Empanelment For Chartered Accountants for Statutory Audit of Institute of Cost Accountants of India
NOTICE INVITING EXPRESSION OF INTEREST FOR EMPANELMENT OF FIRM OF CHARTERED ACCOUNTANTS FOR STATUTORY AUDIT OF THE INSTITUTE OF COST ACCOUNTANTS OF INDIA FOR THE FINANCIAL YEAR 2019-20
EXPRESSION OF INTEREST OF APPOINTMENT OF STATUTORY AUDITORS OF THE INSTITUTE FOR 2019-20
The Institute of Cost Accountants of India (erstwhile The Institute of Cost and Works Accountants of India) is a statutory body which has the role of promoting, regulating and developing the profession of Cost Accountancy.
The Institute invites offers from interested Chartered Accountant firms for appointment as Statutory Auditors of the Institute with experience in auditing the Accounts of autonomous Institutions/statutory bodies and provide the services as per the Scope of Work stated below.
The Statutory Audit will be carried out in accordance with the Generally Accepted Auditing Principles and will include tests and controls, as the auditors feel necessary under the circumstances. The major areas to be covered are as under :-
Headquarters, Kolkata & Delhi Office
1. Statutory Audit to cover the areas ensuring that,
(a) Transactions are recorded as per principles of Generally Accepted Accounting Principles and are booked to proper accounting heads.
(b) Utilization of funds is in accordance with financing agreements.
(c) To check all statutory records registers including Minute Books and to see that accounting effects of all the decisions taken at General Meeting / Board of Governors Meeting /Audit Committee Meeting are given in the Books of Account.
(d) Goods and services have been procured in compliance with the financing agreement.
(e) Transactions are duly supported by proper supporting documents.
(f) Checking the maintenance of books of accounts and records.
(g) Checking the bank reconciliation statements.
(h) Checking of component wise, category-wise and account head wise expenditures.
(i) Checking of investments, short term deposit etc. made from time to time
(j) Checking of various taxes/statutory compliance.
(k) Verification of fixed deposit register and checking of interest received.
(l) File Annual Income Tax Return of the Institute through Form 10(b) & ITR 7.
(m) To give executive summary incorporating all points/matters; which are of very important nature.
2. Financial Books
Verification of Bank Book Journal, Vouching of Imprest Cash.
(b) Scrutiny of all General Ledger, Staff Advance Registers, Commenting on loan outstanding entries, etc.
(c) Verification of cash, cheques on hand etc. as on 31st of March every year
(d) Verification of all computer vouchers and sheets ensure correct coding and accounting head.
(e) Scrutiny of general ledger and Verification of Income and Expenditure
Statement, and Balance sheet and other Schedules.
(f) Verification of Salary/ Consultancy payments, P.F, I.T., TDS, GST, Professional Tax etc. and verification of submission of various return to the competent authority in time.
(g) Verification of fixed asset register (FAR) and to check the reconciliation of physical verification report with the FAR.
(h) Verification of detailed schedule of interests received on Fixed Deposit investments and calculations of accrued interest.
(i) Verification of all financial information completely, promptly and after the necessary authorisation was recorded.
(j) Any other work needed for Accounts finalization.
3. Accounting policy & standard
(a) To review and help the management in implementing proper accounting procedures, internal check control and computerized systems.
(b) Review of Accounts.
(c) Check all recorded entries comply with accounting standard.
4. The Chartered Accountant firm so appointed would be required to give :-
Audit Certificates and issue any other certificate as may be required by the Institute from time to time without any additional fee to be paid by the Institute.
Statements in annual report that describes the work of The Institute of Cost Accountants of India. The responsibilities of the audit also include reporting on the adequacy of statements.
TIME PERIOD FOR ENGAGEMENT
The selected Chartered Accountant firm will be required to provide the above mentioned services as Statutory Auditors initially for the accounting year i.e, 2019-20 and will be renewed further for next 2 years depending upon the satisfactory performance, on mutually agreed terms.
PRE-QUALIFICATION CRITERIA OF THE CA FIRM
The bids of only those firms will be considered, which satisfy the following eligibility criteria :
a. The Chartered Accountant Firm should be registered with The Institute of Chartered Accountants of India (ICAI) and have Income Tax Permanent Account Number (PAN) and GST Registration.
b. The firm should have been in operation for minimum 10 years after its registration and at least 5 years experience in Audit of Annual Accounts of Central Autonomous Bodies / Public Sector Undertakings/Statutory Bodies and Filing of Returns of Income Tax.
c. The average gross profession fee received / earned by the firm in the last 3 financial years (2015-16, 2016-17 and 2017-18) must be equal to or more than Rs.50.0 lakhs per annum
d. The Chartered Accountant firm should have at least 5 partners. The audit firm shall have a minimum of 7 full time chartered accountants of which at least 5 should be full time partners/ exclusively associated+ partners. Four should have minimum continuous association of 5 years each and one with a minimum continuous association of one year. The remaining two could be either exclusively associated+ partners or CA employees. There should be at least one year continuous association for both exclusive partners and CA employees. Four of the partners should be FCAs. Also, at least two of the partners should have minimum 15 and 10 years experience in practice.
e. In addition to the partners, the firm should have minimum 5 Nos. of Article Clerk including and other experienced staff performing audit / accounting work in addition to the Partners.
f. In order to avail expertise of the Statutory Auditors it should be ensured that the firm was not been appointed during last three years in the Institute Headquarters, Regional Council and Chapters, if appointed, they shall not be considered for re-appointment.
a. The professional fee will be Rs.3,30,000/- (Rupees Three lakh Thirty Thousand only) plus applicable Taxes plus out of pocket expenses, if any for the entire contract period. For Consolidation of Accounts, Rs.2, 200/- per Region and Rs.825/- per Chapter plus applicable taxes will also be paid. Payment shall be made against invoices on completion of the audit and submission of audit report. No proposal for variation would be allowed during the contract period.
b. Taxes as per Income Tax Act / Rules will be deducted at applicable rates from all payments made by the Institute.
SUBMISSION AND EVALUATION OF THE TENDER
1. Submission of tender
Interested firms meeting all the pre-qualification criteria as mentioned in Point-3 above may submit their offer in the prescribed Annexure / sub-Annexure of this tender.
(i) Annexure-A duly filled Pre-qualification-cum-Technical Bid along with all supporting documents duly signed with Seal of the authorized Partner and should be submitted in one sealed envelope super scribed as PRE QUALIFICATION AND TECHNICAL BID for Tender No. ICAI / STATAUDIT/ 01/2019-20.
(ii) The tender should reach the following address latest by 15:00 hours of 19th September 2019.