10 BCASNewsletter · CA. Ratanshaw Damanwala, CA. Shariq Contractor, CA. Gautam Nayak, CA. Anil...

BCAS Newsletter I December 2010 1

Vice-President’s Communiqué

7, Jolly Bhavan No. 2, New Marine Lines, Mumbai-400020. Tel. Nos. : 61377600; fax: 61377666 Email : [email protected]; Website : www.bcasonline.org

PROGRAMMES AT A GLANCE

Dear Members,

As the year 2010 draws to a close it may well attain the tag of a year of scams. It all started with the allegations of blatant corruption in regard to the expenditure on the Commonwealth Games. This was followed by the Adarsh Society scam in our State. Finally the 2G spectrum scam involving a central minister and many others with a possible involvement of `1,76,000 crore took the cake.

While these allegations are being enquired into by various agencies the demand for a JPC probe in the spectrum scam is not being acceded to. While all the charges of corruption are being probed into, what is of great concern is that the highest offices on whom the public relies to ensure the protection of ethical values are themselves of doubtful integrity or at least that is how they are perceived. The appointment of the Central Vigilance Commissioner is a case in point. While one accepts that all that is reported in the media need not be the gospel truth, it is essential that in regard to certain public positions people occupying them should be beyond even a shadow of doubt, which is not the position today.

The Bill on Direct Taxes Code presented in the Parliament has been referred to the Standing Committee. The Society held a one and half-day seminar on the DTC Bill, which received a tremendous response and was attended by nearly 450 participants. The Society has also made a detailed representation in regard to the Bill and we hope that our suggestions will be considered by the authorities concerned.

The Society has also embarked upon a new concept of study tours to various industries. After a successful visit to the General Motors, the Society has planned a visit to Infosys, Toyota and Wipro in January 2011. The response thereto is also encouraging.

The Society has released its calendar which has been welcomed. As we come to the end of the year, I must say that it has been a rather

Harnessing Talent and Providing Quality Service

Vol. 13 n No. 9 n December 2010

n A Monthly Newsletter of the Bombay Chartered Accountants’ Society

For Members only. For Private Circulation only. Price: ` 10

BCASNewsletterLecture Meetings

Venue I Walchand Hirachand Hall, 4th Floor, IMC, Churchgate, Mumbai- 400020.Day, Date & Time I Monday, 31st January 2011, 6.15 p.m.*Speaker I Shri Haribhai KothariSubject I (Non-Possessiveness) (Under the auspices of Amita Memorial Trust and jointly with The Chamber of Tax Consultants)* Fellowship over a cup of tea at 5.45 p.m.

Venue I Walchand Hirachand Hall, 4th Floor, IMC, Churchgate, Mumbai- 400020.Day, Date & Time I Wednesday, 19th January 2011, 6.15 p.m.*Speaker I Advocate V. SridharanSubject I Recent Important Decisions in Service Tax* Fellowship over a cup of tea at 5.45 p.m.

Venue I Rama Watumall Auditorium, K. C. College, 124, Dinshaw Wachha Road, Churchgate, Mumbai-400020Day, Date & Time I Monday, 10th January 2011, 6.00 p.m.*Speaker I Sis. Shivani (Brahmakumari)Subject I Unlocking the Treasures of Life (Under the auspices of Amita Memorial Trust and jointly with The Chamber of Tax Consultants)* Fellowship over a cup of tea at 5.30 p.m.

President: Mayur Nayak, 93242 71980;[email protected]

Vice-President: Pradip Thanawala, 98200 45632; [email protected]

Hon. Jt. Secretaries: Deepak Shah, 98201 48536; [email protected] Nitin Shingala, 98200 57694; [email protected]

Hon. Treasurer: Raman Jokhakar, 98208 77076, [email protected]

Eleventh Intensive Study Course onDouble Tax Avoidance Agreement................................................ 21-12-2010................ Jai Hind College, Churchgate ............................................................................. 22nd Residential Study Course on IFRS ........................................ 23-12-2010................ The Gateway Hotel, Ambad, Nashik - 422010..................................................... 3Study Tour to Bangalore .............................................................. 07-01-2011................ Hotel Bangalore International, Kumara Krupa Road, Bangalore........................... 5Half-day Workshop on MVAT Audit andLevy of VAT on Builders & Developers ........................................ 15-01-2011................ Gulmohar Hall, BCAS ......................................................................................... 4Effective Communication and Public Speaking Course................ 06-02-2011................ BCAS Conference Room ..................................................................................... 4Six-day Internal Audit Studies Foundation Course....................... 07-02-2011................ Parle International Hotel, B.N. Agarwal Market, Vile Parle(E) ............................. 6Two-day Orientation Workshop specially designed for Articled Students..................................................................... 25-02-2011................ BCAS Conference Room ..................................................................................... 5Lecture Meetings.......................................................................... 10-01-2011, 19-01-2011 & 31-01-2011........................................................................................................ 1

(Continued on page 2)

BCAS Newsletter I December 20102

Right to Information ClinicBCAS Foundation operates a Right to Information (RTI) Clinic on regular basis. RTI Clinic is operated by Mrs. Hema Sampat, a research scholar on the subject of RTI, Mr. A. K. Asher, Adv. & RTI activist and CA. Narayan Varma, Past President, BCAS.

