AHMEDABAD BRANCH OF WIRC OF ICAI - MARCH-2017 NEWS LETTER

The Institute of Chartered Accountants of India

(Set up by an Act of Parliament)

AHMEDABAD BRANCH OF WIRC OF ICAI

OFFICE BEARERS Chairman’s Message
CHAIRMAN
CA. Chintan Patel Dear Colleagues,
90999 21163
VICE CHAIRMAN It is undoubtedly agreat honour for me to be blessed with a
CA. Harit Dhariwal unique opportunity of serving the members and students
99789 42299 as 49th Chairman of Ahmedabad Branch of WIRC of ICAI. I
SECRETARY am thankful to my Committee Members, Past Chairmen,
CA. Ganesh Nadar supporters and well wishers for their immense support,
99744 77447 faith and confidence in me.I accept it with a deep sense of
TREASURER professional responsibility and commitment.
CA. Fenil Shah
89050 30507 We have conceptualized and launched, a theme and logo which shall be guiding us for
all our acts, behaviors and attitude for the year 2017-18 :ICE : Innovate ~ Change ~
MEMBERS Excel

CA. Vikash Jain I – Innovate ~ Doing Unique activities for enhancing Knowledge & Opportunities
CA. Nirav Choksi
CA. Bishan Shah C – Change ~ Be different to change with changing requirements in our profession –
CA. Rajiv Ravani the GST, Ind AS, ICDS, Forensic, and still more

EX. OFFICIO MEMBERS E – Excel ~ Do unparalleled, best in everything we do, striving for raising the bar of our
profession to an unparallellevels and for its status and prestige.
CA. Dhinal Shah, CCM
98250 29950 During the year 2017-18, new opportunities in the field of Goods and Service Tax,
CA. Purushottam Khandelwal, RCM Income Computation & Disclosure Standards and Indian Accounting Standards are
98250 20844 knocking the door. The endeavor will be to increase capacity building of members and
CA. Aniket Talati, Secretary, WIRC make them ready to grab the opportunities in the profession.
98255 51448
CA. Priyam R. Shah, RCM The month of February has been month of achievement. Ahmedabad Branch of WIRC
98240 96112 of ICAI has received “Best Branch Award” at national level. I would like to thank
immediate past Chairman of Ahmedabad Branch of WIRC of ICAI, CA. Vikash Jain for
NEWSLETTER COMMITTEE the significant contribution in branch activities during the year 2016-17. It’s also been
pride privilege that Ahmedabad Branch of WICASA has received Best Students
CHAIRMAN : CA. Harit Dhariwal Association of WIRC award for my tenure as Chairman of Ahmedabad Branch of
CO-CHAIRMAN : CA. Sandesh Mundra WICASA.
CONVENER : CA. Nimesh Hariya
As a mark of public image and brand building of ICAI, CA Circle was built near IDBI
MEMBERS Bank, off C. G. Road and inaugurated by President of ICAI, CA. M. Devaraja Reddy.

CA. Rohit Maloo On the occasion of the Union Budget, we also had the opportunity to hear from the
CA. Vivek Agarwal learned and renowned faculties. Dr. CA. Girish Ahuja and Shri Saurabh Soparkar
CA. Dishank Shah clarified on technical aspects of Finance Bill 2017, which were very well received by
CA. Rushabh Shah more than 2,000 members at “Karnavati Club Lawn”. CA. Yamal Vyas analyzed
CA. Nimesh Bhavsar impact of Finance Bill 2017 on capital market.
CA. Shaleen Patni
CA. Mohit Tibrewal
CA. Urvashi Jindal
CA. Nilay Shah
CA. Manisha Shah
CA. Dinesh Shah
CA. Sagar Shah

contd....2

Winhast’side Editorial 2 New Office Bearers 5 Quick Connect 8 Accounting & 11 Appreciation Corner 13
Company Law Updates 14
15
Team Ahmedabad 3 Sub-Committees 6 Vat Updates 9 Notifications
10
Action Plan 4 Information Direct Tax Know Your Dates 12 Photo Gallery
Updates
Technology Updates 7

AHMEDABAD BRANCH OF WIRC OF ICAI

learning & unlearning of topics and techniques. Post Qualification Diploma in International Taxation and Information
InformationSystems Audit Practical Training (PT) were conducted during the month.
An innovative programme of Live Play on Scrutiny Assessment Proceedings was organized by ICAI members which
received overwhelming response from our Members and over 200 members attended the seminar. Lecture meeting
on how to respond to notices received for cash deposits was attended by 600 plus members.
On this opportunity I extend my warm wishes to all members on the occasion of Holi.May this festival of colours brings
happiness and joy to your life.
Sincerely Yours,
CA. Chintan Patel
(CHAIRMAN)

