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1
Think Differently Act Perfectly
June2009
2
Bangalore Branch of SIRCof the Institute of Chartered Accountants of India
June2009
3
Think Differently Act Perfectly
June2009
02.06.09 SA 570 (Revised), SA 580 (Revised) Branch PremisesTuesday CA. Suresh D.M 6.00pm to 8.00pm
04.06.09 Mergers and Acquisitions -An Overview with Judicial Precedents Branch PremisesThursday Mr. K. Venkat Satyanarayana 6.00pm to 8.00pm
05.06.09 Lower deduction of tax / Nil deduction of tax certificates Branch PremisesFriday ‘TDS u/s. 194C, 194J & 194I. Information in Form 26AS 4.00pm to 8.00pm
CA. D.R.Venkatesh Delegate Fee: Rs. 500/-
06.06.09 Expat Taxation & Certification u/s 195. Branch PremisesSaturday Concept of Income deemed to accrue or arise in India - Sec.9 9.00am to 4.00pm
CA. Abhisek Goenka, Bangalore& CA. Sushil Lakahani, Mumbai Delegate Fee: Rs. 750/-
09.06.09 SA 315, SA 330 Branch PremisesTuesday CA. Mukesh Shah 6.00pm to 8.00pm
12.06.09 Set off and carry forward of losses u/s 78 and 79. Branch PremisesFriday Cash Credit & Unexplained investments 4.00pm to 8.00pm
CA. P.V.S.S.Prassad, Hyderabad Delegate Fee: Rs. 500/-
13.06.09 Corporatisation / restructuring - Wealth tax Act & Interesting Branch PremisesSaturday rulings of Supreme Court and AAR 9.00am to 4.00pm
Mr. K.K. Chythanya, Bangalore& CA. T S Ajai, Hyderabad Delegate Fee: Rs. 750/-
16.06.09 SRS 4400(AAS32), SRS 4410(AAS 31), SRE 2400(AAS 33) Branch PremisesTuesday CA. Vikas Ostwal 6.00pm to 8.00pm
18.06.09 New Tds Procedure & New return of Income Vasavi Vidya Nikethan, Vasavi RoadThrusday CA. S. Vishnumurthy Delegate Fee: Rs. 200/- 5.00pm to 8.00pm
19.06.09 Discussion on disallowance u/s 14A Expenditure incurred in Branch PremisesFriday relation to income not includable in total income and 4.00pm to 8.00pm
40-Amounts not deductible, 40A(IA) and other disallowancesCA. Pradeep.K.R Delegate Fee: Rs. 500/-
20.06.09 Taxation of HUF, Taxation of firm/AOP & Charitable Trusts, Branch PremisesSaturday Exemption u/s 11, 80G deduction, Education and other institutions 9.00am to 4.00pm
CA. D. Devaraj, Bangalore& CA. Shariq Contractor, Mumbai Delegate Fee: Rs. 750/-
20.06.09 Impact of credits on cost of product - Understanding Branch PremisesSaturday of Credits Under Central Excise, Service Tax and K-VAT 9.00am to 1.00pm
Mr. Madhukar N.Hiregange Delegate Fee: Rs. 250/-
23.06.09 SA 600(AAS 10), SA 610(AAS 7), SA 620(AAS 9) Branch PremisesTuesday CA. Manohar Gupta, Bangalore 6.00pm to 8.00pm
25.06.09 Handling Service Tax Litigation-A Practical Approach(with Case Studies) Vasavi Vidya Nikethan, Vasavi RoadThursday Mr. K.S. Naveen Kumar Delegate Fee: Rs. 200/- 5.00pm to 8.00pm
26 & 27.06.09 Two Day National Information Technology Conference Hotel Le- MeridianFri. & Sat. For details refer Inside Back Cover Bangalore
26.06.09 Notice u/s 148 and 156. Assessment/reassessment Branch PremisesFriday u/s 143, 144 & 153A. Rectification of mistakes u/s 154. 4.00pm to 8.00pm
CA. Bhanu Sekar Delegate Fee: Rs. 500/-
27.06.09 Set off and carry forward of losses u/s 78 and 79. Branch PremisesSaturday Cash Credit & Unexplained Investments followed by Brain Trust 9.00am to 4.00pm
CA. Abhishek Goenka Delegate Fee: Rs. 750/-
30.06.09 Managerial Excellence Branch PremisesTuesday CA. H.V. Srinivasa 6.00pm to 8.00pm
01.07.09 CA Day Celebrations Branch PremisesWednesday Flag Hoisting by CA. K.P. Rao and Pick & Speak Competition 9.30am onwards
02.07.09 AS-15 Branch PremisesThursday CA. K. Gururaj Acharya 6.00pm to 8.00pm
PROGRAMMES - AT A GLANCE - June 2009
2 Hrs.
3 Hrs.
4 Hrs.
6 Hrs.
4 Hrs.
4 Hrs.
No CPECreditdue to
CA Exams
2 Hrs.
3 Hrs.
12 Hrs.
2 Hrs.
Editor : CA. Cotha S. SrinivasSub Editors : CA. S.N. Ravindranath
CA. T.R. Venkatesh Babu
Advertisement Tariff for the Branch NewsletterColour full pageOutside back Rs. 20,000/-Inside front Rs. 15,000/-Inside back Rs. 15,000/-
Inside Black & WhiteFull page Rs. 10,000/-Half page Rs. 6,000/-Quarter page Rs. 3,000/-
The Branch does not accept anyresponsibility for the views expressed inArticles / Contributions / Advertisementspublished in this News Letter.
Date/Day Topic /Speaker Venue/Time CPE Credit
To be Born with a personality is a gift from our parents,But to Live as a Personality would be our own achievement & our gift to Parents.
2 Hrs.
No CPEdue to
CA Exams
4
Bangalore Branch of SIRCof the Institute of Chartered Accountants of India
June2009
Adv
t.
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� VALUATION CONCEPTS &
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PROJECT APPRAISAL
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Programme Director
Dr.PRASANNA CHANDRAFOR WHOM : CAs, ICWAs, ,CSs, MBAs, BankersPGDBAs, CAIIBs and students pursuing thesecourses.
FEES : Rs.11,500 for enrollment upto June 30,2009For PROSPECTUS and REGISTRATION
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Adv
t.
ATTENTION :MEMBERS IN INDUSTRY
Saturday meetings for members in industry
will be done on third Saturday during the
month of June and July. During June there
will be exams on second Saturday and
during July we will have State Level
Conference, members may kindly make note
of these changes.
ATTENTION : CA STUDENTSBangalore Branch is happy to introduceScholarship Scheme Merit cum Need baseStudents. Interested Students are herebyrequested to forward their forms toBangalore on or before 30.06.2009. Formscan be downloaded from the websitewww.icai-bangalore.org and visit websitefor further details.
Every sunrise delivers opportunities, While every sunset asks what we did with those opportunities
5
Think Differently Act Perfectly
June2009
BANGALORE BRANCH OFSOUTHERN INDIA REGIONAL COUNCIL OF
THE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA“ICAI Bhawan”, #16/O, MILLERS TANK BED AREA, BANGALORE – 560052
NOTICE OF ANNUAL GENERAL MEETINGNOTICE is hereby given that the 47th Annual General Meeting of the members of the Bangalore Branch of SouthernIndia Regional Council of the Institute of Chartered Accountants of India will be held on Wednesday, July 15, 2009 at6:30 p.m. at S. Narayanan Auditorium, “ICAI Bhawan”, # 16/O, Millers Tank Bed Area, Bangalore – 560052 totransact the following business.
