CA IPCC Amendments for November 2018
Tax Amendments for November 2018 Income Tax The Income-tax law, as amended by the Finance Act, 2017, including significant notifications/ circulars issued upto 30th April, 2018, are applicable for November, 2018 examination. The relevant assessment year for November, 2018 examination is A.Y.2018-19.
CA IPCC Amendments for November 2018 : The next examinations of Chartered Accountancy (CA) IPC course will be held in Nov, 2018 exam. ICAI has announced the applicability of Standards, Guidance Notes and Legislative Amendments etc. for November, 2018 – CA IPC Examination.
This blog contains the applicability of CA IPCC Amendments for November 2018 exam.
In case you are looking for CA Intermediate Amendments read article here – CA Intermediate Amendments
Download Applicability of CA IPCC Amendments for November 2018 exam by clicking on the image below:
CA IPCC Amendments for November 2018 exam
ICAI has announced that the following Accounting Standards (Ass), Guidance Notes (GNs), Legislative Amendments and updates applicable for CA IPCC/Intermediate Nov 2018 exam.
CA INTERMEDIATE (IPC) COURSE | Edition applicable for nov 2018 IPCC Exams |
Accounting | |
Study Material (Module 1 to 2) | July, 2015 Edition along with RTP nov 2018 |
Practice Manual | April, 2016 Edition |
Business Laws & Ethics and Communication | |
Study Material (Module 1 to 3) | July, 2015 Edition along with RTP nov, 2018 |
Practice Manual | April, 2016 Edition |
Supplementary BLEC | June, 2017 Edition |
Cost Accounting | |
Study Material (Module 1 to 2) | April, 2016 Edition |
Practice Manual | April, 2016 Edition |
Financial Management | |
Study Material (Module 1 to 2) | April, 2016 Edition |
Practice Manual | April, 2016 Edition |
Taxation | |
Section A – Income Tax | Study Material for New Course Intermediate Paper 4 will be applicable for Existing Intermediate (IPC) also with the exception of two topics: |
i) Tax Collection at Source – Basic concept in pages 9.60 to 9.65 in Chapter 9; and | |
Section B – Indirect Taxes | ii) Self-Assessment in page 10.28 in Chapter 10 under Section A. Study Material incorporates questions from Practice Manual and amendments. RTP for nov 2018 will contain Statutory update. |
Advanced Accounting | |
Study Material (Module 1 to 3) | July, 2015 Edition + RTP nov 2018 |
Practice Manual | April, 2016 Edition |
Auditing and Assurance | |
Study Material (Module 1 to 2) | July, 2015 Edition + RTP nov, 2018 |
SM Auditing Pronouncement | July, 2017 Edition for Intermediate Course (New) |
Practice Manual | April, 2016 Edition |
Information Technology Section-A | |
Study Material | July, 2015 Edition along with RTP nov, 2018 |
Practice Manual | June, 2017 Edition |
Strategic Management Section-B | |
Study Material | July 2015 Edition |
Practice Manual | April, 2016 Edition |
CA IPCC Amendments for Nov 2018 exam
Accounts IPCC Syllabus Changes nov 2018
CA IPCC Amendments : There is only one Change and Amendment in CA IPCC Accounts Syllabus. The newly introduced Indian Accounting Standards will be applicable for CA IPCC nov 2018 Exam.
However, only the basics and introduction to the Indian Accounting Standards will be applicable for CA IPCC nov 2018 Syllabus.
Download full details of CA IPCC Announcement on Applicability of Amendments in Accounting Standards for nov 2018 Exam
CA IPCC Amendment in Accounting Standards
Download CA IPCC Applicability of Amendments
CA IPCC Amendments Law Syllabus Changes 2018
CA IPCC Amendments for 2018 : In Company Law Syllabus, there are no new amendments. Students can study the existing syllabus only for May 2018 exam too.
CA IPCC Amendments Costing FM Syllabus Changes 2018
CA IPCC Amendments for 2018 : Costing and Financial Management is one of such papers that is very static in nature. The Syllabus hasn’t changed for the past 5 years and will remain the same for CA IPCC 2018
Tax CA IPCC Amendments Syllabus Changes 2018
CA IPCC Amendments for 2018 : CA IPCC Tax Syllabus for 2018 will see the most number of changes and amendments. This is due to the applicability of the Union Budget introduced in 2016.
CA IPCC Amendments Advanced Accounts Syllabus 2018
CA IPCC Amendments for 2018 : As far as CA IPCC Advanced Accounts paper is concerned, there are no new Amendments or changes in the syllabus.
CA IPCC Amendments Audit Syllabus Changes
CA IPCC Amendments for 2018 : In the entire IPCC Auditing part, there are few minor changes in the Company Audit Part. Other than that, there are no new changes in the CA IPCC Audit Syllabus applicable for 2018 exam.
CA IPCC Amendments IT SM Syllabus 2018
CA IPCC Amendments for 2018 : Just like Costing FM syllabus, you will not find much changes in the syllabus of CA IPCC Information Technology (IT) and Strategic Management (SM) papers.
Paper 1: Accounting
Accounting Standards
AS | 1 : | Disclosure of Accounting Policies |
AS | 2 : | Valuation of Inventories |
AS | 3 : | Cash Flow Statements |
AS | 6 : | Depreciation Accounting |
AS | 7 : | Construction Contracts (Revised 2002) |
AS | 9 : | Revenue Recognition |
AS | 10 : | Accounting for Fixed Assets |
AS | 13 : | Accounting for Investments |
AS | 14 : | Accounting for Amalgamations |
Paper 5: Advanced Accounting
Accounting Standards
AS 4 : Contingencies and Events occurring after the Balance Sheet Date
AS 5 : Net Profit or Loss for the Period, Prior Period Items and Changes in Accounting Policies
AS 11 : The Effects of Changes in Foreign Exchange Rates (Revised 2003) AS 12 : Accounting for Government Grants
AS 16 : Borrowing Costs AS 19 : Leases
AS 20 : Earnings Per Share AS 26 : Intangible Assets
AS 29 : Provisions, Contingent Liabilities and Contingent Assets.
