CA Final Amendments for May 2021 Exams by ICAI

[ad_1]

CA Final amendments for May 2021 exams are available for download which has been issued by the Institute of Chartered Accountants of India (ICAI). The next examinations of Chartered Accountancy Final course will be held in May 2021.

All updates till 31st October, 2020 is applicable for final level examinations to be held in the month of May 2021. CA Institute announces the applicability of Standards, Guidance Notes and Legislative Amendments etc. for May, 2021 – Final Examination.

Accordingly, you may download topic wise ICAI CA Final amendments for May 2021 exams. Accounting Standards, Standards on Auditing (SAs), Guidance Notes (GNs), Circulars, Notifications, Companies Act and Finance Act etc.

You may download CA Final amendments applicable for May 2021 exams under new syllabus as well as old syllabus. In this article you will be able to learn the recent amendments, latest updated notes and news for May 2021 examination.

You must go through the latest CA Final amendments and CA Final updates happened at least 6 months prior to the commencement of your CA Final Course examination. Accordingly, you may download the following resources provided by CA Institute on official website ICAI.org under Board of Studies (BoS) Knowledge Portal:

  1. Study Materials (latest edition)
  2. Additional Reading material
  3. Supplementary Study Materials
  4. CA Final Practice Manual
  5. Compilation of Suggested Answers
  6. CA Final RTP (Revision Test Papers); and
  7. Download MTP (Mock Test Papers) with solutions
  8. CA Final books recommended for May 2021 exams

CA Final Exam Time Table May 2021 | Old and New Course

CA Final Amendments May 2021 – New Syllabus

Paper-1 FR (Financial Reporting)

Download FR Study Material November 2020 Edition that is applicable for May 2021. You should go through accounting RTP May 2021 for CA Final amendments. [Refer ICAI Announcement dated 08.01.2021]

The relevant Amendments / Notifications / Circulars / Rules issued by the Companies Act, 2013 up to 31st October, 2020 will be applicable for May, 2021 Examination. Accordingly, amendments notified by MCA on 24th July, 2020 is applicable for May, 2021 examination.

Following topics are excluded for CA Final May 2021 exams:

  1. Indian Accounting Standard (Ind AS) 16: Property, Plant and Equipment
    • Appendix B- Stripping Costs in the Production Phase of a Surface Mine
  2. Indian Accounting Standard (Ind AS) 37: Provisions, Contingent Liabilities and Contingent Assets
    • Appendix A: Rights to Interests arising from Decommissioning, Restoration and Environmental Rehabilitation Funds
    • Appendix B: Liabilities arising from Participating in a Specific Market — Waste Electrical and Electronic Equipment
  3. Indian Accounting Standard (Ind AS) 29: Financial Reporting in Hyper inflationary Economies.
  4. Indian Accounting Standard (Ind AS) 104: Insurance Contracts
  5. Indian Accounting Standard (Ind AS) 106: Exploration for and Evaluation of Mineral Resources.
  6. Indian Accounting Standard (Ind AS) 114: Regulatory Deferral Accounts
  7. Analysis of financial statements based on Accounting Standards.

Paper-2 SFM (Strategic Financial Management)

Download SFM Study Material November 2020 Edition and CA Final SFM RTP May 2021. [Refer ICAI Announcement dated 08.01.2021]

Important Topics: CA Final SFM RTP May 2021 covers questions from almost entire syllabus. Important topics are Security Valuation, Portfolio, Mutual Fund, Derivatives, Foreign Exchange, International Financial Management, IRR, Corporate Valuation, Mergers, Acquisitions and Corporate Restructuring.

