Applicability of Standards/Guidance Notes/Legislative Amendments etc. for November, 2015 – Final Examination
Paper 1: Financial Reporting
I. Framework for the Preparation and Presentation of Financial Statements.
II. Accounting Standards
AS No.
AS Title
1
Disclosure of Accounting Policies
2
Valuation of Inventories
3
Cash Flow Statements
4
Contingencies and Events Occurring after the Balance Sheet Date
5
Net Profit or Loss for the Period, Prior Period Items and Changes in Accounting Policies
6
Depreciation Accounting
7
Construction Contracts (Revised 2002)
9
Revenue Recognition
10
Accounting for Fixed Assets
11
The Effects of Changes in Foreign Exchange Rates (Revised 2003)
12
Accounting for Government Grants
13
Accounting for Investments
14
Accounting for Amalgamations
15
Employee Benefits
16
Borrowing Costs
17
Segment Reporting
18
Related Party Disclosures
19
Leases
20
Earnings Per Share
21
Consolidated Financial Statements
22
Accounting for Taxes on Income
23
Accounting for Investment in Associates in Consolidated Financial Statements
24
Discontinuing Operations
25
Interim Financial Reporting
26
Intangible Assets
27
Financial Reporting of Interests in Joint Ventures
28
Impairment of Assets
29
Provisions, Contingent Liabilities and Contingent Assets
30
Financial Instruments: Recognition and Measurement
31
Financial Instruments: Presentation
32
Financial Instruments: Disclosure
III. Guidance Notes on Accounting Aspects
Guidance Note on Accrual Basis of Accounting.
Guidance Note on Accounting Treatment for Excise Duty.
Guidance Note on Terms Used in Financial Statements.
Guidance Note on Availability of Revaluation Reserve for Issue of Bonus Shares.
Guidance Note on Accounting Treatment for MODVAT/CENVAT.
Guidance Note on Accounting for Corporate Dividend Tax.
Guidance Note on Accounting for Employee Share-based Payments.
Guidance Note on Accounting for Credit Available in respect of Minimum Alternate Tax under the Income Tax Act, 1961.
Guidance Note on Measurement of Income Tax for Interim Financial Reporting in the context of AS 25.
Guidance Note on Applicability of Accounting Standard (AS) 20, Earnings per Share.
Guidance Note on Remuneration paid to key management personnel – whether a related party transaction.
Guidance Note on Applicability of AS 25 to Interim Financial Results.
Guidance Note on Turnover in case of Contractors.
Guidance Note on the Revised Schedule VI to the Companies Act, 1956*
[*Schedule III to the Companies Act, 2013.]
IV. Applicability of the Companies Act, 2013 and other Legislative Amendments
The relevant notified Sections of the Companies Act, 2013 up to 31st March, 2015 and other legislative amendments including relevant Notifications / Circulars / Rules / Guidelines issued by Regulating Authority up to 30th April, 2015.
Non-Applicability of Ind ASs:
The Ministry of Corporate Affairs has notified Roadmap for applicability of Indian Accounting Standards (Ind AS) vide Notification No. G.S.R…….(E) dated 16 February, 2015, for compliance by the class of companies specified in the said roadmap. The notification has been uploaded on www.mca.gov.in along with the thirty nine (39) Indian Accounting Standards (Ind AS). Students may note that these Ind ASs are not applicable for November, 2015 Examination.
