CBDT Notifies new Form 3CA Form 3CB and Form 3CD - Summary of revised reporting requirements

Form 3CA

Reference to attached financial statements in clause 1(a) and (1b)
The word ‘year” substituted by the word “period” for profit and loss account / income and expenditure account in clause (a)
The word “31 ^st March” omitted in clause (b) related to audited balance sheet.

Expression of true and correct for particulars of Form 3CD
Reference to examination of books of account including other relevant documents added.
Observation/Qualification if any to be stated in the form 3CA itself.

Form 3CB

Declaration of examination:
The word ‘year” substituted by the word “period” for profit and loss account / income and expenditure account
The word “31 ^st March” omitted with reference to balance sheet.

Qualifications:
Observation/qualification if any to be stated in the form 3CB itself

Form 3CD

Registration/identification number for indirect taxes like excise duty, service tax, sales tax, customs duty,etc. to be mentioned.
Clause 4

Indication of the relevant clause of section 44AB under which the audit has been conducted. Clause 8

Books of Accounts
Address at which the books of accounts are kept to be given. If the books of accounts are not kept at one location, addresses of locations along with the details of books of accounts maintained at each location to be given. Clause 11(b)
Nature of relevant documents examined to be mentioned along with the list of books of account Clause 11(c)

Method of Accounting:
In case of change in the method of accounting, a summary of effect thereof on profit/loss is required to be given in the following format. Clause 13(c)

Method of Closing Stock Valaution:
In case of deviation in the method of closing stock valuation from the standards u/s 145, particulars to be given in the format as per clause 13(c) Clause 14(b)

Transfer of Property:
Where any land or building or both is transferred during the previous year for a consideration less than value adopted or assessed or assessable u/s 43CA or 50C, The following information is to be given. Clause 17

Amount admissible under various sections from 32AC to 35E. While mentioning the amount admissible, not only the Income Tax Act but fulfilment of relevant conditions, rules, circulars etc. is also to be checked. Clause 19

Contributions received from employees :
Details of contributions received from employees for various funds as referred to in section 36(1)(va) are to be given as per the following format: Clause 21(a)

Amounts debited to P&L:
Particulars and amount debited to P&L being of capital nature, personal expenses, all kind of advertisement to be reported (Earlier advertisement in any souvenir, pamphlet etc. published by a political party only was covered)
Particulars and amount debited to P&L as entrance fee and subscription incurred at club omitted from reporting. Clause 21(a)

Amount inadmissible under Section 40(a)

Many details are required to be given as per new Clause 21(b).
Details to be separated for non-residents and residents
Details to be separated for cases where TDS not deducted at all and cases where TDS deducted but not paid before prescribed time.
Date of payment, amount of payment, nature of payment,name and address of the payee, amount of tax deducted to be metioned.

Disallowances u/s 40A(3)
Compliance of section 40A(3), 40A(3A) to be reported on the basis of the examination of books of account and other relevant documents/evidence. As such requirement of certificate from the assessee is now omitted. The following information is to be reported: Clause 20(d)

Receipt of property without adequate consideration: Clause 28
Details of any property received, being share of a company not being a company in which the public are substantially interested, without consideration or for inadequate consideration as referred to in section 56(2)(viia) are required to be furnished.

Consideration received for issue of shares in excess of fair market value: Clause 29
If during the previous year the assessee received any consideration for issue of shares which exceeds the fair market value of the shares as referred to in section 56(2)(viib), details to be furnished.

Declaration of Taking or accepting loan, deposit or repayment by A/c Payee Mode: Clause 31(c)
Auditor has to report based on the basis of the examination of books of account and other relevant documents. As such requirement of certificate from the assessee is now omitted.

Brought forward loss or depreciation allowance: Clause 32
Details of loss referred to in section 73A in respect of any specified business during the previous year to be furnished.
Details of speculation loss if any incurred during the previous year to be furnished for a company

Tax Deducted at Source Compliance:
Where assessee is required to deduct or collect tax, detailed information is required to be reported including total amount on which tax was required to be deducted, TDS deducted at les than prescribed rates, TDS not deposited etc.
Information on timely filing of TDS Return to be reported with the following details:

Reporting of amount of interest payable and paid for late deposit of TDS/TCS

Details of tax on distributed profits u/s 115O: Clause 36
Two more information to be furnished:
-amount of reduction as referred to in section 115-O(1A)(i);
-amount of reduction as referred to in section 115-O(1A)(ii);

Cost Audit/Excise Audit: Clause 37,38
Audit report(s) now not required to be attached. However disqualification or disagreement on any matter/item/value/quantity reported/identified by the auditor to be given.

Service Tax Audit: Clause 39
Disqualification or disagreement on any matter/item/value/quantity reported/identified by the auditor to be given

Annexure I – Clause 40
Hitherto Annexure-I details are made part of Part B of Form 3CD. Details regarding only turnover, gross profit, etc., for the previous year and preceding previous year to be given as under:

Demands raised /Refunds issued under other tax laws: Clause 41
Details of demand raised or refund issued during the previous year under any tax laws other than Income tax Act, 1961 and Wealth tax Act, 1957 alongwith details of relevant proceedings.