Skip to main content

Auditor's Enlistment Debate Resolved (ICAN vs Government Bodies)

The Institute of Chartered Accountants of Nepal has published a press release directing its members not to be registered separately as an Auditor in the Municipality, Rural Municipality or any other government agencies. ICAN has emphasized that it is a sole authority of the institute to grant a certificate of practice to its members and one should be able to use the audit license per limit set by the institute.

ICAN has also highlighted that it had similar issues in the past with Nepal Rastra Bank, Nepal Insurance Board, Ministry of Education and Department of Co-operatives where it was mutually agreed that not further enlistment is necessary once a person become member of the ICAN and it will be ICAN's responsibility to share to most up to date list with government agencies and regulatory authority to avoid any confusion.

Source of Image: Kantipur News




Recent press release from ICAN has been issued after two consecutive enlistment notices were issued by Gokarneshwor Municipality (https://www.alladnepal.com/posts/notice-information-to-auditor-audited-gokarneshwor-municipality) and Nagarjun Municipality (https://www.alladnepal.com/posts/request-for-quotation-auditor-nagarjun-municipality). 

Surprisingly, few of the registered auditors and one Chartered Accountant firm had already registered under such enlistment announcement from the Gokarneshwor Municipality. Current, press release states measures of disciplinary action against its members not complying with the directives of the ICAN so it will be interesting to see how those registered auditors and Chartered Accountant will be dealt with. 

ICAN has followed on this and have reiterated the fact that auditors get enlisted in ICAN every year with the renewal of their membership and certificate of practice. Those members/firms who have registered should automatically qualify for the audit and no need to enlist again. You can find the recent press release here:
https://www.alladnepal.com/posts/notice-auditing-the-institute-of-chartered-accountant-of-nepal


Labels:
Location: Kathmandu 44600, Nepal

Comments

Post a Comment

Most Viewed

What is Nepal Standard Industrial Classification (NSIC Code)? Brief Explanation

NSIC (Nepal Standard Industrial Classification) Code is an economic classification of the economic activities that happen within the territory of Nepal. It has four digits representing different economic transactors bringing in consistency in collection and reporting of the economic data. It is mainly helpful for the economic data analysis hence, the economists, researchers and the policy makers including government will benefit from it. NSIC Code is formulated in accordance with ISIC (International Standard Industrial Classification) bringing in homogeneity and comparability of economic data with the world who has adopted ISIC framework. To localize the codes, guidance has been followed as prescribed by System of National Account, SNA – 1993 and International Standard Classification of Occupation, ISCO – 88. NSIC Code has defined Nepalese economic and institutional sector in three categories, mainly, to define the principal activities of the producing agents within Nepales...
1 comment
Read more

Maximizing Tax Benefits: Understanding Insurance Premium Deductions in Nepalese Income Tax

Question:  If an employee is not enrolled in any retirement fund but has paid 40,000 for life insurance or 10,000 for health insurance, should these insurance payments be subtracted from their taxable income or not?  (this was posed in one of the facebook group) Answer:  Regardless of whether an individual has contributed to a retirement fund, they remain eligible to reduce Rs. 40,000 for life insurance and Rs. 10,000 for health insurance from their taxable income. You might be wondering how?  Let's delve into the deductions permitted by the Nepalese Income Tax Act, 2058, regarding life, health, and property insurance premiums. This blog should help you understand how insurance payments can impact your taxable income. 1) Life Insurance Deduction: For residents holding life insurance, you can claim a deduction of up to Rs. 40,000 or the actual annual premium amount (whichever is lower) from your taxable income. Refer to Annex-1, Clause 12 for this provision. 2) Health...
Post a Comment
Read more

Tax Collection Agency codes for IRD Offices all over Nepal

Inland Revenue Department Nepal has published the agency codes that shall be used for the collection of direct and indirect taxes for the general public's information. Each code consists of 9 numbers. There are in total 59 agency codes currently in use. From these codes, we can classify that there are four types of IRD offices currently in operation. 1) Inland Revenue Office 2) Tax Payer Service Office 3) Large Tax Payer Service Office, and 4) Medium Tax Payer Service Office When shall you use these codes? It shall be used while choosing the agency where the tax should be deposited while completing the form for depositing the taxes. Agency Code list below: S.N. Agency Code Name Address 1 305011620 Inland Revenue Office Lahan 2 305030201 Tax Payer Service office Phidim 3 305030301 Tax Payer Service office Illam 4 305030401 Tax Payer Service office Khandbari 5 305030601 ...
1 comment
Read more