July - 2011 News Letter

1 July2011

Bangalore Branch of SIRCof the Institute of Chartered Accountants of India

2July2011

3 July2011


4July2011

5 July2011


DISCLAIMER : The Bangalore Branch of ICAI is not in anyway responsible for the result of any action taken on the basisof the advertisement published in the newsletter. The members, however, bear in mind the provision of the code of ethics whileresponding to the advertisements. The views and opinions expressed or implied in the Branch Newsletter are those of the authors

and do not necessarily reflect that of Bangalore Branch of ICAI.

CALENDAR OF EVENTS - July & August 2011Date/Day Topic /Speaker Venue/Time CPE Credit

Note : High Tea at 5.30 pm for programmes at 6.00 pm at Branch Premises.

Advertisement Tariff for the Branch NewsletterColour full pageOutside back ` 30,000/-Inside back ` 24,000/-

Advt. material should reach us before 22nd of previous month.

Inside Black & WhiteFull page ` 15,000/-Half page ` 8,000/-Quarter page ` 4,000/-

Editor : CA. Venkatesh Babu T.R.

Sub Editor : CA. Ravindranath S.N.

01.07.11 CA Day Celebrations Branch Premises ------Friday Flag Hoisting by CA. N C S Raghavan 09.30am

Sr. Member, Bangalore06.07.11 “Understanding Intellectual Property Rights” Branch PremisesWednesday - A CA’s perspective 06.00pm to 08.00pm

Sri. H L Narendra BhattaPatent Attorney, Bangalore

08.07.11 Sri S. Narayan Memorial Endowment Lecture API Bhavan,Near BangaloreFriday jointly with KSCAA "Jeevanotsaaha - Branch of ICAI,Vasanthnagar, ------

Celebrations of Life" BangaloreDr. Gururaj Karajagi 04.15pm to 05.30pm

09.07.11 Commencement of Certification CourseSaturday on Indirect Taxes

Details at Page No: 13

13.07.11 SA 230 (Revised) - Audit Documentation Branch PremisesWednesday CA. Amod Joshi 06.00pm to 08.00pm14.07.11 Discussion on Income Tax Return ITR Sri Bhagawan Mahaveer JainThursday 1 to 5 and related issues College Auditorium, Next to

CA. H Ganpatlal Kawad Bangalore Stock Exchange Rs.250/- 05.00pm to 08.00pm

15.07.11 CPE Teleconference on”Salient features of Branch PremisesFriday Goods & Service Tax” 11.00am to 01.00pm

CA. Madhukar N Hiregange20.07.11 Integrating IS Audit with Internal Audit Branch PremisesWednesday CA. A Subramaniam 06.00pm to 08.00pm23.07.11 Computer Awareness Programme Branch PremisesSaturday for Senior Members - by ITT Staff 10.00am to 05.00pm

Restricted to 25 participants26.07.11 49th Annual General Meeting Branch Premises ------Tuesday 06.30pm27.07.11 Investment Hygiene - An Equity Perspective Branch PremisesWednesday CA. Ankur Dhanuka 06.00pm to 08.00pm29.07.11 CPE Teleconference on Branch PremisesFriday "Issues in TDS under Section 195" 11.00am to 01.00pm

CA. Mahesh P Sarda03.08.11 Code of Ethics - Emerging Issues Branch PremisesWednesday Speaker yet to be Confirmed 06.00pm to 08.00pm

2 hrs

2 hrs

3 hrs

2 hrs

2 hrs

2 hrs

2 hrs

2 hrs

6July2011

TAX UPDATES MAY 2011CA. Chythanya K.K., B.com, FCA, LL.B., Advocate

VAT, CST, ENTRY TAX,PROFESSIONAL TAXPARTS DIGESTED:

a) 16 KCTJ – Part 2b) 70 KLJ – Part 3 to 5c) 39 VST – Part 6d) 40 VST – Part 1 to 3e) 5 GST – Part 4f) 6 GST – Part 1

Reference/Description2011-12 (16) KCTJ 14 :T.V. Sundaram Iyengar & Sons Ltd.v. The State of KarnatakaThe High Court held that the discountallowed not reflected in the taxinvoice but granted through creditnotes was eligible for deduction whilecomputing the total turnover of theassessee.2011 (70) Kar. L.J. 645 (Tri.) (DB):Flemingo Duty Free Shop PrivateLtd. v. State of KarnatakaIn the instant case goods wereimported from abroad andwarehoused in customs bondedwarehouse and sold by licenseethrough his duty-free shop at arrivalterminal of international airport, toincoming passengers, who paid thesale price in approved foreigncurrency and got the goods clearedthrough customs for homeconsumption. The Tribunal held thatsuch sales were in the course ofimport and were covered by Section5(2) of the CST Act, 1956 andtherefore not liable to local sales tax.The Tribunal noted that the sale billissued by the licensee constituted ‘billof entry’ and issue of the sameconstituted transfer of document oftitle to goods when the goods werestill in customs stream and yet to cross

the customs frontier. However, theTribunal held that the salestransactions of items which weresourced by way of inter-Statepurchases and sold in the Duty-freeshop to the incoming and outgoingpassengers were in the nature of localsales and are liable to tax.Thus, thetribunal held that the sale of importedgoods is sale in the course of importwhereas the sale of goods boughtinterstate cannot be called as eithersale in the course of import or E1 sale.THUS, THE SALES MADE TO THECUSTOMER’S BY THE ASSESSEEIN THE DUTY FREE SHOP AT THEINTERNATIONAL AIRPORT wouldbe exempt only if such goods areimported goods.

[2011] 40 VST 249 (Mad) HC:Sri Rajeswari Agencies v. Addl. Dy.Commercial Tax OfficerThe High Court held that C Formcould not be refused to be issued onground of arrears of tax. The Courtnoted that the Department had nopower to deny C Form license to theassessee, for Section 9(2) of the CSTAct did not contemplate refusal of CForm for non-payment of tax orpenalty.Further, the Court held thatnormally show-case notice could notbe challenged by filing a writ petition.However, in view of the fact that therewas an unjust denial to issue C Formwhen in fact the Department had nojurisdiction to do so, the writ in theinstant case was maintainable.

[2011] 5 GST 49710 taxmann.com32 (SC) : Hyderabad Engg.Industries v. State of Andhra PradeshIn the instant case the Apex Court heldthat when sale or agreement for salecauses or has effect of occasioningmovement of goods from one State

to another, irrespective of whethermovement of goods is provided forin contract of sale or not, or whenorder is placed with any branch officeor head office which resulted inmovement of goods, irrespective ofwhether property in goods passed inone State or other, if effect of such asale is to have movement of goodsfrom one State to another, an inter-State sale would ensue and wouldresult in exigibility of tax underSection 3(a) on turnover of suchtransaction.The assessee-companyhad fan manufacturing unit/factoryand office in Hyderabad as also hadits godown/depots in different States.Company ‘UIL’ had divisional officesat every place wherever assessee’sgodowns were located. The mainfunction of UIL was to organize saleand distribution of products ofassessee, to arrange for salepromotion, to provide after salesservice and such other services asmight be required in interest of saleof said products. The agreement alsoenvisaged that UIL would purchasesaid products as an independentprincipal and maintain adequatestocks and sell same as such. TheAssessee had undertaken to supply itsmanufactured goods to UIL or to itsnominees at agreed price at any ofassessee’s godown at option of UILand only on receipt of request fromUIL for supply of goods, assesseedespatched same from its factory toits State godowns and from there toUIL divisional office by raising salesinvoices. The Apex Court thereforewas of the view that the transactionbetween assessee with its branchoffices was a clear case of inter-Statesales and not branch transfers.It isnecessary, therefore, to criticallyexamine the present practice followedby a dealer in respect of sales throughhis branches outside the State and to

7 July2011


see if there is a potential risk ofbranch transfer being called as pre-determined inter-State sale.

[2011] 6 GST 77 (WBTT) (SB):Auto Hitech (P.) Ltd. v. Dy. CCTIn the instant case it was held that theamount received by way ofreimbursement and/or charges for anypost-sale services would not fallwithin the scope of the term ‘saleprice’ for the purpose of levy of salestax. The Assessee was a reseller ofmotor vehicles, which sold motorvehicles to customers at a price, fixedby manufacturer, and delivered thevehicles to customers with invoicesand temporary registrationcertificates. Subsequent to the saidsale in some cases, at the specificrequest of buyers, it arranged forgetting sold vehicles insured,registered with motor vehiclesauthority and for payment of road tax.In respect of the same, the customerspaid the amounts separately towardsregistration fee, road tax andinsurance premium to the assesseeagainst debit notes. The Tribunal heldthat since (i) registration of a motorvehicle was a post-delivery event, (ii)it was the liability of the owner ofmotor vehicle to get the motor vehicleinsured and insurance premium waspayable by owner of vehicle beforeregistration, and (iii) payment of roadtax too was a post-delivery event,aforesaid amounts collected byassessee from buyers of vehicleswould not form part of sale price ofmotor vehicles as defined in Section2(31) of the West Bengal Sales TaxAct, 1994.

[2011] 6 GST 95 (AP) HC : JasperAqua Exports (P.) Ltd. v. State ofAndhra PradeshThe instant case dealt with the liabilityto tax in respect of transfer of right to

use goods as per Section 5E, read withSection 2(n) of the Andhra PradeshGeneral Sales Tax Act, 1957 andArticle 366(29A)(d) of theConstitution of India. The assesseewas engaged in the business ofprocessing and selling of prawns. Italso owned custom built refrigeratedtrucks. It received certain amount astruck hire charges for transportingproduce of other aqua firms. It wascontended by the assessee that thesame did not fall within the ambit ofthe aforesaid Section 5E. However theHigh Court held that as soon as theassessee sent its trucks to others fortransporting latter ’s goods todestinations of latter’s choice; thesame amounted to transfer of right touse trucks and would be sufficient toinfer a taxable event under Section 5Enotwithstanding the fact that theassessee retained control over thetruck operations.With due respect, itis observed that the Honourable HighCourt in the above case did notconsider the concept of effect topossession for inferring transfer ofright to use.