Editorial

Dear Members,
This year the chairman of the branch has given me the responsibility of the
Newsletter committee. I would like to assure you that our committee would
put all efforts to ensure that the monthly newsletter is interesting,
meaningful and a value add to each one of you. As the theme for this year ICE
: Innovate, Change and Excel, we will have lot many innovations and
changes in the newsletter which am sure would help you excel in your area of
practice. We have added a few new columns like due date calendar, quick
connect wherein we would be sharing emerging areas of practice and an
achievements corner. With the objective of “sharing knowledge” and installing “creativity with
commitment”, we have planned a lot many interesting additions to the newsletter, which you will find in
the coming month' issues.
I would like to take this opportunity to sincerely thank all the contributors for sending the updates and
sparing their precious time for the cause of the profession. In order to make the newsletter more
resourceful, we need your support by way of contribution of updates, useful suggestions, etc. I would
request you to send your contributions on the topics of Direct & Indirect taxes, Corporate Law,
Information technology, Indian & World economy and other interesting topics. Kindly email your
contributions, achievements etc. on [email protected]. The editorial team will publish the best
contribution at its own discretion. I extend my sincere gratitude to the Editorial team for their hard work
to publish this newsletter in time.
Happy Reading!
CA. Harit Dhariwal
Chairman, Newsletter Committee

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CA. Chintan Patel AHMEDABAD BRANCH OF WIRC OF ICAI

Chairman Office Bearers
2017-18

CA. Harit Dhariwal CA. Ganesh Nadar CA. Fenil Shah

Vice Chairman Secretary Treasurer

MANAGING COMMITTEE MEMBERS

CA. Vikash Jain CA. Nirav Choksi CA. Rajiv Ravani CA. Bishan Shah

EX-OFFICIO

CA. Purushottam Khandelwal CA. Aniket Talati CA. Priyam Shah CA. Dhinal Shah
RCM
RCM Secretary, WIRC CCM 03

AHMEDABAD BRANCH OF WIRC OF ICAI

ACTION PLAN

2017-2018

CA. Chintan Patel

Dear Members,
With great zeal and determination to do best for our Fraternity, we as trustee and representative of all members and
students of Ahmedabad Branch will leave no stone unturned in ensuring to fulfill our duties. It's a monumental moment of
Professional Honor to us but accepted it with a deep sense of professional responsibility and commitment.
The Vision and Mission which we have oath to carry for next 360 Days along with all members of our Managing Committee is
being shared with our Fraternity.
We have conceptualized and launched, shared on our branch website, a theme and logo which shall be guiding us for all our
acts, behaviors and attitude is ICE : Innovate ~ Change ~ Excel.

I – Innovate ~ Doing Unique activities for enhancing Knowledge & Opportunities

C – Change ~ Be different to change with changing requirements in our profession – the GST, Ind AS, ICDS,
Forensic, and still more

E – Excel ~ Do unparalleled, best in everything we do, striving for raising the bar of our profession to an
unparallel levels and for its status and prestige.

(A) Members (c) Infrastructure, Brand Building and other activities

Ÿ Mega / National conference atleast one each month Ÿ Engaging with the Regulators

Ÿ Capacity building of members with quick and latest updates Ÿ Taking career counselling to newer heights, engaging the
backed by workshops/seminars young minds

Ÿ Arranging Professional Courses of new opportunities with Ÿ Transparent Vendor management
best of class study environment
Ÿ Social activities like cyclothon, tree plantation, blood
Ÿ Health is Wealth : Doing Enviable programs on Health donation, old age home visit and lot more
Management, RRC, Culture, Talent, Music, Sports, Get to
Gathers and the like Ÿ Increased presence in social media

Ÿ Best of the Best Speakers Ÿ Yes, connecting with each one of you is our dream and if
Ÿ Capitalise on large strength of Ahmedabad Branch members you have any suggestions / feedback kindly call or write to
us at [email protected].
to get economic advantage

Ÿ Creating networking opportunities

(B) Students Ensuring to have
Ÿ Improved facilities for Students a NEW TOMORROW !
Ÿ Hassle free query resolution
Ÿ More Responsive behavior from all Branch Administrative

Staff

04 Ÿ Focus onpractical aspects with regular Industrial training

AHMEDABAD BRANCH OF WIRC OF ICAI

CA. Nilesh Vikamsey CA. Naveen N.D .Gupta
President, ICAI, 2017-18 Vice President, ICAI, 2017-18

A Person of high integrity and technical CA. Naveen N. D. Gupta is the new Vice
expertise, CA. Nilesh shivaji Vikamsey has President of The Institute of Chartered
been elected as the president of the Accountants of the India. A resident of New
Institute of Chartered Accountants of Delhi, CA. Naveen N. D. Gupta is an all India
India(ICAI) by its 23rd Council. Rank Holder and member of the ICAI
Possessing more than 30 years of impeccableprofessional since1996.
standing, he is widely commended and credited for his key He has served the ICAI as Chairman of Various committees
role in student upliftactivities and conceptulisation and including committees on Direct Taxes, Public Relations,
devising of a new futuristic CA Curriculm. Economic, Commercial Laws & WTO, Peer Review Board and
He has served as Chairman of Board of Studies, Finacial many more.
Reporting Review Board, Research Committee and Expert He is credited for his role in making the Income Disclosure
Advisory committee. He has also been noted for his Scheme, 2016 a success, in co-ordination with the
contribution as Vice Chairman of Corporate Laws and Government of India which was acknowledged by the Finance
Corporate Governance Committee, Committee on Minister through his tweet.
Accounting Standards for Local Bodies, Committee on He steered the drafting of IFRS compliant Schedule III to the
Banking Insurance and Pension, Committee on Information Companies Act,2013 and is also credited for initiating and
Technology and Board of Studies in the past. starting two Certificate Courses on “Intellectual Property
Rights”and “anti Money Laundering Laws”for ICAI.