The Clinic provides help and guidance to BCAS members as also to non-members, i.e., all citizens, for making applications under the RTI Act and also assists in resolving any related difficulties on the subject of RTI.

The RTI Clinic operates on every 2nd, 3rd and 4th Saturday from BCAS’s office – 11 a.m. to 1 p.m.

The next RTI Clinic days accordingly are 18th December 2010 and 8th, 15th and 22nd January 2011. Please call the Society’s office (Ms. Shernaaz: 61377600) to obtain a prior appointment.

Charitable Trust ClinicThe next Charitable Trust Clinic will be held on Friday, 7th January 2011 from 5 p.m. to 7 p.m. in the library room of BCA Society at New Marine Lines.

Chartered Accountants and Trustees interested in having their queries solved are requested to call the Society’s office (Mrs. Mistry: 61377620) and obtain a prior appointment, latest by noon on the day of the Clinic. Querists are also advised to bring along relevant papers like trust deeds, audited accounts, etc.

Panel of Advisors:CA. Ratanshaw Damanwala,CA. Shariq Contractor,CA. Gautam Nayak,CA. Anil Sathe and CA. Atul Shah

Accounts & Audit ClinicThe next Accounts & Audit Clinic will be held on Saturday, 8th January 2011, from 10.30 a.m. to 11.30 a.m. in the library room of BCA Society at New Marine Lines.

Persons interested in having their queries pertaining to accounting and auditing issues solved, are requested to send the queries by e-mail to [email protected] one week in advance and call the Society’s office(Mr. Rajaram: 61377613) to obtain prior appointment, at least a day before the day of the Clinic. Please note that the Panel will not answer any queries pertaining to tax issues.

Panel of Advisors:CA. Sanjeev Pandit, CA. Himanshu Kishnadwala and CA. Jayesh Gandhi

Eleventh Intensive Study Course on Double Tax Avoidance AgreementThe 11th batch of the Intensive Study Course on ‘Double Tax Avoidance Agreement’ (DTAA) will be held from 21st December 2010 to 8th March 2011.

This intensive course would be conducted in classroom style. There will be around 28 lectures in all, covering each article of DTAA with special emphasis on features like force of attraction, most-favoured nation and triangular cases and a test thereafter. The UN Model Convention will form the basis of the course.

Faculty will comprise senior professionals having expertise in the field of International Taxation. This may include the following persons, subject to their confirmation :

CA. Anil Doshi, CA. Dhishat Mehta, CA. Dilip Thakkar, CA. Darpan Mehta, CA. Geeta Jani, CA. Harish Motiwalla, CA. Keyur Shah, CA. Kishor Karia, CA. Jayesh Karia, CA. Mayur Nayak, CA. Naresh Ajwani, CA. Paresh Shah, CA. Pinakin Desai, CA. Sanjay Grover, CA. Shefali Goradia, CA. Rajan Vora, CA. Mayur Desai, CA. Sharad Jain, CA. Sushil Lakhani, CA. T. P. Ostwal, CA. Tarun Singhal, CA. Vishal Gada, CA. Shikha Gupta and CA. Yogesh Thar.

Dates : 21st December 2010 to 8th March 2011Time : Tuesdays and Thursdays — 6.00 p.m. to 8.00 p.m. Saturdays — 3.00 p.m. to 7.00 p.m.Venue : Jai Hind College, ‘A’ Road, Churchgate, Mumbai.Fees : `7,000 per participant (including `50 as contribution to BCAS Foundation).

Enrolment is restricted to 60 participants on first-come-first-served basis. To give benefit of this course to a larger spectrum of members, enrolment would be restricted to a maximum of 7 members from one organisation and additional members from that organisation will be kept on waiting list. They will be enrolled if vacancy is available prior to one week before the commencement of the course.

Enrolment fees are non-refundable, non-transferable and as per the Society’s policy, a participant is not permitted to substitute another person.

Enrolment form is printed on page 12.

mixed bag. While the continued good performance of the economy has been a fillip to the profession, all the instances of corruption have been a setback to the image of our nation. I hope that with a vigilant public the all-pervasive corruption in our country will reduce, if not vanish. On this optimistic note let me sign off for the last time this year.

I take this opportunity to wish members and their families a Merry Christmas and a Happy New Year !

