What after the Passing CA Final?

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After the Passing CA Final, the first decision to trouble CA's is to choose the career option of their choice. Confusion is created by choices and options. No other profession gives such versatility to you career. While audit and taxation are fields commonly associated with Chartered Accountants.

Hard work, talent, Luck, market conditions, opportunities, contacts, location, field of interest and 'being at the right place at the right time' will play a very significant role in your career. Don't take up a career only for the remuneration or the glamour attached to it. Do something that interests you. A job or practice is something that you will be doing day in and day out. If you don't enjoy what you are doing, it will become difficult to sustain yourself. A good Chartered Accountant has sound business skills and numerical ability. Also good communication skills, objectivity, independence of thought and integrity coupled with the ability to work under the pressure of deadlines form the ingredients of your magic potion. The profession is highly challenging as a career choice.

I have discussed here are just some of the popular opportunities available for CA's. Like we read in many of our books, 'this list is just illustrative and not exhaustive'. So let us evaluate and understand some of the conventional career options available for Chartered Accountants.

1. Practice: Practice is the real world of chartered accountant. In practice Audit, Taxation & Accounting is the main area of work, lot of CA’s firms earn main revenue from these area. A practicing chartered accountant gets more reputation compare to those who are in jobs. With the increasing trends of outsourcing huge opportunity in practice for CA’s.
Many CA’s worked in the industry as employee for some years & than start their own practice when they able to get work. Practice required a lot of patience in starting years. The success of practice depends on the following factors:
Quality of work we provide to your client.
Links in the industry
Under Audit, you can go for Statutory Audit, Internal Audit, Tax Audit, System Audit in Banks, SOX Audit, Information Technology Audit, Certification related work, etc. Taxation is again divided into Direct Taxation and Indirect Taxation. Under Direct Taxation, there is Tax filings & Compliances, Appeals & Proceedings, International Taxation, Transfer Pricing, Taxation Advisory with respect to Mergers & Acquisitions, etc. Those interested in Indirect Tax can explore the areas like excise & customs, service tax, M&A Advisory, valuation for duty purposes, IDT Compliances, Appeals & Proceedings, etc. 
Auditors and Tax advisers command a significant amount of respect from their clients. On the flip side, professionals often complaint that Audit tends to get monotonous over a period of time and that there is little room for creativity and innovation. Taxation requires you to be updated with all the latest amendments, notifications and judgments that keep coming on a daily basis. 

Main works of CA’s in practice: Auditing, Taxation, Accounting means preparing Balance sheet etc, Management Consultant, Investment Banker, CMA (Credit Monitoring Arrangement) Report, Search Report, Financial Management planning, Conducting Feasibility studies, Inventory Management, Advisor, Preparing Profitability statement, ROC filling Work, Incorporation of companies, liquidation of companies, Sales tax, CST related work and certification etc these are just some examples.
Main advantages of starting practicing are: You will build a base of clients for your future generation also, in job there is time limit of up to age you will work like 65 etc but in practice you can work up to u want. Practice always give a satisfaction that you are working for your own firm and the growth of which depend upon your hard work so you always try more and more hard work.

2. JOB: Job is also a better option for CA’s. With the increasing trend of globalization large No. of MNC’s are coming to India so scope for CA’s are also increasing. However in slowdown in economies sometime create lower demands but always remember that "WITH THE PASSING OF NIGHT A DAY WILL ALWAYS COME’’. Always hope for better is the key to growth. The people who are at the post of CFO in MNC’s or local companies are getting remuneration in Crores yearly. In job CA’s are getting a huge competition from M.B.A. (Fin).Always remember that CA’s are always better than M.B.A. (Fin).There are lot of CA’s who are working in aboard because Indian CA’s recognized as best world class professionals. When all the country adopted same Accounting Method like IFRS etc the demand for CA’s increase tremendously still huge demand for Indian CA’s in aboard like USA, CANADA, and AUSTRAILA etc.
The post occupy by CA’s are:
• Finance Manager
• Accounts Manager
• Internal Auditor

 These jobs lead to senior management roles such as:
• Financial Controllers
• Advisors
• Directors
• CEO,CFO, Head of Finance
 More conventional profiles for CA’s in the corporate sector are Finance  & Accounts, Corporate Finance, Internal Audit, Book-Keeping, Treasury, Restructuring,  Business Development etc. Remuneration in corporate  Sector in different industries is widely different. Again, many CAs find it  Difficult to move out of a particular profile or industry in the corporate  Sector. Top recruiters for CA’s in the industry are: Banks, KPO,  Investment Banking Firms, Big 4 i.e. PWC, E & Y, KPMG, Deloitte 

3. Teaching: Teaching is a noble profession. It not only provides you money only but reputation also like CA. One can take up teaching jobs in educational institutions for CAs, commerce graduation coaching classes, certain post graduation institutes or ICAI. Also, this need not even be a full time thing. You may get into academics along with your job/practice. There is also the option of starting up your own coaching institution with very reasonable investment. The job satisfaction in this sector is tremendous. It may not be financially rewarding in the initial stages, but in the long run it is at par or at times even better than any other sector. This field only for those people, who understand the problem of students, will want to continue in studies.

