The weekly messenger | Edition 22.18

Auditing News

FAQs on SA 570 (Revised) ‘Going Concern’ – 21 May 2018

The Auditing and Assurance Standards Board of Institute of Chartered Accountants of India has issued certain frequently asked questions (FAQs) on Standard on Auditing (SA) 570 (Revised) ‘Going Concern’ after receiving certain queries from the members w.r.t. the applicability of SA 570 (Revised) for the audit of F.Y. 2017-18 as against the applicability of SA 700 (Revised), SA 701, SA 705 (Revised) and SA 706 (Revised), which have been deferred to 1 April 2018. These FAQs comprises the following matters:

• What are the main implications of SA 570(Revised) for Auditor’s Report;
• Is Emphasis of Matter (EOM) paragraph required to be given in a situation where auditor is required to give a separate paragraph on “Material Uncertainty Related to Going Concern” to highlight material uncertainty as per SA 570 (Revised);
• Whether Illustrations of Auditor’s Report given under SA 570 (Revised) are applicable in respect of audits of F.Y. 2017-18 etc.

For FAQs, click here.

Regulatory News

Constitution of “Committee to advice on valuation matters” under Rule 19 of the Companies (Registered Valuers and Valuation) Rules, 2017 – 10 May 2018

The Central Government (CG) has constituted the Committee to advice on valuation matters" under Rule 19 of the Companies (Registered Valuers and Valuation) Rules, 2017 in order to make recommendations to the CG on formulations and laying down of valuation standards and policies for compliance by companies and registered valuers.

For more information, click here.

IEPF Authority (Accounting, Audit, Transfer and Refund) Third Amendment Rules, 2017 – 22 May 2018

The CG has amended the Investor Education and Protection Fund (IEPF) Authority (Accounting, Audit, Transfer and Refund) Rules, 2016 with the IEPF Authority (Accounting, Audit, Transfer and Refund) Third Amendment Rules, 2017, wherein it has amended Rule 6(13) of the aforesaid rules which deals with the manner of remittance of the amount to be credited by the company to the IEPF. Now, together with transferring the amount of IEPF to a particular bank, an additional requirement w.r.t. the same has been added which states that details of the same shall also be furnished to the Authority in Form No. IEPF 7 within thirty days from the date of remittance or within thirty days from the date of enforcement of these rules, as the case may be.

These rules shall come into force w.e.f. 22 May 2018.

For more information, click here.

PF Admin Charges reduced to 0.5% - 21 May 2018

The CG has reduced the administrative charges payable by the employer from 0.65% to 0.50% of the pay subject to a minimum sum of seventy-five rupees per month for every non-functional establishment having no contributory member and five hundred rupees per month per establishment for other establishments with effect from 01 June 2018.

For more information, click here.

Further GST Updates

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

• For notifications regarding e-Way bill in Union Territories, click Update 1; click Update 2;
• For information w.r.t. e-Way Bill system for intra-State movement of goods in the Maharashtra, Manipur and Union Territories (without legislature), click here;
• For information w.r.t. exemption in payment of tax under section 9(4) of Central GST (CGST) Act, 2017 till 30.06.2018., click here;
• For information w.r.t. exemption in payment of tax under section 5(4) of Integrated GST (IGST) Act, 2017 till 30.06.2018., click here;
• For information w.r.t. exemption in payment of tax under section 7(4) of Union territory GST (UTGST) Act, 2017 till 30.06.2018., click here; and
• For information w.r.t. applicability of IGST (integrated tax) on goods supplied while being deposited in a customs bonded warehouse-reg, click here.