News And Views Archives

Learning Events At BCAS

1. A Day of Divine Wisdom at BCAS

We were deeply honored to welcome His Holiness Shri Kanchi Kamakoti Peetadhipati Jagadguru Pujyashri Shankara Vijayendra Saraswati Shankaracharya Swamiji to the BCAS Hall, Churchgate, on 9th April 2026

A Day of Divine Wisdom at BCAS

The atmosphere was one of profound serenity as Swamiji arrived, gracing us with his presence and a message of timeless wisdom. The event was attended by the Office Bearers, Past Presidents, members of the managing committee and BCAS Staff members.

BCAS recorded a podcast —”Samvaad with BCAS” with His Holiness on the topic: “Culture – Foundation for Strong India | Sanskriti – Majboot Bharat ki Neev” which was anchored by CA Mihir Sheth, Past President of BCAS.

During his visit, His Holiness appreciated the institution’s ongoing efforts in delivering meaningful services and contributing to societal development. He acknowledged the role of such initiatives in strengthening national values and outreach across communities.

BCAS is humbled to share the remarks penned by His Holiness Pujya Shri Shankara Vijayendra Saraswati Swamiji during his visit on 9th April 2026:

“Visit to this institution, which catalyses economic growth through useful audit & account services, has been revealing & highly satisfying. Your contribution to the sustained growth of the nation, reaching out the gains of democracy to all sections of society, even in deep hinterlands, is commendable. National policies cannot lose sight of the basic dharmic characteristics of our nation. You have been following that path towards Viksit Bharat. Blessings & Prayers for continued good work. Jaya Jaya Shankara. Hara Hara Shankara”.

BCAS was also honoured to support the DHARMAM CHARA event held at the BSE Convention Hall on 7th April 2026 under the auspicious presence of His Holiness. President of BCAS CA Zubin Billimoria, and Vice President, CA Kinjal Shah, were felicitated at the event.

We are grateful for His blessings and encouragement as we continue our journey of service and impact.

2. Finance, Corporate & Allied Laws Study Circle – Recent Developments in Labour Laws: An Auditor’s Perspective held on Friday, 03rd April, 2026 @ Virtual

In this virtual session Mr. Pankaj Savla deliberated on the evolving landscape of labour laws and their implications for auditors. The session covered key regulatory changes and their impact on compliance and audit procedures. Emphasis was laid on understanding the practical challenges faced while auditing labour law compliance.

The speaker highlighted critical areas requiring due diligence, including verification of statutory records and adherence to updated provisions. Insights were shared on identifying compliance gaps and mitigating associated risks. The session also addressed documentation and reporting considerations from an auditor’s standpoint. Participants gained clarity on the auditor’s role in ensuring compliance with applicable labour regulations. The discussion provided practical perspectives and enhanced awareness of recent developments in labour laws. A total of 39 participants attended the session via Zoom.

3. FEMA Study Circle -“Amended ECB Regulations, 2026,” held on 27th March 2026@ Virtual.

In this session, the participants discussed the revised ECB Framework announced for 2026, focusing on regulatory changes and compliance obligations. The session gave clarity on end-use restrictions, eligibility of borrowers and lenders, maturity period, pricing, reporting and various other critical aspects. The meeting was chaired by CA Natwar Thakrar and led by group leader CA Parth Panchal.

Overview of the session

The Chairman opened with an overview of the core and policy-level reforms. The group leader proceeded to explain the amendments in each segment of the new framework, offering a thorough analysis that mapped the amended text with the erstwhile framework, draft regulations circulated for public comments, and RBI clarifications. The deliberations focused on how these changes will reshape the ECB environment in India.

Key areas discussed

Scope and Impact Area of the New Framework outlining the broad framework of the Borrowing and Lending regulations, the scope of the new framework and then discussing how it would impact the nature of transactions.
End Use Restrictions dealing with widened permissible end uses and what continues to be restricted end-use in the new framework. It covered various nuances and practical scenarios having a critical impact.
Eligible Borrowers and Lenders as to how their expanded base would impact the structuring choices.
Pricing, Maturity, and Borrowing Limit emphasizing how pricing caps, maturity rules and borrowing limits would impact the industry, and the practical challenges over ECB pricing that would be faced in the amended framework. Key pricing norms, minimum average maturity thresholds, and borrowing limits were explained.
Procedure and Reporting detailing the reporting obligations to the Reserve Bank of India and the Authorized Dealer banks, timelines for filing Form ECB and related returns.
Other amendments in ECB regulations capturing the other amendments to ECB regulations, which would also need to be taken care of going forward.

The participants also analysed and focused on the changes on borrowing and lending transactions between resident and non-resident individuals, which are brought as part of the Borrowing and Lending Regulations. The meeting was interactive and detail-oriented, with participants raising specific scenarios seeking practical insights on implementing the 2026 ECB Framework.

4. Indirect Tax Laws Study Circle Meeting on “GST Issues in the Entertainment Industry” held on Tuesday, 24th March 2026 @ Virtual.

The session was led by CA. Mansi Shah (Group Leader) under the mentorship of CA. Rajiv Luthia (Mentor), and witnessed active participation from members across the fraternity.

The presentation covered the following aspects for a detailed discussion:

Production Stage Complexities
Analysis of nature of supply and place of supply in multi-location shoots, including classification of temporary sets and renting of immovable property.
Input Tax Credit (ITC) Challenges
Detailed examination of ITC eligibility on items such as scrapped vehicles, aircraft hiring, and logistics arrangements—highlighting the nuances of blocked credits under Section 17(5).
Cross-Border Transactions
Taxability of overseas line producers, reverse charge implications, and valuation issues including treatment of reimbursements and “pure agent” conditions.
Post-Production Services
GST implications on international VFX and editing services, emphasizing place of supply provisions under Section 13 of the IGST Act.
OTT & Export of Services
Key insights on export qualification in OTT transactions, addressing concerns around permanent establishment and recipient determination
Movie Rights & Tax Treatment
Classification of permanent transfer of movie rights as goods, treatment of milestone-based payments, and timing of tax liability.
Industry-Specific Classification Issues
Discussion on printing services on PVC material and composite supplies in hospitality-linked entertainment events.

Around 73 participants from all over India benefited while taking an active part in the discussion. Participants appreciated the efforts of the group leader and the mentor.

5. Felicitation of Chartered Accountancy pass-outs of the January 2026 Batch held on Friday, 13th March 2026 at Sydenham College of Commerce & Economics, Churchgate, Mumbai.

The Seminar, Membership and Public Relations (SMPR) Committee hosted a felicitation ceremony to honour the newly qualified Chartered Accountants from the January 2026 batch. Over 180 enthusiastic newly qualified CAs participated in the event including CA Sidhh Furiya, who secured AIR 38. The guest and mentor for the event was CA Samit Saraf, Managing Committee member of BCAS. In his address, he reminisced about his post-qualification journey and shared with the attendees 10 cheat codes that helped him propel his career in the right direction and which could help them too. He also expressed gratitude for his association with BCAS and encouraged the new CAs to consider joining BCAS and its activities.

Felicitation of Chartered Accountancy pass-outs of the January 2026 Batch

The ceremony served as a warm welcome for the newly qualified CAs into the wider professional fraternity.

6. Seminar on TDS & TCS – What It Is, What Changes, & How to Stay Compliance-Ready jointly with Goa Chamber of Commerce & Industry (GCCI) held on 13th March 2026@ Hybrid.

The Direct Tax Committee of BCAS, jointly with the Goa Chamber of Commerce and Industry, organised a full-day seminar at GCCI Hall, Goa and in virtual mode to cover the TDS provisions under the new Income Tax Act, 2025, the draft Rules, 2026 and the relevant new Forms. The objective was to familiarise participants with the practical new TDS sections, new Forms, revised due dates, etc.

CA Ronak A Rambhia, shared the new TDS provisions with respect to the threshold amount and the applicable rate of deduction under the Income Tax Act 1961 v/s the new Income Tax Act 2025, which were discussed in depth. The current applicable Forms and the due dates in the current provisions were discussed in comparison with the new applicable Forms and Rules. The practical difficulties on TDS on Payment to Partners u/s 194T of the Income Tax Act, 1961 were discussed in depth with practical scenarios. Further, CA Ravikant Kamath gave his in-depth knowledge on specific new provisions in the Income Tax Act, 2025 and the draft Income Tax Rules, specifically on the chapter of Salary perquisites. He discussed practical TDS controversies for various types of business assesses based on the court rulings, tax provisions, Circulars, etc., by giving his views on these controversies.

Mr. Purushottam from the TDS CPC, Ghaziabad, also presented his views on the new TDS portal 2.0. He gave a walk-through on the upcoming TDS portal, which will include features such as the demand outstanding, payments tab, litigation tab, etc. He also shared how the tax department is preparing for the new Income Tax Act 2025 in practical compliance.

The seminar received an encouraging response from the Goa participants in trade commerce, and also viewers from the online platform. The participants, both online and offline, were enlightened to be ready for the upcoming Tax year 2026-27 for the TDS compliances.

7. Indirect Tax Laws Study Circle Meeting on Issues in Construction Industry and Redevelopment held on Thursday, 05th March 2026 @ Virtual

The session was led by CA. Abhijit Dongaonkar (Group Leader) under the mentorship of CA. Naresh Sheth, and focused on complex, real-life scenarios impacting developers, landowners, and housing societies.

The presentation covered the following aspects for a detailed discussion:

Joint Development Agreements (JDA)
Examination of taxability of Transfer of Development Rights (TDR), revenue-sharing vs. area-sharing models, valuation complexities, and implications of minimum guaranteed consideration.

Time of Supply & Valuation Mechanisms
Insights into deferred tax liability for residential components, immediate taxability for commercial portions, and deemed valuation principles under relevant notifications.

Unsold Inventory & Cancellations
Treatment of unsold units at the time of completion certificate and tax implications of pre- and post-OC cancellations.

Developed Plots & Infrastructure Charges
Clarification on non-taxability of sale of land, taxability of amenities when charged separately, and implications for third-party buyers.

Redevelopment of Housing Societies
Analysis of TDR transactions between societies and developers, construction services to members, and taxability of corpus or hardship funds.

Slum Rehabilitation Projects (SRP)
Discussion on taxability of free rehabilitation flats, valuation of non-monetary consideration in the form of TDR/FSI, and applicability of exemptions.

Around 120 participants from all over India benefited while taking an active part in the discussion. Participants appreciated the efforts of the group leader and the mentor.

8. 14th Residential Study Course on IND AS held on Friday 27th February 2026 to Sunday 01st March 2026 @ The Orchid Hotel Pune.

The Accounting & Auditing Committee organised this Study Course on Ind AS in a residential learning format, enabling intensive technical deliberations and professional interaction. The three-day programme focused on advanced and contemporary Ind AS topics with a strong emphasis on practical application, case studies and current regulatory expectations relevant to preparers, auditors and advisors.

The course commenced with detailed sessions on Ind AS 103 and Ind AS 110, focusing on business combinations, mergers and demergers, covering structuring considerations, accounting complexities and interpretational challenges through case studies. An in-depth session on Related Party Transactions covered Ind AS requirements along with SEBI LODR, Companies Act and tax aspects, highlighting common compliance challenges, documentation expectations and practical issues.

Complex financial instruments were discussed in detail with reference to Ind AS 109, Ind AS 113 and Ind AS 32, covering classification, measurement, valuation and disclosure challenges supported by illustrative case studies. A focused session on Presentation of Financial Statements under Ind AS addressed key presentation principles, disclosure requirements, recent amendments, including Ind AS 118 and emerging reporting practices.

The programme also featured an insightful panel discussion on NFRA findings and initiatives for improving audit quality, deliberating on inspection observations, audit documentation and strengthening audit processes. Another panel discussion on Sustainability Reporting covered preparer and assurance perspectives, addressing evolving sustainability reporting requirements, preparedness challenges and assurance considerations.

14th Residential Study Course on IND AS

The Residential Study Course was well received by participants and provided a valuable platform for deep technical learning, exchange of practical experiences and professional networking. Over 94 participants attended the Course.

Faculties for the Residential Study Course:

Dr. CA Anand Banka, CA MP Vijay Kumar, CA Himanshu Kishnadwala, CA Manan Lakhani

Panelists – CA Sudhir Soni CA Amit Mazmudar Moderator- CA Vijay Maniar

Panelists – CA Himanshu Kishnadwala CA Dr Alok Garg Moderator – CA Samit Saraf

9. ITF Study Circle meeting on “International Tax Aspects of Budget 2026 and ITA 2025” (Part 1 & 2) ” held on 10th & 24th February 2026@ Virtual.

The International Tax and Finance Study Circle organized this meeting to discuss amendments in the Budget 2026 on the International Tax aspects. The meeting was divided into 2 parts. Both meetings started with the Chairman of the session, CA Mayur Nayak outlining the amendments along with his comments.

CA Hansh Gangar (Group Leader) took up the various amendments on 10 February 2026. Some key discussion points were:

Foreign assets of Small Taxpayers – Disclosure Scheme, wherein the group discussed the need and objectives of the amendment, along with the penalty matrix. Some key issues which were discussed were implications of receipt of foreign shares under ESOP, where the assessee was NR or NOR at the time of earning undisclosed income or acquiring undisclosed assets, but is now a resident, but failed to disclose the above, whether he will be covered under the scheme.
The Group Leader also took us through other amendments, such as Relaxation of conditions relating to prosecution under the Black Money Act, amendments in IFSC, amendments in NDI rules, amendments in TCS rates, etc.

The Budget meeting continued on 24 February 2026, wherein CA Nemin Shah (Group Leader) discussed other amendments that were made in the Budget 2026. Some key discussion points were

The session opened with introductory remarks from the chairman on his initial views on the determination of residential status.
Amendment in buyback provisions wherein the Group leader took us through the various changes introduced in buyback taxation over the years. He discussed the meaning of promoter. He highlighted some issues that were discussed with the group at length – Whether the additional income tax will be eligible for treaty benefits, whether deduction under section 54F is available, and whether this provision will apply to foreign buyback.
Other amendments, such as Exemption related to Data Centres, were also discussed in the group – some points which came up for discussion- the characterisation of the amount – royalty or FTS? Whether there could be an exposure to constitute a PE.
Participants also discussed the Transfer pricing changes, safe harbour rules, etc.

10. “Mumbai Thane Express – Internal Audit 101” held on Saturday, 21st February 2026@ CKP Hall, Thane West.

This session was organised by BCAS jointly with the Thane Branch (WIRC) of ICAI. The keynote session explored the evolving role of Internal Audit in a dynamic regulatory and business environment, highlighting the advanced use of tools and technology in modern audit practices. Discussions emphasized the transition of Internal Audit from a compliance-focused function to a strategic risk advisory partner.

A detailed deep dive into the design, evaluation, and strengthening of internal control frameworks was conducted, with risks and controls explained through relatable day-to-day examples for better understanding. Practical insights were shared on identifying Key Risk Indicators (KRIs) and effectively linking risk assessment with audit planning. A comprehensive walkthrough of risks, controls, and audit procedures in the Procure-to-Pay (P2P) cycle was presented, supported by a clear and structured audit checklist. The checklist highlighted common control gaps in procurement, vendor management, and payment processes, along with practical mitigation strategies. Special emphasis was laid on drafting impactful, concise, and action-oriented audit reports, with a strong focus on stakeholder value creation. Techniques to transform audit observations into compelling narratives that drive management action were demonstrated through practical examples.

The event concluded with a multi-stakeholder panel discussion, offering perspectives on audit expectations from management, auditors, and governance bodies. The discussion also covered aligning Internal Audit outcomes with organizational objectives and enhancing stakeholder value creation.

Approximately 65 participants from Mumbai, Thane, and Pune attended the event.

Faculties: CA Murtuza Kachwala, CA Prajit Gandhi, CA Samit Saraf, CA Chetan Thakkar, CA Pooja Bhutra, CA Harshita Mulay – Dixit, CA Archana Moghe, CA Preeti Cherian.

11. BCAS Women’s RefresHER Course” held from 6th January 2026 to 19th February 2026@ Virtual.

BCAS launched its first-ever Women’s RefresHER Course – “Re-skill and Re-ignite Your Professional Journey”, creating a dedicated platform for women Chartered Accountants to reconnect with the profession.

The course comprised 14 online sessions, conducted on Tuesdays and Thursdays, covering a wide spectrum of topics including direct tax, GST, FEMA, litigation, succession planning, ESG, audits, valuations, start-ups, and corporate structuring. The sessions were curated to address both foundational concepts and contemporary developments, with a strong focus on practical insights.

A unique feature of the programme was that it was led entirely by women speakers, fostering an open, engaging and relatable learning environment for participants.

Designed for participants at beginner and intermediate levels, including those returning after a career break or looking to build or expand their practice, the course emphasized real-life applications, emerging opportunities and confidence-building.

The programme witnessed an encouraging response, with 85 participants from around 24 towns and cities, making it an interactive experience.

Scan to watch online at BCAS Academy

BCAS Women's RefresHER Course

II. BCAS IN NEWS & MEDIA

BCAS has been featured in several news and media platforms, showing our active involvement, professional contributions, and commitment to the field. This reflects the growing recognition of BCAS in the public and professional space.

Link: https://bcasonline.org/bcas-in-news/

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BCAS IN NEWS & MEDIA

BCAJ Admin

Regulatory Referencer

I. DIRECT TAX : SPOTLIGHT

1. Referencing by Document Identification Number – Reg – Circular No. 4/2026 dated 31 March 2026

Section 292B and 292BA of Income-tax Act, 1961 and Section 522 of the Income-tax Act 2025, provide that any document issued by Income tax Authority shall be referenced by the computer generated Document Identification number (DIN). The circular provides as under:

a) DIN may be mentioned within the communication itself, attached separately, or included in electronic correspondence such as emails.

b) There is no requirement for the same to be printed on every page, provided the communication is clearly referenced.

The Circular further provides that in certain circumstances, the document may not be referenced by DIN in specific situations and all such communications shall require post-facto approval, within a period of 15 days of the date of issue of such communication.

2. Procedure, formats and standards for generation and allotment of Unique Identification Number (UIN) in respect of Form No. 121 and quarterly furnishing of Part B thereof by the payer – Notification No. 01/CPC(TDS) /2026 dated 28 March 2026.

Section 393(6) of the Income-tax Act, 2025 provides for no deduction of tax in certain cases wherein declaration in Part A of Form No. 121 is furnished by the payee to the payer as per Rule 211 of the Income-tax Rules, 2026.

The payer shall allot a 26-character UIN to each declaration (Part A of Form No. 121) received by him during the tax year. The circular provides for the Procedure, formats and standards for generation and allotment of UIN.

3. CBDT amends India- Brazil DTAA – Notification No.39/2026 dated 30 March 2026

The notification gives effect to the 2022 Amending Protocol to the India–Brazil DTAA, which entered into force on 18 October 2025 and applies in India from FY 2026–27 onwards.

4. ITR Forms 1-7, including ITR V and ITR U(updated return) have been notified by the CBDT, for the financial year 2025-26 – Notification No. 45 to 52 of 2026 dated 30 March 2026.

5. Clarificationthat investments made before April 1, 2017, are fully grandfathered and exempt from GAAR scrutiny – Notification No. 55/2026 dated 31 March 2026.

6. PAN CR-01 and PAN CR-02 prescribed for correction of PAN data for individuals and non-individuals along with guidelines

7. All the provisions of Memorandum of Understanding for Assistance in Collection of taxes, of the Convention between the Government of the Republic of India and the Government of Japan for the avoidance of double taxation and the prevention of fiscal evasion are notified. – Notification No. 56 dated 2 April 2026

II. IFSCA UPDATE FOR MAY 2026 EDITION

1. IFSCA grants Qualifying Central Counterparty (QCCP) status to IIBX

India International Bullion Exchange (IFSC) Limited (‘IIBX’) functions both as a Bullion Exchange and a Bullion Clearing Corporation. The Bullion Clearing Corporation of IIBX has qualified as a Qualifying Central Counterparty (‘QCCP’) as it is regulated by IFSCA, SCRA and complies with global standards, particularly the Principles for Financial Market Infrastructures (PFMIs). The QCCP status confirms that its clearing operations meet international benchmarks for risk management and financial integrity.

Further, IIBX has been designated as a Market Infrastructure Institution (MII) due to its systemic importance in GIFT IFSC and is subject to strict regulatory oversight and supervision within the PFMI framework. In view of the above, IIBX is accorded the status of QCCP.

[Press release, dated 25th March 2026]

2. IFSC Authority removes 7-day comment timeline requirement from KMP circular for FMEs

IFSCA had issued a circular “Appointment and Change of Key Managerial Personnel (‘KMP’) by a Fund Management Entity (‘FME’)” dated February 20, 2025 which specifies the manner and procedure to be followed by a FME for effecting the appointment of or change to their KMPs. Paragraph 4 of this Circular which provided for communication of comments by the Authority within a specified timeline of 7 working days form the date of filing of intimation by the FME has now been removed. All other provisions and conditions specified in the 2025 Circular shall remain the same.

[Circular No. IFSCA/13/2026-Capital Markets/1, dated 1st April 2026]

3. IFSCA mandates certification courses

IFSCA has specified a mandatory certification course titled “Regulatory Framework for Fund Management in IFSC: AIFs and Retail Schemes” for employees of Fund Management Entities (FMEs) offered by the Institute of Company Secretaries of India. All Key Managerial Personnel (KMPs) and employees engaged in core fund management activities are required to successfully complete this certification on or before 30 September 2026, with responsibility for compliance resting on the FME and persons in control. Additionally, FMEs must ensure continuous adherence to eligibility criteria for KMPs under applicable regulations.

The IFSCA has also mandated a certification requirement for employees of Capital Market Intermediaries (CMIs) in IFSC. The Authority has specified the course titled “Regulatory Framework for Capital Market Intermediaries in IFSC” offered by the Institute of Company Secretaries of India. All Key Managerial Personnel (KMPs) and employees engaged in core business activities are required to successfully complete this certification on or before 30 September 2026, with the responsibility for compliance resting on the CMI and persons in control.

[Circular No. IFSCA/13/2026-Capital Markets/1, dated 1st April 2026 & Circular F. No. IFSCA-PLNP/80/2024 Capital Markets, dated 2nd April 2026]

4. IFSCA establishes regulatory framework for registration, regulation and supervision of Pension Funds in IFSC

The IFSC Authority has notified the IFSCA (Pension Fund) Regulations, 2026, establishing a regulatory framework for registration, regulation and supervision of Pension Funds in IFSC. The regulations aim to provide a robust framework for long-term retirement savings, promote a secure and transparent environment for subscribers, protect their interests and maintain the integrity of the pension ecosystem. The framework overrides existing PFRDA regulations within the IFSC, eliminating dual-regulatory burden. The Regulations cover eligibility requirements for the Pension Funds; scheme designs; withdrawal and portability pathways; permissible investments with defined limits over a broad range of asset classes; and risk management & governance requirements; compliance and enforcement.

[F. No. IFSCA/GN/2026/007, dated 30th March 2026]

5. IFSCA bars fund management entities from assigning multiple service roles to fiduciaries in the same scheme

The IFSCA (Fund Management) Regulations, 2025, requires Fund Management Entities (FMEs) to appoint fiduciaries such as trustees (in case of trusts), directors (in case of companies), or designated partners (in case of LLPs), who are obligated to act in the best interest of investors and adhere to high standards of due diligence, care, and independent judgment as per the prescribed Code of Conduct. To strengthen governance and avoid conflicts of interest, IFSCA has clarified that an FME shall not appoint a fiduciary entity to also provide services such as fund administration, valuation, audit, or lending /financing to the same scheme, whether directly or through its associates. For existing schemes already filed or taken on record, FMEs are required to comply with this requirement by 30th September 2026.

[Circular No. IFSCA-IF-10PR/7/2024-Capital Markets/10042026, dated 10th April 2026]

6. IFSCA requires prior approval for Payment Service Providers (PSPs) joining Rupee Drawing Agreement (RDA) as non-resident Exchange Houses

IFSCA has issued a clarification regarding participation in Rupee Drawing Arrangements (RDA) by Payment Service Providers (PSPs). IFSCA has now clarified that prior approval is mandatory for PSPs intending to participate in RDA as non-resident Exchange Houses, in line with the RBI Master Direction on “Opening and Maintenance of Rupee/Foreign Currency Vostro Accounts of Non-resident Exchange Houses” (2016). Further, PSPs must submit, along with their approval request, a comprehensive framework demonstrating compliance with the IFSCA (Anti Money Laundering, Counter-Terrorist Financing and Know Your Customer) Guidelines, 2022 and any other applicable similar laws.

[Circular No. IFSCA-FMPP0BR/3/ 2023-Banking 2026-27/01, dated 10th April 2026]

III. FEMA

1. Govt notifies uniform Rs.2–10 crore adjudication limit for Additional & Joint Directors under FEMA

The Central Government has amended the notification prescribing jurisdiction of adjudicating authorities under the FEMA. This amendment revises the monetary limits for adjudication of Additional Directors and Joint Directors Enforcement. Previously, Additional Directors handled cases involving amount between Rs.5 crores and Rs.10 crores, while Joint Directors handled cases involving amount between Rs.2 crores and Rs.5 crores. The revised notification merges the scope by prescribing that both categories will now handle cases involving amounts exceeding Rs.2 crores but not exceeding Rs.10 crores.

[Notification No. 1397(E) [F. NO. K-11022/80/2011-AD.ED], dated 18th March 2026]

2. RBI directs ADs to maintain NOP-INR within USD 100 million in the offshore deliverable market

Master Direction on ‘Risk Management and Inter-Bank Dealings’ empowers RBI to prescribe limits on open positions in Rupee for exchange rate management. RBI has issued a circular whereby Authorised Dealers are now required to ensure that Net Open Positions in INR (NOP-INR) positions in the onshore deliverable market are maintained within USD 100 million at the end of each business day. ADs shall ensure compliance at the earliest but not later than 10th April 2026. This is a measure to curb volatility in the Rupee considering ongoing geopolitical issues.

[A.P. (DIR series 2025-26) Circular No. 24, dated 27th March 2026]

3. RBI revises ECB reporting framework and clarifies LSF computation

ECB transactions are required to be reported through Authorised Dealer (AD) Category I banks in prescribed forms, and delays attract Late Submission Fee (LSF). RBI has issued circular to remove ambiguities in classification of returns and streamline LSF computation. Key Highlights from the circular are given as follows:

a. Form ECB-1 and Revised ECB-1 to be treated as non-flow returns, and LSF to be computed accordingly. Non-flow returns are filed once per transaction/event, not periodically.

b. LSF is per return. Each delayed filing of Form ECB-2 to be treated as a separate instance, attracting LSF independently.

c. AD Category I banks shall submit ECB returns to RBI within 7 calendar days of receipt from borrowers.

d. LSF is payable via NEFT/RTGS to RBI Regional Office after receipt of acknowledgment email from RBI. AD banks to ensure and monitor payment of LSF by borrowers.

These amendments are applicable from 1st April 2026.

[A.P. (DIR series 2025-26) Circular No. 25, dated 30th March 2026]

4. RBI standardises guarantee reporting under FEMA; clarifies LSF computation for delays in reporting

RBI has issued circular with regard to obligation on a person to report a guarantee in terms of Regulation 7 FEM (Guarantees) Regulations, 2026 [FEMA 8 (R)] and Master Direction on ‘Reporting under Foreign Exchange Management Act, 1999’. The main points are:

a. Reporting is to be done using files provided on the RBI website (List of Returns Submitted to RBI) for submissions to the authorised dealer bank:

Form GRN Issue – for reporting issuance of guarantee;

Form GRN Modification – for reporting changes in terms such as amount, tenure or pre-closure; and

Form GRN Invocation – for reporting invocation of guarantee.

b. Each guarantee to be assigned a Unique Guarantee Transaction Number (GTN) by AD Bank before submission of the return to RBI.

c. For any delay, LSF will be calculated on amount of liability created towards surety on invocation for Form GRN Invocation only. For Form GRN Issue and Form GRN Modification, LSF to be considered on amount as ‘nil’ since these returns do not capture flows.

The above will come into effect from 1st April 2026.

[A. P. (DIR series 2026-27) Circular No. 1, dated 1st April 2026]

5. RBI permits INR exchange for residents and non-residents at forex counters in airport departure areas beyond immigration

The RBI has decided to allow residents and non-residents to exchange Indian Rupee notes at foreign exchange counters at the departure halls in the international airports established in the Duty-Free Area or Security Hold Area beyond the Immigration or Customs desk. The Master Direction on Money Changing Activities is being amended accordingly.

[A.P. (DIR series 2026-27) Circular No. 4, dated 2nd April 2026]

6. RBI amends Master Direction on non-resident investment in debt instruments, consolidates existing instructions

Over the years, the Reserve Bank has issued directions relating to investments in debt instruments by Non-Resident Indians (NRIs) and offering of debt instruments acquired in terms of FEMA 396 as collateral to recognized Stock Exchanges in India for transactions in exchange traded derivative contracts. These instructions have now been consolidated in the Master Direction on ‘Non-resident Investment in Debt Instruments’, 2025 which earlier covered various related Regulations under FEMA. Annex-1 of the Master Direction provides the list of circulars consolidated while Annex-4 lists the amendments made to the Master Direction over time.

[A.P. (DIR Series) Circular No. 6, dated 10th April 2026]

BCAJ Admin

Audits Of Co-Operative Housing Societies

Shrikrishna : Arjun, why are you looking so tired and frustrated?

Arjun : We had the managing committee meeting of the housing society where I stay.

Shrikrishna : So what? What is so tiring about it?

Arjun : Bhagwan, you are very well aware that in a co-operative housing society, there is nothing but non-cooperation! No one is willing to come forward to work in the managing committee, members believe that committee members are their employees. A few committee members have some vested interests in the society’s management.

Shrikrishna : Arjun. This is common in all Non-Profit organisations! It is a part of life. In kaliyug, disputes are everywhere. Even in our families!

Arjun : I agree. But every society has at least one Duryodhana

Shrikrishna : Duryodhana? What do you mean?

Arjun : There is invariably one crooked member in every society. He is extra smart. He picks up disputes on some pretext or the other with the committee and other members.

Shrikrishna : I am aware. And there are Shakunis to instigate them.

Arjun : Usually, these Duryodhans are retired people from high positons in Government jobs or corporates. They feel that they alone know the law. They dispute the monthly contribution and usually are defaulters! In a few cases, some CAs or lawyers play the role of Duryodhana!

Shrikrishna : Yes. It is very common. But what did your Duryodhana do?

Arjun : Our Duryodhan has a hobby of making complaints before every possible forum – to the Registrar of Co-operative societies, to the Police Authorities, to the co-operative courts; and on the top of it, to our Institute of CAs against the auditor! He has made complaints against 8 successive years’ auditors so far!

Shrikrishna : Surprising! In an NPO, what are the issues?

Arjun : They rake up all issues like Accounting Standards, Standards on Auditing, Tax laws, co-operative laws and what not! They make a hype of everything. Poor auditor receives a meagre fee of 6 to 8 thousand rupees; but when there is a complaint to ICAI, he has to spend well above a lakh of rupees to engage a counsel. In addition to hire a lawyer to represent before the Registrar of co-op. societies, Police authorities and so on.

Shrikrishna : And he loses his peace of mind for at least 4 to 5 years!

Arjun : It is at the same time equally true that CAs take the audits of NPOs rather lightly. They are not particular about documentation, working papers, checking of minutes and secretarial records; and so on.

Shrikrishna : I heard that they are not careful even to ensure that their appointment is properly made!

Arjun : Yes, Lord. And the Duryodhana is keen to find all such loop holes to harass him. Auditors are even black mailed by the Duryodhans in respective societies.

Shrikrishna : Somebody told me that many people rendering accounting services to the societies have an arrangement with some CAs who simply put their signature and seal without verifying anything!

Arjun : Yes. That is very dangerous! A few CAs themselves write the accounts and also audit them! And the height is that they raise a common invoice of accounting and auditing! In some cases, their own employees or close relatives write the accounts.

Shrikrishna : And Duryodhans get a good opportunity to harass them.

Arjun : Absolutely. Today such people have realised their own nuisance value and making rampant misuse of our disciplinary mechanism.

Shrikrishna : I believe, ICAI should create a separate mechanism to deal with such petty complaints against auditor of NPOs. It is a great burden on the disciplinary authorities and the pendency is mounting due to such petty complaints. They should device some fast track mechanism to tackle such matters.

Arjun : I think it impossible to happen. Government lacks will power to simplify the things. Instead, I feel, CAs should stop accepting housing society audits altogether unless they are able to do full justice. But then, it won’t be remunerative!

Shrikrishna : Prevention is better than cure!

Om shanti.

(This dialogue is based on the current scenario of disciplinary cases in respect of audits of housing societies)

BCAJ Admin

Tech Mantra

Standard Notes – Free Your Mind

standard Notes

Standard Notes is a free, secure note-taking app with powerful end-to-end encryption, unparalleled privacy features, and seamless cross-platform syncing on unlimited devices. It protects your notes and files with audited, industry-leading end-to-end encryption. Only You have access to the keys required to decrypt your data. You can write and store all your notes and files in one secure place and seamlessly access them from all your devices.

Note-taking services like Evernote, Google Keep, Notion, and Simplenote cannot prevent employers and governments from reading your data. Standard Notes features advanced security and privacy controls that protect your data against hacks, data breaches, government access, and even employer access.

The app is simple, easy to use, and lightweight. Enough features, but not too many!

Standard Notes is a no-risk investment in your productivity. If it works for you like it works for many happy users, then you’ve gained a lifelong tool that will protect your data and nourish your growth.

https://standardnotes.com/

Minimaa – Minimalist Launcher for Android

Minimaa
Reclaim Your Focus. Simplify Your Life. Drowning in a sea of colorful icons and constant notifications? MINIMAA is a premium minimalist launcher designed to transform your smartphone into a tool for intentionality, not a source of distraction.

Most launchers are designed to keep you on your phone. MINIMAA is designed to get you off it. By removing the visual “sugar” of colorful icons and cluttered grids, it reduces the dopamine triggers that lead to phone addiction.

It has a black and white interface, optimized for OLED screens to save battery and reduce eye strain. Also, the interface is text-based – so no icons, no distractions. You can hide distracting social media apps and access them only when necessary. And, of course, there are no trackers, no data collection, and no ads. Your phone stays yours.
Ideal for productivity enthusiasts and digital minimalists. The perfect companion for your journey away from screen addiction. Join the movement of thousands of users who have swapped their cluttered home screens for a peaceful, minimalist sanctuary.

You can download MINIMAA to start your digital detox https://tinyurl.com/minimaa

Wi-Fi AR

Wifi Ar

Wi-Fi AR is a free, simple app that scans your home Wi-Fi network efficiently. It uses augmented reality (ARCore) to visualize real-time Wi-Fi and cellular signal strength, speed, and latency in your physical space. It acts as a visual network analyzer, helping users identify dead spots, locate the best router placement, and detect network interference.

Just start the app and move around your home to identify the areas where the signal is powerful and where it is weak. You can then find the best places to play games or position your Wi-Fi devices. It also helps locate where your phone receives the best signal from your Mobile Network.

A simple app which is super useful.

Android : https://tinyurl.com/wifiar

Blip

Blip

If you have to send files from one device to another, or from one person to another, irrespective of the platform, Blip is the tool for you. You have never sent files this fast – send any size file right from your desktop, phone, tablet, or any other device.

You can transfer files in just one step. No need to upload and download separately. The size of the file is irrelevant – there is no limit! Blip is also intelligent enough to resume after a network interruption, if any, a drive being unplugged, or the target disk being full.

You can send entire folders in full quality and at enhanced speeds. It supports TLS 1.3 encryption so that your data is fully safe during transit.

Super-fast transfers were never so easy!

https://blip.net/

BCAJ Admin

Miscellanea

1. SCIENCE

# A PhD candidate creates a “universe in a bottle” to uncover how life on Earth began

A PhD candidate, Linda Losurdo at the University of Sydney, recreated a “universe in a bottle” by simulating space-like chemical environments in the lab. Using nitrogen, carbon dioxide, and acetylene exposed to high-voltage plasma, she produced cosmic dust from scratch. This experiment mimics conditions in stellar nebulae and helps scientists study the chemical pathways that formed complex organic molecules—the building blocks of life—before life began on Earth.

The research, published in The Astrophysical Journal, offers a new way to analyze the infrared spectral fingerprints of cosmic dust, aiding the understanding of the chemical makeup of asteroids and meteorites. It also explores whether life’s essential elements (CHON: Carbon, Hydrogen, Oxygen, Nitrogen) formed in space and were delivered to Earth via comets and asteroids.

Ultimately, the project aims to build a comprehensive database of infrared signatures from lab-grown cosmic dust, improving astronomers’ ability to identify and study materials in space and enhancing knowledge of the Milky Way’s chemical evolution.

(Source: The Times of India – By TOI Science Desk –24 April 2026)

2. TECHNOLOGY

# RBI reaches out to global regulators for risk assessment on Anthropic’s Claude Mythos

The Reserve Bank of India (RBI) is actively assessing the cybersecurity risks posed by Anthropic’s newly released AI model, Mythos. In consultations with counterparts at the US Federal Reserve, the Bank of England, and other global regulators, RBI officials have expressed concerns that Mythos could accelerate the discovery and exploitation of software vulnerabilities, increasing threats to India’s financial sector. Regulators worldwide, including those in Asia, Europe, and the US, have urged banks to strengthen their defenses against potential AI-driven cyber risks.

India’s National Payments Corporation of India (NPCI), which manages the highly secure Unified Payments Interface (UPI), is working with select banks to gain early access to Mythos. This proactive approach aims to identify vulnerabilities and “day-zero” cyber risks before wider deployment. However, access to Mythos is tightly controlled, limited to a few US organizations, and hosted on secure servers in the US, raising compliance challenges related to Indian data protection laws.

In response, RBI is developing comprehensive guidelines for banks partnering with advanced AI models like Mythos and Anthropic’s Claude family. These guidelines are part of a broader strategy to ensure safe AI adoption in India’s financial system, with a strong emphasis on enforcing the 2018 data localization rules that require all payment transaction data to be stored exclusively on servers within India. The discussions are ongoing, reflecting RBI’s cautious but forward-looking approach to AI integration in finance.

(Source: Financial Express – By Tech Desk –22 April 2026)

3. WORLD – SCIENCE – MINDSET

# After Loss, Paralysis, and Silence: Myles Merideth’s Search for What It Means to Still Be Alive

Myles Merideth, author and owner of Empirical Resource Development, faced profound challenges after a spinal condition caused partial paralysis, along with a series of personal losses, including his mother, brother, and daughter. These events shattered his identity, which was built on strength and leadership. Through surrender and reflection, he realized that true identity is not defined by experiences or roles but by a deeper, constant life force within.

This insight inspired his book, It’s Not Who You Are, It’s What You Are, written during near-total immobility. The book offers a framework focused on present awareness rather than external validation, addressing grief, burnout, and identity loss. Myles plans to release a new book on leadership, along with facilitator guides and speaking engagements. His message resonates with those facing loss or questioning achievement-based identities, emphasizing that beneath all else, “You are life first.”

(Source: International Business Times –Created By Callum Turner – 13 April 2026)

BCAJ Admin

ICAI and Its Members

I. ICAI ANNOUNCEMENT

1. AUDIT QUALITY MATURITY MODEL (AQMM)

The ICAI has issued a clarification expanding the scope of mandatory AQMM applicability. The revised framework now explicitly includes Practice Units auditing holding/subsidiary/associate/JV entities of specified categories (listed entities, banks, insurance companies), provided such firms are subject to Peer Review.

AQMM was already mandatory for firms auditing:

Listed entities
Banks (excluding co-operative banks except multi-state co-operative banks)
Insurance companies (the firms conducting only branch audits are not to be covered)

Expanded Scope – AQMM v2.0 (Phased Implementation)

The applicability has now been significantly widened as under:

(A) From 1 April 2026

Applicable to:

• Firms subject to Peer Review auditing:

• Holding/Subsidiary/Associate/JV of:

• Listed entities

• Banks (excluding co-op banks except multi-state)

• Insurance companies

• Firms undertaking statutory audit of large unlisted public companies meeting any of the following thresholds:

Paid-up capital ≥ ₹500 crore, or
Turnover ≥ ₹1,000 crore, or
Aggregate borrowings ≥ ₹500 crore

(B) From 1 April 2027

Applicable to:

Firms auditing entities:
Raising funds > ₹50 crore from public/banks/FIs during the period
Entities classified as Public Interest Entities (including trusts)

2. EXPERT PANEL FOR ADDRESSING QUERIES RELATED TO STATUTORY AUDIT PERTAINING TO AUDITING ASPECTS

Auditing and Assurance Standards Board formed an Expert Panel which will provide technical support to the members with respect to their queries on auditing aspects for the coming Audit season. Members having specific queries may send such queries at email address: auditfaq@icai.in. The panel will be open from 16th April 2026 till 30th September 2026.

https://resource.cdn.icai.org/91721caqb-aqmm100426.pdfS

3. INVITATION TO SHARE INTERNAL AUDIT CASE STUDIES FOR KNOWLEDGE REPOSITORY OF THE INTERNAL AUDIT STANDARDS BOARD, ICAI

Internal Audit Standards Board invites members to submit concise and practice-oriented case studies relating to Internal Audit for inclusion in its professional knowledge initiatives. Each submission should be concise and restricted to a maximum of 200 words.

Submissions may kindly be made through the Google Form link: https://forms.gle/hCQcZHi3SSAAVV6d8

II. ICAI PUBLICATION

a. Income-tax Act 2025

Income-tax Act, 2025 (as amended by the Finance Act, 2026) including Tabular Mapping of Sections vis-à-vis the Income-tax Act, 1961

https://resource.cdn.icai.org/91774dtc-aps4792.pdf

b. Income-tax Rules 2026

Income-tax Rules, 2026 – Including Tabular Mapping of Rules and Forms vis-à-vis Income-tax Rules, 1962 and Forms.

https://resource.cdn.icai.org/91688dtc-aps4735.pdf

III. ICAI EXPERT ADVISORY COMMITTEE OPINION

Timing of Capitalisation of Partly Completed Gas Pipeline under Ind AS

A. Facts of the Case

The company, a JV formed to develop the North-East Gas Grid (NEGG), is constructing a 392 km Guwahati–Numaligarh pipeline (Phase I) to supply gas to Numaligarh Refinery (anchor customer).
The project is being executed in phases; as on 31.03.2025, 195.898 km (≈50%) of the pipeline was mechanically completed with related infrastructure and completion certification.
However, the entire 392 km pipeline is not yet completed or commissioned, and commercial operations can commence only after full completion.
The company has capitalised all costs as Capital Work-in-progress (CWIP), including costs relating to the completed portion.

B. Query

Whether the company should capitalise the cost (including borrowing costs) relating to the completed portion of 195.898 km, despite:

(a) the pipeline not being in a condition to operate as intended, and

(b) commercial operations not having commenced.

C. Points considered by the Committee

The issue relates to timing of capitalisation of a partly completed pipeline under Ind AS 16.
As per Ind AS 16, capitalisation is appropriate only when the asset is in the location and condition necessary for it to be capable of operating in the manner intended by management.
Determination of such readiness depends on facts, technical evaluation, and ability to operate.
In integrated projects, if parts are capable of independent use, they may be capitalised separately; otherwise, not.
In the present case:
The completed portion (195.898 km) cannot be used independently.
The pipeline achieves its intended objective only when the entire 392 km stretch is completed.
Accordingly, the partially completed section is not yet in a condition for intended use.
Under Ind AS 23, borrowing costs continue to be capitalised until the asset is ready for intended use; cessation depends on similar principles.

D. Opinion

The partially completed pipeline (195.898 km) is not capable of operating independently and is not in the condition necessary for intended use.
Therefore, capitalisation should not be triggered, and the expenditure should continue to be shown as CWIP.
Further, capitalisation of borrowing costs should continue till the entire pipeline is completed and ready for intended use

ICAI Journal – The Chartered Accountant April 2026 Pages 98-106

https://resource.cdn.icai.org/91549cajournal-apr2026-25.pdf

IV. ICAI DISCIPLINARY COMMITTEE

1. Case : Shri RK vs. CA. D.N.B.

File No. : PR/34/2018/DD/54/2018/DC/1755/2023

Date of Order : 05.01.2026

Particulars Details

Nature of Case Alleged misuse of digital signature and fraudulent increase in share capital

Background The Respondent assisted in incorporation and compliance of M/s VMC Pvt. Ltd. where the Complainant and two others were directors (equal shareholding initially). It was alleged that the Respondent, in connivance with other directors, increased share capital from 15,000 to 35,000 shares and allotted additional shares only to the other two directors using the Complainant’s digital signature without consent, and also forged documents including financial statements and MBP-1 disclosures.

Key Allegations

– Fraudulent increase in share capital and allotment excluding complainant.

– Misuse/forgery of digital signature in Form-2 and other filings.

– Forged signature on financial statements and MBP-1.

– Non-provision of documents and collusion with other directors.

Respondent’s Defence – Increase in share capital supported by Board Resolution dated 07.06.2011 and disclosures in financial statements.

– Financial statements for FY 2012–13 signed by Complainant, evidencing knowledge.

– Handwriting expert report confirmed signatures as genuine.

– No evidence of misuse of digital signature; documents available in public domain (MCA).

Findings

– Shareholding changes were disclosed in financial statements signed by Complainant (page 13).

– Form-2 was digitally signed by Complainant; no evidence of misuse of DSC.

– Handwriting expert report supported genuineness of signatures.

– Complainant failed to provide corroborative evidence of forgery or fraud.

– MBP-1 was filed physically and not certified by Respondent.

– No direct evidence linking Respondent to alleged misconduct.

Decision Not Guilty under:

• Item (7), Part I, Second Schedule

• Item (2), Part IV, First Schedule

2. Case : Shri B.S.P. vs. CA. A.M.

File No. : PR/162/2019/DD/261/2019/DC/1791/2023

Date of Order : 05.01.2026

Particulars Details

Nature of Case Alleged siphoning of funds and audit failure in related party transactions

Background The Respondent was statutory auditor of M/s H Pvt. Ltd. for FY 2008-09 to 2011-12. The Complainant (MD) alleged that ₹1.48 crore received in April 2010 (₹85 lakh from DST and ₹62 lakh from GIDC) was immediately transferred to K Ltd, resulting in loss of control and dilution of shareholding. It was alleged that the Respondent failed to detect/report this diversion and issued clean audit reports.

Key Allegations

– Siphoning of ₹1.48 crore to related party K Ltd.

– Failure to report material transactions in audit.

– Non-disclosure of related party transactions under AS-18.

– Issuance of “true and fair” audit report despite irregularities.

Respondent’s Defence

– Transactions were recorded in books in FY 2009-10; cheques issued on 31.03.2010 and cleared in next year.

– Financial statements duly signed by Complainant (MD).

– Transactions reflected in ledger accounts and CARO report.

– No siphoning; payments were part of loan repayment transactions.

– AS-18 not applicable due to SME exemption.

Findings

– Ledger accounts and financial statements showed proper recording of ₹1.48 crore transactions (page 11).

– Cheques issued on 31.03.2010 and cleared in FY 2010-11—accounting treatment held correct.

– No evidence of fraudulent diversion or siphoning; transactions were part of running account.

– Financial statements were approved and signed by Complainant as MD, indicating awareness.

– AS-18 non-disclosure not actionable due to SME exemption and absence of specific allegation.

– Auditor cannot be held liable where transactions are properly recorded and management-approved.

Decision

Not Guilty under Item (7), Part I, Second Schedule

3. Case : In Re: CA. SKT

File No. : PPR/P/106/2016/DD/31/INF/2020/DC/2041/2025

Date of Order : 25.01.2026

Particulars Details

Complainant Information (MCA/RBI-related issues)

Respondent CA. SKT

Nature of Case Alleged failure to report public deposits and NBFC-related non-compliance in audit

Background The Respondent was statutory auditor of three real estate companies where customer advances aggregating ₹3.57 Cr, ₹7.99 Cr and ₹17.89 Cr were shown in financial statements. It was alleged that these were public deposits and the Respondent failed to report the same and related NBFC compliance issues.

Key Allegations

– Failure to identify/report companies as NBFC.

– Failure to report receipt of public deposits in audit report.

– Lack of sufficient audit verification of customer advances.

Respondent’s Defence – Companies were engaged in real estate business (sale of plots).

– Advances represented booking amounts received from customers, not deposits.

– Relied on Section 45-I(bb) of RBI Act, excluding advances against sale of property from “deposit”.

– Produced sale deeds, allotment letters, receipts, and customer-wise details.

Findings

– Committee held NBFC allegation not sustainable; companies were engaged in real estate business.

– Documentary evidence (sale deeds, agreements, receipts, allotment letters) established that amounts were genuine customer advances.

– As noted (pages 9–10), substantial audit verification was demonstrated (≈95.87% sample coverage of advances).

– Advances were in ordinary course of business and hence not “public deposits” under RBI Act.

– No requirement for auditor to report such advances as deposits.

Decision Not Guilty under Item (7) & (8), Part I, Second Schedule

4. Case : Smt. BS vs. CA. SG

File No. : PR/423/2019/DD/45/2020/DC/1566/2022

Date of Order : 28.01.2026

Particulars Details

Nature of Case Alleged failure to verify loan adjustment and report misstatement in financial statements

Background The Respondent audited M/s A Ltd. for FY 2016-17 to 2018-19. In FY 2016-17, an unsecured loan of ₹4,19,109 was shown in the name of the Complainant. In FY 2017-18, the balance was shown as NIL, allegedly without repayment. The Respondent stated that the amount was transferred to the loan account of the Complainant’s husband (director) as part of a family arrangement.

Key Allegations

– Loan shown as NIL without repayment or proper verification.

– Failure to obtain confirmation or documentary evidence for transfer.

– Failure to report material misstatement and lack of due diligence.

Respondent’s Defence – Loans of family members were consolidated into husband’s account by mutual understanding.

– Ledger accounts reflected transfer; husband’s balance increased accordingly.

– Matter was a family arrangement, not a financial irregularity.

– Audit procedures based on professional judgment; external confirmations not mandatory.

Findings

– Ledger accounts and records substantiated transfer of ₹4.19 lakh to husband’s account (pages 10–11).

– Husband (director) had accepted consolidated balance in separate proceedings, supporting genuineness

– Dispute held to be family/shareholder dispute, not audit failure.

– Auditor’s reliance on internal records and judgment within acceptable limits of SA 505.

– No evidence of misstatement, negligence, or lack of due diligence

Decision Not Guilty under Clauses (6), (7), (8), Part I, Second Schedule

BCAJ Admin

Learning Events At BCAS

I. BCAS HOSTS DISTINGUISHED INTERACTION WITH ICAI LEADERSHIP

On Thursday, 12th March 2026, a close interaction was organised at the BCAS Office, Jolly Bhavan, featuring CA Prasanna Kumar D, President ICAI, and CA Mangesh Pandurang Kinare, Vice President ICAI. The dignitaries were warmly felicitated by CA Zubin Billimoria, President BCAS, and CA Kinjal Shah, Vice President BCAS, in the presence of select BCAS past presidents, office bearers, Western Region Central Council Members, WIRC ICAI office bearers and elected members, and BCAS Core Group members.

The session, moderated by CA Zubin Billimoria, facilitated a structured, time-bound discussion on key professional issues, including:

Representation before the Charity Commissioner
Policy sustainability for professional growth
Freedom to operate and regulatory minimisation
Clarity in networking guidelines
Updates on Delhi High Court litigation concerning CAs’ representation rights before Tribunals
Profession vs industry dynamics
Top three opportunities and challenges facing the profession
Future of audit, ethics, and stakeholder expectations
Capacity building in audit, technology, and AI
CA employability and syllabus dynamism

CA Prasanna Kumar D and CA Mangesh Pandurang Kinare responded thoughtfully to members’ queries, sharing ICAI’s strategic vision and forthcoming developments. The interaction concluded with collaborative ideas for strengthening BCAS-ICAI coordination to advance the chartered accountancy profession.

BCAS-Hosts-Interaction-with-distinguished-ICAI-Leadership

II. Learning Events At BCAS

1. Sakhi Circle – International Women’s Day held on 14th March 2026@ BCAS.

Speakers: Panelists – Hetal Kotak, Nisha Gala

Moderator – Kinjal Bhuta

The Women’s Day Celebration hosted by BCAS featured an engaging panel discussion on Ambition without Apology.

The event opened with an insightful panel discussion that highlighted how careers move through varied phases—from moments of doubt to moments where one’s voice is valued. The panel emphasised themes of continuous learning, authenticity, and staying relevant in a dynamic work environment.

A rapid-fire segment added energy to the discussion, drawing spontaneous and practical insights from the panelists. The evening concluded with a networking activity where participants introduced themselves using two adjectives, prompting self-reflection and encouraging authentic engagement within the group.

The session also reinforced that in person interactions create meaningful value, especially for women professionals, as shared experiences often help them draw strength from one another. Participants agreed that opportunities to connect, converse and collaborate play a vital role in personal and professional growth.

Sakhi-Circle-International-Womens-Day

2. Seminar on Attachment and Seizure Provisions under Prevention of Money Laundering Act, 2002 held on Friday, 27th February 2026 @ Hybrid

This event was jointly organised by Finance, Corporate and Allied Laws Committee of the Bombay Chartered Accountants’ Society, along with the Commercial & Allied Law Committee of The Chamber of Tax Consultants at the BCAS Auditorium, Churchgate and was conducted as a hybrid event, with participants attending both physically and virtually.

The details of the program was as follows:

Topic	Session Summary	Faculty
Opening Remarks by CA Kinjal Shah, Vice President BCAS and CA Jayant Gokhale President CTC
Session I : Keynote Address on the Framework of Search & Seizure under Section 17 of followed by an Interactive Discussion on Defense Strategies and Compliance	Informative session which explained the scope of powers vested in the enforcement authorities, the statutory requirement of “reason to believe,” and the procedural safeguards that must be followed during the conduct of such actions. The address also touched on important judicial interpretations that shape the application of the provision. The session provided participants with valuable insights into both the investigative powers under the law and the practical approaches for handling such proceedings.	Hon’ble Justice Ms. Aarti Sathe, Judge, Hon’ble Bombay High Court Adv. Sunny Punamiya CA Shardul Shah Moderator: CA Apurva Shah
Session II: Keynote Address on the Framework of Attachment under Sections 5 & 8 of PMLA followed by an Interactive Discussion on the Attachment Procedure	Enlightening lecture which explained the concept of provisional attachment, the conditions required for invoking such powers, and the procedure followed by the Enforcement Directorate before and after passing an attachment order. The address also highlighted the role of the Adjudicating Authority under Section 8 in confirming or setting aside the attachment after providing an opportunity of hearing. The session provided an overview of the practical aspects, legal safeguards, and key considerations for professionals dealing with such proceedings, enabling participants to gain a clearer understanding of the statutory process and its implications.	Hon’ble Justice Shri. Advaith Sethna, Judge, Hon’ble Bombay High Court Adv. Sunny Punamiya Adv. Bernardo Reis Moderator: CA Kinjal Shah

The Seminar provided a comprehensive perspective on the framework of search and seizure and attachment proceedings under the Prevention of Money Laundering Act, 2002, and featured two insightful and interactive sessions that simplified the legal and procedural complexities surrounding these provisions.

The program had 10 physical attendees and 108 virtual attendees. 34 of the participants who attended this seminar were from outside Mumbai.

This informative seminar was coordinated by Shardul Shah, with the help of convenors Raj Khona and Khubi Shah Sanghvi, and Team CTC.

Seminar-on-Attachment-and-Seizure-Provisions-under-Prevention-of-Money-Laundering-Act-2002

3. FEMA Study Circle -“Downstream Investment” held on 27th February 2026@ Virtual

The FEMA Study Circle organised a meeting to deliberate on the Downstream Investment provisions as provided under the FEM (Non-Debt Instruments) Rules, 2019. The session was chaired by CA Hardik Mehta and led by CA Swetha Prasad.

The discussion covered key aspects as provided below:

Definition of downstream investment & indirect foreign investment
Aspects to keep in mind before making downstream investments
Computation of indirect foreign investment
Procedural compliance in relation to downstream investments
Pricing & reporting guidelines for downstream investments
Relaxations/clarifications issued in relation to downstream investments

The group leader also took the participants through various scenarios for the identification of FOCC, computing foreign ownership, etc. There were good discussions about the issuance of stock options and non-equity instruments by the FOCC and how it would trigger downstream investment provisions. There were deliberations on investment holding entities making downstream investments, considering the recent relaxation by the RBI for NBFCs. The meeting concluded with participants sharing practical learnings on downstream investments.

4. 23rd Residential Leadership Retreat held on Friday, 27th February 2026 and Saturday, 28th February 2026 @ Rambhau Mhalgi – Bhayander

The 23rd Residential Leadership Retreat was conducted over two days on the theme Krishna Niti for Life Excellence, at Rambhau Mhalgi Prabodhini.

Dr. Girish Jakhotiya

Dr. Girish Jakhotiya, a renowed author and economist, drew structured lessons from the life journey of Lord Krishna, linking key milestones – from Gokul and Mathura to Dwarka and Kurukshetra – with principles of strategic thinking, leadership and self-transformation.

Dr. Jakhotiya distinguished excellence from perfection and explained “Life Excellence” through four pillars: economic prosperity, intellectual supremacy, social equality, and cultural bliss. Through case studies and illustrations from Krishna’s life, he encouraged participants to examine strategy, risk versus uncertainty, leadership styles, branding, ethical flexibility and institution building.

The Leadership retreat received an encouraging response from members across practice and industry. Around 50 participants from 8+ cities and towns across India enrolled for this residential program. Participants appreciated the clarity of explanations and the practical insights shared by the faculty.

5. BCAS Women’s Study Circle — SAKHI CIRCLE on Voice to Influence – Build Yourself as a Professional Speaker held on Saturday, 21st February 2026@ Virtual.

Speaker: Ms. Kalpana Thakur

The Women’s Study Circle organized an engaging session titled “Voice to Influence – Build Yourself as a Professional Speaker.” The session focused on how individuals can develop their speaking abilities by strengthening three core elements: Action, Belief and Visibility. Participants were encouraged to take proactive steps toward improving their communication skills and not wait for perfection before beginning their journey. The importance of building strong internal beliefs—particularly the confidence to express ideas and share knowledge—was highlighted as the foundation of impactful speaking.

The faculty emphasized the power of visualizing one’s future self and breaking long-term aspirations into smaller, consistent practice-based goals. Practical guidance was provided on preparing content, practicing delivery, presenting effectively, and developing one’s personal brand through clarity and consistency. The session also covered techniques for narrowing down areas of expertise and leveraging digital platforms to enhance visibility and influence. Attendees found the insights valuable for strengthening their professional presence and building themselves as confident speakers.

Motivational Highlight:The rest of my life is going to the best of my life!!

6. ITF Study Circle meeting on the ruling of “Binny Bansal” held on Tuesday, 17th February 2026@ Virtual.

The International Tax and Finance Study Circle organized an online meeting to discuss the Tribunal ruling in the case of Binny Bansal and its implications.

The session began with brief opening remarks by the Chairman of the session, CA Rashmin Sanghvi. Thereafter, the Group Leader, CA Nithin Surana, explained the case in detail, covering the facts of the case, the arguments of the taxpayer and the tax authorities, and the ruling given by the Tribunal, along with key inputs from the Chairman.

After presenting the case, the Group Leader shared his analysis of the ruling and discussed the legal issues arising from it. The participants actively shared their views on the implications of the ruling.

The Chairman and the Group Leader also shared their perspectives on the possible way forward and the likely outcomes if the matter is taken to higher appellate levels. The discussion was comprehensive and covered the important aspects of the ruling.

7. FEMA Study Circle – “Guarantees under FEMA” held on 13th February 2026@ Virtual.

The FEMA study circle organised a meeting on the revised Guarantee regulations issued by the RBI. The session was chaired by CA Vijay Gupta and led by CA Jigar Mehta.

The discussion covered the following aspects:
Concept and classification of Guarantees under FEMA
Important Definitions
Exemptions from Guarantee Regulations
Permissions under the Regulations
Guarantee as per ODI regulations
Reporting requirements
Case studies for discussion

The meeting provided insight into the new regulations for the issuance and receipt of inward as well as outward guarantees.

8. Finance, Corporate & Allied Laws Study Circle – NBFCs: Key Regulatory Developments And Emerging Areas held on Thursday, 12th February 2026 @ Virtual.

Speaker: Mr. Kunal Mehta

The Finance, Corporate & Allied Laws (FCAL) Study Circle organised a virtual session on the Zoom platform to discuss the intricate regulatory framework governing Non-Banking Financial Companies (NBFCs). The meeting, attended by 52 participants, focused on providing practical insights into the rapidly evolving regulatory landscape and recent developments initiated by the RBI. Key discussion points included identifying major compliance challenges faced by NBFCs in the current dynamic environment. The speaker highlighted best practices for maintaining audit readiness and ensuring robust adherence to statutory requirements. Participants explored the essential concepts of the NBFC framework to better navigate evolving legal standards. The session emphasised the importance of staying updated with shifting regulatory expectations to mitigate operational risks. Attendees engaged in a dialogue regarding the practical application of these regulations within their respective professional capacities. The event concluded with a comprehensive overview of how firms can maintain a proactive stance toward future regulatory shifts.

9. Report on Conclave on Union Budget 2026 & Deliberation on New Income Tax

Association of Corporate Advisers & Executives (ACAE), jointly with Bombay Chartered Accountants’ Society (BCAS), successfully organized a full-day programme on Conclave on Union Budget 2026 and Deliberation on the New Income Tax Law on 7th February, 2026 at Williams Court, 40, Shakespeare Sarani Road, 4th Floor, Kolkata – 700017, bringing together eminent professionals and experts to deliberate on key fiscal and legislative developments impacting the nation.

The Inaugural Session commenced with the ceremonial Lighting of the Lamp by CA. Jai Prakash Agarwal, Chairman of ICAI Dubai Chapter, CA. Kinjal M. Shah, Vice President of BCAS, CA. Niraj Kumar Harodia, President of ACAE, other esteemed dignitaries and ACAE Office Bearers symbolizing the pursuit of knowledge and wisdom.

This was followed by a warm and insightful Welcome Address by CA. Niraj Kumar Harodia who highlighted the significance of the Conclave, shared his reflections on his interactions with the esteemed speakers, spoke about the rich legacy and evolution of ACAE as one of the oldest professional associations in Kolkata and welcomed everyone to the Conclave.

The distinguished Guests of Honour, CA. Kinjal M. Shah, Vice President of BCAS, initiated the deliberations with an analytical perspective on Shaping Responsible, Respected and Future Ready Professionals for Decades.

CA. Jai Prakash Agarwal, Chairman of ICAI Dubai Chapter, further enriched the discussion with his practical insights on Emerging Professional Opportunities in the Middle East.

The first technical session was delivered by eminent Guest Speaker, CA. Pradip N. Kapasi, Past President of BCAS, Mumbai, on an in-depth comparative analysis on the Major Changes between the Income Tax Act, 1961 vis a vis Income Tax Act, 2025, clearly outlining structural reforms, simplification measures, and compliance implications.

CA. Padamchand Khincha, Partner at H C Khincha & Co., Chartered Acountants, Bengaluru, in the second technical session elaborated on the Major Amendments proposed through the Income Tax Bill, 2026, explaining the legislative intent, interpretational aspects, and the anticipated impact on tax administration.

Mr. Sameer Narang, Head at Economics Research Group, ICICI Bank, Mumbai, concluded the speaker sessions with a macro-economic perspective on the Impact of Budget on Indian Economy, addressing fiscal discipline, growth projections, capital expenditure focus, and the overall economic outlook.

The Conclave witnessed enthusiastic participation from over 100 delegates, including members, professionals, and representatives from various industries. The sessions were highly interactive, marked by meaningful discussions and thought-provoking queries, making the programme both informative and intellectually stimulating.

The joint initiative with the Bombay Chartered Accountants’ Society reinforced the spirit of professional collaboration and knowledge sharing, ensuring that members remain well-equipped to navigate the evolving taxation landscape.

The programme concluded with a formal Vote of Thanks, expressing sincere gratitude to the esteemed speakers, dignitaries, and participants for contributing to the grand success of the Conclave.

Report on Conclave on Union Budget 2026 & Deliberation on New Income Tax

10. ITF Study Circle meeting on “Discussion on Supreme Court Ruling in the case of Tiger Global” held on 27th January 2026@ Virtual.

The International Tax and Finance Study Circle organised an online meeting to discuss the implications of the Supreme Court’s ruling in the case of Tiger Global.

Group Leaders CA Ramesh Khaitan and CA Jimit Devani

The session opened with remarks from the group leaders on their initial thoughts on the Supreme Court ruling, covering the facts of the case, the contentions raised, and the Court’s ruling. Then the group leaders discussed the critical implications of the ruling. Some of the issues discussed included whether a Tax Residence Certificate is sufficient to claim benefits under a tax treaty, the application of the substance-over-form principle, etc. The group leaders discussed the likely next course of action for Tiger Global. The participants also shared divergent views on the implications of the Supreme Court ruling. The participants expressed apprehensions about the wider application of the principles in this ruling and its unintended consequences.

The discussion covered several key issues that will impact similar cases in the future. The session closed with concluding remarks by the Group Leaders.

11. Indirect Tax Laws Study Circle Meeting on Practical Issues under GST in Healthcare Industry held on Thursday, 22nd January 2026 @ Virtual

Group Leader: CA. Shefali Bang

Mentor: CA Parag Mehta

The group leader first presented the Law pertaining to the healthcare industry under GST, followed by five case studies covering the various aspects of Issues in the healthcare industry under GST.

The presentation covered the following aspects of the Healthcare Industry for a detailed discussion:

Whether treatment for Substance Use Disorder through OPD consultation, counselling, and supervised medicine dispensing qualifies as an exempt healthcare service under GST, or whether it may be treated as a taxable supply of medicines.
Whether doctor consultation and medicines supplied to outpatients by the hospital pharmacy should be treated as separate taxable supplies or a composite supply of healthcare services, and the related ITC reversal mechanism.
GST implications in a revenue-sharing arrangement between a diagnostic laboratory and a sample collection centre, focusing on the taxability of sample collection services and diagnostic testing services.
Whether health check-up packages marketed by a company through empanelled hospitals and diagnostic centres qualify for GST exemption as healthcare services, particularly when sold to healthy individuals or corporate employees.
Whether naturopathy therapies, along with residential accommodation provided by a wellness retreat, constitute a composite exempt healthcare service or whether accommodation should be taxed separately.
The reversal of Input Tax Credit (ITC) when certain life-saving drugs become GST-exempt, particularly regarding raw materials, semi-finished goods, finished goods, and capital goods held in stock
Around 100 participants from all over India benefited while taking an active part in the discussion. Participants appreciated the efforts of the group leader and the mentor.

III. REPRESENTATION

1. Representation to SEBI on Research Analyst Regulations

BCAS has submitted a representation on 24th February 2026 to SEBI highlighting practical issues faced during registration under the Research Analyst (RA) Regulations, 2014. The representation is based on feedback from professionals and applicants.

Key concerns include the absence of a clear framework for transition from individual to corporate entities, leading to disruption and duplication of processes. BCAS has also pointed out delays in processing applications after delegation to BSE.

Further, the Society has raised issues regarding restrictive interpretation of rules, especially relating to the “other employment” of Principal Officers, and lack of clarity on certain operational aspects.

BCAS has requested SEBI to provide necessary clarifications and streamline the process to reduce difficulties faced by applicants while ensuring investor protection.

Link: https://bcasonline.org/wp-content/uploads/2026/02/SEBI-RA-Representation.pdf

IV. BCAS IN NEWS & MEDIA

BCAS has been featured in several news and media platforms, showing our active involvement, professional contributions, and commitment to the field. This reflects the growing recognition of BCAS in the public and professional space.

Link: https://bcasonline.org/bcas-in-news/

BCAJ Admin

Statistically Speaking

1. INDIA’S ADVERTISING SPEND OUTLOOK

Spends (INR CR)

Source: WPP Media Company (formerly GroupM)

2. INDIA’S CURRENT POPULATION

INDIA’S CURRENT POPULATION

Source: Worldometer

3. MOST SPOKEN LANGUAGES ONLINE AND OFFLINE

MOST SPOKEN LANGUAGES ONLINE AND OFFLINE

Source: Data Reportal, Ethnologue

4. INDIA’S GROWING GDP

INDIA’S GROWING GDP

5. TRADE DEFICIT WIDENS

TRADE DEFICIT WIDENS

BCAJ Admin

Regulatory Referencer

I. DIRECT TAX : SPOTLIGHT

1. Income tax Rules 2026 notified. They will come into effect from 1 April 2026. – Notification No.22/2026 dated 20 March 2026

II. FEMA

1. RBI modifies the ECB forms in line with the revised ECB Framework under FEM (Borrowing & Lending) Regulations

The RBI, on 9th February 2026 issued new Borrowing and Lending regulations, revising External Commercial Borrowing (ECB) framework. The old ECB forms have been revised in line with the new ECB framework. Part V – Annex I and Annex II have been substituted with Form ECB I/Revised Form ECB I and Form ECB 2 respectively.

[AP (DIR Series 2025-26) Circular No. 23,dated 18th February 2026]

2. RBI introduces ‘Currency Declaration Form’ under FEM (Export and Import of Currency) Regulations, 2015

The RBI has amended Regulation 6 of FEM (Export and Import of currency) Regulations, 2015 by introducing a ‘Currency Declaration Form’. The following points are to be noted with respect to the form:

a. The form needs to be filled in by passengers where the aggregate value of foreign exchange brought in, in the form of currency notes, bank notes, or travellers’ cheque exceeds USD 10,000 or its equivalent, or where the value of foreign currency notes exceeds USD 5,000 or its equivalent.

b. This form needs to be produced to a bank authorised to deal in foreign exchange or a money changer at the time of conversion or reconversion.

c. In case visitors to India do not wish to encash all the foreign exchange declared, they should retain this form for producing the same to Customs at the time of their departure. This is to enable them to take with them the unutilised balance.

[Notification No. FEMA 6(R)/2026-RB, dated 23rd February 2026]

3. Govt. amends FDI Policy on ‘Investments from Countries sharing land border with India’

In April 2020, Press Note 3 (2020) was introduced to prevent opportunistic takeovers of Indian companies by certain neighbouring countries during Covid-19 pandemic. Government approval was made mandatory for any investment by an investing entity incorporated in a country sharing a land border with India (LBC), or where the beneficial owner of such an investment was a citizen of, or situated in, such LBC.

The Union Cabinet has recently approved changes in these provisions relating to investments from LBCs. The amendments in Para 3.1.1. of the FDI policy have brought much needed clarity. The existing policy has been amended as follows:

a. An entity or citizen of an LBC, or where the beneficial owner of an investment into India is a citizen of such country, can invest only under Government route. This restriction also applies to any transfer of ownership, directly or indirectly, in an existing or future FDI in an entity in India.

b. Beneficial owner (BO) shall have the same meaning as defined under section 2(1)(fa) of Prevention of Money laundering Act, 2002 and shall be determined as per Rule 9(3) of the Prevention of Money Laundering (Maintenance of Records) Rules, 2005. Further, it is provided that determination of BO shall be applied at the Investor entity level.

c. The above criteria shall be applied in substance. Hence, where a citizen or an entity of an LBC has the ability to directly or indirectly, individually or cumulatively, independently or collectively, whether acting together or otherwise, hold rights/entitlements which:

a. exceed the prescribed threshold in an investor entity outside the LBC; or

b. enable such citizens or entities to exercise control over such investor entity; or

c. enable them to exercise ultimate effective control over the Indian entity in any manner; the beneficial ownership of such an investment shall be deemed to be from an LBC.

d. Effectively, investors with non-controlling BO from an LBC of up to 10% shall be permitted under automatic route, subject to applicable sectoral caps, entry route and attendant conditions. However, such investments shall be subject to reporting of relevant information or details by the investee entity to DPIIT.

e. Further, direct investment from LBCs will still require Government approval. Such applications in following sectors must now be processed and decided within 60 days:

i. Manufacturing of Capital Goods

ii. Electronic Capital Goods

iii. Electronic Components

iv. Polysilicon manufacturing

v. Ingot and wafer manufacturing

In these cases, the majority shareholding and control of the Investee entity will be with resident Indian citizen(s) and/or resident Indian entity(ies) owned and controlled by resident Indian citizen(s), at all times.

f. The present Rule also covers beneficial owners “situated in” LBC. Thus, even an NRI situated in an LBC could not make a direct investment into an Indian entity without prior Government approval. One important change that Press Note 2 of 2026 brings about is that the Government Route is now applicable only to citizens of these countries or entities incorporated or registered in such countries. Thus, a citizen of countries other than LBCs can invest in Indian entities without prior approval from the Government, even though they may be present in an LBC.

The above amendments will take effect from the date of notification to the NDI Rules.

[Press Release, dated 10th March 2026, Press Note No. (2026 Series), dated 15th March 2026]

III. IFSCA

1.IFSCA specifies a fee structure for entities undertaking or intending to undertake permissible activities in IFSC

The IFSCA has issued a circular prescribing a fee structure for entities undertaking permissible activities in IFSCs and for persons seeking guidance under Informal Guidance Scheme, 2024. The circular applies to applicants seeking license, registration, recognition, or authorisation as well as existing regulated entities. The different categories of fees include application fees, license or registration fees, recurring fees (flat and conditional based on turnover), activity based fees, processing fees, interest on delayed payments, charges for delayed reporting, fees for informal guidance, etc.

The circular also prescribes penalties for delays, including 0.75% monthly interest on unpaid fees and USD 100 per month for delayed regulatory reporting. The circular will apply from FY 2026-27. This circular supersedes previously issued circulars related to fee structured from the date of commencement of this circular i.e. 1st April 2026.

[Circular No. IFSCA-DTFA/1/2026, dated 2nd March 2026 Circular No. IFSCA-DTFA/2/2026, dated 13th March 2026]

2. IFSCA launches a scheme titled “Support for Alternative Trade Instruments under Export Promotion Mission”

IFSCA has launched a scheme titled “Support for Alternative Trade Instruments under Export Promotion Mission (EPM) – NIRYAT PROTSAHAN”. The Scheme aims to improve access to export finance for Micro, Small, and Medium Enterprises (MSMEs) involved in international value chains by providing support for alternative trade finance instruments with a focus on export factoring.

Eligible financial institutions shall ensure compliance with all operational requirements, including submission of claims, reporting obligations, and timelines.

[Circular No. IFSCA-FCR0ITFSR/3/2025 – Banking, dated 19th March 2026]

3. IFSCA issues new measures to ensure operational substance in Capital Market Intermediaries operating in GIFT IFSC

The IFSCA has issued measures to ensure substance in Capital Market Intermediaries (CMIs) in GIFT IFSC. As part of these measures, IFSCA has been conducting multiple rounds of market intelligence visits. The visits were made to registered office premises of CMIs to verify the presence of substance, including the presence of the Principal Officer and Compliance Officer, as well as the adequacy of infrastructure, in accordance with the provisions of the IFSCA Capital Market Intermediaries Regulations, 2025.

The supervisors made the following key observations:

a. Some CMIs were found to be closed or unattended during business hours.

b. Neither the Principal officer, nor the Compliance Officer, nor authorised personnel were present in some CMIs.

c. The designated Principal and Compliance officers lacked adequate awareness of regulatory framework applicable to CMIs in some cases.

d. Necessary infrastructure was lacking to effectively carry out business activities in a few CMIs.

e. In some CMIs, certain practices were carried out using remote access software like Anydesk, Ultraviewer, etc. Further, the Compliance Officer was also handling the trading desk, which is a conflict of interest.

Based on these observations, IFSCA has initiated appropriate regulatory action against the concerned CMIs in accordance with applicable regulatory framework. All CMIs are advised to ensure substance, including strict adherence to provisions of IFSCA CMIs Regulations, 2025.

[Press Release, dated 19th March 2026]

BCAJ Admin

(Audacity To Complain!)

Arjun Hey Bhagwan, good that you came early today.

Shrikrishna Arjun. You know that I never come nor do I go. I am Omni present!

Arjun That I am aware of. But in this kaliyuga, it seems, your presence is missing at many places. Innocent people are suffering.

Shrikrishna I have told you in Geeta that people suffer due to their own Karma; and my presence may not help unless they surrender to me! And improve their karma.

Arjun Be it as it may! Today I am very much worried. Rather frightened.

Shrikrishna Why? Is it because of wars everywhere? Ukraine, Iran, Afghanistan….

Arjun I am never frightened of wars. Thanks to your blessings, I was always triumphant.

Shrikrishna Then what are you worried about?

Arjun Our own profession! This war of complaints of misconduct is terrible. So much of nuisance. So much of harassment to innocent CAs. And no one to help!

Shrikrishna Yes. I have heard that. But it is common. Everywhere Asat (Evil) is powerful since Sat (सत्) Righteous is not strong and assertive! Anyway, tell me what is the present problem?

Arjun Lord, it is very serious. I have lost my sleep. My friend is totally depressed due to a very mischievous complaint against him. And there is no fault on his part whatsoever!

Shrikrishna In Mahabharata also, there wasShakuni!

Arjun This is super Shakuni! See the audacity of the present complainant. There are two partnership firms with 5 partners each – ABC Caterers and Decorators; and ABC Caterers.

Mrs. A is a common partner in both the firms. One or two other partners are also common.

Shrikrishna Okay. Then?

Arjun ABC Caterers and Decorators (C & D) took a loan from a PSU bank.

Loan application was made on C & D letterhead, their partners’ data was given to bank, Mrs. A has signed the application and other papers.

Loan was sanctioned and disbursed to C & D only.

Shrikrishna Fine. Quite normal.

Arjun Moreover, Mrs. A’s husband was a guarantor to this loan. He was fully aware of everything as Mrs. A was a partner for name’s sake.

Shrikrishna That is also normal.

Arjun Unfortunately, the bank while opening the account, mentioned only ABC Caterers. The words – ‘and Decorators’ were missing. Entire paper work was in the name of C & D only.

Shrikrishna Didn’t they ask the banker?

Arjun They did. They were told that in their system, full name was not accommodated. Only these many characters are accommodated.

C & D firm operated this account as its own, also it utilised the loan amount, but it became NPA!

Shrikrishna Oh!

Arjun Bank started recovery proceedings against C & D.

Shrikrishna Obviously.

Arjun My CA friend audited accounts as if the transactions and bank account were of C & D only. And he was right.

Shrikrishna Did the other firm – ABC Caterers consider these transactions as theirs?

Arjun Not at all! Everybody was fully aware that it was of C & D only and it had nothing to do with the other firm.

Shrikrishna Mr. & Mrs. A were also aware?

Arjun Of course, yes. They were signatories. My friend was also involved right from beginning – in the process of obtaining the loan.

Shrikrishna Now, what is the problem?

Arjun Lord, Mr. A who is fully aware of everything, has filed a complaint against my friend.

Shrikrishna What for?

Arjun My friend was the auditor. The complainant says that he audited the accounts with transactions of C & D although the account on the face it was in the name of the other firm.

Shrikrishna Oh!! That was perhaps the mistake of the bank or the limitation of its system.

Arjun Yes, Lord. The fact remains that it was legally and factually of C & D itself. The bank has taken up legal proceedings against C & D only.

Bank has confirmed all these facts in the recovery proceedings before DRT.

Shrikrishna Very strange! But your friend will be definitely absolved.

Arjun I am not sure since your present has become doubtful! And any complaint takes at least 4 years for disposal. My poor friend is totally depressed and frustrated.

Shrikrishna The lesson is – Don’t trust anyone in such matters. Write to the bank there and then when the account is opened

Arjun I agree. But these are afterthoughts. No one could have even dreamt this. Question is that the guarantor despite being a party to the whole affairs has the audacity to make such a complaint.!

Shrikrishna Don’t worry. I will help him!

Om Shanti.

(This dialogue is based on the current scenario of rampant frivolous complaints of misconduct)

BCAJ Admin

Miscellanea

1. ARTIFICIAL INTELLIGENCE

# AI Traffic Could Surpass Human Activity by 2027

The internet is on the brink of a fundamental transformation. In a speech at the SXSW conference in Austin, Texas, Cloudflare CEO Matthew Prince warned that traffic generated by AI-powered bots could overtake human online activity as early as 2027. Prince described generative AI as having an “insatiable need for data,” driving automated agents to browse websites at a scale humans could never match. From shopping and research to content generation, these bots are already reshaping the digital landscape, creating real load on servers and networks worldwide.

Prince drew a sharp contrast between human and bot behaviour. A typical human shopping for a digital camera might visit just five websites. An AI agent performing the same task, however, could scan 1,000 times more—potentially 5,000 sites—in seconds. “That’s real traffic, and that’s real load, which everyone is having to deal with and take into account,” Prince said. Before the generative AI boom, bots accounted for roughly 20% of global internet traffic, mostly from legitimate sources like search-engine crawlers. Malicious bots existed, but they were a minority. Now, the explosion of AI tools has flipped the script.

The Cloudflare chief painted a picture of explosive, sustained growth. Unlike the sudden COVID-era surge in streaming (YouTube, Netflix) that strained networks for a few weeks before stabilising, AI-driven traffic is rising steadily with “no sign of slowing down or stopping.” This shift is forcing companies to rethink the very architecture of the internet. Prince highlighted the need for new infrastructure: instant, temporary “sandboxes” for AI agents. These lightweight environments could spin up in the same time it takes a user to open a new browser tab, run the agent’s task, and then shut down automatically. He predicted that, in the near future, millions of such sandboxes could be created every second.

(Source: indianexpress.com dated 21st March 2026)

#India’s outsourcing industry is worth $300bn. Can it survive AI?

India’s $300 billion (£223 billion) outsourcing sector, which accounts for 80% of the country’s total services exports and has created millions of white-collar jobs over the past 30 years, is facing its biggest threat yet from artificial intelligence. The Nifty IT index of the country’s top software firms has already plunged 20% this year, wiping out tens of billions of dollars in market value, after tools such as Anthropic’s Claude agent began automating core legal, compliance and data processes. Some CEOs and investors now warn that traditional IT services could “vanish by 2030”, with AI potentially eliminating up to 50% of entry-level white-collar roles; Jefferies forecasts that application-managed services (currently 22-45% of revenues) will suffer sharp deflation, dragging overall revenue growth down by 3% annually for the next five years before flatlining beyond 2031.

Indian IT giants, however, insist AI will ultimately create far more work than it destroys. Infosys CEO Salil Parekh points out that generative AI could displace 92 million jobs in roles such as front-end developers and testers, yet generate 170 million new positions in data annotation, AI engineering and AI leadership. Nasscom data shows AI-related revenue still accounts for just $10 billion of the industry’s $315 billion total, with sector-wide growth slowing to a modest 6% this year (from double-digit rates previously) and net employee strength projected to rise only
2.3% in 2026. HSBC’s “Software Will Eat AI” report adds that enterprise software firms remain irreplaceable for complex, reliable systems that pure AI cannot yet replicate, suggesting the industry will pivot from experimentation to large-scale AI deployment and outcome-based billing rather than disappear.

(Source: bbc.com dated 18 March 2026)

2. ENVIRONMENT

#An Invisible Crisis: The Hidden Environmental Impact of Pharmaceutical Waste

Pharmaceutical pollution has emerged as a silent global environmental crisis, with around 4,000 active pharmaceutical ingredients (APIs) currently in use worldwide. According to the UN, 631 pharmaceuticals or their transformation products have been detected in the environment across 71 countries. A major 2022 study found pharmaceutical contamination in river samples from over 1,000 locations in 104 countries, affecting every continent. Traces appear in rivers, lakes, and groundwater everywhere, with Pakistan’s Ravi River identified as the world’s most polluted from pharmaceutical waste. Manufacturing sites discharge concentrations 10 to 1,000 times higher than typical wastewater, and residues have been traced more than 30 km downstream

The ecological damage is already severe. Synthetic hormones act as endocrine disruptors at concentrations as low as one nanogram per litre, causing feminisation in male fish and reproductive failure. In South Asia, the veterinary drug diclofenac triggered a catastrophic decline of over 95% in vulture populations within a decade. Antibiotic residues in water are accelerating the rise of “superbugs,” a major global health threat highlighted by the WHO. While wastewater treatment plants can remove 90–95% of pharmaceutical compounds, the vast majority of pollution stems from human excretion, improper disposal of unused medicines, livestock farming, and factory discharges, raising serious long-term concerns for both ecosystems and human health.

(Source: earth.org – 17 March 2026)

BCAJ Admin

ICAI and Its Members

I. ICAI PUBLICATIONS

1. GUIDANCE NOTE ON AUDIT OF BANKS

The Institute issues a revised edition of the publication “Guidance Note on Audit of Banks” annually. This Guidance Note serves as a comprehensive resource for members, providing detailed guidance on the conduct of statutory audits of banks and their branches.

https://resource.cdn.icai.org/91301aasb-aps4524-b.pdf

2. BRIDGING THE EXPECTATION GAP – AUDIT VS. FORENSIC

The publication “Bridging the Expectation Gap – Audit vs. Forensic” addresses this critical issue in a structured and objective manner. It offers a clear exposition of the conceptual foundations, scope, and inherent limitations of statutory audits conducted under the Standards on Auditing, while contrasting them with the distinct objectives, methodologies, and deliverables of forensic engagements.

https://resource.cdn.icai.org/90762caq-aps4099.pdf

3. COMPENDIUM OF OPINIONS

44th Volume of the Compendium of Opinions, which encapsulates the opinions finalised during the period from February 12, 2024 to February 11, 2025.

https://icainet-my.sharepoint.com/:b:/g/personal/eac_icai_ in/IQCUOeRAj9 JjTZSNOKQCL7 svAdoR6l tUGs7etyMBuKenSD8

4. HANDBOOKS

a. Applicability of GST on the Agricultural Sector

https://d23z1tp9il9etb.cloudfront.net/download/pdf26/Handbook%20on%20Applicability%20of%20GST%20on%20Agricultural.pdf

b. Composition Scheme Under GST-February (3rd) 2026 Edition

https://d23z1tp9il9etb.cloudfront.net/download/pdf26/Handbook%20on%20Composition%20Scheme%20Under%20GST-February%20(3rd)%202026%20Edition.pdf

c. E-Commerce Operators under GST

https://d23z1tp9il9etb.cloudfront.net/download/pdf26/Handbook%20on%20E-Commerce%20Operators%20under%20GST.pdf

d. Refunds under GST

https://idtc.icai.org/publications.php#:~ :text=Handbook%20on%20Refunds%20under%20GST

e. Significant Judicial and Advance Rulings in GST-A Compilation

https://d23z1tp9il9etb.cloudfront.net/download/pdf26/Significant%20Judicial%20and%20Advance%20Rulings%20in%20GST-A%20Compilation%20 %20February%20(2nd)%202026%20Edition.pdf

5. TAXATION OF DIGITAL ECONOMY – A STUDY

“Taxation of Digital Economy – A Study” presents a comprehensive analysis of evolving tax frameworks impacting digital businesses. It highlights India’s multifaceted response—ranging from the Significant Economic Presence provisions to its commitment under the global Two-Pillar solution—while underscoring the principles of sovereignty and fairness that underpin these measures.

https://resource.cdn.icai.org/91170cit-aps4336.pdf

II. ICAI Opinion – Accounting treatment of non-construction fee under Ind AS framework

A. FACTS OF THE CASE

The company was allotted land by GMADA for the construction of an office building, with a condition to complete construction within a stipulated period.
Due to construction delays, GMADA levied non-construction / extension fees from time to time.
The company accounted for such fees (except penal interest) under Capital Work-in-Progress (CWIP), considering them attributable to the asset.
C&AG objected, stating that such fees are in the nature of a penalty for delay and should be expensed, not capitalised.

B. QUERY

Whether the accounting treatment of non-construction fees debited to CWIP is in compliance with applicable Ind AS.
If not, whether any modification in treatment is required.

C. POINTS CONSIDERED BY THE COMMITTEE

The Committee restricted its examination to the accounting treatment of non-construction fee only.
As per Ind AS 16, only costs directly attributable to bringing the asset to the location and condition necessary for its intended use can be capitalised.
Such directly attributable costs are those necessary for the construction or development of the asset, without which the asset cannot be made ready for use.
The non-construction fee arises due to delay in construction or non-compliance with stipulated timelines under the allotment terms.
The Committee observed that such fees are not necessary for construction activity nor for bringing the asset to its operational condition.
Instead, these represent a cost of holding the land without construction or during construction, similar to administrative costs

D. OPINION

The non-construction fee relates to delay/non-compliance with construction conditions and is not directly attributable to bringing the asset to its intended operating condition.
Accordingly, such expenditure cannot be capitalised under Ind AS 16
It should be expensed in the Statement of Profit and Loss with appropriate disclosures.

III. ICAI BOARD OF DISCIPLINE – CASES

Case: In Re : CA. DKA

File No. : PPR/P/348/17/DD/334/INF/2017/BOD/489/ 2018

Date of Order : 30.12.2025

Particulars Details

Complainant Information received from CBI (RC No. G(E)/2005/EOW-I/DLI)

Nature of Case Involvement in fraudulent donation routing through bogus trusts

Background :A CBI investigation revealed a large-scale fraud (2003–2005) involving the misuse of the name of the Indian Medical Scientific Research Foundation (IMSRF). Fake bank accounts were opened in the name of IMSRF and other fictitious trusts, through which donations aggregating ₹3.26 crore were received and siphoned off. Funds were routed back to donor companies after deducting commission, enabling wrongful tax exemptions.

Key Allegations Acted as a key conspirator in the creation and operation of bogus trusts.

– Facilitated opening of fake bank accounts and routing of funds.

– Had control/association with accounts used for diversion of donations.

– Assisted in enabling fraudulent tax benefits to donor entities.

Respondent’s Defence – Alleged procedural irregularities and lack of proper opportunity.

– Claimed delay and non-supply of documents by ICAI.

– Stated that the related CBI matter was still pending at the pre-charge stage.

– Did not substantively address allegations on merits and largely remained absent during proceedings.

Findings

– Evidence from CBI investigation, bank records, PAN data, and witness statements established active involvement.

– Respondent repeatedly failed to appear despite multiple opportunities

– No credible defence on merits was provided.

– Proceedings remain valid even if member’s status ceases at a later stage.

– Conduct showed a serious ethical breach and disregard for the disciplinary process.

Charges Established Guilty under Item (2), Part IV, First Schedule – other misconduct (read with Section 22).

Punishment Removal of name from Register of Members for 3 months

Case : CA. KHJ vs. CA. RK

File No. : PR/29/2020/DD/66/2020/BOD/643/2022

Date of Order : 30.12.2025

Particulars Details

Complainant CA. KHJ

Respondent CA. RK

Nature of Case Holding Certificate of Practice while in full-time employment

Background The Respondent, holding a Full-Time Certificate of Practice since 2005, was found to be simultaneously working as Chief Financial Officer (CFO) in a government organisation in Bihar, namely JEEVIKA (Bihar Rural Livelihoods Promotion Society). As per ICAI regulations, a CA in practice cannot engage in any other employment without prior permission.

Key Allegations – Continued to hold a full-time COP while working as CFO in a Government organisation.

– Engaged in employment without obtaining prior permission from ICAI.

– Violated Clause (11), Part I, First Schedule and Regulation 190A.

Respondent’s Defence Claimed employment was contractual and performance-based, not full-time.

– Argued misunderstanding regarding the permissibility of holding COP.’

– Submitted that no attestation work, UDIN generation, or professional practice was carried out.

– Subsequently surrendered COP and membership (2024).

Findings- Documentary evidence (staff list & website) established Respondent as a full-time CFO.

– No evidence of ICAI permission for employment was produced.

– Claim of contractual engagement was unsupported.

– Counsel admitted lapse during the hearing.

– Holding a COP alongside employment is a clear violation of professional ethics.

Charges Established Guilty under Item (11), Part I, First Schedule – engaging in another occupation while in practice.

Punishment Removal of name from the Register of Members for 1 month

Case : Ms. PDP vs. CA. M.S.M.

File No. : PR/300/2018/DD/301/2018/BOD/646/2022

Date of Order : 30.12.2025

Particulars Details

Complainant Ms. PDP

Respondent CA. M.S.M.

Nature of Case Gross negligence in handling ITAT appeal

Background The Complainant engaged the Respondent to represent her in income-tax appellate proceedings (AY 1999–2000 to 2004–05) before CIT(A) and ITAT, Pune. Despite payment of professional fees, the Respondent allegedly failed to appear before ITAT on multiple hearing dates, leading to an ex-parte order confirming a tax demand of approx. ₹56 lakh, causing financial hardship.

Key Allegations Failure to attend ITAT hearings despite engagement and receipt of fees.

– Non-representation resulted in ex-parte order and substantial tax liability.

– Negligence in the discharge of professional duties.

Respondent’s Defence No substantive defence; the Respondent failed to appear or file a reply despite multiple opportunities.

Findings

– ITAT order recorded non-appearance of the authorised representative on hearing dates (page 4).

– Complainant provided documentary evidence, including the appointment letter, fee proof, and ITAT order.