4. COMPETITIVE EXAMS: Many CA’s preparing for competitive exams like Civil services however it’s not easy job but always think that CA is also not an easy job. In civil services IAS, IRS, IPS main reputed services. This is the field where you directly serve the Society. Civil services exams are
most difficult or reputed exam in India. CA.Ruchika Katyal from Rothak (Haryana) is recent example she gets all India 3rank in CA-FINAL & than selected in civil services by getting all India 176 rank. Now civil services demanded math & English like other competitive exams in India. Indian civil services are considered as one of the premier services. All IAS or IPS or IFS aspirants must first clear examinations conducted by union public  service commission (upsc) or state civil services commissions. Stages of exams is as follow:

The Preliminary examination is an objective type of examination and is held in two papers viz. Paper-I and Paper-II. The syllabus of Paper-I comprises ¨ Current Events of National and International importance ¨ History of India and Indian National Movement ¨ Indian and World Geography ¨ Indian Polity and Governance ¨ Economic and Social Development ¨General Issues on Environmental Ecology ¨ General Science.
The syllabus for Paper-II consists of Comprehension ¨ Interpersonal skills including communication skills ¨ Logical reasoning and analytical ability ¨ Decision making and problem solving ¨ General mental ability ¨ Basic numeracy. ¨English language skills. The Preliminary examination is normally held in the month of May/ June for which the notification is released in the month of November/ December of the previous year. Approximately two lakh candidates appear at the examination, the results of which are announced in the month of August. Approximately and 10000-12000 qualify for Main Examination.

The Main Examination is divided into two parts - the written and the personality test. The written test, held in October/November comprises three compulsory parts, which are General Studies, General Essay an India Language and English. Apart from this, the candidate must choose two optional subjects for the examination. The question papers are of conventional essay type. Candidates who qualify at the written part of the main Examination have to appear for the personality test held in April/May. The personality test is the final stage where the candidate is interviewed to asses his/her personal suitability for a carrier in public service. The test is
intended to judge the mental calibre of the candidate. The marks scored in the written test and the personality tests are added to determine the final order of merit. Usually about 700 to 800 aspirants are certified for appointment. The selected aspirants, after training, are assigned to various positions.

5. BUSINESS: You can go for self business or if you have family business than it is better option. There is a one of famous thought with self business is ‘’Apna business to apna he hota h’’ means there is no such other better option like self business it may be trading or manufacturing. Many CA’s join their family business to grow it & to make it better however starting own business if you have not any background is very
difficult. Always think about the great businessmen’s of India like Dhirubhai ambani, Dhirubhai was not borne in a rich family & he was not so studied but he was a great businessman.
 ‘’If you think you will do it you definitely do it.’’

6. FURTHER STUDY: if you think CA’s is not sufficient than go for MBA from IIM’s or reputed institute in India like FMS Delhi, MDI Gurgaon. It will added value to your job & you can start practice in Management Consultancy.
You can go for Ph.D. from IIM’s or reputed university in India. All IIM’s or university given on ICAI website are recognised CA’s for PH.D. This qualification added value to your profile. CISA (Certified Information System Auditors) from America will certainly added value to your job if you want expert in IT related field. DISA from ICAI added value to your profession if you are practicing in India you will get system Audits if you are DISA qualified. LLB from a reputed university like Delhi University (DU). In DU a time of 6 to 9 P.M. is available for classes in south campus where some CA’s are studying in LLB.
There is some other professional course like CPA from America, CIMA from London, CFA, CS in India, and CMA in India.
These given above all course definitely added value not to your profile but in terms of money also. 


Declaration format by Transport Contractor for Income Tax

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Declaration to be obtained on the letter head of the Transport Contractor in case of non deduction of Tax at Source u/s 194C(6) of the Income Tax Act, 1961.

<<Mention the name and address of the company to whom declaration is furnished>>

Sub: Declaration for non deduction of Tax at Source u/s 194C(6) of the Income Tax Act, 1961.


Bank Interview sample questions

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Bank interview sample questions
This questions bank is very useful for all who are preparing for banking interview.


Penalties Under Service Tax Law

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Section 70 (1) late fee for delay in filing the return

If Half-yearly Service Tax Return (ST-3 / ST-3A) is filed after the due date of return filing then, the assessee is required to deposit late fees depending upon the period of delay. Such late fee can be a maximum of Rs. 20,000/- [ Please Refer: Section 70(1), Finance Act, 1994)


After Building Completion Certificate ~ Note on Service tax

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Section 66E of Chapter V of the Finance Act 1994 define Declared Services and as per Section 66E(b), construction of complex, building, civil structure or a part thereof, including a complex or building intended for sale to a buyer, wholly or partly, except where the entire consideration is received after issuance of completion-certificate by the competent authority`.

