@ karan Your answer is here 

/books/tax_audit_guide/Chapter_11.asp

see point no "b" two lines.... and also point e whole para ... you will be clarified

The tax auditor must obtain detailed management representations on all matters which are required to be considered and reported upon by him, while giving his tax audit report. He should obtain from the assessee, the statement of particulars in Form No. 3CD duly authenticated by the assessee.

However, the tax auditor should verify the particulars himself and cannot depend solely on the management representations.

The tax auditor has to attach a report of statutory audit if it has been carried under any other law by an auditor other than the tax auditor. He is not responsible for the particulars stated therein. His primary responsibility is verification of the particulars prescribed in Form No. 3CD and he should ensure that the particulars stated are in conformity with the provisions of the Income-tax Act.

However, while conducting tax audit he is unable to agree with the treatment given to a particular item in the audited financial statement, he should first ascertain preferably from the statutory auditor, the reasons for his giving such a treatment in his statement. It is possible that statutory auditor might have dealt with the item from the angle of generally accepted accounting principle or statutory provisions covering the entity.

The tax auditor should verify and ensure that particulars in respect of the above items are based on statutory provision and judicial pronouncements. However, any difference between the figures given in the audited financial statements and figures given in Form No. 3CD should be explained by giving appropriate notes. If, however, there is any difference in the opinion of the tax auditor and that of the entity in respect of any information furnished in Form No. 3CD, the tax auditor should state both the view points and also the relevant information.

@ Nidhi : Dont worry abiut the papers now... still 4 papers have to go... you wil be upto your answers till the end of the exams..... so give present your papers :) Best luk

accounts paper very lenthy.... much more time used only in reading ....

accounts paper very lenthy.... much more time used only in reading ....

I will seat for Nov 2012 for Grp 1 of CA Final . This will be my first attempt. I have started preparation for the exam with a platform upper than ordinery preparation. Because, this May 2012 term papers clearly indicates those students will qualify who have - 1) Depth understanding and comprehensive writing skill for Theory papers 2) Have strong Math background (Eg : for SFM - they should have command over Time value of money) 3) Have clear concept of Accountancy (Eg: No of problem solved from different books are immaterial , it is important whether you have coomand on the understanding part  and linking up them with each other). 4) Dont show dependence of scoring marks in Accounts , rather try to focus on Law which will generate much marks inflow in ur mark sheet.

If any one have any opinion in this regard, please share.

hey guys,, chill yar, exams r over

ab kuch chang ni hoga

can anyone please upload the ca final SFM paper 2012..............solutions........

pls help.

Admin what happened paper has yet not been uploaded.

hello... how was the costing paper.... i found it totally theory based and very high concentration on OR....

in todays costing paper giving your whole hearted approach towards costing didnt gave the expected twist and turns which one thinks that costing paper must have... the paper i suppose is easy for passing but not easy for exemption or even 50 marks to maintain aggregate...

Costing was simply pathetic today!! terrible paper!!

bit lengthy . and too irrelevant  .. most of the ques were asked just to check the ignorance of students.. should have been more practically practical . ;))

totally agreed with Abhay.... it is just useless to keep the important chapters away from exams which have importance in real life cost accounts... standard costing sum was so below par that attempting it was a pain towards the hard work one gives towards such a huge chaper...

paper was damm easy guyss...........