INCOME TAX

PARTS DIGESTED:

a) 333 ITR – Part 2 & 3

b) 198 Taxman – Part 4

c) 9 ITR(Trib) – Part 1 & 2

d) 129 ITD – Part 9

e) 137 TTJ – Part 5 & 6

Reference/Description[2011] 333 ITR 144 (Mad.) HC:CIT v. Zainab Trading P. Ltd.In the instant case the Madras HighCourt was dealing with the meaningof the term manufacture in theparticular context of deduction underSection 80-IB. The Court held that anactivity of transforming the plain

corrugated sheets into a differentproduct of boxes, though to gain spacefor transportation, such boxes werekept in a folded position, it could notbe said that the boxes continued toretain its original characteristics orcorrugated sheets. Therefore the saidactivity amounted to manufacture andthe assessee was entitled to deductionunder Section 80IB.

[2011] 333 ITR 275 (Bom) HC:Prasad Agents (P.) Ltd. v. ITOIn the instant case the Bombay HighCourt was dealing with the provisionsof Section 73 dealing with losses inthe case of speculation business. TheCourt held that in the case of aCompany dealing in purchase andsale of shares, it was deemed to becarrying on speculation business andin case of a year where there was notransaction of purchase and sale, theloss in book value of sharesconstituted loss in speculationbusiness. The Court opined that therecould be no difference between thelosses suffered in the course of tradingby delivery and losses in terms of thebook value. As long as the assesseewas carrying on business of tradingby way of purchase and sale of shareseven if in respect of any financial year,there were no transactions and yet thecompany had stock-in-trade of shares,the book value would have to beconsidered for the purpose ofconsidering the profit and loss in caseof speculative business. The Courtnoted that the Explanation to Section73 could not be read to mean onlywhen there is a purchase and sale ofshares in the course of the financialyear. The Explanation would coverboth shares which were stock-in-tradeand shares which were traded in thecourse of the financial year for thepurpose of considering the loss and

8July2011

profit for that year. The loss of profiton account of valuation amounts torevenue losses or revenue receipt.

[2011] 333 ITR 289 (Bom) HC: CITv. Brahma AssociatesIn the instant case the Bombay HighCourt held that the clause (d) toSection 80-IB(10) (stipulating thatthe built-up area of the shops andother commercial establishmentsincluded in the housing project doesnot exceed 5% of the aggregate built-up area of the housing project or2,000 sq ft., whichever is less),inserted w.e.f. 1st April 2005, was aprospective amendment and hencecould not be applied to period priorto the said date. Therefore where thehousing project was approved by alocal authority having residential andcommercial unit the entire projectwas entitled to deduction under thesaid Section.

[2011] 333 ITR 304 (Delhi) HC: DITv. DSD Noell GMBHIn the instant case the Delhi HighCourt was dealing with thecomputation of presumptive taxunder Section 44BBB applicable inthe case of foreign companiesengaged in the business of civilconstruction, etc., in certain turnkeypower projects.The contention of theassessee was that a sum equal to 10% of the amount paid or payable tothe assessee under the projectsundertaken by it be treated as deemedprofits and gains chargeable to taxunder the head “Profits and gains ofbusiness or profession”. The AO didnot accept the aforesaid contention,as according to him, on the basis ofbooks of account maintained by theassessee, the profits could be morethan 10%. The AO took shelter ofsub-section (2) of the said Section andobserved that as the assessee was

maintaining the books of account andon the basis of those documents itcould be shown that it was earningmore than 10 % profits, then actualprofits should be brought totax.However the Court opined that theprovision made in sub-section (2) wasfor the benefit of the assessee whichwas clear from the words “theassessee may claim lower profits andgains than the profits and gainsspecified in sub-section (1)”. Thus,even when sub-section (1) providedfor a sum equal to 10 % of the amountpaid or payable as deemed profits, theassessee was given a chance todemonstrate and prove before the AOthat actual profits earned by theassessee were less than 10 %. On thebasis of the said provision, theRevenue could not plead or make outa case that the profits earned by theassessee to be more than 10 %. In sofar as the Revenue was concerned, ithad to feel content by what wasprovided in sub-section (1) thereofnamely maximum of 10 % of theamount paid or payable as profits andgains of such business chargeable totax.The aforesaid decision althoughdealt with Section 44BBB, the ratiothereof may be used in the context ofSection 44AD. Accordingly, even if anassessee is having income higher thanthe presumptive income, Departmentcannot insist that he should pay taxon such higher income as long as heis paying tax on presumptive income.

[2011] 333 ITR 335 (J&H) HC:Shree Balaji Alloys v. CIT & AnotherIn the instant case the J&K HighCourt noted that the incentivesscheme formulated by CentralGovernment for Jammu and Kashmirto accelerate industrial development,generate employment and createopportunities for self-employment,

the purpose of which was publicinterest. Therefore the Court held thatthe excise duty refund and interestsubsidy was in the nature of capitalreceipt.

[2011] 333 ITR 386 (Delhi) HC:Logitronics P. Ltd. v. CIT/ CIT v.Jubilant Securities P. Ltd.In the instant case the Delhi HighCourt held that the waiver of loantaken by assessee for business activitywas assessable as business incomeunder Section 41(1).Further, theCourt noted that where in the case ofan investment Company taking loanand investing for long-term in shareand no communication or claim wasmade for many years by the lenderand the unsecured loan was writtenback which resulted in remission ofliability, the same was not taxable asincome under Section 41(1) when nodeduction was claimed in respect ofloan.

[2011] 333 ITR (St.) 81:Circular No. 2 of 2011, dated 27th

April, 2011-06-04Vide the aforesaid Circular procedurehas been stipulated for regulatingrefund of excess amount of TDSdeducted and/or paid. The same is insupersession of Circular no. 285,dated 21-10-1980. The said Circularapplies only in respect of TDS onresidents covered under Sections 192to 194LA and the same does not applyto TDS on non-residents falling underSections 192, 194E and 195, whichis covered by Circular no. 7 of2007.The Circular provides thatwhere the excess payment isdiscovered by the deductor during theFY concerned, credit of the excesspayment is permitted in the quarterlystatement of TDS of the next quarterin the FY. In case the detection ismade beyond the FY concerned, the

9 July2011


claim can be made to the AO (TDS)concerned. However no claim can bemade after 2 years from the end ofthe FY in which the tax wasdeductible at source.

[2011] 9 ITR (Trib) 75 (Bangalore):Bhoruka Engineering IndustriesLtd. v. Dy. CITIn the instant case where the assesseesold majority shares in groupCompany, which Company washolding landed property purchased inthe same year, the Bangalore Tribunalheld that the sale of shares in effectwas sale of property. The said schemewas in effect a colourable device toevade payment of taxation on short-term capital gains. The Tribunaltherefore held that the surplus arisingon sale of shares was short-termcapital gains liable for taxation assuch.With due respect, it is stated thatthe Honourable Tribunal did notconsider the decision of the SupremeCourt in the case of Bacha Guzdar27 ITR 1, where it was held that ashareholder has no interest in theproperty of the company. In theabsence of legislation providing for

lifting the veil, sale of share couldn’thave been treated as sale of propertyeven if share route has been adoptedas a tax planning device.

[2011] 9 ITR (Trib) 154 (Mumbai):Dy. CIT v. Tata Sons Ltd.In the instant case the MumbaiTribunal held that the overseas taxpaid (income tax paid abroad) by the assessee is entitled to relief underSection 90/91 and the same could notbe claimed as deduction under Section 37.

(2011) 129 ITD 489 (Mum.-ITAT),9 taxmann.com 146 (Mum.-ITAT):Assist. CIT vs. Lucky PamnaniThe instant case dealt with the aspectcharging gifts to tax as provided underSection 56(2)(v) in the light of theclubbing provisions as provided underSection 64. In the instant case, minorshaving received gift, the Tribunal heldthat it was essential to determine therelationship of the donor withreference to the minor who had to betreated as ‘the individual’ and not withthe deemed assessee. The Tribunaltherefore held that the CIT(A), haderred in law in assuming that income

of the minors being assessable to taxin the hands of the father, by applyingdeeming provision under Section 64the father should be considered as an‘individual’ for the purpose ofconnecting the relationship with thedonor. It may be noted that the giftwas received by the minors from theirpaternal grandmother’s brother.

[2011] 43-A BCAJ 179 (Mum-ITAT): Rajesh Keshav Pillai v. ITOIn the instant case the MumbaiTribunal held that the exemptionunder Section 54 was not restrictedto capital gain arising on sale of oneresidential house. If more than oneresidential house was sold and morethan one residential house wasbought, then a correspondingexemption was available in relationto each set of sale and correspondinginvestment in residential house.Further the Tribunal held that theexemption would have to becomputed for each sale and thecorresponding purchase adopting acombination beneficial to theassessee and not on an aggregatebasis.

SICASA PROGRAMMES – JULY 201115th July 2011Friday Advanced MS Excel for CA students Between 3 pm to 7 pm

By CA H Shivakumar, FCA DISA Delegate fee : Rs. 100

22nd July 2011Friday Excel as a tool of audit Between 3 pm to 7 pmBy CA H Shivakumar, FCA DISA Delegate fee : Rs. 150

(including learning CD)

Address of venue : No. 216, “Sanjay Towers” II Floor, SubbaramaChetty Road, Nettakallappa circleBasavanagudi Bangalore-4 Participation restricted to 50 students on first come first serve basis.