1. To receive the Annual Report of the Branch for the year 2008-09
2. To adopt the Audited Accounts of the Branch for the year ended 31st March 2009.
3. To transact any other business that may be brought out before the meeting with the permission of the “Chair”.
By Order of the Managing Committee
Sd/-(CA. T.R. Venkatesh Babu)
SECRETARYPlace: BangaloreDate: 27.05.2009
NOTE: Members are requested to bring the copy of Annual Report with them for the Annual General Meeting
MANAGING COMMITTEE
CA. Srinivas. C. S Chairman
CA. Shambhu Sharma. H Vice-Chairman
CA. Venkatesh Babu. T. R Secretary
CA. Babu. K Treasurer
CA. T.C. Mehta Chairman, SICASA
CA. Ravindranath. S.N Member
CA. Prabhudev Aradhya. S Member
CA. Raghu. K Ex-officio Central Council
CA. Suresh. P.R Ex-officio, Regional Council &Secretary, SIRC of ICAI
CA. Madhava Murthy. K.S Ex-officio, Regional Council
CA. Rajgopal. A Ex-officio, Regional Council
CA. Viswanath. K Ex-officio, Regional Council
If you want to keep all your worries & troubles in your pocket, be sure that your pocket has a Big Hole in it.
6
Bangalore Branch of SIRCof the Institute of Chartered Accountants of India
June2009
Dear Members,
We are pleased to present the 47th Annual Report of
the Bangalore Branch of SIRC of The Institute of Chartered
Accoutants of India, together with the audited accounts
for the year ended 31st March 2009.
Bangalore Branch is one of the most active and largest
branch in the country and has successfully rendered more
than four decades of service to the members and students
at large. For the year 2009-10 following office bearers
have been elected in the Managing Committeemeeting held on 15th Feb 2009.
OFFICE BEARERS - 2009 - 2010
CA. Cotha S. Srinivas Chairman
CA. Shambhu Sharma. H Vice Chairman
CA. Venkatesh Babu. T.R Secretary
CA. Babu. K Treasurer
CA. Mehta. T.C Chairman, SICASA
OFFICE BEARERS - 2008 - 2009
CA. Prabhudev Aradhya. S Chairman
CA. Cotha S. Srinivas Vice- Chairman
CA. Shambhu Sharma. H Secretary
CA. Venkatesh Babu. T.R Treasurer
CA. Babu. K Chairman, SICASA
The Theme of the year 2009-2010 is“Think Differently Act Perfectly”
We all talk about recession in this prevailing Economic
scenario and the need of hour is to overcome this
recession. Once we emphasise TRANSPARENCY in our
professional career and as we know that we have to
shoulder more responsibilities in the field of Accounting
& Taxation, we need to possess world class financial
competency and good governance. We have to prove
that hard work always pay rich dividends. Therefore
we have to Think Differently in creative way and have to
act perfectly. Hence the theme of the year is“Think Differently Act Perfectly”
During the year your Managing Committee has tried
to provide Quality Service to all the members through
various Study Circle Meetings, Seminars, Conferences,
Workshops etc.,
The Branch conducted following important eventsduring the year
CONFERENCES
� State Level CPE Conference
� National Conference for IT Industry
� Diamond Jubilee Conference on IFRS
� Diamond Jubilee Mega Conference
� Diamond Jubilee Conference on WTO
WORKSHOPS
� International Taxation
� Service Tax
� Accounting Standards
SEMINARS
� Bank Audit
� Value added Tax
� Corporate Fund Raising through Capital Markets
� Immovable Properties – Direct and Indirect Tax
� Service Tax - Issue Based
� The corporate Accountants Meet
� National Seminar for Statutory Central Auditors of PSU
Banks
During the year some of the important dignitarieswho visited the branch were
� CA. Uttam Prakash Agrawal, President, ICAI
� Sri. V.C. Dave, ROC, Karnataka
� Sri. Go. Ru. Chennabasappa , Past President,
Kannada Sahitya Parishat and Senior Freedom Fighter,
� Our own Past Presidents, CA Dalal. A.H, CA SaradaN.P, CA Rahul Roy, CA B.P. Rao
� Sri K.K. Gupta, Member, ITAT, Bangalore
� CA. Amarjit Chopra, Chairman, ASB
� CA. Jaydeep Shah, Chairman, Board of Studies
47th Annual Report
Your true respect is not in the words spoken to you in your presence, but in the words spoken for you in your absence.
7
Think Differently Act Perfectly
June2009
MANAGEMENT DEVELOPMENT PROGRAMMES
The Management Development Programmes of the
branch is providing quality training to various Corporate
& Government organisations in the field of Finance,
Accounting and Taxation. It has established its own brand
image.
The basic course of the MDP viz., Course in Finance
for Non Finance Executives(FNFE) and advanced course
in Corporate Accounting Finance and Business Laws
(CCAFBL), Weekend Workshops on International
Taxation, Service Tax and Accounting Standards were
conducted during the year and were well attended by
members and executives from various leading corporate
in the city and across the State.
We have also conducted in-house training programes
for the excutives of KPCL, BHEL and Tyco Electronics on
the following topics :
� Banking
� Working Capital Management
� Tax management
� Accounting Standards
� IFRS
STUDENTS ACTIVITIES
The Branch has been regularly organising and
conducting Coaching Classes, Crash Courses, and Course
in Computer Traning for the benefit of students. The
Coaching classes conducted at the branch are of high
quality and cost effective also in comparision with other
facilities available.
Bangalore Branch of SICASA has been adjudgedas the best Branch of SICASA of SIRC for the year2008.
12 Batches of the Course on General Management
and Communication Skills were conducted at the Branch
premises. Newly qualified Chartered Accountants from
all over the country attended the GMCS courses at
Bangalore Branch.
Campus Interviews were held in the month of April
and September 2008 and over 695 students opted for
Bangalore as center and over 24 companies utilized
campus interview facilities.
RANK HOLDERS
CPT – December 2008
No. Name of the Student Rank
1 SUMANA M RAO 7TH
Professional Education II- May 2008
No. Name of the Students Rank
1 ANKUR AGARWAL 8TH
2 VIDYA T 11TH
3 SIMPU G 13TH
4 SHREEKANT GUTTAL 15TH
5 ASHWINI H G 20TH
6 AKSHAYA HERLE P 31ST
Professional Education II- November 2008
No. Name of the Students Rank
1 ASHA KUSUM 9TH
2 KANISH K JAIN 11TH
3 MADHURI N V L 12TH
4 RAHUL MEHTA 20TH
5 KAVITHA N 26TH
6 SESHASAI KUMAR O 29TH
7 RATHISH A 31ST
8 NAGARJUN K N 31ST
9 DEEPAK K R 33RD
10 SONAL NAHATA 35TH
11 SYED RIZWAN B N 37TH
12 PAWAN JAIN 40TH
13 POOJAR D 40TH
PCC – November Exam 2008
No. Name of the Students Rank
1. RESHMA D. HEGDE 28TH
2. PARVATHI. R 30TH
Society does not go down because of the activities of Criminals, But because of the inactivities of Good People.
