Here is Portfolio page of Chiranjibi Chapagain, with all his work

What is Stock Reserve? Why is it created? In which cases is it created? Why is it credited or debited in the PL account of a business?

As you know, stock should never be valued above cost. So stocks in dept. trading account are shown at cost to the dept. but this is above cost to the enterprise. No adjustment for profit element is made till P&L a/c because this is where we know the performance of each dept. But profit made by a dept. by transferring goods to another dept. is not actual profit earned by the enterprise unless the goods are sold to outsiders. The opening stock appears on the debit side of trading account and to reduce it to its cost the stock reserve is transferred to the credit side.As the closing stock is on the credit side of trading account and above cost we reduce the profit element by debiting the General P&L a/c. Thus, The amount of stock reserve debited in the previous year shall be cancelled during the current year by passing a journal entry. And the stock reserve of this year shall be debited in the coming year. Transfers are made above cost to evaluate the performance of each dept. Hope I answered your query. Best wishes!!! Chiranjibi Chapagain
I have purchased shares of an unlisted companies in 2012 @ INR 10 each. I have sold the shares on 15th Apr 2018 which was the FMV certified by a merchant banker. The company is still unlisted.
I want to know the following:
1. What would be the cost of acquisition, whether it will be INR 10 Indexed or i can take FMV as at 31st January 2018 as the cost of acquisition.
2. What would be rate of tax, whether i have the option to choose 10% ( without indexation) or 20% ( with Indexation).
Hello Manjeet,
1. Please use Rs 14* per share as cost of acquisition. It is Indexed Cost of Acquisition of the Asset calculated on Rs 10.
2. You should pay LTCG tax @ 20% on the gain that you make (Gain = sale price - indexed cost of acquistion)

The “option to choose” between 10% without indexation or 20% with indexation tax is available to listed companies only. Your being share of an unlisted company you don’t really have a choice.

For further insight on this matter, you can refer to section 55(2)(ac) of the Income Tax Act, 1961.
*assuming you purchased the shares in 2012-13. If you purchased it in 2011-12, Indexed Cost of Acquisition would be Rs. 15.21 per share.
The discipline of behavioural science is closely linked with the subject of auditing.

The field of auditing as a discipline involves review of various assertions; both in financial as well as in non-financial terms, with a view to prove the veracity of such assertions and expression of opinion by auditor on the same.
Thus, it is quite logical and natural that the function of audit can be performed if and only if the person also possesses a good knowledge about the fields in respect of which he is conducting such a review.
The discipline of behavioural science is closely linked with the subject of auditing. While it may be said that an auditor, particularly the financial auditor, deals basically with the figures contained in the financial statements but he shall be required to interact with a lot of people in the organisation.
As against the financial auditor, the internal auditor or a management auditor is expected to deal with human beings rather than financial figures. One of the basic elements in designing the internal control system is personnel.
Howsoever, if a sound internal control structure is designed, it cannot work until and unless the people who are working in the organisation are competent and honest.
The knowledge of human behaviour is indeed very essential for an auditor so as to effectively discharge his duties.
What is the meaning of safe harbour rules??

A safe harbor is a provision of a statute or a regulation that specifies that certain conduct will be deemed not to violate a given rule.
It is usually found in connection with a vaguer, overall standard. By contrast, "unsafe harbors" describe conduct that will be deemed to violate the rule.
I have paid GST on revers charge mechanism. Can I claim it as Input tax?

Yes, the definition of input tax includes the tax payable under Reverse Charge.

The credit can be availed if such goods and/or services are used, or are intended to be used, in the course or furtherance of his business.

Further, please note that the credit can be utilized only for the payment of tax under normal charge.
Please guide how I should audit the Personal expenses of directors met by the company.
Consider this checklist to audit the personal expenses made by the director of a company.
- Check the articles of association, service contract, minutes of general meeting, etc., to check the authorisation for such payment.
- Enquire to ensure that personal expenses are not camouflaged in any other revenue items as contemplated under section 143(1) of the Companies Act, 2013.
- Ascertain compliance with disclosure according to requirements of Schedule III to the Companies Act, 2013.
- Check documentary evidences to examine the payments reimbursed.
Is e-Way bill required, if the value of shipment per customer per day exceeds Rs 50,000? How will we take multiple invoices under single e-way bill?

Here, it depends whether the supplier himself is the transporter or not.
If he is the transporter, then he is required to generate the e-way bill for all the invoices but if not, then the transporter will be required to generate the e-way bill against all the invoices in the Vehicle.
How does the Comptroller and Auditor General of India compile and submit Accounts of Union and States?

Feb. 08, 2018
Mr. Anand sold his residential house property in March, 2017. In June, 2017, he recovered rent of ` 10,000 from Mr. Gaurav, to whom he had let out his house for two years from April 2011 to March 2013. He could not realise two months rent of ` 20,000 from him and to that extent his actual rent was reduced while computing income from house property for A.Y.2013-14. Further, he had let out his property from April, 2013 to February, 2017 to Mr. Satish. In April, 2015, he had increased the rent from ` 12,000 to ` 15,000 per month and the same was a subject matter of dispute. In September, 2017, the matter was finally settled and Mr. Anand received ` 69,000 as arrears of rent for the period April 2015 to February, 2017. Would the recovery of unrealised rent and arrears of rent be taxable in the hands of Mr. Anand, and if so in which year?
There are two ways you can treat the unrealized rent while computing the income from house property.
1. You can treat unrealized rent as the income for the current year, on accrual basis, and pay tax thereon.
2. You can only pay tax on the rent realized during the year. The unrealized rent, realized in the next year can be treated as the income of the next year, as arrears of rent. You will pay tax on the unrealized rent in the next year when it is finally realized.
Both of these ways are completely legal and you can choose any one of these, whichever suits you the most, tax wise.
In this scenario, the best option for Mr. Anand is to pay the tax on the portion of 'unrealized rent' as and when they are realized. So, when the settlement money is received, he can pay tax on the actual amount realized.
If he does that, the arrears would be taxable in the hands of Mr. Anand in the next year, when the rent is finally realized.
For how long can registrar can grant an extension for holding the Annual General Meeting?

90If the company can not hold the AGM within the stipulated time, it can apply to the registrar for extension.
The extension, after due verification to the satisfaction of the registrar, will be sanctioned for less than 90 days, and the AGM should be conducted accordingly.
However, please note that first AGM can not be extended and has to be held on time.