or harmful
Society for carrying out the Social Audi ng of NREGS in the behaviour.
State. This Society is called “Society for Social Audit, 3. I m p r o v e m e n t : T h r o u g h s o c i a l a u d i t s ,
Accountability and Transparency” (SSAAT) and is organiza ons can iden fy areas where they need
responsible for the training as well as facilita ng Social to improve their social and environmental
Audits, ensuring methods of transparency and performance. This can lead to posi ve changes in
accountability within the Scheme. Rule 10 of the Social policies, prac ces, and opera ons, ul mately
Audit Rules specifies that “the costs of establishing and benefi ng society by reducing nega ve impacts
running a Social Audit Cell and conduct of Social Audits and promo ng sustainability.
shall be met from the administra ve costs allowed for
NREGS”. The Government has decided to earmark 0.5% of 4. Stakeholder Engagement: Social audits o en
the total NREGA funds for conduct of social audi ng of involve input from various stakeholders, including
NREGS. employees, customers, communi es, and NGOs.
Commissioner Rural Development has been authorized to By engaging these stakeholders in the audi ng
release to the Society requisite funds from Social Audit process, organiza ons can be er understand
Fund on quarterly basis, to ensure smooth conduct of their concerns and priori es, leading to more
social audi ng of NREGS in all the villages at least once in 6 inclusive decision-making and outcomes that
months. be er reflect the needs of society.
So far as the corporate scenario in India is concerned, it 5. R i s k M a n a g e m e n t : S o c i a l a u d i t s h e l p
islargely voluntary ac on that has driven large Indian organiza ons iden fy social and environmental
corpora ons to publish details of their Social risks that could impact their long-term viability. By
Accountability as part of their Annual reports. Companies addressing these risks proac vely, companies can
like, ITC Ltd, Unilever are some of the examples. Aditya avoid poten al crises and contribute to more
Brirla group discloses in its portal its plans and monitors its stable and resilient socie es.
social projects. It stresses on the fact that its projects
6. Promo on of Social Responsibility: Social audits
are planned a er a par cipatory need assessment of the
encourage organiza ons to adopt socially
communi es around the plants. Each project has
responsible prac ces, such as fair labour
milestones and Andhra Pradesh Government engaged M V
standards, environmental sustainability, and
Founda on, a voluntary organiza on working on issues of
community engagement. By doing so, they
child labour and children's right to educa on, to conduct
contribute to the overall well-being of society and
Social Audit of Mid-Day Meal Scheme in Andhra
help create a more just and equitable world.
Pradesh.measurable targets.
Advantages
However, the fact remains that unless the investors
Social audits provide a way for companies to measure and
appreciate and react to the Social performance of the
evaluate their level of corporate social responsibility (CSR)
corporates, not much headway can be made in the area of
and iden fy areas where they can improve.
Social Accoun ng and Audits apart from those that
It provides an opportunity for management to evaluate
originate from voluntary ac on. At the same me Social
and assess their organiza on's performance.
Accoun ng and Repor ng standards need to be
By conduc ng a social audit, companies can iden fy gaps
developed/adopted so that the social performance of
between their current performance and their corporate
corporates can be measured on a standard and consistent
Conti...
SOCIAL AUDIT
social responsibility (CSR) objec ves. establishing itself as a leading ins tu on for regula on and
