Can anybody Share me his views honestly.
If a policy is framed out and passed in an audit committee meeting tlike this
"That any expenditure with a maximum limit of Rs 5000 to be considered as not a material amount and will be accounted for in normal account head of the next financial year if the same is relates to last financial year and if received at any period after the end of last financial year but after a cut off date fixed for submission of unaudited financial result for the directors."
My question if this is passed and accepted as a policy by the board or the audit Committee
a. Will it be prejudicial or will it really affect the accounting standard or accounting policy?
The intension is to eased up the operation and nothing else.
c. If, so what are the points supporting our favor from, audit, tax and other compliance matters?
CAclubindia