With warm regards, Yours truly,

CA. Pradip Thanawala

International Taxation CommitteeChairman : CA. Pinakin Desai Co-Chairman : CA. Rajesh Kothari Convenors : CA. Gaurang Gandhi CA. Dhishat Mehta CA. Sushil Lakhani

Course Co-ordinators : CA. Gaurang Gandhi, CA. D.S. Sharma, CA. Dhaval Sanghavi

(Continued from page 1)


Jointly with Indian Merchants’ Chamber

International Financial Reporting Standards (IFRS) are fast emerging as the globally accepted accounting framework, with more than 100 countries having adopted or permitted use of IFRS.

In line with this emerging global trend, the Indian regulatory authorities have announced convergence of Indian GAAPs with IFRS for all public interest entities from April 1, 2011. With the convergence fast approaching due to the impending deadline, how many of us are really equipped to embrace the change with confidence ?

Realising the importance of the journey of convergence with IFRS, We at BCAS believe that the professionals will have to develop skills and be the catalysts. Therefore, after successful completion of First Residential Study Course on IFRS in December 2009, we are happy to announce the Second Residential Study Course on IFRS which is scheduled on 23rd, 24th and 25th December 2010. This Study Course is organised jointly with Indian Merchants’ Chamber.

The exclusive course on IFRS will cover case studies on application, implementation and in-depth study on issues relating to First-time Adoption, Revenue Recognition, and Applicability of Fair Value as well as issues specific to certain industries.

It is an important event not to be missed by the accounting professionals from practice and industry.

Details of the programme are as under :

Dates : December 23rd to 25th, 2010 Venue : The Gateway Hotel (Taj), P-17, MIDC, Ambad, Mumbai-Agra Road, Nashik - 422 010.Subjects :

Fees : For Members of BCAS / IMC : `16,500 (Single Occupancy — Only 5 rooms) `9,750 (Double Occupancy) `8,250 (Triple Occupancy — Only 5 rooms)

For Non – Members: `11,250 (Double Occupancy) maximum 10 participants For Members of Nasik: `7250 (without Hotel Stay) maximum 10 participants

Sr.No.

Papers for Group Discussion Paper Writers

1 First-time Adoption of IFRS in India CA. Sudhir Soni

2 Fair Value — Methodologies &Applicability in IFRS

CA. Ramesh Lakshman

3 Revenue Recognition (with focus on Infrastructure & Real Estate Sector)

CA. Khozema Anajwala & CA. Atul Deshmukh

Accounting & Auditing CommitteeChairman : CA. Himanshu Kishnadwala Convenors : CA. Mukesh Trivedi CA. Abhay Mehta CA. Suril Shah

2nd Residential Study Course on IFRS

The above fees are exclusive of any travel facility. In case, however, any participant is interested in transport facility, please indicate so. Arrangements for a bus shall be made if there are at least 25 persons opting for the same.

The fees include course material, stay and all meals from 23rd afternoon to 25th afternoon. Delegate substitution :In the event of inability of the registered delegate to attend the Study Course for any reason, he/she should promptly inform the Committee by email [[email protected]] indicating the ‘subject’ as ‘IFRS RSC 2010 — INABILITY TO ATTEND’ with a copy marked to [email protected], [email protected], [email protected] and [email protected].

BCAS/IMC may permit substitution at its discretion. The substitute too needs to be a member of BCAS/IMC. The Committee reserves the right not to admit any substituted person to the Study Course in the event a delegate substitutes him/her in his/her place without prior written consent of the Committee.

Refund :Once enrolled, requests for refunds will not be entertained.

Enrolment Form :Name: ……………………………………………………………..............BCAS Membership No.: ……………………………………..................Address: …………………………………………………………………………………………………………………………....….........................Age: ….............……. Tel (O): ……………………... Tel (R): ………...………………..Mobile: ……………………………………. Email: ……………………………………….

Single Occupancy Basis `16,500

Double Occupancy Basis `9,750

Triple Occupancy Basis `8,250

Room Partner : 1. ………………………………………............. 2. ……………………………………….............

Whether you would like to become a group leader? Yes No

If yes, please indicate for which paper………………………………………............. Transport Option :Yes : ………………… No : …………………

The decision of the Committee will be final in case of allotment of room and room partners.

