Showing posts with label Taxation and Auditing. Show all posts
Showing posts with label Taxation and Auditing. Show all posts

Income year, Assessment year, Tax rate and TIN.

Posted by জানো নিজের জন্য-জানাও অন্যের জন্য On Thursday, June 13, 2013 0 comments



Income year:
                               The year of income for which tax is imposed.

Assessment year.

Assessment and collection

Assessment cycle:
1. Preparation for return.
2. Payment of tax assessment.
3. Submission of return.
4. Assessment of tax.
5. Issue of demand bodies.
6. Tax payment as far demand notice.
7. Imposition of penalty.
8. Recovery of tax including penalty.
9. Appeal and revision.
10. Tax refund.

Types of assessment:
A Regular:
1. On the basis of return.
2. On the basis of evidence.
3. Reports of CA.
4. Best judgement.
5. Directions of NBR.

B. Universal self assessment.
C. Provisional assessment.
D. Emergency assessment.
1. Discontinued business.
2. Persons leaving the country for good.
3. Income of death person.
4. Income of nonresidents.
E. Spot assessment.

Deduction of tax at source?



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Income Tax Authorities

Posted by জানো নিজের জন্য-জানাও অন্যের জন্য On 0 comments



1. Power and functions of DCT?
Ans:
Functions:
1. Issue of notices.
2. Return of notice.
3. Best judgement of tax.
4. Call for relevant information.
5. Extension of return submission time.
6. Power to inspect register.
7. Power of inquiry.
8. Other functions:
a. Entry charging.
B. Break open.
C. Search.

Powers:
1. Power to write off.
2. Power to impose penalty.
3. Power to appeal.
4. Power to call for wealth explanation.


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Assessee and residential status

Posted by জানো নিজের জন্য-জানাও অন্যের জন্য On Wednesday, June 12, 2013 0 comments




1. Who is assessee?
2. Who is liable to pay his return assessee?
3. Who is a person or institution who is liable to pay tax by the law?
4. What is the Physical status of assessee?
5. What is the Classification of assessee?
Ans:
Classification:
For individual:
1. Resident.
2. Non-resident.

6. What are the Effects of residential status?
Ans:
Effects of residential status:
1. Total income.
2. Tax rate.
3. Net tax liability
4. Tax rebate.

7. What are the Rights and obligation of assessee?
Ans:
Rights of an assessee:
1. General assessee.
2. Rights tender income tax ordinance.
Obiligation of an assessee:


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Classification of Income for Tax Purpose

Posted by জানো নিজের জন্য-জানাও অন্যের জন্য On Tuesday, June 11, 2013 0 comments


What is the Classification for income for income tax?
Ans:
          Income are two types which are given below:

  • 1.     Non-assessable (করযোগ্য নয়): Special exception of untaxed income. (Sec-19A, 19B)

  • 2.     Assessable (করযোগ্য):

A.    Tax Exempted:
1.     Tax free.
2.     Investment allowed.
B.     Tax exempted under specific head.


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Definition and Characteristics of Income and Capital and Revenue

Posted by জানো নিজের জন্য-জানাও অন্যের জন্য On 0 comments



1. What is income?
Ans:  
Income: Income is the monetary return coming in with expected regularity from definite sources.


2. What are the features of income?
Ans:
Features of income:
A. Revenue receipt.
B. Recurrent in nature.
C. Money or money’s work.
D. External source.
E. Definite source.
F. Windfall or unexpected or onetime occasional income.
G. Irrelevant of pending dispute.
H. Actual receipt.
I. Nature of source.
J. No bar to illegality.
K. Compulsory or optional receivable.
L. Receivable.
M. Imiginary or planned income.


3. What are the Sources of income?
Ans:
Sources of income:
1. Salary income (20).
2. Interest on security (22-23).
3. Income from house property (24-25).
4. Agricultural income (26-27).
5. Income from business or profession (28-36).
6. Capital gain (31-32).
7. Income from other sources (33-34).


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Cost Audit in Auditing, Chapter: 30, Page: 390

Posted by জানো নিজের জন্য-জানাও অন্যের জন্য On Thursday, May 16, 2013 0 comments



Cost Audit:

Cost Audit is the critical examination of cost records to express their adequacy, trust and fairness and compliance to cost accounting principles.

Purposes:

Purposes of cost Audit:

  • 1.     To verify arithmetic accuracy of cost records.
  • 2.     To see the complaints of cost accounting principles.
  • 3.     To verify that cool statements are drawn properly.
  • 4.     To find out expenditure is properly incurred.
  • 5.     To see the adherence of management policies.
  • 6.     To detect errors and frauds.
  • 7.     To examine the cost plus percentage contracts.
  • 8.     To assists in reducing the work of statutory auditor.



Distinction between Financial Audit and Cost Audit:


No.

Point of Distinction

Financial Audit

Cost Audit
1
Definition

Cost Audit is the critical examination of cost records to express their adequacy, trust and fairness and compliance to cost accounting principles.
2
Compulsion
Compulsory.
Not Compulsory.
3
Objective
Opinion on true and fair view.
Opinion in expenses wisely incurred.
4
Scope
Widen than cost Audit.
Not widen than financial Audit.
5
Stock verification
See the existence and value.
See the existence and value in addition adequacy.
6
Storage Costs
Entries and Costing.
Reasons and adequacy.
7
Issues of materials
It is not concerned.
Examine in detail.
8
Coverage
Financial aspects.
Cost aspects.
9
Concerned
Protection of shareholders' interest.
Interest of Management.
10
Report
To AGM.
To management.
11
Location of Work
Office.
Factory.
12
Certify
Arithmetic accuracy not utilization of resources.
Utilization of resources.


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