Regulation 192 lists certain engagements wherein a CA in practice can accept fees based on %age of profits, contingent findings. It allows CAs to accept fees as %age of fund raised. Kindly explain the nature of engagements allowed in above clause.
a) in the case of a receiver or a liquidator, the fees may be based on a percentage of the realization or disbursement of the assets;
b) in the case of an auditor or a co-operative society, the fees may be based on a percentage of the paid up capital or the working capital or the gross or net income or profits; and
c) in the case of a valuer for the purposes of direct taxes and duties, the fees may be based on a percentage of the value of the property valued.
I want what is allowed under regulation of " Fund raised". Fees as a percentage of loan sanctioned is categorised as professional misconduct in one of problems of ca final book. What type of fund raising service are allowed/ would not amount to misconduct.
Fees as a percentage of loan sanctioned is obviously a misconduct. I'm yet to cover the topic, can't it be % of shares subscripttion? I'm sorry I'm not sure it's just a pure guess
CAclubindia
