Dear Friends,
One of my "employed CA friend" is currently working in a cement company.He is paid by cheque as salary.Now, he wanted to start his own CA firm and also wanted to provide consultancy service to his current company as a service provider.If, he will do so, then he will be paid by cheque as consultancy fees.
Please provide your suggestion, on whether he can do consultancy work with this company, as a practicing CA, irrespective of the fact that he was employed with this company before starting practice.
Note:1. Previous Relationship (Before taking C.O.P. for practice): Empoyer-Employee. 2. New Relationship (After taking C.O.P. for pactice): CA Firm- Client.
Please help me with proper explanation and exact fact.
CAclubindia