Office Bearers

of Ahmedabad Branch
of WIRC of ICAI

CA. Chintan Patel, Chairman
CA. Harit Dhariwal, Vice Chairman
CA. Ganesh Nadar, Secretary
CA. Fenil Shah,Treasurer

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AHMEDABAD BRANCH OF WIRC OF ICAI

Sub-Committees for the year 2017-18

CPE INDIRECT TAX COMMITTEE

Name Designation Name Designation
CA. Harit Dhariwal Chairman CA. Nirav Choksi Chairman
CA. Rohit Maloo Co-Chairman CA. Amish Khandhar Co-Chairman
CA. Dishank Shah Convenor CA. Punit Prajapati Co-Chairman
CA. Darshit Shah Convenor

DIRECT TAX CORPORATE & ALLIED LAWS

Name Designation Name Designation
CA. Fenil Shah Chairman CA. Vikash Jain Chairman
CA. Parag Raval Co-Chairman CA. Hersh Jani Co-Chairman
CA. Palak Pavagadhi Convenor CA. Sunit Shah Convenor
CA. Harshid Patel Co-convenor

GYAN SETU STUDY CIRCLE ACCOUNTING & AUDITING

Name Designation Name Designation
CA. Bishan Shah Chairman
CA. Purushottam Khandelwal Chairman CA. Chirag M. Shah Co-Chairman
CA. Parag R. Raval Co-Chairman
CA. Amish Khandhar Co-Chairman CA. Amit Prajapati Convenor

CA. Neerav Agrawal Co-Chairman

CA. Hersh Jani Convenor

CA. Sandesh Mundra Convenor

SPORTS POST QUALIFICATION

Name Designation Name Designation
CA. Aniket Talati Chairman CA. Vikash Jain Chairman
CA. Chintan Doshi Co-Chairman CA. Parag Raval Co-Chairman
CA. Maulik Desai Convenor CA. Chirag Jain Convenor

NEWSLETTER MEMBERS IN INDUSTRY

Name Designation Name Designation
CA. Harit Dhariwal Chairman CA. Nirav Choksi Chairman
CA. Sandesh Mundra Co-Chairman CA. Sunit Shah Co-Chairman
CA. Nimesh Hariya Convenor CA. Nilay Shah Convenor

PROFESSIONAL DEVELOPMENT WICASA

Name Designation Name Designation
CA. Aniket Talati Chairman
CA. Vikash Purohit Co-Chairman CA. Purushottam Khandelwal Chairman
CA. Chintan Thakkar Convenor
CA. Saloni Khetawat Mentor

CA. Prateek Jain Mentor

STUDENTS LIBRARY

Name Designation Name Designation
CA. Priyam R. Shah Chairman
CA. Fenil Shah Chairman CA. Sunil Sanghvi Co-Chairman
CA. Himanshu Patel Convenor
CA. Harshid Patel Co-Chairman

CA. Nimesh Hariya Convenor

CA. Daivik Shah Co-convenor

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AHMEDABAD BRANCH OF WIRC OF ICAI

Information Technology Updates Ÿ some other technology, such as Confluence or Karbon, it is
important to everyone who documents and shares
(Contributed by Tarun Masani) information through the proper channels.

How latest technology can be used for modern “How you communicate is as important as what you
communicate.”
communication by CA firm;
Poor communication, whether internal or external, is a major External Communications
source of inefficiency. How you communicate should be an Once you have internal standards in place, it’s time to
intentional process with consistency, brevity and transparency think about external communications. Unfortunately, email is
at its core. A well-thought-out approach to communication still the easiest and most familiar way for clients to
should take into account how you work, how you communicate communicate.
internally and how you communicate externally. The following tips and tricks will make those interaction as
productive as possible:
How You Work Set expectations upfront. Before you even sign a contract,
Ÿ Conducting a process audit to discover how your team explain to clients how you communicate, and what turnaround
times to expect. This way, they can decide if how you
works is key to being in a position to communicate and communicate works for them. If it doesn’t, they might not be
collaborate efficiently. The following steps can help the right for you. You want each of your clients to fit well into your
process run smoothly: regular workflow.
Ÿ Discovery and standardization. Sit down with your team, Ÿ Train clients on how to work with you. This may sound
figure out your current processes and standardize work
flows for your practice. daunting at first, especially if you have many clients. But,
Ÿ Define, document and track. Create a benchmark “training” simply means sticking to standardized practices
document that can be customized (such as a wiki), yet allows and teaching by example. If you are consistent, over time,
everyone to be up-to-date on current practices. your clients will learn how to maximize their working
Ÿ Assign ownership. Every project, client and task should relationship withyou.
have a single, clearly defined owner, and that owner should
know who he or she is. Ÿ One email, one project. Limit the client, and the thread of
Ÿ Ensure consistency. Make sure everyone understands and the conversation, to one topic. When an email comes in with
uses the processes, every time. This way, everyone will know multiple topics, split them and answer them independently.
what needs to be done and how. This allows you to share your response with appropriate
“Poor communication, whether internal or external, is a major people and ensure that responses are searchable later.
source of efficiency.”
Ÿ Keep emails concise. Stick to the point. If you have multiple
Internal Communications questions, turn them into bullet points so that the client will
Once you have understood and standardized your processes, it’s gravitate to them. If an email is going to be more than a few
time to remove internal barriers and make information readily paragraphs, pick up the phone and speak with the client
available in living documents. directly, instead.
Ÿ These tips can help improve your internalcommunications:
Ÿ Eliminate internal email. Email consumes your time and Ÿ Write meaningful subject lines. A well-written subject line
can often tell you all you need to know about an email, without
creates information silos. Instead, internal dialogue should you even opening it, especially when a client replies to your
be available to everyone in your practice in an easily original email. The body of your emails should only explain
searchable format. what your subject already establishes.
Ÿ Pick a tool that works for your firm. There are a number of
options to get rid of messy, internal email. What is important Technology Tools to Leverage
is that you pick something and use it consistently across the Ÿ The following tools will help you get out of your inbox when
entire firm.
Ÿ Communicate more with peers. Spend more time communicating, or make better use of your inbox when you
communicating internally, both in person and through other must use email:
mediums. It builds relationships and helps growth of both Ÿ Client collaboration: Google (Apps, Groups), Office 365,
employees and the practice. Smartsheet and Zendesk
Ÿ Flag colleagues, when needed. Be explicit when Ÿ Client communication: Email (Gmail or Office 365
communicating with multiple peers, and call out the person Ÿ Instant communication: Hangouts, Skype, Zoom and Zoho
who is responsible for its completion. Ÿ Internal communication: Slack, Yammer, Google Groups
Ÿ Foster a culture of documentation. Whether using a wiki or and Zoho