For registration contact

Ms. Rajalakshmi Tel : 080-30563500/3513

email : [email protected]

10July2011

RECENT JUDICIALPRONOUNCEMENTS ININDIRECT TAXESN.R. Badrinath, Grad C.W.A., F.C.A.Madhur Harlalka, B. Com., F.C.A

VALUE ADDED TAX

● The appellants were allotted duty-free shops at the BangaloreInternational Airport and weregranted licences as private bondedwarehouse for storage withoutpayment of duty of the goodsimported such as liquor, cigarettes,tobacco, perfumes, cosmetics, etc., forsale at the duty-free shops. Theappellants, considering the sale at theduty-free shops to be in the course ofimport under section 5(2) of theCentral Sales Tax Act, 1956 (‘CSTAct’), did not obtain registrationunder the Karnataka Sales Tax Act,1957 (‘KST Act’) and file any returns.The Assessing Authority (‘AA’)rejected the contentions of theappellant and held that the sales at theduty-free shops are local sales andliable to tax under KST Act which,was upheld by the First AppellateAuthority (‘FAA’). However, it washeld that the goods imported andstationed at the Bangalore airport arein the import stream and not crossedthe customs frontiers of India.Subsequent issue of sale bill amountsto transfer of title in such goods anddelivery of the same results incrossing custom frontiers of India.Hence, the appellant has compliedwith the provisions of section 5(2) ofthe CST Act and is eligible forclaiming exemption. Accordingly, thetax levied by the AA and confirmedby the FAA was set aside and thematter was remanded to the AA for

computation of tax liability afresh.[Flemingo Duty Free Shop PrivateLimited, Navi Mumbai vs. State ofKarnataka. 2011 (70) Kar. L.J 645(Tri.) (DB)]

● The appellants were allotted duty-free shops at the BangaloreInternational Airport and weregranted licences as private bondedwarehouse. The appellants werepermitted to sell the goods such asliquor, cigarettes, tobacco, perfumes,cosmetics, etc., which are sourced bywas way of inter-state purchases to theincoming and outgoing passengers onpayment of foreign or Indiancurrencies. The appellant had nottaken registration under the KarnatakaSales Tax Act, 1957 (‘KST Act’) eventhough the turnover had crossed thethreshold limit based on thecontention that such sales were in thecourse of import. The AssessingAuthority (‘AA’) held that such salesare local sales liable to tax andaccordingly passed orders to collecttax including penalty under the KSTAct. However, it was held that thesales transactions of items which aresourced by way of inter-statepurchases and sold in the duty-freeshop are in the nature of local salesand hence liable to tax. [FlemingoDuty Free Shop Private Limited, NaviMumbai vs. State of Karnataka. 2011(70) Kar. L.J 645 (Tri.) (DB)]

● The assessee is engaged in thebusiness of supply of Ready MixConcrete (‘RMC’) and was registeredunder the Karnataka Value Added TaxAct, 2003 (‘the Act’). The assessee

had filed returns without disclosingthe pumping charges collected in thebill of sale based on the contentionthat the same does not form part andparcel of the consideration for the saleof RMC. However, the AssessingAuthority (‘AA’) sought to tax suchpumping charges and accordinglypasses assessment orders which, wasconfirmed by the First AppellateAuthority (‘FAA’). However, it washeld that the assessee is transportingRMC to the buyer’s site in his ownvehicle fitted with pumps speciallydesigned for the purpose. Where thepurpose for which RMC is bought isknown to the seller, condition isimplied that RMC delivered atbuyer’s site should be fit for thepurpose. The property in RMC passesto buyer on delivery at buyer’s sitei.e., when RMC in condition fit forthe purpose is pumped from thevehicle to the building site of thebuyer. Hence, pumping charges beingpre-sale expenditure form [art of saleconsideration and is exigible to tax.Accordingly, the appeal filed by theassessee is dismissed and the orderpassed by the AA is herebyconfirmed. [ACC Limited, Bangalorevs. State of Karnataka. 2011 (70) Kar.L.J 622 (Tri.) (DB)]

● The petitioner is an effluenttreatment company and hadundertaken pollution controltreatment for Madura Coats Limited,Koratty, which is a known companyengaged in manufacture of yarn. Thepetitioner used chemical named‘Envirofloc’ to carry out suchtreatment and in the process of suchtreatment, the said chemical gets usedup by neutralizing colour, odour, etc.of the effluent. The petitionercontended that there is no transfer orsale taking place in the carrying out

11 July2011


of treatment as works contract. Thedepartment contended that thechemical is consumed in the processof treatment and it gets transferred andhence there is sale of goods involvedin the execution of works contract.However, it was held that the momentthe assessee pours the chemical intothe effluent, he ceases to be the ownerand the awarder shall be deemed tohave taken delivery of the same. Thefact that the chemical loses its identityand is consumed will not detract fromthe fact that there is delivery of thesame to awarder. The property in thechemical is passed on to the awarderthe moment it is put into the effluentby the assessee. Accordingly, sale ofchemical took place in the executionof works contract which is exigibleto tax. [Enviro Chemicals vs. State ofKerala. 2011 (70) Kar. L.J 561 (HC)FB)]

● In the present writ petition,circular No. 19/03-04 dated 11-11-2003 passed by The Commissioner ofCommercial Taxes in Karnataka,Bangalore was challenged. TheCommissioner in the said circularinstructed the subordinate authoritiesto levy tax on the sale of polishedgranite stone obtained from roughgranite stone. The Commissionerreferred to Part ‘S’, Entry 7 of SecondSchedule to the Karnataka Sales TaxAct, 1957 to hold that the polishedand unpolished granite stones areseparate commodities. However,based on the decision in the case ofM/s. Foredge Granite Private Limitedit was held that merely because in thesaid Schedule the polished andunpolished granite stones fall underseparate heads, it cannot be said thatthey are two separate commodities.Under section 5(3)(a) of theKarnataka Sales Tax Act, 1957,

granite stone is subject to single pointtax leviable on first successive dealersin State and hence tax cannot belevied on subsequent sale of polishedgranite stones obtained by polishingrough granite stones. Hence suchinstruction given in the circular isunsustainable in law. Accordingly,writ petitions were allowed.[Vishwakarma Granite Tiles, Ilkal,Bagalkot District vs. TheCommissioner of Commercial Taxesin Karnataka, Bangalore and others.2011 (70) Kar. L.J 595 (HC)]

SERVICE TAX

● The appellant, in pursuant toconversion into a private limitedcompany from partnership firm, hadtaken the credit of accumulatedModvat credit which was available tothe firm in terms of Rule 10 of CenvatCredit Rules, 2004. On an auditobjection that such credit cannot beavailed suo moto, the appellantreversed the same. Subsequently onrealisation that in terms of Rule 10no permission is required, theappellant again reversed the debitentry and took the credit. TheRevenue contended that such suomoto re-credit was not permissibleand interest in respect of the same wasconfirmed. However, it was held thatno formal permission is required fromthe Central Excise officers for suchcredit based on the decision of theTribunal in the case of HewlettPackard (I) Sales (P) Limited [2007(6) STR 155 (Tribunal)] and SolarisBio-chemicals Limited [2005 (179)ELT 216 (Tri-Mumbai)]. The denialof credit on this ground is not justifiedand accordingly the impugned orderwas set aside. Since the admissibilityof credit on merits was not adjudgedby the lower authorities, the matterwas remanded to decide on the

availability or otherwise of the crediton merits. Flex Art Foil PrivateLimited vs. Commissioner of CentralExcise, Daman. 2011 (22) S.T.R 591(Tri – Ahmd.)]

● The appellant, a manufacturer ofhome furnishing products chargeableto Excise Duty received GoodsTransport Agency Service (‘GTA’)for transportation of the inputs to theirfactory and finished products to theircustomers and paid service tax asservice recipient under Rule 2 of theService Tax Rules, 1994. However,for payment of service tax, theappellant availed exemption underNotification no. 1/2006 ST dated 1/3/2006 and paid service tax on 25%of the gross amount charged. Thedepartment contended that theappellant is not eligible for exemptionon the ground that a declaration to theeffect that the GTA from whom theservice was received has not availedCenvat credit has not been submitted.Accordingly, a show cause notice wasissued demanding service tax withinterest and penalty which wasconfirmed by the Commissioner(Appeals). However, it was held thatneither there is a provision in the saidnotification that such a declarationshould be on the body of theconsignment note nor the format forsuch declaration has been prescribedin the notification. The appellant hasproduced a certificate on its letterhead that the GTA from whom theservice has been received has notavailed the Cenvat credit which, issufficient for permitting the benefitof exemption under the Notification.Hence, the appeal was allowed andthe impugned order was set aside.[Paliwal Home Furnishing vs.Commissioner of Service Tax, Delhi.2011 (22) S.T.R 531 (Tri – Delhi)]

12July2011

● The appellants were conductingclasses for students enrolled indistance education programme ofAlagappa University. The departmentlevied service tax in respect of thetraining and coaching provided by theappellants. The appellants contendedthat the students who take coachingin the classes conducted by themobtain Diploma/ Degree from theUniversity. The institution run bythem is like a parallel college wherestudents who are not able to go toregular colleges attend the classes.Since the regular colleges areexempted from paying service tax,they should also be exempted fromservice tax. However, it was held thatthe fact that the institution run byappellants is like a parallel college hasbeen supported by the Memorandumof Understanding with the University.

As held by the Hon’ble Kerala HighCourt in the case of MalappuramDistt. Parallel Association vs. Unionof India [2006 (2) STR 321 (Ker.), theprovisions of Finance Act, 1994authorizing the levy of service tax onparallel colleges are arbitrary andviolative of Article 14 of theConstitution of India. Accordingly,the impugned order levying servicetax was set aside and the appeal wasallowed. Trichy Inst. of ManagementStudies (P) Limited vs. CCE, Trichy.2011 (22) S.T.R 533 (Tri – Chennai)]

● The respondent had paid servicetax alongwith interest for delayedpayment under the category of‘Construction service’. Thedepartment issued a show-causenotice proposing to impose penaltyunder section 76 for the delayedpayment of service tax. The assessee

filed an appeal before theCommissioner (Appeals), whoreduced the penalty invoking section80 and such reduction was upheld bythe Tribunal. However, it was heldthat section 80 overrides section 76and no penalty shall be imposed if theassessee proves that there wasreasonable cause for the delay.However, the provision does not saythat a reduced quantum of penalty isimposable. It is not possible toenvisage a discretion as being vestedin the authority to levy penalty belowthe prescribed limit. Hence, theimpugned order of the Tribunal wasquashed and set aside and the matterwas restored to the Tribunal to decidethe appeal afresh. [Commissioner ofCentral Excise & Customs vs. V.M.Constructions. 2011 (22) S.T.R 520(Guj.)]

