Dear friends & professional colleagues

today all our professional CA's friends & colleagues very much sad with the union budget 2012-13 for increasing the tax audit limit from 60L to 100L & news also about gone away of bank audit upto 20 cr. advances.

But carefully reading the budget w.r.t tax audit limit increase, it says :turnover limit for Tax Audit and presumptive taxation of SME's increased from Rs 60 L to Rs 100L"

My concern is that:
What is the meaning of SME? Reading the definition of SME's as per RBI RPCD Circular No. RPCD.PLFNS.BC. 31/ 06.02.31/ 2005-06 dated August 19, 2005, which is reproduced below :

" At present, a small scale industrial unit is an undertaking in which investment in plant and machinery, does not exceed Rs.1 crore, except in respect of certain specified items under hosiery, hand tools, drugs and pharmaceuticals, stationery items and sports goods, where this investment limit has been enhanced to Rs. 5 crore. A comprehensive legislation which would enable the paradigm shift from small scale industry to small and medium enterprises is under consideration of Parliament. Pending enactment of the above legislation, current SSI/ tiny industries definition may continue. Units with investment in plant and machinery in excess of SSI limit and up to Rs. 10 crore may be treated as Medium Enterprises (ME). "

On getting deep into the definition you may noticed words "Industrial Unit" so does it will not cover non industrial unit/firm????

So can we conclude that the budget provision covers only Industrial Unit & others still under old provision with 60L audit limit?

Please do no laugh as i have seen some light of hope ....

experts opinion & comments sought on the topic.

when a consignment brought in to india & its contain the goods from the different suppliers, how to allocate the cost on which following expenditure is incurred?
1.clearing & forwarding cj\harges
2.loading & unlosding charges
3.paqcking material
4.freight (in india)]

If Statutory Auditor is giving some consultancy services to same client, Whether such consultancy fees can exceed Statutory Audit fees received by such client? Or any restriction is there..?

1) WHAT IS BASEL I,II,III.
2)

It is being said for sme audit limit raised from 60 lakhs to 1 crore.
Is it for all people doing business or only for people or company which file return as company in SME.

I am confused. because on some sites like moneycontrol it states specified business and for professionals its made 25 lakhs.

Dear readers, experts

Can any one please clarify the reason for increase of tax audit limit from Rs 60 Lacs to Rs l00 Lacs. In just 2 years the limit was increased from 40 Lacs to 100 Lacs which was intact from some decades.

Whats the ICAI doing in these regard?. In one side our presidents are saying that there is bright future of the current C.A in practice & on the other side the work is all most gone, now bank audit also gone away.

So what left with the new chartered accountants, the ICAI must seriously think over the matter.

can a ca not in practice provide service of an arbitrator for fee?

Tax Audit is not applicable for a pvt ltd co whose turnover is below the limit mentioned in 44AB. Is this correct?

What is the role of statutory auditor in such a case?

Auditor duties to inspect Register of Directors, MD, Manager and Secretery.

The Auditor should refer to this register:

1.To identify the composition of personnel who are charged with the governance of the entity.

Sir,i did not understand this point.

2. Also i want to know the reason of the provision that why a CA cannot act as both the liquidator as well as the Auditor of the company..

Dear Sir,

Can any body provide the areas to be covered in management audit of asset management company of mutual fund or some guidelines to be followed by the AMC