Professional Updates

Format of declaration from a director under rule 2(1)(C) clause viii  As per rule 2(1)(C) clause viii of of the Companies (Acceptance of Deposits) Rules, 2014 , Any amount received from a person who, at the time of the receipt of the amount, was a director of the company is not a deposit. However, the said director should give a declaration in writing to the effect that that the amount is not being given out of funds acquired by him by borrowing or accepting loans or deposits from others.  In simple words director can advance money/give loan to the company from " own funds " and not from funds borrowed by him/her. Declaration under Rule 2(1)(C) clause viii by the director  needs to furnish to the Company at the time of giving the money Here is the draft format of declaration under Rule 2(1)(C) clause viii for easy reference. You can modify the same as per your requirements. DECLARATION [Pursuant to Rule 2(c) (viii) of the Companies (Acceptance of Deposits) Rules, 2014]

Draft format of Financial Statements of Non-Corporate Entities The ICAI  has issued technical guide for preparation and presentation of financial statements of non corporate entities such as proprietary firm , partnership firm etc. Where in ICAI has prescribed format for preparation of financials which is in line with the Schedule III format for non-Ind AS following companies.  Currently, many non-corporate entities prepare financial statements using their own formats and judgments. To promote consistency and effective implementation of Accounting Standards, prescribed formats for these financial statements have been introduced. While the technical guide is advisory, following the prescribed format is recommended, especially for entities undergoing tax audits or seeking bank borrowings. If you are conducting a tax audit of non-corporate entities, strictly adhere to the guidelines and prepare financial statements using the prescribed format. Even if tax audits are not applicable, but yo