- Applicability of the Companies Act, 2013 and other Legislative Amendments for Paper 1 and Paper 5 : The relevant notified Sections of the Companies Act, 2013 and legislative amendments including relevant Notifications / Circulars / Rules / Guidelines issued by Regulating Authority up to 30th April, 2016 will be applicable for November, 2016 Examination
- Non-Applicability of Ind ASs for November, 2016 Examination for Paper 1 and Paper 5 : The Ministry of Corporate Affairs has notified Companies (Indian Accounting Standards) Rules, 2015 on 16th February, 2015, for compliance by certain class of These Ind AS have not been made applicable for November, 2016 Examination.
- Non-applicability of Amendments made by MCA in the Companies (Accounting Standards) Rules, 2006 and Companies (Indian Accounting Standards) Rules, 2015 for Paper 1 and Paper 5 : Amendments made by MCA on 3.2016 in the Companies (Accounting Standards) Rules, 2006 and Companies (Indian Accounting Standards) Rules, 2015 have not been made applicable for November, 2016 examination.
Paper 2: Business Laws, Ethics and Communication
The Companies Act, 2013:The relevant sections of the Companies Act, 2013, along with significant Rules/ Notifications/ Circulars/ Clarifications/ Orders issued by the Ministry of Corporate Affairs upto 30th April, 2016. For updates, see http://www.mca.gov.in/
The Negotiable Instruments (Amendment) Act, 2015:The Negotiable Instruments (Amendment) Act, 2015 received the assent of the president on 26th December, 2015 and has been notified in the Official Gazette on 29th December, 2015 by the Ministry of Law and Justice.
This is an Act further to amend the Negotiable Instruments Act, 1881 and shall be deemed to have come into force on the 15th day of June, 2015.For detail click the following link-
NI-Act-gazette-notification-26.12.2015.pdf
The Payment of Bonus (Amendment) Act, 2015: An Act further to amend the Payment of Bonus Act, 1965. The Act received the assent of the President on the31st December, 2015, and published in the Official gazette on 1st January 2016 by Ministry of Law and Justice. It shall be deemed to have come into force on the 1st day of April, 2014.For detail click the following link-
Non-applicability of the following sections of the Companies Act, 2013
S.No. | Section No. | Section title |
1. | Section 48 | Variation of shareholders’ right |
2. | Section 66 | Reduction of share capital |
3. | Section 75 | damages for fraud |
4. | Section 97 | Power of tribunal to call AGM |
5. | Section 98 | Power of Tribunal to call meetings of members, Etc. |
6. | Section 99 | Punishment for default in complying with provisions of sections 96 to 98 |
Paper 4: Taxation
Applicability of the Finance Act, Assessment Year etc. for November, 2018 examination
CA IPCC Amendments for 2018 : The provisions of income-tax and indirect tax laws, as amended by the Finance Act, 2015, including circulars and notifications issued upto 30th April, 2016, are applicable for November, 2018 examination. The relevant assessment year for income-tax is A.Y. 2016-17.
Paper 6: Auditing and Assurance
1. Standards on Auditing (SAs):
S.No | SA | Title of Standard on Auditing |
1 | SA 200 | Overall Objectives of the Independent Auditor and the Conduct of an Audit in Accordance with Standards on Auditing |
2 | SA 210 | Agreeing the Terms of Audit Engagements |
3 | SA 220 | Quality Control for Audit of Financial Statements |
4 | SA 230 | Audit Documentation |
5 | SA 240 | The Auditor’s responsibilities Relating to Fraud in an Audit of Financial Statements |
6 | SA 250 | Consideration of Laws and Regulations in An Audit of Financial Statements |
7 | SA 260 | Communication with Those Charged with Governance |
8 | SA 265 | Communicating Deficiencies in Internal Control to Those Charged with Governance and Management |
9 | SA 299 | Responsibility of Joint Auditors |
10 | SA 300 | Planning an Audit of Financial Statements |
11 | SA 315 | Identifying and Assessing the Risks of Material Misstatement through Understanding the Entity and its Environment |
12 | SA 320 | Materiality in Planning and Performing an Audit |
13 | SA 330 | The Auditor’s Responses to Assessed Risks |
14 | SA 402 | Audit Considerations Relating to an Entity Using a Service Organization |
15 | SA 450 | Evaluation of Misstatements Identified during the Audits |
16 | SA 500 | Audit Evidence |
17 | SA 501 | Audit Evidence – Specific Considerations for Selected Items |
18 | SA 505 | External Confirmations |
19 | SA 510 | Initial Audit Engagements-Opening Balances |
20 | SA 520 | Analytical Procedures |
21 | SA 530 | Audit Sampling |
22 | SA 540 | Auditing Accounting Estimates, Including Fair Value Accounting Estimates, and Related Disclosures |
23 | SA 550 | Related Parties |
24 | SA 560 | Subsequent Events |
25 | SA 570 | Going Concern |
26 | SA 580 | Written Representations |
27 | SA 600 | Using the Work of Another Auditor |
28 | SA 610 | Using the Work of Internal Auditors |
29 | SA 620 | Using the Work of an Auditor’s Expert |
30 | SA 700 | Forming an Opinion and Reporting on Financial Statements |
31 | SA 705 | Modifications to the Opinion in the Independent Auditor’s Report |
32 | SA 706 | Emphasis of Matter Paragraphs and Other Matter Paragraphs in the Independent Auditor’s Report |
33 | SA 710 | Comparative Information – Corresponding Figures and Comparative Financial Statements |
34 | SA 720 | The Auditor’s Responsibility in Relation to Other Information in Documents Containing Audited Financial Statements |
2. Statements:
Statement on Reporting under Section 227(1A) of the Companies Act, 1956 (Section 143 (1) of the Companies Act, 2013).
3.Guidance Notes:
- Guidance Note on Audit of Inventories.
- Guidance Note on Audit of Debtors, Loans and Advances
- Guidance Note on Audit of Investments.
