hello every one im doin articleship . recently i did a tax audit. my principal told me to do purchase vouching only and expense vouching.but my principal in order to reduce the tax liability of the client increased tranportation charges by 8 lakhs . donations paid were treated as office expenses and rent paid for which no TDS is deducted were not disallowed. he also increased othr expenses to reduce profit. the profit of the firm was about 80 lakhs. he reduced to 35 lakhs. wat should i do.. iam really afraid.. i lost my faith in this proffession. pls some body advise me...
Majority of CA in practice do this.This is realy very wrong.As if One has to do all this then what is need of study.It is like educated theft. this is the reality of this profession.Our Institute should take care of all this. such ca should be punished.Take Dummy to solve this problem,but you will not be able to practice. you can do job in big MNC after clearing CA.
Hi, the firm where I am article does not have much tax work majority stat and internal audits - so I usually do mainly vouching work. But I have heard this kind of manipulation is present from many of my friends involved in taxation especially exactly as you described in return preparation and manipulation of profits. It brings a bad name for our profession. ::)
Don't get afraid...or worried..You will find all kind of people. Secondly you beacome a good professional CA when you passout but here you can learn how to unearth such manipulation...so you have something to learn from here too....right. Anyway but if you are still worried change your firm.
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