Question:
Discuss About The Stakeholders In Situation Business Process?
The government- the government is one of the main stakeholders in this process. When deferring tax or manipulating accounts, the government stands to lose as it is more likely to understate the revenues collected than to tell the truth about the earnings. Deferring recognition on tax free incentives means that most of the cash inflows that the government may tax as revenues will not be taxed.
Management– the management of Vroom Ltd is also a stakeholder as its accounts are being manipulated left right and centre due to the need of not stating the correct revenues received. It may however come to bite them as the tax man will come looking for the differed tax that are withheld from the government but have authentic place of issuance are always recovered. The management is however supposed to do an audit into the books of accounts of the current financial year.
Shareholders- the shareholders of Vroom Ltd, the vehicle engine parts manufacturer will also be affected as the understated revenues will reduce the dividend payables subject to the boards approval. Shareholders who have invested in the shares under the Australian stock exchange will also have a long way to settle their outstanding share values.
Suppliers- in case the company will be caught trying to differ tax, the suppliers of the vehicle parts they are selling will be questioned to for the purpose of accounts authenticity.
You can request the deferral or split of payment of the tax debt, both in the voluntary and executive period, in the existing official models (CAT06 and CAT08) provided that it is current in its tax obligations with the granting of the deferral, a situation that must be maintained during the whole term of the same.
However, the requirement that the applicant be aware of his tax obligations with the grant of deferment shall not be required if all debts whose postponement is requested are in the executive period.
However, the requirement that the applicant be aware of his tax obligations with the grant of deferment shall not be required if all debts whose postponement is requested are in the executive period.
The latest regulatory changes in relation to deferrals and installments of payment of tax debts are aimed at reducing the use of this figure, with the purpose that these debts are paid in their regulatory term and with the aim of increasing tax revenues of the State.
It is understood that the postponement or fractionation of payment of a tax debt must be used exceptionally and only when the economic and financial situation of the taxpayer prevents him, on a transitional basis, to make the payment within the established deadlines, as contemplated article 65 of the General Tax Law. It is intended to avoid that by means of requests for deferral or splitting, the timing of income from tax debts is unduly delayed and used as a source of continuous funding.
Debts arising from taxes that must be legally passed on, such as VAT, can not be subject to deferral unless it is duly justified that the assessed contributions have not actually been paid. If the taxpayer collected the contributions of the obligor to bear them can not rely on the lack of liquidity that prevents him from being able to pay the tax debt in time, since the amounts collected from the recipients of transactions subject to tax must destined to the payment of the resulting tax debt. Only in the case that the taxpayer has not collected the quotas passed on by the addressee and that they suppose for him a tax debt to be admitted to the Public Treasury may request the postponement of the same, but only for the excess of the amount of the tax debt on the amount of assessed contributions collected.
The fractional payments of the Corporation Tax will be inapplicable, and this as a complement to the modifications introduced in its determination in order to anticipate the payment of the debt by the Corporate Tax.
These amendments are intended to reduce the cases of tax debts on which a deferral or split of payment can be granted, in order not to delay the obtaining by the Public Treasury of the due tax revenues and thus reduce the public deficit.
No- According to accounting principles revenues and expenses must be declared as to when and how they were received. However, it is possible to exaggerate the expenses of the company by Lucider mostly done to the board members expenses but must be backed by genuine receipts that shows the expenses. For revenues unless they can be hidden, they will always expose the companies financial position
|
item |
dr |
cr |
|
Capital |
620000 |
|
|
truck |
540000 |
|
|
rent |
1600 |
|
|
Trucking services |
12000 |
|
|
Personal expenses |
4000 |
|
|
advertisement |
1200 |
|
|
Trucking services Truck fuel |
8800 |
6200 |
Explain why the penalties were imposed
Dan Horesh( Victoria)
A case heard on 2 feb 2017, by the appeals tribunal based on a hearing on determination by Disciplinary tribunal which was on8 September 2016.
Mr. horesh was found in breach of the constitution and the tribunal sustained the complaints and gave the following as penalty payments for Mr.Horesh.
A severe reprimand was issued to Mr. Horesh followed by a fine of $1000. In relation to the failure by the accountant to respond to breach of professional conduct, the fine was imposed. In relation to mr horesh failure to duly complete compliance and quality review, he was to forfeit membership of the accounting body and prior to any application of readmission he must first adhere to what was imposed on him. This includes, paying all fines and costs that are outstanding and should he be readmitted to membership, he will only be granted CPA membership and not his initial FCPA. It upheld that in the determination of the case, Mr. Horesh should successfully complete the quality review that had been set by 1 april this year and was ordered to pay $ 605.27 to the Australias CPA for disciplinary tribunal and $605.27 for the appeal hearing.
