Auditing and Assurance
Auditing & Assurance Services are at the core of any Financial Management setup. It ensures proper working of the organisation according to laid down internal controls and also the efficiency and effectiveness of the controls itself. At SBU & CO, we offer a complete range of Assurance Solutions to help improve your financial efficiency, accuracy and stability.
We provide following Audit Services:
Bookkeeping & Outsourced Accounting
Bookkeeping is a systematic record of financial transactions in the appropriate books of records. What it means is, whether you make a sale or purchase something, a record will be maintained of the transaction. This record will allow you to easily keep a track of all your transactions and will help you analyse how you can cut costs and reduce taxes.
Bookkeeping services are necessary for all businesses to ensure accurate operational / financial information. Such information is required by Management, Regulators, and Investors. Also, it is a legal requirement for any business to maintain an appropriate book of accounts to ensure that all relevant taxes are paid and tax filings are made on time.
Bookkeeping is the process of recording financial transactions of a business in an accounting system and the creation of reports. However, many small businesses do not have complete accounting departments and require external bookkeeping services
Accountants may handle more advanced tasks like tax preparation, budget analysis, and investment development. Both Accountants and bookkeepers frequently use advanced financial software to record and track their information. An accountant takes the bookkeeping data and creates the necessary books of accounts for tax compliance
The danger here is that the work of the bookkeeper has a directly effects the work of the accountant. If the books of accounts are wrong, then the accounting reports will also be wrong. Hence, the importance of using a first-rate bookkeeping service is the key to the success of your business.
We provide following Book Keeping Services:
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We provide our clients with financial statements, which summarize the company’s assets, liabilities, and their shareholders’ equity. This helps in giving the investors an idea about what the company owns or owes, including the amount that the shareholders have invested
The P&L service helps a company determine the profit and loss through a statement reports which includes details on the company’s revenues, expenses, as well as the gains and losses which took place during a specific time.
We also performs bank reconciliation process for companies to ensure that all the records (inclusive of the check register, general ledger account, balance sheet etc.) are error-free and we also checks if all your bank’s records are correct.
Companies and LLPs are required to maintain books of accounts as mandated by their governing statutes, namely Companies Act, 2013 and Limited Liability Partnership Act, 2008. Further, Income Tax Act, 1961 also obligates the maintenance of the books of accounts, irrespective of the form of business, and has separate provisions related to it. Thus, there may be a situation where a Private Limited Company is required to comply with such legal provisions as well.
Maintaining or not maintaining books by handing over the job to a professional firm does not determine whether you need to undergo audit or not. Furthermore, there are several different types of audits such as, internal audit, cost audit, tax audit and statutory audit. Each audit has its own statutory requirements, thresholds of being conducted with relevant deadlines and due dates.
How we can help you
- Day-to-day GAAP accounting
- Audit support
- Preparation of financial statements as per respective GAAP
- Financial planning and analysis
- Monthly MIS reporting and dashboard
- Inventory management
- Cash flow management
- Trade receivables and payables Management
Points to Note
- Recording transactions in an excel sheet is a partial exercise. You need to maintain additional books of accounts like Journal, Ledger, Trial Balance, Cash Book, P&L A/c, Balance Sheet and Cash flow Statements in commonly accepted accounting software
- If accounting is the product, accounting standards are its prescription. Accounting standards are enacted and published by The Institute of Chartered Accountants of India, meant to be followed by businesses for true and fair view of their activities. All accounting standards are not mandatory for all forms of businesses. Simply put, bigger is your business, more are the accounting standards which needs to be followed
- You need to maintain accounts mandatory whether you are incurring losses or earning profits. Not earning revenue cannot be an excuse to non-maintenance of books. As long as you are entering into transactions, you need to account for the same. The interesting thing is that if you maintain accounts in the years of losses, and file tax returns for the same, you get the benefit of setting off losses in the years of profit generation
- Accounting is the process of storing, sorting and recording financial transactions. All businesses are required by law to submit their accounts to the Income Tax (IT) Department. Several start-ups tend to ignore this requirement early on, and then scramble to put together their accounts when they are raising funding or being acquired. Maintaining the books in-house certainly is a tedious and possibly expensive affair, but getting it done would significantly reduce pains in complying with the requirements of the IT Department, give the promoters and shareholders a good sense of how the business is doing, prove eligibility for loans in later years, and even satisfy investors
Taxation
In today’s world, corporate as well as individuals are required to comply with a number of tax compliances, which require expert knowledge and are mostly time-bound and technical in nature. Moreover, most of the tax compliances nowadays are required to be completed online and require specialized knowledge and expertise. SBU & CO specialize in providing Time-bound and quality Tax services to our clients. Our range of Tax services cover all aspects of Indian Tax Laws. Our services help our clients to operate efficiently and minimize their tax liability
We provide the following Tax Services:
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GST is a huge reform for indirect taxation in India, the likes of which the country has not seen post Independence. GST will simplify indirect taxation, reduce complexities, and remove the cascading effect. Experts believe that it will have a huge impact on businesses both big and small, and change the way the economy functions.