8
Bangalore Branch of SIRCof the Institute of Chartered Accountants of India
June2009
Final - November Exam 2008
No. Name of the Students Rank
1 VINUTHA H.G 36TH
2 JANANI M 44TH
3 MEENA 47TH
MEMBERSHIP
As on 31.03.09 the membership of the Bangalore branch,
which includes the members of Hosur and Tumkur is over
6900.
ACCOUNTS
The audited financial statement of the branch has been
published in this issue of the newsletter.
BRANCH ACHIVEMENT
Bangalore Branch has been adjudged as the BEST
BRANCH of SIRC during the year 2008.
MANAGING COMMITTEE MEETINGS
During the period from 1st April 2008 to 31st March 2009
13 (Thirteen) Meetings were held. CA. Shiva Kumar
Swamy. C.S has resigned as Managing Committee
Member during March 2009.
ACKNOWLEDGEMENT
The Managing Committee wishes to place on record their
deep appreciation for the support and services rendered
by various Dignitaries, Members, Organizations and
Institutions.
� President, Vice President, Past Presidents, Central &
Regional Council Members of ICAI.
� Course Directors, Speakers, Co-ordinators of the
various programmes.
� President and other Executive Members of KSCAA
� Faculty of Coaching Classes, Management
Development Programmes and Couse on GMCS.
� Statutory Auditors M/s. N.N. Yuvaraj and Associates,
Chartered Accountants and Internal Auditors M/s.
Patel Mohan Ramesh & Co., Chartered Accountants.
� Advertisers in News Letter and Sponsors of
Programmes / Activities.
� Our bankers Canara Bank, ICICI Bank, Syndicate Bank
and Corporation Bank.
� Our Printers M/s. Jwalamukhi Printers & Sreeman
Printers
� Our Photographer Sri. M.S. Nagaraj
� Officers and Staff for their sincere and dedicated
efforts in the overall administration of the Branch
affairs
� Every member and student of the branch for their
unstinted support rendered directly or indirectly in
conducting the various activities of the branch.
For and on behalf of the Managing Committee
Sd/-
CA. T.R. Venkatesh BabuSecretary
A few whole hearted, sincere, energetic men and women can do more in a year than a mob in a century.
9
Think Differently Act Perfectly
June2009
AUDITORS' REPORT
1. We have audited the attached Balance sheet of Bangalore Branch of SIRC of ICAI, as at 31st March 2009 and
the Income and Expenditure account for the year ended on that date, annexed thereto. These financial statements
are the responsibility of the management of its managing committee. Our responsibility is to express opinion on
these financial statements based on our audit.
2. We conducted our audit in accordance with generally accepted auditing standards in India. These standards
require that we plan and perform the audit to obtain reasonable assurance whether the financial statements are
prepared, in all material respects, in accordance with an identified financial reporting framework and are free of
material misstatements. An audit includes, examining on a test basis, evidence supporting the amounts and
disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant
estimates made by management as well as evaluating the overall financial statements. We believe that our audit
provides a reasonable basis for our opinion.
3. Further to our comments in the Annexure referred to in paragraph 3 above, we report that:
a) We have obtained all the information and explanations, which to the best of our knowledge and belief were
necessary for the purpose of our audit.
b) In our opinion, proper books of account have been kept by the branch so far as it appears from our
examination of the books.
c) The Balance Sheet and the Income and Expenditure Account dealt with by this report are in agreement with
the books of account.
d) in our opinion and to the best of our information and according to the explanations given to us, the financial
statements give a true and fair view in conformity with the accounting principles generally accepted in India
and/or the directions received by the branch from the Central Council.
i) In the case of Balance Sheet, of the state of affairs of Bangalore Branch of SIRC of ICAI as at
31st March 2009
and
(b) In the case of Income and Expenditure Account, of the excess of income over expenditure for the year
ended on that date.
For N.N. YUVARAJ & ASSOCIATES,Chartered Accountants
Sd/-
(U.D. Prithvi raj)Place : Bangalore PARTNER
Date : 14-05-2009 M.No. 214307
Arguments throw Heat on the Subject, Discussions throw Light on the Subject. Arguments showWho is Right, Discussions show What is Right.
10
Bangalore Branch of SIRCof the Institute of Chartered Accountants of India
June2009
BANGALORE BRANCH OF SIRC OFTHE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA
Balance Sheet as on 31.03.2009
PARTICULARS SCH 31-03-2009 31-03-2008 Rs. Rs.
General ReserveOpening Balance 13,233,906 11,185,141Add: Surplus 489,604 385,279General Reserve Balance 13,723,510 11,570,420Trfr From Earmarked Funds 2,542,655 1,663,486
Total General Reserve 16,266,165 13,233,906Earmarked FundsOpening Balance 1 15,012,187 12,569,216Additions 4,500,000 3,400,000Interest Income 1,075,569 706,458Less : Expenses/Adjustment 2,542,655 1,663,486
Total Earmarked Funds 18,045,101 15,012,188Current LiabilitiesFees Received In Advance 2 711,700 1,032,850Creditors For Expenses 3 1,455,934 770,728Other Liabilities 4 812,515 545,375Provision For Municipal Tax Payable 2,769,177 -
Sub Total Of Current Liabilities 5,749,326 2,348,953Inter Unit Balances:Capital Grant Received 5,616,237 5,190,518Icai Current Account 5 99,808 395,308Icai Publication Payable A/C 6 1,262,201 1,052,541
Sub-total Of Interunit Balances 6,978,246 6,638,367
TOTAL 47,038,838 37,233,414Assets/Application Of FundsFixed Assets-net Block 7 10,888,154 9,608,602Earmarked Investments 8 13,545,101 15,012,187Other Investments 9 15,366,892 7,615,791Current Assets:Stationery Stock ,Etc 10 30,545 44,930Security Deposits - 16,350Other Receivables 11 118,911 117,452Advances & Prepayments 12 541,607 609,883Cash & Bank Balances 13 3,016,665 959,446Inter Unit Balances:Central Council Current A/C 14 2,292,748 1,236,568Regional Council Current A/C 15 - 983,850Publication Stock Transfer A/C 16 1,238,215 1,028,355
Total Dr. Of Inter Unit Balances 3,530,963 3,248,773
TOTAL 47,038,838 37,233,414
As per our report of even datefor N.N.Yuvaraj & Associates
For Bangalore Branch of SIRC of ICAI Chartered Accountants
Sd/- Sd/- Sd/- Sd/- CA. C.S.Srinivas CA. T.R. Venkatesh Babu CA. K. Babu (CA. U.D. Prithvi raj)
CHAIRMAN SECRETARY TREASURER PARTNER
Place : BANGALORE Date : 14.05.2009
Notes to accounts forms itegral part of these 23financial statement
There are two great days in a person’s life. The day he was born and the day he discovers why!