Member / Journal / Student subscribers are requested to inform any change of address of correspondence by e-mail to [email protected] on or before 20th of every month. Intimation received after 20th of the month will be effective from the next month onwards. Please help us serve you better

Flash News


BCAS Suburban Study Circle

Date Day Topic Speaker

18-12-2010 Saturday Issues in VAT audit with reference to new VAT audit report

CA. Subhash Chhajed

08-01-2011 Saturday First-time adoption of IFRS

CA. Jayesh Gandhi

19-02-2011 Saturday Issues in CENVAT credit

CA. Sunil Gabhawalla

19-03-2011 Saturday Important Judgements under Transfer Pricing

CA. Nihar Jambusaria

Venue : Directi Internet Solutions Pvt. Ltd., Direct-I-Plex, Old Nagardas Road, Opp. Wilson Pens, Near Andheri East Subway, Andheri (East), Mumbai – 400069

Time : 5.00 p.m. to 7.00 p.m.

Whether Sales Tax (VAT) can be levied on contract for sale of immovable properties, particularly under construction premises ?

The matter is full of controversies. The reporting requirements for MVAT audit have also undergone several changes. The Department has recently modified the format of Audit Report i.e., Form 704, which requires adequate understanding of various clauses and the amendments thereto.

In order to understand the intricacies of new clauses, new notifications, recent developments and their implications, this half-day workshop is organised by the Committee.Members as well as non-members can enroll and take advantages of knowledge and experience of eminent faculty.

Day & Date : Saturday, 15th January 2011Time : 10.00 a.m. to 1.00 p.m.Venue : Gulmohar Hall, BCAS

Subject Speaker

VAT on under -construction contracts CA. Rajat Talati

Some Important Issues on MVAT Audit And Reporting in new Form 704

CA. Kiran Garkar

Fees : `530 for a member `800 for a non-member (including contribution of `30 to BCAS Foundation, cost of study material, if any, tea and snacks)


Half-day Workshop on MVAT Audit and Levy of VAT on Builders & Developers

Indirect Taxes And Allied Laws CommitteeChairman : CA. Govind Goyal Convenors : CA. Sunil Gabhawalla CA. Toral Mehta CA. Suhas Paranjpe

Effective Communication and Public Speaking CourseEffective communication will strengthen your existing relationships and help you form positive bonds in future interactions.

As a baby, you quickly discovered that crying brought your beloved Mom or Dad dashing to rock you in your cradle, feed you or even change your diaper.

You discovered that the louder and more often you cry, the faster they will show up at your crib ! As a child, the more you are willing to discuss where you were going with your parents, the better chance you have of receiving a few extra bucks as your pocket money. As a teenager, you develop special bonds with friends after spending countless hours talking to them on your mobile phones or in person discussing every aspect of your life.

As an adult, you understand that communicating effectively will bring you closer to your child, colleague, friend or parent. Public speaking skills are not only used in situation where you have to address a large group of people. Communication skills and public speaking skills are interrelated, hence, if you improve your public speaking skills, you also invariably improve your interpersonal communication skills with your peers and family.

Therefore, if you are ever presented with an opportunity to practise public speaking or learn public speaking skills, don’t shy away from it. Whether you are in the class, in the office or in any kind of setting that requires you to deliver a message to an audience, pick up your courage and go for it. Public speaking is a skill and the more you use it and practise it, the better you will become.

To improve your public speaking skills, even if you are a beginner, the Human Resources Committee of the Bombay Chartered Accountants’ Society has organised a workshop, under the auspices of Amita Memorial Trust, for the students on Public Speaking and Effective Communication. In this workshop we will cover the basic process of communication and some of the most difficult communication issues students and members face while interacting with other people. This workshop would provide constructive and effective feedback along with personal performance appraisal.

The details are as follows :

Members & Students

Day & Date Sunday 6th, Wednesday 9th & Sunday 13th February 2011.

Time 9.00 a.m. to 5.30 p.m.

Venue BCAS Conference Room, 7 Jolly Bhavan no. 2, New Marine Lines, Mumbai 400 020.

Faculty Murli Mehta and Vivek Patki

Fees `1550/- for Students `2050/-for Members {including `50 for BCAS Foundation}

Enrolment is restricted to 30 in both batches on first-come-first-served basis.


Human Resources CommitteeChairman : CA. Rajesh Muni Convenors : CA. Manish Sampat CA. Aliasgar Kherodawala CA. Ashish Fafadia


Two-day Orientation Workshop specially designed for Articled Students‘Our Articled Students are our greatest asset and we must put our time, effort and money into training, grooming, and encouraging our greatest asset.'

At the outset, kudos to each one of you for clearing two levels of traumatic examinations in the quest to become Chartered Accountants. Nervousness, excitement, the feeling of being lost in a crowd, fear of failure, are the many thoughts that every new articled clerk goes through. Now, is the time to apply all that you have learned, you can move from theory to practice. In other words . . . from books to computers ! . . . from pocket money to stipend !

The intention of this articleship period is to develop and sharpen all round skills of aspiring individuals to be a Chartered Accountant. Considerable time is spent by our members in the training and guidance of articled clerks.