Ÿ Internal collaboration: Slack and Zoho
Each toolis excellent at either making your communications

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AHMEDABAD BRANCH OF WIRC OF ICAI

Ÿ more efficient or lending visibility across the work. group conversations through context. By standardizing your
communications, your team can work together seamlessly, and
Bringing It All Together by setting expectations and staying consistent with protocols,
How you communicate is as important as what you you can effectively train clients how to communicate with you,
communicate. To work collaboratively as a team, you must which brings the focus back to the work itself.
eliminate communication silos, foster a culture of
documentation and leverage technology tools that facilitate

Quick Connect Currency conversion in case of a foreign group company and
treating the same as either Integral /Non-Integral
(Contributed by CA. Sandesh Mundra) Identifying Acquisition date Trial Balances – If not available – Take
the nearest audited financials or do a proportionate distribution of
Consolidation ofthe accounts profit to arrive at acquisition date Net worth
The consolidated accounts are the vehicle for groups to Working out and aligning major accounting standard differences –
communicate their financial information and the tool by which the If not possible to align – Give a note to that effect with suitable
contribution of each entity towards the performance of the whole reference in the audit report
groupcanbe measured. Elimination of Inter-company Transactions and outstanding
balances
Basic understanding required to start a consolidation Calculation of Goodwill andMinority Interest
assignment Adjustment of any major events if there is a gap in reporting periods
ofgroup companies
Understanding the regulatoryframework Propose elimination entries to recordin the Consolidation Journal.
Requirement to prepare consolidated accounts as per Companies
Act, 2013. Complexities Involved which may require greater study /
Read the Texts in force, AS and INDAS.
Note the Differences between AS and INDAS. Professional help
Treatment of closure dates – If same closure date financials are not Acquiring or disposing a group company in a series of steps rather
available – Accept the difference upto 6 months under AS and 3 than in one go – Different treatments under AS andINDAS
months under INDAS Handling cross Holdings –Holding and subsidiary having a stake in
Ensure Availability of audited financials of all group companies – If each other
not available – Give a remark to that extent in the audit report Handling Joint Holdings – Holding and subsidiary together holding
a stake in another company so as to make it a subsidiary
Determining the scope of consolidation Handling Negative balances of Minority Interest
Different types ofcontrol: exclusive,joint, significant influence. Fair Value accounting of a group entity and its impact in subsequent
Exclusions fromscope. years
Calculation of the percentages of voting rights.
Companies included and excluded: what rules apply? Presenting the consolidated accounts
New items to be disclosed properly –
Using the methods ofconsolidation Minority interests, Goodwill, Share of Profit from Associate, Share
Calculation of percentage of interests. ofProfit to Minority.
More than 50%- Line by Line Addition treatment for the subsidiary One can go through the financials statements that are available in
20 – 50% - Equity Accounting (Passing an entry for profit share only the public domain to understandthe disclosure patterns both under
like we do in the case of profit received from a Partnership firm) for AS and INDAS
the Associates
Variable % but equal voting rights – Joint Venture – Do a Tools tobe used
proportionate consolidation for each line item In most of the cases an excel file can be structured to do the
IND AS may also require you to check the concept of Potential consolidation by following the basic steps and creating a new sheet
Voting rights for each step within the excel file
IND AS also requires you to do Equity Accounting for a Joint Venture For complex cases / cases where the number of group entities are
Treatment of Step-Subsidiary – In most of the cases, it may be very high, softwares are now also available in the market
better to directly consolidate the same with parent by calculating a
proportionate stake

Understanding the main restatements
Standardization by defining a Common Chart of Accounts for the
Group

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AHMEDABAD BRANCH OF WIRC OF ICAI