11
Think Differently Act Perfectly
June2009
BANGALORE BRANCH OF SIRC OFTHE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA
Income & Expenditure Account for the year ended 31.03.2009
PARTICULARS SCH 31-03-2009 31-03-2008 R s R s
INCOME
Conference Grant 5,000 -
Inter College Debate Programme Grant 45,190 -
It Course Grant 4,000 -
Elocution And Quiz Contests Grant 11,001 -
Membership Fee Grant 716,000 327,552
Audit Fees Grant 79,416 43,820
Ad Hoc Grant - Bos - 72,000
Sub-total 860,607 443,372
News Letter Income 282,000 402,000
Seminar Income 13,485,308 9,471,438
Gmcs Course Income 2,857,500 2,177,000
Interest On Investments 17 1,270,395 879,933
Other Income 18 172,406 298,001
Income From Coaching Classes 2,371,465 2,530,235
Commission On Sale Of Publications 453,443 482,594
Income From Itt Course Fee 5,780,000 2,208,700
Prior Period Adjustments 19 112,677 54,764
TOTAL 27,645,801 18,948,037
EXPENDITURE
Salary & Staff Expenses 20 1,243,271 1,095,258
Printing , Stationery & Photocopying 137,853 480,707
Newsletter (Rcs& Brs) 1,130,817 1,018,044
Postage , Telephone And Courier 182,840 131,172
Rent Electricity And Water 381,007 386,919
Repairs & Maintenance 835,481 568,900
Travel Members 34,426 24,214
Conveyance And Travel - Staffs 43,480 27,666
Magazine & Periodicals 18,163 29,853
Laptop Hiring Charges 27,788 -
Internal Audit Fees 59,562 26,966
Statutory Audit Fees 19,854 16,854
Professional & Consultancy Fees 69,500 -
Legal Fees 10,000 -
Seminar Expenses 9,318,595 6,906,518
Gmcs Course Expenses 2,031,815 1,733,116
Other Expenses 21 368,813 330,390
Expenditure On Itt Course Fee 863,941 99,068
Expenses Towards Coaching Classes 1,524,743 1,143,305
Prior Period Adjustments 22 2,854,726 -
SUB - TOTAL 21,156,675 14,018,950
Depreciation 1,499,522 1,143,809
TOTAL 22,656,197 15,162,759
When time never stops for you then why you always wait for time?? No time is wrong to do the Right Things.
12
Bangalore Branch of SIRCof the Institute of Chartered Accountants of India
June2009
Schedules forming part of Balance Sheet as on 31.03.2009SCHEDULE - 1 : EARMARKED AND OTHER FUNDS
PARTICULARS AS AT AS AT AS AT 01.04.2008 ADDITIONS INCOME DEDUCTIONS 31-03-2009 31-03-2008
Rs. Rs. Rs. Rs. Rs. Rs.
ENDOWMENT FUNDSVisweshwaraiah Prize Fund 85,684 - 4,743 - 90,427 85,684
Guruprasad Prize Fund 56,094 - 3,200 - 59,294 56,094Bhanumurthy Prize Fund 15,548 - 1,035 - 16,583 15,548Seetharamaiah Prize Fund 109,677 - 8,774 - 118,451 109,677
TOTAL (A) 267,003 - 17,752 - 284,755 267,003DESIGNATED FUNDSStudy Circle Series Fund 474,250 - 28,398 - 502,648 474,250CA Student Education fund 529,321 - 32,519 - 561,840 529,321Building Maintenance fund 5,511,742 1,500,000 408,927 - 7,420,669 5,511,742
Library Corpus fund 703,025 - 47,001 - 750,026 703,025Fixed Asset Acquisition fund 5,664,746 2,500,000 397,993 2,542,655 6,020,084 5,664,746Maintenance Fund 1,862,100 500,000 142,979 - 2,505,079 1,862,100
TOTAL (B) 14,745,184 4,500,000 1,057,817 2,542,655 17,760,346 14,745,184GRAND TOTAL (A) + (B) 15,012,187 4,500,000 1,075,569 2,542,655 18,045,101 15,012,187
PARTICULARS 31.03.2009 31.03.2008 Rs Rs
SCHEDULE -2 : FEES RECEIVED IN ADVANCEGMCS Course Fees - 56,933CCAFBL Training Programme 115,200 175,652CPT Coaching Class - 83,493
Information Technology Training 396,000 528,000PCC Coaching Class 107,000 68,772Crash Course PE II/PCC 93,500 -
International Taxation Course - 120,000
Total 711,700 1,032,850
Surplus 4,989,604 3,785,279
Appropriations -Maintenance Fund 500,000 500,000Building Maintenance Fund 1,500,000 900,000
Fixed Asset Acquisition Fund 2,500,000 2,000,000
Balance Transferred To General Reserve 489,604 385,279
As per our report of even datefor N.N.Yuvaraj & Associates
For Bangalore Branch of SIRC of ICAI Chartered Accountants
Sd/- Sd/- Sd/- Sd/- CA. C.S.Srinivas CA. T.R. Venkatesh Babu CA. K. Babu (CA. U.D. Prithvi raj)
CHAIRMAN SECRETARY TREASURER PARTNER
Place : BANGALORE Date : 14.05.2009
Notes to accounts forms itegral part of these 23financial statement
Work for a cause and not for Applause. Live Life to Express and not to Impress.
13
Think Differently Act Perfectly
June2009
BANGALORE BRANCH OF SIRC OFTHE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA
Schedules forming part of Balance Sheet as on 31.03.2009
PARTICULARS 31.03.2009 31.03.2008 Rs Rs
SCHEDULE - 3 : CREDITORS FOR EXPENSES (Payable)Statutory Audit Fees 19,854 16,854Repairs and Maintenance - 782Security Charges - 16,049Mineral Water 3,493 7,499Printing and Stationery 1,600 38,552Postage, Courier and Telephones 11,852 22,424Internal Audit Fees 53,427 23,911News Paper Expenses - 716Rent, Electricity And Water 119,433 81,583Seminar and Conference Expenses 192,602 254,307Coaching Class/GMCS Course Expenses 425,854 62,566CCAFBL/FNFE Expenses 98,894 184,045ITT Expenses 72,500 -Conveyance 1,007 19,303CPT Online Expenses Payable 1,943 -News Letter Expenses - 42,137Software Development Expenses 2,000 -OT & Salary Expeneses Payable 3,464 -Fixed Assests- Interior Decoration Payable (South ITT Centre) 233,829 -Fixed Assests- LCD Projector Payable 149,953 -Fixed Assests- Electrical Fittings (South ITT Centre) 64,229 -
Total 1,455,934 770,728SCHEDULE - 4 : OTHER LIABILITIESSecurity deposit - B.S.Patil 5,000 5,000BOS - GMCS Material Payable - 125,000TDS Payable 141,930 42,905Medical Reimbursement/ Retention Money -Staff 46,710 9,250Others Excess Credit Bank 20,000 20,000Retention Money -Building Renovation - 258,252Architect Fees Payable - 35,468Blazers Advance - Refundable - 49,500Exam Form Nov’08 Collection Due for Remittance 272,200 -ISA Form Remittance Due 1,175 -SICASA Bangalore 300,000 -L Tap Income Refundable 25,500 -
Total 812,515 545,375SCHEDULE - 5 : ICAI CURRENT A/CICAI - Gratuity Grant Payable 99,808 99,808Blazers Dues - 295,500
Total 99,808 395,308SCHEDULE - 6 : ICAI PUBLICATION A/C (Payable A/c)Article Registration Forms 29,150 25,470Publications 631,608 593,183Revision Test Papers 21,198 35,648Study Materials 38,159 229,514Suggested Answers 542,086 168,726
Total 1,262,201 1,052,541
In investing money, the amount of interest you want should depend on whether you want to Eat Well or Sleep Well.