To overcome the difficulties faced by our members in training the students and to boost the confidence of these students, the Human Resources Committee of the Bombay Chartered Accountants’ Society has organised a two-day Orientation Workshop specially aimed and targeted for the students. This workshop is specifically designed to give an introductory insight to the participants on a variety of topics which will assist them in their articled period and sharpen their skills to perform their duties in a more meaningful and responsible manner.

This orientation workshop will introduce the students to various aspects of practice; from technical areas (like audit, taxation, etc.) to behavioural aspects at office or interacting with clients. Details of the workshop are as under :

Day & Date : Friday, February 25, 2011 and Saturday, February 26, 2011.Time : 9.00 a.m. to 5.30 p.m. Venue : BCAS Conference Room, 7 Jolly Bhavan no. 2, New Marine Lines, Mumbai-400020. Fees : `1050 for students (including `50 for BCAS Foundation)

Enrolment is restricted to 30 on first-come-first-served basis.

Topics to be covered would be as follows :

Topics

1 Introduction to Accounting Standards

2 Introduction to Direct Taxes

3 Introduction to Service Tax

4 Introduction to MVAT

5 Introduction to Auditing

6 Introduction to Internal Audit

7 Importance of Communication and Inter-personal Skills

8 Code of conduct for articled students and ICAI regulations relating to students


Human Resources CommitteeChairman : CA. Rajesh Muni Convenors : CA. Manish Sampat CA. Aliasgar Kherodawala CA. Ashish Fafadia

The Seminar Committee of BCAS has organized a three day Study Tour to Wipro, Infosys & Toyota at Bangalore from 7th January to 9th January 2011. Study tour will accommodate only limited number of participants.

We invite members of BCAS to participate in this study tour. The enrolments for the study tour will be restricted to 40 members on first come first served basis. Enrolment for half day conference is now open (maximum 120 members on non-residential basis).Program Schedule:

Day & Date Time Particulars

Friday, 7th January 2011

10.00 a.m. Check In at the Hotel

11.00 a.m. to 1.00 p.m. Visit to Wipro, Bangalore

3.00 p.m. to 6.00 p.m. Visit to Infosys, Bangalore

Saturday, 8th January 2011

9.00 a.m. to 12.00 p.m. Visit to Toyota, en-route to Mysore

2.00 p.m. to 7.00 p.m. Visit to Infosys, Mysore

Sunday, 9th January 2011

10.00 a.m. to 1.00 p.m. Half Day Conference jointly with Karnataka State Chartered Accountants Association at Bangalore FIRST SESSION:IFRS-Transitional issues & implementation Challenges CA. Vinayak Pai, BangaloreChairman:CA. S. Krishna Swamy,BangaloreSECOND SESSION:International Taxation Ms. Bijal Ajinkya, MumbaiChairman: CA. Padamchand Khincha, Bangalore Followed by lunch

Evening Departure to Mumbai

Venue: Hotel Bangalore International, Kumara Krupa Road, Bangalore

Fees:• Study Tour with Hotel Stay - `5800/- (Cost includes transport from Bangalore Airport [one fixed time] to hotel & back, accommodation, all meals and cost of the Half day Conference on Sunday 9th January 2011 and `50 contribution to BCAS Foundation. Cost does not includes transportation to and from Bangalore.

• Only Study Tour (without Hotel Stay) - `2000/- (includes contribution of `50/- to BCAS Foundation)

• Half day Conference on 9th January 2011 - `650/- Bus will leave from Bangalore Airport at 8.15 am in the morning on 7th January 2011 and drop the participants to the Airport by 4.30 pm on 9th January 2011. Those who prefer to travel by train are requested to inform us in advance so that arrangements can be made for their pick up and drop.


Seminar Committee Chairman : CA. Uday Sathaye Convenors : CA. Krishna Kumar Jhunjhunwala CA. Rajeev Shah CA. Yatin Desai

Study Tour to Bangalore


The Reserve Bank of India has issued the following 6 Circulars.

A.P. (DIR Series) Circular No. 16, dated November 16, 2010Reporting Mechanism — Data of Authorised Dealer Category-I Branches

Presently, banks are required to inform RBI, via email, any changes in the categorisation of their branches dealing in foreign exchange. This Circular states that the path to the web directory has been changed from www.rbi.org.in to http://dbie.rbi.org.in. Full details of the path and options are given in Annex-II to this Circular.

A.P. (DIR Series) Circular No. 17, dated November 16, 2010Processing and Settlement of Export-related Receipts facilitated by Online Payment Gateways

This Circular allows banks, subject to certain conditions, to offer the facility of repatriation of export-related remittances by entering into standing arrangements with Online Payment Gateway Services Providers (OPGSP). Some of the important conditions are :

1. Banks offering this facility must carry out due diligence of the OPGSP.

2. This facility will only be available for export of goods and services of value not exceeding US $ 500 (US Dollar Five Hundred).