Adv

t.

13 July2011


Certificate Course on Indirect TaxesBy Indirect Taxes Committee of ICAI

The Fast growing Indian Economy expects the revolutions in theTaxation Framework and in the current scenario we are waitingfor a compelling and energetic turnaround in the indirect taxes.Indirect taxes consist of customs duty on import of goods, exciseduty on manufacture of goods, Value Added Tax (VAT) and CentralSales Tax (CST) on sale of goods; and service tax on specifiedservices provided in India.

The multiplicity of indirect taxes have been the result ofsuccessive government policies, which viewed indirect taxes asa means to garner additional revenue rather than focusing on arobust indirect tax regime based on sound fiscal revenueprinciples. The final destination of the reform process would bethe introduction of Goods & Services Tax (GST) in lieu of exciseduty, VAT, CST and Service Tax. The idea of a Uniform GST acrossgoods and services by 2012 reiterate the need for harmonizationto start with at the federal level of the two taxes (Central GSTand State GST).

The Indirect tax certificate course by the Council of ICAI of Indiahas decided to launch a Certificate course at Bangalore to beheld from 9th July 2011. The objective is to make an attempt tomodernize the Indirect tax law with the forthcoming laws GSTunder the different Central and State laws in India. The levy ofIndirect taxes is not free from varied interpretations and practicaldifficulties which would surface during the course ofimplementation of the levy. The onus shall be on the Tax expertsincluding the Chartered Accountants to convert the potentialchallenges that lie ahead into opportunities. Therefore to availthe opportunities, the course can be pursued by the membersof the ICAI and Students of the ICAI who have completed finalcourse. The course covers the important aspects of Central ExciseDuty, Custom Duty, Service Tax and VAT.

The President, Vice president, Chairman and vice chairman ofIndirect tax Committee are expected to lead the First technicalsession, who will be introducing on Areas of Opportunity inIndirect tax and Impact of indirect tax on Products and Services.

Various Eminent speakers from different Expert Areas with theabundance of knowledge will enlightens on Indirect tax willdiscuss the various provisions and case laws as applicable underthe Central Excise, Customs, Service Tax and State VAT laws.

The Central Excise will cover levy, Mechanism, CENVAT CreditRules, Basic Procedure with common errors, SSI Exemptions andother exemptions, Job work principles, Audit, Demand andPenalties and other relevant practical cases as applicable. TheEminent experts will be Mr.V Lakshmikumaran,Mr.Vaitheeswaran, CA. Rajesh Kumar T R,CA. Anand N, Mr.Mahesh Jaisingh, CA. Raghavendra C R, Mr. Anirudh, etc.

The State VAT will cover Concepts of VAT, Input tax creditrestrictions, Composition schemes, Registration andDocumentation under VAT law, Levy of CST, Import- High seasale/Exports- Deemed Exports, Statutory Forms, Deemed sale/Interstate works contract, Accounts and Audit under State VATand CST law. The Eminent Speakers like CA. S Venkataramani,CA. K K Chythanya, CA. Vishnumurthy H, CA. Badri, CA.NaveenRajpurohith, CA. Madhur Harlalka, CA. Annapurna K, etc.

The Customs law will cover levy, taxable event, Components ofcustom duties, Import Valuation with procedure, SEZ andWarehousing, Exemptions from custom duty , Export Valuation/Export procedure, Refund/Demand/Remission/abatements,Duty drawback, Demand and Penalties and Appeals. The Eminentspeakers subject to confirmation are Mr. Arvind Dattar, CA. JatinChristopher, CA. Chidanand Urs, etc.

The Service tax law will cover levy and classification, majorexemptions and abatements, Export and Import Rules, Valuation,Composition scheme, CENVAT Credit, Aspects of constructionservice, Basic Procedures, Relevant services, Point of taxationRules, Refund and rebates, Penalties , Demand and Refund andRebates. The Eminent speakers subject to confirmation are CA.V Raghuraman, Mr. Tirumalai, CA. Ashok Batra, Mr. NagendraKumar, Mr.Rajiv Luthia, CA. Anand N, CA. Madhukar N Hiregange,etc. The Forthcoming GST law will cover Road map to GST,Constitutional Amendment Bill, Role of professionals, etc.

Eligibility

Only the members of the ICAI and the students of the Institutewho have passed the CA Final examination are eligible to pursuethis course.

Course Duration and Course Hours

12 days [8 hours] or 21 [4.30 hours] half days- [Including halfday allocated for examination]

Fees for the Course

Rs. 20,000 [Including fees for the immediate examination tobe held after completion of the Course] Fee can be paidthrough Cheque/DD in favour of “Bangalore Branch ofSIRC of ICAI” payable at Bangalore at the following branchaddress: ‘ICAI Bhawan’, 16/O, Millers Tank Bed Area, VasanthNagar, Bangalore – 560052

Certificate

A certificate will be awarded to the members on successfulcompletion of course and passing the examination.

CPE Hours

70 Hours (50 Structured and 20 Unstructured)

Location

The first course is being launched at Bangalore and accordinglythe registrations are open for Bangalore Centre only.

Days & Date for the Course

9th July, 2011 onwards on each Saturday and Sunday unlessotherwise informed.

For Registration & further details

Tel No.: 080-30563500/541

Course Coordinator for Bangalore Centre : CA.Sanjay MDhariwal

Email: [email protected] / [email protected]

Please visit : www.icai.org / www.bangaloreicai.org for furtherinformation.

14July2011

IMPORTANT DATES TO REMEMBER DURING THE MONTH OF JULY 20115th July 2011 Payment of Excise Duty for June 2011

Payment of Service Tax for June 2011 by Corporates

Payment of Service Tax for Apr-June 2011 for non-corporates

6th July 2011 E-Payment of Excise duty for June 2011

E-Payment of Service Tax for June 2011 for corporates

E-Payment of Service Tax for Apr-June 2011 for non corporates

7th July 2011 Deposit of TDS/TCS Collected during June 2011

STPI Monthly Returns

10th July 2011 Monthly Returns for Production and Removal of Goods and CENVAT Credit for June 2011

Monthly Return of excisable Goods Manufactured & Receipt of Inputs & Capital Goods by Units inEOU,STP,HTP for June 2011

Monthly Returns of Information relating to Principal Inputs for June 2011 by Manufacturer ofSpecified Goods who Paid Duty of Rs.1 Crore or More during Financial Year 2010-11 By PLA/CENVAT/Both

15th July 2011 Payment of EPF Contribution for June 2011

Return of Employees Qualifying to EPF during June 2011

Quarterly Return and Payment of CST and VAT Collected During April 2011 to June 2011

Quarterly e-TDS for the period April to June 2011 (Form 24Q, 26Q, 27Q and 27EQ)

20th July 2011 Monthly Return and Payment of CST and VAT Collected During June 2011

21st July 2011 Deposit of ESI Contributions and Collections for June 2011

25th July 2011 Consolidated Statements of Dues and Remittances Under EPF and EDLI for the June 2011

Monthly Returns of Employees Joined the organisation during June 2011

Monthly Return of Employees left the organisation during June 2011

30th July 2011 Quarterly TDS and TCS certificates (Form 16A/ Form 27D) as per section 203

31th July 2011 Income tax returns by non-corporate assesses not subject to audit (u/s 139(1)).

BRANCH LEVEL ELOCUTION AND QUIZ CONTEST

Organised by Bangalore Branch of SICASAOn Saturday, July 16, 2011

Venue: ICAI Bhawan, 16/0, Millers Tank Bed Area,Vasanth Nagar, Bangalore – 560052

WHO CAN PARTICIPATE IN THE CONTEST?

Students registered with the Institute for Final Course, Professional Competence Course andIntegrated Professional Competence Course are eligible to participate in the contest. However,a person who has qualified in the final examination and completed articles/audit training is noteligible to participate.

For complete details of the contest, scheme and registration, please log on to our websitewww.bangaloreicai.org

15 July2011


BANGALORE BRANCH OFSOUTHERN INDIA REGIONAL COUNCIL OF

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA“ICAI Bhawan”, #16/O, MILLERS TANK BED AREA, BANGALORE – 560052

NOTICE OF ANNUAL GENERAL MEETING

NOTICE is hereby given that the 49th Annual General Meeting of the members of the Bangalore Branch of SouthernIndia Regional Council of the Institute of Chartered Accountants of India, will be held on Tuesday, 26th July 2011, at6:30PM at S.Narayan Auditorium, “ICAI Bhawan”, #16/0,MILLERS TANK BED AREA , BANGALORE -560052to transact the following business.

1. To receive the Annual report of the Bangalore Branch for the year 2010-2011.

2. To adopt the Audited Accounts of the Bangalore Branch for the year ended 31st March 2011.

3. To transact any other business that may be brought out before the meeting with the permission of the “Chair”.

By order of the Managing Committee

Sd/-(CA. Ravindranath.S.N)

SECRETARY

Place: Bangalore

Date: 29.06.2011

Note: 1. Members are requested to bring the copy of annual report with them for the Annual General meeting.

2. Members are requested to send in queries if any on audited financial statements for the year ended 31-3-2011,in advance to the Branch by post or email

MANAGING COMMITTEE

CA. Venkatesh Babu.T. R Chairman

CA. Nithin.M Vice-Chairman

CA. Ravindranath.S.N Secretary

CA. Prasad.S.R Treasurer

CA. Shivakumar.H Chairman, SICASA

CA. Govind Bhat.N Member

CA. Shambhu Sharma.H Member

CA. Babu.K Member

CA. Madhukar N Hiregange Ex-officio, Central Council

CA. Raghu.K Ex-officio, Central Council

CA. Viswanath.K Ex-officio, Regional Council

CA. Srinivas.C.S Ex-officio, Regional Council

CA. Suresh.P.R Ex-officio, Regional Council

16July2011

49th Annual ReportDear Members,

We are pleased to present the 49th Annual Report of theBangalore Branch of SIRC of the Institute of CharteredAccountants of India, together with the audited accounts forthe year ended 31st March 2011.