Vat Updates 2) A taxpayer has to file one single return state-wise to
report all his supplies, whether made within or outside
(Contributed by CA. Monish S Shah) the State or exported out of the country and pay the
applicable taxes on them. Such taxes can be Central
Important Amendments Goods and Services Tax (CGST), State Goods and Services
Tax (SGST), Union Territory Goods and Services Tax
1) In order for smoother performance of Ammnesty Scheme (UTGST) and Integrated Goods and Services Tax (IGST).
the power has been delegated to Assistant Commissioner
and CTO u/s. 42(2) shall be allowed to grant installments 3) A business entity with an annual turnover of upto Rs. 20
limiting the power to Amnesty Scheme vide circular no lakhs would not be required to take registration in the GST
GVL/Vat/Act/Sec 16(6) dated 21/02/2017 regime, unless he voluntarily chooses to do so to be a part
of the input tax credit (ITC) chain. The annual turnover
2) GUJKA/VAT -230/16-17/Javak 194/169 dated 28/02/2017 it threshold in the Special Category States (as enumerated
has been asked by the Commercial Tax Commissioner to in Article 279A of the Constitution such as Arunachal
complete the assessments of 2012-13 and 2013-14 by 31st Pradesh, Sikkim, Uttarakhand, Himachal Pradesh,
March 2017. Assam and the other States of the North-East) for not
taking registration is Rs. 10 lakhs.
This circular has been strongly opposed by trade unions as
well as the officers association 4) A business entity with turnover upto Rs. 50 lakhs can avail
the benefit of a composition scheme under which it has to
Important Judgments pay a much lower rate of tax and has to fulfill very minimal
compliance requirements. The Composition Scheme is
1) Denial of Input Tax credit on the ground that the available for all traders, select manufacturing sectors
transactions were reflected in retail invoices and not tax and for restaurants in the services sector
invoices and therefore did not qualify for credit is not valid as
the strict interpretation of Section 50(2) was unwarranted. 5) In order to prevent cascading of taxes, ITC would be
Credit allowed. Revenue's appeal dismissed. (J C Decaux admissible on all goods and services used in the course or
Advertising I P Ltd. – January 9, 2017) DelhiHigh Court. furtherance of business, except on a few items listed in
the Law.
2) In Alembic Limited versus State of Gujarat Appeal no 1318 of
2008 dated 15/11/2016 it was held that laboratory 6) In order to ensure that ITC can be used seamlessly for
instruments/products information literature are payment of taxes under the Central and the State Law, it
consumable stores Tax credit is admissible for such goods has been provided that the ITC entitlement arising out of
used in manufacture of drugs and medicines taxes paid under the Central Law can be cross-utilised for
payment of taxes under the laws of the States or Union
3) In the second Appeal no 1058 of 2011 it was held that ITC can Territories. For example, a taxpayer can use the ITC
be allowed to the purchasing dealer in absence of tax invoice accruing to him due to payment of IGST to discharge his
only when the retail invoice produced in lieu of tax invoice tax liability of CGST / SGST / UTGST. Conversely, a
contains all the requisite particulars of tax invoice and the taxpayer can use the ITC accruing to him on account of
selling dealer is prohibited under the Act from issuance of payment of CGST / SGST / UTGST, for payment of IGST.
tax invoice and that the selling dealer has paid tax amount Such payments are to be made in a pre-defined order
collected from the purchasing dealer to the State
Government. If all the three conditions are satisfied then 7) In the Services sector, the existing mechanism of Input
only the input tax credit can be allowed to the purchasing Service Distributor (ISD) under the Service Tax law has
dealer even on the basis of retail invoices. In case of M/s. been retained to allow the flow of ITC in respect of input
Rajkamal Auto Centre decision of M/s. Gill & Co was relied services within a legal entity.
upon.
8) To prevent lock-in of capital of exporters, a provision has
GST Updates been made to refund, within seven days of filing the
application for refund by an exporter, ninety percent of the
Some of the main features of the two Bills, as finalized by the GST claimed amount ona provisional basis.
Council, are as follows:
9) In order to ensure a single administrative interface for
1) A State-wise single registration for a taxpayer for filing taxpayers, a provision has been made to authorise
returns, paying taxes & to fulfill other compliance officers of the tax administrations of the Centre and the
requirements. Most of the compliance requirements States to exercisethe powers conferred under all Acts.
would be fulfilled online, thus leaving very little room for
physical interface between the taxpayer and the tax
officer

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AHMEDABAD BRANCH OF WIRC OF ICAI

10) An agriculturist, to the extent of supply of produce out of ensure migration of existing taxpayers and seamless
cultivation of land, would not be liable to take registration transferofunutilisedITCintheGSTregime.
in the GST regime.
14) An anti-profiteering provision has been incorporated to
11) To provide certainty in tax matters, a provision has been ensure that the reduction of tax incidence is passed on to
made for an Advance Ruling Authority. the consumers.