– The Respondent remained absent in all proceedings (7 hearings) and failed to rebut the allegations.

– Conduct was held to constitute gross negligence and dereliction of professional duty.

Charges Established Guilty under Item (2), Part IV, First Schedule – Other Misconduct (lack of due diligence).

Punishment Removal from the Register of Members for 3 months

BCAJ Admin

59th Members’ Residential Refresher Course – A Report

The flagship event of BCAS, the Members’ Residential Refresher Course (RRC), was held in the “Silicon Valley of India” – Bengaluru between Friday, 23rd January, 2026 and Monday, 26th January, 2026.

In an era where the role of the Chartered Accountants is rapidly evolving beyond compliances into Strategy, Leadership, Technology, And Trusted Advisory, Practice 360° – A Holistic Revolution seeks to Re-Imagine the modern CAs’ practice. This Members’ RRC was designed to provide a comprehensive, 360-degree perspective on Professional Practice—integrating technical topics of Taxation and Audit with Technology Adoption, Global Opportunities, Strategic Collaboration and Leadership.

A recce in December 2025 helped the Seminar, Membership & Public Relations (SMPR) Committee to decide the venue as Sheraton Grand Bengaluru Whitefield Hotel & Convention Center, Whitefield, Bengaluru.

As the RRC approached and preparations were in full swing, it was decided to further enhance the value of this year’s RRC paper book. Traditionally, the paper book has comprised only case studies / presentation papers. This year, however, it was thoughtfully expanded to include 16 articles authored by former Presidents of BCAS, eminent Chartered Accountants, a Doctor, and members of the BCAS staff. Last year during the 58th Members’ RRC, the participants paid homage to Ram Lalla and sought His blessings at Shree Ram Mandir, Ayodhya. This year, the SMPR Committee chose to visit an institution of academic excellence – the Indian Institute of Management, Bangalore (IIM-B). The visit to IIM Bangalore with an exclusive session with the Dean, complemented by engaging Group Discussions, Insightful Paper Presentations, and thought-provoking Brain Trust sessions, elicited an exceptional response. With a total of 155 participants drawn from 26 States / Union Territories and 35 cities and towns, the RRC witnessed pan-India participation.

On Day 1, participants from all parts of the country descended into Bengaluru. They were greeted with warm hospitality by the hotel staff and the BCAS events team. Post lunch, all gathered for the Group Discussion on “Taxation (Domestic and International) – Family Office & Succession Planning”.

Inauguration of the 59th

Addressing at Inaugural Session

It was followed by the Inaugural Session wherein President, CA Zubin Billimoria welcomed all the participants and spoke about the Committee’s decision to visit a different kind of temple—the “Temple of Knowledge,” the Indian Institute of Management, Bangalore (IIM-B). Former President and Chairman of the Committee, CA Uday Sathaye, provided a comprehensive overview of the RRC, emphasizing its objectives, relevance and thought process behind its comprehensive agenda including other relevant highlights of RRC. The Chief Guest CA F. R. Singhvi then lit the ceremonial lamp flanked by the President, the Vice President, Former Presidents, the Chairman / Co-Chairman of the Committee, Joint Secretaries and Committee Convenors.

Guiding the Group

CA F R Singhvi & CA Rahul Gabhawala

CA F. R. Singhvi gave a compelling speech on “Ethics in Business and Profession”. He emphasized on the importance of Chartered Accountants practicing their profession with integrity and ethics. He also extolled the members to step out of traditional practice areas and spoke of his dream to see a Big 4/ Big 6 among Indian CA firms.

The next session was a Presentation Paper by CA Rahul Gabhawala on “Technology Masterclass – Workshop on Tools & Techniques in Taxation”. The session was chaired by Former President CA Govind Goyal. The session was conducted in a classroom format, with participants receiving hands-on instruction on their laptops in the fundamentals of Selenium, an open-source browser automation tool.

Day 2 commenced with a Presentation Paper by CA Vishal Doshi on “Audit Quality Maturity Model and Standard of Quality Control 1 – Building Quality Audit Firms” wherein he provided practical guidance on its implementation. The session was chaired by CA Uday Sathaye.

The next session was the replies by CA Girish Vanvari to the Case Studies discussed the previous day. He provided an overview of key considerations of M&A transactions happening in the real world and the practical way forward. The session was chaired by Former President CA Pranay Marfatia.

Speakers RRC

This was followed by a 40-40 session where CA Manish Dafria provided a quick overview of “The Income Tax Act, 2025”. The session was chaired by CA Sanjay Shah.

Post a refreshing and sumptuous lunch, next session “Global Outsourcing – Broadening one’s horizons” was addressed by CA Chetan Venugopal. He introduced the participants to the opportunities available for Chartered Accountants at the global level and shared his journey of leading his organization from being a start-up with two founders, to a multinational organization with more than 2,000 employees! The session was chaired by Vice President, CA Kinjal Shah.

Panel Discussion

Despite a tiring day, the participants enthusiastically attended the last session of the day – the Inter-Disciplinary Brain Trust session covering “Hospitality (Hotel, Travel & Tourism) and Start-ups”. The esteemed panel of CA H. Padamchand Khincha, CA Mandar Telang and CA Mohan Lavi presented their views on the case studies at hand. The session was ably moderated by CA Priya Bhansali and CA Sanjay Dhariwal. The panelists deep dived into the various intricacies of the case studies.

IIM Bangalore Shri Sourav M

Day 3 began on an energetic note, with the enthusiasm of the participants evident in the early hours of the morning as they got into the coaches to head to IIM-B campus. During the guided campus tour, participants enjoyed exploring the lush green and iconic surroundings, enthusiastically capturing photographs at locations made famous by the the movie “3 Idiots” which had been shot on the campus. The tour offered a glimpse into the academic legacy and serene environment of one of India’s premier management institutions.

Following the campus tour, all assembled in the auditorium, setting the stage for the next segment – an engaging session on “Strategic Thinking” by Shri Sourav Mukherji, the Dean, Faculty & Professor, Organizational Behavior and Human Resources Management.

The session commenced with a short introduction on the subject followed by an interactive discussion with the participants on the case study of “Robinhood”. The Professor drew parallels with the challenges faced by modern day business houses/ organizations. He concluded the session with an important message – not all problems have only one right or wrong answer. The same needs to be solved by Critical Thinking, Experimentation and Debates. Post ethnic South Indian meal, the participants embarked on the return journey.

After a refreshing tea break and the RRC group photo, the participants gathered in their break-out groups for the group discussion on a paper “Collaborations & Coalitions – Mergers, Acquisitions, Alliances between CA Firms”.

Group Dicussion

The session following this was the 40:40 session “Government Schemes applicable to MSME & Professional Firms” by CA Piyush Mital wherein he gave an overview of the various subsidies available especially to Chartered Accountants/ their firms. The session was chaired by CA Mrinal Mehta.

The evening concluded with a townhall wherein the President, Vice President, Chairman, Co-Chairman, and Convenors shared their experiences in organising and hosting the RRC. Participants who had contributed towards the RRC in various capactities were felicitated with a memento. With more than 40 participants as first-timers at the RRC, many of them took to the stage to acknowledge the powerful impact the sessions had left on them and promised to become a regular face at future RRCs. The engaging Group Discussions, Insightful Paper Presentations, and thought-provoking Brain Trust session complemented by a visit to IIM Bangalore with an exclusive session by the Dean drew much admiration with positive response.

Day 4 commenced with the replies to the case studies by CA Guru Prasad Makam. He addressed the audience by drawing upon his extensive real-life experiences. He shared his learnings and insights in a frank manner. His talk elicited two standing ovations from the audience. The session was chaired by CA Chirag Doshi.

Following this session was a presentation on “Role of CFO in Disruptive Start-Ups” by CA Rajiv Gupta. The session was chaired by CA Uttamchand Jain.

Closing Ceremony

CONCLUDING SESSION:

In the concluding session, the President and the Chairman expressed their appreciation to all those whose efforts contributed to the smooth and successful execution of yet another RRC, with special appreciation for the support extended by the local members, CA Sujatha G and CA Sanjay Dhariwal.

As the curtains were drawn, marking yet another impactful RRC that encouraged meaningful reflection on the current landscape of the profession and its future direction, the gathering was aptly concluded by a poem in Hinglish by a participant, CA Sweety Kothari:

1) Vanvari Sir ka family office aur succession par flawless deliberation

Singhvi Sir ka professional ethics ka important lesson

Rahul Sir ka computer program ke self writing ka direction

Yaad rahega! Yaad rahega!

2) Vishal Doshi Sir ka AQMM ka point-wise explanation

Chetan Sir ka lecture on broadening horizons

Manish Sir ka IT Act 2025 ka practical vishleshan (analysis)

Yaad rahega! Yaad rahega!

3) Hotel start-ups wala brain trust session

Padamchand Khincha Sir ka complicated issues par refined opinion

Mandarji Mohanji ka har case par full explanation

Priya Ji Sanjay Ji ka soft but up-to-mark moderation

Yaad rahega! Yaad rahega!

4) Guru Sir ka CA firms merger wala equation

Rajiv Sir ka CFO role ki nayi definition

Piyushji ka government subsidy ka simplification

Yaad rahega! Yaad rahega!

5) IIM campus tour par jaana

Gyaan ke mandir ki parikrama lagaana

Sourav Ji ka Robinhood case samjhaana

Hum mein Strategic thinking ki spark jagaana

Chirag Ji ka hare tortoise ki story new perspective se sunaana

Yaad rahega! Yaad rahega!

6) Sessions ke beech mein samay churaana

Different professionals se ghul mil jaana

Lunch dinner par milna aur gapiyana (gossip)

Bus mein Hindi-Tamil songs ek sur mein gaana

Swimming pool ke kinaare der raat tak gossip

Poking, joking, hasna aur khilkhilaana (laughter)

Yaad rahega! Yaad rahega!

7) Uday Sir ke couplets aur enthusiasm

Sheraton ka stay aur delicious vyanjan (delicacies)

Chirag, Preeti, Aditya, Vivek ka flawless coordination

Zubin Sir ka experienced margdarshan

Yaad rahega! Yaad rahega!

8) Siddharth Dikshita ka Bangalore ghumaana

Corner House ka almond fudge khilaana

Raat ko 1 baje waffle order karna

Bangalore RRC mein unforgettable memories banana

Yaad rahega! Yaad rahega!

Group Photos

BCAJ Admin

Learning Events at BCAS

1. Blood Donation & Platelet Donation Awareness Drive held on Friday 13th February 2026 @ BCAS.

On Friday, 13th February 2026, the BCAS Foundation, jointly with the Seminar, Membership & Public Relations Committee of BCAS, held the annual “Blood Donation Drive”, enlisting the support of Tata Memorial Hospital (TMH).

Blood Donation

Doctors and technicians from TMH screened 63 potential donors using a detailed questionnaire they completed. 54 units of blood were collected from eligible donors, including the former president, the Hon. Joint Secretary, the Convenors of the SMPR committee, and BCAS members and staff.

To raise awareness and dispel myths about platelet donation, a “Platelet Donation Awareness Drive” was also held, with donors providing a blood sample for a platelet donation eligibility check.

In recognition of their invaluable contribution, each blood donor was presented with a “Life Saver” medal. NSS volunteers from H R College of Commerce & Economics and Dharma Bharathi Mission canvassed around the area to spread awareness of the drive and encourage interested parties to come and get their eligibility confirmed for donating blood to the noble cause.

2. Public Lecture Meeting on Direct Tax Provisions of Finance Bill, 2026 held on Saturday, 7th February 2026 @ Yogi Sabhagruh Auditorium, Dadar East.

The public lecture on Direct Tax Provisions under the Finance Bill 2026 was delivered by noted tax expert CA Shri Pinakin Desai before a packed audience at Yogi Sabhagruha, Dadar. The session assumed particular significance as this is the first Budget where amendments operate simultaneously in two legislations — the Income-tax Act, 1961 and the new Income-tax Act, 2025, which is set to come into force from 1 April 2026.

Public Lecture Meeting

Shri Desai described the Budget as largely calibrated and balanced, but cautioned that certain policy-level concerns emerging from the transition to the 2025 Act merit closer professional examination. He observed that while the Joint Parliamentary Committee largely confined itself to administrative aspects, some substantive policy shifts embedded in the new legislation may require representation and deeper deliberation at professional forums.

Certain deliberations from his session are covered here in brief:

1. Broad framework:

Unlike prior years, there were virtually no changes to slab rates. The focus was on structural rationalisation:

Calibration of Securities Transaction Tax (STT) to moderate speculative activity.
Rationalisation of TDS/TCS rates.
Reduction of TCS on overseas tour packages from 20% to 2%.

2. Corporate and Structural Reforms

MAT Regime:

From 1 April 2026, companies continuing under MAT may lose MAT credit going forward, effectively nudging domestic companies towards the concessional regime. Foreign companies, lacking this option, appear disproportionately affected.

ICDS and Ind AS Integration:

A proposal to merge ICDS with Ind AS has been introduced. Concerns remain regarding compatibility with IFRS-based accounting standards.

Transfer Pricing and Safe Harbour:

Safe harbour margins for IT-enabled services have been consolidated at 15% with an enhanced turnover threshold of ₹2,000 crore. Correlative relief is now provided to foreign companies where APAs lead to secondary adjustments.

Data Centres and GCCs:

Foreign companies procuring specified data centre services in India are granted tax protection up to 2047, reducing litigation around income attribution.

3. Computation and Compliance Amendments

Dividend and Interest:

No deduction of interest expenditure will be allowed against dividend or mutual fund income under “Income from Other Sources,” raising concerns on taxation of gross income principles.

Employees’ PF Contribution:

A relief measure now allows deduction if employees’ contribution is deposited before the due date of filing the return under section 139(1), even if delayed under the PF Act.

Buyback Taxation:

Buyback proceeds will be taxed under capital gains from 1 April 2026 instead of as dividend income. Promoter-category shareholders face higher specified tax rates, raising interpretational issues.

Unexplained Income:

Voluntary disclosure in the return attracts tax at 30%. If detected in an assessment, immunity from penalty requires payment of tax plus 120% additional tax.

4. Litigation and Procedural Changes

Decriminalisation:

Several prosecution provisions have been removed or diluted, with reduced imprisonment terms and enhanced monetary thresholds — a significant compliance reform.

Retrospective Amendments:

Four retrospective amendments, including one dating back to 2007 relating to DRP timelines, were introduced — a development viewed with concern.

Mandatory Fees:

Certain penalties are proposed to be converted into mandatory fees, removing discretion and the opportunity of hearing.

Combined Assessment and Penalty Orders:

Assessment and penalty may now be passed through a combined order. While the recovery of the penalty may remain stayed on appeal, concerns were expressed about potential bias and increased litigation exposure.

5. Other Notable Clarifications

Sovereign Gold Bonds:

Exemption on redemption will apply only to primary subscribers holding bonds till maturity, though coverage is extended to all bond series prospectively.

Compulsory Acquisition:

Exemption relating to acquisition under the land acquisition law is now incorporated into the Income-tax Act, though limited to individuals and HUFs, creating possible interpretational issues for companies.

In conclusion, Shri Desai remarked that although the Budget may outwardly appear minimalist, it contains several nuanced structural changes with long-term implications for corporate taxation, transfer pricing, litigation strategy, and compliance architecture.

The meeting witnessed an enthusiastic response, with over 400 participants attending in person and more than 11,491 viewers online and still counting.

The lecture meeting can be viewed on the BCAS YouTube channel at the designated QR code.

Public Lecture

3. 26th Course on Double Taxation Avoidance Agreements held from Monday 15th December 2025 to Thursday 29th January 2026@ Virtual.

Following the highly successful and well-received Silver Jubilee edition of the Course on Double Taxation Avoidance Agreement, which featured a revised format, this edition returned to the traditional format of live sessions covering all topics. The course broadly included the following:

• 28 sessions on various international tax topics and covered almost all the key articles of the DTAAs.

• An overview of FEMA / MLI / GAAR, Transfer Pricing/ key provisions under the Income-tax Act/ TDS on payments to non-residents/ Dispute resolution under MAP, APA, etc.

• A Brain Trust session with distinguished panelists, and key current issues were debated, with panelists sharing divergent perspectives.

The sessions were relevant for beginners and intermediate levels of knowledge in international tax, with emphasis on case studies and sharing of practical insights.

More than 150 participants from more than 30 cities attended the course.

Scan to watch online at BCAS Academy

26th DTAA

4. Direct Tax Laws Study Circle Meeting – “Analysis of Section 56(2) (x) of the Act with Practical Scenarios” held on Wednesday, 28th January 2026@ Virtual.

Section 56(2)(x) is a significant anti-abuse provision that aims to tax receipts of money or specified property without, or for inadequate consideration. The session highlighted key tax provisions, legal principles, and practical considerations involved in interpreting and applying the provision, particularly in the context of varied practical transactions.

Speaker: CA Chaitee Londhe

The session provided an overview of Section 56(2) (x) as a residuary charging provision and explained the conditions governing its applicability.
The expanded scope of the provision covering all categories of persons and specified properties was discussed.
Judicial principles laid down by courts on the classification of income under appropriate heads were briefly highlighted.
Practical implications of receipt of money or property without or for inadequate consideration were examined.
Key scenarios involving compensation and indemnity receipts, distress-driven transactions, and waiver of loans were analysed.
The taxability of issue and receipt of shares, including valuation-related aspects, was deliberated with reference to case law.
The interplay between Section 56(2) (x) and Section 68 was discussed to highlight practical assessment issues.
Certain complex and evolving scenarios, including transactions involving relatives and digital assets, were briefly touched upon.

The session was highly interactive, with active participation from the members. The speaker presented the complex provisions of Section 56(2) (x) in a structured and practical manner, enabling participants to gain clarity on its application across varied scenarios.

5. Lecture Meeting on Decision of Supreme Court in Tiger Global and it’s ramifications held on Friday, 23rd January 2026 @ Virtual

The lecture meeting, arranged to discuss the Supreme Court (SC) ruling in the case of Tiger Global pronounced on 15 January 2026, received wide interest from across India, given the ramifications of the decision. The chairman of the Session, Shri R. S. Syal laid down the context of the decision. The moderator CA Mahesh Nayak took the participants through the decision before opening the floor for brainstorming. Other Panelists, CA Rajan Vora and Adv. Rajesh Simhan addressed barrage of questions arising from the SC ruling in the Tiger Global. The Chairman, Adv. R. S. Syal also provided his thoughts on each of the questions raised to the panelists.

The discussion was focused on how one reads some of the observations of the Supreme Court as well as practically, how the decision impacts taxpayers, as well as Chartered Accountants who certify the taxability on foreign remittances. Some of the questions posed to the panel were:

Whether the decision of the Supreme Court is only prima facie or is it a final ruling on the taxability?
Can Judicial Anti-Avoidance provisions apply when GAAR rules are already in force?
What is the difference between an investment and an arrangement, and what is grandfathered under the GAAR rules? Various other practical nuances (such as reopening of past matters / pending matters) were discussed.
The Lecture meeting was attended by around 745 participants

The lecture meeting can be viewed on the BCAS YouTube channel at the designated QR code.

Lecture Meeting on Decision of Supreme Court in Tiger Global and it's ramifications

6. Lecture Meeting on Ancient Roots, Global Routes: Reimagining Global Leadership for the Indian CA held on Wednesday, 21st January 2026 @ Mathuradas Vasanji Hall, Grant Road, Mumbai

Seminar, Membership & Public Relations (SMPR) Committee organized a Lecture Meeting was held “Ancient Roots, Global Routes: Reimagining Global Leadership for the Indian CA” – by CA Shourya Doval on 21st January 2026. CA Shourya Doval, in his address, stated that India is emerging as a major economic power, now ranked fourth globally. “There can be no global peace and no global order without India,” he said. The session focused on how Chartered Accountants must navigate a rapidly evolving international economic and financial landscape while remaining anchored to core principles. The discussions centred on ethical leadership and value-based decision-making as essential foundations for developing future leaders in the global economy.

Lecture Meeting on Ancient Roots Global

During the session, he was asked an insightful question: Coming from a proud Indian Military family, what inspired him to pursue Chartered Accountancy? His response reflected both depth and foresight. He explained that until 1990, global leadership was defined by military power, but the world thereafter began to be shaped by economic strength. His father had told him that future global influence would rest with nations built on strong economic foundations — a perspective that deeply resonated with him and ultimately inspired his decision to become a Chartered Accountant, contributing to the economic engine that drives nations forward.

The event concluded with interactions and networking among participants, underscoring BCAS’s focus on professional development and leadership preparedness within the Chartered Accountancy fraternity.

The lecture meeting was positioned alongside a guided tour specially conducted for BCAS members of the Jyot Foundation Exhibition “Vasudhaiva Kutumbakam Ki Oar 4: The 12 Principles That Can Shape a New World Order,” designed to provide attendees with an expanded cultural and philosophical understanding of the Global Leadership dialogue.

7. Members’ Awareness Drive on Practice Management held on Saturday, 15th November 2025 to Saturday, 17th January 2026 @ Virtual.

The Seminar, Membership and Public Relations Committee of Bombay Chartered Accountants’ Society (BCAS) organised the “Members’ Awareness Drive on Practice Management – Reimagining Practice: Awareness, Opportunities & Excellence – Empowering Every Member – One Area at a Time”. It was a 10-session virtual series held every Saturday from 15th November 2025 to 17th January 2026, with the objective of strengthening BCAS members’ practice management capabilities. In acknowledgement of the unwavering support displayed by the members to the flagship event of BCAS, all registered participants of the (then) upcoming 59th Members’ Residential Refresher Course were offered an opportunity to attend the series gratis.

The series focused on equipping practitioners to manage and grow their firms beyond technical competence, covering people management, technology adoption, profitability, collaboration, and future-readiness.

Session Highlights

CA Mrinal Mehta addressed practical challenges and common errors in GST Annual Returns and reconciliations, offering actionable compliance insights
CA Samit Saraf shared effective tools and techniques to strengthen internal audit processes and enhance audit value.
CA Vivek Shah provided a practical roadmap for setting up a CA firm in Dubai, covering opportunities, challenges, costs, and market considerations
CA Anand Banka discussed key nuances and practical complexities under IND AS with real-life application perspectives.
CA Lokesh Nathani emphasised the power of networking in professional growth and building long-term practice sustainability.
CA Nikunj Shah demonstrated how Artificial Intelligence can be harnessed to improve efficiency and competitiveness in CA practice.
CA Mangesh Kinare shared practical insights on financial reporting for SMEs, drawing valuable learnings from disciplinary matters.
CA Milin Mehta elaborated on strategic collaborations and firm mergers as growth drivers for small and mid-sized practices
CA Sushrut Chitale guided members on building a future-ready firm through structured processes, technology, and strategic vision.
CA Chirag Mehta explained practical aspects of E-Invoicing and automation solutions tailored for small practitioners.

The sessions witnessed enthusiastic participation from the practising members, fostering meaningful discussions and the exchange of practical experiences.

8. BCAS NXT – Learning & Development Bootcamp – Overview of the New Income Tax Act, 2025 held on Friday, 16th January 2026 @ Virtual

The Human Resource Development Committee organised a BCAS NXT Learning & Development Bootcamp on “Overview of the New Income Tax Act, 2025” on Friday, 16th January 2026, from 5.00 pm to 7.00 pm.

The session was led by Ms Shravani Erram, a CA Final student, who delivered a detailed presentation covering an overview of the Income Tax Act, 2025, explaining the rationale behind the introduction of the new Act and the key structural and drafting changes. She highlighted important concepts such as the distinction between tax year and financial year, along with major comparative changes in heads of income, TDS, and TCS provisions. CA Aditya Pradhan, the mentor for the session, provided valuable insights and guidance throughout, offering expert interventions as needed.

The bootcamp was held in person at ASDT & CO and was also streamed online, with active participation from students across India.

More than 150+ students benefited from this session.

Scan to watch online on YouTube.

BCAS NXT - Learning & Development Bootcamp - Overview of the New Income Tax Act

9. GST Compliances & Returns – A Practical Walkthrough: BCAS Initiative for Students held on Tuesday, 13th January 2026 @ N M College.

The session on GST Compliances & Returns – A Practical Walkthrough was organised for third-year B.Com students, with 46 students participating. The objective of the programme was to provide students with a practical understanding of GST compliance and the return filing framework, bridging the gap between academic concepts and real-life application.

GST Compliances & Return

The session conducted by CA Mansi V. Nagda focused on the GST return mechanism and process flow, explaining the compliance cycle from reporting of transactions to filing of returns. A structured explanation of GST utility forms was undertaken, covering GSTR-1, GSTR-2A, and GSTR-3B, with key terminologies, functional flow, inter-linkages, and commonly encountered compliance issues.

Emphasis was laid on understanding outward and inward supply reporting, reconciliation aspects, summary return filing, and the importance of accuracy and timeliness in GST compliance. The session adopted an interactive approach, enabling students to clarify conceptual and procedural aspects of GST returns.

10. Lecture Meeting on The World in 2026 and Beyond held on Friday, 12th December 2025 @ BCAS (Hybrid)

The joint lecture meeting of the Bombay Chartered Accountants Society and the Chamber of Tax Consultants featured Mr Sundeep Waslekar, Founder of Strategic Foresight Group and an internationally recognised expert on geopolitics and future studies. The session examined the evolving global order in 2026 and beyond, focusing on geopolitical tensions, artificial intelligence, economic uncertainty and strategic realignments.

The speaker framed the present period as a transitional and potentially turbulent phase in world history, where the existing global order is weakening while a new framework has yet to stabilise.

Key Global Themes

– Western Political and Economic Strain- Persistent geopolitical conflicts, particularly the prolonged Ukraine war, combined with economic stress and political polarisation, could create instability in parts of the West. Such shifts may alter global power balances and open strategic space for emerging economies.

– The AI Arms Race – The competition between the United States and China has moved beyond consumer AI applications to AI-driven scientific discovery. Advanced systems capable of generating new insights in biology, chemistry and physics could redefine global technological leadership. Risks discussed included AI-enabled cyber warfare, biological threats and even autonomous military escalation, underscoring the need for ethical and strategic safeguards.

– Competing Models of World Order- If large-scale conflict is avoided, the next phase may involve a philosophical contest over models of global governance and power concentration. Current geopolitical manoeuvres were analysed in this broader context.

IMPLICATIONS FOR INDIA

India’s balanced geopolitical stance was described as strategically prudent. However, the speaker cautioned that India must invest more deeply in foundational scientific research and advanced AI systems, rather than limiting itself to application-level innovation. Space technology and next-generation computing were identified as important opportunity areas.

While moderate global growth remains possible, geopolitical shocks and rapid AI investments could significantly influence economic trajectories. The Gulf region’s rise as an AI and data infrastructure hub was noted, though accompanied by regional vulnerabilities.

The session concluded with a balanced perspective — acknowledging serious global risks while emphasising that the majority of nations and people seek stability and prosperity. The coming years will determine whether cooperative global leadership can prevail over destabilising forces.

The lecture witnessed active participation from members across regions, reflecting the profession’s growing engagement with global developments that increasingly influence economic and professional landscapes.

The lecture meeting can be viewed on the BCAS YouTube channel at the designated QR code.

II. BCAS INITIATIVES

BCAS Signs MOU with SIMSREE

The Bombay Chartered Accountants’ Society (BCAS) has signed an MOU with Sydenham Institute of Management Studies, Research and Entrepreneurship Education (SIMSREE) to establish a framework for cooperation in the areas of capacity building, training & skill development between the two Insititutions.

The MOU between BCAS & SIMREE is to facilitate and conduct the following activities as mutually agreed upon:

Workshops & Seminars
Curriculum Development
Invitation to select Programs & use of each other’s premises
Research & Advocacy

The MOU Signing Ceremony was conducted in the presence of President CA Zubin Billimoria, Vice President CA Kinjal Shah, Joint Secretary CA Mandar Telang, SMPR Committee Chairman CA Uday Sathaye & Past President CA Pradip Thanawala.

III. BCAS IN NEWS & MEDIA

BCAS has been featured in several news and media platforms, showing our active involvement, professional contributions, and commitment to the field. This reflects the growing recognition of BCAS in the public and professional space.

Link: https://bcasonline.org/bcas-in-news/

QR Code:

BCAS IN NEWS & MEDIA

BCAJ Admin

Gen Z

In a senior citizens’ association, members were discussing the present day’ inflation. All had become nostalgic – in the memories of their childhood. They were vying with one-another in describing how cheap the things were in their childhood. Their chat was something like this –

When I used to go to the school, my bus fare was five naye paise! Since I was a regular ‘passenger’, occasionally conductor-uncle left me just like that! No ticket.
Minimum local train fare was 30 naye paise! My father used to travel from Mumbai to Pune in just seven rupees!
When I got married, the gold was 30 rupees a tola!
In my college canteen, vada was 15 naye paise for – two pieces and tea was 10 paise!
Minimum taxi fare was less than one rupee. I think 80 naye paise. That was a luxury. Taxi was hired only when we went on a long travel in a train, since there used to be big luggage with us.
In our school picnic, the contribution per student used to be 3 to 5 rupees which my parents felt to be on higher side!
With chilly and coriander, they used to give pieces of ginger free!

Likewise the discussion was going on. All of them expressed concern over the present day inflation, conveniently forgetting that their pension amount was about 10 times their last drawn salary at the time of retirement. This, of course, is human nature. We often have only one-sided thinking.

One gentleman narrated an interesting experience about Gen Z – his 6-year-old grandson. He said “Friends I was describing all this to my grandson who is just 6-year-old. I told that I used to accompany my father to the market during Diwali festival. He used to carry a few cloth bags with just 10 to 15 rupees in his pocket. We used to buy so many things! Grains, fruits, new clothing, toys, crackers, Diwali sweets, so on and so forth. It was difficult to carry the load of full bags. In addition, we also used to have masala dosa in a small hotel We visited restaurants only once or twice in a year!

My grandson was completely puzzled. He wondered why at all we went to the market to buy things, when everything was available online!

And secondly, he said – ‘Grandpa, now all these purchases may not be possible in such a small amount since, now everywhere CC TV cameras are set!

BCAJ Admin

Regulatory Referencer

I. FEMA

1. RBI notifies FEM (Guarantees) Regulations, 2026; mandates quarterly reporting of guarantees in Form GRN

The RBI issued FEM (Guarantees) Regulations, 2026 superseding the regulations of 2000. It regulates guarantees involving residents and non-residents under FEMA. The following regulations are provided:

a. Prohibition of Indian residents from being parties to guarantees involving non-residents, except as permitted.

b. Exemptions where guarantees provided by overseas or IFSC branches of Authorised dealer banks; certain irrevocable payment commitments and guarantees issued under overseas investment regulations.

c. Permission to Indian resident to act as a Surety or principal debtor.

d. Permission to Indian residents to obtain guarantees as creditors.

e. Reporting requirements – Form GRN introduced.

f. Like other regulations, a late submission fee is prescribed for late reporting and enforcing compliance.

[Notification No. FEMA 8(R)/2026-RB, dated 6th January 2026]

2. RBI issues new FEMA regulations on export and import of goods and services, effective October 1, 2026

RBI has notified FEM (Export and Import of Goods and Services) Regulations, 2026 superseding Export Regulations of 2015 and consolidating frameworks for both Import and Export. These regulations will be effective from 1st October 2026.

Subsequently, it has also issued Master Directions with instructions contained therein for export and import effective from the same date. The RBI has directed Authorised Dealers (ADs) to ensure adherence to rules, regulations, directions and Foreign Trade Policy and the ADs shall send all references to RBI through PRAVAAH portal and inform any doubtful transactions to Directorate of Enforcement (DoE). They may bring the contents of the circular to the notice of their customers/ constituents concerned.

Key changes that are going to take place are as follows:

a. Export Proceeds realisation – Earlier, the period was either 9 or 12 months. Proposed uniform period will be 15 months and 18 months for INR invoiced trade. If the export proceeds are unrealised beyond one year or the extended period, then the subsequent exports will be permitted only against full advance payment or irrevocable Letter of Credit.

b. Declaration of Export Value and Reporting – A single unified reporting in ‘Export Declaration Form’ (EDF) which will include reporting for software as well, unlike SOFTEX in the existing reporting framework. EDF will have to filed within 30 days from the month end of raising the invoice. It may cover all the exports for that month.

c. Set off of export receivables against import payables – Earlier, it was permitted in restrictive manner and subject to various conditions. As per the proposed regulations/directions, powers lie with the AD Bank to permit set-off with the same buyer or supplier or their overseas group or associate companies within the prescribed time.

d. Project Exports – Repealing the earlier Memorandum of Instructions on Project and Service exports (PEM) Rule, the new regulations combine these retaining the same definition as per foreign trade Policy (FTP). These transactions must be supported by contracts and verification by AD Banks before permitting receipts/payments.

e. Merchanting Trade Transactions (MTT) – The framework is simplified and AD Bank has been empowered to set internal guidelines. The period between outward and inward remittance or vice versa should not exceed six months. AD Bank must ensure Export data processing and monitoring system (EDPMS) and Import data processing and monitoring system (IDPMS).

f. INR trade settlement – Earlier it was allowed through a series of circulars introducing Vostro Mechanism. Now, Rupee settlement is formally integrated in these regulations.

[Notification No. FEMA 23(R)/2026-RB, dated 13th January 2026]

[AP (DIR Series 2025-26) Circular No. 20, dated 16th January 2026]

3. RBI recognises FEDAI as a Self-Regulatory Organisation for Authorised Dealers

FEDAI submitted application under the Omnibus Framework for recognition of Self-Regulatory Organisations (SROs) to be recognised as an SRO. RBI, after examining and since FEDAI is functioning akin to an SRO, decided to recognise it as an SRO for all the Authorised Dealers. One year’s time has been given to FEDAI to bring in line its functioning and governance framework with that of Omnibus SRO Framework.

[Press Release No. 2025-2026/1926, dated 14th January 2026]

4. RBI amends Borrowing and Lending Regulations, revising ECB framework and end-use restrictions for borrowed funds.

RBI had released draft Borrowing and Lending Regulations pertaining to External Commercial Borrowing (ECB) for public feedback on 3rd October 2025. Now it has notified the Foreign Exchange Management (Borrowing and Lending) (First Amendment) Regulations, 2026, amending the existing framework under FEMA. The amendments have rationalised the ECB framework by expanding the definitions of eligible borrowers, review of end-user restrictions and simplification of reporting requirements. Following are the key aspects of the amended regulation:

a. Eligible borrowers include:

i. A person resident in India (other than Individual) incorporated or registered under a Centre or State Act, subject to permissions under governing legislations. This will now include an LLP too.

ii. Entities under restructuring or corporate insolvency resolution process (CIRP) if expressly allowed under approved resolution plan.

iii. Borrowers facing investigation, adjudication or appeal by law enforcement agency for any contraventions without prejudice to the outcome. Such borrowers must disclose all pending proceedings in Form ECB-1 or Revised Form ECB-1 (for existing ECB).

b. Eligible borrowers include:

i. Any person resident outside India ( including individuals) can now lend under ECB.

c. Maturity Period:

i. A minimum average maturity period (MAMP) of three years shall exist bringing in uniformity over various end-use purposes.

ii. Manufacturing borrowers may raise ECB with MAMP between one year and three years, provided the ECB amount does not exceed USD 150 million.

d. Currency of Borrowing:

i. Borrowing may be in Foreign currency (FCY) or Indian Rupees (INR).

ii. These maybe inter-changed.

iii. The change of currency shall be at the exchange rate prevailing on the date of the agreement for such change or at the rate which does not result in a higher lia1bility arrived by using exchange rate as on agreement date.

e. Cost of Borrowing:

i. It shall be in line with the prevailing market conditions – all in cost ceilings dropped.

ii. For ECBs with MAMPs less than three years, it shall comply with all-in cost ceiling specified for Trade Credit

iii. ECBs from related parties must be on Arm’s Length Basis.

f. Restrictions on the End-use of ECB money –

End-use restrictions are same as sectors restricted for FDI under NDI Rules, 2019. Real Estate Businesses and exceptions thereto are enumerated clearly.

[Notification No. FEMA 3(R)(5)/2026-RB, dated 9th February 2026]

II. IFSCA

1. IFSCA approves targeted regulatory relaxations across funds, intermediaries, GICs and BATF services

The 26th meeting of IFSCA was held on 22nd December 2025. The purpose of the meeting was to provide wide range of regulatory reforms to enhance ease of doing business while also saving investor interests. Important changes include the following amendments to Fund Management Regulations:

a. Relaxation of eligibility criteria for key managerial personnel (KMP)

b. One-time extension is dispensed with and allowing multiple extensions of six months for Private Placement Memoranda (PPM)

c. Provide one time revival window for three months made available to the schemes where PPMs have expired

d. Grant a twenty-four-month migration window to appoint IFSC-based custodians

e. Approval of IFSCA (Global In-House Centres) Regulations, 2025

f. Introduction of investor protection measures for under-capitalised open-ended schemes

g. Removal of minimum office space requirements for BATF service providers

h. Rationalisation of Capital Market Intermediaries (CMIs) eligibility

i. Umbrella registration options for CMIs

j. Amendment to IFSCA (Registration of Business) Regulations, 2021 by changing the definition of “Lloyd’s Service Company. Now, it includes service companies promoted by the group entities of Managing Agents of Members of Lloyd’s.

The notifications for all the above are to be released in the due course on the IFSCA website.

[Press Release, dated 23rd December 2025]

2. IFSCA notifies Global In-House Centres Regulations to operationalise GICs as financial service

The IFSCA has issued IFSCA (Global In-House Centres) Regulations, 2025 in replacement of IFSCA (GICs) Regulations, 2020. These regulations are aimed to position the IFSCs as Global hubs for high-value financial and related services. It further aims to generate skilled employment, on-shore India-centric financial services presently undertaken offshore. The regulations define eligible Financial Institution Groups, permissible operating models, registration procedures through a Single Window IT system, conditions for grant and validity of registration. However, the framework restricts services largely to non-resident group entities, caps India-related revenue at 10% and prohibits mere transfer of existing India contracts. Further, it also introduces “fit and proper” norms, mandates full time principal and compliance officers based in IFSCs, prescribes foreign currency operations and reporting.

It requires that existing GICs to make the transition to the 2025 regulations within 90 days from the date of commencement of these regulations i.e. 24th December 2025.

[Notification No. IFSCA/GN/2025/012, dated 24th December 2025]

3. IFSCA issues clarifications on computation of liquid net worth under IFSCA (Capital Market Intermediaries) Regulations, 2025

Reference is drawn to IFSCA (CMIs) Regulations, 2025 wherein the following changes are made in the definition of Net Worth:

a. Base minimum Capital and interest free deposits maintained by the registered broker dealers and registered clearing members with the RSEs and clearing corporations respectively

b. Margins maintained by registered broker dealers or clearing members in relation to their trading activities in IFSC or Global Access

c. Liabilities are not considered as part of “Net worth” provided in the CMI Regulations

[Circular No. IFSCA-PLNP/80/2024– Capital Markets, dated 30th December 2025]

4. IFSCA specifies operating leases, including hybrid leases, of oilfield equipment as a ‘financial product’

The IFSCA has specified that any Operating Lease in respect of ‘Oilfield Equipment’, including any hybrid of operating and financial lease, shall be a financial product. For this notification, “oilfield equipment” shall mean goods used in connection with an oilfield. The oilfield shall have the same meaning as assigned under Section 3(e) of Oilfields (Regulation and Development) Act, 1948.

[Notification No. IFSCA/GN/2026/001, dated 5th January 2026]

5. IFSCA prescribes additional disclosures and process for scheme filings under Third-Party Fund Management

IFSCA has clarified that Registered FMEs authorised for Third-Party Fund Management must file scheme applications using the format/documents prescribed under the IFSCA “Ease of doing business, Filing of Schemes or funds…” circular dated 05.04.2024, and additionally submit third-party fund manager details: (i) legal name, registered office and proof of home-jurisdiction regulatory registration/licence, (ii) a UBO “look-through” chart, and (iii) profiles of board/designated partners and KMPs.

[Circular No. IFSCA/AIF/218/2025-Capital Markets, dated 16th January 2026]

6. IFSCA grants a one-time three-month window to extend the validity of expired or expiring PPMs for eligible schemes

Attention is drawn to regulations relating to Placement memorandum (PPM) under IFSCA (Fund Management) Regulations, 2025. The PPMs of a Venture Capital Scheme and Restricted Scheme shall be valid for twelve months from the date of communication. After receiving representations from requesting a flexibility regarding flexibility of PPMs, the IFSCA has provided a one-time window of three months from the date of issuance of this circular. Hence the one-time window will be valid till 27th April 2026.

Similarly, an extension is provided for PPMs for scheme that have not commenced investments. The Fund Management Entities (FMEs) will have to re-file the PPM within three months from issuance of this circular (till 27th April 2026). An important point to be noted here is that there must not be any material change in the PPM with respect to key aspects, including name, investment objective and strategy, structure, etc. Such application shall be accompanied by 50% of the filing applicable for filing new application. Similar extensions are provided for Open-ended schemes.

[Circular No. IFSCA-IF-10PR/1/2023-Capital Markets, dated 27th January 2026]

7. IFSCA introduces website requirement for Finance Companies and Units in GIFT IFSC

IFSCA mandates Finance Companies (FCs) regulated under IFSCA (Finance Company) Regulations, 2021 to maintain a dedicated website or web page. Such website should display the following information about FCs:

a. Brief overview of GIFT IFSC ecosystem,

b. Certificate of Registration clearly reflecting the Registration number and permitted activities

c. A list of products and services offered, with detailed description of each such offering

d. Grievance redressal procedure and contact details of the Grievance redressal officer

e. Name, designation and contact details of key managerial personnel in IFSC (such as Head of FC/FU, CEO, CFO, Compliance officer, Principal officer, as applicable)

[Circular No. IFSCA-FCR/4/2026-Banking, dated 3rd February 2026]

8. IFSCA, India & FCA, UK sign Exchange of Letters to boost regulatory cooperation in identified areas of mutual interest

The IFSCA, India and Financial Conduct Authority of UK have signed an Exchange of Letter (EoL) to formalise regulatory co-operation in identified areas of mutual interest. It was signed on 11th February 2026. The objective is to facilitate sharing of information on developments in regulation for financial products, financial services, financial institutions, developments in regulatory and supervisory frameworks and initiatives, including sharing of best practices.

[Press Release, dated 11th February 2026]

9. IFSCA approves draft Pension Fund Regulations, 2026 to establish framework for retirement savings in IFSC

The IFSCA has issued IFSCA (Pension Fund) Regulations, 2026 on 9th February 2026. The key features of the Draft Regulations are as follows:

a. Pension Product for any Individual above the age of 18 years

b. Participation is entirely voluntary. Investment options include Active Choice (for determining asset allocation) and Auto Choice (for automatic adjustment of allocation based on age)

c. 10% will be allocated towards Health Benefit Option

d. Flexible withdrawal and Exit Framework give options to the individuals the manner in which they want to withdraw.

e. These regulations provide for mandatory registration of Pension Fund Managers (PFMs), Board oversight and framework with three-lines-of-defence model

f. PFMs have the flexibility to invest across equities (domestic and foreign, fixed income assets and other permissible assets.

[Press Release, dated 12th February 2026]

10. IFSCA issues FAQs on IFSCA (Global In-House Centres) Regulations, 2025

The IFSCA has issued Frequently Asked Questions (FAQs) on the IFSCA (Global In-House Centres) Regulations, 2025. The FAQs cover matters relating to applications, legal forms and registration, permissible services and service recipients, operating models of a GIC Unit, compliance requirements and restrictions, third-party service providers, and miscellaneous areas.

[FAQs, dated 17th February 2026]

BCAJ Admin

Tech Mantra

Okular

OKULAR

Okular is a Universal Document Viewer. Multi-platform, fast and packed with features, Okular allows you to read PDF documents, comics and ePub books, browse images, visualize Markdown documents, and much more.

With Okular’s “Annotation Mode” you can easily add inline and popup notes, highlight and underline text, or even add your own text on the fly. The Selection Mode allows you to copy and paste almost anything from your documents to elsewhere. And, if the text is too small, you can use the “Magnifier Mode”. With Okular’s “Thumbnail Panel”, you can browse graphically the part of the document you were looking for. You can also view and verify digital signatures embedded in PDFs, check if they are still valid, and detect any modifications since the document was signed. You can even sign PDFs yourself.

Okular is open source and always free. Try it as an efficient replacement for your PDF viewer / editor.

https://okular.kde.org/

Our Home

Home

Our Home is a simple task manager to manage household tasks. It simplifies household management and collaboration with family members and / or roommates, helping you stay organized and connected wherever you go.

You can create and organize tasks by room and assign them to specific family members. Set deadlines and schedule recurring tasks for an organized routine. You can use the built-in calendar to keep track of all tasks and deadlines.

Create shopping lists effortlessly. You can tailor your shopping list to different stores and categories. You can even manage your inventory digitally to see what is in stock and what needs to be replaced!

It helps you collaborate with roommates and family members effortlessly. You can even have an overview of all assigned tasks on a single screen.
Try Our Home today and take the drudgery out of your daily tasks!

Android : https://tinyurl.com/HomeOrganize

Fluent Search

Fluent Search allows you to search your Windows computer at blazing-fast speeds for files, apps, web content, and more. As you type in the Search Bar, Fluent Search instantly delivers smooth and precise results – saving you time and keeping your workflow uninterrupted.

Fluent Search allows you to locate files, browser tabs, history, apps, open windows and more – all from one powerful search interface.

Just press Ctrl+Alt and the Search Bar appears instantly for your command! Far superior to the Windows Search which is slow and tardy. Try it today for a fluent search experience!

https://fluentsearch.net/

BCAJ Admin

ICAI and Its Members

A. ICAI NOTIFICATION

1. ICAI (GLOBAL NETWORKING) GUIDELINES, 2025

The Institute of Chartered Accountants of India has notified the ICAI (Global Networking) Guidelines, 2025 vide Gazette Notification dated 11th February 2026, enabling Indian CA firms to formally network with global professional entities.

OBJECTIVE AND SCOPE

The Guidelines establish a comprehensive regulatory framework enabling domestic CA firms, networks, and entities registered with ICAI to enter into structured networking arrangements with overseas entities. The framework aims to enhance the global competitiveness of Indian CA firms, foster knowledge and technology sharing, improve service quality, and bring Global Networks under the regulatory oversight of ICAI in respect of their Indian operations.

APPLICABILITY

The Guidelines apply to:

ICAI-registered CA firms;
Management consultancy entities registered with ICAI;
Domestic networks formed under earlier Networking Guidelines;
Any domestic entity entering into networking/affiliation/association with foreign entities.

The Guidelines are effective from the date of publication in the Official Gazette.

KEY DEFINITIONS

Important concepts clarified include:

Domestic Entity – ICAI-registered firm, network or management consultancy entity.
Foreign Entity – Any entity established outside India providing or facilitating professional services (including accounting and assurance).
Global Network – A written arrangement between a domestic entity and foreign entity involving cost sharing, common branding, shared resources, quality control, systems, etc.
Nodal Officer – A full-time practicing ICAI member in good standing responsible for compliance and liaison.

The definition of “network” is substance-based and includes arrangements involving:

Common brand name/logo,
Shared quality control policies,
Shared systems, technical resources, training,
Cost-sharing structures,
Shared professional personnel.

KEY FEATURES

The Guidelines introduce a formal two-stage registration process — first, approval of the name of the Global Network (Form AGN, fee: ₹10,000), followed by registration (Form BGN, fee: ₹30,000). Each Global Network must have a distinct ICAI-approved name with the suffix “Global Network.” Domestic entities may be constituents of more than one Global Network.

A Nodal Officer — a senior member of ICAI in good standing and must be managing partner/CEO/MD or equivalent with highest profit/capital share — must be designated for each Global Network to ensure ongoing regulatory compliance, annual reporting, and communication with ICAI.

ANNUAL REPORTING AND COMPLIANCE

Registered Global Networks are required to file an Annual Return (Form DGN) within 120 days of the close of each financial year, disclosing details of revenue, fees exchanged with overseas entities, disciplinary proceedings, and other material information. All information so submitted will be treated as confidential.

ETHICAL AND REGULATORY SAFEGUARDS

The Guidelines require strict compliance with ICAI’s Code of Ethics, the Chartered Accountants Act, 1949, and all applicable Indian laws. Key restrictions include prohibition on performing services barred under Section 144 of the Companies Act, 2013 for audit clients, and prohibition on fee/profit sharing with non-ICAI registered entities. Any violation constitutes professional misconduct.

POST-REGISTRATION CHANGES AND DE-REGISTRATION

Prescribed forms have been notified for reporting changes in the constitution of a Global Network (Form CGN), de-registration (Form EGN), and withdrawal of name approval (Form FGN). ICAI retains full jurisdiction over acts and omissions during the registration period even after de-registration.

PERMITTED FRAMEWORK OF ARRANGEMENTS

Permissible networking arrangements include:

Access to global tools and digital platforms.
Technology and process sharing.
Quality control alignment.
Access to international assignments.
Participation in M&A, due diligence, cross-border engagements.
Payment/receipt of network fees (one-time or recurring), subject to compliance.

However, mere referral arrangements may not constitute a network unless broader structural integration exists.

PROHIBITED SERVICES

The following are expressly restricted:

Prohibited services under Section 144 of Companies Act, 2013 to audit clients.
Fee sharing with non-members unless permitted under ICAI Code of Ethics.
Any activity violating ICAI Code, CA Act or Regulations.
Activities not conducted at arm’s length.

The Nodal Officer must ensure maintenance of documentation supporting arm’s length nature of transactions.

CONSEQUENCES OF NON-COMPLIANCE

ICAI retains regulatory oversight powers to:

Seek additional documentation at any time.
Withdraw name approval.
Cancel registration.
Initiate disciplinary proceedings.
Require exit from non-compliant network within 30 days.

Non-compliance constitutes professional misconduct under the CA Act, 1949. Disciplinary action may arise in cases such as:

Claiming to be part of unregistered global network.
Failure to furnish information.
Non-filing of prescribed forms.
Including entities in violation of guidelines.
Indirect benefit from non-compliant networking arrangements.

https://egazette.gov.in/WriteReadData/2026/270214.pdf

2. UDIN PORTAL – ICAI

The following important updates implemented at the UDIN Portal:

i. Ceiling on UDIN Generation for Tax Audits under Section 44AB (w.e.f. 1st April 2026)

In accordance with the Council’s decision at its 442nd meeting, a ceiling on the maximum number of UDINs generated will be implemented from 1st April 2026, in line with the prescribed limit of 60 Tax Audits. This ceiling will apply to Form 3CA and Form 3CB sub-categories under Section 44AB. Field-level validation has already been activated at the UDIN Portal across all sub-categories under Section 44AB [Clauses (a) to (e)] under the ‘GST and Tax Audit’ category.

https://udin.icai.org/ICAI/announcement/6/148/UDIN_11-02-2026

ii. UDIN Validation Now Based on Five Parameters

The PAN of the assessee has been added as a mandatory field for UDIN generation under the ‘GST & Tax Audit’ category. Accordingly, UDINs will now be validated at the CBDT e-Filing Portal based on five parameters: MRN, UDIN, AY/FY, Form No., and PAN of the assessee. The PAN information will remain confidential and will not be visible to any third-party verifier.

https://udin.icai.org/ICAI/announcement/6/145/UDIN_20-12-2025

iii. Disclosure of Preceding Year’s Audit Details during UDIN Generation

Succeeding auditors will now be required to provide details of the preceding year’s audit while generating UDINs under the ‘GST & Tax Audit’ and ‘Audit & Assurance Functions’ categories. This information will be confidential and not disseminable to any third party.

https://udin.icai.org/ICAI/announcement/6/146/UDIN_20-12-2025

For any clarification, members may write to: udin@icai.in

B. EMPANELMENT

Empanelment of Members to Act as Observers at the Examination Centres for The Chartered Accountants’ Examinations, May 2026.

It is proposed to empanel members to act as Observers for the forthcoming May -2026 Chartered Accountants Examinations scheduled to be held in May 2026. The honorarium of ₹3,750/- per day / per session and ₹500/- as conveyance reimbursement for ‘A’ class cities and ₹400/- for other cities per day (to cover cost of local travel) will be paid. A member who fulfills the above-mentioned eligibility criteria, and is desirous of empaneling himself / herself for the assignment, may do so, online at http://observers.icaiexam.icai.org

Timelines:

Opening of the window for empanelment – 20th February 2026 (Friday)
Closing of the window for empanelment – 19th March 2026 (Thursday)

https://resource.cdn.icai.org/90941exam-aps4120.pdf

C. INVITATION TO COMMENT | EXPOSURE DRAFT

Standard on Auditing for Less Complex Entities (SA for LCE)

The ICAI has proposed to introduce a dedicated Standard on Auditing for Less Complex Entities (SA for LCE) — a tailored auditing standard designed to reflect the specific nature and circumstances of audits of LCEs in both the private and public sectors.

The standard aims to achieve reasonable assurance that financial statements of LCEs are free from material misstatement, whether due to fraud or error, while ensuring consistent performance of quality audit engagements. Key highlights include:

Specifically designed for audits of complete sets of general purpose financial statements of LCEs, with provisions for adaptation to special purpose financial statements or specific elements/accounts, where applicable

Premised on the firm being subject to SQM 1, with quality audit engagements achieved through proper planning, performance and reporting in accordance with professional standards and applicable legal and regulatory requirements
Requires the exercise of professional judgment and maintenance of professional skepticism throughout the engagement
Use is optional — even where an entity qualifies as an LCE, the auditor may, at their professional discretion, choose to conduct the audit under the full set of Standards on Auditing instead. But when an audit engagement is conducted using this standard, the Standards on Auditing (SAs) do not apply to that engagement. This standard serves as a standalone framework for eligible LCE audits. If used beyond the scope contemplated in Part A, the auditor is not permitted to represent compliance with the SA for LCE in the auditor’s report.
Where the auditor opts for the full SAs, the audit must be planned, performed and reported accordingly, and compliance with the SA for LCE cannot be represented in the auditor’s report
The standard does not override applicable local laws or regulations, and auditors remain responsible for ensuring compliance with all relevant legal, regulatory and professional obligations

https://resource.cdn.icai.org/90639aasb-aps4044.pdf

Members are invited to share their comments on the above Exposure Draft by March 20, 2026.

Comments may be submitted to:

Secretary, Auditing and Assurance Standards Board The Institute of Chartered Accountants of India ICAI Bhawan, A-29, Sector – 62, Noida – 201 309

Email: aasb@icai.in

D. ICAI PUBLICATION

1. Practitioner’s Guide on Drafting of Modified Opinions in Independent Auditor’s Reports

The AASB of ICAI has released the “Practitioner’s Guide on Drafting of Modified Opinions in Independent Auditor’s Reports” — a practical resource to help auditors draft clear and appropriate modified opinions in compliance with the Standards on Auditing.

The Guide covers:

Overview of modified opinion concepts and types
Guidance on presentation and headings in auditor’s reports
Illustrative formats for Qualified, Adverse, and Disclaimer of Opinion
Examples across commonly encountered audit areas and circumstances

Building on earlier publications — the Implementation Guide on Reporting Standards (2018) and Analysis of Modified Opinions (2023) — this Guide serves as an additional layer of practical support for auditors.

https://resource.cdn.icai.org/90889aasb110225.pdf

2. Guidance on New Labour Codes

The AASB of ICAI has release the “Guidance on New Labour Codes” — a comprehensive resource designed to assist auditors in navigating the audit implications arising from the implementation of the new Labour Codes.

The implementation of the Labour Codes introduces significant auditing considerations, including assessment of risks of material misstatement, compliance with applicable laws and regulations, appropriate accounting treatment for employee-related costs and liabilities, and adequacy of financial statement disclosures.

The Guidance addresses key areas commonly encountered in audit engagements, including:

Payroll-related expenses, employee benefit provisions, and statutory dues
Understanding the entity’s workforce structure and management’s response to the Labour Codes
Designing audit strategies and conducting engagement team discussions on risk assessment
Performing appropriate control and substantive procedures
Management representations and communication with those charged with governance
Audit documentation and reporting considerations, including modifications to the auditor’s opinion, Emphasis of Matter paragraphs, and reporting under CARO and internal financial controls, where applicable

This Guidance, developed with reference to the applicable Standards on Auditing, seeks to equip members with practical direction in effectively discharging their audit responsibilities in the evolving regulatory landscape of labour law reforms.

https://resource.cdn.icai.org/90779aasb-aps4103-guidance.pdf

3. Technical Guide on Revised Directions issued by CAG under Section 143(5) of the Companies Act, 2013

The AASB of ICAI has released the “Technical Guide on Revised Directions issued by CAG under Section 143(5) of the Companies Act, 2013” — a focused resource to assist auditors of Government companies and Government-owned/controlled companies in effectively responding to the revised directions issued by the Comptroller and Auditor General of India (CAG).

Government company audits are governed by the specific framework under Section 143(5) of the Companies Act, 2013, which empowers the CAG to issue directions to auditors on the manner of audit. In exercise of these powers, the CAG issued revised directions vide letters dated 23rd May 2025 and 17th October 2025, requiring auditors to focus on the following high-impact thematic areas:

Fair valuation of investments made for post-retirement employee benefits
IT-based processing of accounting transactions, with emphasis on IT controls and cybersecurity-related controls
Accounting and utilisation of Government grants/subsidies
Risk management policy for key risk areas, and identification & valuation of data assets
Compliance with applicable legal and regulatory requirements

Recognising the practical challenges auditors may face in interpreting these directions and aligning their audit procedures and reporting responses, the AASB has developed this Technical Guide to provide direction-wise guidance on audit approach and reporting considerations, along with illustrative reporting formats to promote clarity, consistency and quality in auditors’ responses.

https://resource.cdn.icai.org/90773aasb-aps4101-announcement.pdf

4. FAQs on Unique Document Identification Number (UDIN)

The Sixth Edition of the FAQ on UDIN incorporates the latest developments, member feedback, statutory updates, evolving use cases, and technological enhancements. This edition aims to serve as a comprehensive guide for practicing members and an authoritative reference for stakeholders who rely on CA-certified documents.

https://resource.cdn.icai.org/90857faqudin2026.pdf

5. Meetings of Committee of Creditors – A Handbook for the Guidance of Insolvency Professionals (Revised February 2026 Edition)

The Insolvency & Valuation Standards Board of ICAI has released the second and updated edition of reference publication for Insolvency Professionals titled “Meetings of Committee of Creditors – A Handbook for the Guidance of Insolvency Professionals (Revised February 2026 Edition)”.

The Committee of Creditors (CoC) plays a central role in the corporate insolvency resolution process, and the effectiveness of the resolution process depends significantly on their informed, transparent and timely decision-making. This revised handbook has been updated to incorporate recent regulatory developments, circulars and judicial pronouncements that directly impact the functioning of the CoC.

The handbook provides comprehensive guidance on:

The legal framework governing CoC meetings, including convening, conduct, quorum, voting mechanisms, and documentation of decisions
Best practices and procedural discipline to ensure meetings are conducted fairly, transparently and efficiently, consistent with the principles of natural justice
Timely issuance of notices and agendas, and adequate dissemination of information to enable informed decision-making
Maintenance of neutrality and independence by the Resolution Professional, and proper recording of deliberations and voting outcomes
Fiduciary responsibilities of CoC members, the exercise of collective and commercial wisdom in good faith, and balancing stakeholder interests while maximising the value of the corporate debtor

https://resource.cdn.icai.org/90897ivsb120226.pdf

6. Issues and Recommendations emerging from the deliberations at International Convention on Insolvency Resolution and Valuation: RESOLVE-2025 by I&VSB ICAI

The Insolvency & Valuation Standards Board, in association with the Insolvency and Bankruptcy Board of India (IBBI), Indian Institute of Corporate Affairs (IICA), Indian Institute of Insolvency Professionals of ICAI (IIIPI), and ICAI Registered Valuers Organisation (ICAI RVO), hosted the 3rd International Convention on Insolvency Resolution and Valuation – RESOLVE 2025.

Based on deliberations held at RESOLVE-2025, the Board has prepared a consolidated publication capturing key issues and recommendations emerging from the discussions at the Convention.

https://resource.cdn.icai.org/90890ivsb-yash-11.pdf

E. RESEARCH REPORTS

1. Reprioritising Environmental Claims under the Insolvency and Bankruptcy Code

The research report ‘Reprioritising Environmental claims under the Insolvency and Bankruptcy Code’ delves into the “Polluter Pays Principle” and examines the intricate interface between the Insolvency and Bankruptcy Code (IBC) and environmental liabilities, while identifying legislative pathways to effectively integrate environmental claims within the resolution framework.

2. Mahua Flowers: Regulatory, Economic and Social Opportunities

The research report on “Mahua Flowers: Regulatory, Economic and Social Opportunities” analyses the current harvest and utilization scenario of Mahua flowers and provides targeted suggestions for policy initiatives and scalable use cases. Its core objective is to offer pathways to sustainably unlock value from both a social upliftment and an economic growth perspective.

3. REITs and Their Emerging Significance in India: A Regulatory, Market and Professional Perspective

The report offers a comprehensive overview of the REIT ecosystem, covering global benchmarks, India’s regulatory and taxation framework, governance practices, market developments, and the emerging SM REIT structure. It identifies key challenges to wider adoption — including tax clarity, transaction costs, investor awareness and institutional participation — and provides practical recommendations at the policy, market and operational levels.

The report also highlights the growing role of Chartered Accountants in this space, with expanding opportunities in financial reporting, assurance, valuation, taxation, regulatory compliance and ESG reporting, as REITs continue to bridge the real estate and capital markets in India.

https://resource.cdn.icai.org/90859reit-ya-11.pdf

4. Revitalizing India’s Legal Landscape: Addressing Obsolete Economic and Commercial Laws for A Viksit Bharat @ 2047

The report examines the reliability and relevance of India’s current statutory frameworks through doctrinal analysis and empirical feedback from professional stakeholders. It identifies economic and commercial laws that need strengthening in line with the objectives of Viksit Bharat @ 2047, and aims to support the creation of a contemporary legal system that fosters entrepreneurship, fair competition and robust institutional governance — positioning India as a leading global economy by 2047.

https://resource.cdn.icai.org/90860rilld-ya-11.pdf

F. OPINION

Accounting for commission paid for performance bank guarantees, under Ind AS framework

a. Facts of the Case

The company, a JV of two PSUs, obtained PNGRB authorisation to develop CGD networks and was required to furnish a Performance Bank Guarantee (PBG) of ₹1,948 crore as a precondition.
The promoters provided the PBG and recovered the bank guarantee (BG) commission from the company through debit notes with GST.
The company capitalised the BG commission as part of CWIP under AS 16 and depreciated it after commissioning.
During supplementary audit for FY 2023-24, C&AG objected, stating that capitalisation overstated profit and assets and that the commission should be expensed.
The company defended its treatment on the basis that furnishing the PBG was mandatory for project execution and relied on Ind AS 16 and earlier EAC opinions.

B. QUERY

The querist sought EAC opinion on:

Whether capitalisation of BG commission of ₹13.44 crore relating to the PBG is correct under AS 16.
If not, what should be the appropriate accounting treatment.
If a change is required, whether it should be treated as change in estimate, accounting policy, or prior-period error.

C. POINTS CONSIDERED BY THE COMMITTEE

The Committee confined itself to accounting for BG commission paid to promoters and did not examine other project accounting matters.
It noted that no borrowing was taken by the company and the BG commission did not relate to borrowings; therefore AS 23 was not applicable.
Under AS 16, only costs directly attributable to bringing the asset to the location and condition necessary for intended use can be capitalised.
“Directly attributable” costs are those necessary for construction activity and without which the asset cannot be made ready for use.
The Committee observed that BG commission is incurred to obtain authorisation (PBG) and not for construction of the asset.
Although furnishing PBG is essential for obtaining the project, the commission does not add value to construction nor bring the asset to operating condition.
Further, the BG commission does not create a resource controlled by the company, and hence cannot be recognised as a separate asset.

D. OPINION

The Expert Advisory Committee opined that:

Capitalisation of BG commission is not appropriate.
The BG commission should be recognised as an expense in the Statement of Profit and Loss as and when incurred.
Since the existing treatment is not in accordance with Ind AS, it should be rectified in the current reporting period as an accounting error in accordance with Ind AS 8, with retrospective correction as required.

https://resource.cdn.icai.org/.pdf

BCAJ Admin

Statistically Speaking

TAX TRENDS IN 2025

TOP COUNTRIES WITH SPACE TECH STARTUPS

COUNTRIES WITH THE LARGEST FOREIGN EXCHANGE RESERVES

HIGHEST NATIONAL DEBT 2025 AS A PERCENTAGE OF GDP

BEST PLACES TO RETIRE IN 2026

BCAJ Admin

ICAI and Its Members

I. EXPOSURE DRAFT

1. RISK MITIGATION ACCOUNTING-PROPOSED AMENDMENTS TO IFRS 9 AND IFRS 7

The Exposure Draft sets out the proposed amendments to IFRS 9 Financial Instruments and IFRS 7 Financial Instruments: Disclosures. The IASB is proposing:

to add a risk mitigation accounting model for companies managing repricing risk on a net basis; and
to require a company to disclose its strategy for managing repricing risk and the effects of its risk management activities.

The IASB is also seeking feedback on the proposed withdrawal of IAS 39 Financial Instruments: Recognition and Measurement.

Public comments submission last date: May 22, 2026.

Download the Exposure Draft: https://resource.cdn.icai.org/90018asb-aps3657-1.pdf

Submit Comments:

Online (Preferred): http://www.icai.org/comments/asb/
Email: commentsasb@icai.in
Postal: ICAI, New Delhi

II. ICAI ANNOUNCEMENTS

1. PEER REVIEW PHASE IV EXTENSION

The Peer Review Board of the Institute of Chartered Accountants of India has announced a deferment of Phase IV of the Peer Review mandate, originally effective from 1 January 2026, to now be applicable from 31 December 2026. This extension applies to practice units (firms) that propose to undertake audits of branches of public sector banks and to those rendering attestation services with three or more partners, for whom obtaining a valid Peer Review Certificate will continue to be a pre-requisite before accepting statutory audits under the Phase IV coverage criteria.

Read Circular at: https://resource.cdn.icai.org/90105prb-aps3736.pdf

2. CLARIFICATIONS/FAQS ON THE ISSUES ARISING OUT OF THE PEER REVIEW MANDATE

The Peer Review Board of the ICAI has issued comprehensive clarifications and FAQs addressing key aspects of the Peer Review Mandate, including its phased applicability to practice units based on audit scope and firm size, such as statutory audits of listed entities or large unlisted public companies and assurance service thresholds under different phases. The guidance clarifies timing for obtaining a valid Peer Review Certificate before acceptance and signing of statutory audits, definitions of “raised funds” for applicability, and delineation of Public Interest Entities under the mandate. It also specifies the coverage of audits under Phase IV for branches of public sector banks, the requirement (or non-requirement) of peer review for non-attestation practices, and the scope of “assurance engagements” under applicable standards, along with practical points such as partner count reckoning and conditions for new units seeking peer review.

Read FAQ at: https://resource.cdn.icai.org/83571prb67450.pdf

III. ICAI PUBLICATION

1. FAQ ON THE NEW LABOUR CODE

The Accounting Standards Board has issued FAQs on key accounting implications arising from the New Labour Code to clarify key accounting questions arising from the application of the New Labour Codes.

Link to download the same is: https://resource.cdn.icai.org/90049asb-faq-nlc.pdf

2. TECHNICAL GUIDE ON EXPATRIATES TAXATION

The revised sixth edition of the Guide provides a comprehensive and updated analysis of the taxation and regulatory framework applicable to expatriates, covering determination of residential status under the Income-tax Act, 1961 (including deemed residency and expanded stay thresholds), implications for global income taxation, and practical aspects of the default tax regime under section 115BAC on expatriate salary structures. It offers detailed guidance on withholding obligations under section 195, taxability of salaries paid abroad for services rendered in India, and social security compliance under Indian law and bilateral Social Security Agreements, including coverage, contributions, and withdrawal rules. The publication also examines FEMA exchange control provisions, recent procedural changes such as electronic filing of Form 10F for DTAA claims, and compliance under the Black Money Act, 2015, making it a holistic reference for structuring and managing compliant expatriate assignments.

The technical guide is available at https://resource.cdn.icai.org/90288cit-aps3869.pdf

IV. OPINION

Accounting treatment of interest cost and interest income relating to interest-free subordinate debt

A. FACTS OF THE CASE

The Company is a joint venture between the Government of India (GoI) and the Government of NCT of Delhi (GNCTD) and is responsible for the construction and operation of the Delhi/NCR Metro Rail project. The project is financed through equity, grants, JICA loans routed through GoI, and interest-free subordinate debt provided by GoI, GNCTD and other government agencies.

The subordinate debt is meant specifically to finance land acquisition, rehabilitation and resettlement, and payment of central and state taxes. Repayment is scheduled in five equal instalments after completion of the JICA loan repayment, i.e., after 30 years.

Earlier, the Expert Advisory Committee (EAC) had advised the Company to fair value the interest-free subordinate debt as per Ind AS 113. Accordingly, during FY 2023-24, the Company measured such debt at fair value using G-sec rates and treated the difference between carrying value and fair value as a government grant, to be amortised over project life.

The Company accounted for interest using the effective interest method under Ind AS 109 as follows:

For completed phases (I–III): interest charged to P&L
For Phase IV (under construction): interest capitalised under CWIP
Interest earned on temporary investment of funds in flexi deposits was recognised as income in P&L, based on earlier EAC opinion (Query 44, Vol. XXXIV)

During the supplementary audit, C&AG objected that:

Interest is notional and should not be capitalised
Interest income should be netted off against borrowing cost
CWIP and equity were overstated by ₹1,621.49 lakh

Management disagreed and relied on Ind AS 23 and ICAI Educational Material to justify capitalisation and separate recognition of interest income.

B. QUERY

The Company sought EAC’s opinion on:

(i) Whether the accounting treatment of interest cost arising due to fair valuation of subordinate debt is correct.

(ii) Whether the accounting treatment of interest income earned on temporary investment of subordinate debt funds is correct.

C. POINTS CONSIDERED BY THE COMMITTEE

The Committee examined only the accounting issues relating to:

Interest arising on fair valuation of subordinate debt
Interest income on temporary investment of such funds

It relied on:

IND AS 109

Financial liabilities to be measured at amortised cost
Interest to be computed using the effective interest method
Interest so recognised is not notional, but accounting interest

IND AS 23 – BORROWING COSTS

Borrowing costs include interest computed using the effective interest method
Costs directly attributable to a qualifying asset must be capitalised
Metro project qualifies as a qualifying asset
Investment income earned during construction must be adjusted against borrowing cost

The Committee noted that the earlier EAC opinion cited by the Company was under the old AS framework, whereas the present case is under Ind AS, and therefore required independent evaluation.

It concluded that:

Interest arising due to fair valuation is the actual borrowing cost under Ind AS
Interest earned during construction must be set-off against borrowing cost and not credited to P&L.

D. Opinion

The Committee opined:

(i) Accounting treatment followed by the Company in respect of interest cost, viz., capitalising the same as capital work-in progress, is appropriate.

(ii) Accounting treatment followed by the Company in respect of interest income earned on temporary investment of subordinate debt funds in the statement of profit and loss is not appropriate; the same is to be set-off against the borrowing costs to be capitalised as per the principles of Ind AS 23.

Read Opinion https://resource.cdn.icai.org/90204cajournal-jan2026-30.pdf

ICAI Journal January 2026 Pages 113-119

V. DISCIPLINARY COMMITTEE CASES

1. Case: ROC, Kanpur vs. CA. G.G.W.

File No.: PR/G/295/2023/DD/437/2023/DC/2059/2025

Date of Order: 15.12.2025

Particulars	Details
Complainant	Registrar of Companies
Nature of Case	Certification of e-Form AOC-4 without due diligence – unsigned financial statements
Background	MCA conducted an inspection u/s 206(5) of the Companies Act, 2013, into several Producer Companies incorporated in Uttar Pradesh. It was found that 14 Producer Companies had filed e-Form AOC-4 for FY 2021–22, where the financial statements and directors’ reports were not signed by directors. Despite this, the Respondent, who was both a statutory auditor and certifying professional, certified these forms.
Key Allegations	– Certified AOC-4 forms, knowing that financial statements were unsigned by directors. – Uploaded unauthenticated financial statements without a mandatory UDIN. – Failed to comply with Section 134 of the Companies Act, 2013 and Rule 8 of Companies (Registration Offices & Fees) Rules, 2014.
Respondent’s Defence	– Admitted that unsigned financial statements were uploaded due to staff oversight. – Filed affidavits of directors and staff confirming inadvertent error. – Argued it was an unintentional mistake in the early stage of his career. – Claimed no fraud or misleading audit report was involved and sought leniency.
Findings	– Respondent pleaded guilty during the hearing on 19.09.2025. – Being a statutory auditor and certifying professional, responsibility rested solely on him. – Uploading unsigned financials and certifying AOC-4 without verification amounts to professional negligence. – Non-mention of UDIN further aggravated the lapse.
Charges Established	Guilty under Item (7), Part I, Second Schedule – failure to exercise due diligence / gross negligence.
Punishment	Reprimand under Section 21B(3)(a) of the CA Act, 1949.

2. CASE: REGIONAL DIRECTOR (ER), MCA, KOLKATA VS. CA. K.B.

File No.: PR/G/319/2020/DD/329/2020/DC/1856/2024

Date of Order: 22.12.2025

Particulars	Details
Complainant	Regional Director (Eastern Region), Ministry of Corporate Affairs, Kolkata
Nature of Case	Statutory auditor rendering prohibited non-audit services.
Background	The Respondent was a statutory auditor of Swapnabhumi Realtors Ltd. for FY 2017–18. During audit tenure, he also accepted a separate assignment for budget
	preparation and variance analysis of indirect expenses, for which separate fees were charged. The MCA alleged this amounted to an internal audit/management service, prohibited under Section 144 of the Companies Act, 2013.
Key Allegations	– Undertook variance analysis while continuing as a statutory auditor. – Charged separate professional fees (₹25,000). – Issued report containing recommendations on expense controls, amounting to an internal audit.
Respondent’s Defence	– Section 144 does not define “management services.” – Claimed analysis was done only to detect fraud and improve audit quality. – Argued independence was maintained as the audit report was qualified. – The stated internal auditor was already appointed, and he only used their work.
Findings	– Variance analysis report contained control recommendations, clearly falling within the scope of internal audit (refer to SA-610). – The assignment was independent of the statutory audit and carried out for separate consideration. – Respondent failed to resign despite accepting a prohibited assignment, violating independence norms.
Charges Established	Guilty under: Item (7), Part I, Second Schedule – lack of due diligence Item (1), Part II, Second Schedule – contravention of law/guidelines
Punishment	Fine of ₹10,000 payable within 60 days

3. Case: ROC, West Bengal vs. CA. RKT

File No.: PR/G/736/2022/DD/515/2023/DC/1897/2024

Date of Order: 22.12.2025

Particulars	Details
Complainant	Deputy Registrar of Companies, West Bengal
Nature of Case	Certification of false Form 10 – registration of charge for debentures
Background	During MCA inspection of M/s SAPL., it was found that the Respondent had certified Form 10 on 26.05.2010 for creation of charge to secure ₹1 crore debentures. However, the company’s audited balance sheet as on 31.03.2010 showed no fixed assets and current assets of only ₹4.01 lakh, creating a shortfall of over ₹95 lakh in security coverage. No mortgage deed was attached to the form.
Key Allegations	– Certified Form 10 without verifying ownership and adequacy of security. – Allowed registration of a charge despite the company having no assets. – Failed to ensure attachment of the mortgage deed.
Respondent’s Defence	Claimed his digital signature was misused and he was never engaged by the company; he relied on an FIR dated 28.04.2013 filed in another matter.
Findings	– FIR relied upon related to another company, and was filed 3 years after the impugned Form 10. – Respondent filed a fresh complaint for this case only in Nov 2024, almost one year after receiving notice from ICAI – treated as an afterthought (timeline table – page 5). – No effort was made by the Respondent to approach the company despite the alleged misuse. – Held responsible for the safe custody of his Digital Signature. – The committee concluded it was a clear case of negligence in certifying a false Form 10.
Charges Established	Guilty under Item (7), Part I, Second Schedule – failure to exercise due diligence / gross negligence.
Punishment	Reprimand and fine of ₹2,00,000 payable within 60 days.

BCAJ Admin

Learning Events at BCAS

1. Suburban Study Circle Meeting on Application of Excel in Professional Practice held on Friday, 16th January 2026 @ SHBA & Co LLP.

Suburban Study Circle organised a hands-on technical session on “Application of Excel in Professional Practice” on Friday, 16th January 2026 and lead by CA Yashesh Jakhelia & CA Vivek Gupta.
The session focused on Excel 365 dynamic array functionalities with specific applications in GST reconciliation and data analysis.
Key Excel functions such as XLOOKUP, FILTER, UNIQUE, SORT and GROUPBY were demonstrated through live, practice-oriented illustrations.
Participants were guided on practical structuring of data for reconciliation, validation and reporting requirements.
The session emphasised improving efficiency, accuracy and turnaround time in professional assignments using Excel tools.
The program was conducted as an interactive, laptop-based workshop enabling participants to practice alongside demonstrations.
Members actively participated and appreciated the practical relevance of the session for day-to-day professional work.
The session witnessed participation from members as well as a few CA trainees, who benefited from the practical orientation of the program.

2. BCAS Cricket Tournament 2026 (2nd Edition) held on Sunday, 11th January 2026 @ Gallant Sports Club (TurfStation – Juhu).

BCAS Cricket Tournament 2026

The Second Edition of the BCAS Turf Cricket Tournament was successfully conducted on 11th January 2026 at TurfStation, JVPD, Andheri (West), featuring 12 Men’s Teams and 2 Women’s Teams. The event showcased competitive cricket in a vibrant atmosphere of sportsmanship and camaraderie, with the participation of 140 players.
The tournament was exclusively open to Chartered Accountants and witnessed an enthusiastic response with overwhelming registrations.
In the Men’s category, the tournament followed a four-group league format (three teams per group), culminating in Quarterfinals (8 teams), Semi-Finals (4 teams), and the Final, ensuring a structured and competitive progression.
The event witnessed participation from both returning firms from the previous edition and first-time participating firms, reflecting the growing acceptance of the tournament as a platform for professional engagement and networking.
The matches were marked by notable individual performances, engaging live commentary, and enthusiastic spectator support, contributing to an energetic and engaging sporting environment.
After a series of closely contested matches, Fiscal Fireballs emerged as the Men’s Champions, while NPV Chak De Girls secured the Women’s Title, following several thrilling encounters throughout the day.
The tournament successfully reinforced its objective of informal networking and community engagement among CA firms, and left a strong impression on participants, setting a solid foundation for future editions of the event.3. Women’s Study Circle meeting – SAKHI CIRCLE! held on Friday, 9th January 2026 @ Virtual.

The Women’s Study Circle organised a session on “The Power of First & Lasting Impressions – Your Soft Skills Advantage,” focusing on the role of communication and presence in professional interactions. In this session, CA Renu Shah, highlighted how first impressions influence engagement, credibility, and long-term perception. It was explained that impressions are often formed through subtle behavioural cues such as posture, tone, pace of speaking, and clarity of thought, rather than credentials alone.

Common communication behaviours that can dilute impact—such as over-explaining, excessive fillers, lack of eye contact, and digital distractions—were discussed through practical examples. The session introduced structured communication frameworks, including WHY–WHAT–HOW and Present–Past–Future, to help professionals articulate their thoughts with clarity and confidence.

Participants were also introduced to the “Remember Me” formula, emphasising posture, structured thinking, power words, and the effective use of pauses. Practical power phrases for professionals were shared to enhance clarity and impact in everyday interactions. The session reinforced that conscious communication and small behavioural shifts can significantly strengthen professional presence and leave lasting impressions.

4. AI and Technology ki Pathshala: A Technology Orientation Program for CA Students” held on Saturday, 20th December 2025 and Sunday, 21st December 2025@ Virtual.

The Human Resource Development Committee of BCAS organised a two-day technology orientation program titled “AI and Technology Ki Pathshala” for CA students.

Day 1 commenced with an inspiring keynote address by CA Rahul Bajaj on understanding technology and its impact on the CA profession. This was followed by an insightful session by CA Rahul Dharne, who demonstrated the practical use of AI tools such as GPTs and automation to simplify work and draft professional reports more efficiently, and also shared AI techniques for exam preparation.

The Day 1 program concluded with a session by CA Shyam Agrawal, who demonstrated tools for enhancing productivity using MS Office 365, Zoho, and Google applications.

Day 2 began with a session by CA Rahul Gabhawala, who explained how advanced Excel formulas and macros can automate tax reconciliations and improve accuracy in professional work. This was followed by a session by CA Chinmay Pathak, who introduced participants to the basics of vibe coding, website development, tools for sending multiple emails to clients, and techniques for identifying plagiarism.

Overall, the students gained a practical understanding of how technology can be effectively used in both professional and academic work. More than 100 students from across India benefited from this two-day technology orientation program.

Scan to watch online at BCAS Academy

5. DIRECT TAX RETREAT 1.0 held on Thursday 18th December 2025 to Sunday 21st December 2025 @ Taj Vivanta, Dwarka, New Delhi

The Direct Tax Committee of BCAS successfully organised Direct Tax Retreat 1.0 from 18th to 21st December 2025 at Taj Vivanta, Dwarka, New Delhi. Envisioned as a residential retreat rather than a routine conference, the program was designed to create a space where learning could happen through discussion, debate, reflection and shared experience. Over four days, tax professionals from across the country came together for meaningful engagement on contemporary direct tax issues in an environment that encouraged participation and open dialogue.

The Retreat began with an inspiring Inaugural Session by Mr Raman Chopra, Former Joint Secretary (Tax Policy), who addressed the gathering on “Where Policy Meets Practice: Creating an Efficient Tax Eco-System for the Next Decade.” Drawing from his extensive experience in policy-making, he shared valuable insights into how tax laws are conceptualised, the intent behind legislative changes, and the practical challenges faced during implementation. His address helped participants better understand the broader policy framework within which tax professionals operate and set a thoughtful tone for the technical discussions that followed.

Direct Tax 1

The first technical session on Day 1 featured a Panel Discussion on “Reconstitution of Firms – Sections 45(4) and 9B: Contrasting Perspectives.” CA Bhadresh Doshi and Adv. Dharan Gandhi presented differing viewpoints on interpretation, recent judicial developments and practical structuring concerns, while CA Pinakin Desai ably chaired the session. The discussion was intense, lively and informative, offering practical takeaways for professionals dealing with partnership restructurings and related tax implications.

Day 2 commenced with Group Discussions on Assorted Case Studies, a format that encouraged delegates to actively engage with complex factual situations and share their practical experiences. The group discussion model allowed participants to appreciate multiple viewpoints and sharpen their analytical approach through peer learning.

A standout feature of Direct Tax Retreat 1.0 was the guided visit to the New Parliament of India. For many delegates, this was a deeply enriching and memorable experience. Walking through the corridors of the institution where tax laws are debated and enacted offered a unique perspective on the legislative process. The visit helped connect the technical discussions in the conference hall with the constitutional and institutional framework of taxation, reminding participants of the larger system within which tax laws evolve.

The day concluded with Replies by the Paper Writer, CA Yogesh Thar, who addressed the key issues raised during the group discussions. His responses provided clarity on practical concerns and helped participants consolidate their learning from the day.

On Day 3, the Retreat continued with Group Discussions on Deeming Fictions and Valuation Changes, topics that often present significant challenges in practice. This was followed by a presentation by CA Rahul Bajaj on “Tax & Tech – The New Frontier,” which highlighted the increasing role of technology in tax administration, compliance, and advisory work. The session offered valuable insights into how professionals must adapt to a rapidly changing digital environment.

The afternoon featured concise and focused Tax Capsules, covering Tax Insurance by CA Upamanyu Manjrekar and Rewarding Employees – Local & Global by CA Mahesh Nayak. These short sessions delivered high-impact learning and were well appreciated for their practical relevance. The day’s technical sessions concluded with Replies by the Paper Writer, CA Pradip Kapasi, on “Navigating Deeming Fictions & Vexatious Valuations,” where he addressed key interpretational and litigation-related concerns.

Adding a refreshing balance to the intensive technical sessions, the Saturday evening Bingo game provided delegates an opportunity to unwind and interact informally. The specially curated game created an atmosphere of camaraderie and laughter, strengthening connections among participants and reinforcing the idea that learning is most effective when combined with meaningful human interaction.

The final day of the Retreat featured a much-anticipated Brain Trust Session and Open Mic, with Senior Advocate Shri S. Ganesh and Shri G. S. Pannu, Former President of the ITAT. The session allowed delegates to ask questions, benefiting from insights drawn from decades of experience at both the Bar and the Bench. The candid and practical nature of the discussion made this session particularly engaging and valuable.

The Retreat concluded with a Valedictory Session, during which appreciation was expressed to all those who contributed to the success of the program, including the speakers, paper writers, group leaders, mentors, organisers, hospitality team and the BCAS team whose collective efforts ensured a seamless and enriching experience for all participants.

Overall, Direct Tax Retreat 1.0 was widely appreciated for its depth of content, interactive formats and emphasis on participative learning. By successfully combining rigorous technical discussions with institutional exposure, informal interaction, and community building, the Retreat set a new benchmark in professional tax education and laid a strong foundation for future editions.

Direct Tax 2 Direct Tax 3

6. Webinar on Mastering Compliance with India’s DPDP Act, 2023 held on Monday, 15th December 2025 @ Virtual.

In this session, Mr Shrikrishna Dikshit provided a practical overview of the Digital Personal Data Protection (DPDP) Act, 2023 and the intent behind its key provisions. It covered the implications of the draft rules and how organisations should interpret them for operational compliance. The roles and responsibilities of Data Fiduciaries and Data Processors were explained with emphasis on accountability and governance. Key aspects such as consent management, cross-border data transfers, and grievance redressal mechanisms were discussed.

The session also highlighted risks arising from third-party vendors and the importance of managing vendor ecosystems effectively. Sector-specific insights were shared for BFSI, healthcare, e-commerce, and manufacturing sectors. Overall, the session enabled participants to understand compliance expectations and practical steps for strengthening data protection frameworks under the DPDP Act.

Scan to watch online at BCAS Academy

Webinar on Mastering Compliance with India’s DPDP Act

7. Webinar on BHARAT CONNECT FOR BUSINESS (BCB) held on Saturday, 13th December 2025 @ Virtual

The Technology Initiatives Committee of the Bombay Chartered Accountants’ Society successfully hosted a webinar on “Bharat Connect for Business (BCB)” on 13 December 2025, which witnessed enthusiastic participation from members across age groups and practice profiles.

The webinar focused on the evolving landscape of connected accounting for MSMEs, highlighting how Bharat Connect for Business aims to seamlessly integrate invoices, payments, and reconciliations across accounting platforms. The session provided valuable insights into how automation and interoperability between systems can significantly enhance efficiency, accuracy, and turnaround time for businesses and their advisors.

Eminent speakers Mr Rupesh Thakkar (Tally Solutions), Mr Vignesh RV (Zoho), and Mr Vipul Arun (NPCI Bharat BillPay Limited) shared practical perspectives on the concept, functionalities, and real-world impact of BCB. A key highlight of the webinar was a live demonstration of transaction flow between Zoho and Tally, which was particularly well appreciated by the participants for its practical relevance.

The session concluded with an engaging Q&A, reflecting keen interest among members in adopting connected and automated solutions in their professional practice. Overall, the webinar was well-received and reinforced BCAS’s continued commitment to keeping its members abreast of emerging technological developments impacting the profession.

Scan to watch online at BCAS Academy

II. REPRESENTATIONS

1. Representation on Section 12A Registration Renewal Requirements

BCAS submitted a representation on January 7, 2026, to the Revenue Secretary, Chairman of CBDT, and the Principal Chief Commissioner of Income Tax (Exemptions), highlighting issues faced by public charitable trusts in the renewal of registration under Section 12A. The Society opposed the insistence on an express irrevocable clause in trust deeds for Form 10AB, citing judicial precedents and state trust laws which establish irrevocability in law even without such clauses. BCAS requested the issuance of suitable clarifications to avoid unnecessary amendments to trust deeds.

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Representation on Section 12A Registration Renewal Requirements

2. Representation on GSTR-9 and GSTR-9C Filing Challenges

BCAS submitted a representation on December 29, 2025, to the Hon’ble Finance Minister, CBIC Chairperson, and GST Council Secretariat seeking extension of the due date for filing Forms GSTR-9 and GSTR-9C for FY 2024-25. The Society highlighted difficulties arising from enhanced ITC reporting requirements, revised GSTR-9 auto-population, delayed availability of audited financials due to extended tax audit timelines, and overlap with adjudication deadlines under the CGST Act. BCAS requested suitable relaxation to enable accurate compliance.

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Representation on GSTR-9 and GSTR-9C Filing Challenges

Readers can read the full representation by scanning the QR code or visiting our website www.bcasonline.org

III. BCAS IN NEWS & MEDIA

BCAS has been featured in several news and media platforms, showing our active involvement, professional contributions, and commitment to the field. This reflects the growing recognition of BCAS in the public and professional space.

Link: https://bcasonline.org/bcas-in-news/

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BCAS IN NEWS & MEDIA

BCAJ Admin

Miscellanea

1. ARTIFICIAL INTELLIGENCE

#Even the Sky May Not Be the Limit for A.I. Data Centers

As artificial intelligence continues to expand rapidly, tech leaders are warning that Earth’s land and energy resources may soon be insufficient to support the massive data centers required to power it. Earthbound facilities are already facing significant constraints, including power shortages, rising utility costs for consumers, water scarcity issues from cooling needs, and growing local opposition to new constructions. In response, prominent figures in AI and space industries are proposing a bold solution: building giant orbital data centers that could float in space, powered by abundant solar energy and naturally cooled by the vacuum, potentially becoming visible from Earth like bright planets in the night sky.

While some experts believe versions of space-based data centers could become feasible within decades, the idea has gained traction among high-profile supporters including Elon Musk, who predicted they could be the cheapest option for AI training within five years, as well as Jeff Bezos, Sam Altman, and Jensen Huang. Companies like SpaceX have referenced funding such projects through future IPOs, and startups like Starcloud envision modular orbital facilities rebuilt every five years to update hardware. However, the concept remains highly speculative, blending financial incentives from the booming AI and space sectors with substantial technical and economic challenges ahead.

(Source: nytimes.com dated 1 January 2026)

# New Billionaires of the A.I. Boom

The artificial intelligence surge in 2025 has minted a new class of billionaires, primarily through skyrocketing valuations of private startups rather than public markets, echoing the dot-com boom of the late 1990s. While established figures like Nvidia’s Jensen Huang and OpenAI’s Sam Altman saw their wealth grow further, the spotlight fell on founders of lesser-known AI companies whose equity turned into billions on paper. These emerging tycoons, positioned to become influential Silicon Valley players, amassed fortunes as investors poured funds into data-labelling, coding tools, search engines, robotics, and specialized AI labs.

Notable new billionaires include Alexandr Wang and Lucy Guo of Scale AI (boosted by a major Meta investment leading to a $14.3 billion valuation), the four founders of Cursor—Michael Truell, Sualeh Asif, Aman Sanger, and Arvid Lunnemark—whose AI coding startup reached a $27 billion valuation, and Brett Adcock of humanoid robot maker Figure AI. Others hail from Perplexity, Mercor (Adarsh Hiremath, Brendan Foody, and Surya Midha), Safe Superintelligence, Harvey (Winston Weinberg and Gabriel Pereyra), and Thinking Machines Lab. However, venture capitalists caution that much of this wealth remains “on paper” and could evaporate if the startups fail to deliver sustained success, drawing parallels to historical tech bubbles like the 1890s railroad barons.

(Source: nytimes.com dated 1 January 2026)

2. WORLD NEWS

#Australia Enforces World-First Under-16 Social Media Ban, Deactivating Millions of Accounts

In December 2025, Australia implemented the world’s first nationwide ban on social media for users under 16, with the law taking effect on December 10. The Online Safety Amendment (Social Media Minimum Age) Act requires major platforms—including TikTok, Instagram, Facebook, X (formerly Twitter), YouTube, Snapchat, Reddit, Threads, Twitch, and Kick—to take reasonable steps to prevent children under 16 from creating or maintaining accounts. Platforms face fines of up to A$49.5 million (approximately $32 million USD) for non-compliance, but there are no penalties for young users or their parents. The measure, championed by Prime Minister Anthony Albanese, aims to protect children from online harms, despite ongoing debates about its effectiveness and enforcement methods, such as age verification technologies.

In the weeks following implementation, social media companies reported deactivating or restricting approximately 4.7 million accounts identified as belonging to Australian users under 16, significantly impacting millions of children and teenagers. While supporters praise the swift action as a global precedent for child online safety, critics highlight implementation challenges, including inaccurate age verification that allowed some under-16s to retain access while incorrectly blocking others.

