News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
ICAI »
 Change of Venue in Beawar City (Rajasthan), in respect of November 2019 Exams
 IMPORTANT ANNOUNCEMENT
 Quick Referencer on Indian Accounting Standards
 Whether UDIN is mandatory for Statutory Bank Audit?
 Which types of regulators/third parties can ask for UDIN
 Guidance Note on Division III to Schedule III to the Companies Act 2013 for NBFC that is required to comply with IND AS by CL&CGC ICAI
 Committee on Management Accounting (CMA) announces the launch of Diploma on Management and Business Finance (DMBF)
 Clarification of Announcement hosted on 21.09.2019 related to Effective Date of Validity of Peer Review Certificate.
 For searching UDIN, whether a regulator/third party requires to register on UDIN portal.
 President's Message - November 2019
 How do Authorities/Regulators/Banks/Others can search UDIN?

Clarification on the difference in requirements relating to auditors rotation under SQC 1 vis--vis Companies Act, 2013
October, 01st 2016

1. The Council of the Institute of Chartered Accountants of India (ICAI), at its 359th meeting held on September 16-17, 2016 considered an issue regarding the difference in requirements relating to the auditor’s rotation under the SQC 1, “Quality Control for Firms that Perform Audits and Reviews of Historical Financial Information, and Other Assurance and Related Services Engagements” issued by ICAI vis-à-vis the Companies Act, 2013. At the meeting, the Council noted the follo

wing points:

  • In case of audits of listed entities, Paragraph 27 of SQC 1 requires rotation of engagement partner after a pre-defined period normally not more than seven years(emphasis added).
  • Since SQC 1 is applicable from April 1, 2009, the provisions regarding the rotation of engagement partner would be due from April 1, 2016 as per SQC 1 during the transition phase.
  • Since the Companies Act, 2013 is applicable from April 1, 2014 and the existing companies have been given relaxation of 3 years to comply with requirement of auditor’s rotation, the provisions regarding auditor’s rotation would be due from April 1, 2017 as per the Companies Act, 2013 during the transition phase. Hence, there is a difference of 1 year in the requirement of auditor’s rotation between SQC 1 vis-à-vis the Companies Act, 2013 during the transition phase of implementation of the Companies Act, 2013.

2. On consideration of the matter, the Council decided to issue a clarification on the issue and provide relaxation in the requirement of rotation of engagement partner given in paragraph 27 of SQC 1 for the transition phase (i.e. one time only for the financial year 2016-17). 

Home | About Us | Terms and Conditions | Contact Us
Copyright 2019 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Website Ranking Website Ranking Company Website Positioning Alexa Ranking Website Promotion Website top 10 ranking website top 10 promotion search engine result promotion Strategic Internet Marketing Website Optimization Website Ranking Factors

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions