Tag Archives: Profession

Presumptive taxation scheme for persons having income from profession


The simplified presumptive taxation scheme is extended to persons earning professional income. According to government, this scheme will help to rationalize the presumptive taxation scheme and to reduce the compliance burden of the small tax payers having income from profession and to facilitate the ease of doing business.

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INDEPENDENT DIRECTORS IN COMPANIES ACT 2013


 (UPDATE: on 30th August 2013: Companies Bill became the Companies Act, 2013 (Act 18 of 2013).

When I was reading Section 149 of the Companies Bill, 2012 for an earlier post “Appointment and Qualification of Director”, I have not discussed provisions related to independent director. As mentioned in that post every listed company shall have at least one-third of total number of directors as Independent directors. The central government may prescribe minimum number of independent directors in other class or classes of public companies. Independent director is a genre of directors and all law related to duties, vacation, resignation, removal will also be applicable to them also. do not forget; they are not key managerial personnel or officer in default.

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APPOINTMENT AND QUALIFICATION OF DIRECTOR


UPDATE: on 30th August 2013: Companies Bill 2012 became the Companies Act, 2013 (Act 18 of 2013).

I discussed in my last post that it is first time that concept of “Key Managerial Personnel” has been introduced in India. Hopefully, present Companies Bill will change status of Corporate Governance in India. The qualified Directors and transparency in appointment of directors is single most important key for success of public corporate and corporate governance. As I discussed, appointment of “Key Managerial Personnel” is discussed in Section 203 but specific provisions of Chapter XI should be taken care of in case of appointment of Directors as they are specific provisions for them. Chapter XI consists of 23 Section from Section 149 to Section 172.

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KEY MANAGERIAL PERSONNEL


UPDATE: on 30th August 2013: Companies Bill 2012 became the Companies Act, 2013 (Act 18 of 2013).

In any jurisdiction, Quality of Corporate Governance and compliance of ethics depends upon quality of people taking charge of the affairs. The companies Bill 2012 have some inbuilt elements of corporate governance in it. First time Concept of Key Managerial Personnel is being introduced in India. Which seems different with “officer who is in default” as that concept is still in this Bill.

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INTERNAL AUDIT AND COST AUDIT


(UPDATE: on 30th August 2013: Companies Bill became the Companies Act, 2013 (Act 18 of 2013).

In this series of my blog post related to Companies Bill, 2012; I am writing this post about provision relating to internal and cost audits. The manner of appointment of auditors may affect independence of cost audit and good corporate governance. The bill addresses this issue very well.

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AUDITOR AND AUDITOR’S REPORT: DUTIES, POWER, PENALTIES.


(UPDATE: on 30th August 2013: Companies Bill, 2012became the Companies Act, 2013 (Act 18 of 2013). )

In my last blog post auditor under companies Act, 2013: from appointment to removal, I discussed auditor his appointment, remuneration resignation and removal along with other incidental matters. In this post I will discuss power, duties and penalties related to auditors and audit report.

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AUDITOR UNDER COMPANIES ACT 2013: FROM APPOINTMENT TO REMOVAL


(UPDATE: on 30th August 2013: Companies Bill 2012 became the Companies Act, 2013 (Act 18 of 2013).

Corporate Governance is a fundamental structure of all recent companies’ laws globally. True and fair Audits are core concern for corporate world and its regulators. While I was writing my earlier blog post “Footsteps of Corporate Governance in Companies Bill 2012 Companies Act, 2013”, I noticed that the Companies Bill, 2012 Act, 2013 has special concern for quality of audits. In my post “National Financial Reporting Authority” you may feel the depth of concern of our law makers about audits, which have already been forced accounting and auditing regulator, the Institute of Chartered Accountants of India, for introspection.

In this series of my blog post related to Companies Bill, 2012 Act, 2013; I am writing about provision relating to auditors. The manner of appointment of auditors may affect independence of audit. The bill Act addresses this issue very well.

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NATIONAL FINANCIAL REPORTING AUTHORITY


(UPDATE: on 30th August 2013: Companies Bill became the Companies Act, 2013 (Act 18 of 2013). Post updated accordingly)

One of the foremost step for improving corporate governance since birth of concept of corporate governance is improving quality of accounting and auditing of companies. Audit Committee is one of these measures, which has been taken to improve standard of financial reporting. But concerns related to quality of financial reporting are not new. We can trace these concerns in earlier legislation, all earlier versions of the Companies Act in general and the Chartered Accountants Act, 1949. Without going deep in these laws, we simply say; what was otherwise need to enact such Act to regulate a profession of accounting and auditing, standardizing whole process of accounting and auditing.

The National Financial Reporting Authority is a quasi – judicial body to regulate matters related to accounting and auditing. With increasing demand of non – financial reporting, I may safely predict, a National Business Reporting Authority to regulate standards of all kind of reporting, financial as well as non – financial, from companies in near future.

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FOOTSTEPS OF CORPORATE GOVERNANCE IN COMPANIES ACT 2013


(UPDATE: on 30th August 2013: Companies Bill became the Companies Act, 2013 (Act 18 of 2013). Post updated accordingly)

In my blog post titled “Corporate Governance: Regulatory Frameworks under Consideration” I mentioned that some of the provisions related to corporate governance and voluntary guideline on corporate governance issued by Ministry of Corporate Governance has been incorporated into new Companies Bill, 2012 [now, the Companies Act, 2013]. In this post, I will examine these provisions and their effect on corporate governance.

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MY COMMENTS ON CORPORATE GOVERNANCE FRAMEWORK PROPOSED BY SEBI


(UPDATE: on 30th August 2013: Companies Bill became the Companies Act, 2013 (Act 18 of 2013).