Paper-3 AAPE (Advanced Auditing and Professional Ethics)

Download AA and PE November 2020 edition of Study Material for May 2021 examination. CA Final auditing RTP for May 2021 is also useful. [Refer ICAI Announcement dated 08.01.2021]

Statement on Reporting under Section 227(1A) of the Companies Act, 1956 (Section 143(1) of the Companies Act, 2013). [Refer ICAI Announcement dated 15.7.2020]

List of applicable Engagements and Quality Control Standards on Auditing for May 2021 Exam

  1. Quality Control for Firms that Perform Audits and Reviews of Historical Financial Information, and Other Assurance and Related Services Engagements [SQC 1]
  2. Overall Objectives of the Independent Auditor and the Conduct of an Audit in Accordance with Standards on Auditing [SA 200]
  3. Agreeing the Terms of Audit Engagements [SA 210]
  4. Quality Control for Audit of Financial Statements [SA 220]
  5. Audit Documentation [SA 230]
  6. The Auditor’s responsibilities Relating to Fraud in an Audit of Financial Statements [SA 240]
  7. Consideration of Laws and Regulations in An Audit of Financial Statements [SA 250]
  8. Communication with Those Charged with Governance (Revised) [SA 260]
  9. Communicating Deficiencies in Internal Control to Those Charged with Governance and Management [SA 265]
  10. Joint Audit of Financial Statements (Revised) [SA 299]
  11. Planning an Audit of Financial Statements [SA 300]
  12. Identifying and Assessing the Risks of Material Misstatement through Understanding the Entity and its Environment [SA 315]
  13. Materiality in Planning and Performing an Audit [SA 320]
  14. The Auditor’s Responses to Assessed Risks [SA 330]
  15. Audit Considerations Relating to an Entity Using a Service Organization [SA 402]
  16. Evaluation of Misstatements Identified during the Audits [SA 450]
  17. Audit Evidence [SA 500]
  18. Audit Evidence – Specific Considerations for Selected Items [SA 501]
  19. External Confirmations [SA 505]
  20. Initial Audit Engagements-Opening Balances [SA 510]
  21. Analytical Procedures [SA 520]
  22. Audit Sampling [SA 530]
  23. Auditing Accounting Estimates, Including Fair Value Accounting Estimates, and Related Disclosures [SA 540]
  24. Related Parties [SA 550]
  25. Subsequent Events [SA 560]
  26. Going Concern (Revised) [SA 570]
  27. Written Representations [SA 580]
  28. Using the Work of Another Auditor [SA 600]
  29. Using the Work of Internal Auditors (Revised) [SA 610]
  30. Using the Work of an Auditor’s Expert [SA 620]
  31. Forming an Opinion and Reporting on Financial Statements (Revised) [SA 700]
  32. Communicating Key Audit Matters in the Independent Auditor’s Report (New) [SA 701]
  33. Modifications to the Opinion in the Independent Auditor’s Report (Revised) [SA 705]
  34. Emphasis of Matter Paragraphs and Other Matter Paragraphs in the Independent Auditor’s Report (Revised) [SA 706]
  35. Comparative Information – Corresponding Figures and Comparative Financial Statements [SA 710]
  36. The Auditor’s Responsibility in Relation to Other Information (Revised) [SA 720]

List of applicable Guidance Notes and other publications for May 2021 Exam

  1. Guidance Note on Audit under Section 44AB of the Income-tax Act.
  2. Guidance Note on Audit of Banks.
  3. Guidance Note on Audit of Internal Financial Controls over Financial Reporting.
  4. Guidance Note on the Companies (Auditor’s Report) Order, 2016. [CARO-2016]

Other Important amendments

  • The relevant notified Sections of the Companies Act, 2013 and legislative amendments including relevant Notifications / Circulars / Rules / Guidelines issued by Regulating Authority up to 31st October, 2020 will be applicable for May, 2021 Examination.
  • SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
  • Companies (Auditor’s Report) Order, 2016 are applicable for May 2021 exams.
  • Audit provision under GST Laws are applicable for May 2021 Examination.
  • Revised Statement on Peer Review and Quality Review are applicable for May 2021 Examination
  • Revised Chapter on Professional Ethics based on Code of Ethics 2020 is applicable for May 2021 Examination.

