New FM – New Rule: Power of CA Curtailed


New FM – New Rule: Power of CA Curtailed
Central Government has amended Rule 11UA of Income-tax,  Rules 1962 whereby they debars CA from issuing valuation report using  DCF method for valuation of Shares. Notification S.O. 2087(E) dated 24.05.2018
Now such reports can only be issued by Merchant Bankers.

(Department of Revenue)
(Central Board of Direct Taxes)
New Delhi, the 24th May, 2018

S.O. 2087(E).—In exercise of the powers conferred by sub-section (2) of section 56 read with section 295 of the Income-tax Act, 1961 (43 of 1961), the Central Government hereby makes the following rules further to amend the Income-tax Rules, 1962, namely:⎯

1.    (1) These rules may be called the Income-tax (6th Amendment), Rules, 2018.
(2) They shall come into force from the date of their publication in the Official                 Gazette.

2. In the Income-tax Rules, 1962 (hereinafter referred to as the principal rules), in rule        11U, clause (a) shall be omitted.

3. In the principal rules, in rule 11UA, in sub-rule (2), in clause (b), the words “or an           accountant” shall be omitted.

[Notification No. 23/2018/F. No.370142/5/2018-TPL]
PRAVIN RAWAL, Dir. (Tax Policy and Legislation)

Note.- The principal rules were published in the Gazette of India, Extraordinary, Part-II, Section 3, Sub-section (ii) vide notification number S.O.969(E), dated the 26th March, 1962 and last amended by the Income-tax (Fifth Amendment) Rules, 2018, vide notification number S.O. 1558 (E), dated 11th April,