Draft SA 315 (Revised), Identifying & Assessing Risks of Material Misstatement deals with the overall objectives of the auditor in conducting an audit of the financial statements, including to obtain sufficient appropriate audit evidence to reduce audit risk to an acceptably low level. Audit risk is a function of the risks of material misstatement and detection risk. SA 200 explains that the risks of material misstatement may exist at two levels: the overall financial statement level; and the assertion level for classes of transactions, account balances and disclosures.
Draft SA 250 (Revised), Consideration of Laws & Regulations in an Audit of Financial Statements deals with the auditor’s responsibility to consider laws and regulations in an audit of financial statements. This SA does not apply to other assurance engagements in which the auditor is specifically engaged to test and report separately on compliance with specific laws or regulations.
Draft SA 220 (Revised), Quality Management for an Audit of Financial Statements deals with the specific responsibilities of the auditor regarding quality management at the engagement level for an audit of financial statements, and the related responsibilities of the engagement partner. This SA is to be read in conjunction with relevant ethical requirements. (Ref: Para. A1, A38)
Draft SQM 2, Engagement Quality Reviews applies to all engagements for which an engagement quality review is required to be performed in accordance with proposed SQM 1.2 This SQM is premised on the basis that the firm is subject to proposed SQM 1. This SQM is to be read in conjunction with relevant ethical requirements.
Draft SQM 1, Quality Management for Firms that Perform Audits or Reviews of Financial Statements, or Other Assurance or Related Services Engagements deals with a firm’s responsibilities to design, implement and operate a system of quality management for audits or reviews of financial statements, or other assurance or related services engagements.
MCA approves withdrawal of another 7,338 prosecutions pending before various courts under Special Arrears Clearance Drive-II towards promoting Ease of Doing Business and decriminalisation of compoundable offences under Companies Act, 2013
The tribunal examined previous precedents such as The Vainganga Nagari Sahakari Pat Sanstha Ltd. Vs. ITO, and found the deduction on interest income received from nominal members has been allowed in these cases. Furthermore, the tribunal took into account that the Kerala Act and Maharashtra Act consider ‘Nominal Members’ within the ambit of ‘Members’, thereby making such interest income eligible for deduction u/s 80P(2)(a)(i).
On April 4, 2022, HDFC Ltd, a prominent mortgage lender, announced its intention to merge with HDFC Bank. This merger, which is contingent upon various statutory and regulatory approvals, including those from the Competition Commission of India (CCI), the National Company Law Tribunal (NCLT), and relevant authorities, as well as the consent of shareholders and creditors of both companies.
ITAT Mumbai held that deduction u/s 80P(2)(d) of the Income Tax Act is duly available to co-operative society on the interest income/dividend received/earned from deposits with the co-operative banks.
ITAT Visakhapatnam held that penalty u/s 271B of the Income Tax Act not imposable as provision of section 44AB of the Income Tax Act doesn’t apply to income that is treated as income from other sources.