List of topic-wise exclusions from the syllabus

  • Chapter on Special Audit Assignment topic has been excluded.
  • SA-800: Special Considerations-Audits of Financial Statements Prepared in Accordance with Special Purpose Framework.
  • SA-805: Special Considerations-Audits of Single Purpose Financial Statements and Specific Elements, Accounts or Items of a Financial Statement.
  • SA-810: Engagements to Report on Summary Financial Statements
  • SRE-2400: Engagements to Review Historical Financial Statements (Revised)
  • SRE-2410: Review of Interim Financial Information Performed by the Independent Auditor of the Entity.
  • SAE-3400: The Examination of Prospective Financial Information.
  • SAE-3402: Assurance Reports on Controls At a Service Organisation.
  • SAE-3420: Assurance Engagements to Report on the Compilation of Pro Forma Financial Information Included in a Prospectus (New)
  • SRS-4400: Engagements to Perform Agreed Upon Procedures Regarding Financial Information
  • SRS-4410: Compilations Engagements (Revised)

Following Guidance Notes and other publications are excluded

  1. Code of Ethics publication is excluded whereas Chapter 18 on Professional Ethics is in syllabus
  2. Guidance Note on Independence of Auditors.
  3. Guidance Note on Audit of Inventories.
  4. Guidance Note on Audit of Debtors, Loans and Advances.
  5. Guidance Note on Audit of Investments.
  6. Guidance Note on Audit of Cash and Bank Balances.
  7. Guidance Note on Audit of Liabilities.
  8. Guidance Note on Audit of Revenue.
  9. Guidance Note on Audit of Expenses.
  10. Guidance Note on Computer Assisted Audit Techniques (CAATs).
  11. Guidance Note on Audit of Payment of Dividend.
  12. Guidance Note on Audit of Capital and Reserves.
  13. Guidance Note on Reporting under section 143(3)(f) and (h) of the Companies Act, 2013.
  14. Guidance Note on Reporting on Fraud under section 143(12) of the Companies Act, 2013.

Paper-4 CEL (Corporate and Economic Laws)

The provisions of the Companies Act, 2013 along with significant Rules/ Notifications/ Circulars/ Clarification/ Orders issued by the Ministry of Corporate Affairs and the laws covered under the Economic Laws, as amended by concerned authority, including significant notifications and circulars issued up to 31st October, 2020 are applicable for May 2021 examination.

Part-I: Corporate Laws

Section A- Company Law

Following sections of the Companies Act are excluded- 337351, 348351, 359365, 366378, 396405, 408-419, 441,448- 449, 451-453, 456 -470 and provisions related to Producer Companies.

Whereas, the Relevant rules of the Companies Act to the extent covered in the November 2020 edition of the Study Material, shall only be relevant for the said examinations. All other Rules of the Companies Act, 2013 are excluded.

Section B- Securities Laws- Chapter 1: The Securities Contract (Regulation) Act, 1956 and Securities Contract (Regulation) Rules, 1957

The following Securities Contract (Regulation) Rules, 1957 to the extent covered in the study material, shall only be relevant for the said examinations:
3, 4, 4A, 5, 5A, 6, 7, 8, 12, 13, 14, 15, 16, 17, 17A, 19 & 21. All other rules of the Securities Contract (Regulation) Rules, 1957 are excluded.

Following sections of the SCRA, 1956- Sections 4A, 4B, 20, 25, 26B, 26D, 26E, 29, 29A, 30, 30A, 31, 32 are excluded.

Section B- Securities Laws- Chapter 2: The Securities Exchange Board of India Act, 1992 and SEBI (LODR) Regulations, 2015

Following provisions of the SEBI Act, are excluded – Sections 2(1)(b), 2(1)(c), 2(1)(d), 2(1)(da), 2(1)(f), 2(1)(fa), 2(1)(g), 20, 21, 25, 28 & 33. SEBI (LODR) Regulations, 2015 to the extent covered in the study material, shall only be applicable for the examination.