The Bangalore Branch, representing the Institute ofChartered Accountants of India, New Delhi is one of the mostDynamic and Active Branch. This is the largest Branch in thecountry catering to the need of over 8,000 members and over25,000 students. The Branch conducts various programmes forthe benefit of Members &Students like Conferences, Seminars,Workshops, Tele-conferences, Study Circle Meetings, and StudyTours on the subjects of professional interest.

For the year 2011-12 following Office Bearers have beenelected in the Managing Committee Meeting held on 18th

February, 2011

OFFICE BEARERS -2011-12CA. VenkateshBabu.T.R ChairmanCA. Nithin. M Vice ChairmanCA. Ravindranath.S.N SecretaryCA. Prasad.S.R TreasurerCA. Shivakumar.H Chairman, SICASA

OFFICE BEARERS -2010-11CA. ShambhuSharma. H ChairmanCA. VenkateshBabu.T.R Vice chairmanCA. Babu.K SecretaryCA. Ravindranath.S.N TreasurerCA. Nithin.M Chairman- SICASA

The Theme for the year 2011 – 12 is ‘Way forward’- Innovate | Integrate

Way forward would remind us of the efforts to be taken in lightof the new changes and its consequent challenges facing ourmembers, students and the profession but also reminds us ofthe position our Branch has secured at this crucial juncture of50 years and all the achievements and accolades our Branchhas gathered over these years .It would also remind us of ourefforts to retain and continue the glory achieved by the Branch.The need of the hour is to “Innovate” and to “Integrate” for thegrowth and betterment of our esteemed profession. Innovationrequires creativity and human ingenuity and this is primarilyrequired to shred the “Transactional” image of our profession.Bangalore Branch during this year would focus on integratingtechnology/networking to innovate the future accounting/auditing arena.

The Branch has conducted the following important eventsduring the year:

Conferences :

❖ State level CPE Conference – Jnana Manthna

❖ National Conference on International Taxation

❖ National conference on International Financial ReportingStandard (IFRS)

❖ CPE conference - Jnanaarjana

Seminars :

❖ Bank Branch Audit❖ Banking & Insurance❖ Mergers &Acquisitions- Strategising for Growth

&Sustainability❖ Emerging Economic Challenges for Industry❖ KVAT –Audit❖ Capacity Building Measures for CA Firms❖ Practice and Procedures before the CESTAT❖ Transfer Pricing❖ Audit of public sector undertakings

Workshops :❖ Tax Deducted at source❖ Basics of International Taxation❖ MS Excel – Relevant to Bank Audit❖ Communication Skills❖ Direct Tax Code

During the year some of the important dignitaries whovisited the Branch and visited for various programmesorganized by Branch

CA. G. Ramaswamy, President, ICAI. CA. Amarjit Chopra, Past President, ICAI. CA. T.V. Mohandas Pai, Director, Infosys. Ms. Renuka Kumar, Joint Secretary, Ministry of

Corporate Affairs. Mr. R. Bandyopadhyay, Secretary, Ministry of Corporate

Affairs. His Excellency H.R. Bharadwaj, Governor of Karnataka. Sri. Mathoor Krishnamoorthy, Executive Director,

Bharathiya Vidya Bhawan, Bangalore. Mr. D.H. Shankaramurthy, Chairman, Vidhana Parishat,

Karnataka. CA. K. Rehman Khan, Honourable Deputy Chairman of

Rajya Sabha, New Delhi. Dr. M. Veerappa Moily, Honourable Union Minister for

Law & Justice, New Delhi. Dr. Devi Shetty, Chairman, Narayana Hrudayalaya. Mr. Sanjai Verma, CIT (CPC).

Sports :

Branch has Conducted "XIII Annual Badminton Tournament"between Members of Bangalore and Officials of Income TaxDepartment Bangalore in which members emerged as winnersand retained the rolling shield.

Management Development Programme :

The Bangalore Branch conducts Management DevelopmentProgrammes wherein officials of various public and privatecompanies including govt. organisations are trained in field offinance and accounting. The Branch has won many accoladesfrom the participating companies for the rich knowledgedissemination.

17 July2011


The flagship courses of MDP are:❖ Course on Finance for Non-Finance Executives (FNFE).❖ Course on Corporate Accounting Finance and Business laws

(CCAFBL).❖ Weekend Workshops on International Taxation.We have also conducted in house training programmes for theexecutives of KPCL, Tyco Electronics & KSFC on the followingtopics:❖ Banking❖ Working Capital Management❖ Tax Management❖ Indian Accounting Standards❖ Information System Audit❖ Income Tax❖ Budget & Budgetary Control

Students Activities :

The Branch has regularly organizing and conducting Coachingclasses, Crash courses, Courses in Computer Training for thebenefits of the students. The coaching classes conducted at theBranch are of high quality and cost effective also in comparisonwith other facilities available.

Branch along with SICASA Bangalore Organised Two DayNational Convention of CA Students “Sammilana” which wasattended by around 1500 Students from across the country.

14 Batches of Course in General Management andCommunication Skills were conducted at the Branch premises.

30 Batches of Integrated Professional competency course(Orientation Programme) were conducted at Branch premises

Campus Interviews – 2009

Sl. No March – April -2010 August – September 2010

Candidates who had No. of Companies Candidates who had No. of Companiesopted for the centre participated opted for the centre participated

1. 166 16 230 17

RANK HOLDERS

PCC MAY 2010 EXAM

Sl. No. Reg No. Roll No. Name of the Student Marks Obtained Rank

1 WRO0286612 22365 SHRUTI SODHANI 466 1

2 SRO0256262 22030 GIREESHA.T.L 401 43

IPCC MAY 2010 EXAM


1 SRO0238362 26423 SIDDARTH RSUNDER RAM 497 13

2 SRO0286455 26514 PALAK BHAUWALA 494 14

3 SRO0255296 26962 SURAJ.S 461 45

FINAL(NEW) MAY 2010 EXAM

Sl. No. Reg No. Roll No Name of the Student Marks Obtained Rank

1 SRO0190194 48358 PRIYANKA.G 480 16

2 SRO0195454 48361 ROSHAN.S 469 23

3 SRO0192995 48312 MANOJ.M.SHENOY 454 38

4 SRO0190270 48126 ANKIT BACHHAWAT 447 45

5 SRO0190322 48187 ANANTH.N 446 46

6 SRO0191623 48231 RAKESH BORDIA 444 47

PCC NOV 2010 EXAM


1 SRO0233516 18553 JESWIN JOY JOHN 458 1

2 SRO0227897 18718 NIKHILA BALLAL.N 418 12

3 SRO0213123 19387 SUNIL KUMAR.R 395 25

4 SRO0256962 19423 NATESH.K.N 381 36

5 SRO0273674 19345 NARASIMHULU.K 375 42

6 SRO0245027 18450 VIGNESH PAI.T 368 49

18July2011

IPCC NOV 2010 EXAM


1 SRO0245915 124823 MANASA.V.NAYAK 522 13

2 SRO0221349 125273 NIDHI.K.KUMAR 501 28

3 SRO0285966 124813 RAVISHANKER.V 486 42

FINAL(OLD) NOV 2010 EXAM


1 SRO0212816 10442 SUJAY.K.N 478 1

2 SRO0209808 9472 NAGARAJA.T.S 453 20

3 SRO0193324 10348 SOUMYA SURENDRAN 453 20

4 ERO0058001 10481 NISHA TULSYAN 440 32

FINAL(NEW) NOV 2010 EXAM


1 SRO0208189 50289 PARVATHI.R 511 25

2 SRO0222624 50132 VISHVAS.B.S 502 32

3 SRO0193668 50240 CHINMAYA HEGDE 494 39

Membership :As on 31.03.2011 the membership of the Bangalore Branch whichincludes the members of Hosur and Tumkur was 7882.Branch Achievement :Bangalore Branch has been adjudged as the Best Branch of SIRCduring the year 2010 jointly with Hydrabad Branch of SIRC ofICAI.Managing Committee Meetings :During the period from 1st April 2010 to 31st March 2011,9 meetings were held.Accounts :The audited financial statement of the Branch has been publishedin this issue of the newsletter.Acknowledgements :The Managing Committee wishes to place on record deepappreciation for the Guidance, Support and Services renderedby various Persons, Organisations and Institutions.❖ President, Vice President, Past Presidents and Central and

Regional Council Members of ICAI

❖ Past Chairmen of the Bangalore Branch

❖ Course Directors, Speakers, Coordinators of the variousprogrammes

❖ President and Executive Members of KSCAA

❖ Faculty of Coaching Classes and Management DevelopmentProgrammes.

❖ Statutory Auditors M/s N.N. Yuvraj & Associates,Chartered Accountants and Internal AuditorsM/s. MGRIT & Co, Chartered Accountants

❖ Advertisers of Newsletters and Sponsors of Programmes/Activities

❖ Our Bankers Canara bank, Syndicate Bank, Punjab NationalBank and Corporation Bank

❖ Our Printers M/s Jwalamukhi Mudranalaya Pvt Ltd.

❖ Our photographer Sri M.S.Nagaraj

❖ Officers and staff for their sincere and dedicated efforts inthe overall administration of the Branch affairs.

❖ Every member and student of the Branch for their unstintedsupport in the various activities of the Branch directly orindirectly

For and on behalf of Managing CommitteeSd/-

(CA. Ravindranath.S.N)Secretary

Place: BangaloreDate: 29.06.2011

19 July2011


AUDITOR’S REPORT

1. We have audited the attached Balance sheet of Bangalore Branch of SIRC of ICAI, as at 31st March 2011 and

the Income and Expenditure account for the year ended on that date, annexed thereto. These financial statements

are the responsibility of the management and its managing committee. Our responsibility is to express an

opinion on these financial statements based on our audit.