3. Banks providing such facilities must open a NOSTRO collection account for receipt of the export-related payments facilitated through such arrangements.

4. A separate NOSTRO collection account must be maintained for each OPGSP or the bank must be able to delineate the transactions in the NOSTRO account of each OPGSP.

5. Only the following debits be permitted to the NOSTRO collection account opened under this arrangement :

(a) Repatriation of funds representing export proceeds to India for credit to the exporter's account;

(b) Payment of fee/commission to the OPGSP as per the predetermined rates/frequency/arrangement; and

(c) Charge back to the importer where the exporter has failed in discharging his obligations under the sale contract.

6. Balances in the NOSTRO collection account must be repatriated and credited to the respective exporter’s account with a bank in India within seven days from the date of credit to the NOSTRO collection account.

7. Banks shall satisfy themselves as to the bonafides of the transactions.

8. OPGSP who are already providing such services as per the specific holding-on approvals issued by the Reserve Bank shall open a liaison office in India within three months from the date of this Circular. All new OPGSP must open a liaison office with the approval of the Reserve Bank before operationalising the arrangement.

A.P. (DIR Series) Circular No. 18, dated November 25, 2010A.P. (FL/RL Series) Circular No. 1, dated November 25, 2010Know Your Customer (KYC) Norms/Anti-Money Laundering (AML) standards/Combating the Financing of Terrorism (CFT)/Obligation of Authorised Persons under Prevention of Money Laundering Act, (PMLA), 2002, as amended by Prevention of Money Laundering (Amendment) Act, 2009 — Money changing activities

This Circular clarifies that with a view to preventing the system of

From RBIContributed by : CA. Gaurang Gandhi

purchase and/or sale of foreign currency notes/travellers’ cheques by Authorised Persons (AP) from being used, intentionally or unintentionally, by criminal elements for money laundering or terrorist financing, whenever there is suspicion of money laundering or terrorist financing or when other factors give rise to a belief that the customer does not, in fact, pose a low risk, AP are required to carry out full scale customer due diligence (CDD) before undertaking any money changing transaction.

It further provides the rules that have to be followed by the AP :(a) For filing Suspicious Transaction Report (STR) where it is

not possible to undertake CDD due to an existing business relationship.

(b) In case where transactions involve politically exposed persons (PEP), their family members or close relatives and individual transactions/business relationship of which the PEP is the ultimate beneficial owner.

The Circular makes the Principal Officer responsible for overseeing and ensuring overall compliance with regulatory guidelines on KYC/AML/CFT.

A.P. (DIR Series) Circular No. 19, dated November 25, 2010A.P. (FL/RL Series) Circular No. 2, dated November 25, 2010Know Your Customer (KYC) Norms/Anti-Money Laundering (AML) Standards/Combating the Financing of Terrorism (CFT)/Obligation of Authorised Persons under Prevention of Money Laundering Act, (PMLA), 2002, as amended by Prevention of Money Laundering (Amendment) Act, 2009 — Cross-Border Inward Remittance under Money Transfer Service Scheme.

This Circular clarifies that with view to preventing the system of cross-border inward money transfer into India from all over the world under the MTSS from being used, intentionally or unintentionally, by criminal elements for money laundering or terrorist financing activities, whenever there is suspicion of money laundering or terrorist financing or when other factors give rise to a belief that the customer does not, in fact, pose a low risk, Authorised Persons (AP) are required to carry out full-scale customer due diligence (CDD) before making any payment of any remittance.

It further provides the rules that have to be followed by the AP :(a) For filing Suspicious Transaction Report (STR) where it is unable

to identify/and/or obtain required documents.(b) In case where transactions involve politically exposed persons

(PEP), their family members or close relatives and individual transactions/business relationship of which the PEP is the ultimate beneficial owner.

The Circular makes the Principal Officer responsible for overseeing and ensuring overall compliance with regulatory guidelines on KYC/ AML/CFT.

A.P. (DIR Series) Circular No. 20, dated November 30, 2010A.P. (FL/RL Series) Circular No. 3, dated November 30, 2010Know Your Customer (KYC) Norms/Anti-Money Laundering (AML) Standards/Combating the Financing of Terrorism (CFT)/Obligation of Authorised Persons under Prevention of Money Laundering Act, (PMLA), 2002, as amended by Prevention of Money Laundering (Amendment) Act, 2009 — Money changing activities

This Circular advices Authorised Persons (AP) and their agents/ franchisees (for whom they are responsible) to not only take into account the risks arising from the deficiencies in the AML/CFT regime of certain jurisdictions, as identified in the Financial Action Task Force (FATF) Statement, issued from time to time, while dealing with the individuals or businesses from these jurisdictions but in addition also consider using publicly available information for identifying countries which do not or insufficiently apply the FATF Recommendations.