(Source: theguardian.com – dated 16 January 2026)

3. ENVIRONMENT

#2025 Confirmed as One of the Three Hottest Years on Record

In January 2026, the World Meteorological Organization confirmed that 2025 was among the three warmest years on record, with a global average surface temperature of 1.44 °C above the pre-industrial baseline. Despite the cooling influence of La Niña, 2025 ranked second or third in most datasets, behind only 2024 and 2023,
underscoring the dominant role of human-caused greenhouse gases.

The years 2023–2025 now form the warmest three-year period ever recorded, with their combined average exceeding 1.5 °C above pre-industrial levels in some analyses. The last 11 years are the 11 hottest on record, and these persistent high temperatures have driven more intense extreme weather events, including heatwaves, floods, and cyclones, highlighting the need for urgent emission reductions.

(Source: returns.com – 14 January 2026)

BCAJ Admin

Co-Operative Societies

Shrikrishna: Arey Arjun, for a change, you are looking in a cheerful mood today. What is the secret?

Arjun: Nothing, Bhagwan. Just enjoying the pleasant climate. And a little relaxed from the deadlines.

Shrikrishna: I understand. From July to December, every month end is a nightmare for CAs.

Arjun: Very true. In the housing society where I stay, there were celebrations for new year, Makar Sankranti and the Republic Day.

Shrikrishna: Oh, Great! So your society members must be good and friendly with each other.

Arjun: Yes. But……….

Shrikrishna: But there are a couple of trouble makers, Right?

Arjun: Absolutely, Lord. I have observed that by and large in all co-operative housing Societies, there is nothing but non-cooperation!

Shrikrishna: Unfortunate!

Arjun: No one voluntarily comes forward for work. They consider managing committee members as their servants! Sometimes, committee members are also a little too smart. There is some friction or the other among members.

Shrikrishna: And one or two members are a bit too smart! They feel that they know everything; and they alone know the laws and regulations!

Arjun: Bhagwan, how do you know all these things?

Shrikrishna: Arjun, this is kaliyug. Even in previous Dwapar yuga, there were disputes among cousins and close relatives.

Arjun: The one or two trouble making members disturb the peace of all. They rake up disputes with the managing committee and all other members. They keep on filing complaints to all authorities – Registrar, Police, Courts, and so on!

They often refuse to pay the dues to the society.

Shrikrishna: And also to your Institute!

Arjun: Yes, I was coming to that. It is there hobby to create unrest and make the Auditor as a scapegoat.

Shrikrishna: But Arjun, you must admit that you CAs also take the society’s work rather lightly. Don’t you?

Arjun: Agreed. Our CAs are not careful and they unnecessarily invite trouble for themselves. Most common points are – These non-profit organisations cannot afford a proper accountant. So, the CAs themselves render accounting services either themselves or through their articles or employees or through their relatives.

Shrikrishna: Yes. And they raise the invoice also, mentioning as ‘Accounting and Audit Services”!

Arjun: True! That is very common biggest blunder.

Shrikrishna: Then you people never examine and insist on secretarial record – like minutes, notices, attendance record and so on. So also, the various registers which are required to be maintained, are never updated.

Arjun: And our CAs do not sign them even if they see. There should be an evidence of their verification. There should be working papers, correspondence and so on.

Shrikrishna: I have always been warning. In kaliyuga, ‘good faith’ is always very dangerous.

Arjun: Managing Committee people are not always qualified and experienced. Actually, they should attend the training programmes organised by the Federation of housing societies. But they take it lightly.

Shrikrishna: If there is some large capital expenditure or heavy repairs, the auditor has to be extra careful.

Arjun: Moreover, Bhagwan, today redevelopment of societies’ buildings is very common. There, lot of paper work is required apart from accounting and tax issues. An average auditor not having the necessary exposure and expertise should either leave the assignment or seek proper expert advice.

Shrikrishna: I have heard that many CAs are being dragged into disciplinary proceedings for the lacunae in audits of co-operative societies.

Arjun: Yes. As it is, these audits are not at all remunerative. But CAs do not take it seriously and invite disciplinary complaints.

Shrikrishna: One more aspect is of verification of original bank deposit receipts; and confirmation from banks. There have been many instances of misappropriation of money by fraudulently encashing the FDs.

Arjun: Yes. I am aware of many such complaints in the context of societies and Charitable trusts.

Shrikrishna: In short, CAs should not neglect the assignments merely because these are Non-profit organisations and not very remunerative.

Arjun: I entirely agree, Bhagwan.

OM SHANTI

(This dialogue is based on the general scenario in the audit assignments of co-operative societies and other NPOs.)

BCAJ Admin

Tech Mantra

PDFgear

PDFg

PDFgear helps you read, edit, convert, merge and sign PDF files across devices. It is completely free and you do not even need to signup. Just download it and start using it. The files remain on your system and do not even go out for processing!

It also offers dozens of tools to help you complete simple and quick PDF tasks directly in your web browser. You can edit, flatten, convert to and from Word or Images, add / delete PDF pages, split, merge and compress PDFs and much more.

PDFgear is truly free and is available on Windows, Mac, Android and iOS. It also incorporates free AI tools which may become chargeable as they move ahead.

Go ahead, take the first step towards PDF FreeDom today!

https://www.pdfgear.com/

Floating Notes

Floating
This is another Notes App with a difference – you can take notes and sync them on all your devices – but the notes will float on your screen above other apps. So, if you have something important to remember, it will always be on the screen for you!

You can minimise notes to the edge of the screen as only icons and schedule notes to appear only at certain times. You can also choose among a lot of icons and colors for your notes. You can change the transparency of the floating notes and also add checklists to track your progress while using other apps. And, of course, when you are watching movies or playing games, you can turn off visibility for a while!

Overall, a totally different Notes Experience!

Android : https://tinyurl.com/floatingnotes

URLCheck

URL
This app acts as an intermediary between your receiving any links by email or WhatsApp or any other app and the actual link where you will land up. When you click on a link and choose this app to open it, it will show a dialog with some information about the link. If it is a shortlink, it will show you the final destination; if it is not a secured site, it will indicate the same; and if it is a scam site, it will also alert you. If the target website has tracking parameters, it will show you the same – in all cases, you have the option to avoid that site!

An interesting free tool to avoid scams and dangerous links!

Android : https://tinyurl.com/urlch

Typi – Type with AI

Typing

Typi is an AI-powered solution that can provide instant answers to your queries. Whether you have a question about a particular topic or need help with a problem, Typi is here to assist you. With Typi, you can type your question anywhere on your device, and let Typi do the rest.

If you are typing an email or message and you make some typing / grammatical mistakes, instead of correcting each mistake individually, just type “?fixg” and all your errors will be rectified for the entire text. Or, if you have a long winding message and want to make it short, at the end, just type “?short” and voila – the entire message will be summarised. If you want your text to be converted to something more polite, just type “?polite” at the end and be amazed with the results!

But what if you’re looking for a quick and concise answer? That’s where “?typic” comes in. By adding “?typic” to your question, you can get a short and to-the-point response that’s perfect for when you’re in a hurry.

In short, it brings Gemini’s AI power to your keyboard without needing to switch apps.

Pretty neat and useful!

Android : https://tinyurl.com/typewithai

BCAJ Admin

Learning Events at BCAS

1. CA Pariksha Pe Charcha held on Saturday, 6th December 2025@ Virtual.

Speakers: CA K S Ranjani, CA Heramb Maheshwari, CA Utsav Shah, CA Nidhish Naik, CA Naman Gupta, CA Ansh Bhorawat & CA Anjali Shukla

The Human Resource Development Committee of BCAS organised “CA Pariksha Pe Charcha”, an interactive learning session designed to guide CA students in their exam preparation journey. The program commenced with an inspiring keynote by CA K S Ranjani, who spoke on resilience, overcoming setbacks, and developing a success-oriented mindset. This was followed by an insightful session by CA Heramb Maheshwari (AIR 1 – November 2024), who shared his exam preparation journey, practical exam strategies and clarified ICAI evaluation myths.

A dynamic panel discussion featuring top rankers from the September 2025 CA Final exam brought real-life perspectives on study routines, discipline, answer writing, and balancing mental well-being. Students from across the country participated enthusiastically, making the session highly engaging and impactful.

Overall, the program provided a blend of motivation, actionable techniques, and relatable experiences, helping students approach their CA journey with clarity, confidence, and a structured plan.

Scan to watch on Youtube

CA Pariksha Pe Charcha

2. Webinar on New Labour Codes: Legal Framework, Financial Impact & Practical Implementation held on Friday, 5th December 2025@ Virtual.

The Finance, Corporate and Allied Laws Committee of the Bombay Chartered Accountants’ Society organised a webinar on “New Labour Codes: Legal Framework, Financial Impact & Practical Implementation” on Friday, 5th December 2025.

The Finance, Corporate and Allied Laws Committee of the Bombay Chartered Accountants’ Society organised a webinar on “New Labour Codes: Legal Framework, Financial Impact & Practical Implementation” on Friday, 5th December 2025.

The programme was conducted in two segments. Adv. Sundeep Puri covered the legal and conceptual aspects of the Codes, explaining the structure, intent and major changes introduced. CA Alok Agarwal and CA Bhavin Rajput discussed the financial, compliance and implementation-related implications, highlighting areas requiring organisational preparedness, policy review and systems alignment.

The webinar received an encouraging response from members across practice and industry. 316 participants enrolled for this webinar from 50+ cities and towns across India. Participants appreciated the clarity of explanations and the practical insights shared by the speakers.

Scan to watch online at BCAS Academy

Webinar on New Labour Codes

3. AARAMBH – Making Articleship Count held on Thursday, 04 December, 2025 @ HR College of Commerce & Economics, Churchgate, Mumbai

AARAMBH

Every meaningful journey begins with a purposeful start. Aarambh, meaning a new beginning, represents BCAS’s commitment to guiding CA students at one of the most defining stages of their professional journey – the commencement of articleship.

Through the Aarambh – Making Articleship Count Initiative, BCAS fulfils its professional social responsibility by engaging directly with students and sharing practical insights, real-life experiences, and guidance from young Chartered Accountants who have recently walked the same path. The sessions are designed to bridge the gap between academic learning and professional realities, enabling students to approach articleship with clarity, confidence, and a long-term perspective.

The first session under this initiative was held at H.R. College of Commerce & Economics, Churchgate, Mumbai, on Thursday, 4th December 2025. The programme was made possible through the wholehearted support and cooperation of Principal Mrs. Pooja Ramchandani and Director – Placement, Dr. Navin Punjabi.

The programme witnessed enthusiastic student participation, driven by an engaging panel discussion and vibrant interaction. The presence and encouragement of the team BCAS – President CA Zubin Billimoria, Hon. Joint Secretary CA Mrinal Mehta, Managing Committee member CA Anand Kothari, and the panelists from Core Group CA Mahesh Nayak, CA Aditya Pradhan and CA Vatsal Paun, further reinforced the Society’s collective commitment to nurturing the future torch-bearers of the profession.

BCAS remains steadfast in its mission to mentor, inspire, and support the next generation of Chartered Accountants, contributing meaningfully to the profession and to the nation at large.

4. FALCON – Making Articleship Count held on Wednesday 03rd December, 2025 at N M College of Commerce & Economics, Vile Parle, Mumbai

FALCON

The falcon bird symbolises vision, power and victory. With this initiative, BCAS offers young CA aspirants an opportunity to interact and learn from young Core Group members – those who have walked the path before them. The panellists dwell on the topics of Articleship, Post Qualification, Professional Association & Networking, and Leadership. To ensure that the aspirants feel both comfortable and confident to engage with the panellists, the initiative has BCAS meet them on their home turf – be it college, or coaching class or even CA firm.

The first session under this initiative was held at N M College of Commerce & Economics on Wednesday, 3rd December 2025. Principal Dr Parag Ajgaonkar and Vice Principal CA Dr Savita A Desai of the college personally welcomed the visiting team from BCAS comprising the President, CA Zubin Billimoria, Managing Committee member, CA Preeti Cherian and the three panellists – Managing Committee members, CA Samit Saraf and CA Sneh Bhuta and Core Group member, CA Vedant Gada. The session was ably supported by the Association of Accountancy Committee of N M College. The audience, comprising degree college students who are set to embark on this wondrous journey, found the discussion both informative and helpful.

From the BCAS perspective, engaging with the students as they commit themselves to a demanding, yet extremely satisfying career choice is imperative – these students are the face of tomorrow of the profession.

In the words of the American author, Mercedes Lackey, “The hatched chick cannot go back to the shell, the falcon who has found the sky does not willingly sit the nest.”

5. CATHON (Marathon) – Run for Fitness, Fun and Purpose held on Sunday, 30th November 2025 @ Iconic Bandra Fort, Mumbai.

CATHON

India’s Second Edition of CA-Thon 2025 – A Run for Fitness, Fun & Purpose was organized on Sunday, 30th November 2025 near Bandra Fort, Mumbai under the aegis of the Seminar, Membership & Public Relations (SMPR) Committee.

The event attracted 2,000+ participants – Chartered Accountants and non-Chartered Accountants alike – between the age group of 8 to 70 years – drawn from all walks of life, from different corners of the country. An added feature this year was the participation of select CA firms that enlisted their team members for the run.

The annual event helped increase the visibility of Brand BCAS, cement relationships within the community, promote health and fitness among participants drawn from all walks of life and contribute to a righteous cause (part of the proceeds went to donating professional sewing machines to women from marginalized communities, to help them become entrepreneurs in their own right). BCAS Foundation also joined hands in supporting these women through this donation.

Through this annual run, the CA-Thon hopes to encourage runners to incorporate physical activity as part of their daily routine, thereby leading to an agile and healthy life, which is one of the cornerstones of financial well-being.

6. Webinar on Tax Law in Transition- Impact on Landmark Rulings After Introduction of New Income Tax Act 2025 and Recent decisions covering the Real Estate sector held on Saturday, 29th November 2025 @ Virtual.

The Direct Tax Committee of the Bombay Chartered Accountants’ Society organized a Webinar on Tax Law in Transition – Impact on Landmark Rulings after New Era of Reform and Recent Decisions covering the Real Estate Sector.

The session focused on how the real estate sector continues to face complex tax challenges, especially due to frequent litigation, changing business models, and evolving regulatory rules. Participants were taken through key judicial developments and how these decisions affect day-to-day tax positions in the industry.

CA Harsh Kothari spoke on the impact of the New Income Tax Act on landmark decisions under the old Act. He explained how the restructured law attempts to simplify provisions but also creates new interpretational considerations. His session focused on how earlier judicial principles may continue, where they may no longer apply and what tax professionals should keep in mind while interpreting the new Act. The webinar offered clear and practical insights for professionals in a period where both the law and its interpretation are going through a significant transition.

CA Anil Sathe presented a clear and insightful overview of recent and significant rulings impacting the real estate industry. He explained how courts have interpreted issues such as development agreements, joint development models, withholding implications, timing of income recognition, and capital gains triggers. His session helped participants understand how these rulings guide practical tax positions and compliance for developers, landowners, and investors.

Scan to watch online at BCAS Academy

Webinar on Tax Law in Transition

7. Women’s Study Circle meeting — SAKHI CIRCLE! held on Friday, 28th November 2025@ Virtual.

The inaugural session of the Women’s Study Circle was an inspiring and interactive experience. The theme, ‘Celebrate Your Uniqueness’, encouraged participants to embrace individuality and make conscious choices about their personal and professional lives.

CA Nandita Parekh opened the session with a powerful quote from Michelle Obama:

“Each of us carries a bit of inner brightness, something entirely unique and individual. A flame that’s worth protecting. When we recognise our own light, we become empowered to use it.”

Through two engaging stories—one about Michelle Obama’s journey and another about a monkey— CA Nandita Parekh illustrated the importance of self-worth and clarity in decision-making. She posed thought-provoking questions:

– What do you truly want?

– What are you holding on to, and what can you let go?

– Are you trying to fit in or do you truly belong?

The discussion highlighted how women’s paths are diverse and often non-linear.

The session emphasized that success is not about fitting into a mould but about defining your own balance between career, family, hobbies, and aspirations.

Key Takeaways:

– Embrace individuality and celebrate your uniqueness.

– Define priorities and make conscious choices.

– Build support systems and networks for growth.

Motivational Highlight:

“Celebrate who you are today, while creating space for who you want to become.”

8. Lecture Meeting on Boosting Business and Professional Productivity through AI held on Wednesday, 26th November 2025 @ Virtual.

A public lecture meeting was conducted by the Bombay Chartered Accountants’ Society virtually on zoom platform on 26th November 2025.

The speaker CA Umesh Sharma explained how Artificial Intelligence can significantly enhance professional and business productivity, particularly for chartered accountants. The speaker highlighted several core technologies, including machine learning, natural language processing, and generative AI, emphasizing their roles in fraud detection, financial advisory, and process automation. He outlined a strategic framework for AI implementation, moving from individual skill-building to sector-wide integration while maintaining essential human judgment and ethical standards. Practical advice was provided for firms of all sizes to address operational challenges, such as managing document chaos and improving client relations through digital dashboards. Ultimately, the speaker encouraged professionals to view AI as a powerful assistant rather than a threat, urging proactive learning and technical adaptation to stay competitive in a changing financial landscape.

The lecture was well-attended, with over 260 participants joining online.

Scan to watch online on Youtube

Lecture Meeting on Boosting Business and Professional Productivity

9. FEMA Study Circle Meeting on How to Study FEMA held on 25th November 2025 @ Virtual

The FEMA Study Circle held a meeting on the topic “How to study FEMA” which dealt with the core fundamentals of gaining expertise in FEMA.

The session was chaired by CA Naresh Ajwani and led by group leader, CA Vivek Vithlani.

The chairman provided a deep insight into the unique aspects of the exchange control law, which makes this topic worthy of being taken for beginners.

The group leader explained the approach which is required to study and gain expertise in any law in general. Along with the approach, he shared the chronology of steps which he has developed over the years to understand any law. Further, the group leader showed how the generic approach and step-wise chronology can be applied to FEMA in particular and the nuances pertaining to the same. Light was also thrown on different legal documents issued by the Central Government and the RBI to show a 360-degree view of FEMA.

The meeting was concluded by summarising the milestones of gaining expertise in any law.

10. Power Summit 2025 held on 21st & 22nd November 2025 @ Lemon Tree Premier – Pune.

Power Summit

Human Resource Development Committee of BCAS organised a two-day residential program “The Power Summit 2025” on 21 & 22 November 2025 at Hotel Lemon Tree Premier, Pune. This was the 10th season of the Power Summit with the first one being held in 2011.

The theme for the Power Summit was Growth, Governance & Generational Transition – Shaping The Firms of 2030. The Power Summit hosted about 95 participants coming from cities across the country. There were certain participants who had been part of all the previous ninePower Summits as well as participants attending for the first time. This diversity added to the charm of the Summit.

The presentation and panel discussions over the two days were creative, intriguing, and interwoven in a manner that left all participants with valuable insights and a renewed determination to progress along their growth trajectory.

A brief snapshot of the presentation and panel discussions is as follows:

Topic	Speaker / Panellist & Moderator	Key Learnings for Participants
Grow In Continuum: Succession Planning Strategies for Proprietorship & Small Firms	CA Jayraj Sheth	Participants learnt from Jayraj’s presentation about key areas such as exploring when to begin succession planning, grooming successors and client transition strategies.
Partnership Deeds – Beyond the Fine Print, ICAI – Latest Updates.	Speaker: CA Vishal Doshi \| Moderator: CA Ameet Patel	Candid discussion with Vishal gave insights into how ICAI, at institution level, is perceiving and looking at mergers, multi-disciplinary partnerships etc. Also, Vishal shared updates on the latest progress happening at ICAI level on these topics.
Fireside Chat: Women in Leadership: The Evolving Role of Women Professional	Speaker: CA Priti Savla \| Moderator: CA Nandita Parekh	The chat highlighted the various initiatives taken by ICAI for empowering Women Professionals. Also, the personal journey of Priti, motivated and inspired all the participants.
Mergers and Expansion – Why some work, why many fail	Panellists: CA Manish Sampat, CA Naman Shrimal \| Moderator: CA Vaibhav Manek	The power packed discussion with the panellists left the participants with lots of food for thought on various merger models, geographic / vertical expansion, profit-sharing agreements, reasons for things not working out and practical suggestions on how to navigate these challenges.
Practice Excellence- Preparing For Growth/ Merger	Panellists: CA Paresh Shaparia, CA Subhash Saraf \| Moderator: CA Ameet Patel	The practical experience shared by both the panellists gave interesting insights to all participants on how to get oneself or one’s own firm ready for Growth and Merger. Key takeaways being around areas of practice reviews, policy documentation, MIS systems etc.
Professional Firms @ 2030 What will it take?	Panellists: CA Nilesh Vikamsey, CA Naman Shrimal \| Moderator: CA Vaibhav Manek	The panellists shared multiple perspectives on what would be the key drivers for a successful CA Firm in 2030. Also, they shared interesting suggestions on future-proofing professional firms in the next decade.
Legal Insights on the Professional Service Firms – How to Navigate the Regulatory Landscape and Prepare for Risks and Liabilities	Panellists: Mr. Shreyas Jayasimha, Ms. Radhika Iyer \| Moderator: Vaibhav Manek	It was an interesting panel discussion to provide a flavour to all the participants on the kind of legal risks that a professional is carrying in today’s time and practical suggestions on ways to navigate them. There was also discussion on how different professionals can collaborate to create a win-win situation for everyone.
Walk & Talk: Challenges of Firm Growth	CA Nilesh Vikamsey, CA Ameet Patel, CA Nandita Parekh	This was the concluding session in which the discussions focused on real-world barriers in expansion and how peers have navigated them. Interesting Q&As and discussions were done with the participants as well.

The Summit successfully generated substantial interest among the participants, thereby motivating them to strategically plan for their growth. The participants expressed their profound gratitude to the organising team for their exceptional work and the provision of a high-quality program. All participants shared their testimonials and gratitude via WhatsApp groups and social media platforms.

11. Direct Tax Laws Study Circle Meeting on Succession Planning from a Direct Tax Perspective held on 20th November, 2025@ Virtual.

Succession planning plays a vital role in ensuring smooth intergenerational transfer of wealth and preventing disputes. The session highlighted key tax provisions, legal mechanisms, and practical considerations in designing an effective succession structure.

The following major areas were discussed during the session:

Succession Modes – Wills, trusts, nominations, and family arrangements are the primary structuring options, each carrying different tax outcomes.
Legal Representative Liability – Responsibility of Legal heirs with respect to tax liabilities of the deceased, including interest and penalty till the date of death.
Taxation of Executors [S. 168] – Separate assessment of the executor on the income of the estate until its complete distribution.
Nominee vs. Legal Heirs – The difference between the two was highlighted with an example of a judgment of the Supreme Court in the case of Shakti Yezdani, wherein it was held that a nominee merely facilitates transmission and does not override the rights of legal heirs.
Will-based transfers – Tax Neutrality – transfers under a Will are not regarded as a “transfer” under Section 47(iii), and inheritance is specifically exempt under Section 56(2)(x). Thus, passing assets through a Will is a tax-efficient mechanism.
Family Arrangements – Not a Transfer – The session clarified that a genuine family settlement based on antecedent rights is not treated as a transfer for capital gains. It simply realigns existing rights in property to preserve peace and prevent litigation within the family.
Situations wherein Family Settlements become taxable – The session clarified that If parties lack pre-existing rights—as in P.P. Mahatme (Bom HC)—payments received may be treated as taxable capital gains. Antecedent rights are therefore key to determining tax neutrality.
Specific vs. Discretionary Trusts – The speaker clarified that certain trusts have identifiable beneficiaries with defined shares, while discretionary trusts allow trustees to decide distributions. Discretionary trusts are generally taxed at the maximum marginal rate unless specific exceptions apply.

Conclusion: The session was highly interactive, with participants actively engaging and gaining practical clarity on the tax and legal aspects of succession planning. The discussions helped simplify complex concepts and gave attendees a clear understanding of how to apply the right tools in real-life situations. Overall, the audience left with valuable insights to plan succession more confidently and effectively.

12. Felicitation of Chartered Accountancy pass-outs of the September 2025 Batch held on Monday, 17th November, 2025@ Sydenham College

Felicitation of Chartered Accountancy pass-outs Nov

The Seminar, Membership and Public Relations (SMPR) Committee hosted a felicitation ceremony on 17th November 2025 in the auditorium of the Sydenham College of Commerce & Economics, Churchgate, to honour the newly qualified Chartered Accountants from the September 2025 batch. Out of the 450 registrations, over 325 enthusiastic newly qualified CAs participated in the event. The guest and mentor for the event was CA (Adv.) Kinjal Bhuta, Treasurer of BCAS. In her address, she reminisced about her early days, the support she received from her clientele and elders in the profession, and how her association with BCAS has helped in shaping her career and growth as a professional. She shared six life lessons with the audience and invited them to come within the BCAS fold and partake of the bouquet on offer.

AIR 16, Nidhish Naik, AIR 28 Ansh Bhorawat, AIR 34 Naman Gupta and AIR 46 Anjali Shukla were then felicitated. A celebratory cake was cut post which all the other newly passed CAs were felicitated. The ceremony served as a warm welcome of the newly qualified CAs into the wider professional fraternity.

Scan to watch online on Youtube

Felicitation of Chartered Accountancy pass-outs

13. ITF Study Circle meeting – Black Money Act – Penalty for Non-Disclosure of Foreign Assets: Key Rulings held on 14th November, 2025@ Virtual.

The International Tax and Finance Study Circle organized a meeting (online) on 14 November 2025 to discuss key rulings with respect to penalty for non-disclosure of foreign assets under the Black Money Act:

Chairman of the session – CA Sushil Lakhani

Group Leader CA Kush Vatsaraj

The session opened with the initial remarks from the chairman on the topic.
Post that, the group leader discussed the rationale of the Black Money Act and the basic provisions to set the context for the group.
Next the group leader discussed a number of rulings with respect to levy of penalty under the Black Money Act, including rulings under other laws but applicable to penalty under the Black Money Act.
The group leader discussed a recent Special Bench ruling with respect to the penalty being discretionary in greater detail
The participants debated various nuances with respect to the levy of penalty under the Black Money Act, especially with respect to some divergent views adopted by appellate authorities.
The group leader took the group through a number of scenarios with respect to the levy of penalty under the Black Money Act and shared his insights on the same. The chairman of the session also shared his insights.
The session closed with the floor being opened up for Q & A. Participants raised a number of questions and the same were answered by the group leader and the chairman of the session. Other participants also shared their practical experiences.

14. BCAS NXT – Learning & Development Bootcamp – A Deep Dive into GST Annual Return (GSTR-9) and Reconciliation Statement (GSTR -9C) held on 14th November, 2025@ Virtual.

The Human Resource Development Committee organized a BCAS NXT Learning & Development Bootcamp on “A Deep Dive into GST Annual Return (GSTR-9) and Reconciliation Statement (GSTR-9C)” on Friday, 14th November 2025, from 4:00 PM to 6:00 PM.

The session was led by Ms Riya Bhavesh Shah, a CA Final student, who delivered a detailed presentation covering each table in the GSTR-9 and GSTR-9C forms, the correct placement of data, and the importance of accurate and timely filing. The session also highlighted the consequences of late filing, recent procedural changes, and updates in reporting requirements. CA Ashwin Chotalia, the mentor for the session, provided valuable insights and guidance throughout, offering expert interventions as needed.

The bootcamp was held in person at Gokhale & Sathe Chartered Accountants and was also streamed online, with active participation from students across India.

More than 250 students benefited from this session.

Scan to watch online on Youtube

BCAS NXT - Learning & Development Bootcamp

15. Finance, Corporate & Allied Laws Study Circle – Financial Wellness for Professionals held on Thursday, 13th November 2025 @ Virtual

The session on “Financial Wellness for Professionals” by Mr Tarun Birani focused on helping high-earning professionals move from income dependence to true wealth independence through structure and discipline. Using interactive polls and case studies, he highlighted how lifestyle inflation, safety bias and scattered assets often keep professionals financially vulnerable despite strong incomes.

Tarun introduced a clear Wealth Allocation Framework, classifying assets into safety, stability and aspirational buckets, and showed how goal-based cash flows, risk assessment and stress testing can convert affluence into resilient, long-term wealth. He emphasised the power of disciplined equity allocation, behaviour management and periodic rebalancing over market prediction or product selection.

Through real-life client stories, he demonstrated the dangers of concentration in business / profession and real estate, lack of liquidity buffers and poor succession planning, and contrasted this with the benefits of structured family wealth architectures and family offices.

The session concluded with practical action points for professionals to document their finances, separate business and personal wealth, and work with fiduciary, conflict-free advisors to achieve financial wellness with peace of mind.

16. Half-Day Panel Discussions on Transfer Pricing Benchmarking and Compliances held on Friday, 10th October 2025 @ Virtual

The Society successfully conducted its Half-Day Panel Discussions on Transfer Pricing Benchmarking and Compliances via an online platform on Friday, 10th October, 2025 from 2:00 pm to 6:30 pm.

Based on participants’ feedback and consultation with seniors in the Committee, this year BCAS has come up with unique concept of sharing the recordings of the transfer pricing workshop undertaken in October 2023 along with recordings of panel discussions conducted in October 2024 to the participants as pre-reading for the workshop followed by two live panel discussions to take forward the learnings by discussing the intricate and practical issues on transfer pricing making the same more interactive. Details of these two live panel discussions:

Session	Topic	Panel Members/ Faculties
1	Panel Discussion on Indian TP Compliance – Beyond Documentation, Towards Value Creation	Moderator – CA Anjul Mota Panelists- CA Namrata Dedhia, CA Naman Shrimal and CA Stuti Trivedi
2	Panel Discussion on Burning Issues in Indian TP – From Litigation to Strategic Risk Management	Chairman cum Moderator – CA Vispi Patel Panelists- CA Bhavesh Dedhia, CA Suchint Majmudar and CA Vijay Iyer

Participants were also provided an option to share the queries or issues to the panellists by way of Google form before the respective panel discussion which the panellists addressed during the panel discussion. Eminent tax professionals of the country were the panelists as well as moderator for such panel discussions.

Both the live sessions including the recorded sessions covered all the concepts of Transfer Pricing under the Income Tax Act, 1961 and the other relevant provisions.

More than 54 Participants from 15 states spread over 30 cities attended these live panel discussions which was well-received and appreciated by the participants.

Scan to watch online on BCAS Academy

Half-Day Panel Discussions on Transfer Pricing Benchmarking and Compliances

II. REPRESENTATIONS

1. BCAS Seeks Extension for GSTR-9 and GSTR-9C Due to Increased Compliance Complexity

On 11 December 2025, BCAS submitted a representation to the Hon’ble Finance Minister, highlighting challenges in filing GSTR-9 and GSTR-9C for FY 2024-25. Recent notifications have withdrawn long-standing relaxations, increasing compliance complexity. Key concerns include detailed ITC reporting (Table 7), new import reconciliation requirements (Table 8H1), changes in auto-population (Table 8A shifting from GSTR-2A to GSTR-2B), and technical glitches on the GST portal causing mismatches.

For GSTR-9C, withdrawal of turnover reconciliation relaxations and mandatory cross-year ITC reporting have made preparation more onerous. Tight timelines due to dependence on audited financial statements further exacerbate the challenge.

BCAS has requested a three-month extensionfor filing to allow professionals sufficient time to adapt, ensure data accuracy, and avoid inadvertent errors.

Readers can read the full representation by scanning the QR code or visiting our website www.bcasonline.org

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BCAS Seeks Extension for GSTR-9 and GSTR-9C

III. BCAS OUTREACH

• BCAS Delegation Meets Chief Executive, Indian Banks’ Association

BCAS Delegation Meets Mr Atul Kumar

A delegation of BCAS – Bombay Chartered Accountants’ Society, led by CA Zubin Billimoria, President, and CA Kinjal Shah, Vice President, met Mr. Atul Kumar Goel, Chief Executive of the Indian Banks’ Association(IBA).

The delegation briefed Mr. Goel on the key initiatives and activities of BCAS and discussed potential areas of future cooperation between BCAS and IBA.

Mr. Daljit Dogra, Board Member of IBA and Managing Director of Zoroastrian Cooperative Bank, was also present and facilitated the interaction.

BCAS looks forward to a long-term and mutually beneficial professional association with the Indian Banks’ Association.

• Meeting of Office Bearers with Mr. Sudhir Hirdekar, ACP Crime Branch, Mumbai Police

IV. BCAS IN NEWS & MEDIA

BCAS has been featured in several news and media platforms, showing our active involvement, professional contributions, and commitment to the field. This reflects the growing recognition of BCAS in the public and professional space.

Link: https://bcasonline.org/bcas-in-news/

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News and Views

BCAJ Admin

Regulatory Referencer

I. DIRECT TAX: SPOTLIGHT

1. Capital Gains Account (Second Amendment) Scheme 2025 – Notification No. 161/2025 and 162/2025 dated 19 November 2025

II. FEMA

1. RBI modifies FEMA compounding directions and updates bank account details for receiving fees and compounding amounts

The RBI has decided to change the details of accounts where compounding application fee and compounding amount will be received. This is to streamline these receipts. Accordingly, Annexure I of the Master Direction has been modified.

[AP (DIR Series) Circular No. 15/2025-26,dated 24th November, 2025]

2. RBI bars Pakistani/Bangladeshi citizens from carrying Indian notes to/from Nepal & Bhutan under revised FEMA norms

The Foreign Exchange Management (Export and Import of Currency) Regulations, 2015 has been amended. After the amendment, regulation 8 adds the phrase ‘not being citizen of Pakistan or Bangladesh’, thus barring these citizens from taking out of India or bringing into India Indian currency through Nepal or Bhutan.

[Notification No. FEMA 6(R)/(4)/2025-RB,dated 28th November 2025]

3. RBI permits AD Category-II banks/entities & FFMCs to submit ‘LRS daily return’ directly on CIMS portal w.e.f. January 1, 2026

As of now, Authorised Dealer (AD) Category-I Banks are required to submit data related to transactions under the Liberalised Remittance Scheme on Centralised Information Management System (CIMS) by the next working day. This is done for their own data as also the data of AD Category-II banks/entities and FFMCs attached to them or maintaining an account with them in their ‘LRS daily return’.

From 1st January, 2026, AD Category-II Bank and Full-fledged money changers (FFMC) will directly file the details of LRS transactions undertaken by them in the ‘LRS daily return’ on CIMS. With this, it will enable AD Category-II banks and FFMCs to check cumulative amount remitted by a resident individual (PAN-wise) before facilitating their next requested LRS transaction. Accordingly, they may discontinue submitting LRS transactions through AD Category-I Banks.

[AP (DIR Series) Circular No. 17, dated 3rd December, 2025]

4. RBI proposes to mandate Authorised Dealers to disclose transaction costs for foreign exchange contracts to retail users

The RBI has released Draft circular on mandatory Disclosure of transaction cost for foreign exchange transactions. Public comments are invited until 9th January, 2026. The new draft proposes disclosure requirements related to transactions costs – remittance fees, foreign exchange rate, currency conversion charges, etc. – in relation to foreign exchange cash, foreign exchange tom and foreign exchange spot contracts offered to retail users. Comments can be sent to postal and email addresses provided in the Release.

[Press Release No. 2025-26/1666, dated 9th December 2025]

III. IFSCA

1. IFSCA mandates display of key global access risks, including market, currency and custody risks, at every login by their clients

Under clause 39 of the “Regulatory Framework for Global Access in IFSC” circular dated 12th August 2025 issued under the IFSCA (Capital Market Intermediaries) Regulations, 2025, Global Access Providers (GAPs) and Introducing Brokers (IBs) are required to have a system to ensure that key risks and disclaimers relating to global access are displayed at every login by their clients. The Authority specifies risks and disclaimers in Annexure 1 of the circular to be displayed by GAPs and IBs at every login by the clients. This compliance shall be fulfilled by 31st December 2025.

[Circular No. IFSCA/DSI/12/2025-Capital Market, dated 26th November 2025]

BCAJ Admin

Miscellanea

1. ECONOMIC & MARKETS

# Spare parts are quietly reshaping the Luxury Automotive Economy

Luxury automakers are increasingly relying on proprietary engineering, making verified spare parts crucial for maintaining performance and asset value. Unlike mainstream vehicles, luxury cars require brand-specific components to ensure optimal functioning, as even minor deviations can lead to significant technical risks. Platforms like SparesUSA have emerged to provide access to vetted parts, addressing the growing demand for factory-authenticated components.

The distinction between luxury and mainstream vehicles lies in their manufacturing processes, where luxury cars are integrated systems that require precise specifications. As traditional dealership networks lose their exclusivity, specialized platforms are becoming essential for sourcing the right parts globally. This shift has transformed the aftermarket, making access to verified components a necessity for preserving the integrity and performance of high-end vehicles.

(Source: International Business Times – By Karcy Noonan – 18 December 2025)

2. WORLD – SCIENCE

# Neutron Star Explained: How Collapsed Stars Become the Universe’s Densest Stellar Remnants

Neutron stars, formed from the remnants of massive stars after supernova explosions, are among the universe’s most extreme objects. When stars between eight and twenty times the Sun’s mass exhaust their nuclear fuel, gravity causes their cores to collapse, creating neutron stars that can contain more mass than the Sun within a city-sized volume.

These stars exhibit incredible densities, where protons and electrons merge into neutrons, creating neutron degeneracy pressure that prevents further collapse into black holes. Neutron stars have distinct internal structures, including a thin outer crust and a superfluid core, and are limited by the Tolman–Oppenheimer–Volkoff mass boundary, beyond which they collapse into black holes.
Neutron stars conserve angular momentum, leading to rapid rotation, with some pulsars spinning hundreds of times per second. Magnetars, a rare type of neutron star, possess intense magnetic fields that can cause starquakes and gamma-ray bursts.
Gravitational wave detections, such as GW170817, have linked neutron star mergers to the creation of heavy elements and refined our understanding of their properties.

As they cool over time, neutron stars emit neutrinos and later photons, allowing astronomers to study their ages and internal behaviours. Neutron stars play a crucial role in galactic chemistry by ejecting neutron-rich material during mergers, contributing to the formation of heavy elements essential for life. Overall, neutron stars serve as natural laboratories for exploring fundamental physics under extreme conditions.

(Source: International Business Times – By Glanze Patrick – 24 December 2025)

3. BUSINESS

# Top Global Energy Players Assemble at Wison Technology Seminar 2025

Over 250 decision-makers, technical experts, and industry partners from the global energy sector gathered at the Wison Technology Seminar 2025, held from December 2-4 2025 in Shanghai.
This event highlighted Wison’s leadership in sustainable energy technology and focused on topics such as the energy transition, floating wind, green hydrogen, carbon capture, and Power-to-X technologies.

This year’s seminar was larger and more diverse than the inaugural event, fostering connections among companies, technology partners, and asset owners. Featuring 56 speakers, the seminar included keynotes and panel discussions on policy frameworks, the global energy mix, net-zero targets, and technological innovation.

Wison signed strategic agreements with international partners, including ABB, Emerson, Schneider Electric, and Inprocess, to advance low-carbon technologies and system integration. The partnership with Inprocess will enhance Wison’s digitalisation efforts, incorporating technologies that support the design of floating liquefied natural gas (FLNG) and floating production, storage, and offloading (FPSO) vessels.

Participants also visited Wison’s Nantong shipyard to see the fabrication of FLNG vessels. Damien Nguyen, CTO of Wison New Energies, and Hengwei Liu, CTO of Wison Engineering, emphasized the importance of decarbonization, standardization, and digitalisation in energy systems, calling for improved collaboration and risk mitigation across the value chain.

Overall, the seminar served as a platform for exchanging ideas and identifying real-world use cases and collaboration opportunities.

(Source: International Business Times – Created By Matthew Edwards – 23 December 2025)

BCAJ Admin

Revelation

Harshadbhai was in a jolly mood today. It was 28th of September, his birthday. He and his wife Priyanka were out on a stroll.

They met Pareshbhai with his wife Aparna. Pareshbhai also was in a celebration mood. It was their wedding anniversary.

Both Harshad and Paresh always used to complain that due to tax deadline of 30th September, they were never in a position to enjoy the birthday or anniversary. Today, the main reason of their good mood was the extension of time allowed by the Finance Minister! It was like a big Birthday Gift to both of them! Both were obviously chartered accountants and their pleasure was contained in small things like the hearing is adjourned, stay is granted in the client’s recovery proceedings, a client has agreed to pay a small fee next month, a ‘bad’ revenue officer has been transferred elsewhere; and so on!

They were close friends and they entered ‘Khau Galli ((Lane of eateries). There were many decorated and illuminated stalls. Chat, Bhelpuri, ragada pattice, pani-puri, vada, samosa, dhokla, farsan, South Indian dishes, sandwiches, tea, coffee, juices, ice creams so on and so forth. All mouth-watering dishes!

They tasted the dishes one by one, driven by the choices of their wives. While eating, the topic of chatting between Harshad and Paresh as usual was the CA practice.

Priyanka and Aparna were discussing about new sari, new dress, children’s schools, hobby class, tuitions, etc. etc. One common complaint was Harshad and Paresh both sit late in office, they don’t look after anything in the house, they don’t take the family for outing, no movie, no enjoyment!

Harshad and Paresh were cursing the practice with usual complaints like careless clients,complicated laws and regulations, corrupt departments, inefficient colleagues no staff, no articles, late sitting, no income but increasing expenses, clients’ expectations and the like. Both agreed that the practice had lost its charm and they cursed their fate.

The owners of the shops were all enjoying counting money at the counter! Harshad and Paresh envied them.

Finally, they sat in the ice cream parlour. Their chat was continuing. They concluded that rather than practice, they should have entered into this ‘food’ business. The owner of the shop was familiar. He overheard their grievance about the profession. He came to their table and mentioned the new variety of ice cream that had recently come into the market. He enquired whether they both were CAs; and he smiled. They also opened up and said they should have been in this business, rather than in practice! They were further shocked to learn that all the owners stayed in an elite colony where there were 3 to 4 cars in each family.

To their great surprise, he refused to accept the payment of the bill. He said it was complimentary from him to mark their anniversaries! They thanked him whole-heartedly. Ladies also were pleased.

At the time of parting, the owner revealed a secret – Sir, all the owners of these stall including the pan-wala were earlier practising as chartered accountants.

BCAJ Admin

ICAI and Its Members

I. EXPOSURE DRAFT

EXPOSURE DRAFT OF IND AS 119

NEW ACCOUNTING STANDARD FOR SUBSIDIARIES

The Institute of Chartered Accountants of India (ICAI) has issued an Exposure Draft of Ind AS 119, “Subsidiaries without Public Accountability: Disclosures,” aligned with the recently issued IFRS 19 by the International Accounting Standards Board.

Scope: The standard provides reduced disclosure requirements for eligible subsidiaries that:

Do not have public accountability
Have an ultimate or intermediate parent producing IFRS-compliant consolidated financial statements available for public use

Purpose: Eligible subsidiaries can apply these simplified disclosure requirements instead of the full disclosure requirements in other Ind AS standards.

Effective Date: Annual reporting periods beginning on or after April 1, 2027 (aligning with the global IFRS 19 effective date of January 1, 2027)

Public Comments Invited:

The Accounting Standards Board invites stakeholders to submit comments on the Exposure Draft by March 5, 2026.

Submit Comments:

Online (Preferred): http://www.icai.org/comments/asb/
Email: commentsasb@icai.in
Postal: ICAI, New Delhi

Download the Exposure Draft: https://resource.cdn.icai.org/89774asb-aps3404.pdf

This development is part of India’s ongoing convergence with international accounting standards, ensuring consistency with global financial reporting practices.

II. ICAI TOOLS

ICAI CAVALRY: PSYCHOMETRIC TEST ASSESSMENT SERIES

Empowering Professional Excellence through Skill Assessment-ICAI CAvalry: Psychometric Test Assessment Series to assess the various Skills possessed by the Members of ICAI

ICAI has launched ICAI CAvalry, a comprehensive Psychometric Test Assessment Series designed to enhance the holistic development of Chartered Accountants by focusing on critical behavioural and cognitive competencies beyond technical expertise. In the modern professional landscape, technical proficiency alone is insufficient. Future-ready CAs must demonstrate leadership, influence, negotiation, and impactful communication skills while navigating complex business environments. This initiative addresses the need for professional agility, leadership, and resilience.

Skills to Be Covered: The series encompasses 18+ high-impact competencies. The assessments will rotate across the high-impact psychometric factors dealing with the skills such as Branding Skills, Communication Skills, Critical Thinking Skills, Design Thinking Skills, Emotional Intelligence, Entrepreneurial Skills, Interpersonal Skills, Leadership Skills, Listening Skills, Negotiation Skills, Networking Skills, Problem-Solving Skills, Public Speaking Skills, Team Building Skills, Time Management Skills, Work Ethics, Decision-Making Skills, New-Age Professional/Technological Skills, any other Skills

1^st Psychometric Test Assessment to assess the Branding & Communication Skills

https://docs.google.com formsd/e/1FAIpQLSfwfTQum_kPSwlnwtDHx1djTbqJjLHi7naW0ERm4Vms0OXApQ/viewform

2^nd Psychometric Test Assessment to assess the Critical and Designing Thinking Skills

https://docs.google.com/forms/d/e/1FAIpQLSeog5QP681yTVut02MgCehWDmlh-i_-Fu_6RMvyusHQHMKV6g/viewform

III. ICAI PUBLICATION

1. New Research Publication on Accounting for Digital Assets

The ICAI has published a comprehensive research report titled “Accounting for Digital Assets” addressing the emerging challenges in accounting for blockchain-based assets, cryptocurrencies, NFTs, and other digital instruments. The report analyses the global accounting landscape through IFRS, FASB, and Ind AS perspectives, with particular focus on regulatory gaps in India’s framework. It identifies core challenges in classification, recognition, measurement, and disclosure of digital assets under existing standards such as IAS 2, IAS 32, and IAS 38. The research provides empirical insights, expert opinions, and policy recommendations for standard setters, regulators, and businesses navigating this complex space. A key finding highlights that current accounting standards inadequately capture the unique nature and behaviour of digital assets, emphasizing the need for tailored recognition, measurement, and disclosure practices. This timely publication offers essential guidance to accounting professionals dealing with the complexities of the rapidly evolving digital asset ecosystem.

Link: https://resource.cdn.icai.org/89848research-aps3482-final-acc-for-digital-assets.pdf

2. RESOURCE MATERIAL ON PUBLIC PROCUREMENT

The ICAI Research Committee has published a comprehensive Resource Material on Public Procurement, recognising its critical role as the cornerstone of good governance and economic efficiency. Public procurement serves as a vital link between the utilisation of public funds and the delivery of goods, works, and services to citizens. As governments worldwide strive to ensure transparency, accountability, and value for money in public spending, this resource material provides professionals and policymakers with an essential understanding of procurement processes. The publication offers a detailed overview of conceptual, legal, and procedural aspects of public sector procurement, covering the Indian regulatory framework including General Financial Rules and Government Procurement Manuals, alongside international best practices from UNCITRAL, WTO (GPA), and the World Bank. This comprehensive guide equips stakeholders with the knowledge needed to navigate the complexities of public procurement effectively.

Link: https://resource.cdn.icai.org/89849research-aps3482-icai-sm-public-procurement.pdf

IV. EXPERT ADVISORY COMMITTEE OPINION

Accounting treatment of salary paid to staff/employees and cost related to food trials during testing phase prior to opening of a new restaurant, under Ind AS framework.

A. FACTS OF THE CASE

The Company is a private company incorporated in India and is engaged in owning and operating contemporary and fine-dine luxury restaurants under various brands. The Company typically opens 8–10 new restaurant outlets every year across India. In order to maintain uniform standards of food quality, ambience, lighting, cooling and service quality across all outlets from the first day of operations, the Company conducts food and beverage trials prior to opening a new outlet.

The Company installs various machinery and equipment in each outlet, such as kitchen equipment, air-conditioning systems, walk-in freezers, audio-visual equipment, lighting and ambience control systems, exhaust systems, STP plants, furniture and fixtures, IT systems, etc. Food and beverage trials, testing and calibration of equipment take about one month. For this purpose, personnel are recruited in advance to test and handle equipment and to prepare for the opening of the outlet.

The Company proposed to capitalise (i) employee benefit costs incurred during the testing phase and (ii) food and beverage material costs incurred during trial runs as part of the cost of construction of the outlet, relying on paragraphs 7, 16 and 17 of Ind AS 16 – Property, Plant and Equipment.

B. QUERY

Whether the accounting treatment proposed by the Company, i.e., capitalising:

(i) employee benefit costs, and

(ii) food and beverage material costs,

incurred during the testing phase prior to opening a new restaurant outlet, as part of the cost of property, plant and equipment under Ind AS 16, is correct.

C. POINTS CONSIDERED BY THE COMMITTEE

The Committee examined the issue solely from the perspective of Ind AS, particularly Ind AS 16. It noted that Ind AS 16 does not prescribe a single unit of account for PPE and that a restaurant outlet as a whole is generally not considered an item of PPE. Instead, individual assets such as kitchen equipment, air-conditioning systems, lighting systems, furniture, etc., constitute separate items of PPE.

The Committee emphasised that only costs directly attributable to bringing a specific asset to the location and condition necessary for it to operate as intended by management can be capitalised. Costs relating to opening a new facility, conducting business in a new location, or staff training are specifically excluded from capitalisation.

With respect to employee benefit costs, the Committee observed that salaries paid to chefs, kitchen staff and service personnel during trials were incurred to ensure consistency in service quality and customer experience, and not for construction or acquisition of any specific PPE. However, costs of technicians engaged during the testing phase for resolving technical issues necessary to make specific equipment operational could be capitalised, if clearly identifiable.

Regarding food and beverage material costs, the Committee noted that trial runs were conducted to standardise taste, presentation and consistency, and not to test whether equipment was capable of operating. Since the equipment was already capable of operating as intended, such costs did not add value to any specific asset and could not be considered directly attributable to PPE.

D. EAC’S OPINION

The Committee opined that capitalisation of employee benefit costs and food and beverage material costs incurred during the testing phase prior to opening a new restaurant outlet is not appropriate.

However, if it can be clearly demonstrated that a portion of employee benefit costs relates to technicians engaged in resolving technical operational issues necessary to bring specific PPE to the condition required for operation, such costs may be capitalised to that extent. All other employee benefit costs and food and beverage trial costs should be expensed as incurred.

Read Opinion in ICAI’s The Chartered Accountants December 2025 pages 131-135

Link: https://resource.cdn.icai.org/89673cajournal-dec2025-35.pdf

V. ICAI BOARD OF DISCIPLINE’S ORDERS

1. Case : Sh. Gajendra Prasad Panda vs. CA. A.K.P.

File No. : PR/836/2022/DD/34/2023/BOD/750/2024

Date of Order : 08.12.2025

Particulars	Details
Nature of Case	Alleged unauthorised conduct of tax audit and obstruction of incoming auditor
Background	The Respondent had earlier acted as statutory auditor of the Complainant. After deterioration of professional relations, the Complainant decided to change the auditor. It was alleged that despite cessation of engagement, the Respondent forcibly added himself as auditor on the Complainant’s Income-tax portal and conducted the tax audit for FY 2021–22 without authorisation, and thereafter wrote to the incoming auditor advising him not to accept the assignment.
Key Allegations	– Unauthorised addition of Respondent’s name on the assessee’s Income-tax portal and conduct of tax audit for FY 2021–22 without consent. – Writing to the incoming auditor claiming completion of audit and alleging non-payment of tax liabilities by the Complainant, thereby attempting to obstruct change of auditor.
Respondent’s Defence	– Allegations were mala fide and triggered by his refusal to issue an unqualified audit report contrary to law. – He had completed the audit and issued a qualified report based on professional judgment and advised payment of additional tax. – Communication to incoming auditor was factual, made in professional courtesy, without any intent to threaten or obstruct.
	– After his DSC was taken by the Complainant’s representatives without authority, he did not upload the audit report and had no further role.
Findings	– The allegation of unauthorised addition on the Income-tax portal was already dropped at the prima facie stage by the Director (Discipline). – On the surviving charge relating to communication with the incoming auditor, the Board found no evidence of malafide intent, threat, or obstruction. – The Respondent’s explanation was found credible and corroborated by surrounding circumstances. – Mere communication of factual position to an incoming auditor does not constitute misconduct.
Charges Established	None – No misconduct under Item (2), Part IV, First Schedule to the CA Act, 1949.
Decision	Not Guilty

2. Case : CA. MNJ vs. CA. SSS

File No. : PR/54/2018/DD/63/2018/BOD/756/2024

Date of Order : 08.12.2025

Complainant	Alleged lack of fairness and transparency in conduct of ICAI branch elections
Background	The Respondent acted as Returning Officer for elections to the Managing Committee of the Satara Branch of WIRC of ICAI for the term 2016–2019. The Complainant alleged that the Respondent manipulated the election process to enable certain candidates to be elected unopposed by improperly accepting withdrawal of nominations after the prescribed deadline.
Particulars	Details
Key Allegations	– Respondent pressurised certain candidates to withdraw nominations. – Withdrawal forms were emailed after the stipulated cut-off time of 6:00 PM on 29.01.2016. – Despite absence of a valid withdrawal by one candidate, the Respondent displayed a final list of six candidates (equal to available seats) and declared them elected unopposed. – Conduct allegedly lacked fairness and transparency, amounting to other misconduct.
Respondent’s Defence	– No statutory rules or binding guidelines prescribe the manner of withdrawal of nominations in ICAI branch elections. – Both concerned candidates had communicated their intention to withdraw telephonically before the deadline, on speakerphone, in the presence of branch officials. – Actions were taken in good faith to ensure smooth conduct of elections and avoid unnecessary delay or expense. – Complaint suffered from delay and issues of locus standi.
Findings	– Witnesses (including the concerned candidates and Branch In-Charge) confirmed on oath that withdrawal intentions were communicated telephonically before the deadline. – No evidence of mala fide intent or manipulation by the Respondent was established. – In absence of any clear statutory procedure for withdrawal of nominations, reliance on telephonic confirmation, in good faith, could not be faulted. – The Complainant himself committed errors in invoking a non-existent clause in the complaint.

Particulars

Details

Charges Established

None – No other misconduct under Item (2), Part IV, First Schedule to the CA Act, 1949.

Decision

Not Guilty

3. Case : Shri AG vs. CA. VT

File No. : PR/452/2022/DD/449/2022/BOD/769/2024

Date of Order : 08.12.2025

Complainant :	Shri AG, Director – M/s LFS Pvt. Ltd.
Nature of Case	Alleged acceptance of statutory audit without prior written communication with previous auditor
Background	The Respondent was appointed statutory auditor of the company for FYs 2020–21 to 2022–23. The Complainant alleged that the Respondent accepted the audit without obtaining a written No Objection Certificate (NOC) from the previous auditor, exerted pressure to procure the NOC, retained company documents, failed to resign formally, and did not file Form ADT-3, thereby obstructing appointment of a new auditor.
Key Allegations	– Accepted audit assignment without written communication/NOC from previous auditor.
Particulars	Details
	– Pressurised the company to obtain NOC and threatened discontinuation of audit work. – Failed to formally resign and to file Form ADT-3, allegedly blocking appointment of another auditor.
Respondent’s Defence	– Previous auditor had no objection; verbal NOC was received through a professional intermediary and later confirmed in writing. – Dispute arose due to non-payment of audit fees (₹9,500 outstanding). – Allegations were motivated to avoid payment; any lapse was procedural and bona fide.
Findings	– The complaint was filed without a valid Board Resolution authorising initiation of disciplinary proceedings on behalf of the company.
	– The purported resolution was found to be an afterthought and not a valid authorisation. – In absence of statutory authorisation, the complaint was void ab initio; merits were not examined.
Charges Established	None
Decision	Not Guilty; complaint dismissed and case closed under Rule 15(2).

BCAJ Admin

Learning Events at BCAS

1. 8th Long Duration Course on Goods and Services Tax held on 18th August 2025 to 17th November 2025 @ Virtual

The 8th Long Duration Course on GST- 2025, organised by the BCAS, was successfully conducted in a fully Virtual (Online mode) from 18th August, 2025 to 17th November, 2025. The programme was scheduled every Monday and was thoughtfully covered theoretical as well as practical aspects of GST, enabling the participants to gain a comprehensive understanding of the subject.

The course covered 24 pre-recorded training videos, each ranging from 90-120 minutes, along with 9 live interactive sessions. Each session was delivered by the proficient faculty having immense expertise in the field of indirect taxation. The course started with the levy under CGST & SGST, scope of supply & related definitions and covered various concepts such as ISD vs. Cross charge, E-way bills, Registration, Valuation Principles, refunds under GST, POS Services – Domestic & International, Appellate procedure, returns, Annual returns & reconciliation, etc.

The pre-recorded videos provided participants with the opportunity to learn at their own pace, grasp technical concepts in depth, and come prepared with queries for the live sessions. This significantly enhanced engagement during the sessions, allowing participants to highlight practical issues and discuss them with nearly 24 distinguished GST experts, who enriched the learning through their insights.

During the live sessions, the moderators effectively coordinated the flow of discussions, addressed questions raised by participants, and facilitated meaningful deliberations on the assigned topics. This interactive format encouraged collaborative learning and ensured that participants gained clarity on complex provisions of GST law.

The course received an overwhelming response, with 178 participants enrolling from various cities across the country. The consistently positive feedback shared by attendees at the conclusion of the programme serves as a strong motivation for us to continue designing and delivering more such knowledge-enhancing courses in the future.

BCAS Academy link: – https://academy.bcasonline.org/courses/8th-long-duration-course-on-goods-and-services-tax/

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8th Long Duration Course on Goods and Services Tax

2. The Family Offices Masterclass 2025 held on 15th November, 2025@ BCAS – Hybrid.

Family Office.

The Family Offices Masterclass 2025 explored the evolving structures, governance models, and regulatory considerations relevant to family offices in India and overseas. The masterclass witnessed strong participation with around 75 attendees present physically and over 235 participants joining virtually. The keynote address by CA (Dr.) Anup Shah emphasized the importance of long-term planning and cross-border readiness for wealth-owning families. CA Toral Shah explained foundational structuring options, including trusts, LLPs, companies, and governance elements for both single and multi-family offices. Adv. Poorvi Chothani discussed key global jurisdictions—UAE, Singapore, UK, US, and Portugal—highlighting regulatory nuances and practical considerations.

In the session on succession and estate planning, CA Falguni Shah covered wills, settlements, conflict management and case law insights relevant to business families. An interactive segment with Dr Srinath Sridharan provided perspectives on founder-successor dynamics and behavioural aspects illustrated through real-life experiences. Adv. Bijal Ajinkya addressed drafting and governance pitfalls with a focus on trust deeds, shareholder agreements, and fiduciary responsibilities.

Further, CA Mehul Bheda delivered an overview of domestic tax and regulatory issues relating to GAAR, POEM, AIFs and compliance challenges. The concluding session by CA Rutvik Sanghvi focused on cross-border tax and regulatory matters, including FEMA, DTAA application, NRI heirs, foreign trusts and global inheritance tax trends. The full-day masterclass concluded with an informal networking interaction.

3. Kung Fu Panda: Lessons on Life & Leadership held on Saturday, 8th November 2025 @ BCAS

Kung Fu Panda

The HRD Committee organised a unique and engaging session that brought together both CA members and CA students, creating a shared learning platform rooted in storytelling, reflection, and community interaction.

The event began with a movie screening of Kung Fu Panda, setting the stage for an open and thought-provoking discussion. Post the screening, participants reflected on powerful themes from Po’s journey—from overcoming self-doubt to discovering purpose—and how these ideas inspire us to embrace challenges as catalysts for growth.

The discussion encouraged attendees to interpret scenes through their own lens, drawing parallels to real-life challenges and personal evolution. Many participants shared their experiences and insights, making the discussion diverse and deeply relatable.

The session highlighted the power of self-belief, mentorship, resilience, and authenticity, seamlessly blending entertainment with impactful learning. It reaffirmed that some of the most meaningful lessons can emerge from the most unexpected narratives.

4. Full Day Workshop on Goods and Services Tax Appellate Tribunal (GSTAT) held on Saturday 01st November 2025 @ Hybrid.

Full Day Workshop on GST.

1. 125 participants from across 20 cities in India had registered for the workshop, with 37 participants enrolling for the physical event and the remaining participants enrolling virtually.

2. The first session covered the “Overview of the GSTAT framework”, including –

(a) Constitution of the GSTAT; Principal Bench; State Benches; Single and Division Benches.

(b) Distinguishing features between GSTAT, CESTAT and VAT / Sales Tax Tribunal.

3. The second session covered the “Significant and substantive aspects of GSTAT”, including appealable orders, timelines for filing appeals, the substantial changes proposed in the GSTAT Rules and their proposed functionality compared to the existing procedures in CESTAT, the inconsistencies between the provisions contained in the Act & Rules, etc..

4. The third session was on the technical subject of “Art of Drafting Pleadings”, where the speaker explained in detail the various fields in the appeal Form APL-05 and what information must be submitted therein, how the statement of facts and grounds of appeal must be drafted, care to be taken while preparing the appeal file, etc.

5. The fourth session covered the “Art of Advocacy” where the speaker explained the practical aspects of appearing before the Tribunal/ Courts, emphasizing how to conduct in court, realizing when to speak and when not to speak, the dual responsibility of the professionals, maintaining the decorum of the Court, operating ethically, etc..

The full-day workshop was completely interactive, with the faculty answering the queries raised by the participants.

BCAS Academy Link: https://academy.bcasonline.org/courses/workshop-on-goods-and-services-tax-appellate-tribunal-gstat-law-procedure-and-practice/

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Full Day Workshop on Goods and Services Tax Appellate Tribunal (GSTAT)

5. Indirect Tax Laws Study Circle on “GST Annual Return Critical Amendments and Compliance Insight” held on Tuesday, 28th October 2025 @ Virtual

The Bombay Chartered Accountants’ Society had organized the following Study Circle Meeting under Indirect Taxes on 28th October 2025:

Group Leader: CA. Aman Haria, Mumbai

Mentor: CA. Rajat Talati, Mumbai

The group leader first presented the various changes made to the GST Annual Return relating to F.Y. 2024-25, followed by seven case studies covering the various aspects of reporting in the Annual Return and its implications.

The presentation covered the following aspects of the GST Annual Return for a detailed discussion:

Changes made to GST Annual Return (GSTR-9) vide CGST (Third Amendment) Rules, 2025 w.e.f. 17.09.2025, including the FAQs released by GSTN.
Implication on reporting in case of errors relating to the nature of supply (inter-State vs. intra-State), category of recipient (B2B vs. B2C), and non-disclosure of RCM liability made in the monthly GST returns
Nuances and issues in reporting ITC in cases where taxpayers have reported ITC in their monthly returns by following Circular No. 170/02/2022-GST, dated 06.07.2022, vs. taxpayers who have not followed the said circular.
Effect of amendment to invoices by suppliers on the values reported in Table 8 of GSTR-9.
Effect of reporting ‘additional ITC reversal’ in Annual Return, which is found during finalisation of accounts.
Implications of mandatory details required to be reported in GSTR-9 of F.Y. 2024-25, which may not be readily available to the taxpayer.
Difference between reporting details of Table 8C and Table 13 of GSTR-9.
Challenges in reporting details in Table 12 of GSTR-9C owing to changes made in GSTR-9.

Around 112 participants from all over India benefited while taking an active part in the discussion. Participants appreciated the efforts of the group leader and the mentor.

6. Finance, Corporate & Allied Laws Study Circle – Critical Issues Related to FCRA Laws for NPO held on Friday, 24th October 2025 @ Virtual.

On 24th October 2025, a virtual Study Circle meeting on “Critical Issues related to FCRA Laws for NPOs” was conducted with CA Khubi Shah Sanghvi as the speaker. She commenced the session by explaining the inception, scope and key definitions under the Foreign Contribution (Regulation) Act (FCRA), particularly the meaning of “foreign contribution” and “foreign source”. The discussion then moved to important periodic and event-based FCRA compliance and the relevant prescribed forms. The learned speaker provided valuable insights into critical aspects of registration, renewal, suspension, cancellation and surrender of FCRA registration, along with major reasons for rejection of applications. An in-depth analysis of the amendments made in 2020, 2024 and 2025 was shared, followed by a useful overview of the FATF Charter for Associations and expectations under the Charter for Chartered Accountants. Recent circulars, public notices and notifications were also highlighted, with the speaker addressing several practical compliance issues faced by NPOs. The session was highly informative and well-received by all attendees, with a total of 38 participants benefiting from the knowledge-sharing.

7. ITF Study Circle Meeting on “Nuances in Residential Status for Individuals – Income Tax Perspective” held on 14th October, 2025@ Virtual.

Chairman of the session – CA Mayur Nayak and Group Leaders: CA Nithin Surana and CA K Prasanna

The International Tax and Finance Study Circle organized a meeting (virtual mode) on 14 October 2025 to discuss the nuances in the Residential Status of Individuals from an Income Tax Perspective.

The session opened with introductory remarks from the chairman on his initial views on the determination of residential status.
As a precursor to the decision of DCIT vs. M Mahadevan [2025] 175 taxmann.com 383 (Chennai ITAT), the group leaders began with a quick look at the core principles for determining residential status as per Section 6 of the Income-tax Act 2025 (ITA 2025).
The group leaders discussed the facts of the case, the contentions of the taxpayers and the tax authorities and the ruling by the Chennai ITAT in the case of. Mahadevan (supra).
Further, the nuances about the concept of deemed residency & ‘liable to tax’ as per section 6(7) of ITA 2025 read with Article 4 of the OECD MTC.
Deliberation was done on various connecting factors relevant to determining residential status as per OECD MTC.
The chairman highlighted key points during crucial moments of the discussion and subsequently opened the floor for deliberation on the topic of ‘Split Residency’.
Several participants shared their perspectives on the various implications of the ruling, and a range of divergent views emerged on multiple issues. The session was attended by a number of senior members of the fraternity. The discussion was lively and enriching for the participants.

The session closed with the concluding remarks made by the chairman.

8. Indirect Tax Laws Study Circle – Issues in Exports and Refunds Under GST held on Tuesday, 07th October 2025 @ Virtual

Group Leader: CA. Deepak Kothari
Mentor: CA. Jignesh Kansara

The group leader first presented the Law pertaining to Exports and Refunds under GST, followed by seven case studies covering the various aspects of Issues in Exports and Refunds under GST.

The presentation covered the following aspects of Refunds and Exports for a detailed discussion:

Implications for delayed receipt of Foreign Exchange and its implications under GST under Rule 96 of the CGST Act 2017.
Implication of the Commercial Invoice amount being higher than the value declared in the Shipping Bill owing to freight charges and its implication on the refund under GST.
Interpretation of Intermediary and its implications under claiming refunds under GST, and discussion about erroneous refund and powers of the department in relation to the same.

Around 92 participants from all over India benefited while taking an active part in the discussion. Participants appreciated the efforts of the group leader and the mentor. Due to paucity of time, only three case studies were completed; hence, BCAS is planning a Second Session for the same.

9. Professional Accountant Course held on Saturday, 19th July 2025 to Sunday 5th October 2025 @ Guru Nanak College

Professional Accountant Course

The Professional Accountant Course, jointly conducted by the Human Resource Development Committee, DBM India, and Guru Nanak College, concluded with its certification ceremony on 10th October 2025.

The programme was spread across 20 sessions over the weekends, held at Guru Nanak College, aimed to bridge the gap between academic learning and professional application for undergraduate students aspiring to build careers in finance, taxation and accounting. The course sought to provide classroom learning with industry practices, building the competence required for emerging professionals. The sessions covered an overview of diverse topics across various domains, including Direct Tax, Auditing, GST, Corporate and Allied Laws, Accounting & MIS and Technology Applications for Accounting and Management Reporting, thoughtfully curated to provide a holistic understanding of accounting and finance.

Each session was designed to promote conceptual clarity through practical examples and interactive learning. The knowledge was delivered through engaging sessions conducted by eminent professionals. BCAS served as the Knowledge Partner, with members from various Committees across BCAS and other professionals volunteering their time and expertise to deliver high-quality sessions and mentor the participants. The programme received an enthusiastic response with 59 students from the college participating in these sessions.

A key highlight of the initiative is the Internship Assistance Programme, supported by BCAS, under which eligible students are being connected with CA firms and industry networks for internship placements. This initiative provides participants with an opportunity to experience hands-on learning and apply classroom concepts in real-world scenarios.

The Professional Accountant Course marks another milestone in BCAS’s ongoing efforts to strengthen student connect and build a bridge between academia and the profession, empowering students through learning, mentorship, and collaboration to become future-ready professionals.

10. Panel Discussion Webinar on implications of OBBBA on Indian NRIs and Indian companies investing in the USA held on Monday, 11th August 2025 @ Virtual

OBBBA 1

Moderator: CA Paresh Shah

Panellists: CPA Vinay Navani & CA Prathamesh Hegishte

The panel gave their insights on the recently enacted One Big Beautiful Bill Act, 2025, in the US. The discussion focused on the implications of the new law on the Indian entities wishing to invest in the US and US residents wishing to invest in India. Queries raised to the panellists were practical and relevant for people having business relationships with the USA. The panel also responded to other US tax-related queries of the participants.

More than 200 participants attended the panel discussion.

All the participants well received the program.

YouTube Link: https://www.youtube.com/watch?v=D78cb9xGd2o&t

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OBBBA

II. REPRESENTATIONS

The Bombay Chartered Accountants Society (BCAS) submitted feedback on the Draft ECB Regulations to the RBI on 24th October, 2025. Key points:

Eligible Borrower: Clarification sought on FDI-linked restrictions and statutory registration requirements.
Lender Due Diligence: Recommended standardised procedures for non-compliant jurisdictions.
Operational Clarity: Guidance requested on borrowing limits, pricing norms, and ALP applicability.
Existing ECBs: Proposed enabling provisions for revised interest rates or reduced MAMP.
Reporting & Monitoring: Clarification sought on ECB utilisation and parking procedures.

This submission underscores BCAS’s commitment to practical and member-friendly regulatory reforms.

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REPRESENTATIONS

Readers can read the full representation by scanning the QR code or visiting our website www.bcasonline.org

III. BCAS INITIATIVES

1. “Are You Aware?” PODCAST Series.

The Bombay Chartered Accountants’ Society continues its commitment to spreading knowledge and strengthening public understanding of complex international taxation matters. Through the “Are You Aware?” podcast series, the BCAS International Taxation Committee has been creating accessible, high-quality content on important cross-border tax and regulatory issues.

The latest podcast on the topic of Consequences of Non-Disclosure of Foreign Assets by CA Rutvik Sanghvi, CA Kartik Badiani, and CA Mahesh Nayak was released in the month of Oct 2025.

This episode dives deep into the legal, compliance, and procedural aspects of foreign asset disclosure, highlighting the implications of non-reporting under Indian tax law.

The other episodes in the series cover a wide spectrum of relevant topics, including:

Global Taxation – Five decades of change & the road ahead by CA Hitesh Gajaria, in conversation with CA Pinakin Desai.
Are You Aware? How to claim Foreign Tax Credit in India? by CA Divya Jokhakar, in conversation with CA Nilesh Kapadia.
Are You Aware? Of Exposure to Foreign Companies under Indian Income-tax Act? by CA Divya Jokhakar, in conversation with CA Sushil Lakhani.
FERA to FEMA & Beyond: Evolution of India’s Forex Laws – A conversation with CA Shri Dilip J Thakkar and CA Rutvik Sanghvi.

These initiatives reflect BCAS’s broader mission to contribute to society by promoting informed decision-making, voluntary compliance, and continuous professional development. The Society remains dedicated to offering resources that bring clarity to complex laws and empower stakeholders at all levels. To explore all episodes under the “Are You Aware?” podcast series, kindly scan the QR code below.

PODCAST

2. BCAS Library Now Open for Book Lending!

The Bombay Chartered Accountants’ Society is pleased to reopen its Library Lending Service, welcoming members and students to rediscover the joy of reading. With a thoughtfully curated collection—from technical resources to enriching general reads—the library offers a space to learn, reflect, and grow.

Library Access at a Glance:

Who Can Borrow? BCAS members and students
Deposit: A one-time refundable ₹500
Borrowing Allowance: One book per month
Easy Returns: Drop-off at the BCAS office

We encourage members and students to explore the book list, understand the borrowing guidelines, and enrol to enjoy the benefits of this valuable resource.

Explore the Book List: https://lin-k.ai/BCAS-Library-List-2025x

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BOOK list

Library Enrollment Form & SOP: https://lin-k.ai/BCAS-Library-Enrollment-Form

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L Enrollment

IV. BCAS IN NEWS & MEDIA

• BCAS has been featured in several news and media platforms, showing our active involvement, professional contributions, and commitment to the field. This reflects the growing recognition of BCAS in the public and professional space.

Link: https://bcasonline.org/bcas-in-news/

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News

BCAJ Admin

Statistically Speaking

1. DIRECT TAX COLLECTIONS FOR FY 2025-26

DIRECT TAX COLLECTIONS FOR FY 2025-26

2. GLOBAL WEALTH INEQUALITY MEASURED BY GINI COEFFICIENT

GLOBAL WEALTH INEQUALITY MEASURED BY GINI COEFFICIENT

3. IPOs TREND IN FY 2025

Particulars	Q4 FY25	Q3 FY25	Q2 FY25	Q1 FY25
No. of IPOs	11	30	26	13
Total funds raised *	165	955	344	166
Average issue size*	15	32	13	13
Average total oversubscription (in times)	105	50	81	70
Average listing day gain/(loss) %	17%	28%	34%	33%
Money raised by PE backed IPOs	99 billion raised by 3 companies	174 billion raised by 5 companies	180 billion raised by 7 companies	109 billion raised by 7 companies
Total funds raised through Offer For Sale	147 billion (58% of total funds)	643 billion (51% of total funds)	185 billion (45% of total funds)	120 billion (58% of total funds)

Source: KPMG in India Analysis, 2025 based on final offer documents filed with ROC

4. IPOs IN FY 24 AND FY 25

Particulars	FY 25	FY 24
No of IPOs	80	76
Total funds raised	1630	619
Average issue size	20	8
Average total oversubscription (in times)	71	50
Average listing day gain/ loss (%)	29%	29%
Money raised by PE backed IPOs	562 billion raised by 22 companies	199 billion raised by 15 companies
Total funds raised through OFS	1095 billion was raised through OFS constituting 51% of total funds	324 billion was raised through OFS constituting 42% of total funds

Source: KPMG in India Analysis, 2025 based on final offer documents filed with ROC

5. EDUCATION INDUSTRY IN INDIA

EDUCATION INDUSTRY IN INDIA

BCAJ Admin

Regulatory Referencer

I. DIRECT TAX: SPOTLIGHT

1. Extension of timelines for filing of various reports of audit and Income Tax Returns (ITRs) for the Assessment Year 2025-26 – Circular No. 15/2025 dated 29 October 2025

The due date for furnishing Income Tax Return for Assessment Year 2025-26 for the assessee referred to in Clause (a) of Explanation 2 to Section 139(1) is extended from 31 October 2025 to 10 December 2025. Consequently, the specified date for furnishing of report of audit as specified under clause (ii) of Explanation to section 44AB of the Act for Assessment Year 2025-26 stands extended to 10 November 2025.

2. CBDT notified Agreement and Protocol between the Republic of India and the State of Qatar for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on
income – Notification No. 154/2025 dated 24 October 2025

The agreement was signed in New Delhi on 18 February 2025 and entered into force on 10 September 2025. Its provisions will take effect in India and Qatar for income arising on or after the first day of the fiscal year immediately following its entry into force.

3. CBDT clarifies approved tolerance range for the variation between the calculated ALP and the actual transaction price for international or specified domestic transactions. – Notification No. 157/2025 dated 6 November 2025

If the variation does not exceed one percent of the actual price for wholesale trading, or three percent in all other cases, the actual transaction price will be deemed to be the ALP.

4. CBDT has notified the Protocol amending the Agreement and the Protocol between the Government of the Republic of India and the Government of the Kingdom of Belgium for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income. – Notification No. 160/2025 dated 10 November 2025

II. IFSCA

1. IFSCA amends Listing Regulations to extend validity of financial information in offer documents to 180 days

IFSCA has amended the existing IFSCA (Listing) Regulations, 2024 with modifications in certain regulatory timelines and penalty provisions for entities listed in an IFSC. Following are the amendments:

a. Regulation 16(8) – The financial information in the offer document shall not be older than ‘One hundred and Eighty’ days. Earlier, the no. of days were ‘One hundred and Thirty-Five’ days.

b. Regulations 25(2), 52(3) and 65 – No. of days for allotment of specified securities and payment of refunds have been increased to ‘Eight’ days from ‘Five’ days from the date of closing of the issue.

c. Regulations 96(2) and 107(2) now mandate that a Listed Entity must disclose its first half-yearly financial statements to stock exchanges within forty-five days from the end of first half-year, following board approval.

[Notification No. IFSCA/GN/2025/011, dated 13th October 2025]

2. IFSCA issues Stewardship Code framework for fund management entities and institutional investors in IFSC

IFSCA has with reference to Fund Management Regulations, 2024, issued Framework on Stewardship code in IFSC. The Code aims at guiding the regulated entities (Fund Management Entities) to align their practices with global standards for long-term value creation. The regulated entities may adopt the Stewardship Code as provided in Annexure-A, or as published by:

a. Financial sector regulator in their home jurisdiction

b. Financial sector regulator in India like SEBI, IRDAI and PFRDA

c. Statutory professional body like ICSI

The code shall substantially reflect the core principles under this code. Upon adoption of such Stewardship Code, the Regulated Entities must ensure regular and transparent reporting in accordance with the same on their website, and the same must be reported to the Authority.

[Notification No. IFSCA-AIF/132/2024 – Capital Markets, dated 23rd October 2025]

3. IFSCA seeks public input on new pension fund regulations to boost GIFT-IFSC as global hub

Upon recommendations by IFSCA, the government of India (GOI) has notified the ‘schemes operated by a Pension Fund’ as ‘financial product’. IFSCA has now introduced a consultation paper on the proposed IFSCA (Pension Fund), Regulations, 2025 for launch of Pension schemes from IFSC. The consultation paper is aimed at developing robust inclusive and forward-looking forex pension framework. It would also cater to the needs of 15 million NRIs, 19 million PIOs and foreign expatriates.

The proposed regulations include voluntary participation of subscribers in pension scheme, flexibility to determine the frequency and amount of contributions, variety of investment options and integrated pension plan with medical policies.

IFSCA invites comments and suggestions from stakeholders, market participants and general public. The feedback maybe submitted to IFSCA on or before 25th November, 2025.

[Press Release, dated 4th November, 2025]

4. IFSCA mandates AML / CFT certification for Designated Directors and Principal Officers

IFSCA has mandated that all Designated Directors and Principal Officers under the IFSCA [Anti-Money Laundering (AML), Countering the Financing of Terrorism (CFT) and KYC] Guidelines shall undergo the “NISM-IFSCA-01” certification course on AML/CFT.

[Notification No. IFSCA-DAC/8/2024-AMLCFT, dated 17th November 2025]

II. FEMA

1. RBI extends the time period for realisation & repatriation of full export value of goods/software/services from 9 to 15 months

The Reserve Bank of India (RBI) has issued FEM (Export of Goods & Services) (Second Amendments) Regulations, 2025 amending the FEM (Export of Goods & Services) Regulations, 2015. Following changes have been made:

a. Regulation 9 – The period of realisation and repatriation of export proceeds has been increased to ‘fifteen months’ from ‘nine months’.

b. Regulation 15 – The period for submission of various export-related documents has been increased to ‘three years’ from ‘one year’.

Essentially, exporters have been provided with a longer compliance window.

[Notification No. FEMA 23(R)/(7)/(2025-RB), dated 13th November, 2025]

2. RBI issued Trade Relief Measures Directions

2.1 The RBI recently issued the RBI (Trade Relief Measures) Directions, 2025 to ease the debt servicing challenges faced by exporters affected by global trade disruptions. These directions are applicable to Banks, NBFCS, Financial Institutions and Credit information companies. It extends relief measures to borrowers who –

a. are engaged in exports relating to specified impacted sectors; and

b. had an outstanding export credit facility from Regulated Entities (REs) as of 31st August 2025; and

c. the accounts with all REs were classified as ‘Standard’ as on 31st August 2025.

2.2 The REs shall frame a policy and can provide following relaxations:

a. Grant a moratorium on payment of all instalments, principal and interest, falling due between 1st September and 31st December 2025.

b. Defer recovery of interest for working capital facilities during above-mentioned period.

c. Recalculate the ‘drawing power’ in working capital facilities either by reducing the margins or basis reassessment, during the above period.

d. Enhancement in maximum credit period from one year to 450 days for pre-shipment and post-shipment export credit disbursed till March 31, 2026.

e. Allow liquidation of packing credit facilities availed by exporters on or before August 31, 2025, where dispatch of goods could not take place, from any legitimate alternate sources of such goods or substitution of contracts with the proceeds of another export order.

Apart from the above, there are relaxations provided by way of Asset Classification & Provisioning by REs and certain Disclosure Requirements for REs.

[DOR.STR.REC.60/21.04.048/2025-26 dated 14th November 2025]

BCAJ Admin

Address Verification

Arjun : O’ Lord ! Where are you? I am not finding your anywhere.

Shrikrishna : Parth, I am here !

Arjun : Here means where? I went to your house also; but you were not there!

Shrikrishna : Arjun, you very well know that I am everywhere! Whenever my devotee calls me, I rush to his rescue.

Arjun : Yes, Bhagwan. You are Omnipotent.

Shrikrishna : Yes. Now I am here before you. Tell me what happened?

Arjun : Lord, the problem is of verification of address only. Everywhere, there is a hype of KYC!

Shrikrishna : Ha! Ha!! Ha!!!

Arjun : My CA friend is in deep trouble. About 10 years ago, a few clients approached him for incorporation of a private limited company.

Shrikrishna : Ok. What next?

Arjun : You know, for incorporation, many documents are required and a CA or other professional is required to certify that all documents are in order. He has also to verify and verified the location of proposed registered office.

Shrikrishna : Fair enough!

Arjun : After incorporation, the promoters used my friend’s services for a couple of years – to obtain GST registration, other registrations and so on.

Shrikrishna : Good.

Arjun : Last 8 years, the promoters were totally out of contact. They would have engaged another CA!

Shrikrishna : Nothing uncommon.

Arjun : Now, it appears that the company did some shady deals and dodged the revenue for a huge amount! The investigating authorities visited the registered office and found that there were no business operations there. They interrogate the landlord. He denied any connection with the company. He said the NO Objection Certificate submitted by the company at the time of incorporation was a fake one! He had never signed such NOC. His signature could be a forged one!

Shrikrishna : Oh! Horrible.

Arjun : That’s why I was looking for you at your address!

Shrikrishna : (laughs) I agree, Arjun. This is a serious matter.

Arjun : We have to proceed in good faith when the clients give us such document. The place was very much there. Rent agreement was notarised. What more are we expected to verify?

Shrikrishna : True. I am told there are many similar cases coming up.

Arjun : During Covid time, it was not even feasible to personally visit any place.Moreover, the place may be situated at a distant location, perhaps in another city! That makes our responsibility endless!

Shrikrishna : Now, you people only will have to evolve a system of verification. Just check standards on secretarial practices issued by Institute of Company Secretaries of India.

Arjun : I understand that. But for a relatively small thing, too much of a burden! And the worst part is that the regulators try to rope the CAs also in a criminal conspiracy or abetment!

Shrikrishna : That is very alarming.

Arjun : Now, this my friend may be ultimately absolved; but he has to undergo the torturous proceedings for many years! Perhaps, henceforth, we will have to record the discussion with the landlord or gather ‘third party evidence’ by writing to him.

Shrikrishna : Yes, Arjun. In this kaliyuga, you have no choice! And despite all these precautions, anything may happen on which you have no control.

Arjun : Lord you will say ‘कर्मण्येवाधिकारस्ते मा फलेषु कदाचन”

Shrikrishna : In this case, it is also likely that the owner may have given a negative statement out of fear.

Arjun : Exactly. Such chances are bright. Otherwise, over a period of 8 years, There would certainly be some correspondence at that address. Everything is very strange, Bhagwan.

Shrikrishna : I agree. It is ‘Maya ‘. In kaliyuga, anything can happen! The only lesson is that you need to be more cautious!

Arjun : Bhagwan, please save me.

This dialogue is based on a practical case involving factual verification of place of registered office; and how totally unforeseen things happen. Members are advised to make the verification fool-proof.

BCAJ Admin

Miscellanea

1. ARTIFICIAL INTELLIGENCE

#Elon Musk’s xAI launches Grokipedia, a free AI-powered rival to Wikipedia

xAI, Elon Musk’s artificial intelligence company, has launched Grokipedia, a free AI-powered online encyclopedia designed as a direct rival to Wikipedia. Musk has long criticized Wikipedia for what he calls “woke” bias and inaccuracies caused by human editing. He argues that an encyclopedia written and maintained entirely by AI represents a “massive improvement” and is “super important for civilisation” because it reduces subjective human influence.

Grokipedia currently contains over 885,000 articles, initially sourced from Wikipedia under its Creative Commons license, with clear attribution. xAI plans to phase out reliance on Wikipedia by the end of 2025 and generate fully independent content using its Grok models. Unlike Wikipedia’s open-editing system, users cannot directly edit articles; they can only suggest changes or report errors. The service is accessible via web browsers, with no mention of mobile apps yet.

(Source: India Express – dated 28 October 2025)

#Google claims first verifiable quantum advantage for willow chip

Google has announced a groundbreaking achievement with its Willow quantum processor, claiming the first “verifiable” quantum advantage over classical computers. This milestone demonstrates that Willow can outperform the world’s fastest supercomputers in a practical task involving a specialized algorithm called Quantum Echoes, based on out-of-time-order correlators (OTOC). The algorithm ran approximately 13,000 times faster than the best classical algorithms on the world’s fastest supercomputers for a specific task. The OTOC measures how quantum information spreads, scrambles, and echoes back in a highly chaotic system, allowing Willow to complete complex simulations—such as atomic interactions observable via nuclear magnetic resonance—in mere hours, compared to over three years for classical systems on 65 qubits. This verifiable nature means the results can be independently repeated by other quantum setups or confirmed through physical experiments, drawing a clear boundary between quantum and classical computational limits due to inherent quantum interference effects.

The implications of Willow’s success are profound for quantum computing, particularly in fields like drug discovery and materials science, where it enables “Hamiltonian learning”—essentially fingerprinting a quantum system’s underlying rules to model complex chemical reactions or novel materials with unprecedented accuracy. By inserting random operations to test phase jiggles in quantum waves, the experiment confirmed signals from many-body quantum effects that classical methods cannot replicate. Google CEO Sundar Pichai hailed it as a pivotal step toward real-world applications, with details published in an open-access Nature paper. While the breakthrough awaits broader validation, it underscores Willow’s advanced superconducting qubit control and positions quantum tech closer to practical utility, though challenges in scalability remain.

(Source: Hindu.com dated 30 October 2025)

2. WORLD NEWS

#Harry and Meghan, Steve Bannon and More Sign Petition Urging AI ‘Superintelligence’ Ban

Hundreds of prominent figures from diverse backgrounds, including billionaires, AI pioneers, Nobel laureates, former U.S. officials, and media personalities, have signed a petition spearheaded by the non-profit Future of Life Institute. The initiative calls for an immediate ban on developing AI superintelligence—systems surpassing human cognitive abilities—until scientists achieve consensus on ensuring its safety and controllability, alongside robust public input. Key signatories include Richard Branson, Apple co-founder Steve Wozniak, Prince Harry and Meghan Markle, conservative commentators Glenn Beck and Steve Bannon, AI experts Yoshua Bengio and Geoffrey Hinton, and former national security advisor Susan Rice. The petition underscores the need for AI designs that prevent harm from misalignment or misuse, highlighting a rare cross-ideological unity on the risks posed by unchecked AI advancement.

The urgency stems from the breakneck pace of frontier AI progress, with experts warning that such systems could outthink most humans within years and potentially lead to existential threats like human extinction. Signatories like Bengio stress the importance of scientific safeguards and democratic oversight, while AI researcher Stuart Russell frames it as a push for verifiable safety protocols rather than an outright technological halt.

Notably absent is Elon Musk, a past donor and advisor to the institute who leads his own AI firm, xAI. Public sentiment bolsters the call, with U.S. polls showing 80% support for government AI safety regulations—even if they slow innovation—and 64% opposing superintelligent AI until proven safe. This echoes the institute’s 2023 plea for pausing massive AI experiments, signalling growing momentum for global AI governance.

(Source: Forbes 22 October 2025)

2. ENVIRONMENT

November 2025’s biggest environmental story was COP30 in Belém, Brazil (Nov 10–21), the first climate summit held in the Amazon. World leaders pledged faster fossil-fuel phaseouts, $100 billion in annual climate finance, and progress on a global plastics treaty, while Morocco’s ratification triggered the High Seas Treaty for ocean protection starting 2026. However, Brazil faced fierce backlash for bulldozing ~100,000 trees to build a highway for delegates, drawing accusations of greenwashing.

Meanwhile, global CO2 emissions are set to hit a record 42.2 billion tonnes in 2025, extreme weather killed dozens in the Philippines, Indonesia, and Europe, and Antarctic ice melt accelerated. On the positive side, electric vehicles reached 25% of UK car sales, Colombia declared the entire Amazon a protected reserve, and new “MISO” bacteria were found that naturally clean toxic sulfide pollution.

(Source: bbc.com – 14 November 2025)

BCAJ Admin

ICAI and Its Members

I. ICAI ANNOUNCEMENTS

1. SUGGESTIONS ON REVISED ICAI CODE OF ETHICS

The 12th edition of the ICAI Code of Ethics was issued with effect from July 1, 2020. Due to changes then, revisions have been proposed in the Code of Ethics. The Exposure Drafts of Code of Ethics may be accessed at:-

Volume-I – https://resource.cdn.icai.org/89062esb-coe-v1.pdf

Volume-II – https://resource.cdn.icai.org/89063esb-coe-v2.pdf

Volume-III – https://resource.cdn.icai.org/89064esb-coe-v3.pdf

A brief summary of the key changes proposed in comparison to the existing 12th edition of Code of Ethics is enclosed as Annexure A [https://resource.cdn.icai.org/89065esb-coe.pdf]

Inputs/suggestions/comments/feedback on the Exposure drafts are called at esb@icai.in / ashishswaroop@icai.in latest up to 26th November, 2025.

The comments may alternatively be submitted on https://forms.office.com/r/CunNrHqpck?origin=lprLink

2. NOMINATIONS FOR CA WOMEN EXCELLENCE AWARDS

The Women & Young Members Excellence Committee (WYMEC) of ICAI is organizing 3rd CA Women Excellence Awards. Last date to submit the nomination form is 30th November 2025. Award categories are:

CA Women Life Time Achievement Award
CA Women Independent Direct Award
CA Women of the Year Award
CA Women in Social Service Award
CA Women Startup Award

For filing Nomination form, please visit: https://cawomenawards.icai.org/

II. OPINION

Accounting treatment of expenditure towards Special Development Plan by the Company, under Ind AS framework

1. FACTS OF THE CASE

A special purpose vehicle owned by government of Karnataka executes large-scale irrigation and drinking-water projects. Apart from its core projects, it undertakes Special Development Plan (SDP) works viz. construction of barrages, check dams, roads, bridges, community halls, and other infrastructure—funded through budgetary allocations treated as ‘advance against equity’, subsequently converted into share capital.

The Company does not own or control the assets created under SDP. These are handed over to the Government upon completion. Since FY 2017-18, the Company has been charging SDP expenditure to the Statement of Profit and Loss, considering the absence of future economic benefits. Statutory auditors have qualified this treatment as incorrect, while the C&AG has endorsed the revenue-expense treatment.

2. QUERY

Given the divergent views of the statutory auditors and the C&AG, the Company sought guidance from the Expert Advisory Committee (EAC) on:

Whether treating expenditure on SDP works—assets not owned by the Company, as revenue expenditure is appropriate under Ind AS.
If not appropriate, what the correct accounting treatment should be.

The issue is restricted specifically to the SDP-related expenditure.

3. POINTS CONSIDERED BY THE COMMITTEE

The EAC analysed the issue strictly under the Ind AS Conceptual Framework.

Key considerations included:

Definition of an asset: Requires (a) a right, (b) control over the resource, and (c) the potential to produce economic benefits.
Control: The Company does not control the SDP assets; nor does it have any right to direct their use or obtain economic benefits.
Function: The Company functions as an implementing agency for SDP works; although funds are structured as equity, source of funding does not determine expenditure classification.
Impact on other Assets: The SDP expenditure does not contribute to the creation or enhancement of any other recognisable asset of the Company under Ind AS 16 or Ind AS 38.

Accordingly, SDP expenditure fails the asset recognition criteria.

4. OPINION

The accounting treatment followed by the Company—charging SDP expenditure to the Statement of Profit and Loss—is appropriate and compliant with the Ind AS framework.
As the existing treatment is correct, the question of an alternative accounting method does not arise.

This position aligns with the view of the C&AG and is grounded in the fundamental asset-recognition principles of the Conceptual Framework.