12) Exhaustive provisions for Appellate mechanism have 15) Inordertomitigateanyfinancialhardshipbeingsufferedby
been made. a taxpayer, Commissioner has beenempowered to allow
paymentoftaxesininstallments
13) Detailed transitional provisions have been provided to

Direct Tax Updates Sec. 13A – Maximum cash donation that can be received by a
political party is Rs.2,000
(Contributed by CA. Nimesh R. Hariya)
Sec.80G – Donations made in cash in excess of Rs.2,000 will not
Sec. 44AB read with Rule 114E of the Income-tax Rules, 1962 fetch any taxbenefit
–Audit Compulsory – Reporting Cash Transactions - Press
Release, dated 22/12/2016 Sec. 55 Shifting base year for computation of capital
gainsProposed to be amended to provide that the cost of
Sec. 95 – General Anti Avoidance Rule (GAAR) – Applicability & acquisition of an asset acquired before 1st April 2001 shall be
Clarifications on Implementation of GAAR Provisions - Circular allowed to be taken as Fair Market Value (FMV) as on 1st April
No. 7 of 2017 dated 27/1/2017The General Anti Avoidance Rules 2001 (as against 1st April 1981 as per the existing provisions).
(GAAR) provisions shallbe effective 2018-19 onwards. Also, the cost of improvement shall include only those capital
expenditure incurred after 1st April 2001.
Sec. 6 – Residential Status – Guiding Principles for
Determination of Place of Effective Management (POEM) of a Sec. 10(38) – Proposed to provide that the exemption under this
Company – Circular No. 6 of 2017 dated 24/1/2017The concept of Section for income arising on sale of equity shares acquired on
POEM. It is effective from 1/4/2016 and i.e. w.e.f. AY 2017-18 or after 1st October 2004 shall be available only if acquisition of
onwards. Guidelines available on www.incometaxindia.gov.in. shares is chargeable to STT. However, an exemption shall be
provided for the genuine cases where STT could not have
Sec. 44AD – Measures for Promoting Digital Payments & been paid (like acquisition of shares in IPO, FPO, bonus
Creation of Less Cash Economy - Press Release, dated shares or right shares etc.) by way of a notification in this
19/12/2016In order to achieve the Government's mission of regard.
moving towards a less cash economy and to incentivise small
traders/businesses to proactively accept payments by digital JUDICIAL PRONOUNCEMENTS
means, it has been decided to reduce the existing rate of
deemed profit of 8% under section 44AD of the Act to 6% in HIGH COURT DECISIONS:
respect of the amount of total turnover or gross receipts
received through banking channel/digital means for the Non-Service of notice u/s. 143(2) at correct address of the
financial year 2016-17. assessee within the prescribed time limit makes notice invalid

New Sec. 269ST – Imposing restriction on cash - CIT vs. Abacus Distribution Systems (India) Pvt. Ltd. (Bombay
transactionsProposed that, from AY 2017-18, any person cannot High Court).
receive more than Rs.3 lakh in cash either (a) in a day from any
single person or (b) for a single transaction or (c) for different MAT DECISIONS:
transactions relating to one event or occasion from a person.
Currently, cash purchase of jewellery exceeding Rs.5 lakh Reopening an assessment opens a “Pandora's box” and cannot
requires the purchaser to collect tax at source. However, with be done in a casual manner
the introduction of Section 269ST, such a cash purchase of
jewellery (exceeding Rs.5 lakh) would not be possible and - Torm Shipping India Pvt Ltd vs. ITO (ITAT Mumbai).
hence, the TCS provisions are suitably amended.
On cash refund of excess money received on sale of goods, there
Sec. 40A(3) – Proposed that any expenditure on acquisition of a can be NO disallowance u/s. 40A(3) of Income-tax Act, 1961
capital asset for which the cash payment is made in excess of
Rs.10,000 (per person per day), shall not form part of the actual - ACIT vs. Kishore Singh Gehlot (HUF)(ITAT Jaipur)
cost of the asset
DEVELOPMENTS /OTHER AMENDMENTS:
10
Indirect tax assessments will not be reopened for mere increase
in Sales.

AHMEDABAD BRANCH OF WIRC OF ICAI

Accounting & http://www.mca.gov.in/Ministry/pdf/CoTransferofProcedin
Company Law Updates gsAmdtRules_01032017.pdf

(Contributed by CA. Chintan Patel) 5. Amendment in Investor Education and Protection
Fund(IEPF):
1. Guidance Note on Audit of Banks Issue date: 28th February, 2017
Ÿ In the principal rules, there is amendment in rule 6
The Auditing and Assurance Standards Board of the ICAI regarding:
has issued 2017 edition of the Guidance Note on Audit of Ÿ Manner of transfer of shares.
Banks. Ÿ For effecting the transfer of shares the Board shall
authorise the Company Secretary or any other person
http://www.icai.org/new_post.html?post_id=13355&c_id= to sign the necessary documents.
219 Ÿ Amendment includes listed procedure to be followed
for transfer of shares.
2. Certificate of Incorporation Ÿ When the transfer is done through above procedure
,how they are dealt with in a depository, effect when
Issue date: 25thJanuary, 2017 there is transfer of shares which are held in physical
form.]
Amendment in Form INC-11: Ÿ While effecting the transfer , the company shall send a
statement to the authority in form IEPF 4.
In the Companies (Incorporation) Rules, 2014 for rule 18, Ÿ The voting rights on shares transferred to the Fund
the following rule shall be substituted, namely:- “18. The shall remain frozen until the rightfulowner claims the
Certificate of Incorporation shall be issued by the Registrar shares.
in Form No.INC-11 and the Certificate of Incorporation Ÿ Amendments regarding how shares are to be
shall mention permanent account number of the company maintained in DEMAT A/C.
where it is issued by the Income-tax Department”. Ÿ Amendment regarding refund to claimants from fund.
Ÿ Minor amendments in form IEPF-3,5 and
http://www.mca.gov.in/Ministry/pdf/IncorporatinRules_2 htt p :/ / w w w . mc a . g o v. i n/ M i ni s tr y/ p d f / I EP F_ R ef
7012017.pdf und_Amendment_Rules_03032017.pdf
Ÿ Amendments regarding how shares are to be
Above amendments were applicable from 30th maintained in DEMAT A/C.
January,2017. Ÿ Amendment regarding refund to claimants from fund.
Ÿ Minor amendments in form IEPF-3,5 and
3. Closure of Business by a Foreign Company( Clarification htt p :/ / w w w . mc a . g o v. i n/ M i ni s tr y/ p d f / I EP F_ R ef
und_Amendment_Rules_03032017.pdf
by MCA):
OBITUARY
Issue date: 22th February, 2017