- Guidance Note on Audit of Cash and Bank Balances.
- Guidance Note on Audit of Liabilities.
- Guidance Note on Audit of Revenue.
- Guidance Note on Audit of Expenses.
- Guidance Note on Reporting under section 143 (3) (f) and (h) of the Companies Act, 2013
4. Applicability of the Companies Act, 2013:
- The relevant notified Sections of the Companies Act, 2013 and other legislative amendments including relevant Notifications / Circulars / Rules / Guidelines issued by Regulating Authorities, cut-off date will be 30th April, 2016.
- Companies (Auditor’s Report) Order, 2016 issued by Ministry of Corporate Affairs on 29th March, 2016 is applicable for November, 2016 Examination.
Frequently asked questions for CA IPCC Amendments for Nov 2018
Q 1. What are the ca ipcc latest amendments for Nov 2018?
ipcc amendments : The Syllabus for 2018 will be different in few subjects when compared to the syllabus that was applicable for Nov 2016 Exam. The detail information about amendments is given in the above article.
Q 2.What are 2nd group amendments for CA IPCC 2018?
ipcc amendments : IPCC name changed to Intermediate Course. There are two groups in CA IPCC and each group has four subjects. One subject is added in 2nd group.
Along with this CA IPCC Amendments article you also must read the following articles
The articles below will help you with everything you will need to register for the IPCC Exam with dates,admit card and result.
IPCC exam date
IPCC amendments: Please note that thousands of students are using IPCC exam study material from CAKART to pass the IPCC exam. Most of these study materials are available for free. These are curated by exam experts who have been toppers in the past. Click on the links below to access.
Are you googling for CA Intermediate syllabus? Then you are in the right place. Here we are providing CA Intermediate new syllabus and chapterwise marks weightage for May 2018 and Nov 2018 attempts.
In the year 2016, ICAI announced that they are going to make some changes in CA syllabus. They renamed CA IPCC course to CA Intermediate course.
May 2019 is the last attempt to write CA IPCC in old syllabus. Later, old registration students should also write CA Intermediate in new syllabus.
There are 8 papers in CA Intermediate I;e Accounting, Corporate and Other Laws, Cost and Management Accounting, Taxation, Advanced Accounting, Auditing and Assurance, Enterprise Information Systems & Strategic Management and Financial Management & Economics for Finance.
Let’s check CA Intermediate Group – 1 and Group – 2 Syllabus (New) For May and Nov 2018 and Chapter wise Weightage.
CA Intermediate Syllabus | Accounting
(One paper – Three hours – 100 Marks)
Weightage: 20% to 25%
1. Process of formulation of Accounting Standards including Ind ASs (IFRS converged standards) and IFRS; convergence or adoption; objective and concepts of carve outs.
2. Framework for Preparation and Presentation of Financial Statements (as per Accounting Standards).
3. Applications of Accounting Standards:
- AS 1: Disclosure of Accounting Policies
- AS 2: Valuation of Inventories
- AS 3: Cash Flow Statements
- AS 4: Contingencies and Events occurring after the Balance Sheet Date
- AS 5: Net Profit or Loss for the Period, Prior Period Items and Changes in Accounting Policies
- AS 10: Property, Plant and Equipment
- AS 11: The Effects of Changes in Foreign Exchange Rates
- AS 12: Accounting for Government Grants
- AS 13: Accounting for Investments
- AS 16: Borrowing Costs
- AS 17: Segment Reporting
- AS 22: Accounting for Taxes on Income
Weightage: 25% to 30%
4. Company Accounts
- Redemption of preference shares;
- Redemption of debentures;
- Accounting for bonus issue and right issue.
- Accounting for tax: Concept of deferred tax asset and deferred tax liability in line with AS 22 “Accounting for Taxes”.
- Managerial Remuneration
- Preparation of financial statements – Statement of Profit and Loss, Balance Sheet and Cash Flow Statement,
- Profit (Loss) prior to incorporation;
Weightage: 30% to 35%
5. Accounting for Special Transactions:
- Investment
- Insurance claims for loss of stock and loss of profit
- Hire – purchase and Instalment Sale Transactions
6.Special Type of Accounting
- Departmental Accounting
- Accounting for Branches including foreign branches
- Accounts from Incomplete Records
Weightage: 15% to 20%
7.Dissolution of partnership firms including piecemeal distribution of assets; Amalgamation of partnership firms; Conversion of partnership firm into a company and Sale to a company; Issues related to accounting in Limited Liability Partnership.
Note : If either a new Accounting Standards (AS), Announcements and Limited Revisions to AS are issued or the earlier one are withdrawn or new AS, Announcements and Limited Revisions to AS are issued in place of existing AS, Announcements and Limited Revisions to AS, the syllabus will accordingly include / exclude such new developments in the place of the existing ones with effect from the date to be notified by the Institute.
CA Intermediate Corporate and Other Laws Syllabus
(One paper – Three hours – 100 Marks)
Part 1: Company Law (60 Marks)
The Companies Act, 2013 – Sections 1 to 148
Weightage: 30% to 40%
- Preliminary
- Incorporation of Company and Matters Incidental thereto
- Prospectus and Allotment of Securities
- Share Capital and Debentures
Weightage: 30% to 40%
- Acceptance of Deposits by companies
- Registration of Charges
- Management and Administration
Weightage: 25% to 35%
- Declaration and payment of Dividend
- Accounts of Companies
- Audit and Auditors
Note: The provisions of the Companies Act, 1956 which are still in force would form part of the syllabus till the time their corresponding or new provisions of the Companies Act, 2013 are enforced.