14
Bangalore Branch of SIRCof the Institute of Chartered Accountants of India
June2009
BANGALORE BRANCH OF SIRC OFTHE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA
Schedules forming part of Balance Sheet as on 31.03.2009
PARTICULARS RATE WDV AS ON ADDITIONS DELETIONS TOTAL DEPRE- WDV ONOF DEP. 01.04.2008 CIATION 31.03.2009
(%) (In Rs) (In Rs) (In Rs) (In Rs) (In Rs) (In Rs)Airconditioner 15% 806,432 - - 806,432 120,965 685,467Airconditioner-
South ITT Center 15% - 120,000 - 120,000 - 120,000Canopy 10% 89,120 - - 89,120 8,912 80,208Computer Lab A/C 10% 54,884 - - 54,884 5,488 49,396
Computer LabComputers 60% 532,349 - 532,349 319,409 212,940Computer Lab
ComputersSouth ITT Center 60% - 1,050,000 - 1,050,000 - 1,050,000Furniture-Computer
Lab 10% 161,239 45,000 - 206,239 19,514 186,725Computer Lab UPS 15% 58,362 39,375 - 97,737 13,835 83,902Computers 60% 91,466 4,000 - 95,466 55,722 39,744
Electrical Fittings 10% 813,243 - - 813,243 81,324 731,919Fire Alarm System 10% 18,280 - - 18,280 1,828 16,452Furniture 10% 3,136,007 - - 3,136,007 313,601 2,822,406
Furniture-KitchenUtensils 10% 20,158 - - 20,158 2,016 18,142Laptop 60% 3,911 - - 3,911 2,347 1,564
Lcd Projector 60% 29,905 293,028 - 322,933 66,518 256,415Lcd Projector-South ITT Center 60% - 74,977 - 74,977 - 74,977
Library Books 100% - 53,398 - 53,398 53,398 -Lift 10% 280,879 - - 280,879 28,088 252,791Networking 60% 25,715 - - 25,715 15,429 10,286
Office Equipments 15% 101,620 162,998 - 264,618 26,694 237,924Printers 15% 28,687 46,708 - 75,395 6,047 69,348Interior Auditorium 10% 1,640,246 - - 1,640,246 164,025 1,476,221
Interior DecorationSouth ITT Centre 10% - 389,250 389,250 - 389,250Interior Ground Floor 10% 1,533,736 - - 1,533,736 153,374 1,380,362
Software 60% 742 36,240 - 36,982 10,891 26,091Ups 15% 181,621 11,698 - 193,319 27,286 166,033Plasma TV 15% - 60,000 - 60,000 2,811 57,189
Furniture SouthITT Center 10% - 143,375 - 143,375 - 143,375Networking South
ITT Center 60% - 108,309 - 108,309 - 108,309Electrical FittingsSouth ITT Center 10% - 140,718 - 140,718 - 140,718
Grand Total 9,608,602 2,779,074 - 12,387,676 1,499,522 10,888,154Previous Year 6,294,943 4,228,803 - 10,752,411 1,143,809 9,608,602
SCHEDULE - 7 : FIXED ASSETS
You must have long term goals to keep you from being frustrated by short term failures.
15
Think Differently Act Perfectly
June2009
PARTICULARS In FDRs INTEREST INTEREST NET INTE- BALANCE As At As AtRECEI- RECEI REST RECEI- WITH INVEST-VABLE VED VABLE MENT (GEN) 31-03-2009 31-03-2008
Rs. Rs. Rs. Rs. Rs. Rs. Rs.
VisweshwaraiahPrize Fund 59,292 4,743 - 4,743 26,392 90,427 85,684
GuruprasadPrize Fund 41,770 3,200 3,200 - 17,524 59,294 56,094
BhanumurthyPrize Fund 14,925 1,035 1,035 - 1,658 16,583 15,548
SeetharamaiahPrize Fund 109,677 8,774 - 8,774 - 118,451 109,677
TOTAL (A) 225,664 17,752 4,235 13,517 45,574 284,755 267,003
Study CircleSeries Fund 338,432 28,398 10,800 17,598 146,618 502,648 474,250
CA StudentEducation Fund 416,738 32,519 14,000 18,519 126,583 561,840 529,321
Building MaintenanceFund 5,467,943 408,927 35,651 373,276 79,450 5,920,669 5,511,742
Library Corpus Fund 653,038 47,001 16,000 31,001 65,987 750,026 703,025
Fixed Asset AcquisitionFund 3,093,831 397,993 253,554 144,439 281,814 3,520,084 5,664,746
Maintenance Fund 1,626,609 142,979 92,795 50,184 328,286 2,005,079 1,862,100
TOTAL (B) 11,596,591 1,057,817 422,800 635,017 1,028,738 13,260,346 14,745,184
GRAND TOTAL (A)+(B) 11,822,255 1,075,569 427,035 648,534 1,074,312 13,545,101 15,012,187
BANGALORE BRANCH OF SIRC OFTHE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA
Schedules forming part of Balance Sheet as on 31.03.2009SCHEDULE - 8 : EARMARKED AND OTHER INVESTMENTS
SCHEDULE - 9 : INVESTMENTS - GeneralFixed Deposits with Canara Bank 9,450,345 2,310,619Fixed Deposits with Syndicate Bank - 401,159RBI 8% Bonds 6,990,859 7,133,224
16,441,204 9,845,002Less : Amount to be transferred to Earmarked Investments 1,074,312 2,229,211
Total 15,366,892 7,615,791SCHEDULE - 10 : STOCKGMCS Book Stock 24,000 31,000Gift Vouchers 720 6,930Stock WIRC 5,825 7,000
Total 30,545 44,930SCHEDULE - 11 : OTHER RECEIVABLESDue from Ex - Employee 29,250 29,250Training Fees Receivable 63,060 53,202KPCL Programme Receivable 26,601 -Other Receivable - 35,000
Total 118,911 117,452
Even a small dot can stop a big sentence, but….. a few more dots can give a continuity. Every end can be a new beginning.