Sub-Section (2) of Section 391 of the Companies Act, 2013,

states that the provisions of Chapter XX shall apply mutatis
mutandis for closure of the place of business of a foreign
company in India as if it were a company incorporated in
India. These provisions have been brought into force on

15th December, 2016.MCA has issued clarification on this
matter, and such clarification is:

Subsection (1) and sub-section (2) of section 391 needs to be

read harmoniously. Accordingly, it is clarified that
provisions of sub-section (2) of Section 391 of the
Companies Act, 2013 would apply only in case of a foreign
company which has issued prospectus or IDRs pursuant to

provisions of Chapter XXII of Companies Act, 2013.

http://www.mca.gov.in/Ministry/pdf/GeneralCircular1_201
7_23022017.pdf

4. C h a n g e s i n ( T r a n s f e r o f P e n d i n g CA. Dave Harendraprasad Chandrakant
Membership No. 016765
Proceedings)Amendment Rules,2016 9th January, 2017
Issue date: 28thFebruary, 2017
11
Ÿ The Central Government makes following
amendments to the Companies (Transfer of Pending
Proceedings) Amendment Rules, 2016

Ÿ. In the Companies (Transfer of Pending Proceedings)
Amendment Rules,2016), in rule 5, in sub-rule(1) in the
proviso for the words 'sixty days' the words 'six months
shall be replaced.

AHMEDABAD BRANCH OF WIRC OF ICAI

KNOW YOUR DATES

Compliances related to various laws applicable to be followed for
14th March to 14th April, 2017 are listed as below:

Due Date Category Description

15/03/2017 Income Tax Due date for payment of last installment of advance income tax for the
15/03/2017 assessment year 2017-18
Income Tax Due date for payment of whole amount of advance tax in respect of
15/03/2017 assessment year 2017-18 for assessees covered under presumptive
ESIC scheme of Section 44AD.
15/03/2017 Monthly – EPF – Return of Employees qualifying for membership to the
15/03/2017 ESIC EPF for the first time during previous month
ESIC
15/03/2017 Monthly-EPF-Return of member leaving service during the previous month
15/03/2017 ESIC Exempted establishment – EPS/ EDLIS – Monthly Return of members
15/03/2017 joining service during the previous month.
17/03/2017 Professional Tax Exempted establishment – EPS/EDLIS – Monthly Return of Members
17/03/2017 Provident Fund Leaving Service During the previous Month
21/03/2017 (includes EDLI) Payment for Employee Professional Tax for the month of February’17
22/03/2017 PF Payment for February, 2017
25/03/2017 Income Tax
Due date for issue of Form 16B in respect of tax deducted under
25/03/2017 Gujarat VAT Section 194-IA in the month of January, 2017 and paid in February, 2017
ESIC GVAT/CST Return filing for the month of January’17
30/03/2017 ESIC Payment and Return for February
31/03/2017 Gujarat VAT Payment of Gujarat VAT Tax (includes WCT Tax, Regular Tax) for the
31/03/2017 month of February’17
31/03/2017 ESIC Monthly – Consolidated Statement of dues and remittance under EPF
31/03/2017 Scheme, 1952, EPS 1995 and Employees’ Deposit Linked Insurance
Provident Fund Scheme, 1976 of the previous month to which the dues relate.
31/03/2017 (includes EDLI) PF Return filing for February (including pension and insurance scheme
forms)
31/03/2017 Income Tax Due date for furnishing of challan-cum-statement in respect of tax
1/04/2017 deducted under Section 194-IA in the month of February, 2017
Service Tax Service Tax Payment for the Month of March 2016
10/04/2017 Excise Duty Excise Duty Payment for the Month of March 2016
Income Tax Filing of ITR for the AY 2016-17 without penalty & AY 2015-16 with
Penalty of Rs 5,000. Revision of ITR for the AY 2015-16
PMGKY, 2016 Last date for declaration of undisclosed income under Pradhan Mantri
Garib Kalyan Yojana, 2016
IDS, 2016 Due date for payment of second installment (i.e., 25% of tax,
surcharge and penalty)underIncomeDeclaratioScheme2016
Income Tax Payment of balance advance Income Tax by all assessee (for Sec 243B &
234C)
Professional Tax for Payment for Yearly Employer Professional Tax for FY 17-18
Employer
Filing ER-1 Return (Other than SSI Units)
Central Excise