Part 2: Other Laws (40 Marks)
1.The Indian Contract Act, 1872 (Specific contracts covered from section 123 onwards): Contract of Indemnity and Guarantee, Bailment, Pledge, Agency Weightage: 25% to 35%
2.The Negotiable Instruments Act, 1881: Meaning of Negotiable Instruments, Characteristics, Classification of Instruments, Different provisions relating to Negotiation, Negotiability, Assignability, Right and Obligation of parties, presentment of Instruments, Rules of Compensation Weightage: 20% to 35%
3.The General Clauses Act, 1897: Important Definitions, Extent and Applicability, General Rules of Construction, Powers and Functionaries, Provisions as to Orders, Rules, etc. made under Enactments, Miscellaneous Weightage: 20% to 25%
4.Interpretation of statutes: Rules of Interpretation of statutes, Aids to interpretation, Rules of Interpretation/construction of Deeds and Documents Weightage: 15% to 25%
Note: If new legislations are enacted in place of the existing legislations, the syllabus would include the corresponding provisions of such new legislations with effect from a date notified by the Institute. Similarly, if any existing legislation ceases to have effect, the syllabus will accordingly exclude such legislation with effect from the date to be notified by the Institute.
The specific inclusions/exclusions in the various topics covered in the syllabus will be effected every year by way of Study Guidelines, if required.
CA Intermediate Cost and Management Accounting Syllabus
(One Paper- Three hours- 100 Marks)
Weightage: 10% to 15%
1.Overview of Cost and Management Accounting
(i) Introduction to Cost and Management Accounting
- Objectives and Scope of Cost and Management Accounting,
- The users of Cost and Management accounting information- Functions of management accounting.
- Role of cost accounting department in an organisation and its relation with other departments.
- Installation of Costing System
- Relationship of Cost Accounting, Financial Accounting, Management Accounting and Financial Management.
- Cost terms and Concepts
- Cost Reduction and Cost Control
- Elements of Costs
- Cost behavior pattern, Separating the components of fixed, variable, semi- variable and step costs.
- Methods of Costing, Techniques of Costing.
- Cost Accounting with use of Information Technology.
(ii) Elements of Cost and preparation of Cost Sheets
- Functional classification and ascertainment of cost
- Preparation of Cost Sheets for Manufacturing sector and for Service sector
Weightage: 35% to 40%
2.Ascertainment of Cost and Cost Accounting System
(i) Material Cost
- Procurement procedures- Store procedures and documentation in respect of receipts and issue of stock, Stock verification,
- Valuation of material receipts,
- Inventory control-
- Techniques of fixing level of stocks- minimum, maximum, re-order point, safety stock, determination of optimum stock level,
- Determination of Optimum Order quantity- Economic Order Quantity (EOQ),
- Techniques of Inventory control- ABC Analysis, Fast, Slow moving and Non moving (FSN), High, Medium, Low (HML), Vital, Essential, Desirable (VED), Just-in-Time (JIT)- Stock taking and perpetual inventory system, use of control ratios,
- Inventory Accounting
- Consumption- Identification with products of cost centres, Basis for consumption entries in financial accounting, monitoring consumption.
(ii)Employee Cost
- Attendance and Payroll procedures-
- Elements of wages- Basic pay, Dearness Allowance, Overtime, Bonus, Holiday and leave wages, Allowances and perquisites.
- Employee Cost Control
- Employee Turnover- Methods of calculating employee turnover, causes of employee turnover, effects of employee turnover.
- Utilisation of Human Resource, Direct and indirect employee Cost, charging of employee cost, Identifying employee hours with work orders or batches or capital jobs.
- Remuneration systems and incentive schemes-
- Time Rate System, Piece Rate System, Differential piece rate system, Calculation of wages, Effective Wages.
(iii) Direct Expenses
- Direct expenses
- Nature of Direct or Chargeable expenses.
- Sub-contracting- Control on material movements, Identification with the main product or service.
(iv) Overheads
- Functional analysis- Factory, Administration, Selling, Distribution, Research and Development.
- Behavioral analysis- Fixed, Variable and Semi- Variable.
- Allocation and Apportionment of overheads using Absorption Costing Method.
- Factory Overheads- Primary and secondary distribution,
- Administration Overheads- Method of allocation to cost centres or products,
- Selling & Distribution Overheads- Analysis and absorption of the expenses in products/ customers, impact of marketing strategies, cost effectiveness of various methods of sales promotion.
- Treatment of Research and development cost in cost accounting.
(v) Concepts of Activity Based Costing (ABC)
(vi) Recording and Accounting of Costs
- Non-integrated Cost Accounting system- Ledger under non-integral system
- Integrated (Cost and Financial) Accounting system- Ledgers under integral system.
- Difference between the Nonintegrated and Integrated Accounting system.
- Reconciliation of profit as per Cost and Financial Accounts (under Non- Integrated Accounting System).
Weightage: 25% to 30%
3.Methods of Costing
(i) Single Output/ Unit Costing
(ii) Job Costing: Job cost cards and databases, collecting direct costs of each job, attributing overheads to jobs, Application of job costing.
(iii) Batch Costing: Determination of optimum batch quantity, Ascertainment of cost for a batch, Preparation of batch cost sheet, Treatment of spoiled and defective work.
(iv) Contract Costing
- Ascertainment of cost of a contract, Progress payment, Retention money, Escalation clause, Cost plus contract, Value of work certified, Cost of Work not certified.
- Determination Value of work certified, Cost of work not certified, Notional or Estimated profit from a contact.
(v) Process/ Operation Costing
- Process cost recording, Process loss, Abnormal gains and losses, Equivalent units of production, Inter-process profit, Valuation of work in process.
- Joint Products- Apportionment of joint costs, Methods of apportioning joint cost over joint products,
- By-Products- Methods of apportioning joint costs over by-products, treatment of By-product cost.
(vi) Costing of Service Sectors
- Determination of Costs and Prices of services of following sectors/ Industries:
- Transport, Toll roads, Hospitals, Canteen/ Restaurants, Hotels/ Lodges, Educational Institutions, Financial Institutions/ Banks, Insurance, IT sector and other services.
Weightage: 20% to 25%
4.Cost Control and Analysis
(i) Standard Costing
- Setting up of Standards, Types of Standards, Standard Costing as method of performance measurement.
- Calculation and Reconciliation of Cost Variances-
- Material Cost Variance, employee Cost Variance, Variable Overheads Variance and Fixed Overhead Variance.