Part-II: Economic Laws

Economic Laws Chapter 1: The Foreign Exchange Management Act, 1999

The FEMA, 1999 along with the following Rules/Regulations to the extent covered in the study material shall only be relevant for the said examinations-

  • Fem (Permissible Capital Account Transactions) Regulations, 2000
  • Fem (Current Account Transactions) Rules, 2000
  • FEM (Export of Goods & Services) Regulations, 2015
  • Overseas Direct Investment
  • Import of Goods and Services
  • External Commercial Borrowing Policy

Following provisions of the FEMA, 1999 is excluded for the examination-Sections 2(cc) & Section 2(gg), 16(2)- 16(6) ,17(4) 17(6), 19 to 34, 37(2) – 37(3), 37A, 45, 46, 47 & 48.

Economic Laws Chapter 2: SARFAESI Act, 2002

Entire content to the extent covered in the study material shall only be relevant for the said examinations covering-

  • Relevant definitions covered in the Study Material
  • Provisions up till section 19

Remaining provisions (i.e. section 20 and onwards) are excluded.

Economic Laws Chapter 3: Prevention of Money Laundering Act, 2002

Following Sections are excluded for examination: 2(1)(a), (b)(c), (d), (da), (f), (g), (h), (i), (ia), (ib), (j), (ja), (k), (m), (na), (o), (q), (r), (rc), (s), (sa), (sb), (sc), (t), (va), (z) , (zb) & (2)- Definitions, 6(3)-6(15), 7, 10, 11, 16 to 24, 35(1), 35(3)- 35(5), 36- 37, 39- 40, 49 to 54, 58A – 58B, 59-60, 61, 67-68, 73, 74 & 75. Rules related to PMLA is excluded in its entirety.

Economic Laws Chapter 4: Foreign Contribution Regulation Act, 2010

The entire content included in the Study Material shall only be relevant for the said examinations. Rules related to FCRR, 2011 is relevant to the extent covered in the the Study Material.

Following Sections are excluded for examination: Section 2(1)(a), (b), (c), (d), (e), (f), (k), (l), (o), (p), (q), (s), (t), & (u)- Definitions, 21, 23 – 27, 44, 45, 49, 53 & 54.

Economic Laws Chapter 5: The Arbitration and Conciliation Act, 1996

The entire content included in the Study Material shall only be relevant for the said examinations.

Economic Laws Chapter 6: The Insolvency and Bankruptcy Code, 2016

Entire content to the extent covered in the study material shall only be relevant for the said examinations covering-

  • Relevant definitions in the Study Material
  • Provisions up till section 59

Provisions from section 60 onwards are excluded.

Rules related to Insolvency and Bankruptcy Code, is relevant to the extent covered in the Study Material.

Paper-5 SCMPE (Strategic Cost Management and Performance Evaluation)

Download SCM & PE Study Material 2020 Edition is applicable for May 2021. You should go through costing RTP May 2021 for CA Final amendments. [Refer ICAI Announcement dated 08.01.2021]

Paper-6 EP (Elective Papers)

Paper-6A RM (Risk Management)

The pattern of examination for this paper is open-book and case study based. The entire content included in the August 2019 edition of the Study Material shall be relevant for the May 2021 examination.

Paper-6B FSCM (Financial Services and Capital Markets)

The pattern of examination for this paper is open-book and case study based. Part A of the Study Material of Financial Services and Capital Markets (November 2020 Edition) shall be relevant for the May 2021 examination.

Following SEBI Regulations (excluding Schedules) revised upto 30th June 2020 [covered in Part B of the Study Material (September, 2020 Edition)] are also relevant:

  • SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015
  • SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018
  • SEBI (Prohibition of Insider Trading) Regulations, 2015
  • SEBI (Buy Back of Securities) Regulations, 2018
  • SEBI (Mutual Funds) Regulations, 1996

Paper-6C IT (International Taxation)

  1. Applicability of amendments made by Finance Act

    As far as the applicability of Finance Act is concerned, the amendments made by the Finance Act of a particular year would be applicable for the May and November examinations of the next year. Accordingly, the direct tax laws, as amended by the Finance Act, 2020, would be applicable for May, 2021 examinations. The relevant assessment year for May, 2021 examinations is A.Y.2021-22. This would be relevant as far as the topics on International Taxation pertain to the Income-tax Act, 1961, equalization levy and the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015.