ICAI Journal November 2025 Pages 111-116

Link: https://resource.cdn.icai.org/89217cajournal-nov2025-31.pdf

III. DISCIPLINARY COMMITTEE CASES

Case : Deputy Director of Income Tax (Inv.), Chennai vs. CA. S.S.M.G.

File No. : PR/G/428C/2019/DD/102/2020/DC/1870/2024

Date of Order : 12.11.2025

Particulars	Details
Complainant	Deputy Director of Income Tax (Inv.), Chennai
Nature of Case	Alleged lack of due diligence in issuing multiple Form 15CB certificates
Background	The Income Tax Investigation Wing recorded statements under section 131 revealing that the Respondent during the period of May 2017 to March 2018 had issued 470 certificates in Forms 15CB certificates to two travel companies, facilitating remittances totaling approx. ₹849.83 crore. It was alleged that these certificates were issued without adequate verification of underlying agreements or documents.
Key Allegations	-Issued Form 15CB without examining mandatory documents such as agreements, supporting travel documents, and invoices.- Relied only on proforma invoices, passenger lists, and declarations.- Enabled substantial foreign remittances without ensuring tax compliance.-Failed to exercise due diligence, attracting Item (7), Part I, Second Schedule.
Respondent’s Defence	-Form 15CB requires examination of the nature of remittance and TDS applicability, not verification of genuineness of underlying commercial transactions.- Verified incorporation papers, foreign invoices, passport-based passenger lists, FEMA declarations, and bank remittance requests.- Stated transactions were not taxable as foreign travel agencies had no PE in India.-Relied on: (a) Madras High Court decision in Murali Krishna Chakrala¹ holding CAs are not required to test document genuineness; (b) ICAI’s own decision in another case order dated 05 February 2024.
Findings	-On appreciating the various requirements in the form it was observed Form 15CB requires verification of documents for TDS determination only; CA is not expected to assess the genuineness of the actual business transaction.- No statutory mandate to verify every underlying travel document; obligation arises only where suspicion is apparent.- Respondent examined all available documents and acted within the limits of Form 15CB.-No evidence of her involvement in any subsequent misuse by the clients.
Charges Established	None – No misconduct under Item (7), Part I, Second Schedule.
Decision	Not Guilty

1 [2022] 145 taxmann.com 248 (Madras). Supreme Court has dismissed SPECIAL
LEAVE PETITION (CRIMINAL) Diary No(s). 8123/2024 Order dated 18-3-2024

2. Case : ROC, Delhi & Haryana vs. CA. M.J.

File No. : PR/G/167/2022/DD/101/2022/DC/1894/2024

Date of Order : 18.08.2025

Complainant	Deputy Registrar of Companies, NCT of Delhi & Haryana
Nature of Case	Filing incomplete statutory financial statements on MCA Portal
Background	During inspection of J, the ROC found that the company had filed Balance Sheets for FYs 2010–11 to 2013–14 on the MCA portal without attaching any schedules, though Form 23AC certification by the Respondent stated that all required attachments had been verified and enclosed.

Particulars	Details
Key Allegations	-Respondent certified e-Form 23AC for four years without verifying completeness of Balance Sheets.- Declared that all attachments were checked and enclosed, although schedules were missing.- Failed to ensure completeness despite explicitly certifying compliance under the Companies Act.
Respondent’s Defence	-Forms were received from the auditee already filled and signed; omission occurred due to oversight.- Respondent suffered from health issues at the time, resulting in human error.- Asserted that the omission was unintentional and not a case of gross negligence.
Findings	-Declaration in Form 23AC expressly states that the CA has verified completeness of attachments.- Respondent failed to perform this basic and mandatory verification.- Health issues or reliance on documents sent by client do not dilute statutory responsibility.-Misconduct under Item (7), Part I, Second Schedule established.
Charges Established	Item (7), Part I, Second Schedule – Failure to exercise due diligence/gross negligence.
Punishment	Reprimand under Section 21B(3) of the Chartered Accountants Act, 1949.

3. Case : Jammu & Kashmir Bank Ltd. (Informant) vs. CA. S.K.

File No. : PPR/333/2016/DD/003A/INF/17/2020/DC/1261/2020

Date of Order : 23.09.2025

Complainant:	J&K Bank Ltd.
Particulars	Details
Nature of Case	Failure to detect and report massive LC discounting fraud during concurrent audit
Background	The Respondent was appointed as Concurrent Auditor of J&K Bank’s RP Branch for May 2014–April 2015. A major fraud later uncovered at the branch revealed fake and fabricated Letters of Credit (LCs) amounting to ₹29.22 crore forming part of an overall fraudulent exposure of higher amount. Investigation showed discounting of LCs issued on plain paper, manual handling of LCs bypassing SFMS, and use of newly opened accounts to route fraudulent transactions.
Key Allegations	-Failed to report material irregularities in discounting of LCs, including one-day issuance/acceptance/discounting patterns.- Ignored manually issued LCs lacking authentication, contrary to bank policy.- Reported “No Record Found” for critical LC-related areas despite high-value exposures.-Did not escalate non-availability of records or suspicious activity to bank management.-Failed to examine internal branch books which showed large outstanding amounts.
Respondent’s Defence	-Fraud was perpetrated by Branch Manager in collusion with clients; documents appeared genuine.- LC acknowledgments and dispatch were routinely manual at the branch; hence no red flag arose.-Internal auditors also failed to detect the fraud.-Produced working notes and claimed 167 instances of adverse remarks across reports.
Particulars	Details
	-Maintained that concurrent auditors cannot detect management-driven fraud under SA 240.
Findings	-Concurrent auditor must verify both documents and internal branch records, especially for material transactions like LCs.- Respondent failed to comment even once on LC discounting during the audit period.- “No Record Found” is insufficient where high-value LCs existed and were discounted through newly opened accounts.-Serious irregularities (manual LCs on plain paper, absence of SFMS usage, new accounts used for discounting) should have raised suspicion.-Non-availability of records should have triggered escalation, not reliance on automated outputs.-Failure to detect or report these red flags amounted to lack of due diligence and gross negligence.
Charges Established	Guilty under Items (5), (6), (7) & (8) of Part I, Second Schedule – (ii)failure to disclose material facts, (iii)failure to report misstatements, (iv)gross negligence/lack of due diligence, (v)failure to obtain sufficient information.
Punishment	Reprimand and fine of ₹2,00,000, payable within 60 days.

BCAJ Admin

Super – Bakasur

In Mahabharata, there is a story of a demon called Bakasur. He was known for his extra ordinary eating capacity. His diet was, for example, equivalent to the total diet of more than 100 wrestlers. When Pandavas were in exile, Bhima killed this demon.

A few years ago, there was a famous circle called ‘Fantom Circus’. It had all the normal contents like monkey show, beers, elephants, lion, clowns and so on. Some of the items were really exciting and the circus was very popular. Getting an entry pass was a challenge.

In that circus, the main attraction was a man called ‘Super Bakasur’. Spectators were allowed to bring tiffin for him, which was of course, optional. He used to eat the food brought by first hundred spectators. For examples. He could eat 3 to 4 hundred chapatis, 20 kg of rice and corresponding quantity of soups, vegetables, ketchups etc and also a few tins of sweet like Shrikhand, Basundi….

People wondered how he could do so. Thanks to media publicity, the Super Bakasur became a celebrity. Naturally, the demand for shows increased. The owner of the circus made good money as those first 100 persons whose tiffin was accepted had to pay a premium!

In due course, a press conference was arranged to interview this Super Bakasur. Thousands of people attended the public interview on a large lawn and lakhs of people watched it on Television.

Many questions were put as to how he acquired so much capacity, what does he do to digest it, and so on. Lot of appreciation was showered on him by his fans.

At the end, however, he made a disappointing announcement – that after this particular season, he would retire. People wondered why? He was making good money by way of prizes in addition to his special remuneration. People asked him the reason for his retirement.

He said “The circus owner has become very greedy for money. He has started arranging 3 to 4 shows every day! Upon this, people expressed sympathy and awe – that every day he was required to eat so much 3 to 4 times! They said “Naturally, it must be taxing your stomach”.

The Super Bakasur humbly disclosed the true reason. He said “That is not a problem. Due to these many shows, he could not find time for his normal breakfast, and two meals every day!!

(Based on a story written by well-known Marathi humoristic- Mr. C. V. Joshi – Chimanrao fame)

BCAJ Admin

Tech Mantra

Ditto – Clipboard Manager

Ditto Clipboard Manager is an elegant replacement for the standard Windows Clipboard.

The standard Windows Clipboard has certain limitations: it can store limited number of entries and gets completely erased on restart of your computer. Ditto can not only store unlimited entries in the Clipboard but also retains them on a restart!

First Download the Ditto Clipboard Manager from the Microsoft Store for free and run it. Once it runs, the Clipboard Manager sits quietly in the background. Whenever you Copy something ( Ctrl+C ) it will be added to the Clipboard Manager. For pasting a clip which was earlier copied, just press Ctrl + ` (Ctrl + Tilde key) and you will be shown all the stuff that was copied automatically to the clipboard. Just choose the stuff you want and press enter or double click the item and it will be pasted on your current position. You can do this for text as well as images.

Since it stores the entire clipboard history, there is also an option to search for a particular item, which makes it easy to be recalled instantly. You can even edit items before pasting to correct typos, create groups for organizing clips and sync your clipboard across multiple computers.

It is extremely simple to use and is not heavy on your resources. Using this, you will be able to recall any item from the Clipboard, even if it is several days old.

https://sabrogden.github.io/Ditto/

WiFi Router Manager (Pro)

This is an excellent WiFi manager which helps you manage everything about your WiFi Router.

You can identify the WiFi signal strength in different parts of your house by moving around. This will identify the hot spots and weak spots and even help you relocate the WiFi router for optimal signal in all areas.

It also helps in identifying multiple connections to your WiFi router, so that you can identify if some stranger from outside your home is using your WiFi. If you find any suspicious or unknown device, you can even block the same.

If you need to login as an administrator onto your router and quickly change the settings, this app will help you do so instantly. But beware that you need to be technically competent to change your settings or have your service provider handy if something goes wrong.

Test the speed of your WiFi signal immediately by just clicking on SpeedTest. Other tools include WiFi List, Ping, Wake On Lan, etc.

A must for your day to day WiFi needs.

Android : https://tinyurl.com/wfrmp

Remodel AI – Interior Home Design

Reimagine Your Home with Remodel AI!

Discover the future of home renovation with RemodelAI Interior Home Design. The cutting-edge AI technology allows you to reimagine your home with ease and precision. Whether you’re looking to remodel your living room, kitchen, or entire house, this app provides a seamless architectural designing experience right at your fingertips.

– Explore various design styles: Transform your space with a variety of design options depending on your individual taste

– Cost-effective solutions: Save money by visualizing different home remodel ideas before committing to expensive renovation projects.

– Room and kitchen design: RemodelAI covers all aspects of interior design. The app also includes cabinet design and ai interior design free tools to make your dream home a reality.

– Exterior design options: The exterior home design and exterior paint visualizer features to perfect your home’s appeal.

Download Remodel AI App today and take the first step towards a beautifully reimagined home with ai-powered home renovation. Transform your space with ai home design and home ai innovations that make interior and exterior design effortless.

Android : https://tinyurl.com/remodai

Sesame Search & Shortcuts

Sesame is a powerful universal search on Android. It integrates with your launcher, learns from you, and makes hundreds of personal shortcuts. With Sesame universal search, everything is 1 or 2 taps away!

Once installed, just tap on the Search Icon and you can search your contacts or apps or just anything on your phone. Once you find your contact, you can dial, SMS or Whatsapp your contact from right there or even launch your app instantly!

Although it is tightly integrated with NOVA launcher, it works with all launchers. Just add it to your home screen or launch with a gesture. You can
make your own shortcuts to quickly launch your apps or contacts speedily giving you total control over your phone.

In short, Sesame will change how you use your phone – A must have app!

Android : https://tinyurl.com/sesamesearch

BCAJ Admin

Learning Events at BCAS

1. FEMA Study Circle – Draft Borrowing and Lending Regulations Issued by RBI held on 17th October, 2025@ Virtual

The FEMA Study Circle organized a meeting on 17th October 2025 to deliberate on the Draft Borrowing and Lending Regulations issued by the RBI. The session was chaired by CA Natwar Thakrar and led by CA Smeet Naren Madlani.

The discussion covered several key aspects:

Clarification on Eligibility Nexus
Scope of the Term ‘Eligible Borrower’
Use of ECB Proceeds for Acquisitions
Ambiguity in Regulation 3A(f)(iii)
Lenders from FATF/IOSCO Non-Compliant Jurisdictions
Borrowing Limit – Period of Maintenance
Currency of Borrowing
Arm’s Length Pricing of Borrowings
Credit of ECB Proceeds to FCY Accounts
Applicability of Revised Parameters to Existing ECBs
Reporting Requirements under Form ECB-2.

The session provided valuable insights into the evolving FEMA framework and its implications for cross-border borrowing and lending transactions.

2. India IPO Conclave held on Thursday, 9th October 2025 @ Ginger by Taj, Mumbai Airport

The India IPO Conclave 2025, organised by the Finance, Corporate & Allied Laws Committee of the Bombay Chartered Accountants’ Society (BCAS), was held on 9th October 2025 at Ginger by Taj, Mumbai Airport, in collaboration with NISM, with the Bombay Industries Association (BIA) as the Industry Partner. The theme of the Conclave was “Readiness, Challenges & Opportunities.” The event was spearheaded by Co-Chairman CA Anand Bathiya and led by Convenor CA Rimple Dedhia, supported by CA Sahil Parikh and CA Simran Vishwakarma, under the able stewardship of Chairman CA Naushad Panjwani.

The Conclave witnessed participation from around 150 professionals, with 30% of attendees joining from cities beyond Mumbai and nearly half being non-members, reflecting a diverse and pan-India engagement.

The event commenced with an inaugural session, followed by an address from Mr Jeevan Sonaparote, Executive Director, SEBI, who highlighted the critical role of auditors as gatekeepers in the capital-market ecosystem and SEBI’s reliance on them as first-level regulators. Mr Rajeev Thakkar, Chief Investment Officer, PPFAS, delivered the keynote address on the “Current State of Indian Primary Capital Markets.”

Throughout the day, sessions delved into various facets of India’s IPO landscape, including legal and regulatory preparedness, promoter mindset, investor expectations, and the roles of auditors and merchant bankers in the listing process. Esteemed speakers and moderators included Adv. Janak Bathiya, Adv. Yash Ashar, CA Bhavik Shah, Dr Rachana Baid, Dr Jinesh Panchali, and CA Sahil Parikh, while panellists Mr Arvind Agrawal, Mr Jigar Shah, Dr Lalit Kanodia, Mr Deven Choksey, Mr Nimish Shah, Mr Umesh Agarwal, Mr. Pinak Bhattacharyya, Mr V. Prashant Rao, and Mr Vivek Vaishnav shared their valuable insights and perspectives.

Key takeaways included actionable insights on IPO readiness and compliance, encompassing legal, audit, and regulatory perspectives, as well as real-world lessons from promoters, investors, and industry leaders on successful listing strategies, market timing, and investor expectations.

The Conclave successfully provided a comprehensive platform for knowledge-sharing, discussion, and networking.

BCAS Academy link: https://academy.bcasonline.org/courses/india-ipo-conclave-2025/

3. Daughters’ Rights in Succession Laws held on Thursday, 25th September 2025 @ BCAS (Hybrid)

On International Daughters’ Day, the Finance Corporate and Allied Laws Committee of BCAS organized a special session on “Daughters’ Rights in Succession Laws”, led by renowned family law expert Adv. Mrunalini Deshmukh. The session aimed to raise awareness about the legal rights of daughters in inheritance and succession, a topic of growing relevance in India’s evolving socio-legal landscape.

Adv. Deshmukh covered key legal provisions, landmark Supreme Court rulings, and the impact of the Hindu Succession (Amendment) Act, 2005, highlighting the equal rights of daughters in ancestral property. The talk also touched on practical challenges and societal attitudes that often hinder the implementation of these rights.

The hybrid event drew strong engagement from both in-person and virtual attendees from across the country, making it a truly inclusive and enlightening experience.

BCAS Academy link: https://academy.bcasonline.org/courses/daughters-rights-in-succession-laws/

4. ITF Study Circle Meeting on “Future of MLI Post Mumbai Tribunal Ruling in Sky High” held on 23rd September, 2025@ Virtual.

The International Tax and Finance Study Circle organized a meeting on 23 September 2025 to discuss the future of the Multilateral Instrument post the Mumbai Tribunal’s ruling in the case of Sky High.

Chairman of the session – CA Ganesh Rajagopalan

Group Leaders CA Abhitan Mehta and CA Nemin Shah

The session opened with remarks from the chairman on his initial views of the Mumbai Tribunal ruling.
Post that, the group leaders began with a quick look at the basic concepts of BEPS and MLI and various steps taken by the Government.
Next, the group leaders discussed the facts of the case, the contentions of the taxpayers and the tax authorities and the ruling by the Mumbai Tribunal.
Then the group leaders discussed the nuances and implications of the ruling. The chairman of the session also added key points at critical points in the discussion. The chairman opened the floor for discussion on the key implications of the ruling.
Many participants shared their views on a number of implications of the ruling, and divergent views were expressed on a lot of issues. The discussion was lively and enriching for the participants. The session was attended by a number of senior members, and the participants benefited from their expert views on the ruling.

The session closed with concluding remarks by the chairman.

5. Direct Tax Laws Study Circle Meeting on “Applicability of Valuation Provisions under Income Tax Act” held on 18th September2025@ Virtual.

Speaker: Mr. Raghav Bajaj

The speaker began by emphasizing the critical role of valuation in ensuring fair taxation and its relevance across advisory, restructuring, and litigation contexts. He then examined key valuation provisions of the Act, illustrating them with practical examples and interpretative insights.

The following major areas were discussed during the session:

1. Section 9(1)(i): Indirect transfer provisions and their valuation implications in cross-border transactions.

2. Section 17(2)(vi): Determination of perquisite value in the case of ESOPs, including nuances in valuation methodology.
3. Section 28(via): Tax treatment on conversion of inventory into capital assets and its valuation considerations.

4. Sections 9B and 45(4): Capital gains taxation arising on dissolution or reconstitution of firms and valuation of distributed assets.

5. Section 50B: Valuation in slump sale transactions and computation of capital gains in scenarios involving negative net worth.

6. Sections 50C and 50CA: Valuation disputes in the transfer of immovable property and unquoted shares vis-à-vis stamp duty and fair market values.

7. Section 56(2)(x): Determination of fair market value for receipt of property and shares, particularly in related-party or group transactions.

8. Sections with no explicit FMV mechanism: Practical issues in adopting alternative valuation methodologies and dealing with the absence of prescribed rules.

Overall, the discussion offered valuable insights into the interplay between valuation and taxation, equipping participants with practical knowledge to navigate evolving tax and regulatory landscapes effectively.

6. One-Day Seminar on NBFCs – Challenges, Opportunities and the Road Ahead held on Friday, 12th September 2025 @ Babubhai Chinai Hall IMC.

To dive deep into governance, RBI compliance, digital disruptions, fintech innovations and sustainable financing, the BCAS organized a full-day seminar on NBFCs.

The NBFC Seminar has become a regular feature on the BCAS calendar, providing members with an important platform to stay abreast of evolving trends in the financial services sector. With Ind AS stabilising in the industry, economic growth gaining momentum, technological disruptions reshaping business models, and RBI guidelines constantly evolving, this year’s seminar proved to be both a refresher on established principles and a window into emerging opportunities.

The seminar opened with remarks from CA. Zubin Billimoria, President of BCAS, and CA. Abhay Mehta, Chairman of the Accounting and Auditing Committee. Both highlighted the significance of knowledge-sharing and the society’s role in equipping members for the future of the profession.

The technical sessions covered a wide spectrum of contemporary issues and were delivered by an eminent panel of speakers:

NBFC Universe & RBI Compliance – CA. Bhavesh Vora offered an insightful overview of the role of NBFCs in India’s growth trajectory, touching on regulatory developments and key market undercurrents. He highlighted how NBFCs complement the banking system and bridge the last-mile credit gap in the economy.

From Legacy to Digital: FinTech Disruptions – CA. Keshav Loyalka explained how AI and technology are reshaping the credit landscape, enabling new business models and driving economic expansion. He emphasised how fintech players are transforming customer experience and risk assessment frameworks.

Sustainable Financing by NBFCs – Ms Namita Vikas presented thought-provoking insights on the emerging field of climate finance, illustrating its transformative impact with practical examples, including initiatives supporting salt farmers in Gujarat. She stressed that sustainability is not just a social responsibility but also a strategic business imperative.

Auditing Digital Lenders & FinTech NBFCs – CA. Murtuza Vajihi addressed the challenges faced by auditors in a rapidly digitising environment, emphasising the need to be well-versed both technically and technologically. He pointed out that audit approaches must evolve to deal with data-driven business models and high transaction volumes.

Enterprise Risk Management in Fintech & LSPs – Dr Gautam Sanyal introduced important concepts such as risk culture, risk appetite, control frameworks, and risk-based governance, enriching his session with real-life case studies. He underlined that proactive risk management is central to building resilience and investor confidence.

Ind AS vs. Ind Guess? Decoding ECL, Fair Value & Audit Judgment – CA. Manan Lakhani shared practical insights into the complexities of Ind AS, with a special focus on Expected Credit Loss, fair value assessments, and the role of professional judgment in audits. He also explained common pitfalls observed in practice and how auditors can exercise balanced judgment.

BCAS Academy link: https://academy.bcasonline.org/courses/seminar-on-nbfcs-challenges-opportunities-and-the-road-ahead/

7. FEMA Study Circle meeting on “Residence of Individuals under FEMA – Issues and implications out of recent SAFEMA Tribunal decision” held on 4th September 2025@, Virtual.

The FEMA Study Circle held a meeting on the recent SAFEMA Tribunal decision pronounced in the case of Pradeep Mishra vs. Special Director, ED, which dealt with the interpretation of the definition of “person resident in India” as defined under Section 2(v) of FEMA.

The session was chaired by Chairman, CA Rashmin Sanghvi and led by group leader, CA Bhavya Gandhi.

The chairman provided a deep insight into the history and background of the definition provided under Section 2(v) of FEMA, the two possible interpretations that can be made and their associated complexities.

The group leader explained the significance of determining the residential status under FEMA while dealing with foreign exchange transactions and assessing FEMA implications thereon. Practical examples were discussed to demonstrate the challenges associated with adopting a literal interpretation of the definition instead of a purposive interpretation. Light was also thrown on different RBI Regulations/Master Directions or Government press releases, which indicate how the residency definition should be interpreted.

Elaborate discussions were held on the implications of the interpretation adopted by the SAFEMA Tribunal in pronouncing the decision. The group members also participated by asking queries, giving their views and experiences on the matter.

The meeting was concluded by summarising what are the best practices while dealing with controversial provisions of FEMA.

II. REPRESENTATIONS

The Bombay Chartered Accountants’ Society (BCAS) has made two important representations to the GST authorities during the period under review, highlighting practical difficulties faced by professionals and taxpayers.

1. Representation for Extension of Due Date for Filing GSTR-3B for September 2025

On 8th October 2025, BCAS has requested an extension of the statutory due date for furnishing Form GSTR-3B and discharging tax liability for the month/quarter ending September 2025. The request was made considering that the original due date coincides with a weekend and major festival days across several regions, which could lead to operational and logistical constraints for taxpayers and professionals. The Society has urged the authorities to grant a reasonable extension to ensure smooth compliance and avoid hardship.

2. Representation for Dedicated Login and Dashboard Facility for Authorised Representatives on the GSTAT e-Filing Portal

On 29th September 2025, BCAS has requested the introduction of a dedicated login and dashboard facility for Authorised Representatives (ARs) on the GSTAT e-Filing Portal. Currently, the portal allows access primarily to appellants and respondents, creating challenges for ARs who manage multiple cases. A separate login for ARs would facilitate efficient case tracking, hearing management, and document access. The Society has emphasized that such functionality, similar to that available in other judicial forums like the ITAT and NCLT, would enhance overall efficiency and ensure better compliance management.

Through these initiatives, BCAS continues to promote a more efficient, practical, and taxpayer-friendly GST administration.

Readers can read the full representation by scanning the QR code or visiting our website www.bcasonline.org

III. BCAS IN NEWS & MEDIA

BCAS has been featured in several news and media platforms, showing our active involvement, professional contributions, and commitment to the field. This reflects the growing recognition of BCAS in the public and professional space.

Link: https://bcasonline.org/bcas-in-news/

BCAJ Admin

Regulatory Referencer

I. FEMA

1. RBI extends time for foreign exchange outlay in Merchanting Trade Transactions from four to six months

The Reserve Bank of India (RBI) has revised the guidelines relating to Merchanting Trade Transactions (MTT). On review, it has been decided to extend the permissible time period for outlay of foreign exchange from four months to six months. All other provisions of Circular dated January 23, 2020 remain unchanged.

[A.P. (DIR Series) Circular No. 11, dated 1st October 2025]

2. Amendment to Foreign Exchange Management (Debt Instruments) Regulations 2019

The RBI has amended the Debt Instruments regulations expanding and clarifying the scope of investment for persons resident outside India (PROI) holding rupee accounts under Deposit Regulations. Sub-para (E) of Para 1 of Schedule I has been amended, allowing them to purchase or sell dated Government securities, treasury bills, non-convertible debentures/bonds and commercial papers issued by Indian companies subject to conditions laid by RBI.

Further, Para 2(4A) of Schedule I has been replaced to specify that consideration for such purchases must be paid exclusively from the funds held in the investor’s rupee account maintained under Regulation 7(1) of Deposit Regulations.

[Notification No. FEMA.396(4)/2025-RB, dated 29th September 2025]

3. RBI allows PROIs holding Special Rupee Vostro Accounts to invest surplus balances in NCDs and commercial papers

As per existing norms, persons resident outside India (PROIs) are permitted to invest their rupee surplus balance in Central Government Securities (including Treasury bills). It has been decided to permit investment of these balances in non-convertible debentures/ bonds and commercial papers issued by an Indian company.

[A.P. (DIR Series 2025-26) Circular No. 13, dated 3rd October 2025]

4. RBI eases EDPMS/IDPMS closure norms for small export & import bills up to ₹10 lakhs, with declaration-based process

The RBI has come up with easy EDPMS/IDPMS closure norms for small export and import bills up to ₹10 lakhs. The AD bank shall follow the below mentioned directions for the same:

a. Such entries shall be reconciled and closed based on a declaration provided by the concerned exporter that the amount has been realised or by the importer that the amount has been paid.

b. Any reduction in declared value or invoice value of the shipping bills / bills of entry shall also be accepted, based on the declaration by the concerned exporter or importer.

c. The declarations referred above may also be received on a quarterly basis from the exporters and importers in a consolidated manner (by combining several bills in one declaration) for bulk reconciliation and closing of EDPMS/IDPMS entries.

[A.P. (DIR Series) Circular No.12, dated 1st October 2025]

5. RBI proposes simplified regulations for External Commercial Borrowings

In order to rationalise regulations pertaining to External Commercial Borrowings (ECBs) under FEM (Borrowing and Lending) Regulations, 2018, RBI has issued Draft Amendment to Borrowing and Lending Regulations, 2018. Salient features of the regulations are:

a. The borrowing limits are proposed to be linked to a borrower’s financial strength and ECB are proposed to be raised at market determined interest rates.

b. The end-use restrictions and Minimum Average Maturity requirements are proposed to be simplified.

c. The borrower and lender base eligible for ECB transactions is proposed to be expanded to enhance opportunities of credit flow.

d. Reporting requirements are being simplified to ease compliance obligations.

The draft is available on the RBI website for public comments and feedback till 24th October 2025. One may follow the following link:

https://www.rbi.org.in/Scripts/bs_viewcontent.aspx?Id=4736

[Press Release 2025-2026/1235, dated 3rd October 2025]

6. RBI proposes to rationalise norms for establishing a branch or office in India

The RBI has issued Draft FEM (Establishment in India of a branch or office) Regulations, 2025. On a review, it has been decided to amend the extant regulations [FEM (Establishment in India of a Branch Office or a Liaison Office or a Project Office or any other place of business) Regulations, 2016] along the following lines:

a. The eligibility criteria for establishment of a place of business in India, are proposed to be relaxed.

b. The draft proposals offer greater operational freedom by shifting from prescriptive to a principle-based framework, which is expected to result in greater operational freedom.

c. The process for closure of non-compliant and inactive branch/office, are proposed to be simplified.

The draft is available on the RBI website for public comments and feedback till 24th October 2025. One may follow the following link:

https://www.rbi.org.in/Scripts/bs_viewcontent.aspx?Id=4735

[Press Release: 2025-2026/1232, dated 3rd October 2025]

7. RBI relaxes repatriation norms for exporters maintaining foreign currency accounts held in IFSCs

RBI has notified Foreign Exchange Management (Foreign Currency Accounts by a Person Resident in India) (Seventh Amendment) Regulations, 2025. Now, the foreign currency accounts permitted to be opened ‘outside India/abroad’ can also be opened in IFSC. Further, the RBI has revised the repatriation timeline for funds held by exporters in foreign currency accounts maintained outside India. Exporters with accounts maintained at banks in IFSCs can retain funds for up to 3 months (instead of previous 1 month) from the date of receipt. For accounts in other jurisdictions, the existing 1-month limit remains unchanged.

[Notification No. FEMA 10(R)(7)/2025-RB, dated 6th October 2025]

8. RBI permits AD banks to lend in INR to residents of Bhutan, Nepal and Sri Lanka for cross-border trade transactions

The RBI has notified the Foreign Exchange Management (Borrowing and Lending) (Amendment) Regulations, 2025. An amendment has been made to Regulation 7 relating to ‘Lending in Indian Rupees by a Person Resident in India’. A new clause has been inserted which states that an AD bank may lend in Indian Rupees to a person resident outside India being a resident in Bhutan, Nepal, or Sri Lanka, including a bank in these jurisdictions, for cross-border trade transactions.

[Notification No. FEMA 10(R)(7)/2025-RB, dated 6th October 2025]

2. IFSCA

9. Extension of deadline for implementing revised norms for principal officer and compliance officer for capital market intermediaries and Extension of deadline for compliance with revised Net worth requirements

IFSCA had issued Regulations on Capital Market Intermediaries on 16th April 2025. The deadline to meet the below mentioned compliances was 1st October 2025. Pursuant to representations received from market participants, the deadline for both the following compliance activities has been extended till 31st December 2025:

a. Appointment of Principal officer and compliance officer

b. Compliance with revised minimum net worth requirements

[Notification No. IFSCA-PLNP/80/2024, dated 4th September 2025]

[Notification No. IFSCA-PLNP/80/2024, dated 12th September 2025]

10. IFSCA amends Regulatory Framework for Global Access in the IFSC

IFSCA issued Regulatory Framework for Global Access in the IFSC on 12th August 2025. Representations have been made for permitting services offered by Payment service providers for facilitating movement of funds for global access activities in IFSC. Accordingly, it is decided that Global Access providers and Introducing Brokers will have an option to either open bank account(s) with a licensed IFSC Banking Units or open account(s) with a PSP authorised under IFSCA (Payment Services) Regulations, 2024. This would enhance efficiency and competitiveness in cross-border payments in a regulated manner.

[Notification No. IFSCA-PLNP/80/2024, dated 12th September 2025]

11. IFSCA notifies Payments Regulatory Board Regulations, 2025 for oversight of payment and settlement systems in IFSCs

The IFSCA has established a governance framework for a new board responsible for payment systems. These regulations define the composition, eligibility criteria, tenure, and code of conduct for board members. The board will meet twice a year and can delegate power to ensure efficient operations. This notification repeals previous regulations from 2024, with the new rules taking effect upon official publication.

[Notification No. IFSCA/GN/2025/008, dated 12th September, 2025]

12. IFSC Authority prescribes norms for appointment, reappointment, and review of Public Interest Directors in MIIs

IFSCA has issued a circular specifying the governance framework for Market Infrastructure Institutions (MIIs) in IFSCs under the IFSCA (MII) Regulations, 2021. It lays down eligibility, appointment, and reappointment procedures for Public Interest Directors (PIDs), mandates performance review policies, and provides for their knowledge upgradation.

[Notification No. IFSCA/CMD-DMIIT/PID-MII/2025-26/001, dated 13th October 2025]

13. IFSC Authority amends definition of ‘Board’ under Payment and Settlement Systems Regulations, 2024

The IFSC Authority has notified the International Financial Services Centres Authority (Payment and Settlement Systems) (Amendment) Regulations, 2025. The amendment revises Regulation 3(1)(d) of the 2024 Regulations, redefining ‘Board’ to mean the Payments Regulatory Board constituted under sub-section (2) of section 3 of the Act.

[Notification No. IFSCA/GN/2025/010, dated 13th October 2025]

BCAJ Admin

Miscellanea

1. SCIENCE

#NASA Says Earth Has a New ‘Quasi-Moon’ Shadowing Our Orbit Until 2083

Key Points:

2025 PN7 is a small asteroid that has been traveling alongside Earth for roughly six decades.
A quasi-moon is an object that orbits the Sun but moves almost exactly in sync with Earth’s orbit.
Researchers say the asteroid poses no threat to Earth and offers a unique opportunity to study near-Earth object dynamics.

2025 PN7 is a newly discovered mini asteroid, behaving like a ‘quasi-moon’ as it orbits the Sun in sync with Earth. First spotted by the University of Hawaii on August 2, 2025, and confirmed by researchers in September, it has likely been accompanying Earth for about 60 years. Measuring between 18 and 36 meters in diameter, it comes within 4 million kilometers of Earth at its closest approach.

Unlike our Moon, which is gravitationally bound to Earth, 2025 PN7’s orbit closely matches Earth’s, allowing it to effectively shadow our planet. It is part of the Arjuna class of near-Earth objects and is expected to remain in this configuration until around 2083. While it poses no threat to Earth, its discovery provides valuable insights into orbital dynamics and the behaviour of small bodies in our solar system.

(Source: International Business Times – By Annalyn Zoglmann – 22 October 2025)

2. ECONOMY & MARKETS

#Crude Oil Slides to Five-Month Lows Amid Supply Concerns and Weak Demand

Crude oil prices fell on 15 October 2025, with West Texas Intermediate (WTI) down 0.27% to $58.54 and Brent down 0.34% to $62.18, hitting five-month lows.

The decline is driven by warnings of a potential supply glut, with the International Energy Agency (IEA) forecasting a surplus of up to 4 million barrels per day by 2026 due to rising production, amid sluggish demand.

Concerns over U.S.–China trade tensions are also affecting sentiment. In the U.S., analysts expect a slight decline in crude inventories, while the EIA raised production forecasts to 13.5 million barrels per day for 2025 and 2026.
Oil markets are expected to remain volatile, with traders closely watching upcoming inventory reports and OPEC+ statements.

(Source: International Business Times – By IBT Newsroom – 15 October 2025)

3. OPINION

#We Treat Cancer and Overlook the Damage to Others: Why Childhood Cancer and Autism Are Rising and What We Must Do Now

The author, with over three decades of experience in the hazardous waste industry, expresses concern over the rising rates of autism and childhood cancer, suggesting a link to the excretion of cytotoxic chemotherapy drugs from cancer patients. These drugs, which are known to cause birth defects and cancer, can contaminate family members and the environment through bodily fluids like sweat, urine, and faeces.

Despite existing regulations such as USP 800, which address the handling of hazardous waste in healthcare settings, there is a significant gap in managing outpatient excreta. Families caring for cancer patients often unknowingly come into contact with these toxic substances when performing routine tasks like cleaning or laundry. The wastewater systems are also ineffective at removing these chemicals, leading to a silent spillover into homes and communities.

The author argues that while the healthcare system celebrates the survival of childhood cancer patients, it fails to protect caregivers and the environment from the harmful byproducts of treatment. They advocate for a comprehensive approach that includes capturing, destroying, and safely disposing of patient excreta before it contaminates families and wastewater systems.

The call to action emphasizes the need for federal funding, oversight, and the implementation of effective disposal solutions. The author believes that addressing this issue is crucial to prevent further health crises, as ignoring the downstream effects of chemotherapy could lead to a new generation of victims suffering from birth defects and cancer. The overarching message is that in the fight against cancer, we must not create new health risks for families and communities.

(Source: International Business Times – Created By Jim Mullowney – 21 October 2025)

BCAJ Admin

ICAI and Its Members

I. ICAI PUBLICATIONS

1. ISSUANCE OF CERTIFICATES BY CHARTERED ACCOUNTANTS

This publication addresses the critical role of certificates issued by Chartered Accountants in today’s complex regulatory and business landscape. Recognizing that CA certificates have evolved beyond mere compliance attestations to become vital instruments of trust that influence decisions of regulators, financial institutions, investors, and other key stakeholders, this comprehensive guide provides essential guidance to the profession.

The publication offers systematic and practical direction on the audit procedures required for certificate issuance while prescribing the fundamental elements that must be incorporated in every certificate. It thoroughly examines various types of certificates, their requisite contents, applicable standards, and ethical considerations, thereby enabling practitioners to fulfill their responsibilities with clarity, confidence, and due diligence. It provides various illustrative certificates like Net worth certificate for Visa, share capital and shareholding pattern, certificate on ITR Acknowledgment, Computation of Annual Turnover etc.

2. TECHNICAL GUIDE ON DISCLOSURE AND REPORTING OF KEY PERFORMANCE INDICATORS (KPIs) IN OFFER DOCUMENTS (REVISED 2025)

This Revised Technical Guide, issued by the Auditing and Assurance Standards Board, serves as a comprehensive reference for disclosing and reporting Key Performance Indicators (KPIs) in offer documents during securities issuances.

KEY COMPONENTS

For Issuer Companies

The guide provides detailed instructions on:

How to disclose KPIs in offer documents
Compliance with ICDR (Issue of Capital and Disclosure Requirements) Regulations
Adherence to ISF (Industry-Specific Framework) KPI Standards
Proper presentation and formatting of KPI information

For Practitioners (Auditors / Assurance Professionals)

The guide offers comprehensive guidance on:

Reporting requirements for KPI assurance engagements
Professional responsibilities when examining KPIs
Illustrative report formats for standardised KPI reporting
Technical aspects of verification and validation procedures

ROLE CLARIFICATION

The guide clearly delineates responsibilities among three key parties:

Bankers – Their role in the offer document process
Issuer Companies – Primary responsibility for KPI disclosure accuracy
Practitioners – Independent verification and reporting obligations

Link: https://resource.cdn.icai.org/88743aasb-aps2729.pdf

3. BASICS OF INTERNATIONAL TAXATION – A GUIDE

The guide systematically covers critical areas including double taxation avoidance, tax treaties, taxation of non-residents, transfer pricing mechanisms, base erosion and profit shifting (BEPS), and contemporary challenges in e-commerce taxation. Structured across eight detailed sections, the book progresses from foundational economic principles of international trade and tax treaty frameworks to more complex technical aspects of cross-border taxation.

This edition has been thoroughly updated to reflect amendments introduced by the Finance Act, 2025, ensuring alignment with the latest provisions of the Income-tax Act, 1961. The guide serves as an essential resource for practitioners seeking to understand and navigate the evolving landscape of international tax law and practice.

Link: https://resource.cdn.icai.org/88232cit-aps2322-basic-int-guide.pdf

II. EXPERT ADVISORY COMMITTEE OPINION

Accounting for GST Component Paid on Lease Payment under Ind AS 116, “Leases”

Background:

A public sector power generation company had leased its Delhi corporate office premises from one of its joint venture partners. The lease was for three years (Nov 2023–Oct 2026) with monthly rent of plus 18% GST, and annual escalation of 5%. Since the company’s output (electricity) is exempt under GST, it could not claim input tax credit on GST paid on lease rentals.

During C&AG’s supplementary audit, the auditors observed that the company had incorrectly included GST in the computation of the right-of-use (RoU) asset and lease liability under Ind AS 116. C&AG referred to the ICAI’s Educational Material (January 2020), which clarifies that GST should not form part of lease payments.

COMPANY’S VIEW:

The company argued that since it could not claim input credit, the GST paid was a real, non-recoverable cost. Excluding it would distort the presentation of lease expenses, as expensing it separately in the Profit & Loss account might misleadingly appear as an additional lease. It contended that the Educational Material is only recommendatory.

EAC’S ANALYSIS:

The Expert Advisory Committee (EAC) examined the issue solely from an accounting perspective and referred to the following principles under Ind AS 116:

Paragraph 23–26: The RoU asset equals the initial measurement of lease liability, based on the present value of lease payments made to the lessor.
Definition of “Lease Payments”: Payments relate to the right to use the asset—fixed payments, variable payments linked to an index or rate, etc.

The EAC also examined the nature of GST under Indian law:

GST is a consumption-based levy imposed by the Government on the recipient of services.
The lessor merely acts as a collection agent for the Government.
Hence, GST is not a payment made to the lessor for the right to use the asset, but a statutory levy payable to the Government.

As per Appendix C to Ind AS 37 (“Levies”), GST constitutes an outflow imposed by law and not a lease payment. Therefore, it does not meet the definition of a component of the lease liability or RoU asset.

EAC’s Opinion:

GST payments made by the lessee cannot be included in the measurement of the right-of-use asset or lease liability under Ind AS 116.

Even if the lessee cannot claim input tax credit (as in this case of exempt electricity supply), the GST is still a government levy, not a lease payment. Consequently, the GST component should be charged to Profit & Loss when incurred.

The Chartered Accountant, October 2025, p. 117–120 (Opinion of the Expert Advisory Committee, ICAI

Link: https://resource.cdn.icai.org/88520cajournal-oct2025-31.pdf

III. ICAI DISCIPLINARY COMMITTEE ORDERS

1. Case: ROC, Mumbai vs. CA. A.J.

File No. PR/G/87C/22-DD/441/2022/DC/1801/2023

Date of Order: 23.09.2025

Particulars	Details
Complainant	Registrar of Companies, Ministry of Corporate Affairs, Mumbai
Nature of Case	Professional Misconduct – signing audit report without directors’ approval/signature on financial statements
Background	The complaint arose from a larger MCA investigation where dummy directors and forged incorporation documents were used by several companies. The respondent, as statutory auditor of M/s C for FY 2018–19, was alleged to have signed the audit report on financial statements that were not signed or approved by any directors, violating Section 134 of the Companies Act, 2013.
Key Allegations	The respondent signed the financial statements of the company without approval/signature of the board or directors. – The uploaded financials on MCA portal contained only the auditor’s signature. – The respondent later produced another set of financials with director signatures, which were found to be fabricated to cover up the defect.
Respondent’s Defence	Claimed that financials were handed to company officials for obtaining directors’ signatures and his firm was not responsible for MCA filing. – Alleged that his signature on the uploaded version was forged, but admitted he filed no police complaint. – Submitted that any omission was clerical and unintentional; assured the committee it would not recur.
Findings	– The committee found contradictory statements by the respondent and inconsistencies in documents produced. – Comparison of financial statements revealed differences in the audit stamp size and layout, confirming post-facto fabrication. – Held that he failed to ensure compliance with Section 134 of the Companies Act, 2013, by signing unauthorised financial statements. – Found guilty under Item (7) of Part I of Second Schedule – failure to exercise due diligence and gross negligence.
Punishment	Reprimand and fine of ₹25,000 to be paid within 60 days (Section 21B(3) of the CA Act, 1949).

2. Case: ROC, Mumbai vs. CA. D.S.

File No.: PR/G/88A/2022-DD/446/2022/DC/1701/2022

Date of Order: 21.09.2025

Particulars	Details
Complainant	Registrar of Companies, Mumbai
Nature of Case	Alleged lack of due diligence in certifying Form INC-32 (SPICe Form) – incorporation of M/s A
Background	The ROC alleged that during physical verification in January 2022, the company was not found operating at its registered office address, though the respondent had certified the incorporation Form INC-32 on 22.03.2017 declaring that he had personally verified the premises. The complaint alleged false declaration and lack of due diligence.
Key Allegations	– The respondent falsely certified physical verification of the registered office. – Claimed the premises belonged to the director’s mother but failed to prove ownership. – ROC inspection (after 5 years) found the office non-existent, alleging a false declaration in Form INC-32.
Respondent’s Defence	– Claimed he had personally visited and verified the premises, supported by photographs, affidavit from the owner (director’s mother), and witness confirmations. – The property was residential but genuine and suitable for registered office use. – Stated the company continued to exist at the same address as per MCA records. – Alleged misunderstanding in his earlier statement recorded by ROC.
Findings	– The company was incorporated in 2017 and the ROC inspection occurred five years later in 2022. – Evidence including society confirmation, owner’s affidavit, photographs, and witness letters corroborated the existence of the premises at the time of certification. – The company’s MCA records still showed the same address and active status. – The Committee held that the respondent had exercised reasonable due diligence as expected while certifying Form INC-32.
Decision	None – respondent exonerated. Not Guilty of Professional Misconduct under Item (7), Part I, Second Schedule of the CA Act, 1949.

3. Case: ROC, Kanpur vs. CA. M.G.

File No.: PR/G/113/2024/DD/187/2024/DC/1913/2024

Date of Order: 21.09.2025

Particulars	Details
Complainant	Registrar of Companies, Kanpur (MCA)
Nature of Case	Alleged lack of due diligence while certifying e-Form DIR-12 for appointment of a Chinese national as Director without mandatory security clearance
Background	The case arose out of a larger government investigation into incorporation and operation of companies linked to Chinese nationals. The respondent had certified Form DIR-12 for appointment of a Chinese national, as Director of M/s F on 6 September 2023. As per Rule 10(1) of the Companies (Appointment and Qualification of Directors) Amendment Rules, 2022, nationals of countries sharing land borders with India require security clearance from the Ministry of Home Affairs (MHA). The ROC alleged the respondent failed to ensure such clearance was obtained before certifying the form.
Key Allegations	– Certified Form DIR-12 without ensuring MHA security clearance for a Chinese national. – Relied on company’s written statement that no clearance was required as the director already had DIN and was residing in India with PAN and Aadhaar. – Failed to exercise due diligence under Item (7), Part I, Second Schedule of the CA Act, 1949.
Respondent’s Defence	– The director’s DIN was issued on 7 December 2021, before the 2022 amendment mandating security clearance; hence Rule 10(1) was inapplicable. – Sought clarification from the company via letter dated 1 September 2023; company replied on 5 September 2023 confirming exemption based on prior directorship and valid Indian documents. – Certified DIR-12 relying on company’s response; no false data was entered by him. – Argued that the obligation to obtain clearance rested with the appointee director and company, not the certifying CA.
Findings	– The Committee confirmed that Mr. D already possessed a DIN allotted in 2021, before Rule 10(1) came into force. – Rule 10(1) applies only to DIN applications (DIR-3), not subsequent appointments (DIR-12). – The respondent verified supporting documents — passport, PAN, Aadhaar, visa — and raised a written query on security clearance. – No amendment existed in Form DIR-2 to require attaching MHA clearance at that time. – Hence, the respondent had exercised reasonable diligence and no false certification was made.
Decision	Not Guilty of Professional Misconduct under Item (7), Part I, Second Schedule, Chartered Accountants Act, 1949.

BCAJ Admin

Statistically Speaking

1.1. INDIA’S TRADE DEFICIT NARROWS

INDIA'S TRADE DEFICIT NARROWS

2. COUNTRIES THAT LOST THE MOST MILLIONAIRES IN 2025

COUNTRIES THAT LOST THE MOST MILLIONAIRES IN 2025

3. COUNTRIES THAT GAINED THE MOST MILLIONAIRES IN 2025

COUNTRIES THAT GAINED THE MOST MILLIONAIRES IN 2025

4. INDIAN STATES WITH THE LARGEST GEN-Z POPULATION

INDIAN STATES WITH THE LARGEST GEN-Z POPULATION

5. INCOME TAX RETURNS HIT NEW RECORD

INCOME TAX RETURNS HIT NEW RECORD

GST Cartoon

BCAJ Admin

Learning Events At BCAS

1. Indirect Tax Laws Study Circle Meeting on “Section 74 Notices Under GST: Demands, Defenses & Dilemmas” held on Tuesday, 16th September, 2025 @ Virtual.

Group leader CA. Ganesh Prabhu Balakumar prepared five case studies covering various aspects of Section 74 of the CGST Act.

The presentation covered the following aspects with the background of the applicability of section 74 for detailed discussion:

Issues relating to the classification of drones, procedural aspects of inspection proceedings u/s section 67 of the CGST Act, and whether misclassification may lead to suppression.
Aspects relating to RCM on import of services, implications of treatment of transactions in the books of accounts and allegations of suppression.
Whether every mismatch or lapse, classification differences, return reconciliations, delayed RCM, and ITC mismatches amount to fraud, wilful misstatement and suppression u/s 74, or should they be treated as clerical and interpretational errors u/s 73.

Around 102 participants from all over India benefited while taking an active part in the discussion. Participants appreciated the efforts of the group leader and the mentor.

2. Finance, Corporate & Allied Laws (FCAL) Study Circle – AGM Related Compliances (W.R.T. Private Companies) including Recent Amendments in Directors’ Report & Annual Filings held on Tuesday, 2nd September 2025 @ Virtual.

The Finance, Corporate and Allied Laws Study Circle of the Bombay Chartered Accountants’ Society (BCAS) organised a virtual session on 02nd September 2025 on the topic “AGM-related compliances (w.r.t. Private Companies) including recent amendments in Directors’ Report and annual filings.” The session focused on providing participants with a comprehensive understanding of the statutory provisions and practical considerations surrounding annual general meetings for private companies.

During the session, the speaker explained the latest regulatory updates and their implications on corporate governance and statutory filings. The discussion covered recent amendments impacting Directors’ Reports and annual filings, key timelines, and documentation requirements under the Companies Act. Various practical issues faced by companies were addressed, including common mistakes in annual filings and strategies to ensure timely and accurate compliance.

The session was highly interactive and was well-received by the attendees. A total of 65 participants benefited from the detailed discussion and gained clarity on evolving compliance requirements and best practices to manage statutory obligations efficiently.

3. Family Offices Summit 2025 held on 30th August 2025@ The Rooftop & Malabar Trident, Nariman point.

The Family Offices Summit 2025, organised by the Finance, Corporate & Allied Laws Committee of Bombay Chartered Accountants’ Society, held on 30th August 2025 at Trident, Nariman Point, Mumbai, was a landmark summit that brought together leading voices from family businesses, investment management, and advisory practices. The day-long summit featured keynote addresses, thought-provoking panels, and engaging conversations that explored the evolving role of family offices in India and in the global arena.

Setting the Context – The Rise of Family Offices

The summit began with a keynote address by Mr Rishabh Mariwala, who eloquently captured the rise of family offices in India. He spoke about why family offices matter now more than ever, emphasising their role in professionalising wealth management, preserving legacies, and empowering the next generation to carry forward values and vision alongside wealth.

The international perspective on structuring family offices in Asia, the Hong Kong Perspective featured insights from Mr Jason Fong, who delivered a short video message, and Ms Joanne Zheng, who gave a presentation. Together, they highlighted Hong Kong’s evolving ecosystem for family offices and noted that Indian families are increasingly exploring global jurisdictions for wealth structuring. This shift underscores Hong Kong’s appeal as a hub for family offices, thanks to its favourable tax policies, strategic location, and professional services.

Ancient Wisdom for Modern Day Family Businesses

National award-winning author Dr Radhakrishnan Pillai delivered an invigorating talk on ancient wisdom for modern family businesses. Drawing from the Arthashastra and Chanakya’s principles, he connected timeless governance and leadership insights with today’s family business challenges. His address reminded participants that while structures and strategies evolve, the essence of values, vision, and governance remains constant.

Session 1: Family Offices in India – Emerging Trends & Realities

The first panel brought together diverse voices across two parallel discussions. Panel 1A, moderated by Mr Avik Ashar featured Ms Anupa Tanna Shah, Mr Rubin Chheda, Mr. Sachin Tagra and Mr. Samir Shah. The discussion revolved around the growing sophistication of family offices, professional management, and the balance between preserving legacy and seeking growth through new asset classes.

Panel 1B, moderated by Mr Devashish Khanna, hosted Mr Amit Jain, Mr Rahul Khanna, and Mr Subeer Monga. This discussion focused on the realities of structuring, the need for governance frameworks, and the importance of aligning investment philosophy with family objectives. Together, both panels highlighted the vibrancy and evolving maturity of family offices in India.

Session 2: Smart Structuring – Tax-Optimized Wealth Transfer & Succession

Post lunch, the focus shifted to succession and tax-efficient structuring. Moderated by Mr Rutvik Sanghvi, the panel featured Dr Anup Shah, Mr Parthiv Kamdar, and Mr Tanmay Patnaik. The session explored practical approaches to wealth transfer, succession planning tools, and the nuances of tax implications across jurisdictions. The discussion underscored that succession is not merely a legal exercise but a delicate balance of family dynamics, governance, and foresight.

Fireside Chat – Global Playgrounds: Jurisdiction Shopping for Indian Wealth

One of the highlights of the summit was the engaging fireside chat between Mr Dinesh Kanabar and Mr Anand Bathiya. Their candid conversation on jurisdiction shopping unpacked the rationale behind families considering global structures for wealth, covering regulatory considerations, global opportunities, and challenges. The discussion was both practical and visionary, offering participants a clear sense of the opportunities available in an increasingly interconnected world.

Session 3: Family Offices as Strategic Partners in Alternative Funds

The third thematic session focused on family offices as active partners in alternative investment platforms. Moderated by Ms Kinnari Gandhi, the panel included Mr Aditya Jha, Mr Anurag Agrawal, Mr Manish Chhabra, and Mr Nirav Shah. The dialogue highlighted how family offices are now playing a strategic role in shaping investment ecosystems, co-creating ventures, and deploying patient capital to nurture long-term opportunities.

Session 4: Real-Life Case Studies in Succession Planning

The final session was a powerful exploration of succession in action, moderated by Mr. Amit Goenka. Esteemed panellists Mr Aashish Somaiyaa, Mr Ravi Sheth, Mr Shishir Srivastava, and Mr Vivek Rajaraman shared real-life experiences from different sectors. The dwiscussion illuminated both the challenges and best practices in ensuring smooth transitions, underscoring the importance of trust, governance, and preparation in sustaining legacies.

Concluding Note

The day’s deliberations made it abundantly clear that family offices are not merely financial structures but institutions of continuity, vision, and stewardship. The Family Offices Summit, 2025, was attended by 76 participants, 40 were BCAS members, and the remaining 36 were non-members. Further, 19 participants attended from 12 cities outside the Mumbai Metropolitan Region.

This informative Summit was competently coordinated by Kinnari Gandhi with the help of convenors Khubi Shah Sanghvi and Rimple Dedhia and the guidance of Kanubhai, Naushadbhai and Anandbhai.

Family Offices Summit

4. Webinar on Mastering Charitable Trust Compliances held on Friday, 29th August 2025 @ Virtual

The BCAS webinar on “Mastering Charitable Trust Compliances” was successfully conducted on Friday, 29th August 2025, over the Zoom platform. The session was led by CA Gunja Thakrar and CA Ujwal Thakrar, and attracted wide participation from across the country, with over 145 attendees joining in. The audience comprised a diverse mix of professionals, trustees, and compliance officers, with attendees from more than 40 cities, including Mumbai, Bengaluru, Ahmedabad, Chennai, Delhi, Jaipur, Coimbatore, and even remote locations like Tuensang and Bhimavaram.

The webinar was structured around key compliance areas for charitable and religious trusts under the Income-tax Act. CA Gunja Thakrar led the first half of the session, beginning with an explanation of the Audit Report in Form 10B / 10BB, focusing on the interpretation of the 49 clauses, key compliance expectations, and documentation frameworks. This was followed by an overview of ITR-7, highlighting its key schedules and the accurate reporting of total income. She also covered the nuances of Forms 9 and 10, with emphasis on their applicability and disclosure requirements.

In the second half, CA Ujwal Thakrar delved into the increasingly important area of renewal and re-registration under Sections 12AB and 80G. He offered practical guidance on assessing organizational readiness, fulfilling financial compliance prerequisites, and navigating critical timelines. His session also included tips on managing documentation workflows, engaging with regulatory authorities, and monitoring post-registration conditions — all essential for effective compliance in today’s regulatory environment.

The session concluded with an engaging Q&A round, where attendees raised practical concerns from their daily practice. With participants spanning ages from below 30 to above 60, and nearly 45% of them from outside Mumbai, the webinar served as a robust learning platform. The comprehensive structure and clarity of presentation made it especially valuable to professionals managing trust compliance, reinforcing BCAS’s role in continuous learning and capacity building within the profession.

BCAS Academy Link: https://academy.bcasonline.org/courses/webinar-on-mastering-charitable-trust-compliances/

5. Indirect Tax Laws Study Circle Meeting on “Use Of Technology in GST- Part 2” held on Friday, 29th August 2025 @ Virtual

The Bombay Chartered Accountant Society had organized the following Study Circle Meeting under Indirect Taxes on 29th August 2025.

Group leader CA Rahul Gabhawala prepared a step-by-step demonstration of the prompt use of technology in GST.

The Presentation covered the following aspects for detailed discussion:

Use of Chat-GPT to create codes in order to carry out Login at the GST Portal.
Use of Selenium Wrapper to teach test automation at the GST Portal.
Use of Selenium Wrappers to make test automation more efficient, reliable, and user-friendly.
Use of Codes in automating certain functions at the GST Portal.

Around 80 participants from all over India benefited while taking an active part in the discussion. Participants appreciated the efforts of the group leader.

This was Part 2 of the session; Part 1 was held on 25th July 2025, and the write-up was published in the September 2025 issue of BCAJ.

5. DigiSetu – The Tech Bridge for Senior Professionals held on 7th, 14th, 21st, & 28th August 2025 @ Virtual

Speakers:

Ms Mahima Bhalotia, Mumbai
Mr Rohit Khiste, Nashik
CA Tanmay Bhavar, Nashik
CA Anup Tabe, Pune

SUMMARY:

The Bombay Chartered Accountants’ Society hosted a four-part online series, DigiSetu – The Tech Bridge for Senior Professionals, in August 2025 through its Technology Initiatives Committee. Designed to blend technology with simplicity, the initiative empowered senior Chartered Accountants to stay updated in a fast-changing digital world — without jargon or complexity.

The journey began with DigiRakshak – Smartphone Safety Secrets, equipping participants with tools to block spam, manage app permissions, and secure payment apps. DigiSavdhaan – Cyber Safety 101 spotlighted online threats and safe digital habits. DigiSahayak – Gadgets & Apps Every Senior Professional Should Know opened a world of productivity apps and smart gadgets, while the finale, DigiBadlaav – AI Basics for Senior Professionals, demystified AI through practical uses of ChatGPT, automation, and ethical insights.

Short, crisp, and highly practical, DigiSetu proved that technology need not overwhelm senior professionals. Instead, it can serve as a bridge to confidence, efficiency, and ease in daily practice.

BCAS Academy Link: https://academy.bcasonline.org/courses/digisetu-the-tech-bridge-for-senior-professionals/

6. Full Day Workshop on GST Appellate Tribunal held on Friday, 22nd August 2025 @ BCAS (Hybrid)

Session	Topic	Faculty
Session I	Pre-preparation for Tribunal	CA. Adv. Ishaan Patkar
Session II	Understanding the Law and Procedure	CA. Adv. Vinay Jain
Session III	Drafting & Filing of GSTAT Appeals	CA. Vinod Awtani

(1) 123 participants from across 45 cities in India had registered for the workshop, with 32 participants enrolling physically, all the way travelling from Panaji, Satara, Nashik, Navi Mumbai and Vadodara, apart from Mumbai

(2) The first session covered the pre-preparation aspects for the upcoming GSTAT and had a detailed discussion on

– Modes of discharging pre-deposits, acceptance of taxes already paid due to compulsion from the department, discussion on case laws relating to the legal validity of such issues in the erstwhile legacy IDT laws or GST laws for the previous level. Discussions also covered the amendments of 2025 for pre-deposits on penalty orders and their implications

– Understanding the distribution of appeals filed with the Principal Bench and State Bench, and how to segregate the place of supply matters

– Understanding the bandwidth of the professionals to manage the appeals across various benches if virtual hearings are not made available

– Action points for matters remanded back from the high courts

(3) The second session covered understanding the law and procedure pertaining to GSTAT

– A comprehensive discussion amongst the participants on the legal provisions, section 109 to section 113, and CGST Rule 110 to Rule 113A was covered

– Goods and Services Tax Appellate Tribunal (Procedure) Rules, 2025, being notified and covering detailed procedural aspects, were discussed threadbare.

– GSTAT Forms, which are other than the appeal forms, were also covered to complete the procedural aspects.

(4) The last session covered the practical aspects

– Drafting and Filing of GSTAT Appeals

– Paper Book Compilation

– Drafting of Statement of Facts and Grounds of Appeals and prayers

– Curing the defects, communication with Registry

– Condonation of Delay, Miscellaneous Applications, Additional Evidence, Corrections

– This session covered the finer points and care to be taken during the entire process of drafting. The Do’s and Don’ts

(5) The full-day workshop was completely interactive throughout the 3 sessions, with the queries of the participants attending both physically as well as virtually were discussed by the group and answered by the faculty.

Full Day Workshop on GST Appellate Tribunal

BCAS Academy Link: https://academy.bcasonline.org/courses/workshop-on-gst-appellate-tribunal/

7. ITF Study Circle Meeting on the Discussion on Demystifying SC’s Decision in Hyatt International held on 20th August 2025@ BCAS Hybrid.

The International Tax and Finance Study Circle organized a meeting (hybrid mode) on 20th August 2025 to discuss the implications of the Supreme Court’s ruling in the case of Hyatt International.

Chairman of the session – Mr Prashant Maharishi

Group Leaders CA Rohit Jethani and CA Sangeeta Jain

The session opened with remarks from the chairman on his initial views of the Supreme Court ruling.
Post that, the group leaders began by discussing the concept of Permanent Establishment.
Next, the group leaders discussed the facts of the case, the contentions of the taxpayers and the tax authorities and the ruling by the Supreme Court.
Then the group leaders discussed the implications of the ruling. The chairman of the session also added key points at critical points in the discussion.
Many participants shared their views on the ruling and their practical experiences in dealing with similar situations.
The group leaders also presented certain key points from meticulously undertaken research on various aspects of the ruling.

The session closed with concluding remarks by the chairman.

8. Webinar on Filing of Income Tax Returns for AY 2025-26 held on Tuesday, 12th August 2025 @ Virtual

The webinar on “Filing of Income Tax Returns for AY 2025-26 (ITR 1 to 6)” was successfully conducted on Tuesday, 12th August 2025, via Zoom, and witnessed an overwhelming response with 500+ participants. The session was jointly addressed by CA Divya Jokhakar and CA Khyati Vasani, both of whom are eminent professionals with deep domain expertise in direct tax compliance.

The speakers provided a detailed walkthrough of the changes introduced in ITR Forms 1 to 6 for AY 2025-26, including recent disclosure enhancements and practical nuances of reporting under the updated forms. Special emphasis was placed on understanding the granular reporting requirements in light of CBDT’s clarification that the filing due date was extended specifically to accommodate the extensive changes. The session highlighted how even small inaccuracies in ITR filings could lead to serious implications in terms of tax and interest liabilities.

The webinar concluded with an engaging Q&A session where participants actively raised their queries on tricky reporting areas, which were addressed with clarity by the speakers. The event reinforced the critical role of tax professionals in the evolving compliance landscape and was aimed at enhancing the readiness of members and their teams to ensure accurate and timely filing of income tax returns.

YouTube: – https://www.youtube.com/watch?v=fNkRsvnRhzI&t

9. Tree Plantation Drive 2025 held on 02nd and 03rd August 2025@ Vada, Palghar District.

On 2nd and 3rd August 2025, 24 BCAS members along with 6 BCAS staff, participated in a school visit and tree plantation drive organized by the BCAS Foundation. The visit began on the morning of 2nd August at Lakhani School, where the team proudly inaugurated a new Digital Classroom supported by the Foundation. Members interacted with students and teachers to understand their expectations and aspirations around digital learning.

Later that evening, the group visited MM School, where the BCAS Foundation had earlier implemented a Digital Classroom, along with a Library and Science Lab. Members had the opportunity to evaluate the positive impact of these initiatives, observing encouraging outcomes such as increased student engagement, heightened interest in learning, and a noticeable reduction in dropout rates. Witnessing the transformative power of technology and infrastructure in shaping young minds was both humbling and inspiring.

On 3rd August, participants visited Koseri Village in Casa District for a tree plantation drive. The villagers welcomed the BCAS team with a vibrant tribal dance, and school students offered a heartfelt prayer before the plantation began. Together, members, staff, and villagers planted 6,000 saplings across six villages, contributing to long-term environmental sustainability and rejuvenation of green cover in the region.

The visit also included an immersive experience at Keshav Srushti, where members explored the Oxygen Park and learned about the organization’s remarkable Gramya Vikas initiatives aimed at uplifting underprivileged rural and tribal communities. Keshav Srushti’s holistic efforts in education, skill development, and building self-reliant ecosystems left a deep impression on everyone. Planting saplings amidst such an inspiring environment of service and sustainability made the experience even more meaningful.
Walking through the Oxygen Park, breathing in the freshness, and witnessing how thoughtfully nature and development coexist offered members a rare pause from their fast-paced urban lives. The two-day visit concluded with a renewed sense of gratitude and pride in being associated with BCAS Foundation, reaffirming the collective commitment to education, environmental care, and community upliftment.

Tree Plantation

II. REPRESENTATIONS

The Bombay Chartered Accountants’ Society (BCAS) has submitted three key representations to the Government:

1. Charitable Trust Compliance Extensions: On 4th September 2025, BCAS requested extensions and clarifications for charitable and religious trusts, highlighting practical and procedural difficulties. Key requests include:

Extending the due date for renewal of registration under section 12AB (Form 10AB) from 30th September 2025 to 31st December 2025.
Addressing the punitive tax on accreted income under Section 115TD due to procedural hurdles.
Seeking a single renewal form for Section 12AB and Section 80G approvals.
Requesting a lenient approach to rejections based on technical grounds.
Extending the due date for Form 10B/10BB beyond 30 September 2025 due to the late release of the ITR-7 utility (late August 2025).
Clarifying the filing timelines for Form 9A/Form 10

Link – https://bcasonline.org/wp-content/uploads/2025/09/BCAS-representation-letter-to-CBDT-Form-10A-12A1aci-and-renewal-of-12AB-extension.pdf

2. Income Tax Due Date Extensions for AY 2025–26: On 1st September 2025, BCAS requested extensions for Income Tax Return and Audit Report due dates for Assessment Year 2025–26, especially for audit cases. This request is due to the delayed release of ITR forms and utilities (some as late as August 2025), technical portal issues, overlapping deadlines, reduced working days, and increased compliance burdens. BCAS proposed extending deadlines for:

Tax Audit Reports (including Firms, Companies, Trusts) to 30th November 2025.
ITR Filing for audit cases to 31stDecember 2025.
Transfer Pricing Reports (Form 3CEB) to 31st January 2026

Link : https://bcasonline.org/wp-content/uploads/2025/09/BCAS-Representation-for-extension-of-due-dates.pdf

3. GST Reforms: On 30th August 2025, BCAS proposed “next generational” reforms for Goods and Services Tax (GST). These suggestions focus on structural improvements, rate rationalisation, and ‘Ease of Living’ for taxpayers. Key areas include simplifying registration processes, clarifying grounds for registration cancellation, improving input tax credit (ITC) rules, streamlining invoicing and return systems, and enhancing refund mechanisms.

Link : https://bcasonline.org/wp-content/uploads/2025/09/BCAS-Representation-GST-August-2025.pdf

Readers can read the full representation by scanning the QR code or visit our website www.bcasonline.org

III. BCAS IN NEWS & MEDIA

Link: https://bcasonline.org/bcas-in-news/

BCAJ Admin

Regulatory Referencer

DIRECT TAX : SPOTLIGHT

1. Extension of due date for filing of ITRs for the Assessment Year 2025-26 – Circular No. 12/2025 dated 15 September 2025

Due date for furnishing the Income Tax Return for Assessment Year 2025-26 in the case of assessees referred in clause (c) of Explanation 2 to sub-section (1) of section 139 i.e whose accounts are not subject to audit extended from 15 September 2025 (as per circular No.06/2025 dated 27 May 2025) to 16 September 2025.

2. Order under section 119 of the Income-tax Act, 1961 for waiver of interest payable under section 220(2) due to late payment of demand, in certain cases – Circular No. 13/2025 dated 19 September 2025

In several cases, income tax returns were processed and rebate under section 87A was granted on income chargeable at special rates. The rebate was withdrawn by carrying out rectification, which led to additional demands being raised. The circular provides that interest payable under section 220(2) shall be waived in cases where such demands are paid on or before 31 December 2025. However, if demand is not paid on or before 31 December 2025, the interest shall be charged under section 220(2) of the Act from the day immediately following the end of the period mentioned in section 220(1) of the Act

3. Extension of timelines for filing of various reports of audit for Financial Year 2024-25 (relevant to Assessment Year 2025-26) by auditable assesses- Circular No. 14/2025 dated 25 September 2025

The due date for furnishing of the report of audit under any provision of the Income-tax Act, for the Previous Year 2024-25 (Assessment Year 2025-26), in the case of assessees referred to in clause (a) of Explanation 2 to section 139(1) of the Act is extended from 30 September 2025 to 31 October 2025.

BCAJ Admin

Miscellanea

1. ARTIFICIAL INTELLIGENCE

#87% Find AI Shopping Faster, Yet 88% Continue to Choose Cash on Delivery

The “Retail Rewired Report India 2025” by NIQ reveals that Indian consumers are increasingly blending traditional shopping habits with AI-driven technologies, with 87% believing AI tools enable faster shopping and 60% feeling very comfortable with new tech for daily tasks.

The study, based on over 2,000 respondents across metros and Tier-2 cities, shows 96% have made online purchases, with more than half of shopping journeys starting in search bars and 47% on social media (rising to 52% for millennials and Tier-2 residents).

AI influences buying decisions through features like recommendations (50% usage), price comparisons (49%), review summaries (44%), and queries on availability/delivery (42%), while 60% use e-commerce apps in physical stores for price checks and offers.

Despite high digital adoption, concerns include data privacy (35%) and security (60%), and 88% prefer cash on delivery even as 63% use digital payments daily; incentives like free delivery (58%), instant cashback (55%), and discounts (48%) drive tech uptake.

The report urges businesses to balance seamless digital experiences with trust, transparency, and flexibility to meet evolving consumer demands.

(Source: India Express – 20 September 2025)

2. WORLD NEWS

#PM Modi turns 75 Highlights: Meloni, Putin, Bill Gates, Rajnikanth, Rishi Sunak share heartfelt wishes on PM’s birthday

Prime Minister Narendra Modi marked his 75th birthday on September 17, 2025, with widespread celebrations across India and globally, including the BJP’s “Sewa Pakhwada” initiative from September 17 to October 2, focusing on community service like blood donation and cleanliness drives.

He received an outpouring of wishes from world leaders, celebrities, and public figures via phone calls, social media, and public messages, highlighting his global stature and India’s strengthening international ties. Modi expressed gratitude for the “countless wishes, blessings, and messages of affection” from across India and overseas, including from leaders like Russian President Vladimir Putin, Italian PM Giorgia Meloni, Microsoft founder Bill Gates, former UK PM Rishi Sunak, and Greek PM Kyriakos Mitsotakis.

Notable events included special prayers by the Bohra Muslim community in Colombo, Sri Lanka, and the Burj Khalifa in Dubai illuminated with Modi’s portraits, “Happy Birthday” messages, and the Indian tricolour as a gesture of UAE-India friendship. Social media buzzed with tributes, including from Indian celebrities like Rajnikanth, Mohanlal, Shah Rukh Khan, Aamir Khan, Ajay Devgn, Alia Bhatt, and cricketers like Mohammed Siraj and Kris Srikkanth, while some opposition voices criticized the displays as paid promotions.

(Source: Financial Express 18 September 2025)

3. ENVIRONMENT NEWS

Air Conditioners as India’s Highest Greenhouse Gas-Emitting Appliance in India

A survey by the International Forum for Environment, Sustainability and Technology (iFOREST) highlights that air conditioners (ACs) are currently the highest greenhouse gas (GHG)-emitting household appliance in India, driven by electricity consumption, refrigerant leakage, and poor servicing practices, with AC-related GHG emissions reaching 156 Mt CO2e in 2024—equivalent to emissions from all passenger cars in India—and projected to rise to 329 Mt CO2e by 2035 without intervention, while Lifecycle Refrigerant Management (LRM) could avoid 500–650 Mt CO2e between 2025 and 2035. The study warns of rapid growth in AC ownership and emissions if not addressed, urging stronger regulations under India’s Cooling Action Plan, including LRM to reduce refrigerant demand and emissions by 25–30% by 2037–38 and implementing Extended Producer Responsibility (EPR) for manufacturers, emphasizing environmental and economic benefits such as saving $10 billion in refilling costs and generating $25–33 billion in carbon credits.

Based on 3,100 households in 7 cities (Chennai, Pune, Jaipur, Ahmedabad, Mumbai, Delhi), where 98% own 3 to 5 star rated ACs, the survey reveals that 80% of households own ACs less than 5 years old (40% less than 2 years), with 87% owning one AC and 13% owning two or more, and AC numbers expected to triple to 245 million in the next 10 years; 40% of ACs are refilled annually (versus the global norm of every 5 years), requiring 32,000 tonnes of refrigerant refills in 2024, where an AC refilled every two years emits as much GHG as a passenger car; the average refill cost per AC is ₹2,200, with total household spending on refills at ₹7,000 crore ($0.8 billion) in 2024, projected to reach ₹27,540 crore ($3.1 billion) by 2035.

(Source: Hindu.com dated 16 September 2025)

4. SPORTS

#India aspires to be among top five sporting nations of world by 2047

Union Sports Minister Mansukh Mandaviya announced India’s ambition to become one of the top five sporting nations by 2047, marking the centenary of independence, during the opening ceremony of the Commonwealth Weightlifting Championships 2025 in Ahmedabad. He highlighted significant progress in the sports sector under Prime Minister Narendra Modi’s leadership, including reforms like the Target Podium Olympic Scheme for elite athletes, a new Sports Policy to enhance accessibility, infrastructure, and governance, and the athlete-centric Sports Governance Bill emphasizing women’s representation in federations.

Mandaviya also noted India’s goal to rank in the top 10 sporting nations within the next decade and its bid to host the 2036 Olympics, stressing the need for a robust sporting ecosystem to empower athletes and strengthen the nation. The event, attended by International Weightlifting Federation President Mohammed Hasan Jalood and Indian Weightlifting Federation President Sahdev Yadav, was praised for its outstanding organization and infrastructure.

Jalood described it as a “significant occasion,” while Mandaviya called it an indication of India’s emerging athletic power, stating, “This is not just about lifting weight, this is about empowering and strengthening the country.” The championships symbolize India’s growing prominence in global sports, aligning with broader initiatives to foster a sports culture through sequential reforms.

(Source: Hindu.com – 24 August 2025)

BCAJ Admin

Is It Fair To Discriminate TDS Unfairly Over Advance Tax? The Curious Case Of Section 234B Of The Indian Income Tax Act

BACKGROUND

Section 234B of the Income Tax Act was introduced in the year 1988; It seeks to levy interest for non-payment of advance tax or payment of advance tax of an amount less than ninety percent of assessed tax.

However, Section 208 obligates the assessee to make payment of advance tax if the amount of advance tax payable is ₹10,000 or more. It defines the methodology of computing the advance tax and it gives credence to deduction of TDS while computing the advance tax to be paid.

It is further provided in Section 234B that where the pre assessment taxes (that is, total taxes paid during the financial year, prior to assessment that happens after the end of the Financial Year) paid are above 90 per cent of the finally assessed tax, no interest is leviable.

Also, Explanation 1 to Section 234B (extracted below) requires that TDS should be deducted while computing the advance tax payable as it recognises that TDS is part of the pre assessment tax.

[Explanation 1. – In this section, “assessed tax” means the tax on the total income determined under sub-section (1) of section 143 and where a regular assessment is made, the tax on the total income determined under such regular assessment as reduced by the amount of,1-any tax deducted or collected at source in accordance with the provisions of Chapter XVII on any income which is subject to such deduction or collection and which is taken into account in computing such total income;

In this article, we shall see that the Department computes interest on advance tax deficiency by treating TDS differently by adversely discriminating it vis a vis advance tax payment, even though both (advance tax and TDS) are, factually, logically and legally, pre assessment taxes.

THE ISSUE:

The department treats TDS with disdain and advance tax as a superior one. The department has provided a 234B interest calculator. The hyperlink of that site is https://incometaxindia.gov.in/Pages/tools/interest-234a-234b-234c-234d-tool.aspx

The following example may be keyed in and you will find to your surprise that 234B interest is calculated for a pure TDS case, even where the TDS coverage is more than 90% of the required advance tax liability.

For readers, you may input this example:

Assessment year	2025-26
Interest payable under section	234B
Tax payable on total Income	₹2,54,043
TDS/TCS	₹2,42,352
Advance tax paid	0
Balance	₹11,691

On pressing CALCULATE button it computes interest of ₹696 up to 19^th Sep. 2025 (i.e. ₹116/- per month from 1^st April 2025 for six months).

Now repeat the above example but key in 0(zero) for TDS/TCS and ₹2,42,352 in advance tax (which again is more than 90% of the advance tax liability) row, the 234B interest is ZERO. Ta da!!

Looks like that for levy of penal interest, the term pre assessment taxes cover only advance tax (paid directly) and indirect payments of tax (Tax withheld from and remitted on behalf of the assessee, though made in the same Financial Year), are fully disregarded.

It is inconceivable in logic how such a discrimination is justified between two types of pre assessment taxes remitted to Government, in the same Financial Year; Ideally, both types of payment are to be treated as fungible and the duo must be taken together and given credit against the advance tax due for the Financial Year.

Another example:

A Corporate whose estimated advance tax liability is ₹1 crore pays advance tax, say ₹91 lacs leading to a deficiency is ₹9 lacs, will not attract Section 234B interest, as it has fulfilled the 90% pre assessment tax obligation. This residual amount of ₹9 lacs is greater than ₹10,000; No Section 234B interest liability is triggered. Thus, it is obvious the small tax payer undergoes the hardships of Section 234B. The small tax payers are busy with their daily lives and don’t have the wherewithal to understand nuances of advance tax payments; it is not right to penalise for non-payment of advance tax, when the TDS coverage is more than 90% of the total tax liability while filing the return of income.

Another reason to treat TDS and advance tax on par.

IS IT FAIR?

Where the residual tax payable is ₹10,000 or more, TDS remitted from the taxpayer’s money is treated with no respect, while Advance tax payments are considered superior.

Some statistics and big picture:

From CAG report

Report No. 14 of 2024 (Direct Taxes)

(Source: Income Tax Department Time Series Data for financial year 2016-17 to 2021-22 and Press Information)

“More than ninety per cent of the tax collection is through voluntary compliance by taxpayers. TDS and Advance Tax are significant contributors to the pre-assessment tax collections. The direct tax collection through TDS, Advance Tax and Self-Assessment Tax has consistently increased over the years (except in year 2019-20). While a significant part of the Direct Tax collections accrue from voluntary compliance, less than 10 per cent of the tax collections are made through post-assessment procedures. Composition of TDS and advance tax figures in the year 2021 were around 47 and 51 percent respectively in relation to total pre assessment taxes.

Taxpayers are expected to self-assess and pay their taxes. Tax is also deducted while making payments (TDS) and collected at source (TCS).
As of 2022, about 93% of income tax collection was at the pre-assessment stage. These involved collection through TDS, advance tax, and self-assessment tax.”

The interesting question is whether TDS, which is also, undoubtedly, a pre assessment tax, (whereby money is transferred from the taxpayer to the credit of Government during the Financial Year, albeit through a different process, that is by a third party) is on par with Advance tax or not.

It is a mystery how the logic of the department is justified. The discriminatory treatment meted out to TDS remitted from taxpayer’s money, ends up imposing additional taxes from assessees, in above mentioned cases. It is well recognised by the Judiciary that interest is compensatory and is linearly related to the period and quantum of the relevant cashflow withheld. Resultantly, the distinction between the two types of cashflows poured into the Government kitty (one through TDS remitted by third parties
and another by direct payment as advance tax) defies logic.

APPEAL TO GOVERNMENT AND CONCLUSION.

The Government should be fair and logical and hence treat TDS and Advance tax on the same footing. Both result in cashflow to the tax department from the taxpayer as part of preassessment tax payment.

To say more clearly, where more than 90% of taxes have been remitted/recovered in the aggregate, in the financial year (whether by advance tax payments directly by the taxpayer or TDS remittances on behalf of the taxpayer), the levy of interest is not justified in the ₹10,000 threshold cases. Therefore Section 208 (new Sections 404 and 405 of the new Income Tax Act, 2025) and 234B (Section 424 of the new Income Tax Act ,2025) need to be amended suitably to address the anomaly so that TDS will be treated on the same footing as advance taxes.

1 Revised estimates have been used for 2024-25.; Sources: Starred Question No 231, Lok Sabha, March 17, 2025; Budget documents; PRS

BCAJ Admin

ICAI And Its Members

I. REGULATORY UPDATE – ICAI ANNOUNCEMENT

a) Relaxation in compliance with the ‘Guidance Note on Financial Statements of Non-Corporate entities’ and ‘Guidance Note on Financial Statements of Limited Liability Partnerships’ for annual reporting period 2024-25

The ICAI has announced that compliance with the Guidance Note on Financial Statements of Non-Corporate Entities and the Guidance Note on Financial Statements of Limited Liability Partnerships, which were originally effective from April 1, 2024, has been relaxed for the annual reporting period 2024-25.

Application of these Guidance Notes during this period is voluntary. This relaxation does not affect the applicability of existing Accounting Standards or the Framework for Preparation and Presentation of Financial Statements, which remain mandatory.

b) Widening Scope of Mandatory Applicability of Audit Quality Maturity Model (AQMM) v.2.0 and Disclosure of Levels

CURRENT APPLICABILITY

AQMM is mandatory only for firms auditing:

Listed entities
Banks (other than Co-operative banks, except multi-state co-operative banks)
Insurance companies (excluding firms conducting only branch audits)

EXPANDED APPLICABILITY (PHASED MANNER)

From 1st April 2026
Firms auditing holding/subsidiary/associates/JVs of listed entities, banks (other than co-operative, except multi-state co-operative banks), and insurance companies (excluding branch audits).
Firms undertaking statutory audit of unlisted public companies with:
Paid-up capital ≥ ₹500 crores, or
Annual turnover ≥ ₹1000 crores, or
Outstanding loans, debentures & deposits ≥ ₹500 crores.
From 1st April 2027
Firms undertaking statutory audit of entities which have raised > ₹50 crores from public/banks/FIs during review period or any body corporate (including trusts) covered under public interest entities.

DISCLOSURE REQUIREMENTS

AQMM v.2.0 level of a firm to be:
Hosted level-wise on ICAI website by Peer Review Board.
Printed on Peer Review Certificates issued to firms.

II. Expert Advisory Committee (EAC) Opinion – September 2025

Recognition of Liability towards Planned Expenditure for Stage-II Forest Clearance and Environmental Management Plan under Ind AS

FACTS OF THE CASE

A Government of India PSU engaged in bauxite mining, alumina/aluminium production, captive power generation and wind power.
For a newly allotted bauxite mine the Company obtained:
Stage-I Forest Clearance (Jan 2023) – paid ₹262.12 crore for compensatory afforestation etc., booked as Intangible Assets under development.
Stage-II Forest Clearance (July 2023) – subject to revenue-type activities (soil erosion control, green belt etc.) estimated at ₹9.89 crore.
Environmental Clearance (June 2023) – requires an Environmental Management Plan (EMP) with planned capital works/equipment of ₹120 crore and annual maintenance ~₹12 crore.
Company view: No liability recognised for ₹9.89 crore or ₹120 crore as the obligating event arises only on execution of the mining lease / commencement of operations.
C&AG Audit view: Present obligations exist once clearances are granted and undertakings given; non-recognition understates liabilities and capital work-in-progress.

QUERY

(i) Whether the Company’s approach of recognising liability for Stage-II forest clearance expenditure only on execution of mining lease is correct under Ind AS.

(ii) Whether liability for EMP expenditure should be recognised only when equipment is procured/works executed, or at the date of Environmental Clearance.

POINTS CONSIDERED BY THE COMMITTEE

Ind AS 37 (Provisions, Contingent Liabilities and Contingent Assets):
Provision requires a present obligation from a past event, probable outflow, and reliable estimate.
No provision for costs required merely to operate in the future; obligation must exist independently of future actions.
Obtaining Stage-II and Environmental Clearances and giving undertakings do not themselves create a present obligation; they are commitments for future operations.
Present obligation arises only when the Company performs activities that cause the impact requiring mitigation e.g., entering forest land, commencing mining, causing pollution.
Timing of recognition demands management judgement based on specific conditions and commencement of the obligating activity.

EAC’S OPINION

No provision should be recognised at the stage of giving undertakings or merely receiving clearances.
Liability and corresponding asset arise only when a present obligation exists, i.e., when mining operations/activities trigger the need to incur the specified mitigation or pollution-control expenditure.
Until then, these are capital commitments requiring disclosure, not recognition as liabilities or assets.

ICAI Journal – The Chartered Accountant September 2025 pages 115-121

Link: https://resource.cdn.icai.org/87967cajournal-sep2025-32.pdf

III. ICAI Awards Nomination

a) ICAI Awards for Excellence in Financial Reporting 2024–25

The Institute of Chartered Accountants of India invites enterprises to participate in its prestigious Awards for Excellence in Financial Reporting.

HIGHLIGHTS

Objective: To recognise and encourage high-quality preparation and presentation of financial statements.
Awards: One Gold Shield and one Silver Shield in each category for the best annual reports.
Eligibility: Annual reports for financial year ending between 1 April 2024 and 31 March 2025.
Last Date: 15 October 2025.

AWARD CATEGORIES

Public & Private Sector Banks, Life & Non-life Insurance, Financial Services, Manufacturing & Trading (large and small turnover), Service Sector, Infrastructure & Construction, Not-for-Profit, Public Sector Enterprises, and Co-operatives.

PARTICIPATION

Submit entry form and documents online: https://bit.ly/efricao2025 and send hard copies to ICAI Research Committee.

b) ICAI–ZEE Business: CA Business Leader 40 Under 40 Awards

ICAI, in partnership with ZEE Business, invites nominations for the “CA Business Leader 40 Under 40 Award” to honour young Chartered Accountants driving innovation and growth in industry, entrepreneurship, and public service.

Why Apply

Gain national recognition, networking opportunities, and professional visibility while inspiring the next generation of CAs.

Categories

Manufacturing, Services, MSME, Start-up, BFSI, Women, Overseas, Others

Eligibility & Process

For ICAI members under 40. Entries validated by a process auditor and reviewed by an eminent jury.

Participation

Submit entry form and documents online by yourself or your employees:

♦ zeebiz.com/icai40under40

IV. ICAI BOARD OF DISCIPLINE CASES

1. Case: Dy. Registrar of Companies, WB vs. CA. P PR/G/354/2021/DD/64/2023/BOD/739/2024

Date of Order: 29.07.2025

Particulars	Details
Complainant	Dy. Registrar of Companies, West Bengal (MCA)
Nature of Case	Negligence in safeguarding Digital Signature Certificate (DSC) and failure to appear before investigating authorities
Background	Investigation into a shell company post-demonetisation scrutiny revealed that its tax audit reports for FY 2013-14 and 2014-15 were signed using the Respondent’s DSC. Summons were issued to the Respondent in 2018 but he failed to appear.
Key Allegations	– Failure to appear before ROC Inspectors despite valid summons. – Negligence in maintaining and safeguarding his DSC, enabling alleged misuse for filing tax audit reports without his knowledge. – Failure to update ICAI with his current address, obstructing investigation.
Respondent’s Defence	– Denied filing the tax audit reports and claimed he never received the 2018 summons. – Stated he had moved residence and inadvertently not updated ICAI records. – Alleged that a senior CA misused his DSC without consent when they shared office space.
Findings	– Admitted to sharing DSC and failing to secure it. – Provided no evidence of corrective action (no police complaint or revocation). – Negligence compromised integrity of digital filing system. – Defence of non-receipt of summons rejected; responsibility to safeguard DSC lies with holder.
Charges Established	Professional Misconduct under Clause (2), Part IV, First Schedule – “Other Misconduct”.
Punishment	Reprimand under Section 21A (3) of the Chartered Accountants Act, 1949.

2. Case: CA. S. vs. CA. R. PR/162/2023/DD/200/2023/BOD/753/2024

Date of Order: 29.07.2025

Particulars	Details
Complainant	CA. S
Nature of Case	Non-communication with previous auditor on acceptance of audit (breach of professional standard)
Background	The Complainant alleged that the Respondent, on being appointed as statutory auditor of a client, accepted the audit engagement without first communicating in writing with the previous auditor as mandated by the Code of Ethics and the Chartered Accountants Act, 1949.
Key Allegations	Violation of the requirement to obtain a no-objection/communicate with the outgoing auditor before accepting the audit assignment.
Respondent’s Defence	Appeared before the Board, acknowledged receipt of findings, and offered representation but did not disprove the allegation of non-communication.
Findings	The Board held that the Respondent failed to communicate with the previous auditor prior to acceptance, constituting Professional Misconduct under Item (8), Part I, First Schedule – failure to comply with provisions regarding acceptance of audit work.
Punishment	Monetary penalty of ₹25,000 under Section 21A(3) of the Chartered Accountants Act, 1949.

3. Case: Shri S. Roy Superintendent of Police & Head of Branch, CBI EOW vs. CA. G PR/G/121/19/DD/238/2019/BOD/613/2022

Date of Order: 29.07.2025

Particulars	Details
Complainant	Shri Sudip Roy, Superintendent of Police & Head of Branch, CBI EOW, Kolkata
Nature of Case	Other Misconduct – connivance in preparation of fake documents for car loan
Background	A CBI case was registered in 2016 based on Allahabad Bank’s complaint. It was found that a Honda City car originally owned by a borrower group (HVPL / Tarun Textiles – NPA accounts) was transferred without consideration to the then Chief Manager of Allahabad Bank, Shri R.K. Singh. To cover the irregularity, Shri Singh obtained a ₹4 lakh car loan in March 2012 from Allahabad Bank by showing purchase of the same car from a second-hand dealer “M/s First Drive.”
Key Allegations	– Respondent CA connived with Shri Anil Agarwal of M/s First Drive in preparing a fake bill/delivery challan of ₹4.70 lakh showing sale of the Honda City car to Shri R.K. Singh. – The said bill was used by Shri Singh to obtain a car loan of ₹4 lakh from Allahabad Bank.- Respondent further arranged routing of ₹4.70 lakh through Hena Vincom Pvt. Ltd. and handed over cash to Shri Singh, thereby facilitating adjustment of funds.
Respondent’s Defence	– Claimed the matter was over 10 years old, making it difficult to gather records. -Denied direct involvement; argued allegations were based on contradictory third-party statements. – Submitted that bills were forwarded only on request of the accused; the loan had already been applied on an earlier-dated bill. – Requested charges to be quashed.
Findings	– Respondent was aware of the parties and the transaction. – Evidence showed he emailed bills/documents to Anil Agarwal, admitted during hearing to “mistakenly” forwarding them. – Statements of Anil Agarwal and the Respondent himself established his role in arranging fake documentation and adjustment of ₹4.70 lakh. – Board held him guilty of “Other Misconduct” under Item (2), Part IV, First Schedule, CA Act, 1949 read with Section 22.
Punishment	Reprimand imposed by the Board of Discipline under Section 21A(3) of the CA Act, 1949.

BCAJ Admin

Letter To The Editor

Dear Sunil

Your editorial aptly covers Key Issues in GST (viz High Pitched Demands / Accountability on Dept officers / Dispute Resolution). If you recollect, these issues were discussed during interactions with TARC & were covered in Report. Unfortunately Detailed Report has been ignored by the Govt.

Unless these issues (alongwith actions of Severe Coercive actions) are addressed, there can be no Tax Reform in the real sense.

Warm Regards

Bakul B. Mody

BCAJ Admin

Working Papers

Arjun is in his office. Shrikrishna enters the office.

Arjun: (excited, stands up and welcomes him) Ohh! Oh! Bhagwan, welcome, welcome. What a pleasant surprise!

Shrikrishna : How are you, Parth?

Arjun: With your blessings, Bhagwan, I am fine. Slogging as usual!

Shrikrishna : Is ITR pressure over?

Arjun: Lord, it was a nightmare! On the last day, I uploaded 80 returns!

Shrikrishna: Why do you keep it pending? Why don’t you keep on uploading as and when ready.

Arjun: That’s a dream of all CAs! But last 30 years, the same thing continues.

Shrikrishna: Don’t tell me all excuses – Clients don’t give data, staff are on leave, festivals in between and so on. Even after a liberal extension of time, you can’t manage it?

