The ICAI’s new President, CA Nihar N Jambusaria said that the government has to balance between ease of doing business and ensuring compliance.
The ICAI is gearing up to push small audit firms to become globally competitive with fresh networking guidelines, legislative reforms and technical upgrades.
A financial and tax literacy drive in the country, particularly for the micro, small and medium enterprises (MSMEs) that often make mistakes out of ignorance will be a big service not just to businessmen but also to those who are auditing the accounts, CA Jambusaria said.
Post Covid, the expectations of the government and the society from CAs have enhanced. We plan to set up a groupon public advocacy. At the enactment stage itself, we can point out the hurdles and suggest possible solutions. It will help the government frame laws that are user and economy friendly. Also, the manner in which robotics and data analytics are taking over, our members should be on top of technology as without it they cannot serve clients effectively, he added.
“We are in discussions with the government on the amendments. We are suggesting reforms related to election (of the council members), education and training. I don’t think substantial amendments are coming. For instance, we have proposed that the industrial training period be increased from 12 to 18 months and students be trained in government departments for more exposure,” the ICAI president said.
He further stated that the government has to do some balancing between ease of doing business and ensure compliance with the law. By doing away with GSTaudit, the risk of non-compliance will increase. When GST calculations are verified and certified by an auditor, there is an assurance that the taxpayer has complied with the law. This is preventive care that is not avoidable.
“There is criticism that complaints don’t get addressed timely. What is the status of complaints filed with the ICAI? We have a process. When a complaint comes, the director-discipline has to write to the respondent. Even if he finds that the member is not guilty, then also he has to frame a prima facie opinion and put it before the disciplinary committee, he cannot by-pass this process,” he added.
Support our journalism by subscribing to Taxscan AdFree. We welcome your comments at firstname.lastname@example.org