AP are further advised to examine the background and purpose, of transactions with persons (including legal persons and other financial institutions) from jurisdictions included in FATF Statements and countries that do not or insufficiently apply the FATF Recom-mendations and where the transactions have no apparent economic or visible lawful purpose written findings together with all the documents should be retained and made available to the Reserve Bank/other relevant authorities, on request.

A.P. (DIR Series) Circular No. 21, dated November 30, 2010A.P. (FL/RL Series) Circular No. 4, dated November 30, 2010Know Your Customer (KYC) Norms/Anti-Money Laundering (AML) Standards/Combating the Financing of Terrorism (CFT)/Obligation of Authorised Persons under Prevention of Money Laundering Act, (PMLA), 2002, as amended by Prevention of Money Laundering (Amendment) Act, 2009 — Cross-Border Inward Remittance under Money Transfer Service Scheme

This Circular advices Authorised Persons (AP) and their sub-agents (for whom they are responsible under MTSS) to not only take into account the risks arising from the deficiencies in the AML/CFT regime of certain jurisdictions, as identified in the Financial Action Task Force (FATF) Statement, issued from time to time, while dealing with the individuals or businesses from these jurisdictions but in addition also consider using publicly available information for identifying countries which do not or insufficiently apply the FATF Recommendations.

AP are further advised to examine the background and purpose of transactions with persons (including legal persons and other financial institutions) from jurisdictions included in FATF Statements and countries that do not or insufficiently apply the FATF Recom-mendations and where the transactions have no apparent economic or visible lawful purpose written findings together with all the documents should be retained and made available to the Reserve Bank/other relevant authorities, on request.

Study Circle/Group Indirect Tax Laws*

Day, Date & Time Monday, 20th December 2010, 6.15 p.m.

Subject • Decision of Hon’ble Supreme Court on Association of Leasing and Financial service companies reported in 2010-TIOL-87-SC-ST-LB

• Punjab & Haryana High Court in case of Shubh Timb Steel Pvt Ltd .Reported in 2010 –TIOL -765 (Renting of immovable property)

• Decision of Hon’ble Del. High Court in case of Indian Railways Catering & Tourism Corporation v/s GOI reported in 2010 TIOL 517 (if time permits)

Group Leader CA. Bharat Shemlani

Chairman Advocate Shailesh Gandhi

Convenors • CA. Rajkamal Shah • CA. Suhas Paranjpe

* Restricted to members of that particular Study Circle only.

Forthcoming Study Circle MeetingVenue: Gulmohar Hall, BCAS

BCASYoung at heart

in tune with the times…

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ENROLMENT FORMName :...................................................................................................................................................................................................Registration Number : ..........................................................................................................................................................................

Course in which admission is desired : I.P.C.C ( ) FINAL ( ) (Please tick appropriately)

Residential Address : .........................................................................................................................................................................

...................................................................................................... Tel. No. (M) : ........................... E-mail : ....................................

Details of Articleship : Date of Joining ................................... Estimated date of Completion ................................................Name of the Principal : .....................................................................................................................................................................Name and address of Firm where articleship is being done : ........................................................................................................ ...........................................................................................................Tel. No. (O) : ............................ Fax No. (O) ..........................Cash/Draft/Cheque No. ........................................................................................................ drawn on ......................................Bank,dated ......................................................... for an amount of 1500 is enclosed.

..............................................................erutangiS ............................................... : etaD ..

Notes : 1. Please send the above form along with cash/cheque/draft drawn in favour of ‘‘BOMBAY CHARTERED

ACCOUNTANTS’ SOCIETY’’, to the Society’s offi ce, at the address mentioned above. 2. We propose to have multifarious activities like Elocution Competition, Public Speaking, Self Development Education Courses,

Orientation Courses, etc. for interested Students. 3. Members are requested to keep the proforma of this sheet and send the same duly fi lled in by new articled trainee after his/

her enrolment in their offi ce.

Bombay Chartered Accountants’ Society ,7 Jolly Bhavan No. 2, New Marine Lines, Mumbai-400 020.

