Latest Expert Exchange Queries

GST Demo Service software link: https://ims.go2customer.com
Username: demouser Password: demopass
Get your inventory and invoicing software GST Ready from Binarysoft info@binarysoft.com
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
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
 
 
 
 
Popular Search: Central Excise rule to resale the machines to a new company :: empanelment :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: ACCOUNTING STANDARD :: due date for vat payment :: list of goods taxed at 4% :: VAT Audit :: articles on VAT and GST in India :: TDS :: ARTICLES ON INPUT TAX CREDIT IN VAT :: TAX RATES - GOODS TAXABLE @ 4% :: form 3cd :: VAT RATES :: ACCOUNTING STANDARDS :: cpt
 
 
ICAI »
 FAQs on Ethical Issues relating to GST
 ICAI International Conference, 8-9 December 2017, Mumbai
 Report on Audit Quality Review (2016-17) of the Quality Review
 CPE Events 13th November - 18th November 2017
 Information Systems Audit (ISA) Course Assessment Test which is open to the members of the Institute, will be held on 23rd December, 2017 (Saturday) from 9.00 AM to 1.00 PM (IST) at 61 Cities.
 ICAI Survey for Capacity Building and Global Presence of Indian CA Firms - Request to submit response by November 15, 2017
 Paper 2, Strategic Financial Management of Final Examination, Group - I scheduled on 3rd November 2017 (Friday) at Chennai only, was postponed, on account of heavy rains and disruption of normal life there. The said examination will now be held 17th November 2017 (Friday).
 Group to Review the Criteria for Formation of Branch
 Postponement of Group I Paper- 2 Strategic Financial Management of Final Examination, Scheduled on 3rd November, 2017 (Friday) in Chennai (in The State of Tamil Nadu) Only.
 President's Message - November 2017
 CBDT extends the 'due-date' for filing income-tax returns and reports of audit pertaining to Assessment Year 2017-2018 from 31st October, 2017 to 7th November, 2017.

Auditor rotation must for select unlisted public, private companies
April, 11th 2014

The Corporate Affairs Ministry has delivered a “mixed bag” for the audit profession in its new auditor rotation rules.

The CA Institute, regulator of the audit profession in India, had pitched for audit firm and audit partner rotation only for the top 100 listed companies.

While excluding small companies and one-person company from the purview of auditor rotation, the Corporate Affairs Ministry has mandated audit firm and audit partner rotation for all listed companies and certain unlisted public companies and certain private companies.

“I am not disappointed. We were keen that private companies in India be kept out of auditor rotation. But the Ministry has thought otherwise.

Anyway, they have to some extent addressed our concerns and kept a threshold even for the unlisted public companies and private companies,” K Raghu, President, Institute of Chartered Accountants of India (ICAI), told Business Line in his initial reactions to the new rules.

He also expressed satisfaction over the Ministry’s decision to refrain from notifying the national financial reporting authority.

For the first time, India is introducing mandatory auditor rotation — both at an individual auditor level and at the audit firm level. The implementation of this norm is expected to enhance auditor independence and audit quality.

The new rules released today by the Corporate Affairs Ministry said that rotation rules will also apply to public companies having a paid up share capital of ?10 crore or more, private companies having a paid-up capital of ?20 crore or more.

Auditor rotation rules will also apply for unlisted public companies with less than ?10 crore paid-up capital or private companies with paid-up capital of less than ?20 crore, but who have borrowed more than ?50 crore.

“The new auditor rotation rules are welcome. But the thresholds for private companies need to be revised upwards,” G Ramaswamy, former CA Institute President and current Member of International Federation of Accountants (IFAC) board, said.

He also highlighted that auditor rotation is still being discussed in international forums and is only slowly gaining traction in developed countries forming part of the European Union.

KPMG view

While auditor rotation is gaining momentum in the EU and many other parts of the world, extending the requirement to unlisted companies is unusual, Jamil Khatri, Global Head of Accounting Advisory Services, KPMG in India, said.

This may be particularly troublesome for unlisted Indian subsidiaries of global multinational companies since the rotation period and requirements in their home countries may be different from those prescribed in India resulting in challenges in audit of the consolidated financial statements, he added.

The threshold levels prescribed in the auditor rotation rules are “practical”, said Yogesh Sharma – Partner, Assurance at Grant Thornton India LLP.

This is a welcome change as it would provide significant relief for smaller companies, and to their auditors, from auditor rotation requirement not covered within these thresholds without muting the intent of the legislation, he added.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - Privacy Policy

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