I have mailed my comments on corporate governance framework proposed by SEBI in “Consultative Paper on Review of Corporate Governance Norms in India” and SEBI has acknowledged the receipt. You can read summary of this framework at my earlier blog here if not already read it.  Now, I am producing a copy my comments as my initiative towards healthy debate, here:

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ROLE OF COMPANY SECRETARIES IN PRACTICE UNDER COMPANIES Act, 2013


(UPDATE: on 30th August 2013: Companies Bill became the Companies Act, 2013 (Act 18 of 2013). This post Updated Accordingly).

The Companies Law is one of the most important and comprehensive legislation after the Constitution of the Nation. This directly indirectly affects all citizens. This bill has 470 Sections and 7 Schedules.  This bill provides basis and flexible framework. The Bill has leaved so many matters for subordinate legislation; rules, regulation, circulars etc.

This is very clear this time that there are remarkable scope for professionals, practicing professionals particularly Company Secretaries in practice. We will know real position when all rules and regulations notified after passing and notification of present bill as an Act.

Presently we may discuss, role of Company Secretaries under Companies Bill, 2012 as it is the Companies Act, 2013.

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SOCIAL ENVIRONMENT FOR INNOVATIVE PROFESSIONISM DRIVEN BY TECHNOLOGY AND REGULATORY DEVELOPMENT


In last 20 years after initiation of economic reforms, India particularly corporate India has moved far ahead to start a new flight towards untouched horizons. We are surviving in a time of dynamic transformations through technological advancement, regulatory rationalisation, progressive professionalism, democratic transformation and sustainable development in our society. In recent developments, transformation of leadership of democratic institutions toward participatory solidarity of all societal stakeholders is evident. There are evidences of many streams of thought and developments in society but there are many new developments, whose time is just knocking the door. Our corporate environment is not left out but is part and parcel of this silent revolution. These transformations in our society are bound to affect all vistas of our life and corporate sector as well. We are very fortunate to be a part of this transformation and we have tremendous opportunity to be a carrier of this transformation. We should understand this revolutionary time and keep pace.

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Introducing: AishMGhrana Governance Professional


The Institute of Company Secretaries of India has its Continuing willingness to present itself as a world leader as professional body of Corporate Governance professionals. This is a welcome transformation of Company Secretary from a mere clerk to Corporate Governance professional. The ICSI said as a member of CSIA it will ask the World Trade Organization (WTO) to include corporate governance and related areas in its mode of business classification.

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DIMINISHING INFLUENCE OF KAYASTA COMMUNITY: ANALYSIS


There is a very interesting post  on decline of influence of kayastha community in politics and other walk of government. It raises some major questions about this once influential community:

  1. The community which give first President, second Prime – Minister  and many other leaders to nation have no significant influence in these day politics.
  2. Mughals, especially, relied on Kayasths, who also culturally got close to Muslims and even great Urdu scholars came from this community. Now, they are more RSS Type.

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ADDITION OF LEGAL ZERO TO SECRETARIAL ZERO


In India, Company Secretary is a ‘more legal than finance’ profession under administrative control of Ministry of Corporate Affairs. The profession represents middle class of professions against Doctors, Lawyers and Public Accountants. Naturally, among its practitioners, there is a natural thrust to improve and update and not expertise in some particular fields. Same time, majority of its members represent economic middle class of society, where education is over emphasized constituent of life. Alas! Indian education system is not an education system at all but a degree distribution system, where we want to distribute degree to all and sundry without actually educating them. This is whole scenario, I want to discuss in detail here.

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REMEMBERING BIPIN S. ACHARYA, PRACTISING COMPANY SECRETARY, CP 8 FCS 424


Bipin S. Acharya

Bipin S. Acharya

After a long weekend, when I come back to work, my mail folders dedicated for peer group read more than 150 mails. What happened? It would have been an eventless week as government is on election mode and no major policy change was expected. Unfortunately, there was very sad news. On 28th January 2012, our beloved Company Secretary Sh. Bipin S. Acharya has left for heavenly abode. According to Hindu calendar, that was day of Basant Panchmi, the first day of spring. This is a day of cultural significance and dedicated to goddess Saraswati of knowledge and wisdom. Naturally, god has no other suitable day as an option to call a practising scholar like him.

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DEBATE IN RAJYA SABHA ON 3 AMANDMENT BILLS RELATING TO 3 CORPORATE PROFESSIONS


The minister of corporate affairs Mr. Veerappa Moily  on 12th December 2011 moved 3 bills namely; the Chartered Accountants (Amendment) Bill, 2010, the Cost and Works  Accountants (Amendment) Bill, 2010 and the Company Secretaries (Amendment) Bill, 2010

These bills were to amend sub-section (2) of Section 2 of three Acts namely the Chartered Accountant Act, 1949, the Cost and Works Accountants Act, 1959 and the Company Secretaries Act, 1980.

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CORPORATE DIPLOMACY


International relation not only affect governments but public at large. In globalised world, international relations have been reached to our neighborhood tea stall or grocery shop. We judge a nation by product, we buy. We may not know, where Finland is in world map, but we know Nokia in our hand. We will surely judge Finland by Nokia. This is a public diplomacy.

The ever expanding flow of commercial products and services across borders has important implications for public diplomacy. Despite the escalation of transnational corporations, high profile brand names are closely connected with their countries of origin. Coca Cola, Nike and McDonald’s are inextricably tied with the United States. The same associations are true for Ikea with Scandanavia, Nokia with Finland, Sony with Japan, and Nestle with Switzerland.[i]

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