RDG Study Center

Payment of tax under GST The amount of tax, interest, penalty etc. payable by the person is required to pay either by utilizing balance available in electronic cash ledger or electronic credit ledger. The amount utilized for payment from the balance in electronic credit or cash ledger will be shown in GST PMT-1. Payment of tax, interest, penalty and other amounts [Section 49 of the CGST Act, 2017]: Section 49(1) of the CGST Act, 2017 every deposit made towards tax, interest, penalty, fee or any other amount by a person by internet banking or by using credit or debit cards or National Electronic Fund Transfer or Real Time Gross Settlement or by such other mode and subject to such conditions and restrictions as may be prescribed, shall be credited to the electronic cash ledger of such person to be maintained in such manner as may be prescribed. Section 49(2) of the CGST Act, 2017 the input tax credit as self-assessed in the return of a registered person shall be credited to his electr...

Levy and collection of tax under GST Section 9(1) of CGST Act, 2017 provides that there shall be levied of tax called Central Goods and Services Tax on all intra-State supplies of goods or services or both, except on the supply of alcoholic liquor for human consumption, on the value determined under section 15 of the CGST Act, 2017 and at such rates, not exceeding 20%, as may be notified by the Government on the recommendation of the Council and collected in such manner as may be prescribed and shall be paid by the taxable person. It means maximum GST rate not exceeding 40% (i.e. CGST 20% and SGST 20%) on all intra-state supplies of goods or services. Section 5(1) of IGST Act, 2017, provides that there shall be levied of a tax called Integrated Goods and Services Tax (IGST) on all inter-State supplies of goods or services or both at such rates not exceeding 40%. IGST on goods imported into India shall be levied and collected in accordance with the provisions of Section 3 of...

The audit may be classified into following groups:- On the basis of legislative control- Statutory audit, Government audit, Private audit On the basis of relation of auditor with management - External audit , internal audit. On the basis of periodicity of audit- Continuous audit, interim audit, periodical audit, occasional audit. On the basis of subject matter of audit- Financial audit, operational audit, cost audit, management audit. On the basis of coverage of audit- Complete audit, partial audit. On the basis of manner of checking- Standard audit, balance sheet audit. Legislative control:- Statutory audit is a compulsory audit and is to be carried out each year by an auditor called statutory auditor. In India the accounts of the joint stock company, banking companies, insurance companies, co-operative societies, trust institutions are subject to compulsory (statutory) audit.                    Government audit is ...

Communication is complete and perfect when the receiver understands the message in the same sense and spirit as the communicator intends to convey. But practically it has been noticed that such perfect and complete communication doesn't take place because of certain obstacles or other factors known as the communication barrier. The barriers of communication can be categorized as follows: (A) Semantic Barriers:- This barrier is concerned with problems and obstructions in the process of encoding and decoding the message into words or other impressions. Some of the semantic barriers are discussed below- Different language   Employees at organisation have no common language. This is obvious barrier when their is no common vehicle to convey ideas and feelings. This problem is more acute in culturally diversified organanisation and multinationals. Different context for words and symbols   The meanings of words are not in the words they are in u...

Advantages of Audit Note Book  Audit note book enables the auditor to record important points, which arise during the course of his audit; otherwise he might forget these points. An auditor can produce this book as a documentary evidence in a suit filed against him for negligence or misfeasance.  It facilitates the preparation of the audit report. If the assistant in charge is changed before the completion of a particular work, it acts as a guide and makes the completion of balance work easier. A credit note book makes the work of audit convenient because all the important details about audit can be recorded in this book and, as such, any change in the staff of the auditor does not disturb or dislocate the work of audit. It can help in making an assessment of the work of audit clerks. It provides a key to evaluate the efficiency of the audit staff. Disadvantages of Audit Note Book Very often, it creates misunderstanding between the client staff and ...

VARIOUS TYPES OF GST Central Goods and Services Tax Act, 2017 (CGST): CGST levied and collected by Central Government. It is a revenue source to the Central Government of India, on intra-state supplies of taxable goods or services or both. State Goods and Services Tax Act, 2017 (SGST): SGST levied and collected by State Governments/Union Territories with State Legislatures (namely Delhi and Pondicherry) on intra-state supplies of taxable goods or services or both. It is a revenue source of the respective State Government. Union Territory Goods and Services Tax (UTGST): UTGST levied and collected by Union Territories without State Legislatures, on intra-state supplies of taxable goods or services or both. GST – in Union Territories without Legislature: Supplies within such Union territory, Central GST will apply to whole of India and hence, it would be applicable to all Union Territories, with or without Legislature. To replicate the law similar to State GST to Union Territories wit...

INVESTIGATION AND ITS OBJECTS Investigation means an inquiry into the accounts of a business for a special purpose. It is an examination of the books of accounts of a business to know the actual financial position or earning capacity etc. According to Taylor and Perry "Investigation involves inquiry into facts behind the books and accounts into the technical, financial and the economic position of the business or organisation". It is a kind of special audit with a limited or extended scope according to the purpose for which it is conducted. Objects of investigation Following are some of the objectives for which investigation are conducted:- Investigation of behalf of an individual or a promoter of a joint stock company which wishes to purchase a private running business in order to ascertain the financial position and the earning capacity of the concern proposed to be taken over. Investigation on behalf of an incoming partner, who wants to know the earning c...

The co-operative banks are small-sized units which operate both in urban and non-urban centers. They finance small borrowers in industrial and trade sectors besides professional and salary classes. Regulated by the Reserve Bank of India, they are governed by the Banking Regulations Act 1949 and banking laws (co-operative societies) act, 1965. Functions of Co-operative Banks Co-operative banks also perform the basic banking functions of banking but they differ from commercial banks in the following respects 1. Commercial banks are joint-stock companies under the companies’ act of 1956, or public sector bank under a separate act of a parliament whereas co-operative banks were established under the co-operative society’s acts of different states. 2. Commercial bank structure is branch banking structure whereas co-operative banks have a three tier setup, with state co-operative bank at apex level, central / district co-operative bank at district level, and primary co-operative ...

Meaning of Audit note book: An Audit Note book is a book which is maintained by the audit clerk during the course of audit, the clerk comes across several difficulties or new points which he has to discuss with his senior or the auditor. He makes several inquiries which he thinks have not been satisfactorily answered. lastly he might forget these points, so he notes down these points in a book which is called by different names such as Audit Note book or audit memoranda. Contents of Audit Note book A list of books of account maintained by the client The name of the principal officers, their powers, duties and responsibilities The technical terms used in the business. The points which requores further explanation and clarification. The particulars of the missing vouchers, the duplicates of which have to be obtained. The mistakes and errors discovered. Totals or balances of certain books of account, Bank reconciliation statement . Notes and queries which might b...

MEANING OF AUDIT PROGRAMME An audit programme is a detailed plan of the auditing work to be performed, specifying the procedure to be followed in verification of each item in the financial statements and giving the estimated time required. An audit programme consists of the procedure undertaken or the particular work done by an accountant in carrying out an audit. It is a description, memorandum or an outline of the work done, prepared by an auditor for the guidance and control of the assistants. It provides a guide in arranging and distributing the work and in checking against the possibility of omissions. ADVANTAGES OF AUDIT PROGRAMME 1. All the important areas will be covered in the audit programme and thus there will be no chance of omitting any important area while conducting the audit. 2. The audit work will be allotted to the audit staff according to their efficiency and experience. 3. Audit programme facilitates better control and supervision of audit work. 4...