2. We conducted our audit in accordance with generally accepted auditing standards in India. These standards

require that we plan and perform the audit to obtain reasonable assurance whether the financial statements are

prepared, in all material respects, in accordance with an identified financial reporting framework and are free of

material misstatements. An audit includes, examining on a test basis, evidence supporting the amounts and

disclosures in the financial statements. An audit also includes assessing the accounting principles used and

significant estimates made by management as well as evaluating the overall financial statements. We believe

that our audit provides a reasonable basis for our opinion.

3. Further to our comments in the notes to accounts, we report that:

a) We have obtained all the information and explanations, which to the best of our knowledge and belief were

necessary for the purpose of our audit.

b) In Our opinion, proper books of account have been kept by the branch so far as it appears from our

examination of the books.

c) The Balance Sheet and the Income and Expenditure Account dealt with by this report are in agreement

with the books of account.

d) In our opinion and to the best of our information and according to the explanations given to us, the financial

statements give a true and fair view in conformity with the accounting principles generally accepted in

India and/or the directions received by the branch from the Central Council.

i) In the case of Balance Sheet, of the state of affairs of the Bangalore Branch of SIRC of ICAI as at 31st

March 2011

and

ii) In the case of Income and Expenditure Account, of the excess of income over expenditure for the

year ended on that date.

For N.N. YUVARAJ & ASSOCIATES.,Chartered AccountantsICAI FRN 005137 S

Sd/-(U. D. Prithvi raj)

Place : Bangalore PartnerDate : 06.06.2011 M.No. 214307

20July2011

BANGALORE BRANCH OF SIRC OFTHE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA

BALANCE SHEET AS ON 31.03.2011 PARTICULARS SCHEDULE 31-03-2011 31-03-2010

Rs. Rs.

SOURCES OF FUNDSGENERAL RESERVEOPENING BALANCE 20,805,716 16,266,165ADD: SURPLUS 618,502 4,577,412GENERAL RESERVE BALANCE 21,424,218 20,843,577TRANSFER FROM EARMARKED FUNDS 1,036,625 2,116,139TRANSFER TO EARMARKED FUNDS - (2,154,000)

TOTAL GENERAL RESERVE 22,460,843 20,805,716EARMARKED FUNDSOPENING BALANCE 1 26,564,751 18,045,101ADD: ADDITIONS 5,322,000 9,666,000

SUB - TOTAL 31,886,751 27,711,101ADD: INTEREST INCOME 2,074,070 983,239

SUB - TOTAL 33,960,821 28,694,340LESS: EXPENSES/ADJUSTMENT (1,036,625) (2,129,589)

TOTAL EARMARKED FUNDS 32,924,196 26,564,751CURRENT LIABILITIESFEES RECEIVED IN ADVANCE 2 1,428,124 1,884,647CREDITORS FOR EXPENSES 3 1,585,292 1,364,209OTHER LIABILITIES 4 732,016 554,897

SUB TOTAL OF CURRENT LIABILITIES 3,745,432 3,803,753INTER UNIT BALANCES:CAPITAL GRANT RECEIVED 6,005,327 6,005,327ICAI CURRENT ACCOUNT 5 3,831,808 99,808ICAI PUBLICATION PAYABLE A/C 6 1,768,031 1,525,301

SUB-TOTAL OF INTERUNIT BALANCES 11,605,166 7,630,436TOTAL 70,735,637 58,804,656

ASSETS/APPLICATION OF FUNDSFIXED ASSETS-NET BLOCK 7 9,716,813 10,854,765EARMARKED INVESTMENTS 8 32,924,196 26,564,751OTHER INVESTMENTS 9 20,994,121 14,885,326CURRENT ASSETS: STATIONERY STOCK ETC 10 - 5,825OTHER RECEIVABLES 11 79,875 329,924ADVANCES & PREPAYMENTS 12 1,001,401 815,218CASH & BANK BALANCES 13 741,805 1,595,540INTER UNIT BALANCES:CENTRAL COUNCIL CURRENT A/C 14 3,628,720 2,527,492PUBLICATION STOCK TRANSFER A/C 15 1,648,705 1,225,815

TOTAL DEBIT OF INTER UNIT BALANCES 5,277,425 3,753,307TOTAL 70,735,637 58,804,656

Notes to Accounts form integral part of these financial statements 22As per our Report of even date

for N.N.Yuvaraj & Associatesfor Bangalore Branch of SIRC of ICAI Chartered Accountants

Sd/- Sd/- Sd/- Sd/-

(CA. Venkatesh Babu T.R) (CA. Ravindranath S.N) (CA. Prasad S.R) (CA. Prithvi Raj U.D.) CHAIRMAN SECRETARY TREASURER PARTNER

Place : BANGALORE

Date : 06/06/2011

21 July2011



INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31.03.2011 PARTICULARS SCHEDULE 31-03-2011 31-03-2010

Rs. Rs.

INCOMEMEMBERSHIP FEE GRANT 808,400 770,600AUDIT FEES GRANT 46,326 99,270

SUB-TOTAL 854,726 869,870NEWS LETTER INCOME 105,800 173,000SEMINAR INCOME 13,884,020 10,931,744GMCS COURSE INCOME 3,100,500 2,724,500IPCC ORIENTATION INCOME 4,189,500 5,077,500INTEREST ON INVESTMENTS 16 1,554,608 1,977,722OTHER INCOME 17 443,526 784,254INCOME FROM COACHING CLASSES 3,206,143 3,178,953COMMISSION ON SALE OF PUBLICATIONS 643,321 433,529INCOME FROM ITT COURSE FEE 7,288,000 9,248,000PRIOR PERIOD ADJUSTMENTS 18 - 582,989

TOTAL 35,270,144 35,982,061EXPENDITURESALARY & STAFF EXPENSES 19 2,046,601 1,717,131PRINTING, STATIONERY & PHOTOCOPYING 190,028 463,639NEWSLETTER EXPENSES 1,230,616 939,542POSTAGE, TELEPHONE AND COURIER 75,219 81,505RENT ELECTRICITY AND WATER 550,412 505,322REPAIRS & MAINTENANCE 1,170,608 1,609,364TRAVEL - MEMBERS 10,999 23,614CONVEYANCE AND TRAVEL - STAFF 65,777 39,354MAGAZINE & PERIODICALS 8,954 10,851LAPTOP HIRING CHARGES - 27,234INTERNAL AUDIT FEES 74,453 79,416STATUTORY AUDIT FEES 19,854 19,854PROFESSIONAL & CONSULTANCY FEES 200,780 163,787LEGAL FEES - 30,000SEMINAR EXPENSES 9,965,297 8,463,456GMCS COURSE EXPENSES 2,138,206 1,787,512IPCC ORIENTATION EXPENSES 1,870,281 2,217,101OTHER EXPENSES 20 272,502 414,813EXPENDITURE ON ITT COURSE FEE 1,503,358 1,255,725EXPENSES TOWARDS COACHING CLASSES 1,934,765 1,622,459PRIOR PERIOD ADJUSTMENTS 21 113,750 75,344

SUB - TOTAL 23,442,460 21,547,022DEPRECIATION 2,155,182 2,345,627

TOTAL 25,597,642 23,892,649SURPLUS 9,672,502 12,089,412

APPROPRIATIONSMAINTENANCE FUND 750,000 1,000,000BUILDING MAINTENANCE FUND 500,000 1,500,000CA STUDENTS EDUCATION FUND 250,000 200,000ITT RESERVE FUND 1,822,000 2,312,000FIXED ASSET ACQUISITION FUND 2,000,000 2,500,000SHARE OF HO ON ITT COURSE FEE (2010-11) 1,093,200 -SHARE OF HO ON ITT COURSE FEE (2007-2010) 2,638,800 -

BALANCE TRANSFERRED TO GENERAL RESERVE 618,502 4,577,412

As per our Report of even datefor N.N.Yuvaraj & Associates

for Bangalore Branch of SIRC of ICAI Chartered Accountants Sd/- Sd/- Sd/- Sd/-


Place : BANGALOREDate : 06/06/2011

Notes to accounts form integral part of these financial statements 22

22July2011


SCHEDULES FORMING PART OF BALANCE SHEET AS ON 31.03.2011

SCHEDULE - 1 : EARMARKED AND OTHER FUNDS

PARTICULARS AS AT ADDITIONS INCOME DEDUCTIONS AS AT AS AT

01.04.2010 31-03-2011 31-03-2010

Rs. Rs. Rs. Rs. Rs. Rs.

ENDOWMENT FUNDS

VISWESHWARAIAH PRIZE FUND 92,050 - 5,533 - 97,583 92,050

GURUPRASAD PRIZE FUND 60,144 - 1,963 - 62,107 60,144

BHANUMURTHY PRIZE FUND 17,037 - 951 - 17,988 17,037

SEETHARAMAIAH PRIZE FUND 121,150 - 10,733 - 131,883 121,150

TOTAL (A) 290,381 - 19,180 - 309,561 290,381

DESIGNATED FUNDS

STUDY CIRCLE SERIES FUND 528,318 - 30,684 - 559,002 528,318

CA STUDENTS EDUCATION FUND 676,049 250,000 53,720 - 979,769 676,049

BUILDING MAINTENANCE FUND 9,344,347 500,000 764,196 - 10,608,543 9,344,347

LIBRARY CORPUS FUND 793,844 - 63,110 - 856,954 793,844

FIXED ASSET ACQUISITION FUND 6,794,815 2,000,000 545,521 357,125 8,983,211 6,794,815

MAINTENANCE FUND 3,601,678 750,000 277,051 - 4,628,729 3,601,678

ITT RESERVE FUND 4,535,319 1,822,000 320,608 679,500 5,998,427 4,535,319(C.Y 18,22,000 P.Y 23,12,000)

TOTAL (B) 26,274,370 5,322,000 2,054,890 1,036,625 32,614,635 26,274,370

GRAND TOTAL (A) + (B) 26,564,751 5,322,000 2,074,070 1,036,625 32,924,196 26,564,751

23 July2011


BANGALORE BRANCH OF SIRC OFTHE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIASCHEDULES FORMING PART OF BALANCE SHEET AS ON 31.03.2011

PARTICULARS SCHEDULE 31-03-2011 31-03-2010 Rs. Rs.