Arjun: Lord, we have no answer to this question. Hum Aadat se majboor hain. (we are the slaves of our habits).

Shrikrishna: What you lack is will-power and proactiveness. Anyway, I was passing by and saw the light in your office. So late in the night?

Arjun: Thank you, Lord. But tell me, what would you prefer? Tea or coffee?

Shrikrishna: Arjun, you know very well that right from my childhood, I have taken only milk! Anyway, why are you working so late?

Arjun: Now the next compliance! Audit. And, there is one Income tax query as to how a particular figure was arrived at 2 years before.

Shrikrishna : You don’t have that working?

Arjun: Bhagwan, our work is nothing but firefighting. Once we sign the statements and upload the returns, everything is gone! It goes out of our memory also. We get busy with the next deadline.

Shrikrishna: But you have to maintain your working papers.

Arjun: Yes, that is in the standards and in the textbooks. In reality, firms of our size never maintain working papers properly.

Shrikrishna : Why? No space?

Arjun: Space may be there, but nobody has time!

Shrikrishna: That’s very dangerous. Work should not only be done, but it should be seen that it is done. Work without documents is no work done at all!

Arjun: I agree with you. But we finish the audit and compliance at the 11th hour. From where the figures are derived, God alone knows. Many times, we make last-minute adjustments, and later, we forget those. Many entries are made in our Minds only!

Shrikrishna : But why adjustments?

Arjun: We need to perform a lot of acrobatics to reconcile everything with each other – Tax, GST, requirements of bankers.

Shrikrishna: And what about your Accounting principles and standards?

Arjun: That is incidental. I know, it is not proper, but we are helpless.

Shrikrishna: But you need to do it in time, and seal your working papers in the system within 60 days after signing every audit.

Arjun: All that applies to big firms and large corporates.

Shrikrishna: Arjun, don’t take it so lightly. Working papers are a must.

Arjun: We take bank reco, cash and bank certificate, stock certificate and something in MRL!

Shrikrishna: Oh! Arjun, you may invite trouble. You need to maintain so many things.

Arjun : Like what?

Shrikrishna: Your correspondence with the client, your queries, their replies, noting of how you dealt with the queries, important contracts, bank loan sanction letters and other financial institutions. Most important –Third-party evidence, evidence that you tried to get, also, explanation of contingent liabilities.

Arjun: I attended a lecture about it, now I recollect it, as you are saying.

Shrikrishna: Actually, your Institute has issued very good guidelines on the working papers and documentation. The principle is very simple: whatever you do, document it immediately; and you do only what is documented. You have to issue an engagement letter as well.

Arjun: All that is easy to say but very difficult to implement.

Shrikrishna: One reason is that you are not upgraded and disciplined. So you cannot train others. Working papers are to be prepared by your staff and the articles that are involved in the concerned assignment. But for that, you need to train them properly.

Arjun: What you say is right. Now I remember, all my friends who have faced disciplinary proceedings had the same difficulty. No documentary evidence. Everything is done in good faith!

Shrikrishna: Remember, faintest of ink is stronger than the strongest of memories!

Arjun: But Bhagwan, most of our mid-size firms are focused on tax, advisory services.They don’t realise the importance of documentation.

Shrikrishna: That’s another misconception. It is not the case that documentation is required only for audit practice. It is equally essential for advisory services.

Your appointment letter, scope of work, client’s query in writing, your counter questions, data supplied by the client, study of the query, supporting case law, your thought process in replying to the query, your opinion and so on. If there are any debatable issues or risks, you should communicate them in writing. Otherwise, if anything goes wrong, the blame falls on you! Client will plead ignorant and say that he depended on you entirely.

Arjun: Yes, yes. I remember, in many cases, clients argued in tax proceedings that , their CA did everything.

Shrikrishna: Even for internal audit or assignments like accounts supervision, one should maintain notes of what one has done. Otherwise, the client feels that everything was proper in his office, and your services are redundant! Actually, you might have ensured that the wrong things are set right, but unfortunately, you cannot show what work you did!

Arjun: Bhagwan, in our Peer Review, all these things are seen and that is good for us;

Shrikrishna: In fact, the Peer Review booklet of your Institute can be a good guide as to what record you should maintain and how. There is a complete checklist.

Wake up, Arjun. There are difficult days ahead! Haven’t you read the orders of NFRA? They are in the public domain.

Arjun: Lord, as always, you have opened my eyes. This time, I will at least make a beginning. Our old habits die hard. Everything is not possible overnight!

Shrikrishna: I understand that. But please don’t try to justify your lacunae!

Arjun: Yes, Lord.

OM SHANTI.

(This dialogue is based on the importance of maintaining working papers and other documents. Members should try to implement these practices immediately since they will be signing the audit/tax audits now.)

BCAJ Admin

29th International Tax and Finance Conference

The 29^th International Tax and Finance (ITF) Conference was held from 14^th to 17^th August, 2025, at Ananta Spa & Resorts, Jaipur. Organised by the International Taxation Committee of BCAS, the conference saw the participation of over 210 delegates, including senior professionals, experts, and other delegates from across the country. The conference featured well-structured sessions covering key topics in international taxation and finance, including recent developments, group discussions, paper presentations, panel discussions, practical challenges, and global trends. Eminent speakers and panellists shared valuable insights through technical presentations and interactive discussions, making the sessions both informative and engaging. In addition to technical learning, the conference also offered excellent opportunities for networking and informal interactions among professionals in a serene and rejuvenating setting. Overall, the 29th ITF Conference successfully continued its tradition of promoting professional excellence, collaboration, and knowledge-sharing in the field of international tax and finance.

The Conference covered the following:

Topic	Faculty
Key Note Address: “Constitutional Limits in Taxation and Territorial Boundaries”	Former Acting Chief Justice Dr Vineet Kothari
Papers for Group Discussions
1. Corporate and Business Restructuring from a Tax and FEMA perspective – Confluence and Conflicts	CA Siddharth Banwat Mentor – CA Pinakin Desai
2. Cross-Border Structuring of Wealth for its Protection and Succession – Planning imperatives and legal controversies	Dr CA Anup Shah
Paper for Group and Panel Discussion
Treaty Entitlement, Principal Purpose Test and GAAR – Case Studies	Moderator – CA Ganesh Rajgopalan Panellists – CA Anish Thacker & Sr. Adv. K K Chythanya
Papers for Panel Discussion
Investigations Under Black Money and FEMA: Practical Insights and Analysis (Fireside Chat)	CA Gautam Nayak in conversation with CA T P Ostwal & Adv. Ashwani Taneja
Papers for Presentation
Intangibles in the globalised world: Sectoral Analysis from a tax and transfer pricing perspective	Speaker – Sr. Adv. V. Sridharan
Global Information Exchange Standards – 2025 and Beyond – An Eye-opener	Speakers – Mr Raman Chopra, Principal Commissioner, Central Charge, Delhi (Ex Member TPL) and Mr Gaurav Sharma – Additional Director of ADIT HRD CBDT

ABOUT THE CONFERENCE

The participants were divided into four groups, each group ably led by group leaders (aggregating to 25 across the three papers) who helped generate an in-depth discussion of the case studies from the papers. The paper writers visited each group to witness the brainstorming sessions.

An overview of each of the sessions follows:

Day 1: 14^th August, 2025

The 29^th International Tax and Finance (ITF) Conference commenced with impactful opening remarks by co-chair CA Rutvik R. Sanghvi.

This was followed by an insightful address by former Acting Chief Justice Dr Vineet Kothari on the theme “Constitutional Limits in Taxation and Territorial Boundaries.” His talk provided a nuanced legal perspective on the jurisdictional boundaries within which taxation laws operate, offering clarity on constitutional principles that govern legislative power in cross-border taxation matters.

The paper writer presented after the Group Discussion. The technical segment of the day concluded with a detailed presentation by CA Siddharth Banwat on corporate and business restructuring from a tax and FEMA perspective – confluence and conflicts. The session was guided by mentor CA Pinakin Desai. The session explored the intricate regulatory landscape professionals must navigate while advising on restructuring strategies. The paper provided practical insights into real-world transactions, drawing appreciation for its relevance and depth.

Day 2: 15^th August, 2025

The second day of the conference opened on a patriotic note with a brief Independence Day celebration, bringing together all delegates in a spirit of unity and reflection.

This was followed by a fireside chat on the theme “Investigations under Black Money and FEMA: Practical Insights and Analysis.” The session featured CA Gautam Nayak in conversation with CA T. P. Ostwal and Advocate Ashwani Taneja. The discussion provided valuable insights into ongoing challenges in regulatory investigations, drawing from practical experiences, case studies, and policy perspectives. The interactive exchange allowed participants to gain a deeper understanding of both the technical and procedural aspects of black money laws.

In the afternoon, Dr CA Anup Shah delivered a comprehensive presentation on “Cross Border Structuring of Wealth for its Protection and Succession – Planning Imperatives and Legal Controversies” after the Group Discussion on the topic. The session examined the complex interplay between succession planning, wealth protection, and international structuring, with a focus on both legal and tax dimensions. Rich with practical examples, the presentation shed light on strategies adopted globally and their relevance in the Indian context, making it a highly engaging and thought-provoking session for the delegates.

Day 3: 16^th August, 2025

The third day of the conference opened with a highly engaging session on “Global Information Exchange Standards – 2025 and Beyond – An Eye-opener.” The session was addressed by Mr Raman Chopra, Principal Commissioner, Central Charge, Delhi (Ex-Member TPL), along with Mr Gaurav Sharma, Additional Director of ADIT HRD, CBDT. Together, they offered a forward-looking perspective on global tax transparency frameworks and information-sharing mechanisms. Their analysis shed light on the impact of evolving exchange standards on multinational businesses and domestic taxpayers, while also highlighting India’s preparedness to adapt to these changes. The session provided delegates with an in-depth understanding of upcoming challenges and opportunities in this crucial area of international taxation.

The discussions were followed by a detailed paper presentation by Senior Advocate V. Sridharan on “Intangibles in the Globalised World: Sectoral Analysis from a Tax Perspective.” Drawing from his vast experience, he examined the complexities of intangible assets, their valuation, and their treatment under international tax and transfer pricing principles. The session offered sector-specific insights and addressed practical concerns faced by businesses and professionals in structuring and defending tax positions. The clarity and depth of the presentation made it one of the most enriching technical highlights of the conference.

Day 4: 17^th August, 2025

The concluding day of the conference featured a comprehensive panel discussion on “Treaty Entitlement, Principal Purpose Test and GAAR – Case Studies”, after the Group Discussion. The session was moderated by CA Ganesh Rajgopalan, with panellists CA Anish Thacker and Senior Advocate K. K. Chythanya.

The panel examined the practical challenges and interpretational issues that arise in the application of treaty entitlement, the principal purpose test, and GAAR, drawing on case studies and judicial perspectives. The discussion brought out the complexities of balancing anti-avoidance principles with legitimate tax planning, while also offering practical insights for professionals advising in cross-border matters. The engaging exchange of views and depth of analysis provided a fitting conclusion to the conference, leaving participants with key takeaways for navigating an evolving international tax landscape.

CONCLUDING REMARKS

Under the leadership of Chairman CA Chetan Shah and Co-Chairman CA Rutvik Sanghvi, and with the dedicated efforts of Conference Director CA Naman Shrimal and Co-Conference Director CA Utsav Hirani, the 29th ITF Conference was successfully concluded. Notably, this year saw nearly 50% participation from professionals outside Mumbai—an encouraging sign of growing national interest in the conference and its relevance across the country.

The smooth execution of the event was supported by — CA Jagat Mehta, CA Mahesh Nayak, CA Rajesh Shah, CA Kartik Badiani, CA Divya Jokhakar, CA Naresh Ajwani, CA Anil Doshi, CA Nemin Shah, CA Chaitanya Maheshwari and BCAS Events and Admin Team—whose attention to detail and behind-the-scenes commitment ensured a seamless experience for all delegates.

29^TH INTERNATIONAL TAX AND FINANCE (ITF) CONFERENCE HELD ON 14-17 AUGUST 2025

29th International Tax and Finance (ITF) lighting lamp

29th International Tax and Finance (ITF) grp pic with Chief Justice Dr. Vineet Kothari

Group Photos of 29th International Tax and Finance (ITF) Participants

BCAJ Admin

Tech Mantra

Encrypter / Decrypter

Many times we wish to send a secret message to friends or family which we do not wish to be seen by anyone else. This could be Credit Card numbers or passwords or even some sensitive personal information like Aadhar Number or PAN number. Notwithstanding the encryption used by email systems and Whatsapp, if you wish to include another layer of security, this simple method is quite effective.

Just type encrypter in Google Search and select the website which comes up with a prefix of cs.franklin.edu/…… You will be presented with a box where you could type your message and click on Encrypt. Your message will now be converted to a set of random numbers. You can then copy the output of random numbers and send them via Email or WhatsApp or any other means to the receiver.

Conversely, the recipient also needs to go to the same website and paste the random numbers received and click on Decrypt – the original message will be revealed instantly.

To make it more secure, you may even include a password which you can relay separately to the recipient and then, decryption will be possible only on entering the correct password.

Very interesting for those who have to send confidential stuff often.

https://cs.franklin.edu/~whittakt/ITEC136/examples/encrypter.html

VIVA : Become your best self

VIVA : Become your best self

VIVA is an app designed to help you live a life full of wellness and fulfillment. With access to a wide range of courses and daily science-based lessons, VIVA combines mental and physical health in one place. It relies on scientific updates and modern approaches proven to establish sustainable and healthy habits.
You will find over 250 courses focused on mental health, mindful nutrition, and physical exercise. From building healthy eating habits to advanced emotional management techniques, VIVA offers everything you need to feel good inside and out.

You can learn at your own pace, 5 minutes a day. Each lesson is designed to be brief and effective, allowing you to integrate VIVA into your daily routine and make constant progress toward a healthier life. The plans are personalized and designed to help you achieve your health and personal development goals.

Join a community committed to personal growth and holistic well-being. Become part of VIVA and start your journey toward a happier and healthier life today.

Android : https://bit.ly/40mmBfc

https://www.soyviva.com/

ClickUp – Manage Teams & Tasks

Save time with the all-in-one productivity platform that brings teams, tasks, and tools together in one place.

Whether you’re an agile team doing weekly sprints or you’re an operational team collaborating on Production Tasks, you can do it all here.

ClickUp allows you to:

ClickUp - Manage Teams & Tasks

Create tasks on the go
Update/ edit seamlessly
Collaborate with your team
View your to-dos in one list
Stay connected with push notifications

You can manage tasks, documents, Forms, Dashboards, Time Tracking and much more.
With ClickUp, you’ll solve these problems:

How do I know what people are working on?
How do I know what to work on next?
How long is my project going to take?

Try it today for a different experience in collaboration and task management!

Android : https://tinyurl.com/adsec586

Grok– AI assistant

Grok– AI assistant

Grok is a powerful AI assistant, developed by xAI, designed to be truthful, useful and curious. You can get answers to any question, generate striking images and upload pictures to gain a deeper understanding of the world around you. With Grok, the universe is virtually in your hands!

Available on the web, Android and iOS and can be seamlessly integrated across platforms.

A very simple and easy to use AI tool developed by X (previously Twitter) of Elon Musk fame. A great addition to your AI Tools library!

https://x.ai/

BCAJ Admin

Learning Events at BCAS

1. BCAS Townhall Meeting, Jaipur

The Bombay Chartered Accountants’ Society (BCAS) successfully conducted a vibrant Townhall meeting on 16^th August, 2025, at Jai Club, Jaipur, strategically scheduled alongside the 29th International Tax & Finance (ITF) Conference.

BCAS Townhall Meeting, Jaipur

This initiative represents a cornerstone of BCAS’s national reach-out project, strengthening professional relationships through dedicated representatives termed ‘Sherpas’ across India. These Sherpas serve as vital bridges between BCAS and local CA communities, facilitating professional development programs while maintaining the Society’s ethical standards.

The session focused on the ‘New Income Tax Bill, 2025’, masterfully presented by CA Gautam Nayak, Past President of BCAS. His comprehensive presentation addressed fundamental changes in the Bill and their implications across various taxpayer categories. The interactive Q&A session transformed theoretical discussions into practical solutions, addressing real-world challenges faced by tax professionals.

The event was meticulously coordinated by Jaipur Sherpa, CA Naman Shrimal. Approximately 30 Chartered Accountants participated enthusiastically, with a significant majority being non-members, extending BCAS’s reach beyond its immediate membership base.

Media professionals are actively engaged, seeking expert opinions on proposed changes, resulting in comprehensive coverage across local and national media platforms – both print and digital.

An enriching dialogue session, led by Past President CA Gautam Nayak and Vice-President CA Kinjal Shah, provided profound insights into BCAS’s vision and ongoing activities. CA Naman Shrimal shared his inspiring journey, describing how BCAS shaped his professional trajectory, encouraging participants to actively engage with the Society.

The evening culminated with a delightful networking session over High Tea, fostering meaningful connections and professional camaraderie among participants.

This Townhall meeting exemplifies BCAS’s unwavering commitment to professional excellence, knowledge dissemination, and community building across the Indian Chartered Accountancy landscape.

2. Webinar on Navigating the Tax and Regulatory Landscape for Private Equity Transactions in India held on Friday, 8^th August 2025, @ Virtual.

The Taxation Committee of the Bombay Chartered Accountants’ Society organised a webinar on “Navigating the Tax and Regulatory Landscape for Private Equity Transactions in India”.

The session began with an overview of the growing complexity in tax and regulatory rules for private equity (PE) transactions in India. With increasing scrutiny by tax authorities, changes in global tax treaties, and new regulations affecting fund flows and exits, the Speaker educated the participants about the latest developments and practical solutions for smooth deal execution.

The speaker gave an overview of private equity fund structures, including the role of fund managers, pooling vehicles, SPVs, and offshore jurisdictions. The speaker explained how different jurisdictions are used for structuring and highlighted major PE funds currently active in India.

The Speaker also focused on transaction structuring and tax matters, such as pre-acquisition planning, tax implications under Indian law and DTAAs, and recent court rulings on capital gains. Key clauses in transaction agreements and the use of tax insurance to reduce deal risks were also discussed.

The webinar offered useful insights and practical guidance for handling PE transactions in a compliant and effective manner.

Speaker: CA Prem Jain.

3. Lecture Meeting on Recent Developments in Related Party Transactions Disclosures held on 6^th August 2025 @ Virtual.

Lecture Meeting on Recent Developments in Related Party Transactions Disclosures

A public lecture meeting was conducted by the Bombay Chartered Accountants’ Society virtually on the Zoom platform on 6^th August 2025.

The speaker, CS Anoop Deshpande, mentioned that the Securities and Exchange Board of India (SEBI), vide its circular dated 26th June 2025, has introduced revised industry standards specifying the minimum information to be provided to the Audit Committee and shareholders for the approval of Related Party Transactions (RPTs).

These revised standards, effective from 1^st September 2025, will supersede the earlier circulars dated 14^th February 2025 and 1^st March 2025.

The speaker covered the following matters:

Overview of Related Party Transactions
Key features of New ISF Note
Applicability and Exemptions from Reporting
Categorisation for Disclosure in Part A, B & C.
Key Issues on various RPT Transactions

The session provided valuable insights into the updated RPT framework, which replaces earlier guidelines and introduces enhanced disclosure standards for listed companies. Participants gained clarity on the regulatory background, key changes, compliance steps, and practical implications—including the need to revisit approval processes and information templates to align with SEBI’s new expectations.

The lecture was well-attended, with over 190 participants joining online.

BCAS Lecture Meetings are high-quality professional development sessions which are open-to-all to attend and participate. Missed the Lecture Meeting, but still interested in viewing the entire meeting video?

Visit the below link or scan the QR Code with your phone scanner app:

YouTube Link: https://www.youtube.com/watch?v=xBBSsyqY748

QR Code:

Lecture Meeting on Recent Developments in Related Party Transactions Disclosures 1

4. Indirect Tax Laws Study Circle Meeting on “Finalisation & Review of Accounts from GST Perspective” held on Tuesday, 5^th August 2025 @ Hybrid.

The Bombay Chartered Accountant Society had organised the following Study Circle Meeting under Indirect Taxes on 5^th August 2025.

Group leader CA Nitin Bhuta prepared a PowerPoint presentation on the Finalisation of Accounts, keeping in mind the GST Implications.

The material covered the following aspects for detailed discussion:

Nature of Business Transfer Agreements, their GST Implications and their treatment in the books of accounts.
Aspects of Revenue Recognition and GST implications on Revenue Recognition done in the books of accounts.
GST Implications on Remuneration to Partners and the correct treatment in the books of accounts.
GST implications on the assesse when an Income tax Raid is conducted on the assessee and its treatment in the books of accounts of the assesse.
Implications of GST on the Cross Charge Valuation
Implications of GST on the Employee Stock Options Plan and its treatment in the books of accounts

Around 80 participants virtually and 10 participants physically from all over India benefited while taking an active part in the discussion. Participants appreciated the efforts of the group leader.

5. Finance, Corporate & Allied Law Study Circle – Recent Regulatory Changes Reshaping the AIF Landscape held on Friday, 1^st August 2025 @ Virtual

The session provided a comprehensive overview of the evolving regulatory framework governing Alternative Investment Funds (AIFs) in India. The speakers discussed the lifecycle of AIFs, recent SEBI circulars, and the phased dematerialisation of AIF units and assets.

They also dealt with key reforms such as standardisation of valuation norms, introduction of dissolution period for illiquid assets, changes in borrowing limits, and enhanced due diligence for investors and investee companies.

The session also addressed pro-rata and pari-passu rights, reforms in angel fund structures, and the operationalisation of co-investment opportunities through regulated AIF structures. Insights were shared on SEBI’s push for greater transparency, investor protection, and systemic oversight through PPM audits, custodian requirements, and cybersecurity compliance.

The lecture was timely and well-received by participants for its clarity and coverage of both technical and practical aspects.

Speaker: CA Eshank Shah, jointly with CA Sivasangari Chinnappa

6. Indirect Tax Laws Study Circle Meeting on “Use of Technology in GST,” held on Friday, 25^th July, 2025, @ Virtual

Group leader CA Rahul Gabhawala prepared a step-by-step demonstration of the prompt use of technology in GST.

The material covered the following aspects for detailed discussion:

Use of Chat-GPT to create code in order to carry out Login at the GST Portal.
Use of Selenium Wrapper to teach test automation at the GST Portal.
Use of Selenium Wrappers to make test automation more efficient, reliable, and user-friendly.
Use of Codes in automating certain functions at the GST Portal.

Around 200 participants from all over India benefited while taking an active part in the discussion. Participants appreciated the efforts of the group leader. Considering the response of the participants and the time required for a detailed demonstration, it is proposed to have Part 2 of the meeting in
August 2025.

7. Suburban Study Circle – Interactive Case Studies on Tax Audit held on Friday 25^th July 2025 @ S H B A & CO LLP (formerly Bathiya & Associates LLP)

The Suburban Study Circle of Bombay Chartered Accountants’ Society (BCAS) hosted a power-packed and interactive session on “Tax Audit – Interactive Case Studies & Recent Amendments” on 25^th July 2025. The session was conducted by two distinguished professionals, CA Sonakshi Jhunjhunwala and CA Bandish Hemani, both brought deep technical insight and remarkable clarity to the discussion.

Key Highlights of the Session

Recent Amendments to Form 3CD (Applicable from A.Y. 2025-26)

The session began with a structured overview of the recent CBDT Notification No. GSR 207(E) dated 28.03.2025, which introduced significant changes to Form 3CD. Notable changes include:

New clause 36B – Buyback receipts disclosure under section 2(22)(f)

Revised Clause 22 – Extensive reporting of MSME payments under section 43B(h)

Amendment in Clause 21(a) – Reporting of disallowable expenditures under newly notified laws such as SEBI, Competition Act, etc.

Each clause was dissected with comparisons of old vs new provisions, implications, and reporting challenges.

Deep Dive into ICDS – III (Construction Contracts) & VI (Foreign Exchange)

Through practical case studies, the speakers navigated the interplay between ICDS, the Act (Sections 43A and 43AA), and accounting standards (AS/IndAS). The complexities of tax vs accounting treatments were clarified with logical reporting approaches under Clauses 13(e), 13(f), and 21(a).

MSME Disclosure – Clause 22 Revamp

One of the session’s most relevant segments was around new reporting obligations regarding payments to MSMEs. Case studies illustrated the implications of delay in payments, interest disallowance, and classification issues. Practical tips were shared on Udyam verification and Clause 26(A) linkages.

Case Study Method – Interactive & Practical

The hallmark of the session was its interactive format—participants were encouraged to debate views and test their understanding through curated scenarios:

Tax Audit applicability in cases of 44AD/Presumptive tax opt-out
Multiple businesses – whether the audit applies to each or the combined turnover
Reporting under section 40A(2)(b) – confusion between P&L expenses and payments
Controversial issues under section 43B – conversion of interest into loans or debentures

Rapid Fire Round & Compliance Nuggets: The session concluded with a rapid-fire round on common but tricky reporting items in the Tax Audit Report.

Conclusion

The Suburban Study Circle expresses its sincere gratitude to CA Bandish Hemani and CA Sonakshi Jhunjhunwala for delivering a high-calibre, practice-oriented, and thoroughly engaging session. Their lucid style and insightful commentary turned a technical subject into a deeply enriching experience for all attendees.

8. Felicitation of Chartered Accountancy pass-outs of the May 2025 Batch event held on Friday, 18^th July, 2025@IMC.

The Seminar, Membership and Public Relations (SMPR) Committee hosted a felicitation ceremony on 18^th July 2025 at Walchand Hirachand Hall, IMC Building, Churchgate, to honour the newly qualified Chartered Accountants from the May 2025 examination. The felicitation event received an overwhelming response of more than 550 registrations. Out of said registrations, over 460 enthusiastic new qualified CAs participated in the event. The guest and mentor for the event was CA Mandar Telang, Hon. Secretary. In a heartfelt session, he walked the audience through his early days as a young CA and how his involvement with BCAS helped him discover opportunities, build lasting connections, and develop a deeper understanding of the profession beyond books. Through personal anecdotes, he encouraged the newly qualified CAs to actively engage with BCAS and its many initiatives. AIR 33, Ms. Bhawana Gayari was then felicitated, and she addressed the audience. In her address, she made a mention of how she had achieved this remarkable feat without seeking the help of coaching classes – a statement which drew a thunderous applause from the audience. SMPR Committee member, CA Vatsal Paun, also addressed the audience. He recounted the fact that in August 2024, he was felicitated by BCAS in a similar event and mentioned how being a part of BCAS has helped in his professional development. A celebratory cake was cut, and then all the successful newly passed CAs were felicitated. The felicitation ceremony served as a warm welcome of the newly passed CAs into the wider professional fraternity.

Youtube link: https://www.youtube.com/watch?v=tL-8C_iW8Jk&t

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. Felicitation of Chartered Accountancy pass-outs

Felicitation of Chartered Accountancy pass-outs May

9. Lecture Meeting on Preparation & Audit of Financial Statements for FY 2024-2025 on 16^th July 2025 @ BCAS Hybrid.

A public lecture meeting conducted by CA Himanshu Kishnadwala at the Bombay Chartered Accountants’ Society and also streamed virtually, provided an extensive overview of the preparation and audit of financial statements for the fiscal year 2024-2025. The session commenced with a discussion on the relevant regulatory bodies and applicable laws, including recent amendments to the Indian Accounting Standards (Ind AS) and the Companies Act, 2013, as well as updates to auditing standards and guidelines issued by the Institute of Chartered Accountants of India (ICAI) and other authorities.

Lecture Meeting on Preparation & Audit of Financial Statements for FY 2024-2025

The speaker elaborated on the applicability of accounting standards to both corporate and non-corporate entities, including MSMEs, highlighting specific standards such as Ind AS 117, Ind AS 116, Ind AS 21, and various relaxations and guidance notes relevant for MSME financial statements. The audit segment focused on audit methodology, encompassing audit planning, execution, and reporting, emphasising a risk-based audit approach. Detailed insights were provided on Standards on Auditing (SAs) 800, 805, and 810, covering their objectives, applicability, and disclosure requirements.

Key topics included the audit of related party transactions and disclosure mandates under SEBI LODR 2015, the Companies Act 2023, and other applicable standards. The responsibilities of principal auditors, in light of findings by the National Financial Reporting Authority (NFRA), were discussed alongside critical considerations for component auditors, such as independence, fraud risk, internal controls, and risks of material misstatement.

The speaker addressed common challenges faced by auditors, changes in audit reporting requirements, and strategies to ensure compliance with auditing standards, including ethical considerations and fraud detection measures. Additional topics covered included frequent errors, taxation impacts on financial statements, and statutory disclosure requirements, providing participants with a comprehensive understanding of the subject matter.

The program underscored the importance of applying professional judgment alongside technical expertise to manage audit risks and promote transparency in financial reporting. It also offered practical guidance for efficient audit planning and execution tailored to the 2024-2025 financial year.

The lecture was well-attended, with over 700 participants joining both online and in person.

Visit the below link or scan the QR Code with your phone scanner app:

YouTube Link https://www.youtube.com/watch?v=e__ylNR9jWw

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Lecture Meeting on Preparation & Audit of Financial Statements for FY 2024-20251

10. Direct Tax Laws study Circle – Case Studies in Transactions of Immovable Property held on Wednesday, 2^nd July 2025 @ BCAS -Hybrid.

Jagdish T Punjabi took up the above-mentioned topic, wherein cases relating to tax implications on immovable property transactions were discussed:

The cases covered capital gains computation under Sections 45, 50C, and 112 when the sale consideration differs from the stamp duty value, especially in intra-family transfers.
Redevelopment agreements and joint development models were examined – highlighting taxability of rent reimbursement, hardship compensation, and bonus area under Sections 56(2)(x) and 194IC.
Case studies highlighted disputes on valuation, treatment of stock-in-trade conversion, and capital gains deferment under Section 45(5A) in development agreements.
One of the case studies also highlighted the impact of amendments to Sections 54 and 54F, restricting exemption to r 10 crore, especially in the context of investment via Capital Gains Account Scheme (CGAS).
Discussion included interpretation challenges around DVO references, valuation differences, and the role of indexed cost in determining gains.
The implications of new LTCG rates (12.5%) for sales post-23.07.2024, timing of capital gain recognition, and AO actions under reassessment proceedings (Sec. 148A) were explored.
Specific scenarios involving the conversion of inherited property into business assets, advance tax computation, and treatment of unsold flats received under DA were evaluated.
The session concluded with a comprehensive legal analysis, giving participants clear takeaways for client advisory and compliance in light of evolving jurisprudence and legislative updates.

11. Special Premiere Screening of WELL DONE CA SAHAB!! Held on Friday, 27^th June 2025 @ Cinepolis, Fun Republic, Andheri West.

The HRD Committee of Bombay Chartered Accountants’ Society (BCAS) successfully hosted an exclusive paid preview of the film Well Done CA Sahab! on 27^th June 2025 – the day of its national release. The event was held in Mumbai and witnessed an overwhelming participation of around 250 members, including Chartered Accountants, students, and their families.

Well done CA saheb

Well Done CA Sahab! is a unique cinematic initiative created by seven Chartered Accountants from Ahmedabad and has been selected as an official entry to the Dadasaheb Phalke Film Festival. The film beautifully captures the journey, challenges, and resilience of the CA profession.

Attendees were treated to a special interactive session with the star cast and makers of the film after the screening. The event provided not just entertainment but also inspiration and pride in the profession, especially for young members and students who could see their aspirations reflected on screen.
The committee received extremely positive feedback, with many appreciating the blend of learning, motivation, and cultural engagement the event offered. The initiative was a creative step toward community building and celebrating the CA identity beyond professional boundaries.

II. BCAS IN NEWS & MEDIA

BCAS has been featured in several news and media platforms, showing our active involvement, professional contributions, and commitment to the field. This reflects the growing recognition of BCAS in the public and professional space.

Link: https://bcasonline.org/bcas-in-news/

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BCAJ Admin

Regulatory Referencer

DIRECT TAX: SPOTLIGHT

1. Partial Modification of Circular No. 3 of 2023 dated 28.03.2023 regarding consequences of PAN becoming inoperative as per Rule 114AAA of the Income-tax Rules, 1962 – Circular No. 9/2025 dated 21 July 2025.

CBDT vide Circular No. 03 of 2023 had specified that the consequences of PAN becoming inoperative as per Rule 114AAA of the Income-tax Rules, 1962 shall take effect from 1^st July, 2023 and continue till the PAN becomes operative.

To address the grievances faced by deductor/collector of tax, CBDT has specified that there shall be no liability on the deductor/collector to deduct/collect the tax under section 206AA/206CC of the Act, in the following cases:

i. Where the amount is paid or credited from 1.04.2024 to 31.07.2025 and the PAN is made operative (as a result of linkage with Aadhaar) on or before 30.09.2025.

ii. Where the amount is paid or credited on or after 1.8.2025 and the PAN is made operative (as a result of linkage with Aadhaar) within two months from the end of the month in which the amount is paid or credited.

2. Relaxation of time limit for processing of returns of income filed electronically which were incorrectly invalidated by CPC – Circular No. 10/2025 dated 28 July 2025

CBDT provided that returns of income filed electronically upto 31.03.2024 which have been erroneously invalidated by CPC shall now be processed. The intimation under sub-section (1) of section 143 of the Act in respect of processing of such returns shall be sent to the assessees concerned by 31.03.2026.

FEMA

1. RBI allows AD banks to open ‘Special Rupee Vostro Accounts’ without prior approval for cross-border trade settlements

RBI had put in place an additional arrangement for invoicing, payment and settlement of exports/imports in INR. However, under this arrangement, AD banks had to take prior approval of RBI to open Special Rupee Vostro Accounts (SRVAs) of correspondent banks. In a welcome move, AD banks can now open SRVAs without seeking prior approval from RBI. This would quicken the process for opening SRVAs.

[A.P. (DIR Series 2025-26) Circular No. 8, dated 5^th August 2025]

2. RBI issues Draft regulations of Forex Guarantees for feedback

RBI has issued Draft FEM (Guarantees) Regulations, 2025. These regulations, once notified, will supersede Notification No. FEMA 8/2000-RB dated 3^rd May 2000. This will impact all Indian residents involved in foreign exchange guarantees. Following are the underlying motivation for the proposed regulations:

a. The regulations are now principle-based. In general guarantees involving cross border transactions will be under automatic route, provided that the underlying transaction, and the transactions resulting from invocation of guarantee, are not in contravention of FEMA, 1999;

b. The universe of guarantees enabled under automatic route is being expanded, and therefore comprehensive reporting of all guarantees, issued and invoked, is proposed to be introduced.

Comments/feedback on the draft regulations may be submitted through the RBI website link under the ‘Connect 2 Regulate’ Section available on the RBI’s website i.e. https://www.rbi.org.in/scripts/Bs_Connect2Regulate.aspx or may be forwarded via email i.e. guaranteefeedback@rbi.org.in by September 4, 2025, with the subject line “Feedback on draft guarantee regulations under FEMA, 1999”.

[Press Release: 2025-2026/916, dated 14^th August 2025]

BCAJ Admin

Miscellanea

1. SPORTS

#Training for Life: Perseverance Strength and Conditioning Utilizes Fitness to Shape Stronger Futures

When people hear the word “fitness,” most think of visible muscles, faster sprints, or heavier lifts. However, true fitness is preparation for life itself. Strength isn’t just about the body. It also encompasses mindset, identity, discipline, and resilience. At Perseverance Strength and Conditioning (PSC), a performance-based coaching company with the ability to conduct programs across the US, fitness is redefined. PSC sees it as a means of developing life skills, self-awareness, and character. The company helps individuals, especially the youth, learn how to persevere through discomfort so they can thrive in every dimension of their lives.

PSC’s model is a response to a growing and concerning trend in public health, which has been building in schools, households, and communities across the country. The world is becoming more sedentary and overstimulated. Children and teens aren’t moving enough, and the consequences are unfolding in real time.

According to the US Physical Activity Guidelines for Americans, those ages six to 17 must get at least 60 minutes of physical activity per day. Yet most aren’t even close. Only 20% to 28% meet this requirement. What’s the outcome? “The problem isn’t just preventing obesity or managing weight,” says PSC founder Pablo Ambrosio. “The lack of movement can impact mental health, emotional regulation, academic performance, and long-term health outcomes.”

These gaps are compounded by another issue. The 2014 School Health Policies and Practices Study revealed that only around 3-4% of elementary, middle, and high schools require daily physical education. PSC aims to help address these problems.

The company’s mission revolves around the belief that physical fitness isn’t only about performance but also preparation. PSC recognises that schools are struggling to offer meaningful physical education while simultaneously watching athletic participation rise. Instead of asking schools to take on more, PSC embeds its coaches and curriculum directly into school communities.

It partners primarily with boarding schools and educational institutions, offering a full-time presence that blends physical training, mindset development, and sustainable nutrition education into the daily lives of students. By partnering directly with schools, PSC offers certified strength coaches who serve as on-campus guides, working with students, faculty, parents, and broader school communities.

These coaches become mentors, educators, and role models. They design programs tailored to each individual’s biomechanics through personalized movement assessments, and they use nutrition education to replace fad diets with practical, long-term approaches to health.

It’s worth noting that this model is financially sustainable. Schools can avoid the high cost and liability of hiring their own strength staff. At the same time, they can gain access to a turnkey performance solution grounded in research, character development, and real-world outcomes.

PSC further stands out for reframing fitness as a “low-stakes laboratory” for high-stakes life lessons. Students are taught to see failure not as a threat, but as a teacher. The company operates on a guiding mantra: “Win or learn.” Whether a missed rep, a bad day, or a tough conversation, PSC helps young people practice discomfort in a way that builds true resilience.

That ability to stay grounded in difficult moments is cultivated through PSC’s “Axiom Framework.” Stemming from the mathematical idea of an undeniable truth, this model guides students through a structured introspective process to develop their own “I am” statements. These are declarations of identity that reflect who they are and who they aspire to be. These axioms, such as “I am resilient” or “I am powerful,” become mental anchors during times of challenge. They’re tested in the gym and then carried into the classroom, into relationships, and into everyday life.

“Our goal isn’t to produce athletes who only work hard when coaches are watching,” says Ambrosio. “We want to support individuals who are intrinsically driven and self-aware. We want them anchored in a sense of identity that has been tested and proven through struggle.”

Amid a national crisis in youth health, Perseverance Strength and Conditioning is reimagining what strength education can be. It demonstrates that when
young people are equipped with the tools to handle physical, mental, and emotional challenges, they not only become better athletes. They’re growing into better individuals.

(Source: International Business Times – By Callum Turner – 16 July 2025)

2. WORLD NEWS – CULTURE

#Sarajevo Street Art Marks Out Brighter Future

Bullet holes still pockmark many Sarajevo buildings; others threaten collapse under disrepair, but street artists in the Bosnian capital are using their work to reshape a city steeped in history.

A half-pipe of technicolour snakes its way through the verdant Mount Trebevic, once an Olympic bobsled route — now layered in ever-changing art.

“It’s a really good place for artists to come here to paint, because you can paint here freely,” Kerim Musanovic told AFP, spraycan in hand as he repaired his work on the former site of the 1984
Sarajevo Games.

Retouching his mural of a dragon, his painting’s gallery is this street art hotspot between the pines.

Like most of his work, he paints the fantastic, as far removed from the divisive political slogans that stain walls elsewhere in the Balkan nation.

“I want to be like a positive view. When you see my murals or my artworks, I don’t want people to think too much about it.

“It’s for everyone.”

During the Bosnian war, 1992-1995, Sarajevo endured the longest siege in modern conflict, as Bosnian Serb forces encircled and bombarded the city for 44 months.

Attacks on the city left over 11,500 people dead, injured 50,000 and forced tens of thousands to flee.

But in the wake of a difficult peace, that divided the country into two autonomous entities, Bosnia’s economy continues to struggle leaving the physical scars of war still evident around the city almost three decades on.

“After the war, segregation, politics, and nationalism were very strong, but graffiti and hip-hop broke down all those walls and built new bridges between generations,” local muralist Adnan Hamidovic, also known as rapper Frenkie, said.

Frenkie vividly remembers being caught by police early in his career, while tagging trains bound for Croatia in the northwest Bosnian town of Tuzla.

The 43-year-old said the situation was still tense then, with police suspecting he was doing “something political”.

For the young artist, only one thing mattered: “Making the city your own”.

Graffiti was a part of Sarajevo life even during the war, from signs warning of sniper fire to a bulletproof barrier emblazoned with the words “Pink Floyd” — a nod to the band’s 1979 album The Wall.

Sarajevo Roses — fatal mortar impact craters filled with red resin — remain on pavements and roads around the city as a memorial to those killed in the strikes.

When he was young, Frenkie said the thrill of illegally painting gripped him, but it soon became “a form of therapy” combined with a desire to do something significant in a country still recovering from war.

“Sarajevo, after the war, you can imagine, it was a very, very dark place,” he said at Manifesto gallery where he exhibited earlier this year.

“Graffiti brought life into the city and also colour.”

Sarajevo’s annual Fasada festival, first launched in 2021, has helped promote the city’s muralists while also repairing buildings, according to artist and founder Benjamin Cengic.

“We look for overlooked neighbourhoods, rundown facades,” Cengic said.

His team fixes the buildings that will also act as the festival’s canvas, sometimes installing insulation and preserving badly damaged homes in the area.

The aim is to “really work on creating bonds between local people, between artists”.

(Source: International Business Times – By Anne Sophie LABADIE, Rusmir SMAJILHOZDIC – 28 July 2025)

3. WORLD NEWS

# With Poetry and Chants, Omanis Strive to Preserve Ancient Language

Against the backdrop of southern Oman’s lush mountains, men in traditional attire chant ancient poems in an ancient language, fighting to keep alive a spoken tradition used by just two percent of the population.

Sitting under a tent, poet Khalid Ahmed al-Kathiri recites the verses, while men clad in robes and headdresses echo back his words in the vast expanse.

“Jibbali poetry is a means for us to preserve the language and teach it to the new generation,” Kathiri, 41, told AFP.

The overwhelming majority of Omanis speak Arabic, but in the mountainous coastal region of Dhofar bordering Yemen, people speak Jibbali, also known as Shehri.

Researcher Ali Almashani described it as an “endangered language” spoken by no more than 120,000 people in a country of over five million.

While AFP was interviewing the poet, a heated debate broke out among the men over whether the language should be called Jibbali — meaning “of the mountains” — or Shehri, and whether it was an Arabic dialect.

Almashani said it was a fully-fledged language with its own syntax and grammar, historically used for composing poetry and proverbs and recounting legends.

The language predates Arabic, and has origins in Semitic south Arabian languages, he said.

He combined both names in his research to find a middle ground.

“It’s a very old language, deeply rooted in history,” Almashani said, adding that it was “protected by the isolation of Dhofar”.

“The mountains protected it from the west, the Empty Quarter from the north, and the Indian Ocean from the south. This isolation built an ancient barrier around it,” he said.

But remoteness is no guarantee for survival.

Other languages originating from Dhofar like Bathari are nearly extinct, “spoken only by three or four people,” he said.

Some fear Jibbali could meet the same fate.

Thirty-five-year-old Saeed Shamas, a social media advocate for Dhofari heritage, said it was vital for him to raise his children in a Jibbali-speaking environment to help keep the language alive.

Children in Dhofar grow up speaking the mother-tongue of their ancestors, singing along to folk songs and memorising ancient poems.

“If everyone around you speaks Jibbali, from your father, to your grandfather, and mother, then this is the dialect or language you will speak,” he said.

The ancient recited poetry and chants also preserve archaic vocabulary no longer in use, Shamas told AFP.

Arabic is taught at school and understood by most, but the majority of parents speak their native language with their children, he said.

After the poetry recital, a group of young children nearby told AFP they “prefer speaking Jibbali over Arabic”.

But for Almashani, the spectre of extinction still looms over a language that is not taught in school or properly documented yet.

There have been recent efforts towards studying Jibbali, with Oman’s Vision 2040 economic plan prioritising heritage preservation.

Almashani and a team of people looking to preserve their language are hoping for support from Dhofar University for their work on a dictionary with about 125,000 words translated into Arabic and English.

The project will also include a digital version with a pronunciation feature for unique sounds that can be difficult to convey in writing.

(Source: International Business Times – By Maha Loubaris – 10 August 2025)

BCAJ Admin

Cobra Effect

‘Cobra Effect’ is an interesting observation in the field of advertising and marketing. It is based on the unpredictability of human mind or psychology. A particular thing is conceived or done with a particular good intention. However, its effect is exactly the opposite! That leads to amusing situations.

During Britishers’ time, once in Delhi, there was lot of nuisance and terror created by snakes that had grown in multiple numbers! On roads and everywhere, snakes were moving freely. Just as we have street dogs, rats, etc.

Britishers announced a reward for the person who would kill a snake and bring its body to the Government office. Initially, its good effect was felt. However, later, it was observed that the number of snakes was increasing!

On investigation, the ingenuity of fertile Indian brain came to the light! Few people started breeding snakes at their home! They used to kill them and claim reward.

This phenomenon came to be known as ‘Cobra Effect’. There are many such instances in the history of this ‘Cobra Effect’. It arises because the pious thinkers / planners often fail to anticipate the opposite consequences.

In 2008, Tatas introduced Nano car to make it affordable to a common (less resourceful man). Its intention was also to provide safety to the persons using two wheelers. Intentions were pious and laudable. However, the rich or elite thought that it was below their dignity and the less resourceful – common man – did not want to reveal his financial limitations!

A pharmaceutical company had brought a very effective medicine in the market on a particular disease. It was selling very well. However, Government made it compulsory also to declare the negative side effects, if any. This particular medicine had very mild, not so harmful side effects. However, unfortunately it had a very negative effect on the users and the sale dwindled significantly (Actually, that negative effect was observed in a very few people. Still, the consequence of this declaration was very negative!)

When Government, with reality laudable intentions, sometime waives the loans/liabilities of a particular class of people – often farmers. But the effect is the people who have honestly serviced or repaid the loan earlier, feel aggrieved and then they borrow with a clear intention not to repay at all!

Same thing happens in respect of Amnesty Scheme announced by the Government. The tax practitioners have experienced similar example in respect of acquisition or pre-emptive purchase of land. The relevant provisions were introduced in the Income Tax Act with view to curbing the on-money transactions in the transfers of immovable property.

However, it led to two disastrous consequences – one, the high level of corruption and two – many people transferred their barren and not so valuable land at an artificially inflated price to a known person. Then they used to have a setting with the concerned officers/valuers and ‘made them’ acquire the land. The funny part was that the Government was offering 15% premium on the declared price!

In psychology, the anticipation of such unintended consequences is called ‘Second Order Thinking’. The moral is that one should not only focus on the problem but also think all the pros and cons of the remedies!

Note

(This article is based on an article published in a Marathi daily).

BCAJ Admin

ICAI and Its Members

I. ICAI TAX AUDIT NOTIFICATION

ICAI Notification under Section 15(2)(fa) of the Chartered Accountants Act, 1949 – Tax Audit Limit Guidelines, 2025

Notification: F. No. 1-CA(7)/234/2025 dated 25.07.2025

Effective Date: 1st April, 2026

Key Provisions

Title: Chartered Accountants (Limit on Number of Tax Audits) Guidelines, 2025.
Applicability: Effective from 1st April 2026.
Tax Audit Limit:

Individual Chartered Accountant / Proprietary firm: Maximum 60 tax audit assignments per financial year, whether corporate or non-corporate.
CA Firm: Maximum 60 tax audit assignments per partner per financial year.
Multiple Firm Membership: Where a partner is also a partner in any other CA firm(s), the aggregate ceiling of 60 audits applies across all firms.
Individual Capacity: Where a partner of a CA firm also accepts tax audits in his individual capacity, the aggregate ceiling of 60 audits applies across firm and individual capacity combined.
Branch/HO audits: Audit of head office and its branches to be counted as one assignment.
Revised audit reports: Not to be counted separately.
Assignments under Sections 44AE, 44ADA, and 44AD (clauses (c), (d), (e) of Sec 44AB): Not to be counted towards the limit.
Part-time partners: Not to be considered in calculating firm’s tax audit limit.

4. Record Maintenance: Every CA must maintain records of tax audit assignments accepted and signed in the prescribed format.

5. Supersession of Earlier Guidelines: These guidelines override earlier ones, including Chapter VI of Council General Guidelines, 2008, which remain valid only till 31st March, 2026

II. ICAI PUBLICATION

1. Guidance Note on Tax Audit under section 44AB of the Income-tax Act, 1961 (Revised 2025)

Considering the recent revisions to Form No. 3CD and the amendments introduced by the Finance (No. 2) Act, 2024 and the Finance Act, 2025 to the Income-tax Act, 1961,the Direct Tax Committee of the Institute of Chartered Accountants of India has released the Revised (2025) Edition of the Guidance Note on Tax Audit under Section 44AB of the Income-tax Act, 1961. This updated edition is released keeping pace with ongoing legislative developments, judicial interpretations, and evolving professional practices. It serves as a comprehensive, practical resource designed to support members in fulfilling their tax audit responsibilities with accuracy, diligence, and confidence

Link: https://resource.cdn.icai.org/87317dtc-aps1808gn-tax-audit2025.pdf

2. Checklist for Preparation of ITR Forms (ITR-1 & ITR-4)

In pursuit of objective of to strengthen the knowledge base of members and offer practical insights into the evolving tax landscape and to support our members in guiding taxpayers through their return filing obligations, the Direct Taxes Committee has introduced a Checklist for Preparation of Income-tax Returns – ITR 1 to ITR 4. This checklist will be released as a series, aimed at equipping members with practical tools and insights to ensure accurate and timely compliance.

Link: https://resource.cdn.icai.org/87550dtc-aps1990.pdf

3. Frequently Asked Questions (FAQs) on Management Representation Letter

The publication contains FAQs on management representation letter and responses to these FAQs. For the benefit of the members, the publication also contains four Appendices which include illustrative templates on Representation Letter, Format for Updating Management Representation Letter, Format for Additional Considerations, and SA 580 Compliance Checklist. “Appendix I: Illustrative Representation Letter” includes a comprehensive format of management representation letter. The publication will enable auditors to comply with requirements of SA 580, “Written Representations” and to obtain the necessary management representations effectively.

Link: https://resource.cdn.icai.org/87555aasb-aps2002-publication.pdf

4. Technical Guide on Accounting for Expenditure on Corporate Social Responsibility Activities (Revised July 2025 Edition)

The revised edition of the Technical Guide on Accounting for Expenditure on Corporate Social Responsibility Activities has been brought out in view of the evolving regulatory landscape and emerging practical considerations in CSR accounting. It aims to provide continued clarity, relevance, and guidance to professionals in navigating the accounting and reporting aspects of CSR with confidence and consistency.

Link: https://resource.cdn.icai.org/87104clcgc-aps1579.pdf

III. EXPERT ADVISORY COMMITTEE OPINION

Treatment and Presentation of Perpetual Loan under Ind AS framework

Facts of the Case

A Government of India (GoI) undertaking under the Ministry of Defence, fully owned by GoI, engaged in construction/repair of ships and submarines.
In FY 2010–11, GoI sanctioned a financial restructuring package of ₹ 824.90 crores.

– ₹ 452.68 crores as grant-in-aid for clearing liabilities.

– ₹ 372.22 crores (loan + interest + guarantee fee) converted into a perpetual loan with zero interest.

Until FY 2023–24 (IGAAP), the Company classified the perpetual loan under Long-term Borrowings.
From FY 2024–25, the Company adopted Ind AS and sought guidance on its classification.

Query

What is the treatment of perpetual loans under Ind AS?
Can the perpetual loan be classified as Equity under Ind AS? If yes, what are the recognition, classification, and presentation requirements?

Points Considered by the Committee

The perpetual loan has no repayment or interest obligation and thus does not meet the definition of “financial liability” under Ind AS 32.
It also does not involve settlement through equity instruments; hence it represents a residual interest in the entity’s net assets.
As per Ind AS 32 and the Guidance Note on Division II – Ind AS Schedule III, instruments evidencing residual interest should be classified as “Instruments entirely equity in nature.”
Presentation requirements under Ind AS 1:

» Shown separately in Balance Sheet under Equity (after Equity Share Capital, before Other Equity).

» Separate reconciliation required in the Statement of Changes in Equity.

EAC’s Opinion

The perpetual loan of ₹372.22 crores should be considered as having the nature of Equity and classified as “Instruments entirely equity in nature.”
The Company should comply with the disclosure and presentation requirements of Ind AS 1 and Schedule III Guidance Note.

ICAI Journal August 2025 Pages 130-136

Link: https://resource.cdn.icai.org/87366cajournal-aug2025-36.pdf

IV. ICAI DISCIPLINARY COMMITTEE ORDERS

1. Case: Serious Fraud Investigation Office, Ministry of Corporate Affairs, Govt. of India vs. CA SS – PR/G/139/2020-DD/133/2020/DC/1827/2023

Date of Order: 4.08.2025

Particulars	Details
Complainant	Serious Fraud Investigation Office (SFIO), MCA
Background	SFIO investigation into M/s DSKDL revealed diversion of public deposits and bank borrowings via V S P Pvt. Ltd. and V P D PVT. Ltd. (V Group Co.) These entities were used as conduits to route > r 115 crore to Mrs. H under the guise of advances for material purchase.
Role of	Statutory Auditor of the DSKDL & V
Respondent	Group Co (FY 2011-12 to 2015-16).
Key Allegations	– Collusion with DSKDL KMPs in siphoning funds. – Failure to disclose related party transactions (AS 18). – Reporting advances as genuine despite sham transactions. – Gross negligence and lack of independent verification.
Findings	– V Group Cos were mere shells; no staff, no business, only fund transfers. – Respondent CA admitted before SFIO that no material was supplied and companies were conduits. – Failure to disclose material facts and misstatements materially affected true & fair view. – Respondent acted “hand in glove” with management.
Charges	Guilty of Professional Misconduct under:
Established	– Part I of Second Schedule: Clauses (5), (6), (7), (8). – Part IV of First Schedule: Clause (2).
Punishment	Removal of name from ICAI Register of Members for 2 months. – Fine of ₹ 50,000 (payable within 60 days).

2. Case: Income Tax Department vs. CA. A.M. – PR/173/16-DD/250/16/DC/764/2018

Date of Order: 24.07.2025

Particulars	Details
Complainant	Income Tax Department
Background	During search proceedings in the case of M/s. PACL Ltd., the Income Tax Department found that the Respondent had issued backdated audit reports and certificates to facilitate PACL’s false claims of compliance before SEBI.
Role of	Issued statutory certificates under
Respondent	Section 227 of the Companies Act, 1956 for PACL.
Key Allegations	– Issuance of false and misleading audit certificates, despite lack of supporting. – Helping PACL misrepresent its financial position to regulators. – Gross negligence and lack of professional independence.
Findings	– Certificates were knowingly issued without verifying underlying records. – Respondent’s conduct amounted to collusion with PACL’s management. – Serious breach of duty of independence and diligence.
Charges	Guilty of Professional Misconduct under:
Established	– Part I of Second Schedule: Clauses (5), (6), (7), (8). – Part IV of First Schedule: Clause (2).
Punishment	– Removal of name from ICAI Register of Members for 2 years. – Fine of ₹50,000 payable within 60 days.

3. Case: Income Tax Department vs. CA. S.G. – PR/35/2015-DD/48/2015/DC/993/2019

Date of Order: 5.08.2025

Particulars	Details
Complainant	Income Tax Department
Background	Search and seizure operations against B. R Group revealed that the Respondent, while acting as statutory auditor of group entities, failed to verify actual receipt of share application money and investments. Bogus share capital and premium entries were accepted without proper scrutiny.
Role of Respondent	Issued clean audit reports for companies which had routed unaccounted money as share capital / share premium.
Key Allegations	– Failure to independently verify share application money. – Acceptance of management’s explanation without corroboration. – Gross negligence in reporting true and fair view.
Findings	– Auditor did not perform necessary audit checks on large share capital and premium amounts. – Accepted sham transactions at face value. – Serious dereliction of duty and lack of skepticism.
Charges	Guilty of Professional Misconduct under:
Established	– Part I of Second Schedule: Clauses (5), (6), (7), (8). – Part IV of First Schedule: Clause (2).
Punishment	Removal of name from ICAI Register of Members for 1 year. Fine of r 50,000 payable within 60 days.

BCAJ Admin

Statistically Speaking

BCAJ Admin

Learning Events At BCAS

1. 77th Founding Day Conclave:

– Lecture Meeting by Shri Tuhin Kanta Pandey, Chairperson SEBI on “Corporate Governance, in letter and spirit – role and responsibilities of professionals” and

– Fireside chat with Shri Nithin Kamath, Founder & CEO at Zerodha on “Navigating Tomorrow: How CAs can lead Financial Innovation and Sustainability” held on 5th July, 2025 at Garware Club, Churchgate.

The 77th Founding Day of the Society was marked by a significant, one of its kind conclave, featuring a talk by, SEBI Chairperson – Shri Tuhin Kanta Pandey, and a Fireside chat with Shri Nithin Kamath.

Lecture Meeting

This session featured a lecture by Shri. Tuhin Kanta Pandey, Chairperson of SEBI, on the critical role of corporate governance and the responsibilities of professionals, particularly Chartered Accountants.

Key takeaways:

1. SEBI’s Mandate and CA’s Dual Role: SEBI has a dual responsibility of developing and regulating the securities market. Chartered Accountants also play a dual role, acting as both business enablers (CFOs, Consultants) and a “first line of defense” (Auditors, Independent Directors).

2. Uncompromising Ethics and Values: He stressed that ethics and a strong value system are of uncompromising importance for CAs’, regardless of their specific role. He reinforced Azim Premji’s saying: “for a professional, grey is black,” meaning that ambiguous situations should be treated with the same clarity as wrong actions to ensure strong corporate governance.

3. Corporate Governance as an Imperative: Corporate governance is not optional but an “imperative” that builds trust with stakeholders and ensures investor confidence, board independence, and effective oversight.

4. Chartered Accountants as Financial Custodians: Chartered Accountants are deemed “financial custodians of corporate India” and “stewards of trust”. Their role extends beyond financial reporting to ensuring accuracy, integrity, robust internal controls, transparency in related party transactions, and ethical conduct. They serve as a bridge between management, auditors, and regulators, upholding fairness and accountability. A crucial point he made is that CAs must ensure corporate governance is “not reduced to a checklist”.

5. Evolution of Governance Framework: India’s corporate governance framework has continuously evolved, with significant milestones including Clause 49 (2000), the Company’s Act 2013, and SEBI LODR Regulations 2015. SEBI adopts a hybrid approach, combining rule-based and principle-based elements, to encourage going beyond mere compliance and embracing the spirit of good governance.

6. Transparency and Information Symmetry: SEBI mandates a robust disclosure framework, including periodic financial and governance reports and event-based disclosures, to ensure timely and reliable information for all stakeholders and prevent information asymmetry.

7. Enforcement and Regulatory Reforms: SEBI undertakes stringent enforcement actions against misconduct, including debarring entities, imposing penalties, and directing the return of siphoned funds. Recent reforms include quantitative thresholds for materiality of events and mandating shareholder approval every five years for special rights or director continuation, aiming to enhance transparency and accountability.

8. Ease of Doing Business Initiatives: SEBI has introduced measures such as a single filing system, simplified RPT standards, flexibility in Business Responsibility and Sustainability Reporting (BRSR), extended disclosure windows for board meeting outcomes, and the option to not publish detailed financial results in newspapers. These measures aim to simplify compliance, enhance transparency, and encourage technology adoption, while also being mindful of the burden of excessive compliance.

9. Collaborative Ecosystem: The strength of capital markets lies in “partnership and shared purpose” among all participants. Teamwork, technology, transparency, professional ethics, trust, and a shared vision are key pillars for progress.

10. Investor Service and Digitisation: Indian capital markets are considered among the most advanced globally, with a significant increase in unique investors (from under 50 million in 2019 to 130 million, targeting 400 million). He praised tech startups like Zerodha for their role in reaching investors across the country.

11. Investor Protection Initiatives: SEBI is working on initiatives like “@VALID” (a UPI subsystem for authorised bank accounts) and a SEBI Check app to prevent fraud. They also plan massive campaigns on cyber fraud and responsible investing, and advocate for differentiated regulation based on investor risk appetite.

12. BRSR Reporting Assurance: He emphasised the need for trustworthy standards and credible third-party assessments as the reporting moves from self-certification.

13. Debt Capital Markets: While equity markets have developed significantly, he noted the substantial growth in the corporate bond market. He highlighted the unique EBP platform for electronic bidding in corporate bonds and initiatives to improve retail access through online bond platforms and brokers. Challenges remain in secondary market liquidity and investor understanding of bonds as “yield to maturity” products. Investor awareness initiatives, such as NISM webinars, are underway.

14. Final Message: Corporate governance should be implemented “not only in letter but also in spirit” to achieve its true objective and purpose.

Fireside Chat

The Fireside Chat featured Shri Nithin Kamath, Founder & CEO at Zerodha interviewed by CA Vaibhav Manek. The discussion focused on Zerodha’s journey, financial innovation, and investor trends, with insights into how Chartered Accountants (CAs) can lead in these areas.

Key takeaways from Shri Nithin Kamath:

1. Zerodha’s Inception and Growth: Nithin Kamath started trading in the late 1990s, experienced significant losses in 2001, worked in a call centre, and later became a sub-broker and Reliance Money franchisee before starting Zerodha in 2009. He highlighted that the genesis of Zerodha was transparency, which allowed customers to know all upfront charges, a previously unheard-of practice.

2. Unforeseen Scale and Organic Growth: Kamath never envisioned Zerodha reaching its current scale of 17 million customers, with his initial best-case scenario being 100,000 customers. He emphasised that Zerodha achieved this scale without spending on advertising, proving that building a good product with the customer at its centre naturally attracts users.

3. Emphasis on Market Cycles and Grounding: He attributes much of Zerodha’s success to being in the “right place, right time” during India’s growth period, highlighting the importance of the market cycle over just business skills for an entrepreneur. He also noted that wealth has not materially changed his lifestyle, helping him stay grounded.

4. Future Opportunities in Broking: Kamath believes it would be difficult to build another Zerodha today due to the unique timing of its growth (e.g., online onboarding coinciding with events like COVID-19). He sees the main opportunity in India as building an advisory-first broker, as many new investors lack guidance on what to do.

5. Transformational Shift in Investor Trends: He predicts that India, being a generation behind the US, will see investors mature over time. With the rise of AI tools like Chat GPT, he foresees a major transformational shift where brokers might become mere “pipes” to exchanges, and customers will build custom apps for trading.

6. Role of Chartered Accountants: Kamath greatly values the role of CAs, citing Zerodha’s CAs (Bharat and Om) as instrumental in building the business without “legacy debt” by ensuring transparency and ethical operations. He believes CAs can nudge business owners towards holistic decisions, especially regarding sustainability and ESG, beyond just “checkbox” compliance.

7. Investment Perspective: He sees accounting firms as “investable” due to their steady and sustainable revenue and high customer retention. When evaluating investment opportunities, he primarily looks for founders with core competency and experience in the industry, rather than just an idea. He also prioritises investing in contrarian market cycles like health and climate.

8. Leadership and Growth Philosophy: Kamath defines his leadership by prioritising the long-term over the short-term, such as analysing business numbers over a three-year moving average rather than quarterly. He believes this gives Zerodha an advantage over competitors forced to focus on short-term results.

9. Mistakes for Start-up Founders: He advises founders to avoid overselling to investors, as it creates false expectations for the team. He advocates for effective team building by treating employees as more than just “resources,” implementing policies like no work chats after 6 pm and encouraging hobby projects. He stresses that people motivated solely by money tend to leave for money. He also criticises the “excessive consumerism” of constant growth targets, suggesting that true happiness comes from chasing metrics beyond mere revenue.

Visit the below link or scan the QR Code with your phone scanner app:

YouTube Link:

https://www.youtube.com/watch?v=AIK12-f19nw&t

https://www.youtube.com/watch?v=ff5-CAnK4TM

2. One Day Seminar on “Ind AS 117 – Insurance Contracts – A Curtain Raiser” held on Friday, 4th July 2025 @IMC.

The landscape of insurance accounting is undergoing a paradigm shift in India with the introduction of Ind AS 117 – Insurance Contracts, aligning more closely with the international standard IFRS 17.

As India moves toward adopting this landmark standard, it is essential for all professionals in the insurance sector, auditors of insurance companies, actuaries and all those associated with the insurance industry, to gain a solid understanding of its principles, implementation issues, and practical implications.

In this direction (to act as curtain raiser), Accounting & Auditing Committee of BCAS organised one day seminar on the said topic in hybrid mode (physical as well as online) at Babubhai Chinai Hall, 2nd Floor, IMC Building, Churchgate, Mumbai.

This seminar was designed to introduce and equip professionals with a basic understanding of Ind AS 117 and help them navigate its complexities with confidence.

The Seminar was inaugurated with the opening remarks from the Vice-President of BCAS, CA Zubin Billimoria, followed by the Chairman of the Accounting and Auditing Committee –CA. Abhay Mehta, both of them underlining the importance of knowledge sharing and role of the BCAS in conducting such programs for the benefit of members and the profession at large.

The seminar commenced with an Inaugural Address by CA. M P Vijay Kumar setting the tone for the following sessions, narrating the journey and emphasizing the importance of readiness and adaptation to the new standard.

This was followed by an insightful session on “Introduction to Ind AS 117 and Transitional Issues“, which provided a foundational overview along with transition challenges, strategies and practical insights by CA Ashutosh Pednekar.

Thereafter, specialised sessions on the “Accounting Impact on Life Insurance Sector” and “General Insurance Sector” were taken by Mr. Dinesh Pant and CA Samir Shah, respectively, offering deep technical perspectives on how Ind AS 117 reshapes financial reporting in these domains.

The session on the “Impact of Ind AS 117 on Other Ind AS Standards”, by Mr. Jitendra Jain, highlighted convergence and divergence areas, especially with Ind AS 109 and Ind AS 115.

The Seminar concluded with a critical session by Mr. Rajesh Dalmia on the “Interplay of Actuarial Aspects vis-à-vis Ind AS 117“, focusing on the alignment between actuarial valuations and accounting treatment, bringing together finance and actuarial domains.

The seminar proved to be a highly informative platform for professionals navigating the implementation challenges of Ind AS 117.

The Seminar provided an excellent opportunity to gain valuable knowledge and practical insights on the topics covered. The Seminar attended by 45 participants (including 36 virtual participants) was well received, and the overall feedback from the participants was very encouraging.

3. Finance Corporate & Allied Law Study Circle – Overview of Due diligence with focus on Financial due diligence held on Monday, 23rd June 2025 @ Virtual

The session focused on the structure, scope, and strategic importance of due diligence in modern transactions, particularly financial due diligence (FDD). 55 participants attended the session.
CA Sahil Parikh outlined the phases of a typical DD assignment, from planning to reporting and finalisation.
Key distinctions between audit and due diligence were discussed, with real-life case examples highlighting revenue overstatement, related party risks, and valuation adjustments.
The speaker shared insights from engagements involving private equity, IPOs, and distressed assets, demonstrating how DD findings impact deal structure and pricing.
Buyer vs Seller perspectives were explained, along with red flag negotiation strategies.
The session covered FDD checklists, normalisation of EBITDA, tax and legal DD overlaps, and the role of secretarial compliance.
Emerging trends such as AI-based review tools, digital data rooms were also touched upon.
The talk concluded with a strong emphasis on ethical rigour, independence, and value creation through diligent and balanced reporting.
The session was well received and drew appreciation for its practical orientation and structured delivery.

4. Redevelopment 360: From Concept to Completion held on Saturday, 21st June 2025 @ Hybrid

This event was organized by the Finance, Corporate, and Allied Laws Committee on Saturday, 21st June, 2025, at BCAS Hall. Initially planned as an in-person attendance event, the seminar was converted into a hybrid format in response to the overwhelming interest and demand, allowing participants to attend virtually as well.

The details of the Seminar are as follows:

Topic	Session Summary	Faculty
Keynote Address on The Rise and Need of Redevelopment	Shri Romell delivered an insightful keynote address, emphasizing the urgent necessity of redevelopment in a land-constrained city like Mumbai. He articulated the advantages of cluster redevelopment over other models and positioning redevelopment as both a civic necessity and a social responsibility. His address set a compelling tone for the sessions that followed.	Shri Domnic Romell President, Maharashtra Chamber of Housing Industry
Session 1: Understanding Redevelopment Process and Regulatory Framework	This session provided a comprehensive overview of the redevelopment landscape—covering various types of redevelopments, notable DCPR schemes, and their comparative analysis. Mr. Nayan Dedhia also touched on self-redevelopment initiatives.	Mr. Nayan Dedhia Director, Toughcons Nirman Pvt. Ltd
Session 2: Role and Importance of PMC in Redevelopment	CA Aditya Bansal outlined the critical role of Project Management Consultants in ensuring smooth execution at every stage of a redevelopment project. He illustrated how PMC involvement mitigates risks and enhances project efficiency.	CA Aditya Bansal, Associate Director, Knight Frank
Session 3: The Redevelopment Checklist	Dr. Harshul Savla emphasized the importance of having a well-structured redevelopment checklist. He stated that the checklist should, inter alia, comprise the key points of a plot, the due diligence checklist, significant points of redevelopment, buffet of FSIs, importance of ‘Know your Developer’, and certain RERA compliances of a redevelopment project.	Dr. Adv. Harshul Savla *Managing Partner, Suvidha Lifespaces*
Session 4: GST Implications in Redevelopment	CA Raj Khona dealt with GST implications with respect to developer-led redevelopment as well as self-redevelopment of societies. In case of developer-led redevelopment, GST on rehab flats, resale by landowners before OC, various payments to the society and its members, additional area purchased along with liability to pay GST were considered. He also dealt with the GST implications in respect of self-redevelopment funded by the members’ contribution. He presented the possible divergent views.	CA Raj Khona *Founder, Aarkay Advisors*
Session 5: Income Tax and Stamp Duty Implications in Redevelopment	The fireside chat dealt with the income tax implications on various aspects of redevelopment of cooperative societies, including TDS on and from AY 2024-25, such as development rights, availing permanent alternative accommodation with or without additional area, garage, Jodi flats, temporary alternative accommodation compensation, hardship compensation, sinking fund, in in-kind benefits. Stamp duty implications and the potential role of seeking Advance Rulings were also discussed.	CA Pradip Kapasi in fireside chat with CA Jhankhana Thakkar:
Session 6: Legal Drafting in Redevelopment Projects	Adv. Sajit Suvarna and Adv. Mitali Naik dealt with drafting essentials in Development Agreement, Power of Attorney, Intimation of Disapproval. They emphasized careful and diligent drafting of critical clauses relating to granting of development rights, displacement allowance, security, building enough safeguards to have a balanced document.	Adv. Sajit Suvarna *Senior Partner, DSK Legal* Adv. Mitali Naik, Partner, DSK Legal
Panel Discussion on Redevelopment Realities – Successes, Pitfalls & Lessons Learned	This engaging panel brought together perspectives from both society representatives and developers. Panelists shared success stories and critical lessons from their redevelopment journeys. They discussed key factors contributing to success, such as selection of developer, structuring the deal, challenges during execution phase, and surprise – pleasant or otherwise – experienced during the possession of the new residential premises. Each panelist shared their Success Mantras – The Do’s, Don’ts, and Ratnas.	Panelists: • CA Ketan Mehta (Society Office Bearer) • Mr. Ayaz Kazi (Society Office Bearer) • CA Anish Shah Director, Amal Group (Developer) Moderator: CA Chetan Shah Past President – BCAS

The Seminar was appreciated for its concept to completion. Each session offered in-depth insights, with experts sharing valuable experiences. The seminar concluded with participants gaining an overall (360º) understanding of Redevelopment of societies, especially in Mumbai. The Chairman of BCAS – FCAL committee suggested that Monograph/s may be published on the questions raised during the seminar. Out of the total 194 participants, 126 were BCAS members, and the remaining 68 were non-members. Further, 44 participants attended from 21 cities outside the Mumbai Metropolitan Region.

II. OTHER EVENTS AND NEWS

1. BCAS Office Bearers, Chairpersons, Co-Chairpersons & Convenors Meeting held on Saturday, 12th July 2025@ BCAS Hall.

A meeting of the Office Bearers, Chairpersons, Co-Chairpersons, and Convenors of the various BCAS Committees for the year 2025–26 was held on 12th July 2025 at the BCAS Hall.

President CA Zubin Billimoria welcomed all members and shared the vision for the year ahead, aligning the initiatives with the BCAS Five-Year Plan. He presented ten key strategic projects that the Office Bearers have outlined for the year.

Convenors of the respective committees also shared their proposed annual plans and activity schedules for 2025–26. The updated Standard Operating Procedures (SOPs) were discussed, emphasising the roles and responsibilities of Chairpersons and Convenors. Discussions also focused on best practices for event planning, communication, and outreach.

The BCAS Office Manager and Department Heads were introduced to the members, along with an overview of their functions. An open townhall session saw active participation and meaningful suggestions from members, which were duly noted for implementation.

2. Meeting of Newly Inducted Core Group Members (2023–24 to 2025–26) held on Saturday, 12th July 2025 @ BCAS Hall.

The second half of the day saw a dedicated session for newly inducted Core Group members during the last years from 2023–24 to 2025–26. The meeting provided an opportunity for the new members to introduce themselves and engage with the Office Bearers and fellow Core Group members.

President CA Zubin Billimoria elaborated on the key strategic initiatives under the BCAS Five-Year Plan and reiterated the importance of collaborative leadership. The structural framework of BCAS departments was presented, and the Heads of Departments were formally introduced.

The roles, expectations, and responsibilities of Core Group members were discussed in context of the updated SOPs. The interactive townhall that followed allowed members to offer suggestions and share insights, which were warmly received and noted for action by the leadership team.

3. BCAS Academy: A New Era of Digital Learning and Networking @ Mumbai.

Bombay Chartered Accountants’ Society proudly unveiled the BCAS Academy portal, at the 76th Annual General Meeting of the society held on 5th July 2025 at Garware Club House, Mumbai. The BCAS Academy is a robust digital learning and networking hub designed to empower members through knowledge, collaboration, and innovation.

Key Features:

i. Groups – Members can now connect through dedicated groups based on areas of interest or professional focus, enabling peer learning and closer networking within the community.

ii. Forums – The platform hosts interactive forums where users can post queries, share insights, and engage in meaningful discussions on emerging topics and technical issues.

iii. Self-paced e-Learning with BCAS Certificate – A growing library of structured online courses allows members to learn at their own pace and earn BCAS-certified credentials upon completion.

iv. Custom ChatGPT – An AI-powered assistant tailored for the CA profession provides instant guidance, answers, and learning support, enhancing the user’s experience and understanding.

v. BCAS Journal Flip Book Version – Members can now access the Bombay Chartered Accountants Journal in a convenient, interactive flip book format, enhancing readability and portability.

vi. Recorded Videos – Access to a rich repository of recordings from past webinars, lectures, and conferences ensures that knowledge is never missed and always within reach.

vii. Event Registration – The portal offers seamless registration for upcoming BCAS events, making it easier for members to stay updated and involved.

viii. Order Publication Online – Users can conveniently browse and order BCAS publications through the portal, with a streamlined interface for selection and checkout.

The BCAS Academy marks a significant leap forward in the Society’s digital journey, aligning with its mission to foster continuous learning and professional excellence among Chartered Accountants.

The BCAS Academy is now accessible to all members of the Bombay Chartered Accountants’ Society. Access the BCAS Academy: https://academy.bcasonline.org/

4. White Paper: Enhancing the Alternative Investment Fund (AIF) Ecosystem in India@ Mumbai

A White Paper prepared by Bombay Chartered Accountants’ Society (BCAS) jointly with National Institute of Securities Markets (NISM) on “Enhancing the Alternative Investment Fund (AIF) Ecosystem in India” was presented to Shri Tuhin Kanta Pandey, Chairperson, Securities & Exchange Board of India (SEBI) at the 77th Founding Day Conclave held on 5th July 2025 at Garware Club House, Mumbai.

Previously, on the sidelines of the Alternative Investment Fund (AIF) Conclave 2025, which was held on 17th and 18th January, 2025, at Hotel Ginger Mumbai Airport, a Closed-Door Roundtable Discussion was held on the Challenges and Gaps in the AIF Ecosystem.

The discussion was attended by Shri Rajesh Gujjar, Chief General Manager at SEBI, officials from BCAS and NISM, top leadership from 15 AIFs, and legal experts. The session was moderated by Adv. Siddharth Shah. The insights and suggestions provided by the panelists were documented in the form of a White Paper.

The white paper serves as a foundation for policy advocacy and industry transformation, capturing the key recommendations and insights from the discussion held during the roundtable discussion. The recommendations outlined in the paper serve as a strategic roadmap for improving governance, expanding investor access and streamlining compliance in the AIF sector.

The White Paper is now accessible to all BCAS members and is expected to serve as a valuable resource for professionals engaged in investment advisory, fund structuring, tax planning, and regulatory compliance.

Access the White Paper here:

https://bcasonline.org/wp-content/uploads/2025/07/White-Paper-on-Alternative-Investment-Fund.pdf

5. BCAS Foundation Receives Yoga Sangam Patra from the Ministry of Ayush

We are delighted to share that the BCAS Foundation has been awarded the prestigious Yoga Sangam Patra by the Ministry of Ayush, Government of India, in recognition of our active participation in celebrating International Yoga Day on 21.06.2025.

The Yoga Sangam event organized by BCAS Foundation was held at Prestige Hotel, Andheri, in alignment with the national celebrations led by the Hon’ble Prime Minister Shri Narendra Modi from Visakhapatnam. The event brought together members and well-wishers in a shared commitment to promote health, wellness, and inner harmony through the timeless practice of yoga.

We extend our heartfelt thanks to all the enthusiastic participants who contributed to making this initiative a meaningful and memorable one.

This recognition is a proud moment for the BCAS community and a reflection of our ongoing efforts to promote holistic well-being alongside professional excellence.

6. 15,000 & Growing!

The Bombay Chartered Accountants’ Society (BCAS) is proud to share a significant digital milestone — our LinkedIn community has crossed 15,000 followers!

We extend our heartfelt thanks to each member of our growing network for your support, engagement, and trust. Your continued participation strengthens our mission to share credible, relevant, and insightful knowledge with the professional community.

If you haven’t joined us yet, we invite you to become part of an active network of finance professionals, Chartered Accountants, and thought leaders who look to BCAS for:

Expert sessions and event updates
Thought leadership in taxation, audit, technology, and policy
Key regulatory insights and member-driven initiatives
Let’s continue to learn, lead, and grow — together.

Link: https://www.linkedin.com/company/bombay-chartered-accountants-society/?viewAsMember=true

III. BCAS IN NEWS & MEDIA

BCAS was quoted in 48 news and media platforms during July 2025. This coverage reflects our thought leadership and commitment to the profession. For details

Link: https://bcasonline.org/bcas-in-news/

AI Won’t Replace You… But the CA Who Uses It Better Might

The future of finance is here — and those who adapt will lead.

In a thought-provoking episode of the popular podcast Paisa Vaisa, BCAS President Anand Bathiya joins host Anupam Gupta to discuss the transformative role of Artificial Intelligence (AI) in the finance and accounting profession.

From automation and analytics to ethics and upskilling, the discussion sheds light on how AI is reshaping the Chartered Accountant’s role — and why adopting these technologies is no longer optional.

Whether you’re a Chartered Accountant, a finance student, or simply curious about the intersection of money and machines, this episode offers timely insights on how to stay relevant, resilient, and future ready.

Watch the full episode here: https://www.youtube.com/watch?v=l6TbBDLbv1g

BCAJ Admin

Regulatory Referencer

DIRECT TAX: SPOTLIGHT

1. Clarification regarding CBDT’s Circular No. 5/2025 dated 28.03.2025 for waiver on levy of interest under section 201(1A)(ii) / 206C(7) of the Income-tax Act, 1961 – Circular No. 8/2025 dated 1 July 2025

As prescribed in circular No. 5, the CCIT, DGIT or PrCCIT has power to reduce or waive interest charged under section 201(1A)(ii) / 206C(7) of the Act. The following clarifications are issued:

a) CCIT/ DGIT/ Pr.CCIT is empowered to pass order for waiver after the date of issue of Circular No. 5/2025 i.e. 28 March 2025

b) Applications for the waiver of interest can be entertained within one year from the end of the financial year for which the interest is charged.

c) Waiver applications can be entertained for interest under section 201(1A)(ii) / 206C(7) of the Act charged even before the issuance of the said Circular, subject to (b) above.

2. Cost Inflation Index for F.Y. 2025-26 is 376 – Notification No. 70/2025 dated 1 July 2025

FEMA

1. RBI allows advance remittance up to USD 50M for vessel imports without BG or unconditional, irrevocable SBLC

To enhance ease of doing business, it is decided to allow importers to make advance remittance up to USD 50 million. This is for imports of shipping vessel, without Bank guarantee, or an unconditional and irrevocable Letter of credit, subject to conditions in MD-Imports. However, this circular does not provide relaxations for obtaining approvals or permissions.
[A.P. (DIR Series 2025-26) Circular No. 7, dated 13^th June 2025]

2. RBI eases export norms; exempts offshore vessels like tugs, dredgers from export declaration if re-imported into India

Regulation 4 of the Foreign Exchange Management (Export of Goods & Services) Regulations, 2015 is amended. Tugs or Tug boats, Dredgers and Vessels used for providing off-shore support services are now exempt from furnishing export declaration, subject to re-import.

[Notification No. FEMA 23(R)/(6)/2025-RB, dated 24^th June 2025]

IFSCA

1. IFSCA expands permissible uses of FCA funds by resident individuals in IFSC

IFSCA has amended the existing directions concerning the operation of Foreign Currency Accounts (FCAs) held by Resident Indians (RIs) under LRS. As per the amendment, RIs must submit a declaration that the amount spent from FCA for availing financial services or financial products is for the purpose declared or is for a purpose permitted under LRS.

[Circular No. IFSCA-FMPP0BR/1/2021–Banking-Part(1)/3, dated 23^rd June 2025]

2. IFSCA prescribes submission process for changes in operations, management, or registration of REs by Finance Cos

With a view to facilitating uniformity and ease of doing business for Regulated Entities (REs), the authority has issued a Guidance Note. It aims to streamline the process of change requests made by the REs. Various Divisions of IFSCA have been specified for different Change Requests. All the Finance Companies and Finance Units shall adhere to these Guidelines to ensure compliance.

[Circular No. IFSCA-FCR0FCR/5/2025-Banking/01, dated 1^st July 2025]

BCAJ Admin

Miscellanea

1. TECHNOLOGY

#US passes first major national crypto legislation

Lawmakers in the US have passed the country’s first major national cryptocurrency legislation. It is a major milestone for the once fringe industry, which has been lobbying Congress over regulation for years and poured millions into last year’s election, backing candidates that included Donald Trump.

The bill sets up a regulatory regime for so-called stable coins, a kind of cryptocurrency backed by assets seen as reliable, such as the dollar. Trump is expected to sign the legislation, after the House passed the bill, joining the Senate, which had approved the measure last month.

Known as the Genius Act, the bill is one of three pieces of cryptocurrency legislation advancing in Washington that is backed by Trump.

The president once derided crypto as a scam but his opinion shifted as he won backing from the sector and got involved in the industry as a businessman, with ties to firms such as World Liberty Financial.

Supporters of the legislation say it is aimed at providing clear rules for a growing industry, ensuring the US keeps pace with advances in payment systems. The crypto industry had been pushing for such measures in hopes it could spur more people to use digital currency and bring it more into the mainstream.

The provisions include requiring stable coins, an alternate cryptocurrency to the likes of Bitcoin, to be backed one-for-one with US dollars, or other low-risk assets. Stable coins are used by traders to move funds between different crypto tokens.

Critics argue the bill will introduce new risks into the financial system, by legitimising stable coins without erecting sufficient protections for consumers. For example, they said it would deepen tech firms’ participation in bank-like activities without subjecting them to similar oversight, and leave customers hanging in a convoluted bankruptcy process in the event that a stable coin firm should fail.

(Source: www.bbc.com dated 18 July 2025)

2 HEALTH

#Babies made using three people’s DNA are born free of hereditary disease

Eight babies have been born in the UK using genetic material from three people to prevent devastating and often fatal conditions, doctors say. The method, pioneered by UK scientists, combines the egg and sperm from a mum and dad with a second egg from a donor woman.

The technique has been legal for a decade but we now have the first proof it is leading to children born free of incurable mitochondrial disease. These conditions are normally passed from mother to child, starving the body of energy.

This can cause severe disability and some babies die within days of being born. Couples know they are at risk if previous children, family members or the mother has been affected.

Children born through the three-person technique inherit most of their DNA, their genetic blueprint, from their parents, but also get a tiny amount, about 0.1%, from the second woman. This is a change that is passed down the generations. None of the families who have been through the process are speaking publicly to protect their privacy, but have issued anonymous statements through the Newcastle Fertility Centre where the procedures took place.

After years of uncertainty this treatment gave us hope – and then it gave us our baby,” said the mother of a baby girl. “We look at them now, full of life and possibility, and we’re overwhelmed with gratitude.” The mother of a baby boy added: “Thanks to this incredible advancement and the support we received, our little family is complete.

“The emotional burden of mitochondrial disease has been lifted, and in its place is hope, joy, and deep gratitude.” Mitochondria are tiny structures inside nearly every one of our cells. They are the reason we breathe as they use oxygen to convert food into the form of energy our bodies use as fuel.

Defective mitochondria can leave the body with insufficient energy to keep the heart beating as well as causing brain damage, seizures, blindness, muscle weakness and organ failure. About one in 5,000 babies are born with mitochondrial disease. The team in Newcastle anticipate there is demand for 20 to 30 babies born through the three-person method each year.

(Source: www.bbc.com dated 17 July 2025)

3 ENVIRONMENT

Animals react to secret sounds from plants, say scientists

Animals react to sounds being made by plants, new research suggests, opening up the possibility that an invisible ecosystem might exist between them. In the first ever such evidence, a team at Tel Aviv University found that female moths avoided laying their eggs on tomato plants if they made noises they associated with distress, indicating that they may be unhealthy.

The team was the first to show two years ago that plants scream when they are distressed or unhealthy. wThe sounds are outside the range of human hearing, but can be perceived by many insects, bats and some mammals.

“This is the first demonstration ever of an animal responding to sounds produced by a plant,” said Prof Yossi Yovel of Tel Aviv University. “This is speculation at this stage, but it could be that all sorts of animals will make decisions based on the sounds they hear from plants, such as whether to pollinate or hide inside them or eat the plant.”

The researchers did a series of carefully controlled experiments to ensure that the moths were responding to the sound and not the appearance of the plants. They will now investigate the sounds different plants make and whether other species make decisions based on them.

“You can think that there could be many complicated interactions, and this is the first step,” says Prof Yovel. Another area of investigation is whether plants can pass information to each other through sound and act in response, such as conserving their water in drought conditions, according to Prof. Lilach Hadany, also of Tel Aviv University.

“If a plant is stressed the organism most concerned about it is other plants and they can respond in many ways.” The researchers stress that plants are not sentient. The sounds are produced through physical effects caused by a change in their local conditions. What today’s discovery shows is that these sounds can be useful to other animals, and possibly plants, able to perceive these sounds.
If that is the case, then plants and animals have coevolved the ability to produce and listen to the sounds for their mutual benefit, according to Prof. Hadany. This is a vast, unexplored field – an entire world waiting to be discovered.

(Source: www.bbc.com dated 15 July 2025)

FIFA Men’s World Cup 2026 set to become most polluting in tournament’s history.

Here’s how many tonnes of CO2 emissions it’ll cause

The 2026 FIFA Men’s World Cup is expected to be the most environmentally harmful in the tournament’s 95-year history, according to research from Scientists for Global Responsibility (SGR), Environmental Defence Fund and Cool Down — the Sport for Climate Action Network.

The study titled FIFA’s Climate Blind Spot: The Men’s World Cup in a Warming World assessed the greenhouse gas emissions linked to the 2026 event, including emissions from air travel for fans and teams, as well as other match-related emissions. It also evaluated the emissions caused by sponsorship agreements with high carbon footprints.

The FIFA World Cup 26 will be the 23rd edition of the tournament and will see 104 games, featuring 48 teams played across 16 host cities in three countries: Canada, Mexico and the United States.

Given the tournament’s expansion and the decision to host it across three countries, the tournament will generate over nine million tonnes of carbon dioxide equivalent (CO2e). This will make it the most polluting World Cup to date.

The study highlighted that the total emissions for 2026 is nearly twice the historical average for World Cup Finals tournaments from 2010 to 2022. This increase is largely due to a heavy dependence on air travel and a substantial rise in the number of matches.

FIFA has announced a major global sponsorship partnership with Aramco, the Saudi Arabian oil company. The research estimated that the FIFA-Aramco sponsorship agreement for the World Cup will result in an extra 30 million tonnes of CO2e emissions in 2026 solely due to sales associated with the company’s promotion.

(Source: www.downtoearth.org.in dated 17 July 2025)

BCAJ Admin

Representations

BCAS has submitted its comments on ICAI’s Exposure Draft for regulating overseas networks. While supporting the intent, BCAS recommends simplifying the guidelines to avoid unintended impact on Indian CA firms and to encourage India-led global networks.

Readers can read the full representation by scanning the QR code or visit our website www.bcasonline.org

BCAJ Admin

ICAI and Its Members

I OPINION

EAC Clarifies Accounting Treatment of Investment in Erstwhile Associate under Ind AS

The Expert Advisory Committee (EAC) of the Institute of Chartered Accountants of India (ICAI) has issued an opinion addressing the accounting treatment of an investment in an erstwhile associate company under the Ind AS framework, following a query from a listed company transitioning to Ind AS.

Background:

The company had held shares in an associate (X Ltd.) since the 1970s. Due to financial distress, X Ltd. was referred to BIFR in 1998-99, and the investing company provided for 100% of its investment. Upon Ind AS transition in FY 2016-17, the investment was carried at a notional value of ₹1, using this as deemed cost under Ind AS 101.

In FY 2021-22, following a rights issue in which the investor did not participate, its holding dropped to 19%, and X Ltd. ceased to be an associate. Subsequently, in FY 2023-24, with the financial turnaround of X Ltd., the company proposed revaluation of the investment to fair value (~₹40–50 crore) through Other Comprehensive Income (OCI).

Key Question:

Can the company now measure its investment in X Ltd. at fair value through OCI (FVOCI)?

EAC’s Opinion:

As per Ind AS 109, an entity may opt to measure investments in equity instruments at FVOCI only at the time of initial recognition.
Since the company did not make an irrevocable FVOCI election when the associate ceased to be an associate in FY 2021-22 (initial recognition under Ind AS 109), it cannot do so retrospectively now.
Hence, the investment must be measured at fair value through Profit or Loss (FVTPL) in the current period.

Conclusion:

The Company must account for the investment in X Ltd. at FVTPL, not FVOCI, as the FVOCI option was not exercised at the appropriate time of reclassification under Ind AS 109.

ICAI Journal July 2025 Pages 150-152

Link:https://resource.cdn.icai.org/86757cajournal-july2025-41.pdf

II FAQS ON GUIDANCE NOTE FOR FINANCIAL STATEMENTS OF NON-CORPORATE ENTITIES

ICAI Issues FAQs on Guidance Note for Financial Statements of Non-Corporate Entities – Applicable from April 1, 2024

The Institute of Chartered Accountants of India (ICAI) has released a comprehensive set of FAQs relating to its Guidance Note on Financial Statements of Non-Corporate Entities, jointly issued by the Accounting Standards Board (ASB) and Auditing and Assurance Standards Board (AASB). This Guidance Note standardises the presentation of financial statements of non-corporate entities, aiming to improve quality, comparability, and reliability. It comes into effect from accounting periods beginning on or after April 1, 2024.

Key Highlights:

Scope of Applicability:

Applicable to all business/professional entities other than companies and LLPs, including:

♦ Proprietorships, HUFs, Partnership firms, AOPs, Societies, Trusts, Statutory bodies, and others engaged in business/profession.

Exclusions:

Not applicable where:

♦ Specific formats are prescribed by law or regulators,
♦ Entities like NPOs, political parties, or educational institutions follow ICAI’s other specific guidance.

Supersession of Technical Guide (2022):

The earlier Technical Guide on Financial Statements of Non-Corporate Entities (2022) stands superseded by this Guidance Note.

Prescribed Formats:

The Guidance Note mandates formats for financial statements. Additional line items may be added, and items with nil balances for both current and previous years may be omitted.

Comparative Figures:

Comparative financials for the immediately preceding year are required in the prescribed format (except for entities preparing financials for the first time).

Auditor’s Responsibility:

Non-compliance with the Guidance Note must be evaluated by the auditor for possible reporting or modification of opinion, in line with SA requirements. Professional judgment and documentation are essential.

Applicability to NPOs:

For Not-for-Profit Organisations, ICAI’s Technical Guide on Accounting for NPOs remains applicable.