Paper 3: Advanced Auditing and Professional Ethics
I. Statements and Standards
1. Statement on Reporting under Section 227(1A) of the Companies Act, 1956 (Section 143 of the Companies Act, 2013).
2. Framework for Assurance Engagements.
II. Engagements and Quality Control Standards on Auditing
S.No
SA
Title of Standard on Auditing
1
SQC 1
Quality Control for Firms that Perform Audits and Reviews of Historical Financial Information, and Other Assurance and Related Services Engagements
2
SA 200
Overall Objectives of the Independent Auditor and the Conduct of an Audit in Accordance with Standards on Auditing
3
SA 210
Agreeing the Terms of Audit Engagements
4
SA 220
Quality Control for Audit of Financial Statements
5
SA 230
Audit Documentation
6
SA 240
The Auditor’s responsibilities Relating to Fraud in an Audit of Financial Statements
7
SA 250
Consideration of Laws and Regulations in An Audit of Financial Statements
8
SA 260
Communication with Those Charged with Governance
9
SA 265
Communicating Deficiencies in Internal Control to Those Charged with Governance and Management
10
SA 299
Responsibility of Joint Auditors
11
SA 300
Planning an Audit of Financial Statements
12
SA 315
Identifying and Assessing the Risks of Material Misstatement through Understanding the Entity and its Environment
13
SA 320
Materiality in Planning and Performing an Audit
14
SA 330
The Auditor’s Responses to Assessed Risks
15
SA 402
Audit Considerations Relating to an Entity Using a Service Organization
16
SA 450
Evaluation of Misstatements Identified during the Audits
17
SA 500
Audit Evidence
18
SA 501
Audit Evidence – Specific Considerations for Selected Items
19
SA 505
External Confirmations
20
SA 510
Initial Audit Engagements-Opening Balances
21
SA 520
Analytical Procedures
22
SA 530
Audit Sampling
23
SA 540
Auditing Accounting Estimates, Including Fair Value Accounting Estimates, and Related Disclosures
24
SA 550
Related Parties
25
SA 560
Subsequent Events
26
SA 570
Going Concern
27
SA 580
Written Representations
28
SA 600
Using the Work of Another Auditor
29
SA 610
Using the Work of Internal Auditors
30
SA 620
Using the Work of an Auditor’s Expert
31
SA 700
Forming an Opinion and Reporting on Financial Statements
32
SA 705
Modifications to the Opinion in the Independent Auditor’s Report
33
SA 706
Emphasis of Matter Paragraphs and Other Matter Paragraphs in the Independent Auditor’s Report
34
SA 710
Comparative Information – Corresponding Figures and Comparative Financial Statements
35
SA 720
The Auditor’s Responsibility in Relation to Other Information in Documents Containing Audited Financial Statements
36
SA 800
Special Considerations-Audits of Financial Statements Prepared in Accordance with Special Purpose Framework
37
SA 805
Special Considerations-Audits of Single Purpose Financial Statements and Specific Elements, Accounts or Items of a Financial Statement
38
SA 810
Engagements to Report on Summary Financial Statements
39
SRE 2400
Engagements to Review Financial Statements
40
SRE 2410
Review of Interim Financial Information Performed by the Independent Auditor of the Entity
41
SAE 3400
The Examination of Prospective Financial Information
42
SAE 3402
Assurance Reports on Controls At a Service Organisation
43
SRS 4400
Engagements to Perform Agreed Upon Procedures Regarding Financial Information
44
SRS 4410
Engagements to Compile Financial Information
III. Guidance Notes and other publications
Code of Ethics
Guidance Note on Independence of Auditors.
Guidance Note on Audit Reports and Certificates for Special Purposes.
Guidance Note on Audit under Section 44AB of the Income-tax Act (Revised in view of Latest Form 3CA, 3CB and 3CD notified on 25th July).
Guidance Note on Audit of Inventories.
Guidance Note on Audit of Debtors, Loans and Advances.
Guidance Note on Audit of Investments.
Guidance Note on Audit of Cash and Bank Balances.
Guidance Note on Audit of Liabilities.
Guidance Note on Audit of Revenue.
Guidance Note on Audit of Expenses.
Guidance Note on Computer Assisted Audit Techniques (CAATs).
Guidance Note on Audit of Payment of Dividend.
Guidance Note on Audit of Capital and Reserves.
IV Applicability of the Companies Act, 2013 and Other Legislative Amendments:
(i) The relevant notified Sections of the Companies Act, 2013 up to 31st March, 2015 alongwith other legislative amendments including relevant Notifications / Circulars / Rules / Guidelines issued by Regulating Authorities cut-off date will be 30th April, 2015.
(ii) Companies (Auditor’s Report) Order, 2015 [CARO] issued by Ministry of Corporate Affairs on 10th April, 2015 is applicable for November 2015 Examination.
Paper 4 : Corporate and Allied Laws
I Applicability of Relevant Amendments/Circulars/ Notifications/Regulations etc.
1. The Companies Act, 2013
The relevant sections of the Companies Act, 2013, notified up to 31st March, 2015 along with relevant Rules/ Notifications/ Circulars/ Clarification/ Orders issued by the Ministry of Corporate Affairs upto 30th April, 2015.
2. SEBI (Issue of Capital and Disclosure Requirement) Regulations, 2009
SEBI vide Notification dated 24th March, 2015 has issued SEBI (Issue of Capital and Disclosure Requirements) (Amendment) Regulations, 2015.
The amendments have been carried out in regulation 4 and 54 of SEBI (ICDR) Regulations, 2009.
3. The Insurance Act, 1938 and the Insurance Regulatory and Development Authority Act, 1999
Vide Notification dated 23rd March, 2015, Ministry of Law and Justice further amended the Insurance Act, 1938 and the Insurance Regulatory and Development Authority Act, 1999 by enacting the Insurance Laws (Amendment) Act, 2015. It shall be deemed to have come into force on the 26th day of December, 2014.
II Non-Applicability of the following Amendments/Circulars/Notifications
S.No.
Subject Matter
1.
Chapter 9 of the study material (October, 2014 edition) covering provisions relating to Revival and Rehabilitation of Sick-Industrial Companies.
2.
Chapter 15 of the study material (October, 2014 edition) covering provisions relating to the National Company Law Tribunal and Appellate Tribunal.
Paper 7 : Direct Tax Laws & Paper 8 : Indirect Tax Laws
Applicability of Finance Act, Assessment Year etc. for November, 2015 Examination
The provisions of direct and indirect tax laws, as amended by the Finance (No.2) Act, 2014, including notifications and circulars issued up to 30th April, 2015, are applicable for November, 2015 examination. The relevant assessment year for Paper 7: Direct Tax Laws is A.Y.2015-16.
In Paper 7: Direct Tax Laws, the Wealth-tax Act, 1957 and Rules thereunder are not applicable for November 2015 examination.