ECONOMICS - TURNING THREATS INTO OPPORTUNITIES (Equal Opportunity for Accountants)

Equal Opportunity for Accountants
It is suggested that members of Association of Chartered Certified Accountants, Institute of Chartered Accountants of Pakistan and Institute of Cost and Management Accountants of Pakistan should be treated at par within the direct and indirect tax code, that is, Income Tax Ordinance, 2001, Sales Tax Act, 1990 and Federal Excise Act, 2005 because ACCA is offering Pakistan tax and corporate law as part of its syllabus while ICMAP has a long professional history. Sales Tax Act, 1990 read with Chapter IX of Sales Tax Rules, 2006 be aligned with Section 223(11) of the Income Tax Ordinance, 2001 read with rule 225 of the Income Tax Rules, 2002.
These include the provision related to outsourcing of audit, appointment of experts and alternate dispute resolution committees. Further, part III of ICMAP and Intermediate examination are eligible to apply for Income Tax Practitioners. It is suggested that students clearing Foundation examination of ACCA should also be treated at par and be allowed to apply for Income Tax Practitioner.
It is surprising to note that even an illiterate person can audit the accounts of a private limited company not being a subsidiary of a public limited company having paid up capital of less than three million. It is suggested that keeping an eye over the inflation since the introduction of this limit in 1999, the limit of three million be enhanced to three hundred million in case of limited companies. Further, the members of ACCA, ICMAP and ICAP members be specified as auditors for private limited companies having paid up capital upto 300 million, guarantee limited and partnership having more than 20 members.


Article courtesy of Muhammad Ashraf