The weekly messenger | Edition 36.18
This newsletter is a weekly compilation of accounting, auditing and related regulatory news from different accounting and regulatory bodies in India and overseas.
Accounting News
ITFG Clarification Bulletin 16 – 5 September 2018
The Indian Accounting Standards (Ind AS) Technical Facilitation Group (ITFG) of Ind AS (IFRS) Implementation Committee has been constituted to provide clarification on various issues related to applicability and/or implementation of Ind AS under the Companies (Ind AS) Rules, 2015, raised by preparers, users and other stakeholders. Recently, ITFG has issued the sixteenth set of clarifications. This bulletin contains clarifications on following significant matters:
- Accounting Treatment of financial guarantee given by a wholly owned subsidiary (WOS) to a Bank in respect of loan obtained by its parent company;
- Accounting treatment of interest and penalties related to Income taxes;
- Evaluation as well as accounting of modification of debt from the perspective of borrower;
- Classification of units of money market mutual funds as cash equivalents;
- Application of Ind AS 103 by subsidiary on acquiring business from its parent;
- Classification of lease rentals as operating or finance lease and accounting treatment of infrastructure usage rights;
- Accounting treatment of the ‘financial guarantee’ provided by the parent company w.r.t. a loan availed by the subsidiary company in case of early repayment of underlying loan.
For more information, click here.
Auditing News
ED of SAE 3410, “Assurance Engagements on Greenhouse Gas Statements” for Comments – 06 September 2018
The Auditing and Assurance Standards Board of the Institute of Chartered Accountants of India has issued the Exposure Draft (ED) of Standard on Assurance Engagements (SAE) 3410, ‘Assurance Engagements on Greenhouse Gas Statements (GHG)’ for comments which deals with the assurance engagements to report on an entity’s GHG statement.
Comments are to be received by 22 October 2018.
For more information, click here.
Regulatory News
Special Court Notification – 5 September 2018
The Central Government, with the concurrence of the Chief Justice of the Gauhati High Court at Guwahati, has designated the following courts as mentioned in column (1) of the Table below as Special Courts for the purposes of providing speedy trial of offences punishable with imprisonment of two years or more under the Companies Act, 2013 namely:
Courts(1) | Jurisdiction as Special Courts(2) |
Court of District and Sessions Judge at Kohima | State of Nagaland |
Court of District and Sessions Judge at Aizawl | State of Mizoram |
West Session Division, Yupia | State of Arunachal Pradesh |
For more information, click here.
Relaxation of additional fees and extension of last date of filing FORM BEN – 2 – 6 September 2018
The Ministry of Corporate Affairs (MCA) after examining the various representations received regarding the extension of the last date for filing of e-Form BEN-2 without additional fees on account of Companies (Significant Beneficial Owners) Rules, 2018 notified vide G.S.R. No. 561(E) dated 13.06.2018 has stated that the time limit for filing the BEN-2 form would be 30 days from the date of deployment of BEN-2 e-form on the MCA-21 portal and no additional fee shall be levied, if the same is filed within 30 days from the date of deployment of the said e-form.
For more information, click here.
SEBI publishes interim report of Working Group on “KYC Requirements for FPI” for public comments – 8 September 2018
The Securities and Exchange Board of India (SEBI) has published the interim report of the Working Group on Know Your Client (KYC) Requirements for Foreign Portfolio Investors (FPIs), wherein the aforesaid Group after consulting the various stakeholders on various issues raised in the representations made in relation to SEBI Circular No. CIR/IMD/FPIC/CIR/P/2018/64 dated April 10, 2018 on KYC Requirements for FPIs has provided its recommendations.
Comments are to be received by 17 September 2018.
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 more information w.r.t to extension of the time limit for making the declaration in FORM GST ITC-01 for specified classes of taxpayers, click here;
- For more information w.r.t to waiving of the late fee paid for specified classes of taxpayers for FORM GSTR-3B, FORM GSTR-4 and FORM GSTR-6, click here;
- For more information w.r.t to extension of the time limit for making the declaration in FORM GST ITC-04, click here;
- For Central GST (Eighth Amendment) Rules, 2018, click here;
- For more information w.r.t E-way bill in case of storing of goods in Godown of transporter, click here;
- For more information w.r.t Processing of refund applications filed by Canteen Stores Department (CSD), click here;
- For more information w.r.t Clarification on refund related issues, click here; and
- For more information w.r.t Recovery of arrears of wrongly availed CENVAT credit under the existing law and inadmissible transitional credit, click here.