Lien on books
This query is : Resolved
05 September 2016
In case auditor has not been paid so can an auditor exercise his lien on books?
CA.Vinita Gupta
(Expert)
05 September 2016
Yes he can have lien
Message likes :
1 times
06 September 2016
But i think now as decided in SEKSENA Vs SHARMA 's case , auditor cant exercise his lien on books... I am not sure plz tell .
CA.Vinita Gupta
(Expert)
06 September 2016
Please go through the link
https://www.caclubindia.com/experts/auditor-s-lien-1976204.asp
https://www.caclubindia.com/experts/auditor-s-lien-1976204.asp
Amol S Joglekar
(Expert)
06 September 2016
See, try to consider a subtle point......
AUDITOR is not supposed to do anything in the preparation of books of accounts.....what s/he can do is the AUDIT......and hence lien can NOT be exercised....unlike say a tailor, accounts writer,
AUDITOR is not supposed to do anything in the preparation of books of accounts.....what s/he can do is the AUDIT......and hence lien can NOT be exercised....unlike say a tailor, accounts writer,
Message likes :
1 times
06 September 2016
Its so convoluted . Which expert is right?
Amol S Joglekar
(Expert)
06 September 2016
the point is simple.....an AUDITOR acting as AUDITOR only has no business to do with doing any processing/ work on the books of accounts AND hence no lien can be exercised on the books.
On the other hand, if an Auditor, in addition to being an auditor, is giving some services to company, where the auditor can beyond any doubt prove that the auditor has done some processing on books of accounts....then the auditor in the capacity of processor of books of accounts can have LIEN.....
On the other hand, if an Auditor, in addition to being an auditor, is giving some services to company, where the auditor can beyond any doubt prove that the auditor has done some processing on books of accounts....then the auditor in the capacity of processor of books of accounts can have LIEN.....
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Tax on Amount transferred in HUF Account
- WRONG GSTR7 ENTRIES ACCEPTED ERRONEOUSLY
- GST input credit on commercial property
- Nursery business
- TDS on Dashcam rent and allied services
- GST REFUND ISSUE ON PURCHASE OF PLANT AND MACHINERY
- Working on Gold wastage during Melting of old gold jewellery
- Import Order Cancelled.
- IMS (import of goods) ITC related
- Royalty payments to the Mining Department for procurement of murum - GST input
- Subject: Legal Remedy for Removal of Income Tax Demand for AY 2024–25 – Charitable Trust
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