16
Bangalore Branch of SIRCof the Institute of Chartered Accountants of India
June2009
PARTICULARS 31.03.2009 31.03.2008 Rs Rs
SCHEDULE - 12 : ADVANCE & PRE-PAYMENTS
Deposits with KPTCL 174,800 174,800
Deposit - Property Tax - 300,495
Deposit for Rent - Bangalore South ITT Center 280,000 -
Advance to Staff 5,000 14,000
Prepaid Expenses 67,176 75,139
Advance - Post office for Newsletter Posting 14,631 45,449
Total 541,607 609,883SCHEDULE - 13 : CASH & BANK BALANCES
Canara Bank SB A/c.80172 24,818 17,594
Canara Bank SB A/c.10825 434,202 386,846
Canara Bank SB A/c.11215 2,290 2,149
Canara Bank SB A/c.9499 2,430,987 474,255
Canara Bank SB A/c.9759 16,767 47,871
Cash on Hand 10,751 10,132
Cheque on Hand 96,850 20,600
Total 3,016,665 959,446
SCHEDULE - 14 : CENTRAL COUNCIL CURRENT ACCOUNTTDS Receivable 612,756 516,765
Seminar Grant Receivable 15,000 15,000
Membership Fees Grant Receivable 61,025 61,025
Sunday Test Expenses 28,421 28,421
ICAI Current Account 22,105 22,105
ICAI Decentralised Office, Bangalore 1,093,446 88,938
BOS Grant Receivable 42,000 42,000
ICAI - Salary 222,855 105,945
Audit Fees Grant Receivable 138,236 58,820
Library Grant 49,619 49,619
Medical Grant Receivable 7,285 7,285
CFO Meet Expenses - 240,645
Total 2,292,748 1,236,568SCHEDULE - 15 : REGIONAL COUNCIL CURRENT ACCOUNTAdvertisement - News Letter - 62,000
39th Regional Conference of SIRC of ICAI - 921,850
Total - 983,850SCHEDULE - 16 : ICAI PUBLICATION STOCK ACCOUNTArticled Registration Forms 29,100 25,420
Publications 628,975 591,350
Revision Test Papers 21,890 36,340
Study Materials 40,785 231,140
Suggested Answers 517,465 144,105
Total 1,238,215 1,028,355
BANGALORE BRANCH OF SIRC OFTHE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA
Schedules forming part of Balance Sheet as on 31.03.2009
The Worst regret we can have in Life is not for the Wrong Things we did,But for the Right Things we could have Done but we never did.
17
Think Differently Act Perfectly
June2009
PARTICULARS 31.03.2009 31.03.2008Rs. Rs.
Schedule - 17 : INTEREST ON INVESTMENTS
Interest on Fixed Deposits / RBI Bonds 1,170,806 759,778
Interest on SB Accounts 99,589 120,155
Total 1,270,395 879,933
Schedule - 18 : OTHER INCOME
Coin Booth Collection 781 3,526
Commission Received - Exam Forms 163,605 196,287
Hall Rent & LCD Charges for ISA Course - 59,797
Miscellaneous Income 7,220 20,714
Sale of Branch Publications 800 6,677
Special Recognition Award 11,000
Total 172,406 298,001
SCHEDULE - 19 : PRIOR PERIOD ADJUSTMENTS - INCOME
FD Interest from Syndicate Bank (05-06 FD Matured) 17,901 -
Membership Fee Grant 2006-07 - 1,998
GMCS Advance - 8,000
Medical Reimbursement Grant - 8,000
Decentralised Office receivable accounted short - 7,235
Coaching class/Seminar ( Honararium Reversed) 16,166 27,973
GMCS - Income - (442)
Computer Course Training - 2,000
Accrued Interest on FDR Canara Bank 4,699 -
Dubai Tour Study 50,000 -
Internal Audit Fees - Excess Provision reversed 23,911 -
Total 112,677 54,764
SCHEDULE - 20 : SALARY & STAFF EXPENSES
Salary to Staff 1,109,160 1,024,328
Staff Welfare Expenses 52,361 34,524
Medical Expenses 34,500 36,406
Gratuity Expenses 47,250 -
Total 1,243,271 1,095,258
SCHEDULE - 21 : OTHER EXPENSES
General Expenses 215,240 168,157
Security Charges 67,839 67,904
Mineral Water Charges 69,509 68,192
Bank Charges 16,225 26,136
Total 368,813 330,390
BANGALORE BRANCH OF SIRC OFTHE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA
Schedules forming part of Income & Expenditure Accountfor the year ended 31.03.2009
Don’t strive to make your Presence noticed, just make your Absence Felt.
18
Bangalore Branch of SIRCof the Institute of Chartered Accountants of India
June2009
Schedule – 23 Significant Accounting Policies and
Notes Forming Part of Accounts for the year ending 31.03.2009I. Accounting policy:
The financial statements have been prepared in accordance with the format provided by the ICAI, New Delhi, as per the“Accounting Manual for Branches of Regional Councils”.
2. Revenue Recognition:
Revenue is recognized on accrual basis, as per the “Accounting Manual for Branches of Regional Council”.
3. Inventories:
a) Stock of mementos is stated at cost.
b) Branch publications are accounted in the year of publication and income is recognized at the time of sale.
c) Stock of publication held on behalf of ICAI is stated at Selling Price.
4. Fixed Assets and Depreciation:
a) Library books are fully depreciated in year of purchase. In respect of other assets depreciation is charged on Written
Down Value basis. In respect of assets (others) acquired during the year, depreciation is provided on prorata basis. Therates of depreciation are as prescribed in “Accounting manual for Branches of Regional Councils”.
b) The Branch Building and Depreciation thereon are accounted at ICAI New Delhi
5. Investments:
Investments are stated at cost
6. Deferred Tax Asset/Liabilityis not applicable at branch level.
Notes forming Part of Accounts:
1. Property Tax: The case was pending with BBMP regarding the finalization of Property tax to be paid by the Bangalore Branch.As per the directions of the Honorable High Court the matter was referred to the Taxation Appeals Committee. The said
Taxation Appeals Committee has discussed the issue relating to our branch on 09.02.09 and has concluded that the branchis not eligible for exemption from payment of property tax and hence the appeal made by the branch wrt. exemption frompayment of property tax has been disposed off and a demand has been raised from BBMP for Rs. 28,47,768/- alongwith 5%
penalty representing the property tax for 15 years from the year 1993-94 to 2007-08. The branch has made a provision ofRs. 28,47,768/- towards property tax and the same has been accounted as Prior period Expenditure.
2. Balances representing Sundry creditors & central council account are subject to reconciliation & receipt of confirmationsfrom parties.
3. During the year the branch has not made provision for Gratuity.
4. Previous year's figures in financial statements have been rounded off to the nearest rupee and have been regrouped/
rearranged wherever necessary to make them comparable and meaningful.
As per our report of even date
For Bangalore Branch of SIRC of ICAI for N.N.Yuvaraj & AssociatesChartered Accountants
Sd/- Sd/- Sd/- Sd/- CA. C.S. Srinivas CA. T.R. Venkatesh Babu CA. K. Babu (CA. U.D. Prithvi raj)
CHAIRMAN SECRETARY TREASURER PARTNER Place : BANGALORE Date : 14.05.2009
PARTICULARS 31.03.2009 31.03.2008Rs. Rs.
SCHEDULE - 22 : PRIOR PERIOD ADJUSTMENTS - Expenses
Municipal Tax Payment 2,847,768 -
Seminar Expenses 750 -
39th Regional Conference 6,208 -
Total 2,854,726 -
Well wisher is not one who greets & talks to you daily.Well wisher is one who always things of you & prays to God for your happiness.
19
Think Differently Act Perfectly
June2009
Recent judicial pronouncements in Indirect TaxesNR Badrinath, Grad C.W.A., F.C.A., Madhur Harlalka, B. Com., F.C.A.
Service Tax
1. Service tax being a value added tax, value addition is absent
in renting of immovable property for use in the course or
furtherance of business or commerce. Renting of
immovable property itself cannot be regarded as a service.