Information about Income Tax and Returns for salaried person

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What is Form 16?
Form 16 is a Certificate of TDS (Tax deducted at Source) i.e. tax deducted on your Salary by your Employer and deposited with the Government on your behalf. It reflects the details of your Gross Salary, the exempt allowances, your Other Income if any, details of Investments made and deductions availed.

Thereafter, your tax liability, TDS made, and tax payable/refundable (If any). Form 16 needs to be compulsorily issued if tax is deducted on your Salary. It is the responsibility of the Employer to issue Form 16.

How do I confirm the TDS shown in my Form 16 is actually correct?
It is the prime responsibility of the Employer to furnish accurate details in Form 16, failure of which attracts penalty to the employer. Nevertheless, tax authorities recently have empowered the deductees (Employee on whose Salary TDS is made) to cross‐verify the TDS details against the records available with the Government.
Tax Information Network (TIN; a division of the Income‐tax department) has introduced in recent years, the Form 26AS wherein any tax deducted at source on any of your income is reflected. Thus, you can cross‐verify whether the tax that has been deducted is actually paid to the government or not?

It is compulsory to file my Return of Income?
Yes. As per the Income‐tax Act, every person whose Gross Total Salary exceeds the basic exemption limit has to file a Return of Income (ROI). Failure to file the Return of Income
can expose to a penalty of Rupees Five Thousand and also, the laws do not permit payments of your Refunds (If any) when the Income Tax Return is not filed.
It is a good policy and a willful conduct to keep your financial and tax records updated so that you do not have to face hurdles while applying for Business loans, Home loans, Insurance policies, etc. Filing of Income tax Return should be seen as a good habit and not as compliance burden.

By when I have to file my Return of Income?
For salaried individuals the due date of filing of Tax Return is 31st July of Assessment Year (eg. For F.Y. 2014‐15, due date will be 31st July 2015 (extended this year only up to 31st August 2015)

I have not filed my earlier years Income‐tax Return. Can I file them now?
Yes. You can file Income‐tax Returns of earlier years as well. That means if you had not claimed your Refund of last year due to non‐filing of Income‐tax Return, you can still do it now!

I had not submitted few Investment proofs to my Employer. What do I do now?
The Employer is under obligation to consider all Investment proofs provided by you. However, if you miss on providing any details/proofs you can always claim the investments in your Income‐tax Return and claim your Refund, since your Employer has already deducted the extra tax on the investment‐portion for which you had not provided the proofs.

How do I reduce my tax liability?
There are many many Investment options which reduce your tax liability. Section 80C provides you relief till Rs. 1.5 lac. Various Investments/expenses enumerated under Sec. 80C. They are listed below:
a. Life Insurance premiums ( of self and family)
b. Provident Fund contributions (of self and family)
c. Mutual Fund contributions
d. Public Provident Fund (PPF)
e. Tuition Fees (of self and family)
f. Principal portion of EMI of the Housing loan
g. Fixed Deposit with Banks for 5 years
h. NABARD and other Bonds / Certificates as specified from time to time.
Following are additional deductions which are over and above the Rs.1.5 lac limit as mentioned above:
a. Health Insurance premium up to Rs.15,000/‐ (under section 80D) for senior citizen upto Rs. 20,000/‐.
b. Full Interest on Education loan u/s 80E
c. Donations u/s 80G
d. Interest portion of EMI of Housing loan up to Rs. 2 lacs (section 24). (Consequently,benefit can be availed on the principal and the interest expenses.)

How do I get maximum benefit of HRA?
House Rent Allowance is exempt the least of the following:
a. HRA actually received
b. Rent paid in excess of 10% of Salary
c. 50% of Salary (Rent paid in Metro City **D M C K ) or 40% of Salary (Non‐metro city)
**D‐ Delhi, M‐ Mumbai, C‐Chennai, K ‐ Kolkata

How does my House Property Loan help me in tax savings?
Repayment of house loan can be bifurcated in 2 parts:
a. Principal amount allowed till Rs. 1.5 lac u/s 80C
b. Interest amount allowed till Rs. 2 lacs u/s 24
If you have House loan on more than one property, the interest repaid on second home is exempt without any limit.

I had switched my employment during the year. What about my TDS made by earlier Employer?
It is the responsibility of the employee to furnish to the new employer the details of Salary and TDS made thereon by the previous employer. Only if such details are furnished, the new employer shall take into account the salary and TDS details and calculate TDS to be made in future accordingly.

How do I file my Return of Income?
People having only Salary and/or House Property and/or Other Income need to file their Income‐tax Return in Form ITR‐1. This may be submitted either physically (if taxable
income not exceeds Rs. 5 lacs) or online.