Implemen ng the recommenda ons of social auditors can development of Social Auditors in an independent and
demonstrate a company's commitment to social transparent manner, sub-serving the public interest. Also,
responsibility and stakeholder engagement. the ICAI Council has approved the Social Audit Standards
When a company publishes its social audit reports, it (SAS) on all the sixteen thema c areas specified in the
demonstrates that the company is willing to be open and no fica on which shall be sent to SEBI for further course of
honest about its social and environmental impact. ac on.The SAS shall provide the necessary framework and
Improved transparency and accountability towards social guidance required by the social auditors in carrying out the
responsibility can a ract more business customers and social impact assessment.
consumers. Social Auditors
Social audit results can help companies to iden fy areas As per SEBI ICDR Regula ons, 2018, “Social Auditor”
where they need to priori ze social responsibility. In social means an individual registered with a self-regulatory
audit, the process involves engaging with local organiza on under the Ins tute of Chartered Accountants
communi es and individuals to understand their needs. of India or such other agency, as may be specified by SEBI,
Through social audit, people can voice their concerns and who holds a valid cer ficate offered by Na onal Ins tute
grievances about the implementa on of programs and of Securi es Market.
projects in their area. Social auditors will perform independent verifica on of
Limita ons: impact repor ng. Audit of social impact i.e. social audit
Despite its manifold benefits, the process of social audit is shall be mandatory for en es on SSE.
not without its challenges.They are as follows: Social Audit firms means any en ty which has employed
· The social impact is a subjec ve concept, and it social auditors and has a track record of minimum 3 years
can be challenging to measure it in a concrete, for conduc ng social impact assessment. These firms shall
universally applicable manner. employ social auditors who have qualified a cer fica on
· There are no universally accepted standards for examina on conducted by NISM. Social Auditors will be
conduc ng social audits, leading to required to be empanelled with an SRO under ICAI as a
inconsistencies in approaches and outcomes. separate Sustainability Directorate.
· Social audits can be cost-intensive, especially for
smaller organiza ons, due to the need for Conclusion
external experts, extensive research , and A social audit is important because it measures the impact
thorough examina on. of an organiza on on society and iden fies what gaps need
· The process of conduc ng a social audit is me to be addressed. It also determines the balance
consuming, as it involves me culous data organiza ons have on their customers, shareholders, and
collection, analysis, and repor ng. investors.Overall, social audits play a crucial role in
· Some organiza ons may be reluctant to conduct promo ng the common good by holding organiza ons
social audits due to fear of nega ve publicity in accountable, driving improvements in social and
case of unsa sfactory results. environmental performance, and fostering trust and
Role Of ICAI: collabora on between businesses and society.Absolutely,
ICAI has incorporated “Ins tute of Social Auditors of India” social audits are indeed valuable tools for promo ng
(ISAI). It has been formed in accordance with the decision transparency, accountability, and social responsibility
taken by the Council to form Self-Regulatory Organiza on w i t h i n o rga n i za o n s a n d s o c i e t y a s a w h o l e .
(SRO) under the aegis of ICAI for regula on of social
auditors, as per the SEBI (Issue of Capital and Disclosure
Requirements) (Third Amendment) Regula ons, 2022.
ISAI has been formed with the main objec ve of