(ii) Marginal Costing
- Basic concepts of marginal costing, Contribution margin, Break-even analysis, Break –even and profit volume charts, Contribution to sales ratio, Margin of Safety, Angle of Incidence, Cost-Volume-Profit Analysis (CVP), Multi- product break- even analysis, Consideration of Limiting factor (key factor),
- Determination of Cost of a product/ service under marginal costing method, determination of cost of finished goods, work-in-progress,
- Comparison of Marginal costing with absorption costing method- Reconciliation of profit under the both methods,
- Short term decision making using the above concepts (basic / fundamental level).
(iii) Budget and Budgetary Control
- Meaning of Budget, Essentials of Budget, Budget Manual, Budget setting process, Preparation of Budget and monitoring procedures.
- The use of budget in planning and control
- Flexible budget, Preparation of Functional budget for operating and non- operating functions, Cash budget, Master budget,
- Introduction to Principal/ Key budget factor, Zero Based Budgeting (ZBB), Performance budget, Control ratios and Budget variances.
CA Intermediate Taxation Syllabus
(One paper ─ Three hours – 100 Marks)
Section A: Income Tax Law (60 Marks)
Weightage: 5% to 10%
1. Basic Concepts
- Income-tax law: An introduction
- Important definitions in the Income-tax Act, 1961
- Concept of previous year and assessment year
- Basis of Charge and Rates of Tax
Weightage: 10% to 15%
2. Residential status and scope of total income
- Residential status
- Scope of total income
Weightage: 25% to 30%
3.Incomes which do not form part of total income (other than charitable trusts and institutions, political parties and electoral trusts)
- Incomes not included in total income
- Tax holiday for newly established units in Special Economic Zones
4.Heads of income and the provisions governing computation of income under different heads
- Salaries
- Income from house property
- Profits and gains of business or profession
- Capital gains
- Income from other sources
Weightage: 15% to 20%
5.Income of other persons included in assessee’s total income
- Clubbing of income: An introduction
- Transfer of income without transfer of assets
- Income arising from revocable transfer of assets
- Clubbing of income of income arising to spouse, minor child and son’s wife in certain cases
- Conversion of self-acquired property into property of HUF
6. Aggregation of income; Set-off, or carry forward and set-off of losses
- Aggregation of income
- Concept of set-off and carry forward and set-off of losses
- Provisions governing set-off and carry forward and set-off of losses under different heads of income
- Order of set-off of losses
7. Deductions from gross total income
- General provisions
- Deductions in respect of certain payments
- Specific deductions in respect of certain income
- (Deductions in respect of other income
- Other deductions
Weightage: 20% to 25%
8. Computation of total income and tax liability of individuals
- Income to be considered while computing total income of individuals
- Procedure for computation of total income and tax liability of individuals
Weightage: 10% to 15%
9. Advance tax, tax deduction at source and introduction to tax collection at source
- Introduction
- Direct Payment
- Provisions concerning deduction of tax at source
- Advance payment of tax
- Interest for defaults in payment of advance tax and deferment of advance tax
- Tax collection at source – Basic concept
- Tax deduction and collection account number
10. Provisions for filing return of income and self-assessment
- Return of Income
- Compulsory filing of return of income
- Fee and Interest for default in furnishing return of income
- Return of loss
- Provisions relating to belated return, revised return etc.
- Permanent account number
- Persons authorized to verify return of income
- Self-assessment
Section B: Indirect Taxes (40 Marks)
Weightage: 30% to 35%
1.Concept of indirect taxes
- Concept and features of indirect taxes
- Principal indirect taxes
2.Goods and Services Tax (GST) Laws
- GST Laws: An introduction including Constitutional aspects
- Levy and collection of CGST and IGST
- Application of CGST/IGST law
- Concept of supply including composite and mixed supplies
- Charge of tax
- Exemption from tax
- Composition levy
- Basic concepts of time and value of supply
- Input tax credit
Weightage: 20% to 30%
- Computation of GST liability
Weightage: 25% to 40%
- Registration
- Tax invoice; Credit and Debit Notes; Electronic waybill
- Returns
- Payment of tax including reverse charge
Weightage: 0% to 5%
- Concept of indirect taxes – Concept and features of indirect taxes; Principal indirect taxes
- GST Laws: An introduction including Constitutional aspects
Note – If any new legislation(s) is enacted in place of an existing legislation(s), the syllabus will accordingly include the corresponding provisions of such new legislation(s) in place of the existing legislations) with effect from the date to be notified by the Institute. Similarly, if any existing legislation ceases to have effect, the syllabus will accordingly exclude such legislation with effect from the date to be notified by the Institute. Students shall not be examined with reference to any particular State GST Law.
Consequential/corresponding amendments made in the provisions of the Income-tax law and Goods and Services Tax laws covered in the syllabus of this paper which arise out of the amendments made in the provisions not covered in the syllabus will not form part of the syllabus. Further, the specific inclusions/exclusions in the various topics covered in the syllabus will be effected every year by way of Study Guidelines. The specific inclusions/exclusions may also arise due to additions/deletions every year by the annual Finance Act.
Suggested Articles: |
Group 2
CA Intermediate Syllabus | Advanced Accounting
(One paper – Three hours – 100 Marks)
Weightage: 20% to 25%
1.Accounting Standards:
- AS 7: Construction Contracts AS 9 : Revenue Recognition
- AS 14: Accounting for Amalgamations
- AS 18 : Related Party Disclosures
- AS 19: Leases
- AS 20 : Earnings Per Share
- AS 24 : Discontinuing Operations
- AS 26 : Intangible Assets
- AS 29 : Provisions, Contingent Liabilities and Contingent Assets.
2.Application of Guidance Notes issued by the ICAI on specified accounting aspects. Company Accounts
Weightage: 35% to 40%
3.Special Aspects of Company Accounts
- Accounting for employee stock option plan
- Buyback of securities
- Equity shares with differential rights
- Underwriting of shares and debentures.
4.Reorganization of Companies
- Accounting for Amalgamation (excluding inter-company holding) and reconstruction
- Accounting involved in liquidation of companies.
