Скачать или смотреть Iam SME of India - Seminar 2022-04-06 on Capacity Building for MSME's - Accounts and Taxation Dept

CAPACITY BUILDING WORKSHOP : “Important To-do things in Accounts Dept in April 2022"
Mr Sangeet Kr Gupta and Mr Rajiv Chawla, Chairman of IamSME of India

IamSMEofIndia is organizing a capacity Building workshop for the MSME Co-Founders, and their Right hand, the Accountants, of our industry members.
Topics Covered
1. Things you must do in April 2022 for a Better Balance Sheet, - Current Ratio, Debt Equity Ratio, DSCR Ratio
2. Term Loan repayment, is that a good idea ?
3. CC Limit vs OD limit against Property – Which is better ? and when ?

4. GST - Actions you must do now in March 2022
5. TDS and TCS – Actions you can take, to make yourself safer
6. Fixed Assets – Measure you can do, should do Now

7. Importance of Funds Flow – How to show to your management. Key Points
8. Importance of CARO Report – many important para’s for 2022 ( First time ever )
Submitted by :
Problem in hand
Mission
Let us start the journey



Has the company, during any point of time of the year,
sanctioned working capital limits in excess of five crore rupees, in aggregate,
from banks or financial institutions on the basis of security of current assets.
And….


Are the quarterly returns or statements filed by the company with financial institutions or banks
in agreement with the books of account of the Company.
In case of non-agreement, to provide details of such non-agreement.

   • Stock Audit, Physical Verification of Stoc...  


Action points ?
Verification of Stock
How to do ?
Tambola Method : stock verification
Which item code number ?
Every item ending with the digit “6”

Post Lunch walking method 1
Actual physical to ERP



Is this matching ?
So, what to do ?
Do it yourself
Cross Functional team
Out source this function


1. Things you must do in April 2022 for a Better Balance Sheet, - Current Ratio, Debt Equity Ratio, DSCR Ratio

Mathematics
Same company
Same financials
One with more profit
One with less
Who gets the loan ?
Benefit of paying more tax ?
Rate of interest on unsecured 18%

Rate of interest SIDBI : 5% to 7%

Who are you saving tax for ?
Better earn more
Save that much in interest alone


Sales Graph
How the Chart is made ?
Profit Percentage ?
How the Chart is made ?
What is the Minimum Profit Percentage ?
Excellent : 5% PAT ( means around 7% PBT )
Ideal Average : 5% PBT
Upto 2% PBT is sustainable

Below that, usually the case will not meet the requirements of the “safe investment”
.
Current Ratio
Current Ratio
How the Chart is made ?
What is the Minimum Current Ratio ?
Excellent : 1.35 +
Ideal Average : 1.25
Minimum : 1.10
Below 1.00 is RISKY / not sustainable

Below that, usually the case will not meet the Bank’s requirements of the “safe repayment norms”
.
TOL / TNW
TOL / TNW
How the Chart is made ?
What is the Minimum TOL / TNW ?
Safe : below 2.50
Ideal Average : 2.00
Maximum : 3.00
Above 4.00 is Too RISKY / not sustainable

Above that, usually the case will not meet the Bank’s requirements of the “safe repayment norms”.
You wont like to give loan to him either.
.
How is all this done ?

Now let us have some QuestionsWill your bank give loan to them ?

Checklist of Documents
Next
Input Tax Reconciliation ?
Monthly Reconciliation
ITC as per Books Vs ITC as per GST 3B


Started : free hand
Then 20%
Then 10%
Then 5%
Now zero
Must do
No doubts anyway
Next
ITC 04 Return
ITC 04 details
Option on the Portal

Frequency
With effect from 1st October 2021, the frequency of filing the ITC-04 form has been revised through the Central Tax notification number 35/2021 dated 24th September 2021, as follows-
(1) Those with AATO more than Rs.5 crore –
Half-yearly from April-September- due on 25th October and October-March due on 25th April.

(2) Those with AATO up to Rs.5 crore – Yearly from FY 2021-22 due on 25th April.
CAPA
File GST Returns properly.
First Reconcile data with books than file return

Timely Complete Data entry
Must Stop back date entries
Finalized data Till 5th of Next month

Regular Audit Of Books with GST Returns

Next

Term Loan repayment, is that a good idea ?

Term Loan
Whereas the Repayment of TL with CC ?
Always
Else
Rate of interest
Keep the CC free
Keep Good Buffer in the CC
Get money from Debtors

Real Estate
Takes away creditors money
Manage that pressure inside to buy more land

If you want, do it
But with 75% loan
And 25% from good profits
Next

3. CC Limit vs OD limit against Property – Which is better ? and when ?



Rate of interest
Collateral percentage
Ease of getting ?
Monthly Stock Reports ?
Stock Audits ?
CARO Report

Next
Debit Notes to Vendors
Wait for his credit note
Or make a invoice ?


Ease of Doing Business ?

Some Best Ideas for Debit Notes
Next
Actions in TCS ?
Actions in TDS ?
Next

Importance of Funds Flow –
How to show to your management. Key Points


Where is my money ?
Profit , where is that ?


Funds flow points
Given for Management partners capital /drawings
Fixed assets
Inc in debtors
Inc in stock
Inc in property advances
Repayment of loans