Regulatory updates

The Indian pharmaceutical industry is exposed to varied nature of resources and a complex external environment. This requires the need of optimised use of resources, assessment and improvement of existing controls and processes, assurance and advice w.r.t. governance, risk appetite, risk and control culture. Thus, internal audit is seen as a good tool for the growth of pharmaceutical industry. In this regard, Chartered Accountants play a crucial role in assisting pharmaceutical industry by planning and channelling risks into opportunities, as well as assisting management in taking further action.

Recently, ICAI released a technical guide to provide guidance to the internal auditors in carrying out internal audit of companies operating in pharmaceutical industry. It provides guidance on various aspects involved in different stages of the pharmaceutical industry and regulatory framework. The guide also describes risks associated with pharmaceutical industry and internal controls checklist for various processes.

To access the text of the technical guide, please click here

Concurrent audit is a management process, integral to the establishment of a sound internal accounting function and effective control mechanism for banks. In order to assist the members in understanding the intricacies of concurrent audit and thereby improve the quality of concurrent audit reports, recently, ICAI issued the manual on concurrent audit of banks (2023 edition). The manual incorporates the revised concurrent audit guidelines issued by RBI in September 2019 and includes the revised concurrent audit checklist. It comprises of the following three parts:

• Part I: Understanding the banking business and its legal framework
• Part II:Domain of concurrent audit, and
• Part III: Concurrent audit checklist and core banking system.

To access the text of the manual, please click here

Over the past few years, charitable trusts and institutions have witnessed a major transformation in terms of the reporting requirements. In order to better equip the practitioners in engaging with such entities, recently, ICAI issued a technical guide on reports of audit under Section 12A/10(23C) of the Income Tax Act, 1961 (the technical guide). The technical guide encompasses the taxation aspects relating to charitable trusts and institutions, exploring the fundamental concepts that underpin their creation and operation.

It would enable the members to understand the intricacies w.r.t. recent amendments in this sphere and its related re-notified audit forms.

To access the text of the technical guide, please click here