How we can help you :
- Help with specific doubts/ queries raised daily transactional matters related to GST including
- Registrations at various locations from where supply is to be made
- Base on which goods and services can be valued for payment of Goods and Service Tax
- Helping with sample invoices and credit/debit note formats to be used
- Helping with records that need to be maintained
- Help relating to claiming input tax credit
- Help on liability under reverse charge.
GST Return filing :
- Assistance in Preparation and filing/ review of monthly GST return on GSTN portal (3 in no.) on or before due dates i.e 10th, 15th and 20th of subsequent month
- Assistance in Preparation and filing/review of annual GST return on GSTN portal (1 in no.) on or before 31st December 2017.
GST Audit :
- Help with GST audit and uploading of relevant information/report on portal.
GST representation Service :
- Representation before GST officers as and when required
- Tax Audit
- Tax Planning and consulting
- Income tax assessments
- Transfer Pricing Audit
- Registrations
- Income Tax
- International Taxation
Any merger and acquisition transaction has to be carefully planned and executed ; therefore, before closing a deal and to make more informed decisions, the buyer normally carries out certain agreed upon procedures to assess the deal from commercial, financial, tax and legal standpoints. Beside important issues, this includes a spectrum of tax and regulatory issues such us exchange control, income taxes, indirect taxes and capital market regulations. The agreed upon procedures are normally described as a ‘due diligence exercise’.
The need for a due diligence exercise can perhaps be linked to the phrase forewarned is forearmed’. Although due diligence is not a panacea against investment failures, it provides the potential buyer with relevant information and business/targets proposed to be acquired and helps manage associated risks
Tax is one of the material and unavoidable costs. Hence, tax due diligence plays a significant role in M&A decision making, though tax is normally not the primary consideration in the context of M & A transaction. Conventionally, tax due diligence is carried out to understand the tax profile of the target and to uncover and quantify tax exposures. However, tax due diligence also encompasses identifying any tax upside (potential tax benefits that are not being claimed/envisaged by the target) which may be available with the target. It also assists in identifying and developing a suitable acquisition structure for the deal in question
In practice, the most common form for tax risk mitigation is through tax warranties and indemnities in the agreement. The buyer needs to be balanced while negotiating for this tax protection to ensure that it does not impact the commerciality of the transaction for the seller
To summaries, a tax due diligence is normally carried out to :
- Validate the representation made by the seller at the time of pre-deal negotiations
- Validate the assumptions made by the buyer in valuing the target
- Identify any material tax exposures that may be residing with the target
- Identify any material upsides (potential tax benefits that are not being claimed/envisaged by the targets)
- Structure the deal in a tax-efficient manner
Others
SBU & CO provides services in various other fields for our clients. We specialise in operational support, certifications, corporate and secretarial compliances etc.
We provide following operational support :
- Streamlining and developing critical business processes
- Design and review of sales incentive schemes and process
- Assistance in SME fund raising
- Benchmarking key processes with industry standards
- Drafting SOP’s and internal policies
- Company/LLP formation
1) Statutory Audit ( Including ICFR )
Statutory Audit is Audit of Books of Accounts according to requirements of any Statute to ensure true and fair view of the accounts as well as compliance with any special requirements of the statute under which audit is undertaken.
In simple terms statutory audit in India is equated with Audit under the Companies Act. Every company incorporated under the companies act is required to get its accounts audited by a Chartered Accountant in Practice to ensure true and fair view of the accounts. Further, the auditor has to ensure compliance with various provisions of the Companies Act. Statutory Audit ensures reliability of annual accounts of the company for various consumers of Accounts of the Company like government, shareholders, debtors, creditors, bankers etc..
The complexity of Statutory Audit Function has increased manifolds during recent times. Globalization, Fast Changing Business and Statutory environment combined with need for synchronization with various global accounting standards and ever increasing reliance on audited accounts by a variety of interested parties has put ever increasing responsibilities on the shoulders of any statutory auditor.
Our statutory audit team consist of ever improving set of skilled individuals trained extensively for conducting auditing function. Our auditing team is trained and updated on the ever changing compliance requirements to stay ahead of the curve..
Our statutory audit department is geared to conduct audit under any applicable statute along with complying with various global standards to ensure usability of audited accounts for most of the interested parties like financial institutions, shareholders, directors, investors, government, bank and general public at large.
2) Internal Audits
Internal auditing is an independent, objective assurance and consulting activity designed to add value and improve an organization’s operations. It helps an organization accomplish its objectives by bringing a systematic, disciplined approach to evaluate and improve the effectiveness of risk management, control, and governance processes.
Today Internal Audit is not just an audit of Financial working of an organisation. It has evolved to become a tool in the hands of management to ensure proper working of any function of the organisation be it production or sales or finance or human resources.
Over the time the role of Internal Auditor has widened from just ensuring the correctness of financial system of any organisation to include consultative processes like advising on better utilisation of organisations resources, better management of financial as well as non-financial functions etc
Our Internal Audit Department strives to ensure that Internal Audit is conducted with the highest standards & auditing procedures to ensure total compliance of client’s requirements.
3) Other Assurance Services