    However, if the case study based question requires computation/determination relating to any earlier assessment year also, then, the relevant provisions pertaining to that year would be given in the question itself. In the alternative, the question may mention that the relevant provisions in the earlier year were the same as they are for A.Y.2021-22.

  2. Applicability of amendments made by circulars, notifications, press releases/press notes and other legislations.

    Students are expected to be updated with the notifications, circulars, press releases/press notes issued and other legislative amendments made in direct tax laws upto 6 months prior to the examination. For instance, for May, 2021 examination, significant notifications, circulars, press releases/press notes issued by the CBDT/Central Government and legislative amendments made upto 31st October, 2020 would be relevant. Accordingly, the amendments made by the Taxation and Other Laws (Relaxation and Amendment of Certain Provisions) Act, 2020, would be applicable for May, 2021 examinations. However, certain provisions which provide for extension of time for making investment or filing return etc. owing to COVID-19 pandemic are not applicable for examination.

  3. Applicability of provisions of direct tax laws dealt with in Final (New) Paper 7 while addressing issues and making computation in case study based questions in Final (New) Paper 6C.

    The questions based on case study in the Elective Paper 6C: International Taxation may involve application of other provisions of direct tax laws dealt with in detail in Paper 7: Direct Tax Laws and International Taxation, which the students are expected to be aware of. Students may note that they are expected to integrate and apply the provisions of direct tax laws (dealt with in Final Paper 7: Direct Tax Laws and International Taxation and in the Elective Paper 6C: International Taxation) in making computations and addressing relevant issues in questions raised in the Elective Paper 6C on International Taxation.

    Therefore, the November, 2020 edition of the Study Material for Final Paper 6C: International Taxation available at https://www.icai.org/post.html?post_id=16967 and Final Paper 7: Direct Tax Laws and International Taxation available at https://www.icai.org/post.html?post_id=16965 are relevant and important for answering case-study based questions in Paper 6C. These publications and updates have to be read along with the relevant bare Acts and Rules to address issues and make computations in case study based questions. The initial pages of the Study Material of Paper 6C available at https://resource.cdn.icai.org/62360bos50456-ip.pdf contains the link to the important webpages of the income-tax department and the relevant bare Acts and Rules.

  4. Scope of coverage of certain topics

    As regards certain topics on International Taxation, namely, Tax Treaties: Overview, Features, Application & Interpretation and Anti-Avoidance Measures, only the content as covered in the November, 2020 edition of the Study Material would be relevant for May, 2021 Examination. US Model Convention is excluded from the scope of the topic “Overview of Model Tax Conventions” by way of Study Guidelines.

    It may be noted that if a case study based question involves application of a double taxation avoidance agreement (DTAA), the extract of the relevant article(s) of the DTAA would be given in the question paper. Alternatively, the question may mention that the DTAA is in line with the OECD/UN Model Tax Convention, in which case, the students have to refer to the relevant article(s) of the Model Tax Convention. Students are expected to have the ability to interpret the article(s) of the DTAA in answering case study based questions.

Paper-6D EL (Economic Laws)

All the significant Rules/ Notifications/ Circulars/ Clarification/ Orders issued in the specified Acts covered under the Economic Laws, up to 31st October 2020, are applicable for May 2021 examination.

World Trade Organization – Entire chapter is excluded.

Chapter-1: The Competition Act, 2002 and Rules/Regulations – Sections 23, 24, 25, 34, 37 and 40 of Competition Act, 2002 are excluded.

Chapter-2: Real Estate (Regulation and Development) Act, 2016 and Rules/Regulations – Regulations pertaining to RERA are excluded.