Revised Classification & AS Applicability for Non-Company Entities (from April 1, 2024)

ICAI has also issued a revised classification framework for non-company entities regarding the applicability of Accounting Standards, effective April 1, 2024, replacing the 2020 scheme.

Classification:

MSMEs (Micro, Small & Medium-sized Entities):

Based on turnover ≤ ₹250 crore, borrowings ≤ ₹50 crore, not listed, not banks/FIs, and not subsidiaries/holding of large entities.

Large Entities:

Non-company entities not meeting MSME criteria.

Compliance Requirements:

Large Entities: Full compliance with all Accounting Standards.
MSMEs: Eligible for exemptions/relaxations in certain AS (e.g., AS 3, 17, 20, 24). Must disclose if exemptions are availed.

The revised scheme can also be accessed at the following link https://resource.cdn.icai.org/82761asb66837.pdf

III EXPERT PANEL

Expert Panel Support by AASB – Audit Season 2025

The Auditing and Assurance Standards Board (AASB) of the Institute of Chartered Accountants of India (ICAI) has reconstituted its Expert Panel to provide technical support to members during the upcoming Audit Season 2025, in continuation of the initiative undertaken over the past three years.

Panel Availability: 11th July 2025 to 30^th September 2025
Email for Queries: auditfaq@icai.in

Guidelines for Submission:

Be brief yet provide complete facts.
Do not mention the name of any client or entity.
Do not send the same query multiple times.
Refrain from follow-up rejoinders.
Exercise professional judgment while relying on responses.

The panel operates on a best-effort basis. Responses are personal views of experts and not the official views of ICAI/AASB. These should not be used as evidence in any judicial/quasi-judicial proceedings. AASB reserves the right to not respond to certain queries without assigning any reason.

Members are encouraged to make use of this support initiative during the audit season.

IV DISCIPLINARY CASE SUMMARY – ICAI DISCIPLINARY COMMITTEE

Case No.: DC/1726/2023

Complainant: Deputy Registrar of Companies, Mumbai

Order Date: 11^th February 2025

Outcome: Not Guilty of Professional and Other Misconduct

Background:

The complaint alleged that CA R, in his capacity as the statutory auditor and certifying professional, filed Form INC-22A (ACTIVE) for H Pvt. Ltd., showing a registered office address that, upon later inspection by the Registrar of Companies (RoC), was allegedly non-existent. The concern arose in the context of broader investigations into companies suspected of Chinese ownership using dummy directors, false documents, and allegedly involved in illegal activities such as money laundering and tax evasion.

Key Allegation:

Certifying a false registered office address in Form INC-22A filed in April 2019, despite the premises not being maintained by the company at the time of inspection in December 2021.

Respondent’s Defence:

The office address had been unchanged since incorporation in 2011.
Photographs and documents used to certify Form INC-22A were obtained from the company.
Physical verification by the RoC occurred 2.5 years after the form was certified.
The registered office was leased from a Chartered Accountant known to the Respondent, and the premises were visited earlier.
No rent was paid as the company had remained non-operational since inception.
There was no legal requirement for a CA to personally verify premises before certifying Form INC-22A.
The Respondent was not involved in the incorporation process or alleged illegal activities.

Committee’s Findings:

The certification was done based on documents and photographs as allowed under MCA norms.
Form INC-22A requirements were met, including attaching photographs and declaring satisfaction regarding the address.
The physical inspection occurred long after the certification, and no causal link to the Respondent’s conduct was established.
The Respondent was not named in any wrongdoing in the Registrar’s inquiry report.
The Economic Offences Wing confirmed that the Respondent was not involved in the criminal investigation and removed his name from the lookout notice.

Conclusion:

After considering the Respondent’s submissions, the delay in inspection, and absence of contrary evidence, the Disciplinary Committee held CA R of:

Other misconduct under Item (2), Part IV, First Schedule, and
Professional misconduct under Item (7), Part I, Second Schedule of the Chartered Accountants Act, 1949.

The case has been closed as per Rule 19(2) of the Chartered Accountants (Procedure of Investigations of Professional and Other Misconduct and Conduct of Cases) Rules, 2007.

2. Case No.: DC/191/2012

Complainant: Deputy Registrar of Companies, Mumbai

Order Date: 10^th February 2025

Outcome: Not Guilty of Professional and Other Misconduct

Background:

The Reserve Bank of India alleged that CA B, as statutory auditor for six investment companies during FY 2007–08, failed to report that these companies were carrying on business as Non-Banking Financial Institutions (NBFIs) without obtaining the required Certificate of Registration (CoR) under Section 45-IA of the RBI Act, 1934. The companies involved included M/s E Pvt. Ltd., F Investments Pvt Ltd, H Investments Pvt Ltd, S Investments Pvt Ltd, S Holdings Pvt Ltd, and V Investments Pvt Ltd.

The complaint alleged non-compliance with the Non-Banking Financial Companies Auditor’s Report (RBI) Directions, 2008, particularly Paragraphs 2 and 5 which required exception reporting to both the Board of Directors and RBI.

Respondent’s Defence:

The companies did not accept any public deposits and were engaged in investment activities, thus falling outside the CoR requirements under Section 45-IA.
Since no deposit-taking activity occurred, there was no need to file any exception reports.
The RBI did not initiate penal action against the companies or the auditor.
Exception reports were subsequently submitted post-CBI probe to avoid adverse regulatory action, though no violations were ultimately found.

Committee’s Findings:

No evidence was presented to prove that the companies engaged in activities requiring RBI registration.
No regulatory penalties or proceedings were initiated by RBI against the companies.
Financial records showed loans from directors and investments in shares, not public deposit mobilisation.
The Respondent had exercised professional judgement and fulfilled his audit duties under the applicable provisions.

Conclusion:

The Disciplinary Committee held that CA B was Not Guilty of Professional Misconduct under Clause (7), Part I, Second Schedule of the Chartered Accountants Act, 1949, which pertains to lack of due diligence or gross negligence.

Accordingly, the case was closed under Rule 19(2) of the Chartered Accountants (Procedure of Investigations of Professional and Other Misconduct and Conduct of Cases) Rules, 2007.

3. Case No.: DC/1910/2024

Order Date: 8^th February 2025

Outcome: Held Guilty of professional misconduct and monetary penalty of ₹25,000 levied

Background:

CA A served as the statutory auditor of a religious trust (Dawoodi Bohra Jamat, Dhrangadhra) for the financial years 2011–12 to 2016–17. The complaint alleged that the auditor failed to report a violation of Section 35 of the Gujarat Public Trust Act, 1950 concerning an investment of ₹23.23 lakh made by the trust into a private company, which was not in accordance with the statutory provisions for public trust funds.

Nature of Misconduct:

Failure to report non-compliance with Section 35 in the audit report despite repeated disclosure of the same amount (₹23.23 lakh) as “Other Deposits” over six consecutive financial years.
Lack of audit evidence: No supporting documentation for the deposit or asset purchase was obtained or verified.
Over-reliance on management representation despite the materiality (70% of the balance sheet size) and lack of corroborating documentation.
Failure to consider issuing a qualified or disclaimer opinion under SA 705, even when sufficient evidence was not available.

Committee’s Findings:

The auditor pleaded guilty during the hearing on 16th December 2024.
The funds were never applied for the intended asset purchase and were returned only in FY 2017–18.
The Assistant Charity Commissioner also concluded that the trust violated Section 35.
The Committee held that the Respondent failed to exercise due diligence and did not obtain sufficient appropriate audit evidence, violating:

•Item (7): Gross negligence in professional duties
•Item (8): Failure to obtain sufficient information to express a valid opinion

of Part I of the Second Schedule to the Chartered Accountants Act, 1949.

Outcome:

Held Guilty of professional misconduct.
A monetary penalty of ₹25,000 was imposed, payable within 60 days.

BCAJ Admin

Height Of Gratitude !

Arjun: (Screaming) Hey Bhagwan! Hey Shrikrishna! Hey saviour of the world! Save me! Save us all!

Shrikrishna: (Smiling) Arey Arjun, what happened, you are so much in panic!

Arjun: Lord, we are really in the peak of kaliyuga. It’s time for you to take your ‘Avtaar- (incarnation)

Shrikrishna: Tell me, which demon has seized you?

Arjun: Height of Ungratefulness!!

Shrikrishna: Tell me everything.

Arjun; Listen. My friend is now 70; almost retiring from practice. He had a client for many years, almost of his age.

Shrikrishna: Ok

Arjun: They had a good tuning with each other. When the client needed some funds, my friend gave him a small loan. The client graciously offered to pay interest although my friend was not very keen on interest.

Shrikrishna: Good

Arjun: Unfortunately, the client’s position was worsening. He was not in a position to repay the loan. So, the interest kept on accruing and the figure became sizeable over more than 10 years!

Shrikrishna: But your friend kept quiet?

Arjun: No. Actually, from time to time he was asking for his money. But it did not happen.

Shrikrishna:Ok.

Arjun: A few years ago, the client’s son started looking into the business. He was of new generation, with lesser sentiments about relations! No maturity.

Shrikrishna: The senior client must have gradually retired, entrusting everything to the son. He had no say in the business. Correct?

Arjun: Absolutely. The son found this old CA a little inconvenient. So he wanted to get rid of him.

Shrikrishna: But your friend’s fees were paid?

Arjun: No ! Quite a large amount of fees got accumulated. Then the son changed auditor. However, our Institute’s rule says that previous auditor’s fees should be paid first.

Shrikrishna: Was it then paid?

Arjun: Not voluntarily; but only after quoting this rule! That was paid very reluctantly. Otherwise, the new auditor would have come in trouble!

Shrikrishna: Yes. I understand. What next?

Arjun : Now the real problem comes! The client’s son became vindictive. And our CAs -! The less said the better! They are very enthusiastic in instigating someone to file complaints against another CA. They guide that clients and provide them all technical points.

Shrikrishna: Perhaps, clients may not be even aware of those points. But some CAs educate them! Right?

Arjun: Yes. You know what the son has done? He filed a complaint of misconduct against my friend saying that by way of loan, the CA had financial interests in the entity that he was auditing!

Shrikrishna: So, he is taking advantage of his own wrong – of not repaying the loan In time.

Arjun: And over the years, the partners’ capital got eroded due to mis-management; and the loan amount with interest looked comparatively high!!

Shrikrishna: Strange!

Arjun: Unjust and unfair! On the one hand, you borrow from a professional, don’t repay him; and then file a complaint of ‘conflict of interest! No word to describe this ungratefulness.

Shrikrishna: But your friend needs to show the materiality or otherwise of the loan. amount.

Arjun : That he will, of course, do. The question is such types of complaints are also made. And that too, at the instance of our own CAs!

Shrikrishna: I agree Arjun. I now understand why many CAs are keen to surrender their Certificate of Practice!

Arjun: I am aware. Ultimately he will get justice from the Disciplinary Panel; but it takes at least 3 to 4 years for its decision. That itself is a punishment!

Shrikrishna: I agree. What cannot be cured has to be endured. I hope, they will bring further reforms in the procedure.

Arjun: True. You alone can make it happen. श्रीकृष्ण: शरणं मम !

OM SHANTI.

This dialogue is based on the incidents that happen unknowingly and people use them to harass the CAs. One should be cautious in having financial dealings with the clients.

BCAJ Admin

76th Annual General Meeting and 77th Founding Day

The 76^th Annual General Meeting of the BCAS was held on Saturday, 5^th July, 2025 at Garware Club House, Wankhede Stadium, D-Rd, Churchgate, Mumbai –400020.

The President, Mr. Anand Bathiya took the chair and called the meeting to order. All the business as per the agenda contained in the notice was conducted, including the adoption of accounts and appointment of auditors.

Mr. Anand Bathiya, announced the results of the election of the President, the Vice-President, two Honorary Secretaries, the Treasurer and eight members of the Managing Committee for the year 2025–26.

The following members were elected unopposed for the year 2025–26:

Dr CA Mayur Nayak, Editor of the BCAJ, announced the ‘Jal Erach Dastur Awards’ for the Best Article and Best Feature appearing in the BCA Journal during the year 2024–25. The ‘Best Article Award’ was awarded to Adv. Pankaj R. Toprani, for his article ‘Chamber Research by the Judges Post Conclusion of Hearing –Whether Justified?. The ‘Best Feature Award’ went to CA Chandrashekhar Vaze for ‘Namaskaar, Ethics and You” & “Light Elements‘. The Editor then announced the ‘S V Ghatalia Foundation Award’ for the ‘Best Article on Audit’. The award went to CA Anand Paurana for the article ‘Audit Trail Compliance in Accounting Software’, and CA Kishor M. Parikh & Ms. Divya A. Khaire for the article ‘Climate Change & Its Impact on Financial Statement’.

Before the conclusion of the AGM, members, including Past Presidents of the BCAS, were invited to share their views about the Society.

The July 2025 Special Issue of the BCA Journal on `Artificial Intelligence Its Impact on CA Profession’ was released by the Shri Tuhin Kanta Pandey, Chairperson SEBI.

At the end of the formal AGM proceedings, the 77^th Founding Day Lecture was delivered to a packed auditorium. Members and attendees benefitted from the astute deliberation on `Corporate Governance, in letter and spirit – role and responsibility of professionals’ by Shri Tuhin Kanta Pandey, Chairperson, SEBI and `Navigating Tomorrow: How CAs can lead Financial Innovation and Sustainability’, by Shri Nithin Kamath, Founder & CEO at Zerodha.

The meeting formally concluded with CA (Adv.) Kinjal Bhuta thanking the speakers for sharing their visionary thoughts on a relevant topic with the attendees.

[The video of the lecture can be accessed on the BCAS YouTube Channel, and a Report on the Founding Day lecture is provided in the ‘Society News’ section of this journal.]

OUTGOING PRESIDENT’S SPEECH

CA ANAND BATHIYA

Link: https://www.youtube.com/watch?v=qqffMirt-54

A very good evening once again. A year has just flown by.

Exactly a year ago, I stood before you and delivered my acceptance speech. And today, as I stand here again, it’s hard to believe how fast this year has gone by.

Before I say my thank yous, let me take a few moments to walk you through what we’ve done together this past year. Think of this as our Society’s report card — not mine alone, but a collective reflection of what we’ve achieved as a team.

Friends, As the outgoing President, I was amazed by how quickly the year has flown since delivering the acceptance speech on July 6, 2024. Before expressing gratitude, I felt strongly the importance of presenting our ‘report card’—a collective review of achievements—on behalf of the office bearers and managing committee.

Recalling the momentum carried forward from a remarkable 75th year, I shared how the 76th year offered an opportunity to think long-term rather than chase immediate results. On the very first day, a membership survey was distributed to over 10,500 members, receiving nearly 950 thoughtful responses. That survey became the guiding force, with comments discussed thoroughly across office-bearers, managing committee and journal committee meetings. Alongside this, we entered the second year of its five-year strategic plan, centering efforts around three shared themes: growth, embracing technology, and preserving core values and ethics—unifying members across ages, practice areas, and geographies.

From these pillars emerged a series of dynamic initiatives. With an intent to expand our Society’s reach, we partnered with a professional PR agency starting in November. Over six months, they achieved around 150 media placements—across print, digital, television and new-formats like podcasts—each chosen to reflect our ethos.

On social media, our Society transitioned from simply announcing events to actively engaging with its community. This resulted in crossing 70,000 followers, including 15,000 new subscribers over the year. Event registrations and participation improved significantly with many programs like the Residential Refresher Course, GST RRC, AIF, Redevelopment 360, CAMBA, CATHON, and even a film screening all closed registrations early amid overwhelming demand. One film event planned for 50 tickets received 250 registrations and required a cinema hall to accommodate attendees.

Growth was also geographic. The “Sherpa” initiative empowered volunteers across towns and cities, including hosting in-person events and townhalls at Hyderabad, Kolkata and Coimbatore, extending our Society’s footprint without building physical branches. Complementing this, our Society launched a digital flip-book journal via its new the BCAS Academy platform—service a wonderful new experience whilst eliminating courier wait times—and deployed a WhatsApp bot serving 2,300 subscribers with real-time event alerts and registration options.

On the professional development front, our Society’s YouTube channel now has 825 videos on YouTube, amassing over one million total views. Monetization began modestly but meaningfully, affirming the YouTube channel’s worth with a $21 cheque. Notably, three newly released videos entered YouTube’s all-time top 10 viewership list—a first in eight years.

Lecture meetings were a second area of impact. Twelve sessions were held, each drawing over 500 participants—an increase from the five-year average of 150—and collectively these lectures earned more than 30,000 YouTube views. Additional achievements included issuing 1,200 blockchain-verified certificates (shareable via LinkedIn), launching a monthly data-driven newsletter (‘Broadcast’) with tracking analytics, and debuting a podcast series.

In advocacy and networking, I spoke about the MOUs with IIM Mumbai for taxation research, NISM for capacity building, and Bombay Industries Association for industry engagement. The Society actively engaged with regulators—including SEBI, RBI, NFRA, CBDT, CBIC, and GST authorities—and presented its AIF white paper to SEBI leadership. Discussions with NITI Aayog have also commenced for joint tax policy research.

The Society’s youth and diversity ambitions took shape through ‘BCAS Nxt’, featuring student-led boot camps, mentoring and CAMBA events that drew record attendance. The newly established Shri P. N. Shah CA Students’ Endowment Fund offers financial support to CA students in need. Importantly, we surpassed 1,000 female CA members for the first time—affirming a strong commitment to ‘Nari Shakti’.

Under the CSR banner ‘Chartered’s for Change’, our Society supported MM High School near Umargaon by installing digital classrooms serving 2,300 students and planning a ₹2 crore playground upgradation. Early results are encouraging; six students from the school qualified for state-level competitions this year.

Membership trends also turned positive. Following drops of 818 members (2020–21), 352, and 24 in subsequent years, our Society’s membership rebounded with +400 members last year and +1,100 this year—reaching record-high numbers even after accounting for 450 non-renewals and deaths. This resurgence, I felt strongly, indicates both momentum and purpose driving the organization forward.

In closing, I express deep gratitude—to predecessors including Abhaybhai, Mihirbhai, and Chiragbhai—for laying the groundwork in website upgrades, hybrid events, ISO certifications, and the ReImagine initiatives. The managing committee, staff, families and professional colleagues were also honoured for their unwavering support.

INCOMING PRESIDENT’S SPEECH

CA ZUBIN F. BILLIMORIA

Link: https://www.youtube.com/watch?v=ZrtvFUD6huE

INTRODUCTION

A very good evening to one and all; to outgoing president Anand, to my office bearer colleagues on the dais, the past presidents, guests from our sister organization CTC and others. I welcome the newly elected president of CTC Mr. Jayant Gokhale and the vice president Ms. Neha. Less than 24 hours back, I was there at their centenary, which was celebrated yesterday. So once again, congratulations to you Jayant Bhai and Neha. I also extend a warm welcome to the guests, other members and friends.

I stand before you today with mixed feelings. Feelings of gratitude, feelings of introspection. And I would also say with a lot of support from destiny and providence. So before I go further, Anand has already covered quite a lot of the things in a fair bit of detail. So I will try not to repeat some of these things. Some repetitions may be inevitable because as he said, we are in the middle of the five-year plan through these six pillars which he displayed. So I will also cover some of that.

BCAS IN PERSPECTIVE

Before proceeding further, I would like to set in perspective, two important events which mirror the history of BCAS – firstly, its history mirrors the history of India, in the sense that it is only two years younger, having been established in 1949, as against our country obtaining independence in 1947, and the other even closer connection is with the parent body of our profession, the ICAI. We are only six days younger. So we are in effect carrying forward a legacy which basically drives our country, as also our profession. Our country as we all know now is what our Prime Minister says is in its “Amritkal”. It’s in its journey towards the century, which is also where the BCAS is moving slowly and steadily towards its hundredth year.

At this stage, I cannot forget one thing which I always refer to and quote in various places. The people of the older generation would remember the eminent jurist Mr. Nani Palkiwala. When I was a young boy in my ninth standard, tenth standard and the early years of college, the late 70s and the early 80s, I used to attend his budget speech. One thing which he used to say and which has stuck in my mind is India is a young democracy. Democracies and countries take time to mature. And he had said that India’s glorious period will come between its 75^th and 100^th year. So which is what is happening. These were prophecies by a great man. So the same also applies to us as Anand also said, the best is yet to come.

BCAS started in a very small way in what I refer to as the Wednesday Club. This is because a group of chartered accountants started meeting on Wednesdays. They used to have their meetings and slowly it grew and is now bigger than even a banyan tree. It has weathered a lot of storms. It has seen changing times but the main source of continuity is the past presidents. This is because we here have a unique tradition that once a president gives up his office, it is not that he hangs up his shoes as far as BCAS is concerned. He is still very much involved through the chairmanship of some committees and also actively guiding and mentoring the now relatively young profile of the organization. So that is the strength. So thank you once again to all the past presidents and they all deserve a looud, round of applause.

Now I would like to reflect the journey of BCAS and the position which we are currently in through the eyes of a well-known author Stephen Covey through his book, “The Seven Habits of Highly Effective People”. It is a book which has had immense impact on me and I always refer to that. While this book talks about the seven habits of highly effective people, this is equally applicable even to organizations like us. Now what are these seven habits of highly effective people? Let us also see where we as BCAS stand and where we can go going forward.

Be proactive: We all know we have to be proactive and which is obvious as far as our organization is concerned. We have to keep on evolving, taking care of the various stakeholders. And as Anand mentioned, the membership survey is one such thing. There are various other projects through which we will see how proactive we are. Some of them were also dealt with earlier by Anand.

Setting clear goals and objectives: We have our vision and mission which you would have read in the annual report. On an ongoing basis, there are various goals which are there. Anand also talked about some of the goals. Accordingly, the goals and objectives always need to be set. The various projects which I will be dealing with, most of them a continuation of the five-year plan. Some of them have certain new initiatives which I have in mind.

Prioritizing our goals: We should not pay attention to what I always call major attention to minor details. We should alwaysfocus and look at the bigger picture. And this basically keeps on changing based on the expectations of our stakeholders.

Always think win-win: We saw a lot of collaborations which we are entering into and we will continue to do so. We have to adopt new formats. During COVID we also adapted into the new environment seamlessly. The digitization, technology and the other initiatives which Anand talked about is all ultimately leading to a win-win situation.

Seek first to understand and then be understood: This is the heart of it. Seek first to understand means we have our committees. They have a pulse of what are the needs of the professionals, what are the needs of the various stakeholders. So we try and deliberate and discuss on those. And then be understood. The understanding is through the various programs which we curate in different formats, through the publications which we come out with and through the representations which we make to the various authorities. They are all in turn tuned with the needs, whether it is to NAFRA on the SA-600, the budget present representation which we make every year. These are all based on needs which we try to understand and then be understood by the people who matter.

Synergize:This comes through basically again innovation and adapting to newer formats.

Sharpen the Saw: And finally, the most important is what I call sharpen the saw. As we all know, Charles Darwin always says that the strongest are not the people who are the most intelligent but the ones who keep on constantly changing. We have to constantly sharpen the saw. It is only then that we can get better and better and move towards not only the hundredth year but way- way beyond.

Finally, I am confident that BCAS is well positioned to continue to function in an effective way keeping in mind all these habits.

MY JOURNEY AT BCAS

Now coming to my journey at BCAS. My journey at BCAS started sometime in the year 1999 when I was working with Deloitte and S.B. Billimoria at that time. When my partner Mr. Nalin Shah, who I am very happy to state that he is here today, asked me and a couple of other people who were promoted as senior managers along with me; one of my other colleagues Kalpesh Mehta is also here. He just asked us that you become a member of BCAS and there was a US gap RRC which was at the Taj Residency Nasik. So I attended that RRC. I think Himanshu Bhai Krishnadwala was there in that RRC. So that is how my journey in BCAS started. For several years thereafter, the firm used to pay the membership fees. For the next few years I didn’t really contribute anything substantial or anything specific. Only maybe sometime in 2010 Mr. Shah asked me to meet Sanjeev Pandit who was the editor of the journal at that time whether an article or series of articles on the auditing standards could be written. So I remember I went and met Sanjeev at his office at that time it was somewhere near Malakshmi. So that is the second connection which I had with BCAS through the journal. I did contribute occasionally some other articles. But my real active involvement came through when I quit Deloitte in 2015 which was also a surprise to many people. And that is when my real journey with the BCAS began.

First I was part of a team which had to compile a publication on NBFCs for which Mr. Nalin Shah recommended my name to Abhay who was the convenor of the Accounting and Auditing Committee at that time. Sir, I would like to thank you very much for all that you have done for me. You have truly been my guide and mentor over the years and I am what I am today professionally is all because of you. Thank you very much sir. After that it was a steady journey. I became part of the journal committee when Raman was there, accounting and auditing committee, the corporate laws committee and finally became part of the managing committee and then moved up. So that is how my journey is. It is I would say a very scattered journey. I must admit here that I have gone through the grind like some of my other office bearer colleagues have. But that grind I have gone through it maybe in Deloitte and in S.B. Billimoria and that experience I hope will stand me in good stead in my journey and role as a president.

MY TEAM

Now coming to my team. First of all, as Anand just said, it is a relatively young team which could have even been younger if I wouldn’t have been there. Because the average age of the office bearers this year is 44 years as against 43 years in the previous year. And that is because the new office bearer Mrinal is slightly older than the new office bearer who was inducted last year Kinjal Bhuta. So that has increased by one year. But at the same time Kinjal being here is a very important step towards BCS being more diverse. And I will talk about that a little later.

The average age of the managing committee members, remains at a fairly youthful 42 years. A total of 28 new core group members have been added this year. As you know core group are people who are members of committees. During the year we have inducted two new co-opted members into the managing committee – Amit Purohit and Gaurav Save.

Another thing which I would like to mention specifically is we earlier had 10 committees which included the Internal Audit Committee. Now because of various reasons that committee has been subsumed into the Accounting and Auditing Committee under the chairmanship of Mr. Abhay Mehta and with him there is a new co-chairperson Samit Saraf who will be taking care of the internal audit part in the Committee. At this stage I would like to acknowledge and thank the role played by Mr. Uday Sathaye and Mr. Rajesh Muni who has been the chairmen of the internal audit committee along with Ms. Nandita Parikh who was the co-chairperson. Another thing which I would also like to mention is that Samit is the second non-past president who has been appointed as the co-chairman of a technical committee. This tradition started last year when Rutvik Sanghvi became the co-chairman of the international taxation committee. So this is also again one instance of a change moving with the times. Maybe 4 years back if that topic would have been raised it would have probably not been favourably looked upon. But now this is a reality and maybe tomorrow we don’t know. A day may not be far off, even if the chairmanship of some of the committees could go on to a person other than a past president. So this is all again in the spirit of things that we are constantly evolving. I am not putting words in anybody’s mouth nor am I saying that these things must happen! But anything could be possible. So all in all I have a mixed team. Young and vibrant with some degree of experience and of course all of you are always there to support me with your guidance. Because the way I look at my role as a leader is that I am primarily a facilitator. Because a leader can only be as good as his team. The other thing which I profess to practice as a leader and as the president is to be a good listener. Finally, the third quality which I wish to profess as a leader is the concept of servant leadership which I came across in a book by CA Pawan Agarwal – a life member who is present today and he is also the First Vice District Governor of Lions Club International. As the name suggests, this is a concept which occasionally may require you to roll up your sleeves and get into the grind. But office bearers please don’t take it for granted nor the managing committee members and others don’t expect me to do it every time! Because most of the time I will get the work done from all of you; only sometimes when there is a crisis situation I will probably happy to roll up my sleeves without any ego. So this in short will be my leadership style.

KEY PROJECTS

The next coming to the five year plan which was displayed earlier along with the following key projects, many of which have already been touched upon by Anand so I won’t go into detail. I will focus on just the main areas within each of these:

Logistical and Administrative Excellence:

An area which I particularly want to lay more emphasis on is logistical and administrative experience. As Anand mentioned we are now an ISO compliant organization, which is something which was not forced upon us. It is something which we voluntarily took up three years back and it has now stabilized. Lot of SOPs have been formulated. So this helps in basically making the organization process agnostic rather than person agnostic. The endeavor would be to regularly review all the SOPs to safeguard our ISO accreditation. That is an ongoing process and now as Anand said we have a new Office Manager Mr. Sachin Kulkarni also since the last one year. He has been supporting us on that. A lot of employee and HR initiatives also have been started and will be continuing like raining of the staff. The streamlining of the functioning of the various committees will also be happening like regular meetings, regular reporting and so on.

Operation Bharat (Part of the “REACH” Pillar)

Here, the focus would be on member engagements across India i.e. Bharat.

Some of the initiatives in this regard which we are evaluating are:

• Widen and formalize the Sherpa outreach.

• Focussed and formalized calendar for townhall meetings with emphasis on regular engagement, orientation and inductions.

• Have focused physical / hybrid meetings both short and long duration through Sherpas with appropriate level of support from HQ striking a balance between technical / knowledge dissemination and networking. Focus to get non members in and around the respective locations.

• Increased physical presence in various forms, through chapters / other appropriate forms of physical presence, local collaborations, selling of publications, specific and focused physical events etc.

Membership Hooks (Part of the “REACH” and “YUVA SHAKTI” Pillars)

Some of the initiatives in this regard which we are evaluating are:

• Each committee to have atleast one members only event which will act as a natural catalyst towards enhancing our membership.

• The benefits of corporate membership to be extended to LLPs.

• Launching a separate class of e journal members as part of the BCAS Academy platform.

• Focussed efforts towards students study circle meetings by individual committees.

• To convert participants under the mentor – mentee programme and CA felicitation programs as members through a focused outreach and follow up.

• Possible collaborations with coaching classes for attracting students to become future members.

Operation Nari Shakti (MOUNT VENUS 2.5K) (Part of the “REACH” Pillar

To me personally this is the most important initiative on which I intend to lay the maximum focus during my tenure. Our women membership has only recently crossed 1000. As of 30th June, we had 1019 members. Whilst it is improving, it is still way below being less than 10%. We need to move with the times to embrace greater diversity and inclusivity. My goal is to increase it to at least 2500 members, if not next year, at least in two years. Ideally, I would like it to happen in the next year, but at least I am giving still one more year to make it 2500!

Some of the initiatives in this regard which we are evaluating are:

• Separate sub-committee / sub group to be constituted under the SMPR Ccommittee

• Focus on targeting more women members through social media groups and channels

• Programmes- technical and motivational targeted at women members / participants.

• Career counselling programmes post motherhood including flexi work / WFH options and placement assistance.

Technology and Digital Initiatives (Part of “PROFESSIONAL DEVELOPMENT”, “NETWORKING” AND “CHARTEREDS’ FOR CHANGE” Pillars)

This is by far the most sweeping and widespread project since it touches the maximum number of pillars. Any organization without technology and digitalization will be like a fish without water.

Some of the initiatives in this regard which we are evaluating are:

• Setting up in house audio visual and recording capabilities (BCAS Studio)

• Have regular pipeline of podcasts (“are you aware series ) by each of the Committtees

• Digitalising member communication to a greater level as part of BCAS BroadCast

• Building AI and other technological capabilities across various domain areas through joint programmes between the Technology Initiatives Committee and the respective technical committees (audit, tax, corporate laws etc.)

• Specific initiatives on technological learning targeted at senior citizens and small and marginalised practioners, both in industry and practice.

BCS Academy (Part of “PROFESSIONAL DEVELOPMENT” Pillar)

This is a path breaking initiative about which much has been said earlier. It will serve as a self based learning infrastructure which we will be launching later today.
Some of the initiatives in this regard which we are evaluating are:

• Increasing the repository of digital assets.

• Launching / offering specifically curated and professionally relevant differentiated programs / certification course by each committee, both recurring and one time / specific with the ultimate aim of issuing digital badge and certifications for sharing by participants on their public social profiles and hence serves as a win-win, both for the society and the participant.

• My vision is that these BCAS certifications in the medium to long term should be able to enable participants to enhance their professional standing by being recognised by various stakeholders and be sought after badges/ certifications

• Reviving E clinics /expert chats (e.g. tax gurukul, Accounting and Auditing Clinics etc.) on a virtual basis.

Research and Industry Collaborations (Part of “PROFESSIONAL DEVELOPMENT”, “ADVOCACY” AND “NETWORKING” Pillars)

Some of the initiatives in this regard which we are evaluating are:

• To explore more opportunities for collaboration with professional, trade and industry associations and academic bodies, both in India and abroad (each committee should explore more such opportunities in addition to the existing ones).

• Think tank and research initiatives – both individually and in collaboration with appropriate bodies on contemporary topics and policy level initiatives where some work has already started.

• Engagement with Regulatory and Government bodies on the above matters where considerable progress has happened and we should be able to shortly announce certain things in respect thereon.

• Timely advocacy / representations on contemporary policy and regulatory matters.

Public Relations and Marketing (Part of “NETWORKING” PILLAR)

The idea behind this initiative is to seek professional help to leverage on our reach and achievements.

Some of the initiatives in this regard which we are evaluating are:

• Greater engagement with the Social Media agency already appointed by us for focussed and timely social media presence / engagement on events, advocacy and technical initiatives

• Seeking regular engagement with the media / press on areas of contemporary relevance through a media management agency.

Leveraging the Library (Part of “PROFESSIONAL DEVELOPMENT” Pillar)

Whilst we have been having a library I feel over the years it has been neglected which is partly due to increased reliance on e books. However, I feel there is scope to leverage its presence and revive it once again for people who still prefer the traditional reading.

Some of the initiatives in this regard which we are evaluating are:

• Detailed and updated catalogue is ready

• Lending books for reading to members subject to certain conditions

• Subscribing to various relevant and contemporary publications

• Reviving the reading habit by organizing “Reading Clubs” on a periodic basis.

Professional Social Responsibility (Part of “CHARTEREDS’ FOR CHANGE” Pillar)

This hinges on the premise that we are not always focussing on learning but are looking a holistic social development not only for our members but for other professionals and society in general.

Some of the initiatives in this regard which we are evaluating are:

• Deeper collaboration and engagement with BCAS Foundation- arranging a fund raising drive, clear policy on the level of corpus etc..

• Organising picnics, sporting events, family day etc. to enforce a work life balance and quality engagement.

• Conceptualising programmes and events resulting in social impact, financial literacy workshops for students, senior citizens, and marginalized sections and other similar initiatives with the aim of bringing about sustainable smiles.

CONCLUSION AND ACKNOWLEDGEMENTS

To conclude, I would like to acknowledge the presence of my family members:

My wife Farzana, my daughter Farah and my father-in-law, Mr. Minoo Bilimoria, who incidentally is also a life member of the BCAS. He is 93 years old, still going strong, touchwood! I thank them for their support and encouragement in my journey so far. I also take this opportunity to remember my late parents, who would have been very happy to see me here today and I seek their blessings!

Would also like to acknowledge my other guests from all the organizations where I am a trustee or a director and some of my personal friends as well as ex colleagues from Deloitte.

So thank you all for being here.

So with this, I accept the position of the President of the Bombay Chartered Accountants’ Society with all humility and bow before all of you with respect. Thank you very much!

BCAJ Admin

Tech Mantra

Perplexity

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Action Notch: Touch The Notch

Transform your camera hole cutout or notch into a powerful shortcut button! With Action Notch, enjoy features inspired by Assistive Touch and Dynamic Island, allowing you to perform tasks using gestures like single tap, double tap, long press, or swipe. Simplify your daily interactions, protect physical buttons, and enhance multitasking with this must-have app!
You can record audio / videos on recorder or Front/ Back camera instantly without opening the relevant app. Take screenshots, toggle flashlight, lock your screen or open any of your favourite apps. You can also control your brightness, ringer mode, music and much more with just a tap.

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Your News

This app keeps you updated with the news that matters to you! With Your News, you are in full control of your content, including RSS feeds, YouTube channels, and Reddit posts. Read updates directly in the app or continue from your home screen with customizable RSS widgets. Enjoy the best content without distractions—only the news you care about, all in one place.

It does not require a sign-up, no cloud access and no hassles. You can quickly add your favourite RSS feeds, YouTube Channels, Reddit feeds with dedicated buttons, making it simple to tailor your personalised news aggregator experience. You can even use the search button to find feeds by website name or explore new content in the Discover Section.

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Android : https://bit.ly/45K0lPP

Spot Scam Mobile / Email / Website / Apps

These days, we come across multiple scams where lay users are driven to suspicious websites or apps and tricked into revealing their personal details, leading to financial loss.

The Government of India has now come up with a suspicious list of Mobile nos., Email ids, Website URLs and Apps to warn users before they transact with them.
So, if you are asked to go to a particular site or app or communicate with a Mobile no. or email id, you may visit https://cybercrime.gov.in/, go to the Report & Check Suspect Tab, and look up the relevant telephone no., address or website. If the target is suspicious and/or flagged, the website will let you know the problem. The same tab can be used to report a suspicious Site or phone number or email id or website.

And, unfortunately, if you have been scammed, do not panic – just dial 1930 from anywhere in India and report the incident with full details and the Cybercrime experts will help you trace the suspect and your money as soon as possible.

A similar service is also available at the Global Level. Just visit https://www.scamadviser.com/ and check out the suspicious target at the international level. This site has a huge repository of scams at the international level and provides valuable guidance when visiting unknown websites, rating them and even giving reasons for the rating, so that you can be cautious when dealing with them.

Better be safe than sorry – prevention is better than cure!

BCAJ Admin

Learning Events at BCAS

1. 19^th Residential Study Course on GST @ Kolkata

The Indirect Tax Committee organised its 19th Residential Study Course at The Westin, Rajarhat, Kolkata, between 12^th – 15^thJune 2025, exclusively on Goods & Service Tax. More than 310 delegates attended the program from over 60 towns and cities in India.

The Study Course started with Shree Ganesh Vandana and the lighting of lamp. Later, it was inaugurated by Shri Shrawan Kumar, Chief Commissioner of Central GST & Central Excise, Kolkata Zone, who spoke on the 8 years of GST and the way forward. Shri Ranjit Kumar Agarwal, immediate Past President of the Institute of Chartered Accountants of India, was the guest of honour. Chairman CA Govind Goyal welcomed all the participants, and Past Chairman CA Deepak Shah spoke about various activities of BCAS.

The first technical session on day 1 was a presentation paper by CA. Mandar Telang on the topic – “Addressing the deficiencies in Returns, Forms & Portal through effective documentation & strategic preventive steps”. The session takeaways primarily covered the facts that inadvertent mistakes are not akin to fraud, and for proper facts, justice is received even though it might be delayed. Committee member CA. Vikram Mehta chaired the session.

On day 2, the participants deliberated on the case studies in the group discussion format on the Panel Discussion paper on the topic “Real Estate Transactions”. The participants were divided into seven groups, each group led by 2 group leaders. As an innovative approach, the role of group leaders in each group was divided into “pro-revenue and pro-taxpayer” so that the participants get an understanding of the likely stand that can be taken by the department also. This format of GD was appreciated by the delegates.

After the GD session, the delegates gathered for the 2nd technical session by Adv. (CA) Ankit Kanodia. It was a presentation session on the topic of “Penalties under GST”. Committee Member CA. Jayesh Gogri chaired the session.

The 3rd technical session was the replies to the Panel Discussion paper on the topic “Real Estate Transactions”. The panel comprised of CA. A R Krishnan, as Moderator, CA. Sunil Gabhawalla & CA. A. Jatin Christopher as panelists. CA. Sunil Gabhawalla’s replies were from the taxpayer’s perspective, while CA. A. Jatin Christopher’s replies were from the Department’s perspective. Past President CA. Govind Goyal chaired the session.

On day 3, the participants deliberated on various case studies involved in the Group Discussion paper on the topic “Assorted Issues in GST”. This was followed by the 4th technical session – “T-20 capsules”. This is the continuous 4th year wherein selected delegates are invited to submit a detailed research paper on the assigned topic and further make a 20 minutes brief presentation on the technical topic at the RSC, thus providing them a forum to express their views on technical topics in just 20 minutes, i.e. in T20 Format. Committee Member CA. Prashant Deshpande chaired the session.

The sightseeing arrangements were made for the delegates, and they were delighted to visit the Victoria Memorial, Belur Math and Dakshineshwar Kali Temple. The delegates enjoyed the outing.

On the concluding day, i.e., day 4, the 5th technical session was the replies on the Group Discussion Paper by CA. S S Gupta. The session was chaired by the Vice President, CA. Zubin Billimoria.

The RSC concluded with acknowledgements and thanks to all those who had worked towards making the event a success, especially the Paper Writers, Group Leaders, Mentors, Panelists, Article contributors to the paper book and others who had worked tirelessly to deliver a seamless experience. Last but not least, thanks were expressed to the participants, without whom the sessions would not have been so interactive. Overall, it was an enriching experience and was appreciated by all the participants. This 4-day Residential Study Course at Kolkata (the city of joy) concluded with sincere appreciation for the tremendous efforts put in by the conveners CA Dushyant Bhatt, CA Gaurav Save and CA Parth Shah.

2. BCAS Town Hall Meeting @ Kolkata

The Bombay Chartered Accountants’ Society (BCAS) successfully conducted a Town Hall Meeting in Kolkata on 14^th June 2025, on the sideline of the 19th Residential Study Course on GST. Organised with the support of CA Sanjay Poddar, CA Arup Das Gupta, and CA Abhishek Agarwal, the event brought together members for an open dialogue on professional development, Society initiatives, and future opportunities in the region.

The meeting featured key inputs from BCAS leadership:

CA Zubin Billimoria, Hon. Vice President, provided an overview of the Society’s structure, committee ecosystem, and the contributions of its 250+ core group members.
CA Mandar Telang, Hon. Treasurer, outlined recent initiatives, stressed the importance of local study circles, and expressed BCAS’s enthusiasm for future events in Kolkata, supported by active member involvement with the help of other sister organisations and local representatives.
CA Gaurav Save offered insights into the efforts behind the GST RRC and shared how online Indirect Tax Study Circles have broadened access to national subject matter experts.

The event also featured active participation from attending members, who shared their expectations and ideas. Office bearers engaged constructively, addressed the queries raised and assured members of continued support in tailoring future programs to local needs.

Esteemed professionals, including CA Sushil Kumar Goyal, Past Central Council Member, ICAI, graced the occasion, making it a memorable and impactful exchange of ideas.

This Town Hall reaffirmed BCAS’s focus on regional inclusivity and its resolve to co-create meaningful platforms for professional excellence.

3. Webinar on Opportunities for CAs in Oman held on Tuesday, 10^th June 2025@ Virtual

The webinar organised by the Seminar, Membership & Public Relations Committee enhanced the audience’s understanding of the opportunities present in Oman concerning practice, employment, and business. Around 200 participants registered for the event – drawn from across the country and mainly holding senior positions.

India and Oman are on the verge of signing a Comprehensive Economic Partnership Agreement (CEPA), which is expected to create new prospects in accounting, taxation, and transfer pricing for Chartered Accountants.

The Guest of Honour, Ms. Juhaina Al Balushi from the Ministry of Commerce, Industry, and Investment Promotion, addressed the participants regarding the investment climate in Oman and the tax incentives available for newly established businesses.

Dr. Yousuf Hamed Al Balushi, a respected thought leader and former employee of the Central Bank of Oman, provided valuable insights into the mining, renewable energy, and financial services sectors.

CA Jay Duseja discussed the employment opportunities in Oman, along with the practical considerations for relocating to the country. Additionally, CA Abhishek Vaishya outlined the necessary steps to establish an auditing or consultancy firm in Oman.

The webinar concluded with a Q&A session with participants sharing their questions and seeking clarifications.

Youtube link: https://www.youtube.com/watch?v=Jlt6aUSQxig

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4. International Economics Study Group – In the context of the Trade war, what are the Strengths, Weaknesses & Threats to China, and what are the opportunities for India vis-a-vis China held on Monday, 9^th June 2025 @ Virtual

The meeting was led by CA Harshad Shah & CA Vijay Maniar and presented the following:

Strength of China: World’s 2nd Largest Economy, Manufacturing Powerhouse, Large Domestic Market, Largest Foreign Reserves, Infrastructure Development, Technological & Innovation, Major Trading Partner to Many Large Economies, Over-Reliance on Many Sectors, Products, & Critical Minerals in many countries, Large, Competent Labor Pool with Unmatched Productivity, World’s Largest Military etc.

China’s Weaknesses: Authoritarian & Police State, Systemic Issues in Governance, Corruption, Chinese Demographic Disaster, Rising Unemployment in Youths, Real Estate Market Collapse, Very High Debt Levels, Export Dependency, Overcapacity, Untested Military (5+ Decades) etc.

Opportunities for India: Manufacturing & Supply Chain Diversification, Export Growth to the U.S. Market, Attracting Foreign Investment, Aviation and Aerospace Opportunities, etc.

Threats to China: Shutdown of Industries reliant on the US Market, Unemployment from Industrial Shutdowns, Disruption of Supply Chains, Infrastructure Overexpansion, Risk of Recession, Risk of Technological Decoupling & Containment, Currency, Financial & Stock Market Volatility, Stress on China’s Fragile Banking System, Potential for Protests and Civil Unrest etc.

5. Four-Day Study Course on Foreign Exchange Management Act (FEMA) held on 30^th to 31^st May 2025 & 6^th to 7^th June 2025 @ Virtual (except the last day in Hybrid Mode at BCAS)

Four Day Study Course on Foreign Exchange Management Act, 1999 (FEMA) – on Day 4, it was planned as FEMA Focus – Advanced Perspectives on Foreign Exchange Laws

The first three days of the course were online and Day 4 was in hybrid mode. Many participants (including some from outside Mumbai) were present at the BCAS office and appreciated the personal interaction with speakers and networking opportunities with peers. The course was attended by nearly 300 participants.

This course covered the basic concepts of FEMA. The objective was to simplify extremely complex provisions for the participants. The course was comprehensive, and all key aspects of FEMA were covered. The speakers shared their vast experience with the participants and covered concepts as well as their practical applications. The examples and insight into real-life scenarios deeply enriched the participants.

After 3 days of covering basics, the last day focused on advanced level discussions and participants who were interested only in that day’s proceedings enrolled separately for the seminar “FEMA Focus – Advanced Perspectives on Foreign Exchange Laws”.

Day 4 began with an address by Dr. Aditya Gaiha, Chief General Manager, Foreign Exchange Department, Reserve Bank of India – who shared the regulator’s perspective and shed light on certain developments that are likely to take place over the next few months. It is worthwhile to note that he spoke at a professional forum after a long time and his session was greatly appreciated by the participants.

Other sessions on Day 4 covered advanced concepts and practical insights on succession in cross-border scenarios and cross-border restructuring.

The final session was a panel discussion with esteemed members of the profession. Interesting case studies were discussed during the panel discussion, and panelists shared divergent views on various issues.

Overall, the course was very enriching for the participants in terms of conceptual understanding as well as practical insights on FEMA.

6. Direct & Indirect Tax – Concept & Intricacies of Joint Development Agreements held on Friday, 6^th June 2025@ Hyderabad.

The Bombay Chartered Accountants’ Society (BCAS) organised an engaged its first Sherpa Event in Hyderabad on 6^th June 2025 at the G. P. Birla Auditorium. The Sherpa Initiative is BCAS’s national reach-out project aimed at deepening relationships with members and the wider community by appointing dedicated BCAS representatives (‘Sherpas’) in various towns and cities across India. These Sherpas act as a vital bridge between BCAS and local Chartered Accountant communities, helping plan and execute high-quality professional development programs while upholding the society’s strong ethical standards.

The session focused on the ‘Concept and Intricacies in Direct & Indirect Tax related to Joint Development Agreements’, featuring insightful presentations by CA Jagdish Punjabi (Direct Tax) and CA Mandar Telang (Indirect Tax). A highlight of the session was an interactive Q&A round lasting over an hour, addressing practical issues and real-world challenges faced by professionals.

The event was efficiently organised by Hyderabad’s Sherpa – CA Siddharth Mantri, whose efforts ensured smooth conduct and meaningful interaction. It saw an overwhelming response with 125+ Chartered Accountants in attendance, including 60+ non-members, reflecting BCAS’s growing reach and relevance. Additionally, an open dialogue led by Past President CA Narayan Pasari and CA Kinjal Bhuta provided participants with a deeper understanding of BCAS’s vision, the Sherpa Initiative, and the society’s ongoing activities and opportunities for members and aspiring professionals alike.

The evening concluded with a lively networking meet and dinner, fostering connections and camaraderie among the participants.

7. Supply Chain – A Gold-mine for Internal Auditors held on Friday, 6^th June 2025@ Vile Parle.

The Internal Audit Committee hosted a full-day seminar, “Supply Chain – A Gold Mine for Internal Auditors,” on 6^th June 2025, at the Ginger Hotel in Vile Parle. This event brought together over 60 participants eager to learn from distinguished supply chain experts from both industry and consulting practice.

Esteemed speakers included Mr Amit Kumar Baveja, Mr Vineet Jajodia, Mr Venkatadri Ranganathan, Mr Pankaj Raut, Mr Kaushal Mehta, Mr Chetan Thakkar, and Mr Govind Purohit. They generously shared their wealth of experience and insights with an engaged audience.
The seminar delved into the complexities of the supply chain, emphasising how internal auditors can play a pivotal role in helping organisations manage risks and disruptions. Key topics explored during the sessions included:

The dynamics of supply chains amid the rise of AI, automation, sustainability initiatives, and the current geopolitical landscape.
Technologies employed by companies to mitigate supply chain disruptions.
Fraud detection and prevention in supply chain audits.
The digital transformation of supply chains, sustainability, and ESG reporting, particularly within the B2C sector.
Practical case studies on supplier risk management.

This seminar provided valuable knowledge and strategies for internal auditors, helping them enhance their contributions to the ever-evolving field of supply chain management.

9. Lecture Meeting on Recent Judicial Pronouncements under GST held on Wednesday, 21^st May 2025 @ Virtual.

BCAS hosted a virtual lecture meeting on recent jurisprudence in GST, which was delivered by Senior Advocate Mr Vikram Nankani. The session covered over ten significant court rulings, with Mr. Nankani providing clear and insightful explanations that helped demystify complex legal concepts.

Attendees greatly appreciated the depth of his knowledge and the structured manner in which he presented the evolving legal landscape under GST. His perspectives offered valuable guidance for professionals in the field.

The session concluded with a formal vote of thanks, expressing gratitude for Mr. Nankani’s time and contribution. More than 300 Participants acknowledged the enriching nature of the lecture with a round of virtual applause.

Youtube link: https://www.youtube.com/watch?v=QF4ZFe70lGc

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9. Direct Tax Home Refresher Course – 6 held from 17^th May 2025 to 31^st May 2025 @ Virtual.

Taxation Committee of the Bombay Chartered Accountants’ Society, in collaboration with the Association of Chartered Accountants, Chennai, Chartered Accountants Association, Ahmedabad, CA Association of Jalandhar, The Chartered Accountants Study Circle, Chennai, Hyderabad Chartered Accountants Society, Karnataka State Chartered Accountants’ Association and Lucknow Chartered Accountants’ Society, Maharashtra Tax Practitioners Association, Pune, Chartered Accountants Association, Surat and All India Federation of Tax Practitioners (West Zone), organized its flagship online course known as Direct Tax Home Refresher Course – 6.

The course again this year got a good response from the participants and more than 480 total registrations were received for the course. There were 14 sessions, where 14 speakers from different
cities across India covered 14 important topics on direct tax.

Session 1 CA Narendra Jain delved into an overview of Section 536 of the New Income Tax Bill and its impact on the scope and charge of income. He covered the issues which can emerge during this transition from the current Income Tax Act to the New Income Tax bill.

Session 2 was taken by CA T G Suresh, where he gave a detailed presentation on Capital Gains including recent amendments and issues emerging out of that.

Session 3 was on the subject of Transfer Pricing, where CA Vijay Iyer discussed the recent developments and jurisprudence in Transfer Pricing. He also shared his insights on the APA Program and the benefits of the Safe Harbour Rule.

Session 4 was GAAR, TRC and PE, wherein CA Amrish Shah delved deep into the concepts and even explained the recent jurisprudence on all three topics.

Session 5 was on GIFT City and its framework, where CA Jaiman Patel gave a bird’s eye view of the entire framework and explained the regulations of the same under various Laws.

Session 6 was addressed by CA Pradip Kapasi on the topic of the Interplay of Benami and Income tax and other Economic Laws w.s.r.t.s 68 to 69D, SAAR and GAAR provisions. He beautifully explained the critical points that one needs to be aware of while dealing with the relevant provisions of those Acts.

Session 7 was on the subject of Related Party Definitions under various Laws vis-à-vis the Income Tax Act. CA Dr. Anup Shah dealt with the topic holistically and explained the interplay and the differences between those definitions.

Session 8 was addressed by Mr Purshottam, ITO CPC TDS Ghaziabad, wherein he explained the entire TDS/TCS Framework and the recent changes made under the same.

Session 9 was on the topic of Foreign Assets and Overseas Income and its reporting under the Income Tax Act, which was taken up by CA Rutvik Sanghvi in detail. His presentation covered each and every aspect, including the implications under the Black Money Act and various case studies on the same.

Session 10 was on the new age topic of AI and in Legal, Tax and Ethical Issues, which was beautifully explained by Huzefa Tavawalla and Ipsita Agarwalla.

Session 11 was taken up by CA E Chaitanya on the topic of ITR Forms for AY 2025-26 wherein he explained the forms and the changes made this year. He also explained the precautions to be taken while filing tax returns.

Session 12 was on Tax Audit changes for FY 24-25, addressed by CA K Gururaj Acharya wherein he explained the process of tax audit and the Forms and the points one has to be mindful of while conducting a Tax Audit.

Session 13 was addressed by Sr. Advocate Tushar Hemani on the subject of Appeal before CIT(A) & ITAT – Practical Tips – covering the Importance of cross-objections / Additional grounds/etiquette/drafting grounds, etc., which was very detailed and practical. He also addressed some of the common issues which practitioners need to be aware of.

In the last session, 14, CA Ishraq Contractor dealt with features and the recent changes of the Faceless Assessments. He also discussed the challenges faced by the department and assesses possible resolutions for the same.

The course was overall well-received by the participants.

10. Suburban Study Circle Meeting on 360 Degree of TDS held on Friday, 16^th May 2025 @ S H B A & CO LLP.

The Suburban Study Circle hosted an insightful session on “360 Degree of TDS” led by CA Ravi Soni.

CA Ravi Soni delivered a practical and comprehensive presentation covering the entire spectrum of TDS—from foundational provisions to the latest amendments introduced by the Finance Act 2024. His expertise and clarity helped demystify common issues related to TRACES, default rectification, and complex sections such as 194Q, 206AB, and the newly introduced 194T (TDS on payments to partners).

Key Takeaways

Concept and Purpose: TDS as a mechanism to ensure regular tax collection and expand the tax base.

Amendments Covered: Several threshold increases and per-transaction applicability across Sections 194, 194A, 194C, 194H, 194M, etc.

Compliance Challenges: Common defaults, interest implications, and correction processes were explained with real-time illustrations.

TRACES Utility: A walkthrough of functionalities like downloading Form 16/16A, correction statements, and justification reports.

Latest Changes: New section introductions and amendments effective from October 2024 and April 2025 were discussed in detail.

The session concluded with an engaging Q&A, where participants discussed practical challenges in monthly filings, reporting, and reconciliations. The speaker also shared compliance checklists and tools to simplify TDS obligations for deductors and firms alike.

11. ITF Study Circle Meeting on Provisions of the New Income Tax Bill 2025 related to International Tax – Part 2 held on Thursday, 15^thMay 2025 @ Virtual.

The International Tax and Finance Study Circle organised a meeting (online mode) on 15 May 2025 to discuss the provisions of the Income Tax Bill 2025 related to International Tax. The agenda covered corresponding provisions of Section 44B to 44DA and 92 to 92F of the Income-tax Act, 1961

CA Siddharth Parekh covered Sections 92 to 92F (the transfer pricing provisions). At the outset, he shared insights on the Income Tax Bill 2025 and various rules for interpretation.
He then discussed the subtle differences between the language in the current provisions and the provisions in the Income Tax Bill 2025.
There was a lively discussion on the potential implications of these subtle differences, and divergent views were expressed.
The group agreed that there will be uncertainty for the initial years when the Income Tax Bill 2025 is implemented.
Adv Gunjan Kakkad took the group through the provisions of Section 44B to 44DA and the corresponding provisions of the Income Tax Bill 2025.
He pointed out that there weren’t many differences between the language of the existing provisions
and the corresponding provisions of the Income Tax Bill 2025.
He further pointed out that the provisions in the Income Tax Bill 2025 were more structured with easy to understand tables as compared with the current provisions and took the group through the new provisions.

II. BCAS QUOTED IN NEWS & MEDIA

BCAS was quoted in 18 news and media platforms between May 2025 and June 2025. This coverage reflect our thought leadership and commitment to the profession. For details

Link: https://bcasonline.org/bcas-in-news/

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BCAJ Admin

Regulatory Referencer

I. DIRECT TAX : SPOTLIGHT

1. Valid returns of income filed electronically on or before 31 March 2024 pursuant to condonation of delay u/s 119(2)(b) of the Act by the competent authority, for which date of sending intimation under sub-section (1) of section 143 of the Act has lapsed, shall be processed by 31 March 2026 – Circular No. 7/2025 dated 25 June 2025

2. Form ITR-U amended – Income-tax (Nineteenth Amendment) Rules, 2025 – Notification No. 49/2025 dated 19 May 2025

3. Protocol amending the Agreement between the Republic of India and the Sultanate of Oman for the avoidance of double taxation and the prevention of fiscal evasion with respect to taxes on income, was signed at Muscat on 27 January, 2025. Central Government notifies that all the provisions of said Agreement and Protocol, as annexed hereto, shall be given effect to in the Union of India from 25 June 2025 – Notification No. 69/2025 dated 25 June 2025.

II. FEMA

1. RBI grants grace period for Investment Vehicles to file Form InVI for partly paid units without LSF

The Foreign Exchange Management (Mode of Payment and Reporting of Non-Debt Instruments) Regulations, 2019 requires Investment Vehicles (IVs), which have issued units to persons resident outside India, to file Form InVI within 30 days from the date of issue of such units. A relaxation has now been provided whereby IVs which have issued partly paid units before 23^rd May 2025 (date of issuance of the circular), shall report such issuances of partly paid units within 180 days from 23^rd May 2025. No late submission fees will be levied for reporting within this period. However, partly paid units issued after 23^rd May 2025 shall be reported within 30 days itself.

[A.P. (DIR Series 2025-26) Circular No. 6, dated 23^rd May 2025]

2. Govt. amends NDI Rules – Indian Cos. may issue bonus shares in FDI-prohibited sectors if foreign shareholding doesn’t change

Earlier, the Department for Promotion of Industry and Internal Trade (DPIIT), vide Press Note No. 2 dated April 7, 2025, clarified that an Indian company engaged in an FDI-prohibited sector may issue bonus shares to its pre-existing non-resident shareholders provided that the shareholding pattern of non-resident shareholders does not change after the issuance of such bonus shares. The Central Government has now amended the NDI Rules, 2019 by introducing Rule 7(2) to notify this clarification.

[Notification No. S.O. 2549(E) dated 11^th June 2025]

3. RBI allows advance remittance up to USD 50M for vessel imports without BG or unconditional, irrevocable SBLC

RBI has decided to permit importers to make advance remittance up to USD 50 million for import of shipping vessels without requiring a bank guarantee (BG) or an unconditional, irrevocable standby letter of credit (SBLC). This relaxation is subject to conditions under Para C.1.3.3 of the Master Direction on Import of Goods and Services (MD-Imports), dated January 1, 2016.

[AP (DIR Series 2025-26) Circular No. 7 dated 13^th June 2025]

III. IFSCA

1. IFSCA issues framework to facilitate Co-investment by Venture Capital Scheme and Restricted Scheme

Regulations 29(1) and 41(1) of IFSCA’s Fund Management Regulations enable a Venture Capital Scheme and Restricted Scheme to co-invest in permissible investments through SPV; and for such SPV to undertake leverage as disclosed in the placement memorandum. It has now issued by way of a Framework a ‘Special Scheme’ to provide mechanism and manner for facilitating this co-investment and then for such Special Scheme to undertake leverage.

[Circular No. IFSCA-AIF/6/2025-Capital Markets, dated 21^st May 2025]

2. IFSCA extends the timeline for appointment of Custodian under Fund Management Regulations, 2025

As per Regulation 132 of IFSCA (Fund Management) Regulations, 2025, an FME is required to appoint an independent custodian for Retail schemes, Open ended restricted schemes and all other schemes managing AUM above USD 70 million. The custodian appointed shall be based in IFSC unless local jurisdiction requires otherwise. For schemes where custodian was not based in IFSC before FM Regulations came into effect, a transition period of 12 months was provided to comply with the regulations. This period has now been further extended by 6 months. FMEs shall make necessary arrangements to ensure compliance with the above regulation.

[Circular No. IFSCA-IF-10PR/7/2024-Capital Markets, dated 24^th May 2025]

3. IFSCA mandates prior approval for PSPs in overseas payment systems tied to IFSC transactions

IFSCA has laid down certain policies for Payment Service Providers (PSPs) participating in international payment systems including seeking prior approval before participating or becoming members of international payment systems with regard to cross-border transactions. Further, international payment systems that permit PSPs to make or receive payments among themselves or among other financial institutions in IFSC, thereby affecting domestic (within IFSC) transactions, will require authorisation under the Payment and Settlement Systems Act, 2007 (“PSS Act”). PSPs can only then participate or be members of such international payment systems for making or receiving payments with other PSPs or to or from other financial institutions in IFSC. IFSCA has directed each PSP to review its participation in light of these policies and intimate about its compliance to the Department of Banking Supervision within 30 days from the date of this circular as also share with the IFSCA a list of all the international payment systems in which the PSP was participant.

[Circular IFSCA-FMPP0BR/3/2023-Banking dated 6^th June 2025]

BCAJ Admin

Miscellanea

1. SPORTS

#Benefits of sports go beyond whether you make the pros or not, says Sports For Amateur Athletes founder Maurice Barnett

Many see sports as a means to an end, teaching life lessons to athletes. If a player is skilled enough, their love of their sport can become an eventual professional career. On the other hand, for most youth, their identity is wrapped around their sports performance, and excelling is a validation of their self-worth. Becoming a professional athlete becomes a source of pride, as it proves that they are among the best in the country in their respective sports.

Furthermore, for more popular sports, such as football, basketball, and baseball, making it to the pros could mean a six- to seven-figure income and a chance to lift themselves and their families out of poverty.

However, the reality is that very few people who pick up a sport are good enough to become a professional. According to Maurice Barnett, a parent, coach, entrepreneur, and founder of The Sports Portal and non-profit organisation Sports for Amateur Athletes (SAA), the pathway to the pros is a huge funnel. It’s huge at the top and anyone can enter, but it gets narrower and narrower, and almost everyone ends up dropping out at some point. Some people see not making it through the funnel as failure, so many don’t even try or avoid sports altogether.

Barnett disagrees with this kind of thinking, arguing that many of the lessons and skills athletes learn through sports can help them become a good doctor, lawyer, engineer, or any other profession someday. This is the mission of Sports for Amateur Athletes – to help every athlete, regardless of their background or circumstances, have the opportunity to engage in sports that inspire them.

“We believe that sport has a transformational power on individuals and their development,” Barnett says. “Participating in sports builds not only athletic skills but also character, resilience, and a sense of community, and making the pros isn’t the be-all and end-all of sports. The personal and development growth is not like the opportunity of making 1 of the 30 teams, everyone has the opportunity to benefit. All over the world, there is a need for more doctors, teachers, or engineers. Here, the funnel is inverted, and sports can help the youth navigate life’s challenges in other areas of their life. This is why, when young people do enter into the sports funnel, we need coaches, program directors and other caretakers who ensure that they stay inspired and accomplish whatever they choose to accomplish. That’s SAA’s main goal.”

As a 501(c)(3) non-profit, SAA finds organisations that have good sports programs and coaching but are in need of resources, then helping them raise funds so they can keep their programs going. Aside from monetary donations, SAA also helps these programs obtain equipment such as balls, shoes, and uniforms, as well as assistance for transportation and accommodations when playing in another city. To ensure transparency and increase its fundraising capabilities, SAA is building out a larger team as well as adding more board members.

According to Barnett, SAA also seeks to help promising athletes who are struggling with their development due to potential off-court circumstances. For example, it partners with non-profits that provide literacy programs, helping the athletes catch up with their academics and ensure that they can properly balance their time between studies and sports.

“We believe that building partnerships and networks is important to magnify the impact of our charitable efforts. Partnering with multiple other non-profits will allow us to help more young athletes, versus going at it alone and only being able to help one. With our partnership programs, we’ve been able to open doors for athletes and their families, allowing them to experience being part of these national circuits, which they would otherwise not be able to participate in without financial help.”

(Source: International Business Times – By Karcy Noonan – 8 June 2024)

2. ENVIRONMENTAL

# 35 billion trees, just ₹100 each: The hidden value of India’s forest boom

India has successfully increased its forest cover, ranking among the top ten countries with forest growth.

India, renowned for its diverse ecosystems and landscapes, has recently been acknowledged as one of the few nations globally to have successfully augmented its forest cover. This accomplishment, as reported by an SBI Research, positions India among the top ten countries where forest cover has seen a significant rise over the years.

The report discloses that India’s forest cover remained unchanged from 1991 to 2011, but has seen a steady increase since then. This growth is attributed to the U-shaped relationship between urbanisation and forest cover. In the initial stages of urbanisation, deforestation is a common phenomenon. However, as urbanisation advances, policies such as urban greening, forest conservation programs, and sustainable land-use planning are implemented, leading to an eventual recovery of forest cover.

India is a country that is urbanising at a swift pace. As per the 2011 Census, 31.1% of the total population resided in urban areas. This percentage is projected to rise to 35-37% by the 2024 Census.

The report suggests that once the urbanisation rate crosses 40%, the impact on forest cover becomes positive. This is where initiatives like the Smart Cities Mission and the Atal Mission for Rejuvenation and Urban Transformation (AMRUT) play a crucial role. These programs aim to integrate green infrastructure and enhance urban ecological resilience.

The current assessment reveals that the total forest cover in India’s mega cities is 511.81 km2, accounting for 10.26% of the total geographical area of these cities. Delhi leads the pack with the largest forest cover, followed by Mumbai and Bengaluru. Interestingly, the maximum gain in forest cover from 2021 to 2023 is seen in Ahmedabad, followed by Bengaluru. On the other hand, Chennai and Hyderabad have witnessed the maximum loss in forest cover.

The forestry sector contributes approximately 1.3-1.6% to India’s Gross Value Added (GVA), supporting industries such as furniture, construction, and paper manufacturing. With an estimated 35 billion trees, the GVA per tree in India is only ₹100.

However, the report also highlights that India’s forest cover is asymmetric. States like Odisha, Mizoram, and Jharkhand have seen an increase in forest cover. North-East and hilly states like Uttarakhand and Himachal Pradesh have a larger geographical area under forest cover. Whereas, states like Uttar Pradesh, Bihar, Rajasthan, Haryana, Punjab, etc., have less than 10% of their geographical area under forest cover.

To enhance forest sustainability, the report suggests expanding biodiversity hotspots and incentivising private sector participation. Investment in afforestation projects through Corporate Social Responsibility (CSR) and carbon offset markets can enhance conservation funding. Strengthening enforcement against encroachment through satellite monitoring and digital databases can protect critical forest areas.

The government has undertaken various initiatives, such as the Smart Cities Mission and AMRUT, to integrate green infrastructure and enhance urban ecological resilience. These initiatives align with the postulated U-shaped hypothesis, leading to better institutional capacity that supports both urban growth and environmental conservation.

(Source: International Business Times – By Sheezan Naseer – 15 May 2025)

3. HEALTH

# Could Non-Invasive Tools be the future of early Oral Cancer Detection?

Dr. Hiren Patadiya said early detection not only reduces treatment costs but also significantly improves the patient’s quality of life. Oral cancer remains a significant global health concern, with early diagnosis playing a crucial role in reducing mortality rates and improving patient outcomes. Experts in the field emphasize that the challenge lies not only in the lack of awareness among healthcare professionals but also in the invasive nature of conventional diagnostic methods. However, innovative approaches are reportedly paving the way for more accessible and non-invasive screening tools.

Dr. Hiren Patadiya, a distinguished expert in Oral Medicine, has been at the forefront of developing cutting-edge diagnostic tools aimed at facilitating early detection of oral cancer. With three design patents to his credit, his contributions are reshaping how clinicians approach oral lesion analysis. “Early detection is paramount in reducing morbidity and mortality rates associated with oral cancer. My goal has been to bridge the gap between diagnostic accuracy and accessibility,” Dr. Patadiya stated. His patents include Caviscan, an Automated Oral Lesion Analysis Tool designed to enhance clinical assessments; Biocheck, a non-invasive tool for detecting oral cancerous lesions, offering a patient-friendly alternative to traditional biopsy; and a Biosensor-Based Oral Cancer Detection Device, a novel technology aimed at providing precise diagnostic capabilities with minimal discomfort.

Experts suggest that one of the major limitations in diagnosing oral cancer lies in the inadequate knowledge of clinical features and the lack of training among healthcare providers to perform biopsies. Dr. Patadiya underscores this challenge, stating, “Many clinicians struggle to differentiate between benign and malignant oral lesions. This not only leads to missed diagnoses but also delays critical interventions.” To tackle this issue, he has also authored a book, “Oral Potentially Malignant Disorders,” which extensively discusses clinical signs and symptoms, equipping practitioners with the knowledge needed to enhance diagnostic accuracy. “Your eyes can only see what your brain knows. Comprehensive knowledge of oral lesions is fundamental in ensuring timely and accurate diagnosis,” he emphasised.

The rampant nature of oral cancers reportedly places a substantial financial burden on healthcare systems. According to experts, late-stage cancer treatments are considerably more expensive and resource-intensive than early interventions. “Early detection not only reduces treatment costs but also significantly improves the patient’s quality of life,” Dr. Patadiya noted. Moreover, integrating non-invasive diagnostic tools into routine screenings can lead to a marked reduction in delayed diagnoses. Statistically, early-stage detection has been linked to higher survival rates and less aggressive treatment requirements.

Looking ahead, researchers and clinicians alike are advocating for widespread adoption of non-invasive diagnostic methods. “We need to shift our focus from reactive treatment to proactive screening. With advancements in technology, tools like Caviscan and Biocheck have the potential to revolutionize early cancer detection,” Dr. Patadiya commented. As the medical community continues to innovate, the emphasis remains on equipping healthcare professionals with both the knowledge and the tools necessary to detect oral cancer at its
earliest stages. With pioneering efforts like those led by Dr. Patadiya, the future of oral cancer diagnosis is poised for transformation, making early detection more accessible and effective than ever before.

(Source: International Business Times – By Karcy Noonan – 4 June 2025)

BCAJ Admin

“Mera Naya Article Clerk Ek Algorithm Hai” (By A CA Who Misses Paper Vouchers But Loves AI Sarcasm)

When our office WhatsApp group lit up with the message “We are going digital!”, I thought we were finally done printing 148-page audit reports just to courier them two buildings away. Little did I know this digital leap meant I’d be sharing my cabin with a machine that doesn’t drink chai, doesn’t gossip, and finishes bank reconciliations faster than I can find my spectacles.

Ladies and Gentlemen, meet RoboCFO – my new article assistant. Technically, HR wants us to call him “AI Assistant (Beta),” but if it balances a trial balance in less time than it takes my human article to log into Traces, it gets a name. Period.

THE ARRIVAL OF THE MACHINE: AAPKA IT ASSISTANT ONLINE HAI

Now, I’ve worked with all kinds of articles—hardworking ones, sleepy ones, the ones who vanish mysteriously at 1:03 PM daily, and of course, the ones who “go on study leave” right before audit season and resurface only after Diwali sweets arrive. But nothing prepared me for RoboCFO.

First day on the job, I asked it to vouch 4,000 purchase invoices.

TIME TAKEN: 4 MINUTES, 18 SECONDS.

Human article Raj watched in horror—like a calculator seeing Excel for the first time.

“Sir,” he whispered, “yeh mera kaam le lega kya?”

“Sirf tab,” I replied, “jab yeh client se bank statement timely mangwana seekh le.”

He calmed down instantly.

TAX ASSIGNMENTS: ROBOCFO IN SCRUTINY MODE

During income tax season, RoboCFO became my right hand. It drafted replies to notices, prepared submission indexes, and even generated sarcastic comments for clients who failed to deduct TDS for the fifth quarter in a row.

(“Paanchwa quarter? Haan ji, ab TDS bhi lunar calendar se chalega.”)

One client asked, “Can I claim honeymoon expenses as business promotion?”

RoboCFO replied, “Sir, agar Shaadi mein 200 GST officers invite kiye the, toh zaroor!”

I had tears in my eyes. Not from laughter—from respect.

AUDIT ASSIGNMENTS: MAY THE BOTS BE WITH YOU

If tax season was a trailer, audit season was the blockbuster. RoboCFO took over bank reconciliations, vouching, TDS ageing, Form 26AS–AIS matching, GSTR-2B reconciliation and even tried to perform physical verification of fixed assets—remotely.

It once flagged a mismatch of ₹3.21 in depreciation.

“Sir, as per Schedule II, this asset should’ve been fully depreciated in FY 2020-21.”

I didn’t know whether to say “well done” or throw my calculator at it.

And when it questioned my chai bill: “Tea expense exceeds historical mean by 42%. Possible non-business expenditure?”

Et tu, RoboCFO?

CLIENT MEETINGS WILL NEVER BE THE SAME AGAIN

Took RoboCFO into a Zoom meeting once—just for fun. Client says, “We’d like to project next quarter’s cash flow.”

Before I could unmute myself, RoboCFO shared a working, generated charts and added:

“Suggest reducing office snacks. Your P&L will thank you.”

Client: “Fantastic insight!”

Me: Beta tu toh gaya.

After the meeting, I confronted him. “You’re getting too smart.”

It responded, “I learn from the best.”

Flattery. Great. Now the robot is also sarcastic.

ROBOT VS RAJU: THE GREAT INDIAN SHOWDOWN

Raju, our beloved peon, was not impressed. He’s the man who could locate any file, even if it was saved as “Final_Final_USETHIS_v3(Reviewed)_DONOTDELETE.xls”.

“Sir,” he said, “yeh machine na rest leta hai, na chai peeta hai, aur na paper staple karta hai. Kaise kaam karega?”

To reassure him, I gave RoboCFO the task of reading IT circulars from 1974.

Update: It’s still stuck on Para 2.3 of Circular No. 14. Possibly reconsidering its life choices.

THINGS GOT WEIRD: THE AI GOT AMBITIOUS

Last week, RoboCFO tried to generate a UDIN.

I panicked. I haven’t felt that kind of fear since I signed a balance sheet on March 31st at 11:58 PM.

Turned out, it was just preparing a draft audit report with:

Emphasis of Matter
Note on Going Concern
Footnote quoting AS-29 (like a boss)

At this point, my senior article began prepping for UPSC. “Sir, CA toh AI ban gaya. Main IAS try karta hoon.”

WILL AI REPLACE CHARTERED ACCOUNTANTS?

Let’s be clear. RoboCFO is great. It can:

√ Match ledgers

√ Read scanned invoices

√ Generate 3D cash flow forecasts

√ Flag “non-business” tea expenses

But can it:

⊗ Convince a PSU bank to accept scanned balance sheets “just this once”?

⊗ Handle a client who says, “Sir, cash mein transaction kiya hai, par tension mat lo, sab white hai.”

⊗ E-file returns at 11:59 PM with a hanging server and a prayer to St. FinMin?

ABSOLUTELY NOT.

That, my friends, still needs a human CA—with caffeine in his veins, sarcasm in his soul, and a backup dongle in his bag.

FINAL ASSESSMENT REPORT

AI in a CA office is like GST:

Confusing at first. Occasionally misused.

But once you crack it—transformational.

Sure, RoboCFO doesn’t know the joy of finding a file saved as “USE_THIS_FINAL_FINAL_REVISED(FINAL2).xls”, but it does know Section 43B better than my senior partner.

And no, it doesn’t replace us. It just makes us work faster, better, and with less Excel-induced rage.

So here’s to our new intern, punching bag, co-worker, and unofficial audit partner—RoboCFO.

As for Raju? He’s now our official “AI Trainer.” He proudly claims:

“Maine hi isko sikhaya GSTN ka error kaise solve karte hai.”

And honestly? We believe him.

Disclaimer: No human articles were harmed in the making of this story. But one did consider switching to law after watching RoboCFO complete an entire GST audit while sipping digital chai. The content is AI-generated with human intervention / guidance for understanding future scenarios in a lighter way.

BCAJ Admin

Letter to the Editor

The Editor

BCAJ

Mumbai

Dear Sir

I express my sincere appreciation for the insightful article named “शीलं परमं भूषणम्” in “NAMASKAAR” section published in the recent issue of the BCAS Journal.

The article is “thought-provoking”. A great deal of effort and expertise went into this piece, and it truly enriches the content of the BCAS Journal. Thank you for sharing your timeless wisdom and contributing to the knowledge within our community.

I look forward to reading more of your work in future issues.

Warm Regards,

CA Manish M. Toshniwal

The Editor

BCAJ

Mumbai

Sir,

Re: Your Editorial in the June 2025 issue of the BCAJ

1. This editorial crafts a potent, vision of India weaving together themes of national pride, decisive military action, economic optimism, and a collective call to national development. It’s a striking piece designed to evoke strong patriotic sentiment and project a narrative of a resurgent India.

2. The name “Operation Sindoor,” laden with cultural symbolism of auspiciousness and protection, underscores this new chapter. The narrative of its success, coupled with unified political support, is crafted to instil confidence in India’s defence capabilities and governmental resolve.

3. Seamlessly, the editorial pivots from military might to economic prowess, presenting the latter as a “silver lining” and a cornerstone of India’s rising global stature.

4. The tone throughout is optimistic, assertive, and deeply nationalistic, aiming to inspire readers by celebrating perceived military and economic victories.

Thank you Dr. Nayak for making us proud by effectively narrating our achievements.

Regards,

Adv. R. K. Sinha

IRS and Ex – DIT

BCAJ Admin

ICAI and Its Members

Editor’s Note:

We are pleased to restart this Feature w.e.f. July 2025, after a long break, to keep our readers abreast of the latest developments at the ICAI and important announcements of the ICAI for its members. In the past, this Feature was contributed by the past presidents of the BCAS, Late CA P. N. Shah and CA Harish Motiwala. We are happy to inform you that CA Paras Savla has agreed to contribute this Feature. We thank CA Paras Savla and wish you a happy reading.

I OPINION

Accounting treatment of salary paid to the Company Secretary of the Company having a single unit project under construction, under the Ind AS framework.

Summary

The EAC opinion evaluates the appropriate accounting treatment for salary payments made to the Company Secretary during the construction phase of a single-unit project, in accordance with Indian Accounting Standards (Ind AS). The focus is on determining whether such costs should be capitalised as part of the project cost or recognised as an expense in the period in which they are incurred.

Context and Facts of the Case

Nature of the Company:

The company is currently in the project development phase, with a single unit under construction, which has not yet commenced commercial operations.

Status of the Project:

The ongoing project qualifies as a “Qualifying Asset” under the provisions of Ind AS 16 (Property, Plant and Equipment) and potentially under Ind AS 23 (Borrowing Costs).

Role of the Company Secretary (CS):

The Company Secretary is employed on a full-time basis during the construction phase, primarily undertaking:

♦ Statutory and compliance-related duties (e.g., Board meetings, ROC filings, maintaining statutory registers).

♦ Project-related legal and governance tasks are necessary for operational readiness.

Cost Consideration:

The company incurs regular salary payments to the CS. However, there is no systematic time allocation maintained to segregate time spent between project-specific activities and routine corporate compliance functions.

Financial Reporting Framework:

The company prepares its financial statements under the Indian Accounting Standards (Ind AS) framework.

Technical Query:

Is the company’s practice of capitalising the salary paid to the Company Secretary, considering it has a single-unit project (where tariff is determined based on the approved project cost), in line with the requirements of Ind AS? If not, what is the correct accounting treatment?

Key Observations & Technical Analysis

1. Principles of Capitalisation – Ind AS 16

As per Para 16(b) of Ind AS 16, “directly attributable costs” necessary to bring an asset to the location and condition for it to be capable of operating as intended should be capitalised.
However, Para 19 specifically excludes general administrative and overhead costs from capitalisation unless they are directly attributable to the construction or acquisition of the asset.

2. Role of Company Secretary – Nature of Duties

The CS primarily undertakes:

♦ Statutory compliance

♦ Board governance

♦ Regulatory filings

These are entity-level governance functions and are not directly linked to the physical construction or technical development of the asset.

In the absence of a clear, auditable time allocation, it is impractical to distinguish any portion of the salary as being directly attributable to the project.

3. Tariff Linked to Project Cost – Not a Determinant

While the tariff determination may be based on the approved project cost (common in regulated sectors such as power, infrastructure, etc.), the accounting principles under Ind AS take precedence over regulatory pricing mechanisms.
Regulatory approvals of cost do not override the recognition and measurement criteria prescribed under Ind AS. Only costs that meet the test of “directly attributable” under Ind AS 16 are eligible for capitalisation.

Conclusion and EAC’s Viewpoint

The salary paid to the Company Secretary does not qualify for capitalisation under Ind AS 16, since the duties performed are not directly attributable to the construction or physical development of the asset. Accordingly, this expense should be charged to the Statement of Profit and Loss in the period in which it is incurred.

(Refer to Pages 1631-1635 of C.A. Journal-June, 2025)

II CPE HOURS OF MEMBERS – CONSEQUENCES OF NON-COMPLIANCE

The ICAI has notified that members who failed to complete their mandatory CPE hours for the calendar year 2024 are being granted a final opportunity to complete them by June 30, 2025.

This falls under Level I of the Consequential Provisions, which is part of the disciplinary/monitoring framework for non-compliance with Continuing Professional Education (CPE) requirements.

Who is Affected:

Members in Practice and Industry who have not completed the minimum CPE hours for 2024.

Implications of Non-Compliance of CPE for 2024:

Members who do not comply by June 30, 2025,
may face:
♦ Further consequences under Level II or III, or IV
♦ Ineligibility for certain ICAI positions or panels,
♦ Public disclosure of non-compliance in records.

Level II Consequences (1-07-2025 to 31-12-2025) – From 1^st July 2025, the non-compliance status for the year 2024 of the member would be displayed on the CPE Portal of the ICAI under his login till he has complied with the CPE requirement of twice the shortfall of CPE hours for that year.
Level III Consequences (1-01-2026 to 30-06-2026)- From 1^st January 2026, a Member holding Certificate of Practice (COP) is required to disclose the status of non-compliance of CPE hours requirement for the year 2024 in Multipurpose Empanelment Form (MEF) of ICAI (+) List of non-compliant members shall also be provided to Professional Development Committee (PDC) of the ICAI by CPE Committee of ICAI.
Level IV Consequences (1-07-2026 to 31-12-2026) – if the individual or the firm is otherwise eligible for the issuance of a Peer Review Certificate, only a Provisional Peer Review Certificate would be issued to such Individual, if he has not complied with the CPE requirement for the year 2024. Level – IV 1st July 2026 to 31st December 2026 Firm, if any partner has not complied with the CPE requirement for the year 2024.
Final consequences 1-01-2027 – If the member has not complied with CPE requirement for the year 2024 by 31^st December 2026, then the CPE Committee may refer the matter to the Disciplinary Directorate for action as deemed fit for the violation of these guidelines. (Refer to Page 1639 of C.A. Journal-June, 2025)

III EXPOSURE DRAFT ON PROPOSED GUIDELINES FOR OVERSEAS NETWORK FOR PUBLIC COMMENTS

ICAI Seeks Public Comments on Draft Guidelines for Overseas Networks

The Institute of Chartered Accountants of India (ICAI) has taken a significant step towards modernising the regulatory framework for Chartered Accountant firms through the establishment of the Committee for Aggregation of CA Firms (CACAF) in 2024-25. This specialised committee has been tasked with undertaking comprehensive studies, reviews, and revisions of various guidelines pertaining to CA firms, marking a crucial development in the profession’s regulatory landscape.

Background and Context

The formation of CACAF represents ICAI’s commitment to enhancing the operational framework for CA firms in an increasingly globalised business environment. As Indian businesses expand their international presence and foreign entities seek professional services from Indian CA firms, the need for clear, comprehensive guidelines governing overseas networks has become paramount.

The committee’s mandate encompasses a broad spectrum of activities aimed at strengthening the CA profession’s infrastructure, with particular emphasis on facilitating effective collaboration and maintaining professional standards across borders.

Key Development: Draft Guidelines for Overseas Networks

Following extensive deliberations and research, CACAF has developed draft Guidelines for Overseas Networks, which were presented to the ICAI Council during its 442nd meeting. Recognising the importance of stakeholder input in the regulatory process, the Council has approved the exposure of these guidelines for public consultation.

The draft guidelines address critical aspects of overseas network operations, including:

Regulatory compliance requirements for international collaborations
Professional standards and quality control measures
Risk management frameworks for cross-border operations
Ethical considerations in overseas network arrangements
Documentation and reporting requirements

Public Consultation Process

ICAI has initiated a comprehensive public consultation process to ensure that the final guidelines reflect the diverse perspectives and practical insights of the profession’s stakeholders. The institute has made the exposure draft readily accessible to all interested parties.

Document Access: The complete Exposure Draft is available for download at: https://resource.cdn.icai.org/86376ed-cacaf-dgon.pdf

Submission Deadline: Recognising the importance of thorough stakeholder engagement, ICAI has extended the deadline for submitting comments to July 16, 2025 (Wednesday).

Multiple Submission Channels

To ensure maximum accessibility and convenience, ICAI has established multiple channels for submitting comments:

1. Online Submission: The most convenient option is through the dedicated Google Form available at: https://forms.gle/aNbDXFYJJWZ11Q8K7

2. Email Submission: Comments can be sent directly to the committee’s dedicated email address: cacaf@icai.in

3. Postal Submission: For those preferring traditional correspondence, written comments can be mailed to:

Secretary, Committee for Aggregation of CA Firms

The Institute of Chartered Accountants of India

ICAI Bhawan, Post Box No. 7100

Indraprastha Marg, New Delhi 110 002

IV INVITATION FOR EMPANELMENT AS EXAMINERS FOR CHARTERED ACCOUNTANTS EXAMINATIONS

Who Can Apply

Chartered Accountants: Minimum 5 years in practice or service.
University Lecturers/Professors: Minimum 5 years of teaching experience.
Must not exceed 65 years of age.
Not eligible: those in CA coaching currently (5-year cooling-off period applicable), visually impaired, or previously rejected without serving the waiting period.

How to Apply

Online submission via ICAI’s examiners panel portal.
Print, sign & attach photo, then post with required documents to:

CA Anand Kumar Chaturvedi, Joint Secretary (Exams), ICAI Bhawan, New Delhi

Selection Process

Must pass a Computer-Based Qualifying Test:

♦ Part A: 25 MCQs in 30 minutes
♦ Part B: Evaluation of 5 sample answers in 2½ hours

Remuneration

Foundation Papers 1 & 2: ₹160 per answer book
Intermediate Papers: ₹200 each (for Paper 1,2,4,5)
Final Papers: ₹250 per answer book
(Refer to Page 1641 of C.A. Journal-June, 2025)

V DISCIPLINARY CASES OF THE BOARD OF DISCIPLINE

1) Board of Discipline Case No. BOD/692/2023 dated 10-Feb-2025

Background:

The complainant, owner of M/s M (later converted to a Section 8 company), accused CA of colluding with the Trust Secretary, leading to alleged misappropriation of over ₹18 crore.
Allegations included failure to comply with Income Tax and ROC filings, causing penalties and disqualification of directors; ₹1.3 crore transferred to CA XYZ from the Trust Secretary’s account on the day of an alleged ₹7 crore theft from the Trust, CA allegedly issued a cheque for ₹3.7 crore as a settlement for misappropriated funds.

Board’s Observations:

The complainant failed to provide credible evidence to prove theft or fraud.
₹1.3 crore received by the Respondent was explained as legitimate dues for professional services, supported by documents.
The cheque for ₹3.7 crore was neither encashed nor supported by evidence suggesting it was related to fraud; the Respondent claimed it was issued under coercion.
Several FIRs filed by the complainant against the CA were quashed or stayed by the High Court, citing them as baseless or filed under political pressure.
Investigations by the Enforcement Directorate (ED) and other authorities revealed that the claim of theft itself was false and misleading.

Conclusion:

The Board of Discipline (ICAI) held that CA is NOT GUILTY of other misconduct under Item (2) of Part IV of the First Schedule of the Chartered Accountants Act, 1949.

2) Case No.: BOD/655/2022 Date of Order: 10^th February 2025

Background:

This case arose from a complaint filed by A against CA, the former auditor of M/s B. The allegation centered around the Respondent’s refusal to issue a No Objection Certificate (NOC) to the incoming auditor, allegedly causing hardship to the company in appointing a new auditor. The complainant alleged that the Respondent acted with mala fide intent and deliberately delayed or denied the NOC, which was unethical and unprofessional.

Board’s Observations:

The Complainant lacked locus standi, as he was neither a director nor an authorised officer of the company. The authorisation provided was incomplete and not supported by proper board resolutions.
The dispute arose solely between two professionals (the Respondent and the incoming auditor) regarding procedural compliance for auditor change and pending audit fees.
The Respondent cited non-payment of his legitimate audit fees as the reason for withholding the NOC initially. The NOC was subsequently issued after payment.
The Board noted that the Complainant failed to appear before it, despite being served notice.

Conclusion:

The Board of Discipline held the Respondent ‘Not Guilty’ of ‘Other Misconduct’ under Item (2) of Part IV of the First Schedule of the Chartered Accountants Act, 1949.

3) Case No.: BOD/317/2017 | Date of Order: February 10 2025

Background:

This case was in connection with the widely publicised 2G Spectrum Case. The case was initiated based on CBI press releases, charge sheets, and media reports from 2011 alleging involvement in financial structuring and fund transfers aimed at circumventing Department of Telecommunications (DoT) regulations regarding license eligibility.

Key Allegations:

Colluding with other accused persons, to structure companies in a manner that misrepresented the ownership of S to secure telecom licenses.
Facilitating fund transfers of ₹95.51 crore and ₹3 crore to associated companies, allegedly to conceal the controlling interests.
Supplying false information to the DoT regarding shareholding patterns to misrepresent eligibility.

Board’s Observations:

The Board noted that the Special CBI Court (2G Spectrum Cases) had thoroughly adjudicated the matter and acquitted all accused, including the Respondent, citing a complete lack of evidence.
The Special Court highlighted that the charge sheet was based on misreading, selective reading, and out-of-context interpretation of official records.
The Court categorically stated that there was no evidence of criminality, no manipulation of policies, and no fraudulent intent proven.
The Board recognised that the funding structures through debt instruments (like preference shares and debentures) did not violate DoT guidelines, which only restricted equity cross-holdings beyond 10%.
The Board found that the Respondent acted within his professional role as an employee of the company, and no evidence substantiated any professional misconduct.

Conclusion:

The Board of Discipline held the Respondent ‘Not Guilty’ of ‘Other Misconduct’ under Item (2) of Part IV of the First Schedule to the Chartered Accountants Act, 1949, read with Section 22. Accordingly, the case was ordered to be closed under Rule 15(2) of the Chartered Accountants (Procedure of Investigations of Professional and Other Misconduct and Conduct of Cases) Rules, 2007

BCAJ Admin

Announcement of Award Winners – BCA Journal

We are pleased to announce the recipients of the prestigious awards for the year 2024-2025 as follows:

I. JAL ERACH DASTUR AWARD FOR BEST ARTICLE

• Adv. Pankaj R. Toprani

Title: “Chamber Research by the Judges Post Conclusion of Hearing –Whether Justified?”

[This Article Published on page 39 of November 2024 issue of the BCAJ]

Please scan the QR code to access the PDF copy of this Article.

II. S. V. GHATALIA FOUNDATION FUND AWARD FOR BEST AUDIT ARTICLE

(1) CA Anand Paurana

Title: “Audit Trail Compliance in Accounting Software”

[This Article Published on page 11 of December 2024 issue of the BCAJ]

Please scan the QR code to access the PDF copy of this Article.

(2) CA Kishor M. Parikh and Ms. Divya A. Khaire

Title: “Climate Change & Its Impact on Financial Statement”

[This Article Published on page 11 of Januaryy 2025 issue of the BCAJ]

Please scan the QR code to access the PDF copy of this Article.

III. JAL ERACH DASTUR AWARD FOR BEST FEATURE

CA Chandrashekar Vaze

Three Features Contributed by CA Vaze are as follows:

“Namaskaar”, “Ethics and You” and “Light Elements”

We congratulate all winners and appreciate their outstanding contributions and commitment.

BCA Journal Editorial Team

BCAJ Admin

BCAS Foundation Annual Activities Report – 2024-2025

The Board of Trustees of the BCAS Foundation are pleased to present the Annual Report of the activities of the Foundation during the Financial Year 2024-2025.

