Direct Tax Code 2013, Tax Audit can be conducted by CS and CWA also!!!
Direct Tax Code 2013 which is not yet passed and effective is making big news in CA circle.
The new act will allow CS and CWA also to conduct the tax audits.
As per the new Tax Code the definition of Accountant includes CS and CWA. As per the provisions Accountant can conduct the tax Audits.
As per New Direct Tax Code 2013, Accountant Means
a chartered accountant within the meaning of the Chartered Accountants Act, 1949 and who holds a valid
certificate of practice under sub-section (1) of section 6 of that Act, and shall include-
(i) a company secretary within the meaning of the Company Secretaries Act, 1980 ;
(ii) a cost accountant within the meaning of the Cost and Works Accountants Act, 1959 ; or
(iii) any person having such qualifications as the Board may prescribe, for the purposes specified in this behalf
No idea what is happening. All professional bodies are silent on this. First it was CS, the new Companies act created difficulties for Company Secreteries and now TAX CODE 2013.
Agreed, the difficulties are created for all professions. CS and CWA study as per the current available opputunities and same is with CA.
By allowing other professional do the audits, CA will face the heat.
This new definition of accountant will create competition and quality will improve on other hand many fresh CA will hesitate to practice and contribute to the development of accounting profession.
Life of CA CS CWA are becoming tougher day by day. Professionals in practice are the greatest strugglers who take profession as a passion, but in the end what we get is babaji ki tullu
I respect all professionals so kindly don't take me wrong and I am not judging or challenging anybody's professional knowledge or skills. My only question is that the way a CA is rigorously taught income tax and accountancy, does the same way is followed in the course of CS, CWA. If yes, then surely CAs monoply wud break and if no then what is the point of allowing other professionals to conduct an assignment of which they don't have indepth knowledge???
Agreed, if the expertise is the parameter than not a problem. If not, than all the berriers should be removed including companies act. CA, CS and CWA should be able to perform all activities, even the one that currently only CS or CWA can do.
Allowing everyone to perform similar task will require expertise in each law and each subject. The 3 institutes should be merged to give the same level of expertise.
Pulkit, Surely the merger is never gonna happen, atleast I think so. But, Yes our practice is surely gonna suffer and there will be lesser new entrants in practice due to competition.