Chapter-3: The Insolvency and Bankruptcy Code, 2016 and Rules/Regulations –

  • Following sections are excluded of the Notified chapters of the Code: 3(2), 3(3), 3(5), 3(14), 3(22), 3(24), 3(25), 3(26), 3(28), 3(29), 3(32), 3(36), 3(37), 5(2) to 5(4), 5(10), 5(15), 5(16), 5(19), 5(21) to 5(23), 19, 26, 191, 195, 205, 224, 228, 229, 241-255.
  • In specific, chapter related to Insolvency resolution and bankruptcy for individuals and partnership firms of the Code (from section 78 to 187) is excluded.
  • Coverage of the Rules or regulations to the IBC are restricted to the extent covered in the study material.

Chapter-4: The Prevention of Money Laundering Act, 2002 and Rules/Regulations

  • The entire content included in the November 2020 edition of the Study Material, shall only be relevant for the said examinations.
  • Rules related to PMLA are excluded.

Chapter-5: The Foreign Exchange Management Act, 1999 and Rules /Regulations

In specific following FEM (Regulations)/ Rules shall only be applicable to the extent covered in the study material-

  • Foreign Exchange Management (Current Account Transactions) Rules, 2000
  • Foreign Exchange Management (Permissible Capital Account Transactions) Regulations, 2000
  • Foreign Exchange Management (Acquisition and Transfer of Immovable Property in India) Regulations, 2018
  • Foreign Exchange Management (Acquisition and Transfer of Immovable Property outside India) Regulations, 2015
  • Foreign Exchange Management (Export of Goods and Services) Regulations, 2015
  • Foreign Exchange Management (Realisation, repatriation and surrender of foreign exchange) Regulations, 2015
  • Foreign Exchange Management (Possession and retention of foreign currency) Regulations, 2015
  • Liberalized Remittance Scheme.
  • Import of Goods and Services
  • External Commercial Borrowings
  • Overseas Direct Investments
  1. Following provisions of the FEMA, 1999 is excluded for the examination- Sections 17(3) – 17(6), 20 to 31, 33, 45, 46, 47 & 48.
  2. Following FEM(Regulations)/ Rules are entirely excluded:
    • Foreign Exchange (Authentication of Documents) Rules, 2000
    • Foreign Exchange (Compounding Proceedings) Rules, 2000
    • Foreign Exchange Management (Adjudication Proceedings and Appeal) Rules, 2000
    • Foreign Exchange Management (Encashment of Draft, Cheque, Instrument and Payment of Interest) Rules, 2000
    • Foreign Exchange Management (Borrowing and lending in Rupees) Regulations, 2000
    • Foreign Exchange Management (Deposit) Regulations, 2016
    • Foreign Exchange Management (Establishment in India of a Branch Office or a Liaison Office or a Project Office or any other place of business) Regulations, 2016
    • Foreign Exchange Management (Export and Import of Currency) Regulations, 2015.
    • Foreign Exchange Management (Foreign Currency Accounts by a person resident in India) Regulations, 2015
    • Foreign Exchange Management (Foreign Exchange Derivative Contracts) Regulations, 2000
    • Foreign Exchange Management (Guarantees) Regulations, 2000
    • Foreign Exchange Management (Insurance) Regulations, 2015
    • Foreign Exchange Management (Investment in firm or proprietary Concern in India) Regulations, 2000
    • Foreign Exchange Management (Issue of security in India by a Branch Office or Agency of a person Resident in outside India) Regulations, 2000
    • Foreign Exchange Management (Manner of Receipt and Payment) Regulations, 2016
    • Foreign Exchange Management (Remittance of Assets) Regulations, 2016
    • Foreign Exchange Management (Transfer or issue of any Foreign security) Regulations, 2004
    • Foreign Exchange Management (Transfer or issue of security by a person resident outside India) Regulations, 2000
    • Foreign Exchange Management (Withdrawal of General permission to Overseas Corporate Bodies) Regulations, 2003
    • Foreign Exchange Management (Removal of Difficulties) Order, 2000
    • Foreign Exchange Management (Crystallization of Inoperative Foreign Currency Deposits) Regulations, 2014
    • Foreign Exchange Management (Offshore Banking Unit) Regulations, 2002
    • Foreign Exchange Management (International financial Services Centre) Regulations, 2015
    • Foreign Exchange Management (Regularization of assets held abroad by a person Resident in India) Regulations, 2015.

