Accounting profit as shown in company’s financial statements differs with the IT profit for many reasons. One of such reason is timing difference. Timing difference arises due to difference in rate of depreciation, method of depreciation and expenses allowed in calculation of accounting profit but now allowed in calculating IT profit. Based on the impact of timing difference … [Read more...] about How to calculate deferred tax asset and deferred tax liabilities
Archives for September 2014
How to change company’s object clause – Companies act 2013
Object clause is in company’s memorandum of association which is created and filed with ROC at the time of company incorporation. Object clause specifies those objectives for which a company is registered in India. Company can not do any other business which is not specified in the object clause of memorandum of association. There can be instances where you may require to … [Read more...] about How to change company’s object clause – Companies act 2013
When and who has to file form ADT1 – Auditor’s appointment as per companies act 2013
Earlier to companies act 2013, a company auditor was required to file form 23B after getting appointment letter from the company. E-form 23B was required to be filled within 30 days from the date of appointment. After the introduction of companies act 2013, procedure and responsibility of filling auditor appointment with registrar of companies has changed. As per section … [Read more...] about When and who has to file form ADT1 – Auditor’s appointment as per companies act 2013
Form MGT14 is to be filled with board resolution approving financial statements – Companies act 2013
Company law provisions are changed with the introduction of new companies act 2013. As per the new provisions of section 117 and 179 of companies act 2013, companies registered in India are required to file board resolution with respect to approval of financial statements for the financial year 2013-2014 and onwards. In this article, we will be discussing provisions related … [Read more...] about Form MGT14 is to be filled with board resolution approving financial statements – Companies act 2013
Resolutions for which form MGT14 is to be filled with ROC – Companies act 2013
The earlier list of resolutions or agreement that were required to be filled as per companies act 1956 has now been widened in new companies act 2013. Section 117 of the new companies act 2013 has specified certain resolutions or agreements which are required to be filled with ROC along with explanatory statement within 30 days from the date of passing resolution. As per … [Read more...] about Resolutions for which form MGT14 is to be filled with ROC – Companies act 2013
Difference between self assessment tax and advance tax
Both self assessment and advance tax are paid to government of India based on the Income Tax Act provisions applicable to the assessee. Even though both relates to tax liability paid to the government, there is a difference and provisions are mentioned under different sections of the Income Tax Act, 1961. Today, in this article we will be discussing the difference between … [Read more...] about Difference between self assessment tax and advance tax
Under which head rent on vacant plot is chargeable to tax in India
Rent on vacant plot is taxable in India if it’s generated or accrued in India. But the question is under which head and how it’s taxable. We have five major heads under which income generated or earned in India is taxable. Many taxpayers think that rent on vacant plot is taxable under the head income from house property. But in reality, it’s not correct. Chargeability … [Read more...] about Under which head rent on vacant plot is chargeable to tax in India
Non-audit Services that company auditor can not render to a company – Companies act 2013
A company auditor who is appointed under section 139 of companies act 2013 shall provide only those services that are not disallowed under section 144 of companies act 2013. Companies act 2013 has introduced a new concept by including certain non-audit services to the list which a company auditor can not render to the company in which he or the CA firm is appointed as … [Read more...] about Non-audit Services that company auditor can not render to a company – Companies act 2013
Qualification or disqualification of company auditor – section 141 of companies act 2013
An individual shall be eligible for appointment as company auditor only when such individual is a qualified chartered accountant in practice. If a company has decided to appoint an audit firm as company’s auditor then majority of partners must be practicing chartered accountants in India. Earlier provision of companies act 1956 required all the partners to be chartered … [Read more...] about Qualification or disqualification of company auditor – section 141 of companies act 2013
Appointment of Company auditor – Section 139 of New Companies act 2013
Company auditor appointment procedure and tenure has been changed in companies act 2013 compare to the old provisions of companies act 1956. In this article, we will be discussing how to appoint company auditor in an annual general meeting and tenure of such appointment. If you want to know how first auditor is appointed under companies act 2013 and its time period then … [Read more...] about Appointment of Company auditor – Section 139 of New Companies act 2013