As we are kindly aware that ICAI, being a partner in nation building, has always supported the efforts of the government to achieve its objectives to optimize tax collection and prevent tax avoidance/evasion on one hand and to ensure timely compliance of statutory obligations by the tax payers on the other hand. It has also… Read More »
Para 9 of ICDS VI provides for the procedure for translation of financial statements of nonintegral foreign operations i.e. foreign branch. It provides that the assets and liabilities, both monetary and non-monetary, of the foreign branch shall be translated at the closing rate and resulting exchange differences shall be recognized as income or expenses in… Read More »
ICDS is not meant for passing entries in the books of accounts or preparing financial statements. Its scope is restricted to computation of total income. Taxpayers are required to prepare financial statements as per Generally Accepted Accounting Policies applicable to them. For example, companies are required to maintain books of account and prepare financial statements… Read More »
Applicability of Income Computation and Disclosure Standards notified u/s 145(2) of the Income-tax Act, 1961 from Assessment Year 2017-18. The Central Board of Direct Taxes has vide Press Release dated 6.07.2016 clarified that the Income Computation & Disclosure Standards shall be applicable from 1.4.2016 i.e. previous year 2016-17 (Assessment Year 2017-18). It is pertinent to inform… Read More »