C.A

HIII

I WANT TO ASK SUPPOSE A CHARTERED ACCOUNTANT FATHER IS HAVING A PVT LTD COMPANY......CAN HIS SON WHO IS PRACTISING  C.A CAN BE DIRECTOR IN SUCH COMPANY.......IF HE IS NOT A PRATICING C.A CAN HE ABLE TO DONE A TAX AUDIT THERE.......i.e any disqulafication attract to him or not....

Replies (15)

If He is Not Practising CA, Then How He Can Able to Do Tax Audit....

 

& Regarding First One, He May Be Director ....in His Father Pvt Co.

he can be a director.

only practising CA could do Tax Audit.

as the firm is owned by his father,  he should not audit the same. it is being professional misconduct.

if he is pratcing c.a & director in his father company then he can do tax audit or not......

sorry since he his not praticing then by no mean of doing  tax audit....wrongly posted

Please see the guidance note on independece of auditors issued by ICAI.

https://www.ksaiyar.com/nl.php?nlblogid=174

 

If he is the director of the company, where is his independence?

Firstly only a COP holding C.A. may tax audit. And able to be a director of the company but then he cann't appoint for an auditor of the company as per sec 226. 

The disqualification as per sec 226 is -

1. A body corporate

2. An officer or employee of the company

3. A person who is a partner of an officer or employee of the company

4. a person who is an employee of any officer or employee of the company

and A person holding any security of the company. security means any instrument, which carries voting rights.

and many more disqualification are available in sec 226

A CA Being a director in a company can't do audit coz it will affect independence of auditor.

regards,

ratan

The son can be the Director in the Company but not the Tax Auditor even if a Practising CA

Hai,

1. A Practising Chartered Accountant cannot become a Whole Time Director in any company, as he should not be in             whole time employment elsewhere. He can become a part time director anywhere, even father's company

2. A Non practising chartered Accountant Can act as a director in any company (any kind of Directorship), but cannot Perform Tax Audits...  

Yeah, Son can become director in a company in which his father is a director.

But he cannot do TAX audit unless  he is practising CA

he can not do tax audit

NICE CLARIFICATIONS

Originally posted by : Prasanth Nair V

Hai,

1. A Practising Chartered Accountant cannot become a Whole Time Director in any company, as he should not be in             whole time employment elsewhere. He can become a part time director anywhere, even father's company

2. A Non practising chartered Accountant Can act as a director in any company (any kind of Directorship), but cannot Perform Tax Audits...  

hi prasanth can u tell under which section or clause it is given

 

thanks dude :)

The Answer is in two parts:

( 1 ) If he(son)  is a chartered Accountant in practice then he can't be a director whether whole time or not in any business concern.

( 2 ) If he is not a CA in practice then his professional  deligence would allow to be Tax Auditor ...

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