The hon’ble high court has held while allowing writ petition
held that “in so far as renting of immovable property for
use in the course of furtherance of business of business or
commerce is concerned, we are unable to discern any value
addition. Consequently, the renting of immovable property
for use in the course or furtherance of business of commerce
by itself does not in terms entail value addition and,
therefore, cannot be regarded as a service”.
Further hon’ble high court held that section 65(105)(zzzz)
does not in terms entail that renting out of immovable
property for use in the course or furtherance of business
of commerce would by itself constitute a taxable service
and be exigible to service tax under the Finance Act, 1994.
Consequently exemption notification no. 24/2007-S.T.
dated 22-5-2007 and C.B.E.& C Circular No. 98/1/2008-
S.T., dated 4-1-2008 are ultra vires the Finance Act, 1994
and to the extent that they authorize the levy of service
tax on renting of immovable property per se, they are set
aside. [Home solutions Retail India Limited and others Vs.
Union of India, 2009(14) S.T.R. 433 (Del.)]
2. The appellant is providing services of offshore support
vessels, marine construction barges and harbour tugs to
exploration and production companies and service tax is
paid under supply of Tangible goods under section
65(105)(zzzzj) with effect from 16.05.2008. However
department has demanded the service tax under the
category of mining services for the prior period. The
appellant aggrieved by the demand filed a writ petition
with the Hon’ble High Court of Bombay. The Hon’ble High
Court held that vessels are given on time charter basis
without parting with right of possession and effective
control and therefore the services are either pre-mining or
post-mining activities not having direct relation to mining.
Further, introduction of a new entry for levy of service tax
on supply of tangible goods is not by amending earlier
entry on mining services and is not a carving out of mining
services. Hence providing vessels on time charter basis
without giving effective control is not covered under
mining services. The service rendered by a person must
have direct or proximate relation to subject matter of the
taxing entry. The context of usage of phrase “in relation
to” is to be borne in mind to judge the scope of entrywhich may be of wide amplitude. [Indian Nation Shipowner’s Association Vs. Union of India, 2009(14) S.T.R.289 (Bom.)]
3. The appellant is a society with laudable objective of non-profit motive. The memorandum of association indicates
the programmes covering all fields of administration,management and broadly in the field of social sciences(e.g. Health Policy Research, Bio-mass Project, Change
Management, Water and Sanitation MaterialsDevelopment, City Consultation in Hyderabad, EnergyManagement etc). The appellants are conducting
programmes in professional manner for persons alreadyin service. The institution is registered under the SocietiesRegistration Act, and also exempted from income-tax.
Hence it cannot be considered as a commercial centre.Therefore, no service tax is leviable under the category ofCommercial Coaching or Training. Further, the service
provided by the appellant are not “Scientific and TechnicalResearch” since by no stretch of imagination, theadministrative staff of college can be called as “science ortechnology” institution and also providing services in the
filed of social science. [Administrative Staff College of IndiaVs. C.C.&C.E., Hyderabad, 2009 (14) S.T.R. 341 (Tri.-Bang.)]
4. The appellant entered into permanent transfer of technical
know-how and also entered into supplementaryagreements to set up a task force to recommend on aspectswhich are not in relation to technical know-how. The
Tribunal held that setting up of joint task force does notamount to rendering of technical advice and relationshipof service provider and service recipient absent. Therefore,
no service tax is payable. [C.B.E&C Vadodara-I Vs. AmbalalSarabhai Enterprises Limited, 2009 ?(14) S.T.R 355(Tri.-Ahmd.)]
5.The revenue raised a Demand on reimbursable charges,
viz., the out of pocket expenses collected by the assesseefrom its clients on flat rate basis. The Tribunal held thatthis does not mean that no expenses have been incurred
and the revenue can therefore deny the credit. If thereimbursed sum is more than the flat rate, the tax is to bepaid on the differential but the details are to be verified
and the matter is remanded. [M/s Absolute ConsultantsPvt Ltd Vs CST, Ahmedabad, 2009-TIOL-760-CESTAT-AHM]
This decision is with respect to the provisions prior to theamendment of Section 67 of Finance Act, 1994
Emotions don’t have words, Wishes don’t have script. If you Smile World is with you, otherwise,Even a drop of tear doesn’t like to stay with you.
20
Bangalore Branch of SIRCof the Institute of Chartered Accountants of India
June2009
6. If the non-payment of duty was attributable to fraud,
collusion etc, penalty is mandatory. If the notice undersection 11A (1) states that the escaped duty was the resultof any conscious and deliberate wrong doing and in the
order passed under section 11A (2) if there is a legallytenable finding to that effect then the provision of section11AC would also get attracted. The earlier judgement in
the case of Dharmendra Textiles did not stipulate that forevery demand, penalty is an automatic consequence. Thedecision in Dharamendra Textiles case must therefore be
understood to mean that though the application of section11AC would depend upon the existence or otherwise ofthe conditions expressly stated in the section, once the
section is applicable in a case, the concerned authoritywould have no discretion in quantifying the amount andtherefore the penalty must be imposed under sub-section
(2) of section 11A. [CC & CCE Vs M/s Rajasthan Spinning &Weaving Mills, 2009-TIOL-63-SC-CX]
7. Where the contract is for providing vehicles for a fixeddestination and further where the vehicles are used for
the particular destination on demand of client, the samecannot be treated as Rent-a-Cab and Tour OperatorService. [CCE, Rohtak Vs. Miglani Taxi service, 2009-TIOL-734-CESTAT-DEL]
CENVAT Credit
8. Service Tax paid on outdoor catering services received forsupply of food in the canteen attached to the factory iseligible as CENVAT credit. It is mandatory that a
manufacturing unit which employees more than 250worker should have canteen for supply of food and alsothat the cost of food forms part of cost of production.
[Kaycee Industries Ltd Vs CCE, Thane, 2009-TIOL-750-CESTAT-MUM and CCE & CC, Nashik Vs M/s Jindal Saw Ltd,2009-TIOL-747CESTAT-MUM]
9. Insurance of plant and machinery is expenditure which
goes into cost of production of manufactured goods.Therefore, service tax paid on the insurance of plant andmachinery would qualify as input services for the purposes
of CENVAT Credit Rules. [Finolex Cables Limited, Vs. CCE,Pune-I, 2009(14)S.T.R. 303 (Tri.-Mumbai)]
10. Assessee avails CENVAT credit as well as abatement of67% under Notification No.18/2005 Dt. 7.06.2005. The
said notification was rescinded and notification 01/2006-Dt. 1.03.2006 was issued. The new notification prescribesthat CENVAT credit on input services shall not be available
if the assessee claim abatement. Accordingly, thedepartment demanded service tax and penalty foravailment of both options (i.e. CENVAT Credit availment
and abatement) for the period January to February 2006where the payment for the same was received in the month
of March 2006. in this regard, the Tribunal held that since
the assessee is eligible to both, CENVAT credit on inputservices and abatement for the period prior to March 2006,the demand of tax, interest and penalty is set aside. In
respect of the above transactions, the provisions containedin notifn 1/2006 would not be applicable. [M/s. SantoshAssociates Vs. CST, Ahmadabad, 2009-TIOL-720-CESTAT-AHM]
Excise
11. Show cause notices were issued by the revenue to twounits without identifying which one is dummy and whichone real for denying the exemption under SSI scheme. In
this regard, it was held that the department should identifywhich one is dummy and real and this is a fundamentalflaw in show cause notice and that the same cannot be
cured at this stage (appeal stage). When the revenue hasfailed to identify real and dummy units and when thedemand has been confirmed on both units, such an order
cannot be legally sustained. [Rao Industries Vs. CCE,Bangalore, 2009 (237) E.L.T. 128 (Tri.-Bang.)]