Weightage: 15% to 20%
5.Financial Reporting of Banking, Financial Services and Insurance (BFSI)
- Insurance companies,
- Banking companies and
- Non-Banking Financial Companies
- Mutual funds
and regulatory requirements thereof.
Weightage: 20% to 25%
6.Valuation of goodwill
7.Consolidated Financial Statements
Concept of consolidation and simple problems on Consolidated Financial Statements with single subsidiary (excluding problems involving acquisition of Interest in Subsidiary at Different Dates; Different Reporting Dates; Disposal of a Subsidiary and Foreign Subsidiaries)
Notes :
1.If either a new Accounting Standards (ASs), Announcements and Limited Revisions to ASs are issued or the earlier one are withdrawn or new ASs, Announcements and Limited Revisions to AS are issued in place of existing ASs, Announcements and Limited Revisions to AS, the syllabus will accordingly include / exclude such new developments in the place of the existing ones with effect from the date to be notified.
2.The specific inclusions/exclusions, in any topic covered in the syllabus, will be effected every year by way of Study Guidelines. The list of applicable Guidance Notes in Accounting will also form part of the Study Guidelines.
CA Intermediate Syllabus | Auditing and Assurance (100 Marks)
(One paper – Three hours – 100 Marks)
Weightage: 20% to 25%
1.Nature, Objective and Scope of Audit
Auditing Concepts: Nature, objective and scope of Audit; Relationship of auditing with other disciplines;
Standard Setting Process: Overview, Standard-setting process, Role of International Auditing and Assurance Standards Board (IAASB) & Auditing and Assurance Standards Board (AASB); Standards on Auditing, Guidance Note(s) issued by the ICAI;
Engagement Standards: Qualities of Auditor, Elements of System of Quality Control (SQC 1 Quality Control for Firms that Perform Audits and Reviews of Historical Financial Information, and Other Assurance and Related Services Engagements); Ethical requirements relating to an audit of financial statements; Inherent Limitations of an audit (SA 200 Overall Objectives of the Independent Auditor and the Conduct of an Audit in Accordance with Standards on Auditing); Preconditions for an audit; Audit Engagement; Agreement on Audit Engagement Terms; Terms of Engagement in Recurring Audits (SA 210 Agreeing the Terms of Audit Engagements); Leadership Responsibilities for Quality on Audits; Concept of Auditor’s Independence; Threats to Independence; Acceptance and Continuance of Client Relationships and Audit Engagements (SA 220 Quality Control for an Audit of Financial Statements).
2.Audit Strategy, Audit Planning and Audit Programme
Audit Strategy; Audit planning (SA 300); Audit programme; Development of Audit Plan and Programme, Control of quality of audit work – Delegation and supervision of audit work; Materiality and Audit Plan; Revision of Materiality; Documenting the Materiality; Performance Materiality (SA 320 Materiality in Planning and Performing an Audit).
Weightage: 5% to 15%
3.Audit Documentation and Audit Evidence
Concept of Audit Documentation; Nature & Purpose of Audit Documentation; Form, Content & Extent of Audit Documentation; Completion Memorandum; Ownership and custody of Audit Documentation (SA 230 Audit Documentation); Audit procedures for obtaining audit evidence; Sources of evidence; Relevance and Reliability of audit evidence; Sufficient appropriate audit evidence, Evaluation of Audit Evidence (SA 500 Audit Evidence); Written Representations as Audit Evidence; Objective of Auditor regarding Written Representation; Management from whom Written Representations may be requested; Written Representations about Management’s Responsibilities (SA 580 Written Representations); Obtaining evidence of existence of inventory; Audit procedure to identify litigation & claims (SA 501 Audit Evidence – Specific Considerations for Selected Items); External confirmation procedures; Management’s refusal to allow the auditor to send a confirmation request; Negative Confirmations (SA 505 External Confirmations); Audit evidence about opening balances; Accounting policies relating to opening balances; Reporting with regard to opening balances (SA 510 Initial Audit Engagements-Opening Balances); Meaning of Related Party; Nature of Related Party Relationships & Transactions; Understanding the Entity’s Related Party Relationships & Transactions (SA 550 Related Parties); Meaning of Subsequent Events; Auditor’s obligations in different situations of subsequent events (SA 560 Subsequent Events); Responsibilities of the Auditor with regard to Going Concern Assumption; Objectives of the Auditor regarding Going Concern; Events or Conditions that may cast doubt about Going Concern Assumption; Audit Procedures when events or conditions are identified (SA 570 Going Concern).
Weightage: 10% to 15%
4.Risk Assessment and Internal Control: Audit Risk, Identifying and Assessing the Risk of Material Misstatement, Risk Assessment procedures; Understanding the entity and its environment; Internal control ,Documenting the Risks; Evaluation of internal control system; Testing of Internal control; Internal Control and IT Environment (SA 315 Identifying and Assessing the Risks of Material Misstatement Through Understanding the Entity and Its Environment); Materiality and audit risk (SA 320 Materiality in Planning and Performing an Audit); Internal audit, Basics of Standards on Internal Audit (SIAs) issued by the ICAI; Basics of Internal Financial Control and reporting requirements; Distinction between Internal Financial Control and Internal Control over Financial Reporting.
Weightage: 15% to 20%
5.Fraud and Responsibilities of the Auditor in this Regard: Responsibility for the Prevention and Detection of Fraud; Fraud Risk Factors; Risks of Material Misstatement Due to Fraud; Communication of Fraud (SA 240 The Auditor’s responsibilities Relating to Fraud in an Audit of Financial Statements); Provisions of the Companies Act 2013 relating to fraud and rules thereunder including reporting requirements under CARO.
6.Audit in an Automated Environment: Key features, Impact of IT related Risks, Impact on Controls, Internal Financial Controls as per Regulatory requirements, Types of Controls, Audit approach, Understanding and documenting Automated environment, Testing methods, data analytics for audit, assessing and reporting audit findings.