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CA. GOVIND JAKHOTIA

[email protected]
एक तारीख को कई लोगो ं की शु आत होती है , हर बार इस पगार को कोसते ह, मन को मसोसते है ,

तो कुछ लोगो ं की तो िफर से बंटने को तैयार रहती ह, ये " रबर" थोड़े ही ह जनाब, इतना ो सोचते है ,
जब भी िमलती ह, एक ल ी चौड़ी िल शु होती है , कभी-कभी तो वो बटु आ / पस भी " चु क" बन जाता है ,

कुछ अिनवायता के बाद, िवक ो ं का भी न र आता है , िकतना भी जोर लगालो,ं पैसा बाहर नही आ पाता ह,
जो कुछ रह गये थे िपछले महीने बाकी,उन खच का थान अब
पहले आता ह, महीने की शु आत से आ खरी तक चलती है बस इसी की चचा,
हर बात म यही याद आता ह, इस बार ादा हो गया है खचा,
यही से शु होती है , उस असली बंटवारे की लड़ाई,
खच म भी होड़ लग गई ह िक अब आयी अपनी पूरी होने की तन ाह अपने आप म " एकवचन" है ,
बारी, खच की जब भी बात कर, हमेशा " ब वचन" ह,
थोड़ा-थोड़ा करके, सिवंग बोल के कुछ िवशेष नही बचता है , लोगो के Whatsaph Status, Reels दे ख के मन ब त जलता
ब ो ं की पढाई, उनकी शादी, घर की EMI ऐसे खच का भार है , Insta account बना िलया, िफर भी मन गरीब ही लगता ह,
हमेशा बना रहता ह,
अब िकसको समझाय िक इस छोटी सी तन ाह म जीवन कैस
हर बार सोचते ह, इस बार तो कुछ बचेगा, चलता है , और इस लुका-धीपी म हर महीना ऐसे ही गुजरता ह,
पहले से खड़े ए खचो ं कहते है - "भैया हमसे कौन िनपटे गा"?
छोटी- छोटी ािहश ना जाने कब राख हो जाती है ,
E M I का बड़ा डर सा बना रहता ह, आँ ख मूंद के सोने को, वो हर रात मजबूर कर जाती है ,
इस पगार का बंटवारा लगभग ज री सा होता ह,
ये तो अ ा ह, "जो है "उसम खुश रहना िफतरत है हमारी,
10-15 तारीख तक तो सब खुशी-खुशी िनकल जाता ह, वरना ये िज गी तो िफर ऐसे ही चली जाती,
उसके बाद गौर करने का समय शु हो जाता है ,
खैर, िजतनी भी ह ये पगार, करो ं उसे सहष ीकार
महीने के वो आ खरी िदन बड़ी खीच
ं तान से गुजरते ह, इस उ ीद से जीवन पथ प आगे बढ़ो ं िक एक रोशनी ह हमेशा
पगार ना हो तो साँ स भी उधार म ही िमलते ह, आपके साथ,
बचन म बस, वो हाथो ं की लकीर ही शेष रहती है ,

उनको दे ख के लगता है , ये िज गी ऐसी ही चलती ह,
अब तो खुद का चेहरा भी गवाह है इस तजुबो के बंटवार का,

इस उ ीद म आँ ख बंद कर के सोते ह िक आयेगा एक नया
सवेरा सा,

ACTIVITIES BY JAIPUR BRANCH
Interaction with Intellectuals
CA. VIJAY Kr. AGRAWAL
Date : 16-4-2024 Venue : Birla Auditorium

ACTIVITIES BY JAIPUR BRANCH
Seminar on Labour Laws - An Overview
Date : 27-4-2024
Speaker : CA. Chetan Agrawal

New Corporates Tie-Ups
For Members Benefit
Category Name Address Mobile No.
Hospitals Indus Jaipur Hospital Technology Park, Shipra Path, 0141-2780970

Shanthi Nagar, Mansarovar, Jaipur
Real Estate & Leasing Sthapatya Leasing E-143, 1st Floor, Ajmer Road, 9829610077
and Consultant Nirmaan Nagar, Jaipur
Cab Service PNK CITY CABS Flat No.F-4, Plot No.71, 7597605151
PRIVATE LIMITED 4-D Campus, Murlipura, Jaipur
Branch Help Desk

Administrative Work Mr. Vishal Gupta 9672023888
Members and Students related query Mr. Gopal Lal Gurjar 9667555211
Students related query Mr. Naresh Meena 9672000552
Query related to MCS & OC Ms. Garima Rastogi 9672041119
Query related to IT / Adv. ITT Mr. Anil Kumar Sharma 9667555216
Query related Members benefits Ms. Harpreet Kumawat 9667555212
ICAI JAIPUR
Contact Details
Jaipur Branch of CIRC of ICAI
“ICAI Bhawan”, D-1, Institutional Area,
Jhalana Doongari,
Jaipur, Rajasthan 302004
Phone: +91-141-3044200
E-Mail: [email protected]
*Disclaimer:*
The views expressed in this newsletter are those of individual authors and do not necessarily represent the opinions of
Jaipur Branch of CIRC of ICAI or its editorial board. We disclaim any responsibility for the content and make no
warranties about the accuracy or completeness of the information provided.