Chapter-6: Prohibition of Benami Property Transactions Act,1988 and Rules/ Regulations

The entire content included in the November 2020 edition of the Study Material, shall only be relevant for the said examinations.

Paper-6E GFRS (Global Financial Reporting Standards)

  1. Relevant Study Material and Scope of Coverage of the content

    November, 2020 edition of the Study Material is relevant for May, 2021 examination.

    The study material contains the amendments in IFRS equivalent to the corresponding amendments taken place in Ind AS till 31st October, 2020. In case any amendment had taken place in IFRS but the same is yet to be notified in Ind AS, then it would not be applicable for this paper for May, 2021 examination.

    As regards to the topic on ‘Significant differences between IFRS and US GAAPs’, the content as covered in the chapter given in the study material would be relevant for May, 2021 examination. The same file has also been uploaded on the website at the link https://resource.cdn.icai.org/48696bos32691a.PDF.

  2. Non-applicability of certain International Financial Reporting Standards (IFRS) and IFRS Interpretations (IFRICs)

    Since the Core paper on Financial Reporting does not cover Ind AS equivalent to IAS 26, IAS 29 (including IFRIC 7), IFRS 4, IFRS 6, IFRS 14 and IFRS 17, the same IFRS shall also not form part of the GFRS Paper. Similarly, in applicable Ind AS there are no corresponding Appendix on IFRIC 2, IFRIC 9 and SIC 7, hence the same shall also not form part of the GFRS Paper.

Paper-6F MCS (Multidisciplinary Case Study)

The Multi-disciplinary case study would involve application of two or more of the seven core subjects at the Final level. List of seven core subjects at final level is given as under:

Paper-1: Financial Reporting
Paper-2: Strategic Financial Management
Paper-3: Advanced Auditing and Professional Ethics
Paper-4: Corporate and Economic Laws
Paper-5: Strategic Cost Management and Performance Evaluation
Paper-7: Direct Tax Laws & International Taxation
Paper-8: Indirect Tax Laws

The applicability/ non-applicability of Standards/ Guidance Notes/ Legislative Amendments etc. for Paper 6F: Multidisciplinary Case Study for May, 2021 Examination would be same as applicable for each of the above individual papers.

Paper-7 DTL and IT (Direct Tax Laws and International Taxation)

November 2020 edition of the Study Material is relevant for May 2021 and November 2021 examinations. The entire content included in the November 2020 edition of the Study Material (except the exclusions mentioned herein) shall be relevant for May 2021 examinations.

Applicability of Finance Act, Assessment Year etc. for May, 2021 Examination

The provisions of direct tax laws, as amended by the Finance Act, 2020 including significant notifications, circulars and press releases issued up to 31st October, 2020, are applicable for May, 2021 examination. The relevant assessment year is A.Y.2021-22.

The amendments made by the Taxation and Other Laws (Relaxation and Amendment of Certain Provisions) Act, 2020 are also relevant for May, 2021 examination. However, certain provisions which provide for extension of time for making investment or filing return etc. owing to COVID-19 pandemic are not applicable for the examination.

Further, the amendments in section 10(23C), the provisions of new section 12AB and consequential amendments in section 11, 12A, 12AA, 35, 56(2), 80G, 115BBDA, 115TD and 253, effected by the Finance Act, 2020, in respect of which the effective date has later been deferred to 1.4.2021 by the Taxation and Other Laws (Relaxation and Amendment of Certain Provisions) Act, 2020, are not applicable for May, 2021 and November, 2021 examination.