7.Audit Sampling: Meaning of Audit Sampling; Designing an audit sample; Types of sampling; Sample Size and selection of items for testing; Sample selection method (SA 530 Audit Sampling).
8.Analytical Procedure: Meaning, nature, purpose and timing of analytical procedures; Substantive analytical procedures, Designing and performing analytical procedures prior to Audit; investigating the results of analytical procedures (SA 520 Analytical Procedures).
Weightage: 10% to 15%
9.Audit of Items of Financial Statements: Audit of sale of Products and Services; Audit of Interest Income, Rental Income, Dividend Income, Net gain/loss on sale of Investments etc.
Audit of Purchases, Employee benefits expenses, Depreciation, Interest expense, Expenditure on Power & Fuel, Rent, Repair to building, Repair to Machinery, Insurance, Taxes, Travelling Expenses, Miscellaneous Expenses etc.
Audit of Share Capital, Reserve & Surplus, Long Term Borrowings, Trade Payables, Provisions, Short Term Borrowings & Other Current Liabilities. Audit of Land, Buildings, Plant & Equipment, Furniture & Fixtures, Vehicles, Office Equipments, Goodwill, Brand/Trademarks, Computer Software etc. Audit of Loan & Advances, Trade Receivable, Inventories, Cash & Cash Equivalent, Other Current Assets. Audit of Contingent Liabilities.
(The list of items is illustrative only)
10.The Company Audit: Eligibility, Qualifications and Disqualifications of Auditors;Appointment of auditors; Removal of auditors; Remuneration of Auditors; Powers and duties of auditors; Branch audit; Joint audit; Reporting requirements under the Companies Act, 2013 including CARO; Other Important Provisions under the Companies Act, 2013 relating to Audit and Auditors and Rules made thereunder.
Weightage: 5% to 15%
11.Audit Report: Forming an opinion on the Financial Statements; Auditor’s Report- basic elements (SA 700 Forming an Opinion and Reporting on Financial Statements); Types of Modified Opinion; Circumstances When a Modification to the Auditor’s Opinion is Required (SA 705 Modification to the Opinion in the Independent Auditor’s Report); Qualification, Disclaimer, Adverse opinion (SA 706 Emphasis of Matter Paragraphs and Other Matter Paragraphs in the Independent, Auditor’s Report); Nature of Comparative Information; Corresponding Figure; Comparative Financial Statements (SA 710 Comparative Information
– Corresponding Figures and Comparative Financial Statements).
Weightage: 10% to 20%
12.Audit of Banks: Understanding of accounting system in Banks, Audit Approach, Audit of Revenue items, Special Consideration in Bank Audit with emphasis on Advances and NPAs.
13.Audit of Different Types of Entities: Appointment of Auditor, Audit Procedure. Audit Report in respect of different Category of Entities mentioned below: government; Local bodies and not-for-profit organizations; Partnership Firms, Audit of different type of undertakings, i.e., Educational institutions, Hotels, Clubs, Hospitals Basics of Limited Liability Partnerships (LLPs) audit and Co-operative Societies Audit.
Note:
- The specific inclusions/exclusions, in any topic covered in the syllabus, will be effected every year by way of Study Guidelines.
- The provisions of the Companies Act, 1956 which are still in force would form part of the syllabus till the time their corresponding or new provisions of the Companies Act, 2013 are enforced.
- If new legislations/ Standards on Auditing/Guidance Notes/Statements are enacted in place of the existing legislations, the syllabus would include the corresponding provisions of such new legislations with effect from a date notified by the Institute. The changes in this regard would also form part of Study Guidelines.
CA Intermediate Syllabus | Enterprise Information Systems and Strategic Management
(One paper – Three hours – 100 Marks)
Section A: Enterprise Information Systems (50 Marks)
Weightage: 15% to 25%
1. Automated Business Processes
- Introduction to Enterprise Business Processes, Benefits, Risks and Controls;
- Diagrammatic representation of business processes using Flowcharts;
- Risks and controls for specific business processes: Procure to pay (P2P), Order to cash, Inventory Cycle, Hire to Retire, Supply Chain Management, Fixed Assets etc.
- Applicable regulatory and compliance requirements including computer related offences, privacy, cybercrime, Sensitive Personal Data Information of Information Technology Act, 2000
Weightage: 15% to 25%
2. Financial and Accounting Systems
- Integrated (ERP) and non-integrated systems with related risks and controls;
- Business process modules and their integration with Financial and Accounting systems.
- Reporting Systems and MIS, Data Analytics and Business Intelligence
- Business Reporting and fundamentals of XBRL (eXtensible Business Reporting Language).
- Applicable regulatory and compliance requirements
Weightage: 15% to 25%
3. Information Systems and Its Components
- Components of Automated Information Systems: Application Systems, Database, Network and Operating System with related risks and controls.
- Mapping of Organization structure with segregation of duties in Information Systems.