The year witnessed many activities during the financial year, with the help of volunteers and joint initiatives with the Human Resource Development Committee of the Bombay Chartered Accountants’ Society (BCAS Foundation). The list of activities and their impact analysis is given below:

1.0 CHILDREN’S EDUCATION

1.1 Science Laboratory and Books Library at M.M. High School, Umbergaon, Gujarat

BCAS Foundation has donated a Book Library, Science Laboratory and Four Smart Classrooms to M. M. High School, run by the Umbergaon Education Society, Umbergaon, Gujarat. The school has 125 years of glorious presence and history and has 2300 plus students.

On 9th August, 2024, the team of BCAS Foundation visited and inaugurated these facilities. President, CA Anand Bathiya; Trustees of the BCAS Foundation and Past Presidents – Dr CA Mayur Nayak and CA Deepak Shah; Chairman of the Human Resource Development Committee and the Past President CA Mihir Sheth; Chairman of the Seminar, Membership and Public Relation Committee and the Past President CA Chirag Doshi, Ms. Silky Anand Bathiya (First Lady of the BCAS), and other volunteers graced the occasion. CA Prakash Mehta, member of the BCAS and an ex-student of the M. M. High School 50 years ago, was also present at the inauguration ceremony.

The planning, designing and execution of the making of the Science Lab, Modern Library and the Smart Classes are worth appreciation.

The inauguration on 9th August coincided with “Adivasi Divas” and “Book Lovers Day”. Adivasi Students performed various dances and skits to celebrate the Adivasi Divas, followed by motivational speeches by eminent dignitaries and teachers.

At the end, the dignitaries and teachers planted a tree in their mother’s name in the school compound and participated in the movement called “Ek Ped Maa Ke Naam” – “एक पेड मा के नाम” by the Government of India.

These initiatives will benefit 2300-plus students every year. The impact was instant as within a couple of months, four science projects of the school were selected at the District Level, first time in the history of the school.

Ceremonies were diligently planned and executed meticulously.

1.2 Digital Classrooms at Talasari

BCAS Foundation continued its initiative to empower tribal and poor children of Talasari, Maharashtra, Umbergaon, Gujarat and surrounding areas with digital learning.

BCAS Foundation, with the help of Rushabh Foundation, sponsored 7 digital classrooms in two schools in the Talasari area.

Each digital classroom comprises a TV Screen and preloaded content of the curriculum of standards 1 to 10 of the SSC Board, Maharashtra. In the absence of teachers, students learn on their own with the help of digital classrooms.

1.3 Distribution of Notebooks to Children at Govandi-Mankhurd

BCAS Foundation distributed 4000 notebooks to needy children studying in Municipal Schools in the Govandi – Mankhurd areas, Mumbai, with the help of Dharma Bharati Mission (DBM).
Along with DBM, the Foundation has also been supporting an initiative of “Chalo English Sikhaye” to the students at Vernacular Medium Schools of Govandi – Mankhurd areas.

1.4 Support to the Balvatika Language Programme for Grades 1 and 2 at ARCH Foundation, Valsad, Gujarat

ARCH has been working for the past seventeen years in developing early childhood education processes for children in preschool and Balvatika age groups. It has also conducted focused programs for language and mathematics in Grades 1 and 2 of Balvatika. Based on this extensive experience, regular training sessions for supervisors and teachers under this project are organised at Dharampur.

This year, BCAS Foundation funded the material and training costs of this project, which was undertaken in collaboration with Nachiketa Trust in Balvatika, grades 1 and 2 of the Government Schools. The entire project was coordinated and supervised by teachers appointed by the Arch Foundation. In all, 292 students from six schools have benefited from this project so far.

2.0 COMMUNITY DEVELOPMENT ACTIVITIES JOINTLY WITH RANGOONWALA FOUNDATION (INDIA) TRUST

Rangoonwala Foundation (India) Trust-[RF(I)T] is a Mumbai based people-centric public charitable Trust, committed to empowering underprivileged communities in the slums of Mumbai through various programmes on capacity building, skill development and health.

During the FY 2024-2025 BCAS Foundation actively supported RF(I)T on capacity building and education related initiatives for marginalised women and children, in the slums of Mumbai.

During these joint initiatives, BCAS worked with RF(I)T in Mumbai’s ‘bastis’ through eight Community Centres in Premnagar- Andheri Plot, Subhash Nagar – Gumpha Road and Shivtekdi in Jogeshwari-east; Mahakali and Pump House in Andheri- east; Anandwadi and Pathanwadi in Malad east and Damunagar in Kandivali east.

Overall, 1735 women and youth from the above areas benefited. Fifteen skill development programmes were conducted benefiting more than 1300 women. More than 275 youth benefitted from the Aptitude Test and Career Guidance sessions conducted at various centres.

3.0 TREE PLANTATION DRIVE – MIYAWAKI FOREST

BCAS Foundation and Keshav Srushti Collaborate for Miyawaki Forest Project – 2024

On Sunday, 4th August 2024, the Bombay Chartered Accountants’ Society (BCAS Foundation), in collaboration with the NGO Keshav Srushti, launched the Miyawaki Forest Project – 2024 at Ismail Yusuf College, Jogeshwari (East), Mumbai. The initiative aims to contribute to environmental restoration and urban afforestation using the acclaimed Miyawaki plantation technique, developed by Japanese botanist Dr Akira Miyawaki.

Under this initiative, 1,000 native trees—including species such as Mango, Bakul, Kaner, Bel, Kadi Patta, and Neem—were planted in a compact 3,000 sq. ft. area. These trees are expected to grow 10 times faster and 30 times denser than traditional plantations, thereby fostering a self-sustaining urban ecosystem.

In his inaugural address, CA Anand Bathiya, President of BCAS Foundation, highlighted the significance of the event, citing BCAS Foundation’s 15-year-long commitment to environmental and community-centric initiatives, including captive plantations and rural upliftment programs in Dharampur, Gujarat.

Keshav Srushti, known for its extensive environmental initiatives, has planted over 1.25 lakh trees across Maharashtra and established 43 Miyawaki forests in urban and rural areas. Representatives, including Dr CA Mayur Nayak (Trustee, BCAS Foundation), CA Meena Shah and CA Utsav Shah (Active volunteers of the BCAS Foundation), Ms. Silky Anand Bathiya (First Lady of the BCAS), CA Rashmin Sanghvi (BCAS Member), CA Mihir Sheth (Chairman of the Human Resource Development Committee), Mr Sateesh Modh (President, Keshav Srushti), and Mr Vinay Nathani (Secretary), along with other BCAS Foundation volunteers and office bearers, graced the occasion.

This initiative aligns with BCAS Foundation’s continued commitment to sustainability, member engagement, and social responsibility.

4.0 BLOOD DONATION CAMP AND PLATELET AWARENESS DRIVE

On Friday, 16th May 2025, the BCAS Foundation, in collaboration with the Seminar, Membership & Public Relations (SMPR) Committee of the Bombay Chartered Accountants’ Society (BCAS Foundation), organised its annual Blood Donation Drive with the active support of Tata Memorial Hospital (TMH).

Notably, individuals with conditions such as controlled cholesterol, thyroid imbalances, or blood pressure were also considered eligible to donate, provided they fulfilled the requisite medical criteria. A total of 54 units of blood were successfully collected from eligible donors, which included the President of the BCAS – CA Anand Bathiya, the SMPR Committee Chairman – CA Chirag Doshi, members, and BCAS Foundation staff.

To foster awareness and dispel common myths surrounding platelet donation, a Platelet Donation Awareness Drive was also organised simultaneously.

As a token of appreciation, all donors were honoured with a “Life Saver” medal, along with a copy of the BCAS Calendar and a publication from the BCAS Book Mela, which was also held on the same day.

5.0 INTERNATIONAL YOGA DAY CELEBRATIONS

The BCAS Foundation, with the help of the Human Resource Development Committee, Organised “International Yoga Day Celebrations” on 21st June, 2025. The event was jointly organised with MaBap at Andheri East, Mumbai. The session was conducted both for Physical and online participants.

Mr. Pradeep Thakkar, the accredited Yoga Trainer, conducted the session.

The takeaways from the workshop are briefly given below:

1. Participants were guided to do various exercises and were explained the benefits of doing the exercises.

2. The exercises dealt with Asanas and tips for Osteoarthritis, Knee Pain, Blood Pressure, Diabetes and a lot more.

3. Also, breathing exercises, along with their benefits, were explained to the participants.

4. The benefits of yoga for digestion, Bloating, Chest and Lung congestion were explained.

5. The benefits of yoga for Flexibility, Strength and overall health were explained in detail.

Mr Vinayak Yadav, Founder of Aham Yog Institute, was a special guest and gave a talk for 5 Minutes on the importance of Yoga, not just for the body but for the mind also. He demonstrated exercise for Sciatica.

CA Mayur Nayak – assisted in the presentation and ensured the smooth conduct of the yoga. CA Gracy Mendes and CA Vinod Jain coordinated this event.
A Group Photo of Yoga Day Participants

This year, BCAS Foundation got recognition as a registered participant of the YOGA SANGAM, an initiative by the Ministry of Ayush, Government of India.

6.0 Other Activities

During the year, the Foundation extended medical and educational help to needy students and family members of the BCAS Foundation staff.

BCAS Foundation donated 350 sets of Steel Plates, Vati and Spoons to Prathmik Shala, Bhathi-Karambeli, Umbergaon, Gujarat.

During the CA-Thon Marathon, the Foundation donated Sewing Machines to needy women to enable them to earn their livelihood.

We take this opportunity to thank all our donors, volunteers, sister NGOs, office bearers of schools, Office Bearers and the Staff of BCAS, participants of all conferences/seminars at BCAS, for their continued support and encouragement to carry out some noble work to make a positive difference to the world. We also thank all beneficiaries and students / children for giving the opportunity to BCAS Foundation to serve them.

We welcome suggestions and volunteering. Kindly send volunteering requests to om1@bcasonline.org or bcasfoundation@bcasonline.org.

Best Regards,

For BCAS Foundation

Trustees

BCAJ Admin

Learning Events at BCAS

1. “Blood Donation & Platelet Donation Awareness Drive” on 16^th May, 2025

On Friday, 16^th May, 2025, the BCAS Foundation, jointly with the Seminar, Membership & Public Relations Committee of BCAS, held the annual “Blood Donation Drive”, enlisting the support of Tata Memorial Hospital (TMH).

Doctors and technicians from TMH screened 74 potential donors through the detailed questionnaire filled in by them. Contrary to popular belief, patients diagnosed with cholesterol, thyroid, blood pressure issues could also donate blood, provided they met certain criteria. 54 units of blood were collected from eligible donors, which included the President, Chairman of the SMPR committee, BCAS members and staff.

To create awareness and dispel the myths about platelet donation, a “Platelet Donation Awareness Drive” was also held with donors giving blood sample for the platelet donation eligibility check.

For their invaluable contribution, each blood donor was presented a “Life Saver” medal, the BCAS Calendar and a BCAS publication from the Book Mela which was held on the same day

2. International Economics Study Group – Operation Sindoor, Ceasefire or Surrender? What Comes After the Silence & Beyond the Battlefield: The Economic Repercussions of India’s Stand-off held on Monday, 12^th May, 2025 @ Virtual

In the meeting, CA Harshad Shah and CA Vijay Maniar presented the following points. Operation Sindoor, named to honour women widowed in the Pahalgam terror attack, marked a paradigm shift in India’s military strategy by challenging Pakistan’s assumption that nuclear threats deter conventional responses. Its objectives included disrupting terrorist infrastructure, preventing future attacks, and establishing a deterrence doctrine equating terrorism with conventional aggression. In 88 hours, India neutralised 9 terror infrastructures and 11 Pakistani airbases with precision strikes using BrahMos, HAMMER, and SCALP missiles while dismantling Pakistan’s air defences. The Indian Integrated Defense System (S-400, Akash platforms, anti-aircraft guns, fighter jets and electronic warfare system) successfully intercepted missile and drone attacks, showcasing cutting-edge technology. Strikes on strategic sites like Kirana Hills and Nur Khan Airbase crippled Pakistan’s nuclear command centres. Operation Sindoor delivered a psychological and tactical blow, signalling zero tolerance for terrorism and elevating India’s defence capabilities. Pakistan’s halt to hostilities under U.S. pressure highlighted its vulnerability. Key outcomes included bolstering India’s resilience, leveraging non-kinetic tools like Indus Waters Treaty suspension, and redefining counter-terrorism norms globally.

3. Indirect Tax Laws Study Circle Meeting on “GST on Societies, Trusts, Charitable Institutions, etc.” held on Monday, 5^th May, 2025 @ Virtual

Group leader, CA Mohit Gupta prepared and presented various case studies on GST on Societies, Trusts, Charitable Institutions, etc.

The presentation covered the following aspects for detailed discussion:

Concept of Clubs, Society, Members, Trust, etc.
Supplies by Resident Welfare Association (RWA), Different charges collected by RWA, Clubs.
Activities undertaken by Trusts, CSR Donation received by Trusts.
Taxability of different charges paid to RWA and Clubs.

Around 75 participants from all over India benefitted while taking an active part in the discussion. Participants appreciated the efforts of the group leader & group mentor.

4. Lecture Meeting on Fund Raising Opportunities through GIFT IFSC

Group leader CA. Nihar Dharod, prepared case studies covering various contentious issues around refunds under GST in consultation with Group Mentor Adv Keval Shah, Mumbai.

The Bombay Chartered Accountants’ Society (BCAS) hosted a lecture meeting detailing fundraising opportunities through GIFT IFSC (Gujarat International Finance Tec-City International Financial Services Centre) on 30th April, 2025. Speakers from the IFSCA, India International Exchange (India INX), and a legal firm discussed the regulatory framework, tax benefits, and strategic advantages for Indian and foreign companies seeking capital.

Arjun Prasad (GM, IFSCA) delivered a Keynote address and explained that the IFSCA acts as the unified regulator for GIFT City’s SEZ, streamlining regulations. He highlighted that GIFT City SEZ is treated as foreign jurisdiction under FEMA, enabling unrestricted capital flows and treating flows to domestic India as foreign investments. GIFT City has experienced substantial growth, with a significant increase in entities, banking assets, funds, and exchange turnover, aiming to compete with global financial hubs.

Riddhi Vora (Head of Listing, India INX) discussed India INX’s role as the first international exchange in GIFT IFSC, aiming to establish Gift City as a global price setter. Recent regulatory changes now permit direct equity listings for Indian companies on IFSC exchanges without mandatory prior domestic listing, facilitating capital raising from both resident and non-resident investors. IFSC listing regulations are designed to be less stringent than domestic ones, with lower minimum public shareholding requirements and flexible issue periods. India INX also promotes Green/ESG bond listings.

Ketki Gor Mehta shared that the IFSC within GIFT City’s SEZ functions as India’s offshore platform and transactions occur in freely convertible foreign currencies. While subject to Indian laws, IFSC entities enjoy specific tax exemptions and fiscal benefits. Beyond equity and debt, the IFSC supports ECBs and a growing fund management market, with advantages in specialized sectors like aircraft and ship leasing.

Vishal Yaduvanshi discussed recent regulatory changes that have created a robust framework for various entities to raise funds on IFSC exchanges through diverse instruments, including equity, debt, REITs, and InvITs. A key attraction is that FATF-compliant foreign companies can undertake fundraising without redomiciling to India. Generating liquidity is crucial for IFSC exchanges to attract more listings and investors.

Speakers responded satisfactorily to the queries raised by the participants. More than 200 participants attended the Lecture Meeting.

Youtube Link: https://www.youtube.com/watch?v=8yh3VNNfEvs

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5. ITF Study Circle Meeting on “Provisions of the New Income Tax Bill 2025 related to International Tax – Part 1” held on Tuesday, 29^th April, 2025 @Zoom

Group Leaders – CA Nemin Shah and CA Hansh Gangar

Decode the New Income Tax Bill, 2025 – International Tax Focus

Corresponding provisions of sections 6, 7 and 115A of the Income-tax Act, 1961 in the Income Tax Bill, 2025- Group Leader CA Nemin Shah

During the session, CA Nemin Shah started the discussion with general changes in the New Income Tax Bill, 2025 (ITB), such as changing the previous year and assessment year to tax year and replacement of provisos and explanations with sub-sections. The Group Leader discussed that broadly, except for the section numbering, there was no change in the language of the corresponding clauses to sections 6, 7 and 115A of the Income-tax Act, 1961(Act). The corresponding clauses in the ITB are sections 6, 7 and section 207. The Group Leader pointed out that in Explanation 1(a) of section 6 of the Act, the language ‘for the purpose of employment been changed to ‘for employment outside India ‘ in the corresponding clause in ITB clause 6(3)(b). The group discussed that this would result in a narrowing of the language. Another thought was whether it was just an attempt to simplify the language or something else. Further, the Group Leader went on to point out that the redundant sections in the Act were removed in the Bill.

Corresponding provisions of sections 9, 9A, 90 to 91of the Income-tax Act, 1961 in the Income Tax Bill, 2025 – Group Leader CA Hansh Gangar

CA Hansh Gangar started with the macro analysis of the changes in sections 9, 9A, 90 to 91. He pointed out that the provisions of business connection and Indirect Transfer were pushed behind in clause 9 of the ITB. Section 9A of the Act is now merged with clause 9 of ITB under clause 9(12). Further, eligibility conditions relating to business connections were listed in Schedule I. In the ITB, the term “for the purpose of” has been removed has been removed from many provisions. Further, provisions which are either redundant or have a sunset clause have also been removed. Provisions with single para with long explanations are now broken down into pointers. In the detailed comparative analysis, the Group Leader pointed out the changes in language, such as section 9(1)(ii) of the Act relating to Salaries has a language ‘…if it is earned in India’. This language has been removed from the ITB. He pointed out that in section 9(1)(vi)(b) of the Act relating to royalty, the restriction imposed by the term “any right, property or information used or services utilized” has been removed in the corresponding section 6(a)(ii) of ITB thereby widening the scope of royalty payments made for business outside India. The Group Leader also pointed out a typographical error in clause 6(a)(iii)(B) wherein the word ‘outside’ has been used. Further, in the definition of ‘royalty’ given in clause 6(b) of the ITB after the term ‘transfer’, the term ‘grant’ has also been inserted under ITB.

6. Direct Tax Laws Study Circle Meeting on Income-Tax Provision Applicable for FY 2025-26 held on Saturday, 26^th April, 2025 @Zoom

CA Avinash Rawani discussed important provisions of the Income Tax Act applicable for FY 2025-26:

i. New Tax Regime (Section 115BAC): Tax slabs have been revised, and the standard deduction under this regime has been increased from ₹50,000 to ₹75,000, effective 01.04.2025.

ii. Capital Gains Tax: Short-term capital gains (STCG) under Section 111A will be taxed at 20% (earlier 15%), and long-term capital gains (LTCG) under Section 112A will be taxed at 12.5% (earlier 10%) with indexation benefits withdrawn for post-23.07.2024 transactions.

iii. Business Income (Section 28): Rental income from residential properties held as stock-in-trade will now be taxed under “Income from House Property,” even if let out as part of the business.

iv. Start-up Incentives (Section 80-IAC): The eligibility period for start-ups to claim a 100% deduction of profits for three consecutive years has been extended to those incorporated before 01.04.2030.

v. Presumptive Taxation (Section 44BBC): Introduced for non-resident cruise ship operators, taxing 20% of gross receipts from passenger carriage.

vi. TDS and TCS Amendments: Numerous threshold limits have been increased across sections like 194A (interest) and 194 (dividends); new sections such as 194T introduced TDS on payments to partners in firms/LLPs.
vii. Form 3CD Reporting: Updated with new clauses to include presumptive income reporting, expenditure related to legal contraventions, MSME dues, and buy-back of shares compliance.

viii. Updated Return Filing (Section 139(8A)): Time limits extended up to 48 months post-A.Y. end, with corresponding increases in additional tax liability.

ix. Charitable Trusts: Registration validity for small trusts (income ≤ ₹5 Cr) was extended from 5 to 10 years, and procedural amendments were made for mergers and application errors.

x. Miscellaneous: Sunset clauses for IFSC tax concessions were extended to 31.03.2030, and numerous procedural and compliance changes (e.g., in reassessment, penalty provisions) were introduced.

The presentation was well received and appreciated by the participants.

7. Finance, Corporate and Allied Laws Study Circle – Overview of recent regulatory changes in Company Law & SEBI Listing Regulations and certain important ROC Adjudication Orders held on Thursday, 24^th April, 2025 @ Virtual

The Study Circle session on 24^th April, 2025, led by CS Gaurav Pingle, focused on recent changes in Company Law and, SEBI LODR Regulations and ROC / RD adjudication orders.

Key highlights on Company Law updates covered MCA’s launch of the e-Adjudication platform and CPC, CPACE to also undertake LLP strike-off, and facilitating changes in mobile/email of a DIN holder through DIR-3 KYC, ease of merger of a foreign holding company with its Indian WOS, extension of timelines for compulsory demat, LEAP rules for facilitating listing in IFSC, etc.

SEBI updates inter alia covered rumour verification, new norms for the appointment of secretarial auditors (brought in line with those applicable to statutory auditors), RPT exemptions, and changes in the procedure of reclassification of promoters.

The learned speaker deliberated on some Important ROC/ RD adjudication orders (relevant from CA’s perspective) on CSR lapses, delays in the appointment of internal auditors, private placement, etc.

The session was quite informative, giving an overview of the practical implications of the reforms as well as responding to all the queries raised by the participants.

8. FEMA Study Circle Meeting “Decoding FEMA Draft Regulations and Directions on Foreign Trade” held on Tuesday, 22^nd April, 2025 @Zoom.

Group Leader : CA Naziya Sayyed

Overview of Draft Regulations under FEMA:

• Examination of the key objectives behind the draft regulations and directions issued by the Reserve Bank of India (RBI) under the Foreign Exchange Management Act, 1999, focusing on modernisation, simplification, and alignment with current global trade practices.

Revised Framework for Import and Export Transactions:

• Discussion on the proposed changes in compliance procedures for cross-border trade, including timelines for realisation and repatriation of export proceeds and settlement of import payments.

Liberalisation vs. Control Mechanisms:

• Analysis of how the draft balances ease of doing business with necessary foreign exchange controls to safeguard India’s external sector stability.

Impact on Advance Payments and Deferred Payment Terms:

• Clarification of norms regarding advance remittances for imports and extended credit terms for exports, including risk mitigation measures suggested in the draft.

Directions on Third-Party Payments in Trade:

• Interpretation of the provisions regulating third-party payments in export/import transactions and their alignment with global banking practices.

Trade Credit Regulations:

• Review of updated norms for suppliers’ credit and buyers’ credit, including ceilings, maturity periods, and all-in-cost benchmarks.

Treatment of Merchanting Trade Transactions (MTT):

• Discussion on streamlined procedures and compliance requirements for merchanting trade, ensuring transparency and monitoring of such transactions under FEMA.

Penal Provisions and Non-Compliance Consequences:

• Overview of the enforcement mechanisms, penalties for contraventions, and the role of Authorized Dealers (AD Banks) in ensuring adherence to the directions.

Alignment with WTO and International Trade Norms:

• Evaluation of how the draft regulations harmonise India’s foreign exchange laws with international trade agreements and obligations.

Stakeholder Implications and Compliance Challenges:

• Identification of practical challenges for exporters, importers, banks, and consultants in adapting to the new regulatory environment and recommendations for ensuring a smooth transition once these drafts are finalised.

9. Full Day Seminar on “TDS and TCS Provisions – a 360° Perspective” held on Thursday, 17^th April, 2025 @ IMC.

Taxation Committee of the Bombay Chartered Accountants’ Society, in collaboration with the Indian Merchant Chamber of Commerce and Industry and the Chamber of Tax Consultants, organised a full-day seminar on “TDS and TCS Provisions – a 360° Perspective”.

The seminar commenced with a welcome address by office bearers of the organising institutions, followed by a keynote address by Shri Raj Tandon, Principal Chief Commissioner of Income Tax (Mumbai), who emphasised the government’s evolving approach toward compliance and streamlining of tax deduction and collection mechanisms.

Session 1 delved into critical issues under domestic TDS and TCS provisions, particularly Sections 194R, 194Q, 194D, 194J, and TCS on goods. The discussion focused on interpretational ambiguities, industry challenges, and compliance strategies. The session was moderated by CA Vikas Aggarwal, with panel insights from Ms. Vidhi Killa and CA Bhaumik Goda.

Session 2 dealt with enforcement-related aspects such as penalties, prosecutions, and compounding procedures under the TDS/TCS regime. It was chaired by Shri G.M. Doss, CCIT (TDS), Mumbai, who also delivered a keynote on departmental expectations and recent trends. The session was moderated by CA Mahendra Sanghvi and featured expert inputs from CA Rahul Verma and CA Jagdish Punjabi.

Session 3 addressed issues under Section 195 – TDS on payments to non-residents, including complexities involving Significant Economic Presence (SEP) and the Multilateral Instrument (MLI). The session began with a keynote by Smt. Malathi Sridharan, Principal CCIT (International Taxation & Transfer Pricing), West Zone, and was moderated by CA Sushil Lakhani, with panel contributions from Mr Vinod Tanwani (Pr. CIT, Mumbai), CA Sunil Choudhary and CA Ganesh Rajgopalan.

Session 4 focused on procedural and system-level issues, including TDS return filing errors, refund mismatches, credit issues, and lower deduction certificates. The discussion was moderated by CA Ameet Patel and featured participation from senior tax officers, including Mr Mudit Nagpal (CIT-TDS, Mumbai), Mr Sanjeev Kashyap (CIT-TDS), a representative from DGIT (Systems)/CPC, and CA Prayag Kinariwala.

The seminar concluded with closing remarks by Mr. Rajan Vora, Chairman Direct Taxation Committee, IMC. The event was highly appreciated for its expert-led, solution-oriented discussions and its 360° coverage of TDS and TCS provisions, offering valuable insights for both corporates and tax professionals.

10. CAMBA 2025 held on 11^th – 13th April, 2025 @ Atlas SkillTech University, Mumbai.

The Human Resource Development Committee of BCAS recently wrapped up an enriching and impactful event in collaboration with Atlas Skilltech University, Mumbai – CAMBA 2025. CAMBA 2025 was a 3-day course thoughtfully curated to cater to the evolving needs of Chartered Accountants across different stages of their careers.

This year, three specialised batches were conducted to maximize relevance and learning outcomes: below 35, below 35 (advanced) and above 35. Each batch featured content tailored to the specific professional journeys and aspirations of the participants, making CAMBA 2025 more focused and effective than ever before.

The program saw enthusiastic participation from 90+ Chartered Accountants representing almost 20 cities across India, bringing together a vibrant and diverse group of professionals.

A standout element of the course was the Speed Mentoring session, which allowed participants to engage directly with experienced leaders from the profession. This interactive session was particularly well-received and widely appreciated for its practical value and engaging format.

CAMBA 2025 was more than a course—it was a catalyst for transformation. The sessions inspired attendees to think strategically, act like leaders, and embrace the mindset of a visionary problem solver.

Programs like CAMBA continue to reflect the Society’s unwavering commitment to empowering its members with the tools, insights, and confidence they need to thrive in an ever-evolving professional landscape.

11. ESG Essentials seminar held on Friday 4^th April, 2025 @ Hotel Ginger

The seminar on ESG Essentials addressed the growing importance of Environmental, Social, and Governance (ESG) frameworks in shaping sustainable business practices and responsible corporate governance.
The introductory session established the urgency of integrating sustainability into business, emphasising the need for present actions to preserve resources for future generations and highlighting the pivotal role of professionals, especially Chartered Accountants, in ESG reporting and assurance.
The first technical session explained the ESG framework, recent global developments, and the significance of compliance, providing participants with practical insights on implementing ESG standards and building a sustainable foundation for organisations.
The session on green financing explored how climate change is influencing investment strategies, the role of public and private funding in supporting green infrastructure, and the current gaps and opportunities in green finance for India’s transition to a green economy.
Panel 1 provided an in-depth look at the SEBI-mandated BRSR (Business Responsibility and Sustainability Reporting) framework, discussing the nine guiding principles, the adoption of emerging technologies beyond AI and blockchain for ESG reporting, and the need for materiality and comparability in disclosures.
The panel also discussed India’s standing in ESG relative to global benchmarks, the broadening of assurance providers for ESG reports, and strategies for capacity-building within the profession, including the potential for India-specific ESG standards.

Panelists examined emissions management, especially the complexities of Scope 1, 2, and 3 emissions, and shared insights on how energy companies are transitioning from thermal to renewable energy, supported by innovative technologies and policy incentives.
Panel 2 addressed governance and transparency challenges, including the integration of ESG at the board level, embedding ESG into budgeting and resource allocation, and the importance of stakeholder engagement to ensure meaningful and credible ESG reporting.
The risks of greenwashing were discussed, with practical indicators for identifying superficial ESG claims and strategies for enhancing the reliability and value of ESG disclosures, including the proactive role of internal audit.
The seminar concluded with a discussion on ESG leadership models, debating the merits of dedicated sustainability roles versus integrated responsibilities and highlighting the need for clear accountability, robust governance, and ongoing professional development to advance ESG maturity.

Speakers: Gandharv Tongia, Himanshu Kishnadwala, Om Prakash Chandak, Priti Savla, Prabhu Narayan Singh, Rakesh Agarwal, Sarita Bahl, Mitika Bajpai, Vijayalakshmi Suresh.

12. One Day Conference on “Practical Issues under FEMA” jointly with CTC held on Saturday, 22^nd February, 2025 @IMC.

The International Taxation Committee of the Bombay Chartered Accountants’ Society, in collaboration with the Chamber of Tax Consultants, organised a full-day Conference on Practical issues under FEMA.

The seminar commenced with a welcome address by office bearers of the organising institutions, followed by a keynote address by Shri Prashant Kumar Dayal, General Manager, RBI. The keynote address was followed by a panel discussion session where General Managers and Deputy General Managers from RBI provided their detailed replies to various queries which were circulated to them and the participants before the conference. The responses of RBI managers, the depth and explanation of the answers and the forthcoming nature of the RBI managers to discuss the practical issues faced by the Professionals and AD banks were well appreciated by the participants.

The post-lunch session was taken up with CA Rutvik Sanghvi delved into certain very important recent developments on capital and current account transactions in FEMA. Dr. CA Mayur Nayak ably chaired the session.

The last session of the day was a Panel Discussion, which featured Shri. Himanshu Mohanty (Ex-General Manager, RBI), Mr Suhas Bendre – ex-AD Banker and CA Shabbir Motorwala as panellists and the discussion was ably chaired and moderated by CA Paresh P. Shah. The panel discussion involved discussion on case studies on practical issues such as cross-border share swap transactions, cross-border mergers, recent foreign investment clarifications and issues on certain specific transactions from an AD banker’s perspective.

The seminar concluded with closing remarks by office bearers of BCAS and CTC. The event was highly appreciated for its expert-led, solution-oriented discussions and practical insights due to the presence of the RBI managers.

II. BCAS QUOTED IN NEWS & MEDIA

BCAS was quoted in 6 news and media platforms during April 2025 and May 2025. These coverage reflect our thought leadership and commitment to the profession. For details

Youtube Link: https://bcasonline.org/bcas-in-news/

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BCAJ Admin

Regulatory Referencer

DIRECT TAX : SPOTLIGHT

1. Amendment in Form No. 27EQ to report collection of tax at source on sale of notified luxury items- Income-tax (Eleventh Amendment) Rules, 2025 – Notification No. 35/2025 dated 22^nd April, 2025

2. CBDT notified ten goods for collection of tax at source, when the sale value exceeds ten lakh rupees – Notification No. 36/2025 dated 22^nd April, 2025

3. Any expenditure incurred to settle proceedings initiated in relation to contravention or defaults under the following laws shall not be deemed to have been incurred for the purpose of business or profession and no deduction or allowance shall be made in respect of such expenditure – Notification No. 38/2025 dated 23^rd April, 2025

(a) the Securities and Exchange Board of India Act, 1992 (15 of 1992); (b) the Securities Contracts (Regulation) Act, 1956 (42 of 1956);

(d) the Competition Act, 2002 (12 of 2003)

4. CBDT notifies ITR-1 (Sahaj) & ITR-4 (Sugam) for AY 2025-26 – Income-tax (twelfth Amendment) Rules, 2025 – Notification No. 40/2025 dated 29^th April, 2025.

ITR-1 or ITR-4 can be filed with Long term capital gains taxable under section 112A (up to ₹1.25 lakh with no brought forward/ carry forward loss)
Changes made to capture details of deductions claimed under various sections.
Section under which TDS is deducted will be captured in Schedule-TDS.

5. Form ITR-3 amended- Income-tax (Thirteenth Amendment) Rules, 2025 – Notification No. 41/2025 dated 30^th April, 2025

6. Form ITR-5 amended – Income-tax (Thirteenth Amendment) Rules, 2025 – Notification No. 42/2025 dated 1^st May, 2025

7. Form ITR-2 amended – Income-tax (Fifteenth Amendment) Rules, 2025 – Notification No. 43/2025 dated 3^rd May, 2025

8. Form ITR-6 amended – Income-tax (Sixteenth Amendment) Rules, 2025 – Notification No. 44/2025 dated 6^th May, 2025

9. Form ITR-V amended – Income-tax (Seventeenth Amendment) Rules, 2025 – Notification No. 45/2025 dated 7^th May, 2025

10. Form ITR-7 amended – Income-tax (Eighteenth Amendment) Rules, 2025 – Notification No. 46/2025 dated 9^th May, 2025

11. In view of the extensive changes introduced in the notified ITR forms and considering the time required for system readiness and rollout of ITR utilities, CBDT has extended the due date for filing of ITRs for A.Y. 2025-26 which were due for filing on 31^st July, 2025, to 15^th September, 2025 – Press release dated 27^th May, 2025

II. FEMA

1. RBI released draft import-export regulations and directions on 4^th April, 2025

RBI had issued draft Regulations and draft Directions to the Authorised Dealers on Export and Import of Goods and Services, vide Press Release dated July 02, 2024 and kept it open for public feedback. Based on the feedback received and after consultations with various stakeholders, the draft Regulations and Directions have been further revised. RBI has now released these revised draft Regulations and Directions under FEMA. Comments and feedback were invited till 30^th April 2025. BCAS has submitted its representation on the draft regulations which is available on the BCAS website. Presently no timeline has been provided by when RBI will issue final import-export regulations and directions.

[Press Release no. 2025-26/41, dated 4^th April 2025]

2. RBI allows repatriation of full export value from ‘Bharat Mart’ UAE within 9 months of sale from warehouse

‘Bharat Mart’, is a multi-modal logistics network-based marketplace in United Arab Emirates (UAE). It provides Indian traders, exporters and manufacturers access to markets in UAE and worldwide. The following relaxations have been provided:

i) Exporters to realise and repatriate full export value within nine months from date of sale of goods from the warehouse.

ii) AD banks, after verifying the reasonableness, may allow the following without any pre-conditions:

a. Opening / hiring warehouse in ‘Bharat Mart’ by Indian exporter with valid Importer Exporter Code (IEC)

b. Remittances by Indian exporter for initial as well as recurring expenses for setup and continuing business operations of its offices.

[A.P. (DIR Series 2025-26) Circular No. 3, dated 23^rd April 2025]

3. FPIs now permitted to invest in corporate debt securities via general route without short-term investment and concentration limits: RBI.

The RBI has amended Master Directions on ‘Non-Resident Investment in Debt Instruments, 2025’ dated 7th January, 2025. Till now investment by FPIs in corporate debt securities through the general route were subject to the short-term investment limit and concentration limits. To provide greater ease of investment to FPIs, the RBI has decided to withdraw the requirement for compliance with these limits. The Master Directions have also been suitably modified.

[Circular FMRD.FMD.No.01/14.01.006/2025-26 dated 8^th May 2025]

4. IFSCA removes net worth requirement for all ‘Customers’ on ‘India International Bullion Exchange’

The net worth requirement for all class of customers participating in the bullion market is dispensed with. This comes in order to broaden participation and on receiving representation from India International Bullion Exchange (IFSC) Ltd. However, net worth requirement under IFSCA for Qualified Suppliers and Qualified jewellers continue to apply.

[Circular No. IFSCA-DMC/3/2023-Dept. of Metals and Commodities,dated 29^th April 2025]

BCAJ Admin

Miscellanea

1. TECHNOLOGY AND AI

#Chatbots Having Minimal Impact on Search Engine Traffic: Study

AI chatbots have barely made a dent in traffic to popular search engine sites over the past two years, according to a study by SEO and backlink services firm.

The study analysed global web traffic from April 2023 to March 2025. In the most recent year, chatbot sites accounted for just 2.96% of the visits received by search engines. Between April 2024 and March 2025, search engine traffic declined only slightly — down 0.51% to 1.86 trillion visits — while chatbots saw an 80.92% year-over-year spike in traffic.

The modest drop in search traffic suggests that, despite explosive growth, AI chatbots are not yet displacing traditional search behavior in any meaningful way.

“Even with ChatGPT’s massive growth, it still sees approximately 26 times fewer daily visits than Google,” wrote the author of the study, Sujan Sarkar, founder of OneLittleWeb.

The study also maintained that search engines are evolving rather than fading, integrating AI tools to offer a richer, more personalized user experience. At the same time, chatbots are carving out their niche in tasks requiring direct, customised responses.

The study also ranked chatbots by visits. ChatGPT was at the top of the list, followed by DeepSeek, Gemini, Perplexity, Claude, Microsoft Copilot, Blackbox AI, Grok, Monica, and Meta AI.

It noted the fastest-growing chatbots were DeepSeek and Grok. DeepSeek experienced a staggering surge in traffic, with total visits jumping from 1.5 million to 1.7 billion during the two-year study period, an increase of 113,007%. Grok’s growth was 353,787%, increasing from 61,200 visits to 216.5 million.

Vena contended that the real contest isn’t just about traffic. “It’s about controlling the user’s starting point when they have a question or goal,” he said. “Chatbots may win in productivity or assistance, while search engines still dominate for broad exploration and commerce. Integration and default positioning will shape the future more than features alone. The next wave may involve blended experiences that merge the strengths of both.”

Sterling agreed that the simple traffic analysis approach doesn’t tell the whole story about how usage is changing. “As people become more sophisticated about AI, they’re being more discriminating about how to use it versus search,” he noted. “The idea that people either use AI or search is false. Both are being used, but the ways that AI and search are used are evolving.”

Enderle pointed out that the market is at the very beginning of this trend. “I expect by 2030 kids will look back at non-AI search engines like they now look back at dial phones, asking, how anyone lived in these dark times,” he predicted.

(Source: www.techworld.com dated 6^th May, 2025)

2. WORLD NEWS

#US loses last perfect credit rating amid rising debt

The US has lost its last perfect credit rating, as influential ratings firm Moody’s expressed concern over the government’s ability to pay back its debt. In lowering the US rating from ‘AAA’ to ‘Aa1’, Moody’s noted that successive US administrations had failed to reverse ballooning deficits and interest costs.

A triple-A rating signifies a country’s highest possible credit reliability, and indicates it is considered to be in very good financial health with a strong capacity to repay its debts. Moody’s warned in 2023 that the US triple-A rating was at risk. Fitch Ratings downgraded the US in 2023 and S&P Global Ratings did so in 2011. Moody’s held a perfect credit rating for the US since 1917.

The downgrade “reflects the increase over more than a decade in government debt and interest payment ratios to levels that are significantly higher than similarly rated sovereigns,” Moody’s said in the statement. In a statement, the White House said it was “focused on fixing Biden’s mess”, while taking a swipe at Moody’s.

“If Moody’s had any credibility,” White House spokesman Kush Desai said, “they would not have stayed silent as the fiscal disaster of the past four years unfolded.” A lower credit rating means countries are more likely to default on their sovereign debt, and generally face higher borrowing costs.

Moody’s maintained that the US “retains exceptional credit strengths such as size, resilience and dynamism and the continued role of the US dollar as the global reserve currency”. The firm said it expects federal debt to increase to around 134% of gross domestic product (GDP) by 2035, up from 98% last year.

GDP is a measure of all the economic activity of companies, governments, and people in a country. The BBC has reached out to the US Department of Treasury for comment. The downgrade came on the same day as Trump’s landmark spending bill suffered a setback in Congress. Trump’s so-called “big, beautiful bill” failed to pass the House Budget Committee, with some Republicans voting against it.

Figures showed the US economy shrank in the first three months of the year as government spending fell and imports surged due to firms racing to get goods into the country ahead of tariffs. The economy contracted at an annual rate of 0.3%, a sharp downturn after growth of 2.4% in the previous quarter, the Commerce Department said.

(Source: www.bbc.com dated 17^th May, 2025)

3. ENVIRONMENT

# ‘Why the mighty Himalayas are getting harder and harder to see

I grew up in Nepal’s capital watching the Himalayas. Ever since I left, I’ve missed sweeping, panoramic views of some of the highest mountain peaks on Earth. Each time I visit Kathmandu, I hope to catch a glimpse of the dramatic mountain range. But these days, there’s usually no luck.

The main culprit is severe air pollution that hangs as haze above the region. And it’s happening even during the spring and autumn months, which once offered clear skies. Just last April, the international flight I was in had to circle in the sky nearly 20 times before landing in Kathmandu, because of the hazy weather impacting visibility at the airport.

Even from the major vantage point of Nagarkot, just outside Kathmandu, all that could be seen was haze, as if the mountains did not exist.

“I no longer brand the place for views of ‘sunrise, sunset and Himalayas’ as I did in the past,” said Yogendra Shakya, who has been operating a hotel at Nagarkot since 1996.

“Since you can’t have those things mostly now because of the haze, I have rebranded it with history and culture as there are those tourism products as well here.”

Scientists say hazy conditions in the region are becoming increasingly intense and lasting longer, reducing visibility significantly.

Haze is formed by a combination of pollutants like dust and smoke particles from fires, reducing visibility to less than 5,000m (16,400 ft). It remains stagnant in the sky during the dry season – which now lasts longer due to climate change. June to September is the region’s rainy season, when Monsoon clouds rather than haze keep the mountains covered and visibility low.

Lucky Chhetri, a pioneering female trekking guide in Nepal, said hazy conditions had led to a 40% decrease in business. “In one case last year, we had to compensate a group of trekkers as our guides could not show them the Himalayas due to the hazy conditions,” she added

On the Indian side, near the central Himalayas, hoteliers and tour operators say haze is now denser and returns quicker than before. “We have long dry spells and then a heavy downpour, unlike in the past. So with infrequent rain the haze persists for much longer,” said Malika Virdi, who heads a community-run tourism business in the state of Uttarakhand.

South Asian cities regularly top lists of places with highest levels of air pollution in the world. Public health across the region has been badly impacted by the toxic air, which frequently causes travel disruption and school closures. Experts believe the Himalayas are probably the worst affected mountain range in the world given their location in a populous and polluted region. This could mean the scintillating view of the Himalayas could now largely be limited to photographs, paintings and postcards.

“We are left to do business with guilt when we are unable to show our clients the mountains that they pay us for,” said trekking leader Ms Chhetri. “And there is nothing we can do about the haze.”

(Source: www.BBC.com Author Navin Singh Khadka dated 13^th May, 2025)

BCAJ Admin

Associate? Beware!

Arjun : (Chanting)

Hare Krishna, Hari Krishna, Krishna Krishna Hare Hare!

Shrikrishna : (after listening to the chanting)

O, Parth! Cool down. People remember me only when in difficulty.

When they are happy, they never think of me!

Arjun : Bhagwan, that may be true for other people. But I am your most loyal Bhakta’. I remember you constantly in my every breath!

Shrikrishna : Yes, dear! I know that. That is why I also keep you in my heart as my most favourite Bhakta and friend! Your innocence is enchanting!

Arjun : My friend is in deep trouble.

Shrikrishna : What happened?

Arjun : His senior was doing an audit of a company for many years. Now, because of rotation, the senior had to discontinue.

Shrikrishna : Ok. Then?

Arjun : The Senior was possessive about the assignment. So, he offered to my friend the audit, just for name’s sake.

Shrikrishna : Meaning?

Arjun : Meaning, the senior’s firm only will continue to do the entire audit. He said they have been very familiar with it for many years.

Shrikrishna : And your friend will sign it blindly for a small portion of the fees. Right?

Arjun : Yes, Bhagwan. But unfortunately, the fraud being committed by the CEO of the company over the past few years was exposed only this year!

Shrikrishna : This is very common, Arjun. But these things are continuously going on for years!

Arjun : Yes. The human nature is like that. You don’t want to give up an assignment. You want to ensure that it should remain with you for ever!

Shrikrishna : And the junior (your friend) has blind faith in the senior’s ability! He may sign even without visiting the client’s place even once!

Arjun : And also without even seeing the contents of what he is signing!

Shrikrishna : Ha! Ha!! Ha!!!

Arjun : Sometimes, CAs are helpless.

Shrikrishna : Why?

Arjun : They cannot displease the senior, especially where they have undergone articleship training. They cannot show distrust in the senior firm.

Shrikrishna : But Arjun, the clause of Part II of the Second Schedule clearly says that if a CA signs any document which is not verified by him or his employee or his partner, it is a misconduct. Here, you have not verified anything.

Arjun : And when there was an investigation, the senior only had to attend the interrogation! Apart from this, when we cannot cope with some work, we often engage an outsider – some friend or associate or ex-article or ex-employee! We don’t have time to supervise their work.

Shrikrishna : This is problematic. That person is not your employee or partner. He is a stranger. Then, it amounts to disclosing of the information of the client to an outsider without the consent of a client!

Arjun : OMG!! So that’s a separate misconduct!

Shrikrishna : Yes, see clause (1) of Part I of the Second Schedule.

Arjun : Then how to tackle this problem?

Shrikrishna : Simple! Don’t accept the work which you cannot execute with your own staff!

Arjun : Lord, saying this is very simple. But in practice………

Shrikrishna : Then be ready to face the consequences! You cannot eat the cake and have it at the same time.

Arjun : And we cannot call anybody as our employee unless we have corroborative evidence in terms of documents! But Bhagwan, clause (2) permits us to rely upon the examination done by another Chartered Accountant.

Shrikrishna : I agree. But in the case you narrated, the other CA was not officially in the picture. He was never appointed by the client nor by your friend! He did not carry out the examination independently, but he acted on Your behalf without any locus standi!

Arjun : That’s a point. You mean, if he had independently examined some part and certified it in some other context, then we could rely on the work done by him?

Shrikrishna : That’s right. For example, if another CA verifies sales or stocks who has certified them to be correct, then you may rely on his work.

Arjun : Understood. So, no Associate business! Remain within your capacity and within your means! Don’t be possessive. Don’t invite big risk for a small portion of fees! Do justice to your responsibility.

Shrikrishna : You said it!

Arjun : Thank you, Bhagwan.

(This dialogue is based on the common practice of engaging a stranger under the guise of ‘associate’ and signing the audit based on his work). Clause (1) and (2) of Part I of the Second Schedule.

BCAJ Admin

Book Review

(LEARNINGS FOR NGOs/NPOs INCLUDING BCAS)

Name of the Book: THE MAVERICK EFFECT BY HARISH MEHTA

Author: MR HARISH MEHTA

On 8^th February, 2025, I attended the Managing Committee meeting of BCAS as there was an interesting item on the agenda. That was to hear from two people about how “not for profit” organisations can be run and, what are the challenges in doing so and how the same can be overcome.

The two guest speakers who were invited to speak on this topic were Mr. Harish Mehta and Mr. Rajiv Vaishnav.

At the end of the meeting, all those present were handed over a copy of the book “The Maverick Effect” authored by Mr. Harish Mehta. This is an “Inside Story of India’s IT Revolution”. The name of the book intrigued me, and for some reason that I still can’t figure out, I mentioned to Mr. Mehta there and then that I would read this book and then write a book review about it in the BCAJ and send him a copy of that edition of the BCAJ. He was glad to hear this. The editor of the BCAJ was also present at that time, and he agreed to publish the book review. However, it took me much longer to finish the book than I had anticipated. At one social event where I met Mr. Mehta sometime in April, 2025, I reminded him about our meeting at the BCAS managing committee, and he reminded me that he had not yet received the book review. That really prompted me to quickly finish reading the entire book and then start writing this piece.

This is not merely a “book review” but also a note to myself (as one of the active members of the BCAS) and to other leaders (past, present and future) of the BCAS on the lessons that one can learn from the life of Mr. Mehta and his various experiences that he has vividly narrated in the book. In this article, I have tried to highlight various important lessons of life as well as important ways in which nation-building needs to be kept uppermost in one’s mind and actions while creating an organisation like NASSCOM & BCAS.

To begin, let me talk about Mr. Mehta himself. He is one of the founders of NASSCOM. No Indian can afford not to know what NASSCOM is. This body has played a stellar role in creating and sustaining Brand India on the global stage in many ways. He moved from the USA to India at a young age despite having a cushy job there. He began a small business which has, today, grown into a large organisation which is also listed on the stock exchanges. And, of course, he helped build NASSCOM. In this book, he has shared various incidents that give an insight into India’s bureaucracy, politicians, businessmen and, more importantly, leaders who shape the fortunes of millions all over the world.

The first lesson that I learnt from this book is about the importance of collaboration amongst competitors. In the initial days of NASSCOM, there was a crying need for this amongst the software companies of the country. Had they not collaborated in those years, who knows whether NASSCOM would have ever survived and thrived. Here, I would like to quote from the book itself:

The comparison is drawn between the formation of the European Union and NASSCOM:

In both cases, going against their grain, competing entities collaborated for the greater good. NASSCOM’s member companies put India ahead of individual interests. And the people involved were passionate about the causes they stood for.

The next lesson that is very important for me in the context of BCAS is the relevance and importance of core organisational values. The BCAS has always stood out because of the selfless work done by the core group consisting of volunteers and for its values. Many of the volunteers have been associated with the BCAS for several decades. And they have worked for the good of the BCAS without any expectations. Mr. Mehta writes in this book as under:

While each value is important, for me, the three that stand out are: (a) have ‘no personal agenda’, (b) ‘collaborate and compete’, and (c) practice a ‘growth mindset’.

The last value mentioned by him – “practice a growth mindset”, is something that is extremely relevant today for all professionals. For far too long, we have remained docile and meek. For a vast majority of the CA fraternity, “growth” is not something that comes naturally in day-to-day practice. I could be wrong in this judgment. But it is my perception based on interaction with lots of small and midsized CA firms. Apart from the mindset of growth, in today’s times, there is also a crying need for CA firms to “collaborate and compete”. Unfortunately, for several decades, CA firms have only been competing with each other. The time to collaborate is NOW.

Another interesting and relevant aspect of this book is how Mr. Mehta has graciously acknowledged the efforts of various people who passionately contributed to the building of the NASSCOM brand. Mr. Rajiv Vaishnav and the late Mr. Dewang Mehta are two such persons to whom Mr. Mehta has referred to multiple times in the book for their contribution to NASSCOM. This reminds me of the famous words of the former US President Mr. Harry Truman:

It is amazing what you can accomplish if you do not care who gets the credit.

The next important lesson that I could draw from the book and which applies to BCAS with equal force is putting the organisation above the individual. Mr Mehta writes:

NASSCOM was built by a few entrepreneurs, who were driven by the needs of an industry in its infancy. Today, the institution is indeed bigger than any one person or organisation. When we started NASSCOM, we dreamt of making tenfold leaps. We imagined an impossible billion-dollar industry when we were at a mere $120 million. Even when we were at $5 billion, we imagined another unimaginable $50 billion in the next ten years. The actual achievement has far surpassed our wildest imagination.

Neither at BCAS nor at the ICAI level, we have set definite goals in terms of growth of the profession. Unlike the commercial world of software, in the case of the CA profession, no organisation at the national level has set any targets for the profession. Our leaders need to ponder about this. Is there a need to set such targets? Would such an action be in the larger interest of the nation as a whole? Just as the software industry has served multiple purposes for the country, can growth in terms of revenues for our profession as a whole achieve any such altruistic goals at a national level? Obviously, at a firm level, several firms would be setting revenue or profit targets. But at a larger level, there is certainly no such move. Maybe the current and future leaders of the BCAS or the ICAI can think along these lines.

Another very important parallel that I could draw between NASSCOM & BCAS is about the role of each of these wonderful organisations. In the words of Mr Mehta, the role of an organisation like NASSCOM is:

If I could pick one term to describe NASSCOM, I’d say we are trusted catalyst for the IT industry and other stakeholders. We are and will remain independent. We will ensure that there is no vested interest in any outcomes, except the growth of the industry. We thus constantly intervene on myriad issues – from policy to guidelines to skilling, and more. Yet, we stay at arm’s length when it comes to ownership and creating new institutions.

BCAS has always prided itself in being independent and in being a catalyst for the CA profession. It has to its credit several pathbreaking and innovative initiatives that have, later on, been replicated by several other organisations. We have also been at the forefront of advocacy and have been trying to make a difference in the quality of legislations for many decades. The quality of our events and publications has always been appreciated by our members. So, in this respect, we are very similar to NASSCOM. The major difference is that of scale. Maybe, it’s time now to scale up the BCAS and take it to the next level. I am hopeful that the new-age leaders of the BCAS will rise to the occasion.

The next important learning from the book is about dealing with failures. Mr. Mehta has made a very pertinent and moving observation about failure:

The world celebrates success with accolades and trophies, but failure often has no friends. We could change this by encouraging more conversations about how failure is a necessary ingredient for success.

The BCAS, every year, felicitates new entrants to the CA profession by inviting successful students. BCAS has also, in the past, invited those students who have not succeeded in the exams and guided them in how to deal with failure and how failure is part and parcel of life, and, maybe, as mentioned by Mr Mehta, even necessary for success.

The last important point that stood out for me in the book is about the importance of family and relationships. While discussing about whether he has been able to create a “big” company, Mr Mehta dwells on the importance of family and relationships and sums up beautifully by: Finally, to me, the larger metric of success is my family, and the relationships I have nurtured and developed over my life. And with those, I am probably the Biggest 1.

All in all, I found “The Maverick Effect” by Mr. Harish Mehta very interesting, inspiring and useful. I do hope many members of the BCAS – particularly the core group members – will also read this book as we have a lot to learn from NASSCOM and people like Mr. Mehta about how to run a not-for-profit organisation and ensure that the organisation not only thrives but also makes a massive difference for our country which itself is standing on the cusp of a glorious future as we move towards “Viksit Bharat”.

BCAJ Admin

Tech Mantra

Some new interesting apps to make our daily lives easier:

MyMind

This is an app which is an extension of your mind – it is called MyMind. It is one beautiful, private place for all your bookmarks, inspirations, notes, articles, images, videos and screenshots. You can share anything with MyMind and save it.

You can find it later with a simple search. No need to organize anything yourself, the app does it for you automatically! The in-built AI engine understands the stuff you have saved and retrieves it based on simple English keywords without the need for your tagging it. There are no folders, no collections, no wasted time in organizing. Just think of it as a search engine for your brain. Of course, if you like to tag stuff for any project or topic, you are welcome to do so!

Sharing to MyMind is simple on the phone – just tap on Share and select MyMind – that’s it! There is also a Chrome extension to clip stuff from the web and store it in MyMind. The more you use it, the more efficient it gets! Similar notes with images or videos or text will all be automatically linked to each other.

Just one place to save everything you care about and just one place to find it! Amazing – a game changer!

mymind is the extension for your mind.

Quick Compare

This simple app helps you to check prices and delivery time on Instamart, Zepto, Minutes, DMart, Blinkit, JioMart and Big Basket. With real-time price comparison and delivery estimates, you can make smarter shopping decisions.

Quick Compare thus helps you save on your grocery bills and find the fastest delivery option across multiple platforms instantly. Instead of opening multiple apps and manually comparing stuff, this app allows you to do this in one single app.

The comparison is also available on their website – quickcompare.in – just enter your delivery area and the product and it will get you full details of the price and the estimated delivery commitments.

Once you choose where you wish to purchase from, you can just tap on it and purchase through the app as usual!

Android :https://tinyurl.com/quickcompare

Website :https://quickcompare.in/

TapScanner

This is an AI-enabled scanner which does much more than just scanning your documents. Of course, scanning is the primary function – you can scan anytime with your phone. But it is after scanning that the real magic starts!

You can edit and sign your pdf files after scanning and then share the files to your preferred platform. IDs and passports can be scanned in Digital Format. After scanning, you can convert the scans to multiple formats – .jpg, .txt, .doc or .pdf. An eraser is in-built to remove unwanted material from scanned documents. And then, AI kicks in – if you take a scan of multiple objects, AI can count the number of objects and display the results. And, if you scan a food item, it will even calculate the number of calories in that dish! Scan plants and get AI plant tips, along with recommendations!

A very interesting way to scan using AI – there is a free trial and if you like what you experience – go ahead and buy it!

Android :https://tinyurl.com/tpscn

YouTube Create

Convert your phone into a dashcam with Droid Dashcam!

Droid Dashcam is a great driving video recorder (dashboard camera, BlackBox) app for car / vehicle drivers that can continuously record videos in loop mode, add subtitles with needed information directly on those videos and record in the background, auto start recording, and much more.

You can overlay captions directly on the Recording Video file, including Timestamp (Date), Location Address, GPS Coordinates, Speed (based on GPS data), etc. You can continue recording in the background and use other apps that don’t use camera. You can also use the notification panel to start/stop recording while this app is running in the background. You can use any camera for recording (rear / front) but only some devices allow you to choose a camera with a wide-angle lens.

Overall, it is a great app if you will use your dashcam sparingly and do not need it daily.

Android : https://tinyurl.com/ytcrte

BCAJ Admin

Learning Events at BCAS

1. Indirect Tax Laws Study Circle Meeting on “Issues in the Hospitality Sector” held on Monday 14^th April 2025 @ Virtual.

The 1^st meeting of the Indirect tax study circle for 2025-26 was held on 14^th April, 2025 and attended by 90 participants. The Group Leader CA. Ronak Gandhi, prepared case studies covering the following contentious issues in GST pertaining to the hospitality sector:

a) Issues in determining the GST Rate for hotel accommodation services & restaurant services based on the room rate and the impact of additional services, such as extra beds, on such classification.
b) Eligibility of ITC on capital goods used for restaurants and already put to use, if the hotel decides to opt in as specified premises.
c) Classification conundrum (sale vs. services) for bakery and other ready to eat items supplied by eating joints, not operating as a traditional restaurant.
d) Taxability of packaged food items, water bottles & other beverages sold by Quick Service Restaurants
e) Tax implications of combo deals involving supply of food with alcohol for a lumpsum consideration
f) Valuation issues for goods supplied below the cost by a restaurant
g) Valuation issues for goods supplied to franchise-owned outlets vs company-owned outlets

A detailed deliberation was held on the case studies, and the members appreciated the efforts put in by the group leader & group mentor CA. Yash Parmar, Mumbai.

2. International Economics Study Group — Trump’s Tantrums: Shaping & Shaking Contemporary Geopolitics & Geo-Economics held on Tuesday 8^th April, 2025 @ Virtual.

In the meeting, CA Harshad Shah presented key global geopolitical & economic developments, prompting a lively exchange among the Group. The discussion addressed the ongoing tariff war and Trump’s territorial expansion agenda. Emerging trends such as de-dollarization, higher Bond yields, information warfare, and supply chain conflicts were explored alongside the escalating U.S.-China rivalry. Members argued that tariffs alone cannot fix the trade deficit, as they simply shift consumer spending rather than solve core problems. The Group highlighted negative outcomes of such policies, including higher consumer prices, reduced exports, and disruptions to global trade, all of which could weaken U.S. competitiveness and its financial leadership. With U.S.-China trade declining, India was seen as well-positioned to gain from new export opportunities. The meeting concluded with concerns about the risk of a U.S. recession or worse amid these turbulent dynamics.

3. Indirect Tax Laws Study Circle Meeting on “Issue In GST Refund” held on Thursday, 27^th March, 2025 @ Virtual

Group leader CA. Nihar Dharod, prepared case studies covering various contentious issues around refunds under GST in consultation with Group Mentor AdvKeval Shah, Mumbai.

The material covered the following aspects for detailed discussion:

1. Implication of section 16 (5) on refund rejection orders that are not challenged
2. Is the claim for refund of tax paid on SEZ supplies subject to limitation?
3. Refund claims arising due to negative tax liability on account of credit notes
4. Interest on refunds delayed due to litigation.
5. Refund of tax paid on contracts cancelled after the time limit prescribed u/s 34.
6. Whether retention clauses in export contracts result in non-compliance with realization provisions?
7. Implications of amendments relating to rules 89 (4A), 89 (4B) and 96 (10).

Around 50 participants from all over India benefitted while taking an active part in the discussion. Participants appreciated the efforts of the group leader & group mentor.

4. International Women’s Day 2025 “EMPOWERED WOMEN = EMPOWERED LIVES” held on Monday, 24^th March 2025 @ BCAS

The Women’s Day event for 2025 was held on 24^th March 2025 at the BCAS Hall at Jolly Bhavan. The SMPR Committee and the HRD Committee jointly conducted the event. The theme for the event was Empowerment, and to celebrate this theme, three ladies who are themselves empowered in various capacities, addressed the gathering.

CA Shradhha Joshi Barde, who is an entrepreneur in the field of sustainable and slow fashion, shared her journey from numbers to fashion. She explained the concept of slow fashion and also elaborated on mindful consumption which can have a great ecological impact.

When we talk of empowerment, there are various enablers to this aspect, the key ones being a healthy mind and a healthy body. Ms Neha Pandit Tembe, who is a qualified nutritionist very well elaborated on the various aspects of health from the point of view of nutrition. She included the concepts of a healthy plate, healthy inventory shopping as also reading food labels, which was very insightful. Ms Prajakta Gupte conducted an interactive session where she made the audience do some exercises which they could do at their workplaces and avoid aches and pains. She also conducted breathing exercises and meditation.

The event was well received by the audience, whose feedback made it clear that they had great takeaways from the session.

Youtube Link: https://www.youtube.com/watch?v=LOH4XqgM2mw

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5. BCAS Nxt Learning and Development Bootcamp on Bank Branch Audit from Article’s Perspective held on Saturday, 22^nd March, 2025 @ Virtual

The Human Resource Development Committee of BCAS organized a BCAS NXT Learning & Development Bootcamp on “Bank Branch Audit from Article student’s perspective” on Saturday, 22^nd March, 2025. The session was led by Mr Atharva Joshi & Ms Sanskruti Nalegaonkar, CA Final students, who delivered a comprehensive presentation on the planning & preparation for bank branch audit. The presentation covered a wide range of topics, including Key concepts & Essential Terms, LFAR & compliance reporting, Core audit areas and Audit finalization & closure. They also shared practical experiences to help beginner article students navigate the complexities of Bank Branch Audits.

CA Rishikesh Joshi, the mentor for the session, provided valuable insights and guidance throughout, offering expert interventions as needed. The boot camp was held in person at the office of Kirtane&Pandit LLP, Chartered Accountants and streamed online, with active participation from students across India.

Youtube Link: https://www.youtube.com/ watch?v=Wdh075aF1O8

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6. XIIIth Residential Study Course on IND AS held from Thursday 20^th March, 2025 to Saturday 22^nd March, 2025@ The Rhythm Lonavala.

BCAS has always been a pioneer in equipping its members in particular and other stakeholders at large, with the knowledge of Ind AS. BCAS had started the subject specific Residential Study Course (RSC) for achieving the stated objective.

The Accounting & Auditing Committee organised its XIIIthInd AS Residential Study Course to address the practical challenges in IND AS and also share the experiences of experts in dealing with and addressing such challenges. This year, the format of the RSC included 3 papers for Group Discussion (GD) covering a very wide range of interesting issues, 2 papers for presentation, followed by the Panel discussion by eminent panellists. The RSC was held for 2 nights and 3 days from 20^th March 2025 to 22^nd March, 2025 at Rhythm Hotel, Lonavala.

The main objective of the RSC was to provide a platform to the Members in Industry and Practice to come together and get the opportunity to get deep insights into the practical challenges which they face while implementing the complex standards. The individual sessions were designed to give practical and case study-based insights to the participants on various topics.

RSC Programme Schedule included the following topics and speakers:

The RSC was inaugurated with the opening remarks from the President of BCAS, CA Anand Bathiya, followed by the Chairman of the Accounting and Auditing Committee – CA. Abhay Mehta, both of them underline the importance of knowledge sharing and the role of the BCAS in conducting such a Residential Study Course. To make the RSC interesting and engaging, domain expert speakers with relevant experience were invited to give participants practical insights and wholesome experiences.

The course started with the presentation session of CA Himanshu Kishnadwala, where he updated the participants on various NFRA orders, practical examples and issues and Learnings from the same. He also highlighted the NFRA Educational series which would be relevant for the Audit Committee to discuss the issues in Audit with the Auditors.

The first Group Discussion on Ind AS 116 on Lease &Ind AS 103 on Business Combination under common control was followed by the Session of the paper writer – CA Alok Garg who dealt with both the IND AS and critical case studies covering detailed concepts of both the standards besides sharing his practical experience of the industry with the participants.

The second Group Discussion on Ind AS 115 on Revenue from Contracts with Customers was followed by the Session of the paper writer – CA Archana Bhutani, covering the issues in Revenue Recognition and also covering concepts and issues in E-Commerce and Fintech platforms. The paper writer also made the presentation on Updates on Important Amendments in Ind AS Applicable to the March 2025 closure and also highlighted amendments in relevant IFRS.

The third Group Discussion on Case Studies on Intricacies in Financial Instruments (Ind AS 32 &Ind AS 109) was followed by the Session of the paper writer – CA R. Venkat Subramani, covering the issues in ECL and Hedge Accounting.

The Panel Discussion on Connectivity between Financial Statements and Sustainability was moderated by the Chairman of the Committee – CA Abhay Mehta, covering the relevant Issues and Questions for the eminent Panelists CA Himanshu Kishnadwala who shared his experience as a Member in Practice on the professional opportunities available to the members in the areas of ESG and CA Raj Mullick as Member in Industry sharing his experience and challenges in implementing ESG and sharing his views on Carbon Credits.
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The RSC provided excellent opportunity to gain valuable knowledge and practical insights on the topics covered and gave the chance to interact with the speakers and participants through informal chats. 70 participants from across India attended the course, and was well received, and the overall feedback from the participants was very encouraging.

7. Finance, Corporate and Allied Law Study Circle Meeting on “How to read and analyse Annual Report” held on Friday, 7^th March 2025 @ Virtual.

The session was intended to highlight the need for a paradigm shift from financial literacy to financial intelligence, i.e. not only to be able to read the annual report but to attempt to understand and analyse the same and connect the dots to unlock the secrets of the annual report.

CA Pankaj Tiwari’s approach from concept to case studies made the session very enriching.

He took the participants through the regulatory framework contents of the annual report, including critical areas, identification of red-flags, key points for investors, ICAI’s AI tools for analysis, important aspects in analysis, and recent developments in India and globally in financial reporting. He emphasised to connect the dots between financial as well as equally important non-financial information.

He was joined by CA Meet Gandhi for certain case studies.

To summarise, the learned speaker, through his vast knowledge and experience, enlighted the participants about the intelligent analysis of the annual report.

Youtube Link: https://www.youtube.com/watch?v=WLxs8_S_BoA

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8. आDaan-Daan– BCAS Mentoring Circle – Season 4

The fourth season of ‘आDaan-Daan – BCAS Mentoring Circle’, an initiative of the Seminar, Membership and Public Relations Committee of BCAS, unfolded between January and March 2025, with 19 mentors and 20 mentees coming together for one-on-one online sessions.

This year, the program welcomed participants without any age restrictions, acknowledging the evolving nature of mentorship, including a few reverse mentoring requests received in the previous season.

Open to both members and non-members, the series continued its aim of fostering meaningful professional conversations.

Rather than a fixed format, mentees set the direction—sharing their background, aspirations, and challenges in advance—giving mentors the opportunity to prepare and personalise the interaction.

The strength of the series lay in its simplicity: guided conversations that encouraged reflection, direction, and clarity. Care was taken to pair each mentee with a mentor whose experience aligned with their goals.

Feedback from both sides pointed to the value of a safe space for exchange, where curiosity met experience. Mentors appreciated the platform to contribute meaningfully, while mentees walked away with new insights and confidence.

The Committee thanks all participants and looks forward to building on this growing community of shared learning.

9. Online Panel Discussion on Recent Developments in Taxation of Charitable Trusts held on Thursday, 20^th February, 2025 @ Zoom

The webinar on the recent developments in the taxation of charitable trusts got more than 100 plus registrations.

Dr. Manoj Fogla discussed the background and implications of the two landmark Supreme Court decisions (New Noble Education Society and Ahmedabad Urban Development Society) that unsettled many settled legal positions regarding charitable trusts. He explained how charitable trusts traditionally generate income and the challenges posed by recent amendments and court rulings on the taxability of various types of income, including incidental business activities. He also provided insights into the spirit of the law concerning the application of income by trustees and the evolving interpretation under section 11 of the Income Tax Act.

CS Suresh Kumar Kejriwal took the lead in explaining the amendments proposed in the Finance Bill and the Income Tax Bill 2025, focusing on key concepts such as “substantial contributor,” “specified persons,” and the new rules affecting the exemption and business income of charitable trusts. He elaborated on how these amendments impact the compliance and tax planning for trusts, especially in light of the unsettled legal landscape after the Supreme Court decisions.

Mr Gautam Nayak moderated the session, introduced the panellists, and contextualized the discussion by highlighting the significance of the topic for the nonprofit sector. He emphasized the role of IMC and BCA in supporting professionals and organizations through knowledge dissemination and advocacy on taxation issues affecting charitable trusts.

This structured presentation helped clarify the complex and evolving tax framework for charitable trusts in India, addressing recent Supreme Court rulings, legislative amendments in 2023 and 2024, and the implications of the newly introduced Direct Tax Bill. The experts provided practical guidance on compliance challenges and strategic considerations for charitable trusts under the current tax regime.

Youtube Link: https://www.youtube.com/watch?v=l00dA2jYgf0

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10. Webinar on New Income Tax Bill, 2025 held on Tuesday 18^th February, 2025 @ Zoom

The webinar on the new Income Tax Bill 2025 featured esteemed Chartered Accountants discussing the bill’s implications, structure, and expected impact. It got more than 600 plus registrations.

CA GautamNayak addressed some of the important points as enumerated below:

Outlined the bill’s structural changes: reduction in sections (from 819 to 536), chapters (from 47 to 23), and word count (from about 512,000 to 260,000), with schedules increased from 11 to 16.
Highlighted the removal of complex provisos and explanations, replaced by clearer subsections and clauses, and elimination of confusing alphanumeric section numbers.
Warned that frequent amendments may continue to complicate the law over time, potentially undermining the simplification effort.
Noted the government’s provision of FAQs and a navigator tool to help users transition from the old to the new law.
Stressed that the bill has been referred to a parliamentary Select Committee for further review, and its ultimate impact will depend on future amendments and implementation.

Some of the key points addressed by CA Bhadresh Doshi:

Budget Speech Expectations: Despite the Finance Minister’s indication that the new Income Tax Bill would carry forward the “spirit of Naya” (newness), similar to the changes in the Indian Penal Code, there were no significant decriminalization or dilution of penal provisions for offences like TDS/TCS defaults.

Commendable Effort with Side Effects: CA Doshi acknowledged the commendable effort of 150 officers who spent approximately 60,000 man-hours simplifying the six-decade-old law but pointed out potential “side effects” resulting in new complications.

Missing Punctuation and Language Issues: He highlighted instances where simplification led to issues due to changes in language.

Inconsistencies in Referring to Old Provisions: He pointed out inconsistencies in how the new bill refers to the Income Tax Act, 1961, and the Indian Income Tax Act, 1922, across different sections.

Income from Salaries: CA Doshi noted no changes in provisions related to income from salaries, except for government employees, where the entertainment allowance deduction under Section 16 has been omitted in the new bill (Section 19).

Income from House Property: CA Doshi discussed several changes in provisions related to income from house property:

Intentional vs. Unintended Changes: CA Doshi clarified that it is unclear whether the identified changes were intentional or unintended errors, and only time will reveal their true nature.

In summary, CA Doshi’s key points revolved around unintended complications arising from the simplification process, inconsistencies in referencing older laws, and specific changes in provisions related to house property and salaries. He emphasized the need for careful interpretation and potential rectifications in the future.

The webinar was very well received by the participants.

II. OTHER EVENTS

1. Session On Eye Health Care for the BCAS Staff held on Tuesday 8^th April, 2025 @ BCAS

The Bombay Chartered Accountants’ Society (BCAS) organised a session on eye health care on 8th April, 2025. The session was conducted by Dr. Viram Agrawal, a renowned expert in eye care. It was held at BCAS premises from 5:30 p.m. onwards. The session aimed to educate staff members on maintaining good eye health and preventing eye-related problems.

Dr Agrawal shared practical tips on reducing eye strain, such as blinking regularly and palming. Staff members learned about best practices for protecting their eyes from potential hazards.

Staff members actively participated in the session, asking questions and engaging in discussions. Dr. Agrawal’s expertise and guidance were highly appreciated by the attendees. Staff members left with practical knowledge and awareness about maintaining good eye health.

The eye health care session reflects BCAS’s commitment to prioritizing staff well-being and promoting holistic growth and development. By organizing such initiatives, BCAS demonstrates its concern for staff’s overall health and well-being.

2. Session on Yoga for the BCAS Staff held on Monday 17^th February, 2025 @ BCAS

As part of our ongoing staff development program, the Bombay Chartered Accountants’ Society (BCAS), CA Raman Jokhakar, Past President of the BCAS, conducted an informal session on Yoga and how it is beneficial for the staff working in BCAS, on 17 February 2025, at Churchgate Chambers from 5:30 p.m. onwards.

He informed about the yoga techniques and breathing exercises to reduce stress and improve productivity. He also highlighted the benefits of yoga for overall health. He suggested to invite a yoga expert who can show the yoga techniques to the staff. The session was informative, engaging, and well-received, boosting staff morale and productivity. BCAS continues to prioritise staff well-being and development, reflecting its commitment to holistic growth.

CA Raman Jokhakar also suggested a future session on eye health care with Dr Viram Agrawal, further demonstrating BCAS’s dedication to staff’s overall health and well-being. The session was a success, and the feedback was positive.

III. BCAS QUOTED IN NEWS & MEDIA

BCAS has been quoted in 113 esteemed news and media platforms, reflecting our thought leadership and commitment to the profession. For details

Link: https://bcasonline.org/bcas-in-news/

QR Code:

BCAJ Admin

Regulatory Referencer

DIRECT TAX : SPOTLIGHT

1. Order under section 119 of the Income-tax Act, 1961 for waiver regarding levy of interest under section 201(1A)(ii)/ 206C(7) of the Act, in specific cases – Circular No. 5/2025 dated 28^th March, 2025

While making payments of TDS and TCS to the credit of the Central Government as per section 200 and 206C of the Act, the taxpayers have encountered technical glitches. Due to such glitches, the amount is credited to the Central Government after the due date. The CCIT, DGIP or PrCCIT may reduce or waive interest charged under section 201(1A)(ii) / 206C(7) of the Act in the class of cases where-

1) the payment is initiated by the taxpayers / deductors /collectors and the amounts are debited from their bank accounts on or before the due date, and

2) the tax could not be credited to the Central Government, before due date because of technical problems, beyond the control of the taxpayer / deductor / collector.

2. Income-tax (Sixth Amendment) Rules – Notification No. 21/2025 dated 25^th March, 2025

a) Amendment to Rule 10TD(3B) – Safe Harbour Rules to apply to Assessment year 2026-27

b) Amendment to Rule 10TE(2) – specific safe harbour benefits apply to one assessment year only

c) Safe harbour margins for multiple international transactions have been revised

3. Amendment to clauses of Form 3CD – Income-tax (Eighth Amendment) Rules – Notification No. 23/2025 dated 28^th March, 2025

4. Rule 114 is amended to provide that every person who has been allotted permanent account number on the basis of Enrolment ID of Aadhaar application form filed prior to the 1^st day of October, 2024, shall intimate his Aadhaar number to prescribed tax authorities on or before the 31^st day of December, 2025 or such date as may be specified by the Central Board of Direct Taxes in this behalf. –

Income tax (ninth Amendment) Rules, 2025 – Notification No. 25/2025 and No. 26/2025 dated 3^rd April, 2025

5. No TDS is required to be deducted under section 194EE on withdrawals made by an individual from NSS accounts on or after 4^th April 2025. – Notification No. 27/2025 dated 4^th April, 2025

6. Insertion of Rule 12AE and Form ITR B – Income-tax (Tenth Amendment) Rules – Notification No. 30/2025 dated 7^th April, 2025

The return of income required to be furnished by any person under section 158BC(1)(a) relating to any search initiated under section 132 or requisition made under section 132A on or after the 1^st September, 2024 shall be in Form ITR-B.

7. 30^th April, 2025 shall be the last date, to file declaration under Vivad se Vishwas Scheme, 2024 Notification No. 32/2025 dated 8^th April, 2025

FEMA

1. RBI issues new Master Direction on “Compounding of FEMA contraventions”, updates it again in a couple of days

RBI had revamped the framework for compounding of contraventions in September 2024. A Master Direction on Compounding has now been issued on 22^nd April 2025. While the Master Direction compiles the Instructions and underlying Notifications / Circulars, there have been important amendments made too on 22^nd April 2025. The provision of linking of compounding amount to earlier compounding applications has now been removed. Further, while intimating the online payment of compounding application fees, certain additional details are now required to be mentioned in the email. These are – mobile number; Office of RBI to which payment is made; and the Mode of submission of application – Physical or through PRAVAAH Portal.

There has been a further amendment made to the Compounding Matrix on 24^th April 2025. A cap of ₹12 lakhs per contravention of each rule/ regulation has been prescribed for compounding penalty considering the nature of contravention, exceptional circumstances and in wider public interest – as per the satisfaction of the Compounding Authority. An important point to note here is that this cap is applicable only to residual cases in Row 5 of the compounding matrix and not the other contraventions specified in Rows 1 to 4 of the matrix.

[A.P. (DIR Series) Circular. No 02/2025-26 dated 22^nd April, 2025]

[A.P. (DIR Series) Circular. No 04/2025-26 dated 24^th April, 2025]

2. RBI keeps FPI investment limits in G-Secs, SGSs, and corporate bonds unchanged for FY 2025-26.

The limits for Foreign Portfolio Investment remain unchanged for 2025-26 at six per cent for Government Securities (G-Secs), two per cent for State Government Securities (SGSs) and fifteen per cent for corporate bonds. All investments by eligible investors in the ‘specified securities’ shall be reckoned under Fully Accessible Route (FAR). The aggregate limit of the notional amount of Credit Default Swaps sold by FPIs shall be five per cent of the outstanding stock of corporate bonds.

[A.P. (DIR Series 2025-26) Circular No. 1, dated 3^rd April 2025]

3. Bonus shares can be issued in FDI-prohibited sectors if pre-existing foreign shareholding doesn’t change: Government clarifies.

A clarification is inserted under Para 1 of Annexure 3 to the FDI Policy. It states that an Indian Company engaged in a sector/activity prohibited for FDI, is permitted to issue bonus shares to its pre-existing non-resident shareholder(s) if the shareholding pattern of the pre-existing non-resident shareholder(s) does not change on account of the issuance of bonus shares. This clarification will be effective from the date of amendment in the applicable FEMA Notification which is pending.

[Press Note No. 2 (2025 SERIES)]
[DPIIT F.NO. P-15022/1/2025-FDI POLICY], dated 7^th April 2025]

4. IFSCA amends ‘Framework for Ship Leasing’; permits lessors to open SNRR accounts with authorised dealers outside IFSC.

“Currency for conduct of business” provisions of the “Framework for Ship Leasing” have been amended. Lessors are now permitted to raise invoice in any foreign currency specified in IFSCA (Banking Regulations), 2020. The lessor can open an SNRR account with an authorised dealer, even outside IFSC.

Further Clause 2 of circular on “Additional requirements for carrying out the permissible activities by Finance Company as a lessor under ‘Framework for Ship leasing’” is also amended. The restricted activities – transfer of ownership or leasehold right of a ship or ocean vessel, from a resident to an entity set up in IFSC, for the purpose of providing services solely to resident – shall not be undertaken in any single financial year. Further, this restriction shall not apply when a new ship or ocean vessel is acquired from a shipyard in India.

[Circular F. No. 496/IFSCA/FC/SLF/2025-26/01, dated 7^th April 2025]

5. Requirement for meetings of Governing body of IFSC Banking Units relaxed: IFSCA.

The IFSCA has relaxed the requirement for meetings of the governing body of IFSC Banking Units (IBUs). The governing body must now meet at least once in each quarter of a financial year, and there is flexibility to hold additional meetings as needed. This replaces the earlier mandate of meeting at least once each quarter as well as six times in a financial year.

[Circular F. No. IFSCA-FMPP0BR/8/2025-Banking/001, dated 8^th April 2025]

6. RBI issues draft unified export-import norms, seeks public input by 30^th April 2025.

RBI had earlier released draft regulations and directions on Export and Import of Goods in Services in July 2024 and invited public feedback and comments on the same. Based on the feedback received, the RBI has made further changes. These drafts are open for public comments till 30^th April 2025.

[Press Release No. 2025-26/41, dated 4^th April 2025]

7. IFSCA notifies ‘Capital Market Intermediaries Regulations’ outlining framework for registration of intermediaries operating in IFSCs.

The IFSC Authority has replaced the IFSCA (Capital Market Intermediaries) Regulations, 2021 with IFSCA (Capital Market Intermediaries) Regulations, 2025. These regulations lay down the regulatory framework for registration, regulation, and supervision of capital market intermediaries operating in IFSCs in India. Further, the regulations cover norms relating to registration of capital market intermediaries, application procedures, net worth requirements, and the appointment of principal officer, compliance officer, and other human resources.

[Notification No. IFSCA/GN/2025/003, dated 17^th April 2025]

8. IFSC Authority notifies KYC Registration Agency Regulations, 2025

IFSCA has notified the IFSC (KYC Registration Agency) Regulations, 2025. These regulations cover provisions related to the application for the grant of a certificate of registration, the legal form of the applicant, net worth requirements, and the appointment of a Principal Officer, Compliance Officer, and other human resources. Further, regulations cover norms related to registration requirements, code of conduct, maintenance of books of account, and functions of KRA & Regulated Entity.

[Notification No. IFSCA/GN/2025/004, dated 17^th April 2025]

BCAJ Admin

Letter to The Editor

Dear Editor,

We have been reading articles from Dr. Anup Shah for last over 2 decades. The breadth of and canvas of large number of issues dealt with, in an expertly manner and dealing with large number of topics of interest for practicing chartered accountants has been useful and complementary in doing practice. The selection of subjects have been contemporary and meaningful. The dealing with subjects with its judicial background gives more credence and reliability to the subjects dealt with by him. His reference and dealing with any topic with accounting and auditing aspects touching the subjects make the articles meaningful even for accounting and auditing points of view. His depth of knowledge of large number of applicable laws has been exemplary and outstanding. We congratulate him and BCAS for bringing out the 6^th edition of his new book.

With regards

Mukesh Shah

Mumbai

BCAJ Admin

Miscellanea

1. SPORTS

# AI Only Just Beginning to Revolutionise the NBA Game

It’s not a scene out of the future, but a reality on the hard courts of today.

Using artificial intelligence, a top basketball team found the right defensive strategy that made the difference to win the NBA championship.

Data specialist Rajiv Maheswaran declines to name the outfit that leveraged AI analysis to victory, saying in a corporate video only that it happened several years ago.

That was “the moment that sealed it,” added the co-founder of tech startup Second Spectrum, which provides the league with swathes of player positioning data gathered during crucial games.

Analytics have transformed the NBA over the past decade, with AI and other breakthroughs still ramping up.

Embryonic in the early 2000s, the revolution truly took hold with motion-capture cameras installed in every venue in 2013.

Ten years later, new tech upgraded renderings of the court from 2D to 3D, unlocking even more precious data.

Each player wears 29 markers “so you know not just where they are, but you know where their elbow is, and you know where their knee is,” said Ben Alamar, a sports analytics writer and consultant.

“You’re actually able to see, yes, that was a high quality (defensive) closeout,” said Tom Ryan, head of Basketball Research and Development at the NBA, describing an often-used manouvre.

“It’s adding more context to that metric.”

“Now all 30 teams are doing significant analysis with varying levels of success,” said Alamar.

Houston, Golden State and Oklahoma City were often cited among early adopters at the turn of the 2010s.

This season, Oklahoma City is on top of regular season standings, “and they play different,” said ESPN Analytics Group founder Dean Oliver.

“They force turnovers, and they have very few turnovers themselves. So there are definitely advantages to be gained.”

“It’s not going to turn a 25-win team into a 70-win team during the season, but it can turn a 50-win team into a 55, 56-win team,” according to Alamar.

AI allows for “strategic insights” like “understanding matchups, finding the situations where players perform well, what combinations of players,” he added.

None of the dozen teams contacted by AFP agreed to discuss their work on analytics.

“Teams are (understandably) secretive,” Oliver confirmed.

Even before 3D, motion capture data was already shifting the game, taking basketball from a more controlled pace to something looser and faster, he added.

The data showed that faster play secures more open looks and a higher percentage of shots — a development that some criticise.

On average, three-point shot attempts have doubled over the last 15 years.

“As a league now, we look deep into analytics,” Milwaukee point guard Damian Lillard noted at February’s All-Star Game.

While it perhaps “takes away the originality of the game… you’ve got to get in line with what’s working to win.”

The league is taking the issue seriously enough that Commissioner Adam Silver recently mentioned that “some adjustments” could be made to address it.

Even now, AI has “plenty of upside” yet to emerge, said Oliver.

“The data is massive, but converting that into information, into knowledge that can be conveyed to players, that they can absorb, all of those steps are yet to be done.”

The league itself is pursuing several analytics and AI projects, including for real-time refereeing.

“The ROI (return on investment) is very clear,” said Ryan. “It’s about getting more calls right, faster and in a transparent way to our fans.”

“We would love a world where if a ball goes out of bounds and you’re not sure who it went off of, rather than going to replay you look at high frame rate video in real time with 99.9 percent accuracy… That’s really our North Star.”

Spatial data can also extend the fan experience, shown off during the recent “Dunk the Halls” Christmas game between San Antonio and New York.

An alternative telecast rendered the game in video game-style real-time display, with avatars replacing live action images.

“We want to experiment with all different types of immersive media,” says Ryan. “We just want to be able to sell our game and present it in compelling ways.”

(Source: International Business Times – By Thomas Urbain – 10^th April, 2025)

2. TECHNOLOGY

# How Atlas is using AI to turn accounts receivable into a strategic advantage

Despite the rapid advancements in financial technology, accounts receivable (AR) remains a starkly inefficient workflow, with many companies still relying on manual, error-prone processes to manage their contract-to-invoice and invoice-to-cash cycles.

As a result, finance teams struggle with data entry mistakes, delayed invoice reconciliation, and slow payment cycles, leading to unnecessary cash flow bottlenecks. They also lack sufficient real-time insights, which forces them to take a reactive rather than proactive approach to financial management — consequently making it difficult to anticipate late payments or assess a client’s ability to pay on time.

Recognizing these gaps in the market, Joe Zhou saw an opportunity to modernize AR using artificial intelligence. He’s the co-founder and CTO of Atlas, a proprietary automation system that’s redefining AR through agentic solutions and automation of contract-to-cash cycles. In doing so, Atlas is empowering businesses to save valuable finance time for finance leaders and increase cash-on-hand, fuelling business growth.

JOE ZHOU: A BACKGROUND OF EXCELLENCE

After graduating from the University of Pennsylvania with degrees in computer science, data science, and mathematics, Zhou started his career at industry-leading companies like Google and Snap. There, he led high-impact projects that improved user engagement and product performance for billions of users globally.

One of his biggest projects was with Snap, where he introduced an augmented reality engagement funnel designed to improve the user feedback loop and increase the adoption of Snapchat’s viral augmented reality (AR) lenses. Zhou’s team managed to achieve a 25% global increase in AR usage — the brand’s largest jump in six years.

Zhou also spent time at Intuit, working on QuickBooks and Mint transaction categorization. There, he saw how a lack of real-time insights into payment risks forced businesses into reactive financial management. Simultaneously, they had to handle a vast amount of financial data from diverse sources without robust systems of categorization and classification in place.

He realised that traditional AR systems, while accepted as the industry standard, didn’t measure up to the demands of modern business. It was this realization that formed the basis of Atlas.

AI-POWERED AUTOMATION: A SMARTER APPROACH TO ACCOUNTS RECEIVABLE

Atlas is an AI-powered AR automation platform that eliminates manual data entry errors, enables faster invoicing and reconciliation, gives finance leaders a source of truth for revenue, and increases cash on hand. The end goal is simple: Atlas is designed to get businesses paid.

It works by seamlessly integrating emerging tech like natural language processing, machine learning, various frontier models and predictive analytics to automate every stage of the AR workflow and save finance teams time, resources, and stress. For example, it can scan a contract and automatically generate a detailed, accurate invoice that you can quickly review and send.

Key to this approach is Atlas’ continuous learning model: The more invoices and contract data the system processes, the smarter it becomes.

One of its strongest benefits is that it plugs and plays with existing enterprise resource planning (ERP) systems like NetSuite, SAP, and Microsoft Dynamics. It also connects to Slack, email, and your CRM so that you can centralize customer communications and manage them easily. Atlas eliminates the need for manual invoice matching, accelerating cash flow and saving teams time and resources.

The result is a unified, AI-first approach that makes it easy to deploy and maintain highly configurable workflows for different industries.

THE IMPACT OF AI-DRIVEN AR ON FINANCE TEAMS

Businesses are already embracing Atlas and seeing powerful results, with customers leveraging it to eliminate manual invoice matching and free their teams to focus on other tasks. They’re also seeing accelerated cash flow, sometimes by days or even weeks.

“We are reshaping the $125 trillion B2B payments market and helping free up $3 trillion in annual locked cash flow that hinders global growth as a result of antiquated payment systems,” Zhou notes.

After implementing Atlas, one startup experienced a 43% reduction in days sales outstanding (meaning they were able to collect payments significantly faster) as their spreadsheet usage dropped by 71%.

“Atlas is about freeing teams from busywork so they can focus on real growth,” Zhou says.

“Innovating in AI isn’t about just increasing efficiency — it’s about enabling resource reallocations to focus on creative and strategic thinking.”

With Atlas, Joe Zhou has successfully found a way to consistently eliminate human errors and delays in payment cycles — allowing businesses trapped in outdated processes to finally reach their full potential.

(Source: International Business Times – By Chris Gallagher – 22^nd April, 2025)

3. OTHER – CRYPTO

# Bitcoin, Altcoins pump after Federal Reserve Board withdraws Crypto notification rules for banks

KEY POINTS

The board rescinded two supervisory letters and a third one jointly issued with the FDIC and Comptroller of the Currency
Bitcoin traded above $94,000 at one point in the night, and all other top altcoins were in the green
Some crypto users are concerned the move may result in short-term “uncertainty” among banks

Bitcoin and other major cryptocurrencies climbed Thursday night after the Federal Reserve Board (FRB) announced that guidance for banks related to crypto and stablecoin activities was being withdrawn.

The move comes just weeks after the Federal Deposit Insurance Corporation (FDIC) made a similar announcement, giving more leeway for banks across the country to engage with the crypto industry.

FBR opens a path for crypto and banking activities

The Federal Reserve Board said Thursday that it was rescinding three supervisory letters that played a major role in stunted adoption of crypto offerings among American banks and financial institutions.

“The Board is rescinding its 2022 supervisory letter establishing an expectation that state member banks provide advance notification of planned or current crypto-asset activities. As a result, the Board will no longer expect banks to provide notification and will instead monitor banks’ crypto-asset activities through the normal supervisory process,” the board said.

It also rescinded a 2023 supervisory letter “regarding the supervisory non objection process for state member bank engagement in dollar token activities.”

Finally, the FRB announced it was withdrawing two jointly issued statements with the FDIC and the Office of the Comptroller of the Currency that limited banks’ exposure to cryptocurrencies.

It also expressed commitment toward collaborating with other regulatory agencies to consider the possibility of providing further guidance that “support innovation, including crypto-asset activities.”

CRYPTO BOUNCES AMID THE FEDERAL RESERVE’S PIVOT

Following the announcement, crypto prices surged, signalling the market’s positive reaction to the news.

Bitcoin was up 1.2% in the day, climbing above $94,000 at one point before settling in at around $93,500.

Ethereum also saw a slight pump, increasing 0.4% in the day, and XRP was up 1.4% in the last 24 hours.

All other altcoins on Coin Gecko’s Top 10 largest crypto assets by market cap were in the green, with Cardano (ADA) leading the day’s rally (5.2% up).

QUESTIONS RISE OVER FRB’S MOVE

While many in the crypto community were ecstatic over the news, some crypto users raised questions on the short-term impact of the decision.

One user pointed out that the long-term effects may result in a more structured playbook under new legislation or unified regulation, but the short-term impact may produce “more uncertainty.”

The user argued that without formal guidance and only rescinded supervisory notices, “banks may be unsure what is or isn’t allowed.”