This was a case on 26 ocober year 2016. It found that the accused person had breached article 39 (a). the tribunal ordered Mr. Prasad to pay a fine of $20000 in respect to the decision that was reached by Australia mortgage and financial association. The tribunal also prohibited mr.prasad from the provision of any financial services for a period of more than four years. The penalty and costs in terms of fines included the following; forfeiture of membership and will not be eligible for readmission until the expiry of the banning orders. Mr. Prasad must complete a successful quality review complaint which will be done at his own cost. He will also be lowered from his designated title of FCPA to CPA. IN TERMS OF FINES Mr. Prasad was ordered to pay the CPA Australia $ 887.85in costs.
On February 8th 2017, the disciplinary committee found Shiv Prakash in breach of articles 38a and 39a of the constitution and was expelled by the mortgage and finance association. He was also convicted by the crimes act in with the intention to defraud. He was banned by the association from engaging in any credit activities.
He was to forfeit the membership and was not eligible for readmission for thirty years. He must pay in full all the outstanding fees, subscriptions and membership costs. If he wishes to be readmitted he must complete in full the CPA program again. He was also given a severe reprimand and a fine of $1000, for not responding to professional conduct. He was ordered to pay the Australia CPA a cost of $752.27.
The Public Accountancy is a profession whose purpose is to meet the needs of society by measuring, evaluating, ordering, analyzing and interpreting the financial information of companies or individuals and preparing reports on the corresponding financial situation, which are based on the decisions of entrepreneurs, investors, creditors, other interested parties and the State about the future of these economic entities. The Public Accountant as depositary of the public trust, gives public faith when with his signature and professional card number signs a document certifying certain economic facts. This certification will be an integral part of the examination.
The Public Accountant, whether in public or private activity, is a factor of active and direct intervention in the life of public and private organizations. Its obligation is to ensure the economic interests of the community, understood by this not only natural or legal persons linked directly to the company but to society in general, and of course, the State.
Moral conscience, professional aptitude and mental independence constitute its spiritual essence. The exercise of public accounting involves a social function especially through the public faith that is granted for the sake of order and security in the economic relations between the State and individuals, or between them(Professional ethics in accounting and finance, 2012).
ARTICLE 36. For the situation that is presented, within the guidelines given by the profession and may also resort to specialists from disciplines other than the Public Accounting and the use of all the elements that science and technology put at their disposal.
The above basic principles should be applied by the Public Accountant in both the simplest and the most complex work, with no exception. In this way, he will contribute to the development of the Public Accountancy through the daily practice of his profession. The above principles of ethics are applicable to all Public Accountants by the mere fact of being, regardless of the nature of their activity or the specialty they cultivate, whether in the independent exercise or when acting as an official or employee of public or private institutions, as long as it is compatible with its functions(Duska, Duska and Ragatz, 2011).
The Public Accountant must keep his moral integrity intact, whatever the field of his performance in the professional practice. In accordance with this, honesty, honesty, dignity and sincerity are expected of him in every circumstance.
Within this same principle are included other related concepts that, without requiring an explicit mention or regulation, may be related to the rules of professional performance established. Such concepts could be those of moral conscience, loyalty in the different planes, truthfulness as a reflection of an unconquerable reality, justice and equity with support in positive law.
Yes. In all cases the accused get the maximum punishment they are accused of. Most of this accountants are FCPAs and have acquired the wealth and experience that is associated with the profession(Jeffrey, 2007). A fine of upto $ 20000 is too punitive that an accountant will feel the effect of the breach. Furthermore, a expulsion from the association is also extremely harsh for this accountants.
References
Duska, R., Duska, B. and Ragatz, J. (2011). Accounting Ethics. New York, NY: John Wiley & business.
Jeffrey, C. (2007). Research on professional responsibility and ethics in accounting. Amsterdam: Elsevier JAI.
Professional ethics in accounting and finance. (2012). London: BPP Learning Media Ltd
Essay Writing Service Features
Our Experience
No matter how complex your assignment is, we can find the right professional for your specific task. Contact Essay is an essay writing company that hires only the smartest minds to help you with your projects. Our expertise allows us to provide students with high-quality academic writing, editing & proofreading services.
Free Features
Free revision policy
$10Free bibliography & reference
$8Free title page
$8Free formatting
$8How Our Essay Writing Service Works
First, you will need to complete an order form. It's not difficult but, in case there is anything you find not to be clear, you may always call us so that we can guide you through it. On the order form, you will need to include some basic information concerning your order: subject, topic, number of pages, etc. We also encourage our clients to upload any relevant information or sources that will help.
Complete the order form
Once we have all the information and instructions that we need, we select the most suitable writer for your assignment. While everything seems to be clear, the writer, who has complete knowledge of the subject, may need clarification from you. It is at that point that you would receive a call or email from us.
Writer’s assignment
As soon as the writer has finished, it will be delivered both to the website and to your email address so that you will not miss it. If your deadline is close at hand, we will place a call to you to make sure that you receive the paper on time.
Completing the order and download