FEES RECEIVED IN ADVANCE 2GMCS COURSE FEES 666,000 531,020IPCC ORIENTATION ADVANCE 174,000 268,500CCAFBL TRAINING PROGRAMME 206,770 103,230CPT COACHING CLASS 147,462 155,897INFORMATION TECHNOLOGY TRAINING 212,000 800,000FINAL COACHING CLASS - 8,000SEMINAR ON INVESTMENT BANKING 250 -IPCC COACHING CLASS 21,642 18,000

TOTAL 1,428,124 1,884,647CREDITORS FOR EXPENSES 3STATUTORY AUDIT FEES 19,854 19,854SECURITY CHARGES 23,231 17,418MISC LIABILITIES 7,602 15,601PRINTING AND STATIONERY 151,998 151,607POSTAGE, COURIER AND TELEPHONES 1,225 10,607INTERNAL AUDIT FEES 67,008 35,737PROFESSIONAL FEES 29,780 7,200RENT, ELECTRICITY AND WATER 101,463 102,795FACULTY FEES PAYABLE 588,613 919,694OT, SALARY AND STAFF WELFARE EXPENSES 23,527 6,484CATERING EXPENSES - 51,622BUILDING MAINTENANCE 20,509 25,590SEMINAR EXPENSES 532,482 -COACHING CLASS EXPENSES 18,000 -

TOTAL 1,585,292 1,364,209OTHER LIABILITIES 4SECURITY DEPOSIT - EX EMPLOYEE 1,000 1,000TDS PAYABLE 154,641 160,522MEDICAL REIMBURSEMENT/ RETENTION MONEY -STAFF 21,750 36,500EXCESS CREDIT FROM BANK - 20,000SUNDRY LIABILITIES 80,375 55,125LEASE RENT PAYABLE 17,500 12,500SICASA BANGALORE 456,750 269,250

TOTAL 732,016 554,897ICAI CURRENT A/C 5ICAI - GRATUITY GRANT PAYABLE 99,808 99,808SHARE OF ITT FEES PAYABLE TO H.O 3,732,000 -

TOTAL 3,831,808 99,808 ICAI PUBLICATION PAYABLE A/C 6ARTICLE REGISTRATION FORMS 4,100 17,850PUBLICATIONS 778,073 577,813REVISION TEST PAPERS 68,858 77,638STUDY MATERIALS 195,309 48,094SUGGESTED ANSWERS 496,691 478,906BOS - GMCS MATERIAL PAYABLE 225,000 325,000

TOTAL 1,768,031 1,525,301

24July2011

PARTICULARS RATE WDV AS ON ADDITIONS DELETIONS TOTAL DEPRECIATION WDV ON

OF DEP. 01.04.2010 31.03.2011

(%) (In Rs) (In Rs) (In Rs) (In Rs) (In Rs) (In Rs)

AT BRANCH PREMISESAIRCONDITIONER 15% 601,653 - - 601,653 90,248 511,405BIO-METRIX 15% - 20,500 - 20,500 851 19,649CANOPY 10% 72,187 - - 72,187 7,219 64,968COMPUTERS 60% 219,816 - - 219,816 131,890 87,926CCTV 15% - 191,098 - 191,098 4,493 186,605DIGITAL CAMERA 15% - 7,899 - 7,899 1,078 6,821ELECTRICAL FITTINGS 10% 597,453 - - 597,453 59,745 537,708FIRE ALARM SYSTEM 10% 67,889 - - 67,889 6,789 61,100FURNITURE 10% 2,850,734 - - 2,850,734 285,073 2,565,661FURNITURE-KITCHEN 10% 16,328 - - 16,328 1,633 14,695 UTENSILSLAPTOP 60% 108,995 - - 108,995 65,397 43,598LCD PROJECTOR 60% 198,949 - - 198,949 119,369 79,580LIBRARY BOOKS 100% - 126,370 - 126,370 126,370 0LIFT 10% 227,512 - - 227,512 22,751 204,761NETWORKING 60% 75,772 - - 75,772 45,463 30,309OFFICE EQUIPMENTS 15% 205,606 2,326 - 207,932 30,862 177,070PRINTERS 15% 66,596 5,932 - 72,528 10,379 62,149INTERIOR AUDITORIUM 10% 1,328,599 - - 1,328,599 132,860 1,195,739INTERIORS 10% 1,937,779 - - 1,937,779 193,778 1,744,001SOFTWARE 60% 10,436 - - 10,436 6,262 4,174UPS 15% 146,293 - - 146,293 21,944 124,349PLASMA TV 15% 48,611 - - 48,611 7,292 41,319WHITE BOARDS 10% 5,961 - 5,961 596 5,365WATER CONTROLLER 15% - 3,000 - 3,000 375 2,625ITTAT BRANCH PREMISESCOMPUTER LAB A/C 10% 44,456 - - 44,456 4,446 40,010COMPUTER LAB 60% 133,942 396,000 19,395 510,547 279,639 230,908 COMPUTERSFURNITURE-COMPUTER 10% 168,052 - - 168,052 16,805 151,247 LABCOMPUTER LAB UPS 15% 122,922 283,500 - 406,422 50,594 355,828ITT SOUTH CENTERAIRCONDITIONER 15% 102,000 - - 102,000 15,300 86,700COMPUTER LAB 60% 420,000 - 420,000 252,000 168,000 COMPUTERSLCD PROJECTOR 60% 29,991 - - 29,991 17,995 11,996PRINTERS 15% 8,122 - - 8,122 1,218 6,904INTERIOR DECORATION 10% 350,325 - 350,325 35,033 315,292UPS 15% 379,896 - - 379,896 56,984 322,912FURNITURE 10% 129,037 - - 129,037 12,904 116,133NETWORKING 60% 43,324 - - 43,324 25,994 17,330ELECTRICAL FITTINGS 10% 135,529 - - 135,529 13,553 121,976

GRAND TOTAL 10,854,765 1,036,625 19,395 11,871,995 2,155,182 9,716,813PREVIOUS YEAR 10,888,154 2,385,229 72,991 13,200,392 2,345,627 10,854,765

SCHEDULE - 7 : FIXED ASSETS


25 July2011



PARTICULARS In FDRs INTEREST INTEREST NET BALANCE As At As AtRECEIVABLE RECEIVED INTEREST WITH 31-03-2011 31-03-2010

RECEIVABLE INVESTMENT (GEN)

Rs. Rs. Rs. Rs. Rs. Rs. Rs.

VISWESHWARAIAH PRIZE FUND 69,158 5,533 - 5,533 22,892 97,583 92,050GURUPRASAD PRIZE FUND 40,533 1,963 1,963 - 21,574 62,107 60,144BHANUMURTHY PRIZE FUND 14,468 951 726 225 3,295 17,988 17,037SEETHARAMAIAH PRIZE FUND 115,000 10,733 9,200 1,533 15,350 131,883 121,150TOTAL (A) 239,159 19,180 11,889 7,291 63,111 309,561 290,381STUDY CIRCLE SERIES FUND 525,788 30,684 22,400 8,284 24,930 559,002 528,318CA STUDENTS EDUCATION FUND 667,196 53,720 31,025 22,695 289,878 979,769 676,049BUILDING MAINTENANCE FUND 9,288,381 764,196 51,687 712,509 607,653 10,608,543 9,344,347LIBRARY CORPUS FUND 728,490 63,110 16,225 46,885 81,579 856,954 793,844FIXED ASSET ACQUISITION FUND 6,728,529 545,521 122,797 422,724 1,831,958 8,983,211 6,794,815MAINTENANCE FUND 3,591,111 277,051 99,936 177,115 860,503 4,628,729 3,601,678ITT RESERVE FUND 4,532,562 320,608 27,554 293,054 1,172,811 5,998,427 4,535,319TOTAL (B) 26,062,057 2,054,890 371,624 1,683,266 4,869,311 32,614,635 26,274,370GRAND TOTAL (A) + (B) 26,301,216 2,074,070 383,513 1,690,557 4,932,422 32,924,196 26,564,751

SCHEDULE - 8 : EARMARKED AND OTHER INVESTMENTS


OTHER INVESTMENTS 9FIXED DEPOSITS WITH CANARA BANK- ITT 7,959,749 7,228,603FIXED DEPOSITS WITH PUNJAB NATIONAL BANK- ITT 2,059,922 -FIXED DEPOSITS WITH CANARA BANK 8,833,689 8,412,804RBI 8% BONDS 7,073,183 7,323,106

25,926,543 22,964,513LESS : AMOUNT TO BE TRANSFERRED TO EARMARKED INVESTMENTS 4,932,422 8,079,187

TOTAL 20,994,121 14,885,326

STATIONERY STOCK ETC., 10STOCK WIRC - 5,825

- 5,825

OTHER RECEIVABLES 11DUE FROM EX - EMPLOYEE 29,250 29,250FEES RECEIVABLE FROM MEMBERS & STUDENTS - 121,500FKCCI UNION BUDGET ANANLYSIS RECEIVABLES - 96,946BANGALORE STOCK EXCHANGE RECEIVABLES - 32,228KPCL PROGRAME RECEIVABLE 50,625 -GRANT RECEIVABLES FROM MCA - 50,000

TOTAL 79,875 329,924ADVANCE & PRE-PAYMENTS 12DEPOSITS WITH KPTCL 174,800 174,800ADVANCE - STATE LEVEL CONFERENCE - 241,068DEPOSIT FOR RENT - BANGALORE SOUTH ITT CENTER 280,000 280,000DEPOSIT FOR RENT - BANGALORE READING ROOM 308,000 -ADVANCE TO STAFF 44,536 27,752PREPAID EXPENSES 110,091 70,571PREPAID EXPENSES- IPCC ORIENTATION 49,063 -ADVANCE - POST OFFICE FOR NEWSLETTER POSTING 34,911 21,027