One user asked AI chatbot Grok on whether banks can now “just buy what they want,” to which the popular AI assistant responded that the announcement may have “relaxed” some crypto guidance but banks are still required to follow general regulations.

Uncertainty and a lack of clear rules of the road have hampered growth and adoption in crypto, but U.S. Securities and Exchange Commission Chair Paul Atkins has vowed it will be his administration’s priority.

(Source: International Business Times – By Marvie Basilan – 25^th April, 2025)

BCAJ Admin

Perception

Marathi Theatre has a rich tradition of more than 150 years.

It is very vibrant and progressive. In the good old days, purely ‘prose’ plays were very rare. There used to be 20 to 100 songs in a play – based on classical music. The shows often lasted overnight. It was known as ‘Sangeet Rang-Bhoomi’.

There were drama companies (Natak mandalis). Like we have in the circus today, the whole troop stayed and moved together like a family. Play wrights, actors, directors, musicians, singers, drapers, make-up men, helpers and so on. Many stayed with their families in the troops!

Weddings used to happen within the troops, and children also were born! It was a fascinating world, and many people are still having nostalgic memories of that era.

Shri Ram Ganesh Gadkari was the most prominent dramatist of his time. The square at Shivaji Park, Dadar, is named after him. He has written many short stories which are quite humorous.

As said earlier, a kid was born in a drama troop and did not have the occasion to see the outside world at all. The drama troop, travel and performances were the only experience that he had in life.

Once, the owner of the mandali was invited to attend a wedding. He was busy somewhere else. So, he sent this boy of 14 to attend the wedding on his behalf and give the present. The boy could view everything through his perception of’ drama’. On his return, he described the ceremony, treating it as a show of drama.

“I attended the show. It was called ‘Wedding of X with Y. The Theatre was full of a very well-dressed audience. No one was checking the tickets at the door. The show was performed in full light. The doors of the theatre were also kept open. Anybody could enter and leave anytime.

There was no curtain to the stage. Spectators were sitting around the stage, watching the drama. However, they were not attentive. They were chatting among themselves, moving here and there. They were also having drinks and snacks. Small kids were playing and enjoying while the drama was on!

Hero, heroine, their parents and sisters were the main cast. They did not have their dialogues by heart. The directors (priests) were interfering in between. They were also prompting the hero and heroine to speak their dialogues. Prompting was also done on Mike. He was also directing their actions like sitting, standing, bowing to God, moving around the fire, and so on.

The heroine was initially not on the stage. The director shouted and asked the heroin to come with her maternal uncle (mama). By mistake, the curtain was held between the hero and heroine. I think there was no villain in the drama.

Suddenly, some people came forward and sang something (mangalashtak). There was no musical accompaniment.

The musicians also did not know when to play music. The director shouted at them to play the instruments. Then they started.

There was total confusion. I could understand neither the story nor the dialogue. Songs also were strange…….. Hero and heroine did not sing any song!”

Likewise, the author has written it very beautifully. I wish to make it clear that while writing this feature, the text of that article is not in front of me. I have it in my memory. This is not a verbatim translation. The theme is interesting, and I am sure the readers can enjoy it and even add to what the boy would have perceived!

BCAJ Admin

Tribute to Shri Haren Bhalchandra Jokhakar, Past President of the Society

On 11^th April 2025, an icon of our profession, CA Haren Jokhakar — affectionately known as Haren Bhai — breathed his last and left his mortal body.

Born on 10^th September 1939, Haren Bhai was a one-man institution. He was a gentle giant. His presence commanded respect, not because he demanded it, but because he earned it through unwavering integrity, wisdom, and humility.

For Haren Bhai, the Society was like his very own child. He was the youngest president of the Society when he served the Society as its President. In fact, all the OBs were much older to him and yet they supported him like their younger brother. Some of those colleagues at BCAS remained closest friends all his life. He was involved in every activity in those early formative years of the Society when much of work was done from office of the President and few others who supported the Society, nurturing it with care, commitment, and vision. He served as the President of BCAS in the year 1971-1972 leaving behind a legacy that continues to inspire generations.

While BCAS was close to his heart, his contributions were not confined to one institution. He extended his energy and expertise to several professional and social causes. His role as a Chartered Accountant was marked by brilliance and integrity, and earned him respect of both his peers and students. He had a deep sense of fairness and balance, always striving to bring visibility and respect to a profession he believed was under-recognized in those decades.

One of the most endearing qualities of Haren Bhai was that despite his towering personality, he was always careful not to overshadow others. He made space for everyone to grow and even stopped coming to Society at some stage to make way for next generation.

If we are truly to pay our respects to this great soul, let us follow his ideals — to not only become better professionals but also responsible citizens and above all good human beings.

-BCAS

BCAJ Admin

A Series of Articles on NRIs – Tax and FEMA Issues

The BCAJ published an “NRI Series” of 12 articles (December 2023 – April 2025) covering Income Tax and FEMA issues for NRIs. The index below provides details of the topics, authors, publication month, and page numbers for easy access.

Please send feedback on the “NRI Series” to editor@bcasonline.org or publicationofficer@bcasonline.org.

Sr. No.	Topic	Author	Publication Month / Year	Page Nos.
1	NRI – Interplay of Tax and FEMA Issues – Residence of Individuals under the Income-tax Act	Ganesh Rajgopalan, Chartered Accountant	December, 2023	25
2	Residential Status of Individuals — Interplay with Tax Treaty	Mahesh G. Nayak, Chartered Accountant	January, 2024	19
3	Decoding Residential Status under FEMA	Rajesh P. Shah, Chartered Accountant	March, 2024	19
4	Immovable Property Transactions: Direct Tax and FEMA issues for NRIs	Namrata R. Dedhia, Chartered Accountant	April, 2024	11
5	Emigrating Residents and Returning NRIs Part I	Rutvik Sanghvi \| Bhavya Gandhi, Chartered Accountants	June, 2024	11
6	Emigrating Residents and Returning NRIs Part II	Rutvik Sanghvi \| Bhavya Gandhi, Chartered Accountants	August, 2024	13
7	Bank Accounts and Repatriation Facilities for Non-Residents	Hardik Mehta \| Arwa Mahableshwarwala, Chartered Accountants	October, 2024	39
8	Gifts and Loans — By and To Non-Resident Indians: Part I	Harshal Bhuta \| Naisar Shah, Chartered Accountants	November,2024	21
9	Gifts and Loans — By and To Non-Resident Indians: Part II	Harshal Bhuta \| Naisar Shah, Chartered Accountants	December,2024	17
10	Investment by Non-Resident Individuals in Indian Non-Debt Securities – Permissibility under FEMA, Taxation and Repatriation Issues	Prashant Paleja \| Paras Doshi \| Kartik Badiani, Chartered Accountants	February, 2025	11
11	Non-Repatriable Investment by NRIs and OCIs under FEMA: An Analysis – Part – 1	Bhaumik Goda \| Saumya Sheth \| Devang Vadhiya, Chartered Accountants	March, 2025	11
12	Non-Repatriable Investment by NRIs and OCIs under FEMA: An Analysis – Part – 2	Bhaumik Goda \| Saumya Sheth \| Devang Vadhiya, Chartered Accountants	April, 2025	23

BCAJ Admin

Letter To The Editor

To,

The Editorial Board,

BCAJ.

Subject: Article “परोपदेशेपांडित्यम्” in the March 2025 issue

Thank you for publishing C.N. Vaze’s deeply thought-provoking article “परोपदेशेपांडित्यम्” in the March 2025 issue. It struck a powerful chord. The observation that we are often eloquent in advising others yet lax in applying those very principles to our own lives is not only accurate but uncomfortably familiar.

Mr. Vaze has written with great clarity on professional ethics in the past, and this piece continues that important reflection. A typical case in this context is when a peer, who shares the same ethical vows, enables the filing of frivolous complaints—not out of a sense of duty, but from rivalry, resentment, or plain indifference. These aren’t just baseless grievances; they are missiles launched from the silos of personal angst, and once fired, they initiate a procedural chain reaction. Long-drawn ethical proceedings are set in motion. Time, energy, and resources are drained not in pursuit of justice, but in managing shadows. And while these cases often crumble under scrutiny, their residue lingers—on reputations, on mental health, on the very fabric of professional dignity.

Genuine breaches must be pursued with rigor—I fully support that. But unchecked misuse erodes trust. Ethics and values must be more than just talk; they should guide our choices, especially when faced with personal agendas.

The line चित्तेवाचिक्रियायांचसाधूनाम्एकरूपता encapsulates a rare ideal—that of harmony between thought, speech, and action. As professionals, that alignment should be our guiding star. And though we may falter, striving toward that integrity gives our journey its meaning.

Warm regards,

CA Rajeev Joshi

Mumbai

The Editor

BCAJ

Mumbai

Dear Sir,

I refer to Ms. Kunjal Parekh’s article “ A Chartered Accountant’s guide to writing…”. She has written like a veteran writer and not as some one who is writing her first article. With liberal doses of humour (self-deprecating at times), the article is a good read. Having made a start, hope Ms. Parekh writes more often. After all, writing, as the author says, is about starting.
Congratulations to the author for scoring a century on debut.

Warm regards.

S.Viswanathan

Bangalore

BCAJ Admin

Learning Events at BCAS

1. Suburban Study Circle Meeting on “Navigating the New Income Tax Bill, TDS, Deductions & Critical Provisions” on Thursday, 13^th March, 2025 and at C/o SHBA & Co. LLP, Andheri (E), Mumbai.

Suburban Study Circle Meeting on “Navigating the New Income Tax Bill, TDS, Deductions & Critical Provisions”, was led by CA Upamanyu Manjrekar & CA SnehalMayacharya, where they delved into critical amendments in the Income Tax framework, with a focus on TDS, deductions, and key provisions. The discussion highlighted changes in terminology, procedural updates, and practical implications for businesses and professionals.

Key changes discussed included:

Modifications in Income Tax Bill Wording – Minor yet impactful changes in phraseology, altering interpretation and compliance requirements.
TDS Revisions – Updates on applicability, rates, and compliance, including sector-specific changes.
Procedural & Compliance Changes – New filing requirements, reporting obligations, and penalty structures.
Impact on Business & Professionals – Discussion on how the amendments affect different taxpayer categories.
Group Interpretation & Case Studies – Open discussion on ambiguous provisions and their practical implementation.
Retrospective vs. Prospective Amendments – Debate on whether certain provisions apply retrospectively or prospectively.
Practical Challenges & Solutions – Addressing common compliance difficulties and suggested best practices.
The session was highly interactive, with participants engaging in insightful discussions and real-world case studies. CA Upamanyu Manjrekar & CA SnehalMayacharya provided clear explanations, ensuring attendees left with a well-rounded understanding of the amendments and their implications.

2. HRD Study Circle on The Secret Formula of Successful ENTREPRENEURS on Tuesday, 11^th March, 2025 @ Virtual.

The Human Resources Development Committee Organised a Talk on Topic “The Secret Formula of Successful ENTREPRENEURS” on 11^th March, 2025.
Faculty Mr. Walter Vieira

The takeaways from the workshop are briefly given below:

Comparing entrepreneur with a turtle he quoted James Byrant Conant who said – “Behold the turtle. He makes progress only when he sticks his neck out.”All cannot be entrepreneurs. Those who stick their neck out — take risk, have perseverance, conviction in their idea and believe in themselves could become excellent entrepreneurs
Entrepreneurship is a process of creating something new and needs deep study of business environment backed up by Fundable business plan.
There is a certain degree ofaptitude and attitude that is needed to do business and move further as Entrepreneur

They are

a) Creativity and flexibility
b) Resilience
c) Humility to accept success and failure
d) Perseverance
e) Spirit of adventure
f) People skills with a back-up technical knowledge in the subject

There were 167 participants who attended the meeting and good number of them asked questions which were well answered by the faculty.

3. Indirect Tax Laws Study Circle Meeting on Tuesday, 25^th February, 2025, @ Virtual

The Group Leader & the Group Mentor introduced the participants to the topic and dealt with the relevant provisions & clarifications before proceeding to the case studies covering the following contentious & practical issues on the topic:

Can an application be filed u/s 128A filed when there is a demand for only interest & penalty?
Distinction between self-assessed liability and whether section 128A can be invoked if an Order is passed confirming demand for such self-assessed liability?
Practical challenges in adjusting liability when payment is made in GSTR-3B / pre-deposit while filing an appeal / third party recovery against DRC-13.
In case of appeal Order, section 128A application to be filed against the appeal Order or adjudication order?
Is section 128A option available if the Appeal Authority remands the matter?
Can application for rectification of order for demand confirmed for multiple points, including section 16 (4) be filed?
Can the rectification order for demand confirmed u/s 16 (4) go beyond the scope of the original notice?
Availability of refund of pre-deposit paid in case of successful appeal order for demand u/s 16 (4)

The meeting was attended by 50 members. The participants appreciated the efforts of the Group Leader and Group Mentors.

4. Tarang 2K25 – The 17^th Jal ErachDastur CA Students’ Annual Day on Saturday, 22^nd February, 2025 @ M M Pupils Own School — Khar.

The completion of the November 2024 CA exams commenced the preparations for the grand Tarang 2k25. The stage was set for the awe-inspiring event to happen, and it was when the Students’ Team and members of the Human Resource Development Committee (HRD) met to re-write the success story of the marvellous legacy of the past 16 years.

The 17^th year of Jal ErachDastur CA Students’ Annual Day under the brand of ‘Tarang’ had to be engaging, enthralling, and magnificent. With this mission in mind, the Students’ Team started upon the journey for delightful Tarang 2k25 under the requisite guidance of CA MihirSheth, CA DnyaneshPatade, CA Jigar Shah, and CA Utsav Shah. MsPrachi Shah and Mr Paras Doshi were appointed as the student coordinators.

Tarang, when described, is an ecstatic annual CA students’ celebration mainly intended to provide a platform for CA students to unleash their talent and creativity in areas of public speaking, writing skills, performing arts, business, technical, and innovative skills. Additionally, the event also intends to act as an insight and potential gateway into the real world outside academic books by providing access and tutelage by skilled and experienced leaders in the form of participation in various fields with a view to building interpersonal and team-building skills with an opportunity to fraternize and network with hundreds of like-minded students.

The event was organized under the auspices of the HRD Committee of BCAS. All meetings were held in offline and online format. The event was supported by a total of 30 volunteers. Tarang 2k25 completely changed the dull and monotonous perception regarding CA students when they were witnessed as event managers, anchors, talented dancers, and photographers too!

As intended, it was truly an event ‘Of CA Students, By CA Students and For CA students.’

Tarang 2k25, to our surprise, saw a huge enrollment of around 350 students despite the pending due dates. There were an overall 165 participants in Tarang 2k25, along with the highest number of participants in the ‘Treasure Hunt’ too. The event became very popular, and we received huge enrollments along with amazing ideas that were pitched to the judges, which were worth the watch.

Also for the very first time Mock Stock exchange was organised specially for CA students where around 75 students participated.

The 17^th Jal ErachDastur CA Students’ Annual Day – ‘Tarang 2K25’ elimination rounds were held at the BCAS Hall on the 15^th and 16^th of February 2025, To keep the fun going and the crowd engaged, the students’ team had organized various online games and networking sessions, This provided a unique opportunity for all the participants to build a productive and constructive network along with a lot of fun too.

The Grand Finale of Tarang 2k25 was held at MM Pupils School, Khar on the 22-2-25 from 3 pm onwards. We were delighted to have Bank of Baroda as the sole sponsor for the prizes of the winners of the various games and quizzes held offline. Arrangements for various exciting games were made to engage and build excitement among the audience before the event’s commencement.

The grand finale commenced at 3 pm with the lighting of the divine lamp by the HRD Committee with the Ganesh Vandana and Saraswati Vandana being played in the background to seek blessings and express gratitude to Lord Ganesh and Maa Saraswati.

The winners of the competition representing their firms were announced as follows:

Invest, Conquer, Compete (Mock Stock Exchange) – Winning Team – Dikshant Pandiyan, Jainil Sheth and Priyansh Jindal

Reel Making Competition ‘Shutter Stories’ – Sushil Khubchandani

Photography Competition ‘The Capture Challenge ’ – Anjali Vaishya

Antakshari Competition – ‘Suronke Maharathi’
Winning Team – NikunjPatel ,Harshita Dave and Rahul Jaiswar

Debate Competition – ‘The Battle Of Perspectives’ Winning Team – Sanjog Shah, Jainam Doshi, Vedant Agarwal and Madhur Bhartiya

Best Debater – Vedant Agarwal

The Rotating Trophy went to – Vedant Agarwal (SRBC and Co)

Talk Tastic – Winner – Piyush Gupta

2nd – Neha Agnihotri

3rd – Sejal Bagda

The Rotating Trophy went to – Piyush Gupta (DBS Bank)

Essay Writing Competition – ‘Pen- Power- Play’ 1st Prize Winner – Dhairya Thakkar

2nd Prize Winner – Neha Agnihotri

3rd Prize Winner – JesikaSahaya

The Rotating Trophy went to – Dhairya Thakkar (JHS Associates)

Talent Show ‘CA’s Got Talent’ Best Performer – Music Category – YashLadha

Best Performer – Instruments Category – Mithil Category

Best Performer – Dancing Category – The JDians

Best Performer – Other Performing Arts Category – Param Savijani and Rishit Raithatha

Pirates Plunder (Treasure Hunt) winners – Rushi Ghuge, Siddharth Gada and Yash Khalse

Hearty Congratulations to all the winners and their firms.

The euphoric evening was superbly anchored by the Master of Ceremony with their unmatched energy and mind-boggling acts to keep the audience engaged throughout the event.

With the 17^th edition reaching new milestones and the scale increasing, all eyes are now set on what the anticipated 18^th edition would have to offer. One thing is clear, the sky will not be the limit for the goals set to be achieved.

II. BCAS Quoted in News & Media

BCAS has been quoted in various esteemed news and media platforms, reflecting our thought leadership and commitment to the profession. For details

Link: https://bcasonline.org/bcas-in-news/

QR Code:

BCAJ Admin

Report On BCAS 58th Members’ Residential Refresher Course

The flagship event of the Bombay Chartered Accountants’ Society (BCAS), the Members’ Residential Refresher Course (RRC), was held in the city of Nawabs, Lucknow between Wednesday, 26^th February, 2025 and Saturday, 1^st March, 2025.

Keeping pace with the theme “ReImagining the Profession” of the immensely successful three-day mega conference, held in January 2024, the theme of the 58^th RRC was finalised as “Profession Today And Tomorrow”. The Committee was seized of the need to deliver an event that would be both contemporary and forward looking. The topics and speakers were carefully selected and fitted in the time-tested mix of panel discussion, paper presentations and group discussions.

The annual RRC is nothing short of a yearly pilgrimage for her die-hard bhakts (devotees), and the consecration ceremony of Shree Ram Mandir in January 2024 had triggered the desire to hold the next year’s RRC in Ayodhya. This would provide the members a chance to pay obeisance to Ram Lalla and seek His blessings. With no hotel in Ayodhya large enough to accommodate a contingent of 175+, the Seminar, Membership & Public Relations (SMPR) Committee of the BCAS and the Office Bearers zeroed in on Lucknow — less than 160 kms from Ayodhya and, more importantly, with hotels large enough to accommodate the mammoth RRC contingent. The recce in October 2024 helped decide the venue — the newly constructed hotel, The Centrum, Lucknow.

Respecting the natural desire to visit Shree Ram Mandir along with their significant other, for the second time in history, a decision was taken to permit member spouse and children to register for the RRC. The response was immediate — it was houseful by the time the Early Bird stage ended! A total of 187 participants, drawn from 14 states and 31 cities and towns, including 11 non-residential members registered for the event. A heartening realisation was that for 76 members, this would be their very first RRC! Participants also included 2 newly wed couples, 5 member couples including a couple who gifted the BCAS Life Membership to their recently qualified daughter and enrolled her for the RRC as well.

The excitement in the air on the afternoon of 26^th February was there for all to see as delegates checked in from all corners of the country. Day 1 began with the group discussion on “Case Studies in Direct Taxes on Assessment, Reassessment, Reviews and Appeals” which saw the break-out groups discuss the challenging and compelling case studies threadbare. This was followed by the formal inaugural session, with CA Preeti Cherian, Convenor, SMPR Committee, extolling everyone with the city’s tagline, “Muskuraiye! Aap Lucknow Mein Hain!”.

The President, CA Anand Bathiya, in his address, thanked the Committee for delivering on its promise to make the dream of visiting Shree Ram Mandir into a reality. He spoke about how the “Members’ only” flagship event of BCAS, the RRC has stood the test of time and continues to have its devoted following; the RRC serves as a confluence of like-minded members, with each one bringing a certain uniqueness to the table. The Chairman of the Committee, CA Chirag Doshi elaborated on the relevance of the RRC, selection of the venue, detailed schedule and RRC statistics.

It was then the turn of the unbeaten RRC champion (with 38 RRCs Not Out), Past President, CA Uday Sathaye to take centre stage and to formally introduce the Chief Guest, Past President CA Govind G Goyal to the audience. Past Presidents of ICAI, CA Mukund Chitale and CA Ved Jain joined the Chief Guest, the President CA Anand Bathiya, the Vice President CA Zubin Billimoria, the Past Presidents CA Anil Sathe,CA Ashok Dhere, CA Pranay Marfatia, CA Rajesh Muni and CA Uday Sathaye, the Chairman CA Chirag Doshi and the Convenors of the Committee, CA Ashwini Chitale,CA Mrinal Mehta and CA Preeti Cherian in lighting the ceremonial lamp. The esteemed Chief Guest and Past President, CA Govind G Goyal spoke in chaste Hindi about his association with BCAS in general and with RRCs in particular.

The inaugural session was followed by the curtain raiser — the fireside chat on the contemporary topic “Journey of CA Firms (Investible Firms, Mergers and Alliance of Firms)” with CA Manish Modi and CA Vaibhav Manek. The chat was moderated by Managing Committee member, CA Samit Saraf. The panelists spoke frankly of the challenges and opportunities their individual journeys had posed / opened up for them.

Day 2 started with the participants experiencing the mehman-nawaazi (hospitality) of our local member, CA Pradeep Kumar who made special arrangements to make available a huge cauldron of the winter speciality Malai Makhan at the breakfast table.

Suitably satiated, the participants were greeted by Convenor, CA Rimple Dedhia as they sat down to listen to the Past President of ICAI, the erudite Adv. CA Ved Jain discuss in detail the intricacies of the case studies which had been deliberated upon a day prior by the groups. The session was chaired by CA Pankaj Agarwal.

The Presentation Paper I “Role of Chartered Accountants in IPO Process” by CA Sumith Kamath helped the audience realise the opportunities available to CAs in this otherwise less explored terrain. The session was chaired by Past President CA Rajesh Muni. The Presentation Paper II “Practical Use of Technology in Professional Firms” by CA Rahul Bajaj had the audience captivated as they experienced for themselves the power of AI through his live demonstrations. The session was chaired by Joint Secretary, CA Kinjal Shah. The fact that the participants were reluctant to allow the session to close for the lunch break (despite it being way past 2 pm!) speaks volumes.

Post a sumptuous meal, Convenor, CA Mrinal Mehta invited all gathered to the Multi-Disciplinary Brains Trust session on the topic “Interplay of Direct Tax, GST Law and Audit on issues relating to Real Estate and Health Care Industry”. The esteemed panel comprising the Past President of ICAI, CA Mukund Chitale, Past President CA Anil Sathe and Shri Vishal Agarwal presented their views on the case studies at hand. The session was ably moderated by Adv CA Kinjal Bhuta and CA Mandar Telang. The day had been long; however, given that the dawn held the promise of fulfilling their dream of a lifetime, the participants felt doubly energised as they retired for the night.

Day 3 found a super enthusiastic group of devotees dressed in traditional attire, gather in the hotel foyer, eagerly waiting for the buses to take them to Ayodhya. The Committee Organisers had pulled out all stops to ensure that all the logistic arrangements, permissions, etc to transport the 190+ devotees from Lucknow to Ayodhya and back, were in place. The recently concluded Maha Kumbh Mela had resulted in unprecedented crowds flooding Ayodhya after taking the holy dip. The strain on the infrastructure had been tremendous — and yet, despite all this, through divine intervention undoubtedly, the entire contingent travelled to Ayodhya in a seamless manner.

The Sugam Darshan of Ram Lalla organised by the Committee brought tears of joy to many an eye and the group returned to Lucknow late afternoon, suitably invigorated. After a refreshing coffee break, the break-out groups for the group discussion on “Case Studies on Practical Implementation of Auditing Standards” retired to their designated areas to discuss the interesting case studies.

Day 4 was kick-started by Convenor, CA Ashwini Chitale inviting Past President CA Ashok Dhere to chair the session by CA Himanshu Kishnadwala as he replied to the case studies debated a day prior by the groups. This was followed by a presentation on the New Income Tax Bill by CA Uttamchand Jain. The session was chaired by Past President CA Pranay Marfatia.

The presence of BCAS through its annual RRC in the city of Lucknow had not gone unnoticed by the powers-that-be. A special session with none other than the Deputy Chief Minister of Uttar Pradesh, Shri Brajesh Pathak ji formed part of the concluding session. In his address, the Deputy CM acknowledged the vital role played by Chartered Accountants in the nation building process and spoke at length about the various domestic and international industries that are now housed in Uttar Pradesh. Shri Mukesh Singh, Executive Council Member & Chairman UP Coordination Committee Indo American Chamber of Commerce then addressed the audience on the topic “Challenges & Opportunities for Business in UP”. The address by the Deputy CM was extensively covered in the news by the 10+ media channels who were in attendance.

In the concluding session, both the President CA Anand Bathiya and Chairman of SMPR Committee, CA Chirag Doshi acknowledged all those who had worked towards delivering a successful RRC, especially the support extended by the local members, CA Anshul Agarwal and CA Pankaj Agarwal. And as the curtains came down on yet another successful RRC – one which had the participants wear their thinking caps and deliberate on where the profession is today and what the future holds, one was reminded of the ghazal penned by shaayar Nida Fazli:

सफ़र में धूप तो होगी, जो चल सको तो चलो

सभी हैं भीड़ में, तुम भी निकल सको तो चलो

किसी के वास्ते, राहें कहाँ बदलती हैं

तुम अपने आप को,

ख़ुद ही बदल सको तो चलो…..

यही है ज़िंदगी, कुछ ख़्वाब, चंद उम्मीदें

इन्हीं खिलौनों से तुम भी बहल सको, तो चलो l

BCAJ Admin

Regulatory Referencer

DIRECT TAX: SPOTLIGHT

Due date for filing of Form No. 56F required to be filed under section 10AA(8) for Assessment year 2024-25 extended to 31^st March, 2025 — Circular No. 2/2025 dated 18^th February, 2025
Income tax deduction from Salaries during the financial year 2024-25 under section 192 of the Act — Circular No. 3/2025 dated 20^th February, 2025
Frequently Asked Questions (FAQs) on Guidelines issued for Compounding of Offences under the Income-Tax Act, 1961 dated 17^th October, 2024 — Circular No. 4/2025 dated 17^th March, 2025
Ten Year Zero-Coupon Bond of Power Finance Corporation Ltd. notified for the purpose of section 2(48) — Notification No. 19/2025 dated 11^th March, 2025

FEMA:

1. IFSCA replaces Fund Management Regulations of 2022 with IFSCA (Fund Management) Regulations, 2025.

IFSCA, along with the Fund Management Advisory Committee (FMAC) of IFSCA, senior industry leaders and through public consultations, has reviewed and replaced Fund Management Regulations of 2022 in order to enhance the ease of doing business and to develop the GIFT IFSC as a hub for International financial activities. Key reforms have been made in following areas:

i. Non-Retail Schemes (Venture Capital Schemes and Restricted Schemes)

ii. Manpower requirements for FMEs

iii. Registered FME (Retail) and Retail Schemes

iv. Portfolio Management Services

v. Other Key matters

Significant relaxations have been made including by way of reduction in minimum corpus; carve-outs from the regulatory requirements for fund of funds schemes; dispensation of prior approval for appointment of KMPs; streamlining and broadening the requirements regarding educational qualification and work experience of the KMPs; clarifications on several requirements; and reduction in compliance burden among several other measures. It will be worthwhile to read the new Fund Management provisions in detail for those interested in Fund Management activities in IFSCA.

[International Financial Services Centres Authority (Fund Management) Regulations, 2025 Notification No. IFSCA/GN/2025/002 and Press Release dated 19^th February, 2025]

2. IFSCA sets procedure for ‘Fund Management Entity’ (FME) to appoint or change KMPs post-registration

The IFSC Authority has prescribed the manner and procedure to be followed by a Fund Management Entity for effecting the appointment of or change to the Key Managerial Personnels (KMPs) subsequent to the grant of registration by the Authority to the FME. The FME shall file an intimation to the Authority regarding the proposal to appoint or change a KMP in the prescribed format. This circular shall come into force with immediate effect.

[International Financial Services Centres Authority (Fund Management) Regulations, 2025 Press Release No. IFSCA-IF-10PR/1/2023-Capital Markets/6, dated 20^th February, 2025]

3. IFSCA amends Aircraft Lease (“AL”) framework — restricts IFSC Lessors from leasing solely to Indian residents

Clause O.2 of AL Framework is replaced with O.2

“Transactions with person(s) resident in India”. As per this circular, lessor shall not purchase, lease or otherwise acquire the assets covered under this framework, where post-acquisition the asset will be operated or used solely by persons resident in India or to provide services to persons resident in India. The amendments to AL Framework shall come into force with immediate effect.

[Circular No. F. No. 172/IFSCA/Finance Company Regulations/2024-25/02 dated 26-2-2025]

4. IFSCA issue guidelines on ‘Cyber Security and Cyber Resilience’ for Regulated Entities in IFSCs

IFSCA has issued guidelines on ‘Cyber Security and Cyber Resilience’ for Regulated Entities in IFSCs. The guidelines intend to lay down IFSCA’s broad expectations from its Regulated Entities (REs). For these guidelines, REs must include any entity which is licensed, recognised, registered or authorised by IFSCA. The key components of the guidelines are categorised into (a) Governance, (b) Cyber security and cyber resilience framework, (c) Third party risk management, (d) Communication and (e) Audit.

[International Financial Services Centres Authority Circular No. IFSCA-CSDOMSC/13/2025-DCS, dated 10^th March, 2025]

5. RBI permits settlement of Indo-Maldives trade in INR and MVR, alongside the existing ACU mechanism

In the wake of signing of Memorandum of Understanding (MoU) between RBI and Maldives Monetary Authority in November 2024, the Reserve Bank of India (RBI) has now allowed bilateral trade transactions between India and Maldives to be settled in Indian Rupees (INR) and Maldivian Rufiyaa (MVR) in addition to the existing Asian Clearing Union (ACU) mechanism. These instructions shall come into force with immediate effect.

[Foreign Exchange Management (Manner of Receipt and Payment) Regulations, 2023 A.P. (DIR Series) Circular No. 22 under FEMA, 1999, dated 17^th March, 2025]

BCAJ Admin

Miscellanea

1. TECHNOLOGY AND AI

# Italian newspaper says it has published world’s first AI-generated edition

An Italian newspaper has said it is the first in the world to publish an edition entirely produced by artificial intelligence. The initiative by Foglio, a conservative liberal daily, is part of a month-long journalistic experiment aimed at showing the impact AI technology has “on our way of working and our days”, the newspaper’s editor, Claudio Cerasa, said.

“It will be the first daily newspaper in the world on newsstands created entirely using artificial intelligence,” said Cerasa. “For everything. For the writing, the headlines, the quotes, the summaries. And, sometimes, even for the irony.” He added that journalists’ roles would be limited to “asking questions and reading the answers”.

The experiment comes as news organisations around the world grapple with how AI should be deployed. Earlier this month, the Guardian reported that BBC News was to use AI to give the public more personalised content. The front page of the first edition of Foglio AI carries a story referring to the US president, Donald Trump, describing the “paradox of Italian Trumpians” and how they rail against “cancel culture” yet either turn a blind eye, or worse, “celebrate” when “their idol in the US behaves like the despot of a banana republic”.

The front page also features a column headlined “Putin, the 10 betrayals”, with the article highlighting “20 years of broken promises, torn-up agreements and words betrayed” by Vladimir Putin, the Russian president.

The final page runs AI-generated letters from readers to the editor, with one asking whether AI will render humans “useless” in the future. “AI is a great innovation, but it doesn’t yet know how to order a coffee without getting the sugar wrong,” reads the AI-generated response.

Cerasa said Il Foglio AI reflected “a real newspaper” and was the product of “news, debate and provocations”. But it was also a testing ground to show how AI could work “in practice”, he said, while seeing what the impact would be on producing a daily newspaper with the technology and the questions “we are forced to ask ourselves, not only from a journalistic nature”.

(Source: www.theguardian.com dated 18^th March, 2025)

2 STARTUPS

# Nandan Nilekani predicts that India will have one million startups by 2035

Infosys cofounder Nandan Nilekani predicts that India will have one million startups by 2035. He said that there are 150,000 startups today growing at a compound annual growth rate of 20%. He also noted that among 2000 funded startups, 100 unicorns have been created. He outlined a strategic roadmap for India to achieve an 8% annual growth rate and become an $8 trillion economy by 2035.

He stressed that while a 6% growth rate is commendable, a focused effort is needed to elevate living standards and accelerate progress. He noted that 50% of India’s wealth is in land.

He cautioned that significant headwinds, including income disparity, regional imbalances, and low productivity, threaten to impede progress. Nilekani revealed that only 13 districts contribute to half of India’s GDP, underscoring the stark spatial disparities. He also noted the vast income gap and the challenges posed by a largely informal economy.

Nilekani emphasised the need to leverage AI to bridge the digital divide and reach a billion Indians. He advocated for the development of low-cost, population-scale AI solutions, particularly in regional languages.

Nilekani predicted that India will have one million startups by 2035, driven by a thriving entrepreneurial ecosystem. He highlighted the “binary fission” effect, where successful startups spawn new ventures, creating a ripple effect of innovation.

His key recommendations for an $8 trillion economy included AI for a billion Indians: focus on last mile consumers and MSMEs, and emphasis on health, education and agriculture. His second recommendation was to accelerate capital investments, maximise AA penetration, and land monetisation via tokenisation.

Nilekani also suggested “unshackling” entrepreneurs and MSMEs by funding entrepreneurs outside the eight metros, and enabling credit and market access for 10 million MSMEs. He also recommended “turbocharging” formalisation, via portable credentials and benefits, and suggested deregulation for ease of business.

(Source: www.economictimes.com dated 12^th March, 2025)

3. ENVIRONMENT

# ‘Unexpected’ rate of sea level rise in 2024: NASA

Sea levels rose faster than expected around the world in 2024 — the Earth’s hottest year on record, according to new findings from the United States’ NASA space agency, which attributed the rise to warming oceans and melting glaciers.

“With 2024 as the warmest year on record, Earth’s expanding oceans are following suit, reaching their highest levels in three decades,” NASA’s Nadya Vinogradova Shiffer, head of physical oceanography programmes said.

Josh Willis, a sea level researcher at NASA, said the rise in the world’s oceans last year was “higher than expected”, and while changes take place each year, what has become clear is that the “rate of rise is getting faster and faster”.

According to the NASA-led study of the information sourced via the Sentinel-6 Michael Freilich satellite, the rate of sea level rise last year was 0.59cm (0.23 inches) per year — higher than an initial expected estimate of 0.43cm (0.17 inches) per year.

Satellite recordings of ocean height started in 1993, and in the three decades up to 2023, the rate of sea level rise has more than doubled, with average sea levels around the globe rising by 10cm (3.93 inches) in total, according to NASA.

Rising sea levels are among the consequences of human-induced climate change, and oceans have risen in line with the increase in the Earth’s average surface temperature — a change which itself is caused by greenhouse gas emissions.

NASA said trends from recent years showed additional water from land due to melting ice sheets and glaciers to be the biggest contributor, accounting for two-thirds of sea level rise.

In 2024, however, the increased rise in sea levels was largely driven by the thermal expansion of water – when ocean water expands as it warms — which accounts for about two-thirds of the increase.

The UN has warned of threats to vast numbers of people living on islands or along coastlines due to rising sea levels, with low-lying coastal areas of India, Bangladesh, China and the Netherlands flagged as areas of particular concern, as well as island nations in the Pacific and Indian Oceans.

(Source: www.aljazeera.com dated 14^th March, 2025)

# Purpose defeated: Brazil cuts thousands of trees to make way for climate summit

Brazil is facing growing criticism after clearing large sections of the Amazon rainforest to build a highway for the upcoming COP30 climate summit, set to take place in Belém, a northern city in Brazil, this November.

The four-lane highway, designed to accommodate tens of thousands of delegates, including world leaders, has sparked concerns about the environmental impact in one of the world’s most biodiverse regions.

The highway project, which was proposed by the state government of Pará over a decade ago, was delayed several times due to concerns about its environmental impact. However, with the summit approaching, the project has moved forward as part of a broader plan to prepare Belém for the influx of visitors. The state is also undertaking other major infrastructure projects, such as expanding the airport, redeveloping the port for cruise ships, and constructing new hotels.

The state government defends the highway, claiming it will be sustainable. They point to features like cycle lanes and wildlife crossings designed to help animals move through the area safely. Adler Silveira, the state’s infrastructure secretary, also highlighted that the road would use solar-powered lighting, further emphasizing its environmental credentials.

Despite these claims, many locals and environmental groups are outraged. Residents like Claudio Verequete, who lives about 200 meters from the new road, argue that the construction is devastating their livelihoods. Verequete, who once made his living harvesting açaí berries, shared his frustration with the BBC, saying, “Everything was destroyed. Our harvest has already been cut down. We no longer have that income to support our family.”

Conservationists have also raised alarms, warning that the deforestation could harm wildlife and disrupt the delicate balance of the Amazon ecosystem. The region is crucial for absorbing carbon dioxide and preserving global biodiversity, and many critics argue that the destruction of the forest for a highway goes against the very purpose of hosting a climate summit in the area.

As the summit draws closer, the debate over the highway and its environmental impact is intensifying, with critics questioning whether the destruction of part of the Amazon can be justified in the name of hosting a global climate event.

(Source: www.timesofindia.com dated 13^th March, 2025)

BCAJ Admin

Impact Of The Projects Of BCAS Foundation

We are pleased to inform you that the BCAS Foundation set up a Science Laboratory, a Modern Library and four Smart Classes at M. M. High School, Umbergaon, which is a 125-year-old School, run professionally. These projects will benefit more than 2300 students every year. These projects were inaugurated on 9thAugust 2024 at a grand function organized by the School. Interestingly, that day was an “Adivasi Divas” and also a “Book Lovers Day”. Guests present at the function also planted a tree in their mother’s name and became part of the movement called “Ek Ped MaaKeNaam”, ‘एकपेड़माँकेनाम’.

We are happy to share the impact of the Science Lab in just a few months of its inauguration in the following letter from the M. M. High School addressed to the BCAS Foundation.

TO BCAS FOUNDATION,

“DEEP GRATITUDE FOR THE SCIENCE LABORATORY! IT’S BEEN INVALUABLE TO US.”

We utilized the Science Lab to create outstanding science fair projects, resulting in unprecedented success:- 4 projects selected for district level (A first-time achievement for our school )

The hands-on experience provided by the laboratory has sparked curiosity and enthusiasm among students. Practical learning has made science more engaging and accessible.

Thank you for empowering our students with cutting-edge facilities and fostering a love for science.

OUR SELECTED PROJECTS:-

1. ELECTRICITY GENERATED BY ROTTEN VEGETABLES (INNOVATIVE ENERGY HARVESTING):

Quality food is essential for our health. When vegetables are stored for a long time, their taste changes, and their nutritional value decreases. Such vegetables can lead to stomach aches, vomiting, and other illnesses. Due to the reduction in nutrients in these vegetables, immunity also decreases. The gases emitted from rotten vegetables can cause environmental pollution, and the flies and mosquitoes that gather on them can spread diseases. Therefore, an excellent way to manage stale and rotten vegetables is to generate electricity from them and then produce fertilizer.

2. FLOAT FARMING (SUSTAINABLE AGRICULTURE SOLUTION ):

Because of urbanization and industrialization, agricultural land is decreasing day by day. FLOAT FARMING is one baby step to solve this problem.

This system uses floating beds, which are made from water hyacinths, aquatic algae, water-borne creepers, herbs, plant residues, coconut husk and bamboo.

The system uses a floating bed of rotting vegetation that acts as compost for crop growth. There is no need for artificial fertilizer. We can develop Fish farms in that water, too, which will benefit farmers.

Float farming creates agricultural land areas in a wet area.

3. NIGHT SOLAR CAR (RENEWABLE ENERGY APPLICATION):

Purpose of the Project:-Everyone knows that solar vehicles only run during the day, but there is no option of energy harvesting for the vehicle during the night, so this is the purpose of our project that solar vehicles will harvest solar energy during the day and use the same energy at night using Thermoelectric Principle.

How it works:- The Night Solar Vehicle utilizes a Peltier module charged by hot sand during the day, converting heat into electricity. This energy is then stored in a battery, powering the vehicle at night. Additionally, a carbon solar panel generates electricity, supplementing the Peltier module’s energy.

4. EARTH AIR TUNNEL (ENVIRONMENTAL INNOVATION):

The temperature below the surface of the Earth (at a depth of 6 to 8 meters) remains stable throughout the year, with a variation of around 6°C to 10°C. This project works on that principle.

One end of the pipe is placed above the ground, and then the pipe is taken underground to a depth of 6 to 8 meters and passed through the earth, with the other end entering inside the house. During summer, the hot air from outside enters the pipe, and as it passes through the tunnel, the lower temperature beneath the earth causes a heat exchange, cooling the air. This cool air then enters the house, providing natural cooling. The same system is also useful in winter.

With Deep Gratitude,

M. M. High School, Umbargaon

(Alpesh Patel – Principal) (Jesal Shah – Vice Principal)

BCAJ Admin

Study Circles

Shrikrishna: Arey Arjun, yesterday I called you many times; but you didn’t pick up the phone.

Arjun: Bhagwan, I was attending a lecture in our study circle meeting.

Shrikrishna: Oh! What was the topic?

Arjun: yehi – apna Ethics! Bhagwan, I tell you, the future of the profession seems to be very bleak. Everybody was crying.

Shrikrishna: I am aware. There are many risks and threats. Too many regulations, harassment by Regulators, excessive expectations of clients, no reward ………Right?

Arjun: You said it. On many occasions, I have shared my worries with you. No good staff, no good articles. Can’t really cope up with the work. So many compliances!

Arjun: There is no unity amongst us. We cannot afford to say ‘No’ to any client. Whatever he wants we have to bow down. I am told, even well-established firms also have not much choice

Shrikrishna: True. I wonder whether real independence was ever there in your profession. That way, in all professions, the situation is more or less the same.

Arjun: Clients literally dictate us and take advantage of our lack of unity and solidarity.

Shrikrishna: Therefore, you can never demonstrate your collective strength.

Arjun: Our study circles are also focussing more on academic topics. Yesterday, the speaker suggested that we should have separate informal meetings for brain storming on our professional anxieties and to discuss the future of profession.

Shrikrishna: You can share your peculiar experiences and try to seek solutions. Even you can improve your communication skills to avoid many problems. By timely and effective communication, you can avoid embarrassing situations.

Arjun: The speaker also suggested that we should proactively discuss exposure drafts of Regulations and Standards and send our views. There is no point in shouting after it is passed.

Shrikrishna: So also, there can be many standardised letters that can be used by your members. All of you may not have good drafting skills. But wherever there are recurring compliances, you can use such ready made drafts which you can suitably modify.

Arjun: We can even take expert advice for getting such drafts.

Shrikrishna: Moreover, all firms may not have a ‘knowledge manager’. You can hire expert services to vet your audit reports or submissions. A studycircle can retain such expert for all members so that the cost is shared.

Arjun: That’s a good idea. We are not often updated, we need to depend on our juniors, we don’t get time to check everything as there is always a fire-fighting exercise.

Shrikrishna: Then your study circles can organise workshops for compact groups – not lengthy lectures. Each firm may not be in a position to organise training programmes for its staff. But 5 to 6 firms collectively can arrange trainings in a workshop. Study circles can do it more effectively.

Arjun: Lord, I find growing frustration amongst CAs at all levels. Even the partners of large firms are not happy. They are stressed. Most of them are trying to keep away from audit signing.

Shrikrishna: It’s a tragedy. People want to run away from the core function of the profession.

Arjun: Audit signing is now always very risky. No one is sure what he has seen and not seen! A lot of fear and discomfort, despite such a high academic qualification.

Shrikrishna: And your knowledge becomes outdated so fast! You should collectively keep on expressing your concerns and making representations to the authorities, to the Council, write articles in the press and social media airing your difficulties. Make your voice heard! Groups like study circles can do that.

Arjun: I think, one more thing the study circles can do. Today, there are many management-sponsored frauds rampantly happening. CAs are being held responsible for not detecting those frauds. They are also made co-accused!

Shrikrishna: Yes, the dividing line between the principles of watchdog vs bloodhound is getting blurred. People and Regulators want you to be fraud detectors. And if you apply a few important SAs strictly, frauds can easily come to light, especially, third-party evidence.

Arjun: So, there could be discussions or presentations on frauds, forensic audit and the like. This could be for CAs as well as for audit staff. That will arouse interest in the minds of staff and articles.

Shrikrishna: Actually, there are many more things that can be done. We will discuss them some other time.

Arjun: I agree. I will tell our convener to act on this.

“OM Shanti”

This dialogue is a general discussion on how study circles can add value for the members instead of arranging only academic lectures.

BCAJ Admin

Essay

Editor’s Note : Tarang 2K25 – the 17^th Jal ErachDastur CA Students’ Annual Day was held on 22^nd February, 2025. The said event included an essay competition and the winning essay titled “The psychology of money: How financial decision shapes our lives” was penned by Dhairya M. Thakkar. Below is the verbatim print of the said essay

It is rightly said that, “Money is just a paper, but is never found in dustbin.” In simple words, from a popper to a multi-billionaire, everyone needs money to fulfill their needs, followed by comforts & desires.

Let us assume that there are 2 friends, Alex & Brian, who both earn Rs 1 Lakh per month. However, inspite of the assumption that everything between the 2 friends is same, the only difference is their choice of to spend money they earn. Alex chooses to purchase a few gifts for his family, uses money with a free-hand, shops a lot & hardly saves. On the other hand, Brian uses a simple yet effective rule which he names as “40-30-20 Rule”, i.e.-

40% of his income – For all the necessities, accommodation, etc.

30% of his income – Investing in stock markets, SIPs, Bonds, etc.

20% of his income – For all the additional luxuries, comforts, etc.

And lastly, he keeps his 10% of his income in form of cash at home or bank so that it can be enchased in case of any emergency.

Now, who do think, 20 years down the line, will be better with finances, money management & financially sound. Of course, it has to be the man who since Day 1 had that discipline to keep his savings aside & invest it constantly (So, in our example, it’s Brian).

It is rightly said by Mr. Robert T. Kiyosaki (who is the author of one of the most famous self-help book Rich Dad, Poor Dad) that: “It is more important how much you save & not how much you earn, So, spend after you save & never save after you spend.”

So, now let us connect the dots of psychological decision & money. In one of the books, which is also called as, ‘Bible for Investors’ – The Intelligent Investor,it’s author Benjamin Graham wrote that money has more to do with discipline while saving or investing.

Thus, if a man is disciplined enough to manage to save a decided component of his income, then he will surely be in a position to invest it & garner money in forms of dividend, capital appreciation, interest, etc. whereas on the other hand, if a man fails to save money, then there would be negligible chances of him earning any returns because he could not accumulate capital in the first place.

In the very famous Marshmallow experiment, two kids were asked to sit alone in a room with one marshmallow in front of them. However, the challenge was that if a kid chooses to not eat it, then he will get 2 marshmallows, instead of 1. One of the kids chose to eat it right away whereas the other kid chose the path of delayed gratification & he got twice the returns.

After decades, it was evident that the kid who chose instant gratification, was suffering in his financial life, social life & had issues in almost all areas of life, whereas the kid who chose delayed gratification was financially independent, successful, had good social status & was respected in the society.

This simple experiment proved that life has pretty less to do with grades, percentages, etc. and has majorly to do with discipline & money is not an exception to it. As correctly said by Mr. Warren Buffet, “Making money multiply is like watching grass grow on field … It requires patience to be rich.”

So, towards the conclusion, financial decision is like sowing a bamboo tree, it will grow just 2 feet in first 5 years but once it shoots up, it results into growing 100 feet in next 2 years. So, money grows at its own pace & person who keeps on investing, gets rich, a bit later but at a larger scale.

BCAJ Admin

There Is Always A Door …

CA Girish Agrawal, a first-time author, embodies versatility. Besides being a Chartered Accountant, he was an avid footballer in his younger days, followed by being the President of the Leo Club in the mid-twenties and studying law in the mid-forties. He has handled the finance functions in an MNC and is currently an Income Tax Appellate Tribunal Member. I had the privilege of interacting twice with him, once professionally and secondly during the launch of the book.

The author initially indicates that the trigger for writing this book is to express his gratitude through leveraging his “word power” since his life has been extremely rewarding from his childhood in spite of experiencing three major near-death experiences (NDEs), which have made him cherish every moment of his life till date. The book goes on to reveal various facets of his personality in diverse roles ranging from academics, sports, leadership, social welfare and public events, professional pursuits, etc., with several achievements and failures on the way, including the NDEs indicated above; each of which has made him a complete person. He also expresses his gratitude to several persons starting with “My Master” my beloved Maharita, who he considers his biggest source of faith and strength, followed by “my Lord Krishna“, whose practised principles like unconditional love, joy, detached engagement, beauty, energy and enthusiasm, amongst others reverberating through Krishna consciousness intrinsically weaves through his life’s journey lived so far with all its complexities. He goes on to add that the book has also been motivated by his completing fifty years since his master says that “fifty is the new zero”.

The first and the longest chapter, titled “In Spite of…” narrates the first and by far the closest of NDEs in the form of a horrific road accident which resulted in severe damage to his spine and several other injuries. He then narrates his feelings and experiences, which transcended him from a chaotic state from the outside into an absolutely blissful, sacred and divine state from the inside for the next 60 hours till the successful completion of the surgery, which he refers to as the “point of reference” for the rest of his life. He goes on to compare time to a stationery rail track. In spite of the severe trauma involved, the author conveys that he has reached the most relaxed state with a feeling of freshness since his intentions were very clear to bounce back since he had to add much to life. The chapter is a lesson for all of us to always adopt a positive and never-say-die attitude, howsoever daunting the situation which ultimately helps one to come out as a winner. Another regular feature of the book is the poetic references, which describe various situations. He concludes the chapter with a very profound quote which reads as under to signify his transformation in life:

“Just when the caterpillar thought the world was over, it became a butterfly”

The remaining part of the book is weaved into a series of compact chapters which describe the various stages of his life and the lessons which he has learnt therefrom.

The next chapter, titled “The Inception”, covers his early school days and goes on to narrate his first NDE when he was hospitalised for kidney surgery, which resulted in life-threatening complications during recovery, which helped him very early in life to develop an understanding of the existential state of living in the form of being alone(where one dissolves into one’s self and goes inside) and being lonely (a feeling of lacking something). He goes on to state the various struggles encountered and how they were conquered through persistence and also several learnings.

The remaining part of the book narrates his life’s journey through various chapters (referred to in bold and italics), which touch upon the early influences and values which his paternal grandfather instilled, the spiritual discipline which kept on miraculously working in his life followed by his varied experiences through meeting various people from different walks and in different stages of life. He goes on to narrate how each of these helped “sowing the early seeds in life”, “exploring unchartered territories”, and “doing everything with devotion”. In the midst of various challenges and struggles, he does not forget to mention that he did “experience happiness” in several things like eating “Mishti Doi”, travelling for sports tournaments and studying with a group of friends for his exams, which helped him advance in his career and resulted in “unleashing his true potential“. In the midst of all this, he touches upon the last NDE during the second wave of COVID-19 19 which hit so hard that he had to be in the ICU, where he witnessed seven deaths around him and how he navigated the subsequent recovery phase with fortitude due to his experiences from the earlier NDEs which he refers to as ” I am having an affair with my life”. He wraps up his experiences by stating the effect of “music in his life” in the form of not only his love for music and his encounter with various legends and the immense source of inspiration it has been but also how it shaped his parenting abilities followed by the mantra of “giving and getting” which he refers to as a “win-win “solution wherein the act of giving is done without the willingness of the giver which can at best be termed as fulfilling his obligatory duty without expecting anything in return. The book concludes with a poem titled “Flowing like a Rive, Mantra of My Life…” which was penned by him during a flight from as indicated to me during the launching of his book.

Each of the chapters and sections provides the reader with a solid perspective on life in the form of perseverance, patience and positive thinking which can overcome even the mightiest of challenges and that one should never give up, which aptly sums up the title of the book.

It is interesting to note the author’s analysis and interpretation of each of the words of the title in a tabular form, which provides deep insights into his thinking process.

To conclude, the book sums up a basic philosophy that life needs to be lived to the fullest in the present, and every moment thereof needs to be cherished without carrying any baggage from the past nor thinking and worrying about the future.

BCAJ Admin

Learning Events at BCAS

1. Finance, Corporate & Allied Law Study Circle – REIT n InvIT as Investment avenues held on Thursday, 13th February, 2025 @ Zoom.

CA Harry Parikh explained the concepts of REIT and InvIT, their features, structural overview, eligibility criteria, investment conditions, etc. He highlighted that REIT or InvIT are investment products and not a tax-saving product. He dealt with the decision-making criteria for investing in REIT or InvIT vis-a-vis traditional investment with the help of examples of REITs. He also enlightened on the key differences between Equity vs. Mutual Fund vs. REIT vs. InvIT, and tax implications thereof. He also shared his insights on factors to be considered for investing in REIT.

More than 70 participants enriched out of the masterly analysis of REIT, InvIT as investment avenues.

Youtube Link: https://www.youtube.com/watch?v=GxO-5VpL-xk

2. Public Lecture Meeting on “Union Budget 25 — Indirect Tax Proposals” held on Wednesday, 12th February 2025 @ Zoom.

The lecture meeting on the Union Budget 2025 and its Indirect Tax Proposals, held on 12th February 2025, featured CA Sunil Gabhawalla discussing various amendments in the Finance Bill 2025. He focused primarily on GST provisions while briefly touching upon customs, excise, and service tax amendments.

He began by explaining the concept of ‘input service distributor,’ detailing its position in the pre-GST regime, GST regime until 31st March 2025, and the post-2025 scenario. He highlighted differences in the definition of ‘Input Service Distributor’ (ISD) between the existing and proposed regimes, emphasising the potential for varied interpretations and possible litigations. Using the draft circular issued by the CBIC and other relevant jurisprudence, he illustrated cases falling under the ISD and Cross Charge Mechanisms.

He also examined the impact of retrospective amendments in the GST law, referencing the Hon’ble Supreme Court’s decision in the Safari Retreat’s case and highlighting open issues post-amendment. Further, he discussed issues arising from the amendment that incorporates additional conditions for self-adjustment of taxes based on credit notes. He provided guidance on addressing these issues, especially in light of the mandatory Invoice Management System (IMS) introduced by GSTIN in October 2024. He cited practical examples to highlight various aspects taxpayers should consider when dealing with the IMS mechanism. Additionally, he explained how the proposed track and trace mechanism would complement E-way Bill provisions. The meeting emphasised the government’s intent to gather maximum data and use artificial intelligence to curb tax evasion, leading to increased compliance and affecting the ease of doing business.

Finally, he covered miscellaneous amendments related to ‘local authorities,’ ‘vouchers,’ amendments in Schedule III concerning supplies by SEZ / FTWZ units, and the rationalisation of pre-deposits required under appellate proceedings in disputed orders imposing penalties.

The lecture was attended by approximately 325 participants online.

BCAS Lecture Meetings are high-quality professional development sessions which are open to all to attend and participate. The readers can view the lecture meeting at the below-mentioned link:

Youtube Link: https://www.youtube.com/watch?v=yAzBv4CAHNw

3. Public Lecture Meeting on Direct Tax Provisions of Finance Bill, 2025 held on Thursday 6th February, 2025 @ Yogi Sabhagruh Auditorium Dadar East

The public lecture on Direct Tax Provisions under the Finance Bill 2025 was a comprehensive discussion led by noted tax expert CA Shri Pinakin Desai. The session emphasised the significant changes in income tax slab rates and corresponding rebate provisions, which were perceived positively. The lecture highlighted that this year’s budget prioritises stimulating consumption over infrastructure investment, marking a substantial increase in tax-free slab rates compared to previous years. Notably, there was a significant shift anticipated as taxpayers may transition from the old tax regime to the new one, leading to increased discretionary spending and ultimately contributing to GDP growth.

Shri Pinakin Desai provided insights into several key provisions of the Finance Bill, 2025 analysing changes to tax rates, corporate taxation, TDS rationalisation, and the taxation of charitable trusts. The lecture also discussed new provisions concerning Tax Collection at Source (TCS) and implications for companies undergoing amalgamations. Shri Pinakinbhai’s thorough analysis offered clarity on how these changes would affect various stakeholders and emphasised the need for careful navigation of the new tax landscape.

KEY INSIGHTS

Increased Tax-Free Income Thresholds: The new regime allows individuals to earn up to ₹12.75 lakhs without incurring tax, significantly benefiting middle-income taxpayers. This change is expected to uplift the overall spending capacity of households, resulting in higher consumption rates and positively influencing economic growth.
Charitable Trust Registration Validity: The extension of the registration period for small charitable trusts from five to ten years represents a significant reduction in administrative burdens for these entities, encouraging more charitable initiatives and financial stability among smaller trusts.
Tax Deductions for Rent Payments: The amendment reducing the threshold for tax withholding on rent from ₹2.4 lakhs annually to ₹50,000 monthly for companies is a notable change.
Implications of Changes in applicability of Rebate: The decision to disallow rebates for special rate incomes under capital gains could reduce tax relief for many taxpayers, necessitating careful consideration of investment strategies to optimise tax liabilities.
Restrictions on Loss Migration: The amendment aims to curb the indefinite extension of loss carry-forwards through repeated amalgamations, ensuring a fair and consistent tax treatment. Previously, amalgamated companies could extend the carry-forward period indefinitely, effectively resetting the 8-year limit with each new amalgamation. The amendment aims to prevent this perpetual “evergreening” of losses. Shri Pinakinbhai explained the impact of this amendment through various illustrations.
Non-Resident Tax Incentives: The concessional tax rates for foreign entities providing technology and services to specified manufacturing industries reflect India’s strategy to foster foreign investment in critical sectors such as electronics, enhancing competitive advantages and technological development. A new presumptive taxation scheme introduced for non-residents providing services or technology to Indian companies engaged in the manufacture of electronic goods. Shri Pinakinbhai also highlighted possibility of a drafting error in the proposed legislation, mistakenly suggesting that both payment and receipt of 100 rupees result in a taxable consideration of 200 rupees which should be corrected to align with sections 44B and 44BB, of the Income-tax Act.
Extension of time limit for passing Penalty Orders: The time limit for completing penalty orders related to assessment has been changed from 6 months from the month of receiving the order from the tribunal to 6 months from the end of the quarter of receiving the order.
Transfer Pricing Assessment: Instead of annual assessments, a block of 3 years for determining the Arm’s Length Price (ALP) is introduced. Once the methodology is settled in the first year, it remains binding for the next two years. Taxpayers can opt for this block assessment, either during or after the Transfer Pricing (TP) assessment. He also mentioned that the effectiveness of these new measures shall depend upon the rules to be prescribed in this regard.
Updated Return Filing: The provision now allows updated returns to be filed up to the end of the third or fourth year, with additional taxes of 60 per cent and 70 per cent, respectively. This provision aims to promote compliance by offering a structured approach for taxpayers to rectify errors or omissions, albeit with significant additional tax implications for later filings.

In summary, the lecture delivered by Shri Pinakin Desai provided a detailed analysis of the Finance Bill 2025, shedding light on various changes that will impact individual taxpayers, businesses, and charitable organisations alike. The meeting was attended in person by 450 plus participants and encouraging response of over 26,000+ viewers online.

The readers can view the lecture meeting at the below-mentioned link:

Youtube Link: https://www.youtube.com/watch?v=ncVT3ejAtPA

4. Felicitation of Chartered Accountancy pass-outs of the November 2024 Batch held on Friday, 31st January, 2025 @ IMC.

Milestone 2.0 — Felicitation of newly qualified CAs of the November 2024 batch.

A felicitation event for the newly qualified chartered accountants of the November 2024 batch was held on 31st January, 2025, at the Walchand Hirachand Hall of the Indian Merchant Chambers building at Churchgate by the SMPR Committee. The event was highly successful and close to 400 candidates attended the event. The theme for the event was Milestone 2.0, and the guest and mentor for the event was Past President CA Naushad Panjwani. He guided the participants by taking them through the Japanese concept of Ikigai and drawing parallels to their phase in life where they should aim to find their Ikigai, which would lead them to success and happiness. The participants diligently listened and also provided their perspectives on the matter. Rankers were felicitated first, and they addressed the audience subsequently and shared their experience throughout the journey of becoming a CA. A celebratory cake was cut and then all the successful newly passed CAs were felicitated. The excitement on everyone’s faces was visible, and that is testimony to the success of the event.

5. Indirect Tax Laws Study Circle Meeting held on Friday, 31st January, 2025 @ Zoom.

Group leaders CA G. Sujatha & CA Archana Jain prepared and presented various case studies on Government Supplies and explained the concepts of Central Government, Government Authority, State Government, etc.

The presentation covered the following aspects for detailed discussion:

1. Concept of Supplies by Central Government, State Government, Local Authority.

2. Supplies liable to tax or part of sovereign function.

3. Taxability of charges paid to the Ministry of Corporate Affairs at the time of registration & subsequently do both enjoy the exemption.

4. Detailed discussion on mining rights and other rights associated with land and fees paid for getting rights.

Around 60 participants from all over India benefitted by taking an active part in the discussion. Participants appreciated the efforts of the group leader & group mentor.

6. ITF Study Circle Meeting held on Thursday, 30th January, 2025 @ Zoom.

Group Leaders – CA Nemin Shah and CA Dipika Agarwal

Guidance for Application of Principal Purpose Test under India’s treaties vide CBDT Circular 1/2025 dated 21st January, 2025 (Circular) — Group Leader CA Nemin Shah.

During the session, CA Nemin Shah discussed the context relating to the Principal Purpose Test (PPT). For this, he extensively discussed the basics of MLI and PPT. Another perspective which was discussed was whether PPT was for general anti-avoidance or a specific anti-avoidance. The Group Leader went on to discuss the key points of the Circular, such as the application of PPT is based on an objective assessment of the relevant facts and circumstances, its applicability in cases where the PPT has been incorporated through bilateral negotiations or through MLI, the scope of grandfathering provisions under the treaties which will remain outside the purview of PPT. He went on to discuss the various issues that could arise, such as its applicability to the India-Mauritius tax treaty, which MLI does not cover.

SC Lowy P.I. (Lux) S.A.R.L, Luxembourg v. ACIT [2024] 170 taxmann.com 475 (Del-Tribunal) – Group Leader CA Dipika Agarwal

CA Dipika explained the facts and the arguments of the assessee and revenue. She discussed the Tribunal’s findings. One of the key focus points of the discussion was that it appeared from the Tribunal’s order that PPT was not invoked at the assessment level, but discussed only at the Appellate level. Further,
there was no discussion in the Tribunal’s order for choosing Luxembourg over the Cayman Islands for making investments. The group discussed the implications of the same. The Group Leader went on to discuss the Tribunal’s findings in relation to Tax Residencey Certificate (TRC) and Limitation of Benefits (LOB). With respect to the PPT clause, the assessee’s incorporation in Luxembourg was not for the principal purpose of obtaining tax treaty benefits, as it had substantial investments, which it continues to hold.

7. 22nd Residential Leadership Retreat — Living in Harmony held on Friday, 24th January, 2025 and Saturday, 25th January, 2025 @ Rambhau Mhalgi Prabodhini Keshav Srushti Bhayander (West)

The 22nd Leadership Retreat was held on the theme of `Living in Harmony’ under the guidance and training of Mr M. K. Ramanujam and Mr R Gurumurthy. 27 participants including 6 couples attended, of which, more than 15 participants were attending the Leadership Retreat for the first time.

The key learnings are summarised as follows:

Harmony is unity in diversity which brings joy, peace, happiness, satisfaction and fulfilment.
One has to focus from zoom in to zoom out. i.e. look at the wider picture from a broad perspective for a higher purpose over a long span and come out of small and micro views. Zooming out is like a compass of values to find the right meaning in life.

To identify challenges, zoom in and use an emotional filter to zoom out.

P R E M A: The acronym represented Positive Emotions, Relationship, Engagement.
(Karma Yoga), Meaningful Life and Achievement – selfless service for a noble cause. This could be the guiding light.
Listen vis-a-vis Silent. Listen with empathy and compassion. Words “Silent” and “Listen” are complementing. So, engage in listening to be silent within and establish connect outside.
R A S (Reticular Access Syndrome) explains that whatever one focuses on, expands in the mind. We see the world as we are. So, one can use this to reinforce the attention to important things in life.
Nature operates on contrast. Sattva, Rajas and Tamas are like an interplay of darkness and light. The contrast of bright and dark, light and dark, day and night, white and black, happiness and sadness, joy and gloom. Contrast is natural. Negative things help us to appreciate the value of positives. Pain is a warning signal to pause. Self-acceptance guides us to Harmony. Therefore, one can transform from fear to faith, anger to care and work to relax.
Practice Harmony by observing without being judgemental.
Understand the basic needs, physical, social, spiritual, personal, interpersonal. The needs are distinct from wants. Needs are expressed through feelings. Listen to the feelings. One can understand that anger moves us away, whereas Love and compassion bring us closer to Harmony. Human pursuit (Purushartha) is for Kama, Artha, Dharma & Moksha. The purpose of human life is Moksha, for which doing Kama or pursuing Artha should be based on Dharma, respecting the highest universal values and principles.
Like a peel on the surface of a juicy fruit, the outer layer may have an unpleasant taste, but with faith and conviction, one can have the taste of juice and nectar within.
Bring inner transformation by working from Gratitude with Empathy & compassion.

In the penultimate session, discussion was on the film Peaceful Warrior and the inspiring message coming out from the film’s dialogues.

In the concluding session, the participants shared the key points of learning from the camp.

8. Fireside Chat on “Return of Trump – What does it mean for America, India and the World” held on Monday, 27th January, 2025 @ BCAS

Speaker: Shri Natwar Gandhi

Moderator: Shri Rashmin Sanghvi

Widespread fear about various executive orders signed by Mr Trump is misplaced as most of them have been challenged and will have to pass the test of constitutional validity.

America has a strong democracy and deep-rooted institutions. No president can make fundamental changes at his will. Even with a majority in Congress and Senate, constitutional changes are not going to be possible in his four-year term.

One can expect him to use tariffs as a negotiating tool to gain trade favours. However, in the long term, it will hurt the US as well as the country on which high tariff is levied because it will lead to higher costs and consumer resistance. That will not augur well for the USA.

The USA will continue to be a dominant world power as long as the majority of trade uses USD as currency for settlement.

Tall claims about taking over some territories should be discounted as election rhetoric.

The US economy, despite popular perception, is doing well, with average household income (even in the most backward area) still much above par with the rest of the world. With the new administration, one can expect business-friendly policies and a return to manufacturing.

It will be difficult to reduce bureaucracy as all policies require ground-level staff to implement. The USA, with its large size and federal structure, will make such reduction only ornamental.

A large deficit close to USD 35 trillion will not curtail any growth initiatives as the world still uses America as its investment and wealth destination.

Despite threats, it will neither be possible nor practicable to deport almost 10 million illegal immigrants out of the US due to procedural and logistic challenges. By rough estimate, the cost and time of that purge will be 1 trillion USD and will take more than 10 years for the current number.

White supremacy lobby will continue to flourish, and borders will see very strong protection to prevent illegal immigrants from entering the USA. Despite that America is likely to become a Hispanic state with so many migrants from Latin America.

Skilled labour will be there to stay as the big business will not be able to operate without them. Hence, despite all the shouting about work visas, they will stay.

9. Webinar on Recent Important Decisions under Income Tax held on Friday, 24th January, 2025 @ Virtual

The Taxation Committee of the Bombay Chartered Accountants’ Society organised a Webinar on Recent Important Decisions under Income Tax.

Adv. Devendra Jain delivered an in-depth presentation on reassessment proceedings. He explained the evolving judicial perspective on reassessment, especially in light of recent amendments and rulings by the Supreme Court and the High Courts. His session provided clarity on the crucial points to be considered while representing matters on reassessment cases.

Adv. Ajay Singh began the session by providing a detailed analysis of key judicial decisions that have significant implications for the interpretation and application of Income tax laws. He highlighted the judgments relating to capital gains, gift tax under section 56(2)(x), reduction of share capital, Condonation of delay in filing forms, interest on IT refund, penalty provisions and share transactions, focusing on their impact on taxpayers and professionals alike. He emphasised the importance of understanding these rulings to develop better compliance and advisory strategies.

The session provided participants with a comprehensive understanding of recent developments in Income tax law and practical insights to navigate legal complexities.

Youtube Link: https://www.youtube.com/watch?v=FlL13OSdCOw

10. 25th Silver Jubilee Course on Double Taxation Avoidance Agreements held from Monday, 2nd December, 2024, to Tuesday, 21st January, 2025 @ Zoom.

The Society successfully conducted its 25th Silver Jubilee Study Course on ‘Double Taxation Avoidance Agreement’ via an online platform spanning from 2nd December, 2024 to 21st January, 2025.

Based on participants’ feedback and consultation with seniors in the Committee, for this 25th Silver Jubilee Course on Double Taxation Avoidance Agreements, BCAS has come up with a unique concept of sharing the recordings of the 24th DTAA Course undertaken in December 2023 as an option to the participants followed by multiple panel discussions. One introductory session on “Overview of International Taxation & DTAAs” and ten panel discussion sessions were planned to take forward the learnings by discussing the intricate and practical issues on the topics of International Taxation, making the course more interactive. Participants were also provided an option to share the queries or issues to the panellists by way of Google form before the respective panel discussion. Eminent tax professionals of the country were the panellists as well as moderators for the series of panel discussions.

All sessions of the course, including last year’s recorded sessions, covered all articles of DTAA, an overview of FEMA / BEPS / MLI / GAAR, Transfer Pricing, Source Rules under the Income Tax Act, 1961, TDS under section 195, Substance v/s Form, and other relevant provisions. The course included complex topics such as Taxation of Specific Structures (e.g., Partnership, Triangular Cases, AOP, etc.) and Selection of Structures.

More than 200 Participants from 15 states spread over 30 cities attended the course which was well-received and appreciated by the participants.

11. Revolutionising CA Practice with Generative AI: Practical Use Cases for Efficiency and Growth held on Thursday, 9th January, 2025 @ Virtual

CA Rahul Bajaj recently led an insightful 2-hour webinar, “Revolutionising CA Practice with Generative AI: Practical Use Cases for Efficiency and Growth,” showcasing how AI can transform Chartered Accountancy practice. The session delved into real-life applications of Generative AI, highlighting its potential to enhance productivity, streamline operations, and improve client servicing. Participants learned how AI can be used to draft professional emails, generate legal documents, automate data entry in Tally, and prepare financial forecasts, all while saving time and reducing errors.

Key takeaways included using AI to create checklists, templates, and peer review documentation like Engagement and Appointment Letters. AI also supports the generation of client training materials, social media content, and even notices, helping firms stay engaged with clients while improving efficiency. By automating repetitive tasks such as bank statement analysis, CAs can focus more on strategic activities, boosting overall productivity.

The session concluded with CA Rahul Bajaj emphasising the importance of integrating AI into CA practices for long-term growth. With tools that enhance accuracy and decision-making, AI is positioning itself as a game-changer, enabling Chartered Accountants to provide higher-value services and streamline their operations for greater success in an increasingly digital world.

The excellent response that the webinar got in terms of enrolment from across various cities of India and from persons of various age groups, as well as the feedback received at the end of the webinar, is testimony to the growing importance and popularity of AI in the CA fraternity.

12. BCAS Turf Cricket Tournament 2025 held on Sunday, 5th January, 2025 @ Andheri Sports Complex, Azad Nagar, Andheri West

The BCAS Turf Cricket Tournament 2025 held on 5th January 2025 at Andheri Sports Complex, was a resounding success, hosting 12 men’s and 2 women’s teams in a thrilling display of sportsmanship and camaraderie.

The tournament was exclusively for CA Members, Students, and BCAS Staff was well received with overwhelming participation.

The format in Men’s category was of four groups of three teams each, which formed the league stages followed by knockout rounds of Quarter-finals (8 teams), Semi-finals (4 teams) and the Finals. The 12 Men’s teams that competed in the Tournament were Bansi Jain Warriors, Bathiya Bravehearts, BYA Titans, CNK Super Strikers, G&S Gladiators, Kirtane & Pandit Maestros, KNAV Smashers, MAS Mavericks, MCS Super Kings, MGB Yoddhas, NPV Challengers and TeaMPC whereas the 2 Women’s teams were NPV Thunderbirds and BCAS Queens.

The tournament was filled with exciting matches, impressive individual performances, fun-filled live commentary and enthusiastic support from the spectators. The 8 teams that qualified for the Men’s quarterfinals were MAS Mavericks, Kirtane & Pandit Maestros, CNK Super Strikers, MGB Yoddhas, G&S Gladiators, NPV Challengers, KNAV Smashers and Bathiya Bravehearts. The Semi Finals were then played between the 4 teams viz. Kirtane & Pandit Maestros vs. NPV Challengers and CNK Super Strikers vs Bathiya Bravehearts.

The day culminated in a nail-biting Men’s final between Bathiya Bravehearts vs Kirtane & Pandit Maestros, with the former emerging victorious whereas BCAS Queens emerged as winners in the Women’s category.

The tournament left a lasting impression on all participants and thus setting the stage for future editions of this exciting event.

13. BCAS Nxt Learning and Development Bootcamp on Idea to IPO: A Beginner’s Guide held on Saturday, 4th January, 2025 in hybrid mode

The Human Resource Development Committee of BCAS organised a BCAS NXT Learning & Development Bootcamp on “Idea to IPO: A Beginner’s Guide” on Saturday, 4th January, 2025. The session was led by Mr Aditya Rathod, a CA Final student, who delivered a comprehensive presentation on the fundamentals and key regulations governing IPO in India. His presentation covered a wide range of topics, including essential definitions, various IPO methods, and an overview of the IPO process and its approach. He also shared practical experiences to help beginner article students navigate the complexities of the IPO Listing Process.

CA Rimple Dedhia, the mentor for the session, provided valuable insights and guidance throughout, offering expert interventions as needed. The boot camp was held in person at the Mehta Chokshi & Shah LLP office and streamed online, with active participation from students across India.

Youtube Link: https://www.youtube.com/watch?v=-WYuPDeOJus&t

14. Series of Sessions on Standards on Auditing and Key Learnings from NFRA Orders held on Friday, 13th December, 2024 to Friday, 3rd January, 2025 @ Zoom

BCAS has always been a pioneer in equipping its members, in particular and other stakeholders at large with the knowledge in the arena of Accounting Standards, Ind AS and Standards on Auditing. The challenge of the auditor is to address the risks posed while providing assurance services within the regulatory framework of ICAI and NFRA. Compliance with Auditing Standards is of utmost importance while carrying out audits.

Considering these challenges that the auditor has to address while performing duties, the Accounting & Auditing Committee organised a well-designed series of virtual sessions covering Auditing standards and Key Learnings from NFRA orders, which should be kept in focus while executing audit assignments along with practical guidance. The Sessions were held on Fridays for 2 hours each, totalling 8 hours.

The main objective of designing this series of sessions was to delve deeply into the subjects affecting the audit fraternity and to provide a platform for the Members in Practice to come together and get the opportunity to have deep insights into the practical challenges which crop up while implementing the complicated standards.

Course Segments: 4 sessions of 2 hours each

Session Topic	Speaker
Learnings from recent NFRA Orders	Ms Vidhi Sood Secretary, NFRA
Audit Documentation (SA 230)	CA Amit Majmudar
SA 600 – Using the work of another auditor (along with the NFRA Circular dated October 03, 2024, regarding responsibilities of the Principal Auditor and Other Auditors in Group Audits	CA Pankaj Tiwari
Planning risk assessment and related matters (SA 300, 315, 320 & 330)	CA Murtuza Vajihi

The sessions were designed to give practical and case study-based insights to the participants on various topics.

The course was inaugurated with the opening remarks from the Chairman of the Accounting and Auditing Committee CA Abhay Mehta and the President of BCAS, CA Anand Bathiya, both underline the importance of knowledge sharing and the role of the BCAS in conducting such programs. To make the course effective, faculties with specialised knowledge and relevant experience were engaged to give participants practical insights and wholesome experiences.

The course started with the session of Ms Vidhi Sood Secretary, NFRA, where she updated the participants on various NFRA orders, practical examples and issues and learnings from the same.

The session of Audit Documentation SA 230 by CA Amit Majmudar broadly covered the areas pertaining to the Assembly of Audit Files, Key Audit Workpapers and guidance on ICAI Audit Documentation

The Session on SA 600 — Using the work of another auditor by CA Pankaj Tiwari mainly covered existing SA 600 & procedures adopted by the Auditor, various lapses highlighted by NFRA in the audit of CFS, Key elements of Circular issued by NFRA & potential challenges in implementation of the Circular.

The session on Planning Risk Assessment and Related Matters by CA Murtuza Vajihi broadly covered the scope, objective, and documentation of the standard along with practical examples of the standards and also reference to NFRA and QRB learnings on these standards.

The above sessions generated a lot of interactions between the participants and the respective faculties. The course commenced on 13th December, 2024, and ended on 3rd January, 2025. 111 participants attended the Course, and was well received with the overall feedback from the participants was very encouraging.

REPRESENTATIONS AND SOCIAL MEDIA

1. NFRA Representation: Addressing Duplication in Fraud Reporting for Statutory Auditors

BCAS has submitted a representation to the National Financial Reporting Authority (NFRA) regarding the fraud reporting requirements for statutory auditors of regulated entities. The representation highlights the need to eliminate the duplication of reporting to various authorities, aiming to streamline the process and simplify the regulatory framework for entities such as banks, insurance companies, and NBFCs. By reducing redundant reporting, the proposal seeks to create a more efficient and effective regulatory environment.

Readers can read the entire representation by link: https://bit.ly/NFRA-Representation

2. Union Budget 2025: 8th Consecutive Budget by FM Nirmala Sitharaman — BCAS’s Pre-Budget Memorandum Available Online.

As Finance Minister Nirmala Sitharaman presents her 8th consecutive Union Budget, BCAS continues its proactive role in representing the views of its members and the wider community. We are pleased to announce that BCAS has submitted the Pre-Budget Memorandum for the Finance Act 2025-26 to the Union Minister of Finance and the Ministry of Finance, Government of India.

Readers can read the entire representation by link: https://bit.ly/Pre-Budget-Memorandum-2025-26

3. BCAS Reimagine Conference: Exclusive Videos Now on YouTube, with Thousands of Views!

BCAS hosted the ReImagine Conference, a three-day event in January 2024 that explored progressive topics crucial to the professional landscape. With an overwhelming response, the discussions held the potential to shape the future trajectory of our profession.

In line with BCAS’s mission of knowledge dissemination for professional development, the event videos are now available on YouTube, completely free of charge. Featuring a wide range of topics presented by industry experts and professional stalwarts, these videos offer valuable insights for professionals at all levels.

Playlist Titles:

1. Reimagine India – Keynote Address by Padma Bhushan Shri Kumar Mangalam Birla

2. Digital Infrastructure – A Game Changer

3. Reimagine the new age professional firms

4. CFO Round Table – Technology, Innovation and Sustainability

5. Use of AI / Tech-Data as Evidence in Tax Cases – Direct Tax and Indirect Tax

6. Reimagine India’s Capital Market Landscape

7. Changing Corporate Landscape – Professional opportunities

8. The Victorious – A Model for Leadership

9. New Age Wars – Future of the World – Role of Professional

10. One World – One tax – VasudhaivaKutumbakam

11. Ride the Capital Market – Take the Bull by its Horns

12. The Future of Audit Profession

13. One Giant Leap – Start-ups – Importance of Professionals in Start up Journey

14. Interchanging Roles – Practice to CFO, CFO to Practice, CA to Nation Building

15. Reimagine – Closing Ceremony & Vote of Thanks

YouTube link: https://bit.ly/Reimagine-Conference

4. BCAS YouTube Channel Hits 1 Million Views

The BCAS YouTube channel has reached a significant milestone, surpassing 1 million views. Over the years, it has evolved into a valuable resource, offering a wealth of professional content and knowledge. With an expanding collection of open-for-all sessions, the channel continues to serve as a hub for valuable learning. Members who have not yet subscribed are encouraged to do so and stay updated with the latest content.

Youtube Link: https://www.youtube.com/channel/UC3cxrmOi8hRA31LxBEXGpUQ

5. Interactive meeting of managing Committee Members with Dr Harish Mehta and Mr Rajiv Vaishnav

Dr Harish Mehta and Mr Rajiv Vaishnav were invited to interact and share their experience of building and successfully running the NPO with the BCAS Managing Committee members on 8th January, 2025.

Dr Harish Mehta is a founder member and former Chairman of NASSCOM and Rajiv Vaishnav is former President of NASSCOM. They shared experience in building brands, nurturing teams, and growing organizations. During the interaction, Dr. Harish Mehta and Mr. Rajiv Vaishnav appreciated the work done by BCAS and emphasised the importance of valuing volunteers, building trust, and promoting unity, especially during challenging times. They also advised that before making representations to government authorities, it’s essential to gather collective opinions from members.

Dr Mehta autographed copies of his book, “Maverick Effect: The Inside Story of India’s IT Revolution”, for the committee members.

BCAS IN NEWS

Link: https://bcasonline.org/bcas-in-news/

BCAJ Admin

Miscellanea

1. TECHNOLOGY AND AI

#Google Claims Its AI Tool Can Beat Math Olympiad Gold Medalists

Google has developed an artificial intelligence (AI) math system that can outwit human gold medalists at the International Mathematical Olympiad (IMO). AlphaGeometry2, the AI problem solver is capable of solving 84 per cent of geometry problems posed in the IMO where the gold-medal winners can only solve 81.8 per cent of the problems on average. IMO problems are known for their difficulty, and solving them requires a deep understanding of mathematical concepts — something which the AI models had not been able to achieve up until now.

Engineered by DeepMind, AlphaGeometry managed to perform at the level of silver medalists in
January last year when it was unveiled. However, a year later, Google claims the performance of its upgraded system had surpassed the level of average gold-medalists.

To enhance the system’s abilities, the California-based company said it extended the original AlphaGeometry language to tackle harder problems involving movements of objects, and problems containing linear equations of angles, ratios, and distances.

“This, together with other additions, has markedly improved the coverage rate of the AlphaGeometry language on IMO 2000-2024 geometry problems from 66 per cent to 88 per cent.”

Despite achieving an incredible 84 per cent efficiency rate in solving tricky math problems, Google said there is still room for improvement.

(Source: www.ndtv.com dated 24th February, 2025)

#Alibaba to invest more than $52 billion in AI over next 3 years

Alibaba opens new tab said on Monday it plans to invest at least 380 billion yuan ($52.44 billion) in its cloud computing and artificial intelligence infrastructure over the next three years.

The Chinese e-commerce giant had said it had plans to invest in the sector. The company had reported revenue of 280.15 billion yuan for the three months ended December 31.

Alibaba said the total investment amount exceeds the company’s spending in AI and cloud computing over the past decade. The company has kicked off 2025 as a winner in China’s AI race, drawing in investors with strategic business deals. Its stock has risen more than 68% this year, as of last close.

Other Chinese firms have also been investing into the sector, with ByteDance, the Chinese owner of TikTok, earmarking over 150 billion yuan in capital expenditure for this year, much of which will be centered on AI

(Source: www.reuters.com dated 24th February, 2025)

2 WORLD NEWS

Tesla in India: Trump says unfair to U.S. if Elon Musk builds factory in India

U.S.A. President Donald Trump has said that if Tesla were to build a factory in India to circumvent that country’s tariffs, it would be “unfair” to the U.S.A. Mr. Trump called out India’s high duty on cars during Prime Minister Narendra Modi’s visit to the U.S. last week but agreed to work towards an early trade deal and resolve their standoff over tariffs.

Tesla’s CEO Elon Musk has long criticised India for having import tariffs of around 100 per cent on EVs which protect local automakers such as Tata Motors in the world’s third largest auto market, where EV adoption is still at a nascent stage.

Mr. Trump said it is “impossible” for Mr. Musk to sell a car in the South Asian nation. “Every country in the world takes advantage of us, and they do it with tariffs… It is impossible to sell a car, practically, in, as an example, India,” he said.

India’s government in March unveiled a new EV policy lowering import taxes substantially to 15% if a carmaker invests at least $500 million and sets up a factory.

Tesla has selected locations for two showrooms in the Indian cities of New Delhi and Mumbai, and posted job ads for 13 mid-level roles in India. It does not currently manufacture any vehicles in India.

Mr. Trump said it would be “unfair” to the U.S. if Mr. Musk did decide to build a factory there. “Now, if he built the factory in India, that’s okay, but that’s unfair to us. It’s very unfair,” Mr. Trump said in the interview. Mr. Trump’s plans for reciprocal tariffs on every country that taxes U.S. imports have raised the risk of a global trade war with American friends and foes.

(Source: www.thehindu.com dated 20th February, 2025)

3. ENVIRONMENT

#Global glacier melt is accelerating, new study finds

Ice loss from the world’s glaciers has accelerated over the past decade, a first-of-its-kind global assessment has found, warning that melting may be faster than previously expected in the coming years and drive sea levels higher.

The assessment published in the journal Nature by an international team of researchers found a sharp increase in melting over the past decade, with around 36 percent more ice lost in the 2012 to 2023 period than in the years from 2000 to 2011.
Michael Zemp, a professor at the University of Zurich and co-author of the study, said the findings were “shocking” if not altogether surprising. Regions with smaller glaciers are losing them faster, and many “will not survive the present century”.

“Hence, we are facing higher sea-level rise until the end of this century than expected before,” Zemp told the AFP news agency, adding that glacier loss would also impact fresh water supplies, particularly in central Asia and the central Andes.

Overall, researchers found that the world’s glaciers have lost around five percent of their volume since the turn of the century, with wide regional differences ranging from a two-percent loss in Antarctica to up to 40 percent in the European Alps. On average, some 273 billion tonnes of ice are being lost per year – equivalent to the world population’s water consumption for 30 years, scientists said.

Martin Siegert, a professor at the University of Exeter who was not involved in the study, said the research was “concerning” because it predicts further glacier losses and could indicate how Antarctica and Greenland’s vast ice sheets react to global warming. “Ice sheets are now losing mass at increasing rates – six times more than 30 years ago – and when they change, we stop talking centimetres and start talking metres,” he said.

Zemp warned that to save the world’s glaciers, “you have to reduce the greenhouse gas emissions, it is as simple and as complicated as that.” “Every tenth of a degree warming that we avoid saves us money, saves us lives, saves us problems,” he said.

(Source: www.aljazeera.com dated 24th February, 2025)

BCAJ Admin

Statistically Speaking

1. COUNTRIES WHICH RECEIVED THE MOST MONEY FROM INDIA IN BUDGET 2025-26

2. POWERFUL PASSPORTS IN THE WORLD

Rank	Country	Visa free destinations
1	Singapore	195
2	Japan	193
3	Finland	192
3	France	192
3	Germany	192
3	Italy	192
3	South Korea	192
3	Spain	192
4	Austria	191
4	Denmark	191

India has dropped five places in this year’s rankings, falling from 80th to 85th.

The Indian passport now provides visa-free access to 57 countries

U.S. passport has fallen to ninth place. Currently, U.S. passport holders enjoy visa-free access to 186 destinations.

Pakistan, Yemen, Iraq, Syria, and Afghanistan rank among the bottom five.

Source: Henley Passport Index 2025

3. DIRECT TAX COLLECTIONS FOR F.Y. 2024-25

(₹ in Crore)
	FY 2023-24 (as on 10^th February, 2024)
	Corporate Tax (CT)	Non*- Corporate Tax (NCT)	Securities Transaction Tax (STT)	Other taxes (OT)	Total
Gross Collection	8,74,561	9,30,364	29,808	3,461	18,38,194
Refunds	1,41,132	1,46,321	–	78	2,87,531
Net Collection	7,33,429	7,84,042	29,808	3,384	15,50,663

(₹ in Crore)
	FY 2024-25 (as on 10^th February, 2025)					Percentage growth
	Corporate Tax (CT)	Non*-Corporate Tax (NCT)	Securities Transaction Tax (STT)	Other taxes (OT)	Total	Total Growth
Gross Collection	10,08,207	11,28,040	49,201	3,059	21,88,508	19.06%
Refunds	2,29,731	1,80,317	–	57	4,10,105	42.63%
Net Collection	7,78,475	9,47,723	49,201	3,003	17,78,402	14.69%

Source: Central Board of Direct taxes

4. COUNTRIES WITH THE MOST IPOS IN 2024

5. GROWTH IN ELECTRONIC EXPORTS

BCAJ Admin

Letter to the Editor

Dear Sir,

I read the ‘NAMASKAAR’ column with a keen interest. I’m writing to you about the article ‘One’s nature cannot be changed’ in a recent BCA Journal, authored by Mr C N Vaze. I appreciated this column and it has always fascinated me. It has a lot of learning, relearning, and material to introspect and work on oneself to become a better human being.

He has rightly said a lion cannot be expected to eat grass, or a fox will always remain धूर्त… For human beings, I will share a conversation between Lord Brahma and Naradaji, when Lord was seeding this planet with the various species, he would give details of that creation to Naradaji, when it was the turn to create humans, the Lord said about human beings, इसकी प्रवर्ति पानी की तरह नीचे ही गिरने की होगी, नारदजी विस्मय से बोले, प्रभु, ऐसा अनर्थ क्यो कर रहे हैं, ब्रह्मा जी ने उत्तर दिया, इसे मैं एक ऎसी चीज़ दे रहा हूँ, जिसे ये इस्तेमाल करेगा, तो मुझ पर भी राज करेगा, वो था दिमाग, विवेक… We as human beings need to use our विवेक, the biggest blessing bestowed on us, or we will live a life worse than animals and endanger the whole planet. And we should keep changing, and everybody can change; change is constant. Dinosaurs became extinct as they could not change, and tomorrow the human race will become extinct.

COVID-19 did try to give a wake-up call, but what we see today is better not said. I learn from Kabir, Rahim, Tulsidas, and many such saints.

My appreciation to Mr Vaze and the Editorial Team.

With regards

Yatendra Goyal,
Chartered Accountant

BCAJ Admin

Tech Mantra

Some more productivity apps for this edition:

Simple Login – Anti Spam

When you give away your personal email ID online to anyone, there is a good chance that the same would end up with a spammer or a hacker. SimpleLogin acts as a firewall to protect your personal email inbox.

SimpleLogin is an open-source solution to protect your email inbox. It allows you to quickly create a random email address, an alias. All emails sent to that alias are forwarded to your personal email address.

You can use the alias when subscribing to a newsletter, signing up for a new account, or giving your email to someone you don’t trust. Not only an alias can receive emails, it can also send emails. An alias is a full-fledged email address.

Later, you can simply block or delete an alias if it’s too spammy. That’s it!

Android: https://bit.ly/4gjd8dy

USB Lockit – Pendrive Password

This app allows you to lock / unlock your USB drives. If you have USB drives with photos, audios, videos, etc. and would like to lock them with a password, this app is for you. Once the drive is locked, nobody can access your files without unlocking it by entering the password!

The locking / unlocking can be done easily, by inserting the USB drive in your phone / Laptop C-Type port and going through 3 quick steps:

1. To lock the USB drive and protects all your files, simply set a PIN and click on LOCK button.

2. To unlock the USB drive and access to all your files, enter your PIN and click on UNLOCK button.

3. To relock the USB drive without entering the PIN every time, just a click on the LOCK button.

ATTENTION: If you lose or forget the PIN, it cannot be recovered. It is advisable to write it in a safe place.

Android : https://bit.ly/3PVFQ9S

Windows : https://www.usblockit.com/

Auto Answer Call—Raise to Ear

If you are tired of always having to swipe in order to answer an incoming call, Auto Answer Call lets you answer a call by simply holding your phone to your ear. When your phone rings and the app detects that it is near your ear, it will beep once and automatically answer the call. It’s that simple!

NOTE: The app does not currently work for WhatsApp calls.

It works with your existing call screen / phone app and is very easy to enable and disable. You also have an option to end an ongoing call by turning the phone face down and to automatically turn down the ringer volume once the phone has been picked up.

A very simple and efficient app for daily use – for a small price.

Android : https://bit.ly/3WBPwdn

Droid Dashcam – Video Recorder