Thank you very much sir for the reply . Can u please explain , as I am not CA and would like to know , if I give consulting to firm for rasing finance at lower rate of interest which suits the client . can I charge higher consultaion charges if agreeable to client ..
the CA of the firm objects ( kpmg) denies for the higher % of charges , they say there is law that I can't charge nor can the client pay me the higher % consultaion as fixed terms between me and my client .
My question is , is there any cap in % for consultation charges or finance broking ?
Income tax Act has defined the cap on professional services. The limits are there. But , whatever KPMG's has said it is not within the ambit of Chartered Accountants of India. It is governed by seperate set of laws framed by competition commission of India a seperate autonomous body.
Thank you very much so that's clear that if the transaction is documented with genuine reasoning and GST / IT is paid on consultaion charges then there is no worries and no cap is fixed ( if the project for which loan is take has feasibility)
CAclubindia