12. EOUs may opt out of the scheme with the approval of theDevelopment Commissioner subject to the payment of
applicable duties on imported and indigenous capitalgoods, raw materials, components, consumables, sparesand finished goods in stock as per 6.18 of Foreign Trade
Policy 2004-09 as on the date of debonding. There is nomention about the in-process goods. In the absence ofthe mention of in-process goods in the policy, there is no
authority for demanding duty on the in-process goods.Hence demand of duty on the in-process goods is setaside. [Tirumala Seung Han Textiles Limited Vs. CCE(A),Hyderabad, 2009 (237) E.L.T145 (Tri.-Bang.)]
13. Financial hardship cannot be accepted for waiver of pre-deposit when company balance sheet shows investmentin shares. Public money cannot be used for investment in
shares. Therefore, appellant directed to make a pre-deposit. [Arya Fibres Private Limited Vs. CCE, Daman, 2009(237) E.L.T. 558 (Tri-Ahmd.)]
14. In respect of short payment of duties by an EOU, there is
no time limit for raising a demand. The demand can beraised at any time in terms of the provisions of B-17 bondexecuted by them. Though the bond is not invoked by the
Commissioner while confirming the demand, so long asproper officer has power under a particular provision oflaw, the same can be invoked at any time. It is also observed
so long as the proper office has the power to raise ademand, invoking the wrong of the provision of law forconfirming the duty will not vitiate the demand.
[Endress+Hauser Flowtec (I) Private Limited Vs. CCE,Aurangabad, 2009 (237) E.L.T. 598 (Tri.-Mumbai)]
Comparison is the best way to judge your progress. But don’t compare your yesterday with your today.
21
Think Differently Act Perfectly
June2009
ADMISSIONS OPENINTEGRATED PROFESSIONAL COMPETENCE COURSE
( I P C C ) ORIENTATION PROGRAMMEBangalore Branch of SIRC of ICAI is happy to announce the launch of the orientation programme for the studentsregistered for IPCC.
35 hours sessions (Monday to Saturday – 10 am to 5.15 pm) on:-
1. Personality Development. 4. Business Environment.
2. Communication skills. 5. General Commercial Knowledge.
3. Office Procedure.
BATCH DURATION
` III 1st to 6th June 2009
IV 8th to 13th June 2009
V 15th to 20th June 2009
VI 22nd to 27th June 2009
VII 29th June 2009 to 4th July 2009
FEE: Rs. 3000/- either by Cash / Demand Draft in favour of Bangalore Branch of SIRC of ICAI.
Expert faculty members specialized in their respective areas will be conducting the sessions .
Admissions on First come first served basis. As the seats are restricted to 50 Nos. students are requested toenroll at the earliest.
Nanu R. Mallya Cotha S. Srinivas T.R. Venkatesh Babu T.C. MehtaChief Facilitator Chairman Secretary Chairman (SICASA)
For Further details contact the Branch onTel : 30563500 / 512 / 513 e-mail : bangalore@icai.org
KIND ATTENTION STUDENTS PURSUING GMCS COURSE
ANNOUNCEMENT:
REGISTRATIONS OPEN FOR THE COURSE ON“GENERAL MANAGEMENT AND COMMUNICATION SKILLS” 63rd & 64th batch
Proposed date for the Commencement of the
63rd Batch- 27-07-2009 To 12-08-2009
64th Batch- 17-08-2009 To 03-09-2009Course Fee: Rs.4500/- DD in favour of “Bangalore branch of SIRC of the ICAI” / Cash
Duration : 15 days
Eligibility: 1) Would have completed minimum 2 years of article training.
2) Would have passed PE-II course/ taken up either one group or both the groups offinal exams/qualified CA.
3) One passport size photograph
For Further details contact the Branch on Tel: 30563500 /512/513 e-mail : bangalore@icai.org
The best part of life is when your family understands you as a friend & your friends support you as a family.
22
Bangalore Branch of SIRCof the Institute of Chartered Accountants of India
June2009
Admissions Open
COACHING CLASSES AT BANGALORE BRANCH
Coaching Classes Duration Timings Fees
CPT - Dec 09 Batch 01st July 09 to 15th November 09 5.30 pm to 7.30 pm Rs. 4,500.00
Final Nov 2009 Batch 17th June 09 to 31st October 09 7.30 am to 9.30 am Rs. 8,000/- 1(Both the Groups)
New Scheme 6.00 pm to 8.00 pm Rs. 5,000/- (Single Group)
Admissions on First Come First Serve Basis
Fee : DD in favour of “Bangalore Branch of SIRC of ICAI” / Cash
For Further details contact the Branch onTel : 30563500 / 512 / 513 e-mail : bangalore@icai.org
Study Group approve by the President, ICAIfor Bangalore. The details of the Workgroupand its members are as follows :
ICAI KARNATAKA VAT AUDITWORKGROUP
CA. K.Raghu,Central Council Member: Convenor
CA. C.S.SrinivasChairman, Bangalore Branch of ICAI
CA. Venkatramani Co-ordinator
CA. Sanjay Dhariwal
CA. Keshava. M.S.
CA.Madhur Harlalaka
CA.K.Ramnath
ICAI E- ROOM STUDY GROUPCA. K. Raghu,
Mentor, Chairman–Information Technology Committee
CA. C.S.SrinivasChairman , Bangalore Branch of ICAI
CA. Gurunath
CA. V.Chetan
CA. M.S.Keshava
CA. Sailesh Agarwal
CA. Vinay Murthyunjaya
CA. L.Prakash
CA. Anil Birla
AUDIT DOCUMENTATION SOFTWAREWORKGROUPCA. K.RaghuChairman Peer Review Board
CA. Manoj FadnisMentor – Central Council Member
CA. C.S.SrinivasChairman , Bangalore Branch of ICAI
CA. Rama Rao
CA. Gururaj Acharya
CA. C. Ganesh
CA. Shamji Lal Patel
CA. Anil Rao
CA. Ravi Prasad
Interested Members are requested to send theirviews for the consideration of the above studygroups.
FOR THE ATTENTION OF MEMBERS
Members who have registered for InformationSystem Audit Course are hereby informed that thenext batch of ISA –PT is proposed to be held atBangalore Centre during the second week of July2009. Members desirous of pursuing this coursemay register on or before 30th June 2009 throughonline. Please visit our website www.icai.org
For any clarifications/ details contact:Mr. K. R. Kulkarni, Section Officer
Tel.Nos : 30563500/30563542E-mail : dcobangalore@icai.org
Never get tired of doing little things for others… Because sometimes those little things occupy the Biggest part in their Heart.
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Think Differently Act Perfectly
June2009
24
Bangalore Branch of SIRCof the Institute of Chartered Accountants of India
June2009
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