The weekly messenger | Edition 34.18

Accounting News

FASB proposes Narrow- Scope Improvements to Credit Losses Standard – 20 August 2018

The Financial Accounting Standard Board (FASB) has issued a proposed Accounting Standard Update (ASU), ‘Codification Improvements to Topic 326, Financial Instruments – Credit Losses’ which aims to:

• align the implementation date for annual financial statements with the implementation date for interim financial statements; and
• clarify that operating lease receivables are not within the scope of the credit losses standard, but rather, should be accounted for in accordance with the leases standard.

Comments are to be received by 19 September 2018.

For more information, click here.

Auditing News

Valuation Standards issued by ICAI made effective – 24 August 2018

The Institute of Chartered Accountants of India (ICAI) has issued eight Valuation Standards in order to have consistent, uniform and transparent valuation policies and to harmonise the diverse practices in use in India. These standards would be applicable for all valuation engagements on mandatory basis under the Companies Act, 2013 and on recommendatory basis for the valuation engagements under other statues are concerned like Income Tax, the Securities and Exchange Board of India (SEBI), the Foreign Exchange Management Act (FEMA) etc. 

These standards would be effective for the valuation reports to be issued on or after 1 July 2018 till the Central Government (CG) notifies the Valuation Standards under Rule 18 of the Companies (Registered Valuers and Valuation) Rules, 2018.   

For more information, click here.

Implementation Guide w.r.t. Amendments to Revised Form 3CD – 22 August 2018

The Direct Tax Committee of the ICAI has issued an Implementation Guide with respect to the ‘Amendments made in Form 3CD’  issued by the Central Board of Direct Taxes in the month of July 2018 which has been made effective from 20 August 2018. The basic objective of issuing this guide is to provide the guidance w.r.t the changes made in the Revised Form 3CD, so that the taxpayers can file their returns in a hassle – free and timely manner.

For more information, click here.

Regulatory News

Companies (Registration Offices and Fees) Fourth Amendment Rules, 2018 – 21 August 2018

The CG has amended the Companies (Registration Offices and Fees) Rules, 2014 with the Companies (Registration Offices and Fees) Fourth Amendment Rules, 2018 wherein it has made certain changes in the note given under the newly inserted Item VII ‘Fee for filing e-Form DIR - 3 KYC under Rule 12A of the Companies (Appointment and Qualification of Director) Rules, 2014’ given under the Annexure ‘Table of Fees’ of the principle rules. Earlier, it was mentioned in the note, that for the current financial year (F.Y.) i.e. F.Y. 2018-19, no fee shall be chargeable if the form DIR - 3 KYC would be filed till 31 August 2018 and fee of Rs. 5000 shall be payable on or after 1 September 2018. Now, in the amended Rules, the aforesaid dates i.e. 31 August 2018 and 1 September 2018 have been substituted by the dates 15 September 2018 and 16 September 2018 respectively.

These Rules shall come into force in the date of their publication in the Official Gazette.

For more information, click here. 

Companies (Appointment and Qualification of Directors) Fifth Amendment Rules, 2018 – 21 August 2018

The CG has amended the Companies (Appointment and Qualification of Directors) Rules, 2014 with the Companies (Appointment and Qualification of Directors) Fifth Amendment Rules, 2018 wherein it has made the following changes:

• In the proviso to Rule 12A, ‘Directors KYC’, earlier, every individual who has already been allotted a Director Identification Number (DIN) as at 31 March 2018, was required to submit e-form DIR – 3 KYC on or before 31 August 2018. Now, the date of submission of e-form DIR- 3 KYC has been extended to 15 September 2018; and  
• The existing Form No. DIR-3 KYC has been substituted by a new Form.

These Rules shall come into force in the date of their publication in the Official Gazette.

For more information, click here.

Further GST Updates

The Central Board of Indirect Taxes and Customs has issued certain updates w.r.t. Goods and Services Tax (GST) whose links are as follows: 

• For information w.r.t. extension of last date for filing GSTR-3B for July, 2018, click here;
• For information w.r.t. extension of last date for filing GST returns by taxpayers in Kerala, Mahe and Kodagu, click here;
• For information w.r.t. the due dates for quarterly furnishing of FORM GSTR-1 for those taxpayers with aggregate turnover of up to Rs.1.5 crores for the quarter July, 2018 to September, 2018, click here;
• For information w.r.t. the due dates for furnishing of FORM GSTR-1 for those taxpayers with aggregate turnover of more than Rs. 1.5 crores for the months of July, 2018 and August, 2018, click here;
• For information w.r.t. the due dates for filing FORM GSTR-3B for the months of July, 2018 and August, 2018, click here; and
• For information w.r.t. clarification on removal of restriction on refund of accumulated Input Tax Credit on fabrics, click here.