Phone 61377600 / Fax : 61377666 E-mail : [email protected] Web : www.bcasonline.orgHuman Resources Committee

Chairman : CA. Rajesh R. Muni Convenor : CA. Manish Sampat, CA. Aliasgar Kherodawala,

"We had joined the Revision Course, which has proved very much helpful to us. We cleared both groups in First Attempt"Miss Janhavi Thatte & Miss Komal Jain

I.P.C.C. & FINAL C.A. STUDENTS’ EDUCATION CRASH COURSES (Jointly with Western India Regional Council of The Institute of Chartered Accountants of India )

For May & November 2011 Examinations 1. Courses for :

laniF .A.C .C.C.P.I .A.C gnitropeR laicnaniF — gnitnuoccA decnavdA / gnitnuoccA —

tnemeganaM laicnaniF cigetartS — swaL ynapmoC & ssenisuB — gnitiduA decnavdA — .M.F & gnitnuoccA tsoC —

swaL deillA & setaroproC — noitaxaT — ycnatnuoccA tnemeganaM decnavdA — ecnarussA & gnitiduA —

— Information Technology & Strategic Management — Information Systems Control and AuditsexaT tceriD —

sexaT tceridnI — 2. Course Co-ordinators : CA. Chandrakant Ruparelia, CA. Neel Majithia 3. Fees : 1500 per student for I.P.C.C or Final (Total, and not per Subject, Including cost of Study Materials) 4. Timings & Venue : 6.15 p.m. to 8.30 p.m. on weekdays (Monday to Friday) at Sydenham College, ‘B’ Road,

Churchgate. 5. Duration : From January 17 to March 31, 2011. 6. Enrolment from : October 15, 2010 7. Faculty : Eminent personalities possessing rich experience in their respective fi elds.

For further information kindly contact Ms. Shernaaz or Mr. Rajaram on Phone 61377600 and 61377613 respectively during offi ce hours.

CA. Ashish Fafadia


Sr. No. Name of the Publication - Books / CDs / Papers Price ` Postage `1 Harmful Tax Competition - An Emerging Global Issue 100 25

2 CD on the discussions conducted at the 39th RRC 2006 by various paper writers 100 20

3 Right to Know - The Right to Information Act, 2005 (Pack of 10 booklets)(Cheque to be drawn in favour of ‘BCAS Foundation’ in case of sr. no. 3 only)

50 15

4 Challenges of Change - Always Ahead Diamond Jubilee Conference Paper 125 25

5 Service TaxImport and Export of Services (Revised and updated up to December 2008) 55 30

6 International Tax & Conference 2009, Lavasa Members

Non-Members700800

100100

Recent Publications7 Taxation of Charitable Trusts Revised & Updated up to July, 2010 170 100*

8 Laws & Business – A Compendium (3rd Edition 2010) 240 100*

9 Video DVD of the Panel Discussion held on 7.8.2010 on Service Tax on Builders and Developers

350 20

10 Papers discussed at the International Tax & Finance Conference 2010Members

Non-Members500600

100100

11 CD of Study Material of Seminar on NBFCs (Including audit aspects) 350 20

* Within Mumbai postage `60

(Signature)

Name : ..................................................................................................................................................................................................................Address : ..............................................................................................................................................................................................................E-mail :..................................................... Mobile : .................................................... Tel. : ..................................... Fax : ..................................BCAS Memb. No. : .................................. Tel. (O) : ................................................... Tel. (R) : ............................... Fax : ...................................Choice of food (wherever applicable) .......... Jain Non-Jain Cash/Draft/ Cheque no. .................. Drawn on ............................................................................................. Bank,Dated ......................... for an amount of r........................................................ is enclosed.

Please fill in the above form appropriately and send the same to the Society’s office along with the requisite payment.Please mention your name and membership number on the reverse side of the local cheque/at par cheque/Demand Draft.Kindly note that the cash counter timing are from 10.30 a.m. to 5.30 p.m. on Monday to Friday and 10.30 a.m. to 1 p.m. on Saturday. The lunch time is 1.30 p.m. to 2 p.m. Members are requested to co-operate in this regard. Cancellation Policy: Kindly note that no refund will be given in case of cancellation for any reason and no substitute will be allowed, once the enrolment form is submitted.

Date : ................

STUDY COURSE : Eleventh Intensive Study Course 21-12-2010 r7000 per participant............ Effective Communication and 6-02-2011 r1550 for students.......................... on DTAA Public Speaking Course r2050 for members.........................

WORKSHOP : Half-day Workshop on MVAT Audit and 15-01-2011 r530 for members....... ......... Orientation Workshop 25-02-2011 r1050............................................. Levy of VAT on Builders & Developers r800 for non-members......... for Articled Students

Study Tour to Bangalore 7-01-2011 r5800 with hotel stay ........... r2000 without hotel stay ......Half-day Conference 9-01-2011 r650 .....................................

Combined Enrolment Form

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Edited, printed & published by Narayan Varma on behalf of Bombay Chartered Accountants’ Society, Mumbai-400020. Printed at Spenta Multimedia, Mumbai-400013.

Registered with the Registrar of Newspapers for India under R.N. 68365/98 Licensed to post without prepayment : Licence no. MR/Tech/WPP-158/South/09-11.

Regd. No. MH/MR/South-88/2009-11Posted at Mumbai Patrika Channel Sorting Office, Mumbai-1

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