Students may refer to the November, 2020 edition of the Study Material, which contains the provisions of direct tax laws relevant for May, 2021 examination.

Scope of coverage of certain topics in Part II: International Taxation

As regards certain topics on International Taxation, namely, Overview of Model Tax Conventions, Application & Interpretation of Tax Treaties and Fundamentals of Base Erosion and Profit Shifting, the specific content as covered in the November, 2020 edition of the Study Material would be relevant for May, 2021 Examination.

Paper-8 ITL (Indirect Tax Laws)

The following are applicable for May 2021 examination:

  • (i) The provisions of CGST Act, 2017 and IGST Act, 2017 as amended by the Finance Act, 2020 and Finance (No. 2) Act, 2019, which have become effective up to 31st October, 2020, including significant notifications and circulars issued and other legislative amendments made, up to 31st October, 2020.
  • (ii) The provisions of the Customs Act, 1962 and the Customs Tariff Act, 1975, as amended by the Finance Act, 2020, including significant notifications and circulars issued and other legislative amendments made, up to 31st October, 2020.

The Study Guidelines given below specify the exclusions from the syllabus for May 2021 examination.

Part-I: Goods and Services Tax- Provisions which are excluded from the corresponding topic of the syllabus:

  • (i) Rate of tax prescribed for supply of goods*
  • (ii) Rate of tax prescribed for supply of services*
  • (iii) Exemptions for supply of goods
  • (iv) Categories of supply of goods, tax on which is payable on reverse charge basis
  • Rates specified for computing the tax payable under composition levy are included in the syllabus.

Time and Value of supply:

Value of supply in cases where Kerala Flood Cess is applicable.

Input tax credit:

  • (i) Manner of determination of input tax credit in respect of inputs, input services and capital goods and reversal thereof in respect of real estate projects
  • (ii) Manner of reversal of credit of additional duty of customs in respect of Gold dore bar

Procedures under GST

  • (i) Furnishing of GSTR-2, GSTR-1A and GSTR-3
  • (ii) Matching, reversal & reclaim of input tax credit
  • (iii) Matching, reversal & reclaim of reduction in output tax liability.

Other provisions: Transitional Provisions

Completely excluded:-

  1. (v) Officers of Customs; Appointment of customs ports, airports etc.
  2. (vii) Provisions relating to coastal goods and vessels carrying coastal goods
  3. (viii) Warehousing
  4. (x) Demand and Recovery
  5. (xi) Provisions relating to prohibited goods, notified goods, specified goods, illegal importation/exportation of goods
  6. (xii) Searches, seizure and arrest; Offences; Penalties; Confiscation and Prosecution
  7. (xiii) Appeals and Revision; Advance Rulings; Settlement Commission
  8. (xiv) Other provisions

Applicability of the Finance Act, 2020: The amendments made by the Finance Act, 2020 in the Central Goods and Services Tax Act, 2017 [hereinafter referred to as CGST Act, 2017] and the Integrated Goods and Services Tax, 2017 [hereinafter referred to as IGST Act, 2017] which have become effective till 31.10.2020 are applicable for May 2021 examinations. However, select amendments made by the Finance Act, 2020 namely, amendments made in sections 10, 16, 29, 30, 31, 51, 122 and 132 of the CGST Act, 2017 have not become effective as on 31.10.2020. Therefore, the same are not applicable for May 2021 examinations.

Applicability of the Finance (No. 2) Act, 2019: All the amendments made the Finance (No. 2) Act, 2019 are applicable for May 2021 examinations except the amendment made in sections 2(4), 39, 95, 102, 103, 104, 105 and 106 of the CGST Act, 2017 and the insertion of new sections 101A, 101B & 101C in the CGST Act, 2017 (which have not become effective till 31.10.2020). Further, Sabka Vishwas (Legacy Dispute Resolution) Scheme, 2019 introduced vide Chapter V of the Finance (No. 2) Act, 2019 is not applicable for May, 2021 examinations.

[ad_2]

Source link