Weightage: 15% to 25%
4. E-Commerce, M-Commerce and Emerging Technologies
- Components and Architecture of E-Commerce and M-Commerce with related risks and controls
- Business process flow with its related risks and controls
- Applicable regulatory and compliance requirements
- Emerging technologies with its related risks and controls
Weightage: 15% to 25%
5.Core Banking Systems
- Components and Architecture of CBS and related risks and controls
- Core modules of banking and Business process flow and its related risks and controls
- Reporting Systems and MIS, Data Analytics and Business Intelligence
- Applicable regulatory and compliance requirements
Section B: Strategic Management (50 Marks)
Weightage: 10% to 15%
1. Introduction to Strategic Management
- Business Policy
- Meaning and Nature of Strategic management
- Business Strategy
- Strategic Levels in Organizations
- Strategic Management in Government and Not-for-profit organization
Weightage: 10% to 15%
2.Dynamics of Competitive Strategy
- Competitive Landscape
- Strategic Analysis
- Industry and Competitive Analysis
- Core Competence
- Competitive Advantage
- Internal and External Analysis
- SWOT Analysis
- Globalization
Weightage: 10% to 15%
3.Strategic Management Process
- Strategic Planning
- Strategic Intent – Vision, Mission and Objectives
- Strategy Formulation
Weightage: 10% to 15%
4.Corporate Level Strategies
- Concepts and Nature of Corporate Strategy
- Strategic Alternatives at Corporate Level
- Growth
- Stability
- Expansion
- Business Combinations – Mergers and Acquisitions
- Strategic Alliances
- Turnaround
- Retrenchment and Retreat
Weightage: 10% to 15%
5.Business Level Strategies
- Competitive Strategies at Business Level
- Michael Porter’s Generic Strategies
- Best-Cost Provider Strategy
Weightage: 10% to 15%
6.Functional Level Strategies
- Marketing Strategy
- Financial Strategy
- Operations Strategy
- Human Resource Strategy
- Research and Development
Weightage: 10% to 15%
7.Organisation and Strategic Leadership
- Organisation Structure
- Strategic Business Unit
- Strategic Leadership
- Strategy Supportive Culture
- Entrepreneurship and Intrapreneurship
Weightage: 10% to 15%
8.Strategy Implementation and Control
- Strategy Implementation
- Strategic Change
- Strategic Control
- Strategy Audit
- Business Process Reengineering
- Benchmarking
CA Intermediate Syllabus | Financial Management and Economics For Finance
(One paper – Three hours – 100 Marks)
Section A: Financial Management (60 Marks)
Weightage: 10% to 15%
1.Financial Management and Financial Analysis
- Introduction to Financial Management Function
- Objective and scope of financial management
- Role and purpose
- Financial management environment
- Functions of finance executives in an organization
- Financial distress and insolvency.
- Financial Analysis through Ratios
- Users of the financial analysis
- Sources of financial data for analysis
- Calculation and Interpretation of ratios:
- Analysing liquidity
- Analysing leverage
- Analysing solvency
- Analysing efficiency/ activity
- Analysing profitability
- Limitations of ratio analysis
Weightage: 40% to 45%
2. Financing Decisions
- Sources of Finance
- Different Sources of Finance, Characteristics of different types of long term debt and equity finance, Method of raising long term finance
- Different Sources of short term Finance
- Internal fund as a source of finance
- International sources of finance
- Other sources of finance- Sale and leaseback, Convertible debt, Venture capital, Grants etc.
- Lease Financing
- Concept and Classification
- Significance and Limitations of Lease Financing
- Financial Evaluation of Leasing Decision
- Cost of Capital
- Significance of cost of capital
- Factors of cost of capital
- Measurement of costs of individual components of capital
- Weighted average cost of capital (WACC)
- Marginal cost of capital
- Effective Interest rate
- Capital Structure Decisions
- Significance of capital structure
- Determinants of capital structure
- Capital structure planning and designing
- Designing of optimum capital structure
- Theories of Capital Structure and value of the firm- relevancy and Irrelevancy of capital structure.
- EBIT- EPS Analysis, Breakeven- EBIT Analysis.
- Under/ Over Capitalisation.
- Leverages
- Types of Leverages- Operating, Financial and Combined
- Analysis of leverages
Weightage: 30% to 35%
3.Capital Investment and Dividend Decisions
- Capital Investment Decisions
- Objective of capital investment decisions
- Methods of Investment appraisal:
- Payback period, Discounted payback period
- Accounting Rate of Return (ARR),
- Net Present Value (NPV) – The meaning of NPV, Strengths and limitations of NPV method, The impact of taxation on the NPV analysis, The impact of Inflation on the NPV analysis, The working capital adjustment in an NPV analysis, Capital rationing, Equivalent Annual Costs, Adjusted present value
- Internal Rate of return (IRR)- Limitations of the IRR method, Multiple IRRs,
- Modified internal Rate of Return (MIRR)- Definition and explanation of MIRR, The process for calculating MIRR, Strengths of the MIRR approach.
- Profitability Index
- Capital Investment Decisions
- Adjustment of Risk and Uncertainty in Capital Budgeting Decision
- Probability Analysis
- Certainty Equivalent Method
- Risk Adjusted Discount Rate
- Monte Carlo Simulation
- Decision Tree Analysis
- Scenario Analysis
- Sensitivity Analysis
- Dividend Decisions
- Basics of Dividends
- Forms of dividend
- Determinants of dividend
- Relevancy and Irrelevancy of Dividend Policies- Traditional Approach, Walter’s model, Gordon’s model, Modigliani and Miller (MM) Hypothesis.
Weightage: 10% to 15%
4.Management of Working Capital
- Management of Working Capital
- The management of working capital- Liquidity and Profitability
- The Working capital financing decisions- Primary and Secondary Sources of Liquidity
- The working Capital Cycle (operating Cycle), Effectiveness of Working Capital based on its operating and cash conversion cycles
- Assessment of working capital requirement
- Management of Accounts Receivables (Debtors)
- Factoring and Forfaiting
- Management of Accounts Payables (Creditors)
- Management of Inventory
- Management of Cash, Treasury management
- Banking norms of working capital finance
Section B: Economics For Finance (Marks: 40)
Weightage: 20% to 30%
1.Determination of National Income
- Macro Economic Aggregates and Measurement of National Income
- The Keynesian Theory of Determination of National Income
Weightage: 20% to 30%
2.The Money Market
- The Concept of Money Demand: Important Theories of Demand for Money
- The Concept of Money Supply
- Monetary Policy
Weightage: 20% to 30%
3.Public Finance
- Fiscal functions: An Overview.
- Market Failure
- Government Interventions to Correct Market Failure
- Fiscal Policy
Weightage: 20% to 30%
4.International Trade
- Theories of International Trade
- Trade Policy – The Instruments of Trade Policy
- Trade Negotiations
- Exchange Rates and its economic effects
- International Capital Movements: Foreign Direct Investment
I think this article will help you to check ” CA IPCC new syllabus / CA Intermediate syllabus which is applicable from May 2018. ”
If you have any doubts regarding CA Intermedaite course then let me know in the comments section.
Share this article with your friends who are going to write CA Intermedate exams in May 2018.
Content in this Article