12

AHMEDABAD BRANCH OF WIRC OF ICAI

Due Date Category Description

10/04/2017 Central Excise Filing ER-2 monthly return by 100% EOU (removing goods in
10/04/2017 Central Excise domestic tariff area)
Filing monthly ER-6 Return by specified cla ss of Assesses regard
10/04/2017 Central Excise ing principal inputs. (Assessee who paid duty of excise more than
10/04/2017 Central Excise Rs. 1 crore in the preceding year
10/04/2017 Central Excise Filing quarterly ER-3 Return by manufacturers availing exemption
14/04/2017 on the basis of value of their clearance
Gujarat VAT Filing Quarterly ER-8 Return by the units paying 2% duty

Filing Quarterly ER-2 Return by 100% EOUs
GVAT / CST Return filing for the month of February'17

Appreciation Corner

Congratulations to CA. Aniket CA. Ganesh Nadar, has been
Talati, Past Chairman of appointed as a consultant for
Ahmedabad Branch for being Hriday Project of the Government
elected as a Secretary of WIRC of India for Dwarka.
of ICAI, Mumbai for the year
2017-18. CA. Ganesh Nadar
CA. Aniket Talati Secretary

The Government of Gujarat has appointed the following Chartered Accountants as members of
the Metropolitan Planning Committee for the Metropolitan area of Ahmedabad.

CA. Yamal Vyas CA. Jainik Vakil CA. Ashok Patel

CA. Milind Ranade, membership number is 039038. He has
completed PHD. The topic was "Influence of Socio Economic Factors
on Changing Dynamics of Gold in India.

CA. Milind Ranade

13

AHMEDABAD BRANCH OF WIRC OF ICAI

[TO BE PUBLISHED IN PART III, SECTION 4 OF THE GAZETTE OF INDIA,
EXTRAORDINARY DATED, 9TH FEBRUARY, 2017]

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA

New Delhi, the 9th February, 2017

NOTIFICATION

No.1-CA(7)/179/2017:- In exercise of the powers conferred under sub-section (3)
of section 4 and 5, sub-section (2) of section 6, sub-section (4) of section 19 and sub-
section (3) of section 20 of the Chartered Accountants Act, 1949 read with regulations
5 and 6 of the Chartered Accountants Regulations, 1988, the Council of the Institute of
Chartered Accountants of India, with the prior approval of the Central Government,
wherever required, hereby notifies the following rates of fee for entry of name in the
Register of Members, annual membership fee, annual certificate of practice fee and fee
for restoration of name in the Register of Members:-

Sl. Particulars of fee payable Fee payable w.e.f.

No. 1.4.2017

1. Entrance Fee payable under regulation 5 -

- as an Associate Rs.2,000/-

- as a Fellow Rs.2,500/-

2. Annual Membership Fee payable under sub

regulation (1) of regulation 6 –

- as an Associate Member Rs.1,500/-

- as Fellow Member Rs.3,000/-

3. Certificate of Practice fee payable under sub-

regulation (2) of regulation 6 –

- as an Associate Member Rs.3,000/-

- as a Fellow Member Rs.4,000/-

4. Fee for restoration of name in the Register of

Members payable under sub-regulation (3) of

regulation 6 -

(i) within 3 years of removal Rs.1,200/-

(ii) after 3 years of removal but before 5 Rs.3,000/-

years

(iii) after 5 years of removal Rs.4,000/-

Notwithstanding the rates of annual membership fee specified at Serial Number
2 above, a member who has attained the age of 60 years and above as on the 1st day
of April of the relevant year, but not holding the certificate of practice shall pay such
annual membership fee at the rates specified below:-

Associate Member - Rs.1,100/-
Rs.2,300/-
Fellow Member -

The aforesaid revised rates of fees shall come into force with effect from 1 st
April, 2017.

(V. Sagar)

14 Secretary

AHMEDABAD BRANCH OF WIRC OF ICAI

LIVE SCREENING OF UNION BUDGET ON 01.02.2017 PRESS CONFERENCE FOR CA IPCC -
NOVEMBER 2016 RESULT ON 01.02.2017

LECTURE MEETING ON IMPACT OF
FINANCE BILL 2017 ON 02.02.2017

INAUGURATION OF CA CIRCLE ON 03.02.2017

LECTURE MEETING ON FINANCE BILL (BUDGET) 2017 ON 03.02.2017

INTERACTIVE MEETING OF MEMBERS WITH NEWLY ELECTED OFFICE BEARERS AND MANAGING COMMITTEE MEMBERS ON 25.02.2017

15

AHMEDABAD BRANCH OF WIRC OF ICAI

UNION BUDGET-TECHNICAL ANALYSIS OF FINANCE BILL ON 04.02.2017

LECTURE MEETING ON HOW TO RESPOND TO NOTICES RECEIVED FOR CASH DEPOSITS ON 07.02.2017

4th BATCH - POST QUALIFICATION DIPLOMA IN HALF DAY SEMINAR ON ACCOUNTING ON 11.02.2017
INTERNATIONAL TAXATION AT A’BAD ON 18.02.2017

HALF DAY SEMINAR ON ALL ABOUT NBFCs ON 17.02.2017

YOGA SESSION ON 11.02.2017

WORKSHOP ON LET’S EXCEL IN EXCEL ON ICAI - WICASA BEST BRANCH AWARD
17.02.2017 & 25.02.2017

16