Hi

Our parent company in abroad send us few machinery and spares free of cost for manufacture of goods. That goods in turn sold to them and also to few third parties.

As part of documentation an agreement has been entered with the parent company stating that they are owner of the asset and we need to maintain in good condition and use it for intended purpose. NO consideration is involved.

In my books of accounts there wont be any addition as such since we are not owner and no outflow since no consideration is paid. The same is not even in updated in FAR. We just have a record of assets / spares received for control purpose.

Do we need to do any thing else? Is there any statutory requirement need to be fulfilled? Will it be a lease as per AS-19??

Kindly give your views / comments asap.

rgds
VS

Hi

We purchase spares for machinery which have a life of more than a year say 2 or 3. The cost is very high. So we are planning to write off the cost of spare over a period of 2 or 3 years. Note the same is not a inventory as the same is put to use immediately.

Whether such accounting policy is proper? Is there any risk implication?

Kindly suggest your view in this regard.

Rgds
VS

Respected Experts,
If a CA has done statutory audit of a Pvt. Ltd. company under Companies Act, then is it necessary to conduct Audit again u/s. 44AB of Income Tax Act or Statutory audit report can be produced?

Dear Sir / Mam,

I understand tht if there is a late pmt on TDS we need to pay 1.5% interest charge p.m..now if there was a pmt done on 3rd April 2012 & another pmt of 30th April 2012 & finally one pmt on 05th May 2012 then how much interest wud we charge on these pmts..

As per my understanding on the 1st pmt we shud charge interest for 3 months, for 2nd pmt interest shud b charged for 2 months & for the last pmt it shud be charged for 1 month, considering tht we wud be making the deposit of TDS amt in the bank before 7th June 2012..

Is it correct??

My client (a small private limited company) appointed statutory auditors for the year 2008-09, 2009-10, 2010-11 and 2011-12 in the relevant AGMs. However such auditors did not conduct the audit for any of those years for certain reasons and resigned recently for all the years at one stroke.Now, a new firm of Chartered Accountants has been asked to conduct the audit of these company for all those 4 years.

My query is whether these statutory audits of 4 years are to be treated as 4 audit assignments or as one single audit assignment for the purpose of ceiling on number of audits as per the code of conduct of Chartered Accountants.

request you to kindly clarify.

Hi,
Can anyone explain me cut off procedures with an example? and in respect of which transactions this cut off procedures will work?

what is materiality and audit risk

Please can anybody help me in above concept

Dear Sir / Mam,

Can you please tell me how much would the interest rate be on late pmt on TDS.?

Also is interest on late pmt calculated on the TDS amount that was supposed to be paid or the total amount of the transaction that happened? eg. if there is a pmt of 100000/- to a professional then TDS calculated would be 10000/- & if we have not paid this before 7th of the following month, then will i calculate interest for late pmt on 100000/- or 10000/-???

Lastly is interest on late pmt of TDS calculated on contract as well as on rents as well??

Dear Sir / Mam,

If a company does editing or mastering or does VFX on a project (a movie / serial), & if we are giving cheques in the name of the company then should we deduct TDS as per professional fees or TDS as per contract??

Bottom Line, when should we apply TDS on professionals & TDS on contracts? & what should I apply for the above situation.

Hello Sir,
I have Membership no. with full time COP and my firm name was approved by ICAI and i have filled Form No. 18 for Firm Registration. Till the date i have not received my firm regi. number.

I want to know, Can i sign audit report as a member? I have COP full time but i have not firm regi. number.?