33

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JAIPUR BRANCH OF CIRC OF ICAI

[Largest Branch of CIRC of ICAI]

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA

CA VISHNU AGRAWAL CA KULDEEP GUPTA CA AKHIL BHALA CA YASH GUPTA

CA PRAKASH SHARMA CA (Dr) ROHIT RUWATIA AGARWAL

CA AKASH BARGOTI CA ANIL KR. YADAV

CA (Dr.) Abhishek Sharma CA Anshul Agiwal CA Payal Chauhan CA Tarun Modi

CA Anuj Poddar CA Hemant Kaushik CA Krishan Sharma CA Kuldeep Sharma

CA Neha Agrawal CA Nimita Agarwal CA Paras Jain CA Priyanka Bajaj

CA Rahul Sharma CA Shalini Sharma CA Shivangi Agrawal CA Shyam Krishan Gupta

CA Sunil Kumar Jain CA Vikesh Jain CA Yogesh Parashar CA Yogeshwari Joshi

JAIPUR BRANCH OF CIRC OF ICAI

Namaste! As we turn the pages of our professional journeys, it is vital to

**Excellence Awards for Commendable Contribu on in Profession &

**Seminar on Labour Laws - An Overview**

CA. Naveen Sharma

With Warm Regards,

CA. Vijay Kr. Agrawal

1. Compliance Calendar (Editor’s Desk-CA Vikesh Jain) 1

2. Recent Updates (Editor’s Desk-CA Shivangi Agrawal) 5

3. New Opportunities for Professionals (Editor’s Desk-CA Hemant Kaushik) 6

4. Crossword for Professionals (Editor’s Desk-CA Priyanka Bajaj) 7

5. Latest Case Laws (Editor’s Desk-CA Tarun Modi) 9

6. Tuberculosis: Still Hunting Mankind (Dr. Mahesh Mishra) 13

7. Job Work Under GST (CA Anoop Kumar Sharma) 14

8. Succession Planning (CA Sweta Daga) 16

9. Small Company & its Benefits (CA Manish Yadav) 17

10. Pre Shipment Export Finance: Intricacies/Some

12. Artificial Intelligence is not just for Engineers,

13. Labour Cess: A Crucial Aspect of Construction

14. Applying Shri Ram’s Principles in

15. Tax Department Detects HRA Fraud with

16. Social Audit (CA Charmi Shah) 26

17. ,d ru[okg (CA Govind Jakhotia) 29

18. Activities by Jaipur Branch (By Jaipur Branch) 30

19. Jaipur Branch in News (By Jaipur Branch) 32

20. New Tie Ups (By Jaipur Branch) 33

21. Know Your Branch (By Jaipur Branch) 33

JAIPUR BRANCH OF CIRC OF ICAI

01.05.2024 Taxpayers with Turnover below Rs 5 Crores to opt in or opt out of -

10.05.2024 Monthly Return by Tax Deductors ,GSTR -7 April-2024

10.05.2024 Monthly Return by e -commerce operators April-2024

11.05.2024 Filing Form GSTR -1 April-2024

Monthly Return of Outward Supplies

13.05.2024 Monthly Return by Non -resident taxable person April-2024

13.05.2024 Monthly Return of Input Service Distributor for April April-2024

20.05.2024 Monthly Return by persons outside India providing online April-2024

25.05.2024 Deposit of GST of April under QRMP scheme April-2024

28.05.2024 Return for April by persons with Unique Identification Number -

JAIPUR BRANCH OF CIRC OF ICAI 1

07.05.2024 Due date for deposit of Tax deducted/collected by an Tax

15.05.2024 Details of Deposit of TDS/TCS of April by book entry by an April-2024

15.05.2024 Issue of TDS Certificate for tax deducted u/s 194M on -

15.05.2024 Issue of TDS Certificate for tax deducted u/s 194S on -

15.05.2024 Quarterly Statement of TCS for January-March. 27EQ

30.05.2024 Submission of a statement by Non-resident having a Form 49C

JAIPUR BRANCH OF CIRC OF ICAI 2

30.05.2024 Deposit of TDS on certain payments made by Form 26QD

30.05.2024 Issue of TCS certificates for January-March. Form 27D

Seminar on Labour Laws - An Overview