TOTAL 1,001,401 815,218

COLUMN 'A' COLUMN 'B' COLUMN 'C' TOTAL(A+B+C)

26July2011


CASH & BANK BALANCES 13CANARA BANK SB A/C.80172 192,837 26,813CANARA BANK SB A/C.10825 37,507 218,190CANARA BANK SB A/C.9499 188,048 506,040CANARA BANK SB A/C. 80999 93,967 781,409CANARA BANK SB A/C.9759 160,561 45,950PUNJAB NATIONAL BANK SB A/C. 0551 47,275 -PUNJAB NATIONAL BANK SB A/C. XBRL 2,665 -CASH ON HAND 18,946 1,089CHEQUES ON HAND - 16,050

TOTAL 741,805 1,595,540CENTRAL COUNCIL CURRENT ACCOUNT 14TDS RECEIVABLE 1,089,686 754,745SEMINAR GRANT RECEIVABLE 15,000 15,000MEMBERSHIP FEES GRANT RECEIVABLE 61,025 61,025SUNDAY TEST EXPENSES 28,421 28,421ICAI CURRENT ACCOUNT 22,105 22,105ICAI DECENTRALISED OFFICE, BANGALORE 1,777,049 1,019,486BOS GRANT RECEIVABLE 42,000 42,000ICAI - SALARY 68,800 93,255AUDIT FEES GRANT RECEIVABLE 283,832 237,506LIBRARY GRANT 3,319 49,619MEDICAL GRANT RECEIVABLE 7,285 7,285FIRST ISA MEET RECEIVABLE - 16,665ISA PT EXPENSES RECEIVABLE 27,201 63,486CPT ONLINE EXAM RECEIVABLE 62,294 42,671GST WAY FORWARD RECEIVABLE 49,604 49,604SEMINAR ON CORPORATE LAWS 91,099 -PROJECT PARIVARTHAN PROGRAMME - 9,342EXAM EXPENSES RECEIVABLE - 15,277

TOTAL 3,628,720 2,527,492PUBLICATION STOCK TRANSFER ACCOUNT 15ARTICLED REGISTRATION FORMS 4,050 19,300PUBLICATIONS 776,130 575,420REVISION TEST PAPERS 72,090 79,330STUDY MATERIALS 194,985 47,980SUGGESTED ANSWERS 471,950 454,285GMCS MATERIALS STOCK 129,500 49,500

TOTAL 1,648,705 1,225,815SCHEDULES FORMING PART OF INCOME & EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31.03.2011INTEREST ON INVESTMENTS 16INTEREST ON FIXED DEPOSITS / RBI BONDS 1,371,139 1,863,489INTEREST ON SB ACCOUNTS 183,469 114,234

TOTAL 1,554,608 1,977,722OTHER INCOME 17COMMISSION RECEIVED - EXAM FORMS 271,185 642,038MISCELLANEOUS INCOME 172,341 142,216

TOTAL 443,526 784,254PRIOR PERIOD ADJUSTMENTS - INCOME 18COACHING CLASS/SEMINAR ( HONARARIUM REVERSED) - 14,577EXAM FORM COLLECTION - 400INTERNATIONAL TAXATION 3RD BATCH - 787DIAMOND JUBLEE MEGA CONFERENCE - 2,300ITT INCOME 68TH BATCH - 4,000WORKSHOP ON ACCOUNTING STANDARD - 1,000BUILDING MAINTENANCE - 5,624MUNICIPAL TAX EXCESS PROVISION REVERSED - 554,301

TOTAL - 582,989

27 July2011



SALARY & STAFF EXPENSES 19SALARY TO STAFF (INCLUSIVE OF INCENTIVE AND OT) 1,765,497 1,505,638

STAFF WELFARE EXPENSES 210,817 151,381MEDICAL EXPENSES 33,000 25,000UNIFORM EXPENSES 37,287 35,112

TOTAL 2,046,601 1,717,131OTHER EXPENSES 20GENERAL EXPENSES 154,151 214,331SECURITY CHARGES 112,013 73,694BANK CHARGES 6,338 6,788

CA STUDENTS SCHOLARSHIP - 120,000

TOTAL 272,502 414,813PRIOR PERIOD ADJUSTMENTS - EXPENSES 21SIRC CONFERENCE EXPENSES RECEIVABLES - 1,587WORKSHOP ON BASICS OF M S EXCEL - 900

SEMINAR EXPENSES 113,750 -IPCC COACHING CLASS JUNE-09 - 34,878CPT COACHING CLASS JUNE’09 - 37,979

TOTAL 113,750 75,344

SCHEDULE-22

SIGNIFICANT ACCOUNTING POLICIES AND NOTESFORMING PART OF ACCOUNTS FOR THE YEAR ENDING 31.03.2011

SIGNIFICANT ACCOUNTING POLICIES

a. Accounting policy:

The financial statements have been prepared in accordance with the format provided by the ICAI, New Delhi, as per the “AccountingManual for Branches of Regional council”

b. Revenue Recognition:

Revenue is recognized on accrual basis, as per the “Accounting Manual for Branches of Regional council”

c. Inventories:

i) Stock of publication held on behalf of ICAI is stated at invoiced price to branch.

d. Fixed Assets & Depreciation:

Fixed assets are stated at written down value after providing depreciation.

Depreciation is provided adopting rates provided in “Accounting Manual for Branches of Regional council”

e. Investments:

Investments are stated at cost

f. Deferred Tax Asset/Liability Is not applicable at branch level.

NOTES FORMING PART OF ACCOUNTS:

1. Balances representing Sundry Creditors, Other Liabilities & Central Council Accounts are subject to reconciliation & receipt of confirmationsfrom parties.

2. During the year the Branch has not made provision for Gratuity as the same is dealt at Head office level.

3. The Branch has transferred to ITT Reserve Fund a sum of Rs.18,22,000/- in accordance with guidelines for establishing ITT Centre at theBranches of the Institute of the Chartered Accountants of India.

4. Previous year’s figures & figures in financial statements have been rounded off to the nearest rupee and have been regrouped/ rearrangedwherever necessary to make them comparable and meaningful.

As per our Report of even datefor N.N.Yuvaraj & Associates

for Bangalore Branch of SIRC of ICAI Chartered Accountants Sd/- Sd/- Sd/- Sd/-


Place : BANGALOREDate : 06/06/2011

28July2011

Dear Professional Colleagues,

The Committee for Members in Industry is organisingCampus placements in the month of August – Sep 2011for the newly qualified CAs. The details are as below

Schedule for Campus Interview August-September,2011

The CMII provides opportunity to the employers tointeract with newly qualified Chartered Accountants andmakes all arrangements at its centres, thereby providinga cost effective mode of recruiting newly qualifiedChartered Accountants. An organisation and firms ofChartered Accountants can participate in one or morecentres.

Start Date for filling up initial details (Candidate whohave qualified in November 2010, May 2010 or whoseresults were declared in revaluation/re verification after 26th March, 2011 and completing their articleship orGMCS between 1st May, 2011 to 31st October,2011 :1st July 2011 to 25th July 2011.

Date of candidate registration for May, 2011 CA Finalqualified (and others as mentioned above) candidates: 26th to 30th July, 2011

Opening of database for Companies at S No. 1: 1st August 2011

Resubmission and editing of selected portion of onlineform by the candidates who have opted one bigger andone smaller centre before merger with the centre of theirsecond choice (its mandatory for inclusion of data withsmaller centre: 23rd and 24th August, 2011 (upto 11:00midnight).

Opening of database for Companies at S No. 4 and 5:26th August, 2011

Campus Interview Dates

Sl. Centre Dates*No.

1 Bangalore, Chennai, 16,17,18,19 &Hyderabad, Kolkata, 20 August,Mumbai and New Delhi 2011

2 Bhubaneswar, Coimbatore 1 & 2and Ernakulam September, 2011

3 Baroda, Chandigarh, 2 & 3 Indore, Kanpur, and Nagpur September, 2011

4 Ahmedabad and Jaipur 5, 6 & 7September, 2011

5 Pune 9, 10 & 12September, 2011

CA K RaghuChairman, CMII

Announcement for Campus Placement ProgrammeAugust-September, 2011

The Southern India Regional Council of ICAICordially invites you for the

43rd REGIONAL CONFERENCE OF SIRC OF ICAIJNANA SANGAMAM

Hosted by: The Coimbatore Branch of SIRC of ICAIOn Aug 19 & 20, 2011 [CPE - 12 Hrs]at CODISSIA Complex, Coimbatore

August 19th and 20th 2011, this year all the more important – being the Regional Conference of SIRC of ICAI organised in theDiamond Jubilee year of SIRC, and this year being hosted by the Coimbatore Branch in its Golden Jubilee year, in the hometown of our distinguished National President CA.G.Ramaswamy and also being a city that is greatly known as the Temple ofLearning of the South. The hosts are working to give you the most memorable event, that will remain in your hearts for a very longtime. Unique learning experiences, real time interactions, knowledge sharing platforms, peek into the future exhibits, the list iscontinuing to grow, and they are going this extra mile – ONLY FOR YOU !Come Celebrate Coimbatore, Celebrate an experience of learningCome build friendships that last a lifetime. Jnana Sangamam promises to be a Confluence of Wisdom, to learn from each other,to work towards the glory of the profession that is so dear to us. There is learning, fun, sharing and much more for all the seniorsand the fresher’s who have just joined our fraternity.Remember August 19th and 20th 2011, @ Codissia Trade Fair Complex, CoimbatoreJnana Sangamam – The Confluence of Wisdom, where we all eagerly await you.

29 July2011


30July2011

31 July2011


32July2011

July - 2011 News Letter

Documents

Transcript of July - 2011 News Letter