Assurance Gazette – September 2025 Edition

Welcome to the Assurance Gazette for September 2025 The ICAI Guidance Note on Tax Audit (Revised 2025) incorporates updates from recent Finance Acts and CBDT notifications. It introduces key revisions in Form 3CD reporting, MSME compliance, and concessional regimes, along with updated thresholds and clarified key terms to enhance compliance and reporting accuracy. This edition also highlights supply chain finance growing its importance and India’s new Ind AS disclosure rules aim to replace opacity with clarity reshaping how companies, investors, and stakeholders view financial health and resilience.

Key Updates in ICAI’s Tax Audit Guidance Note:2025 Edition vs. 2023 Edition – A Concise Comparison

Summary:-

The ICAI Guidance Note on Tax Audit (Revised 2025) introduces key changes based on recent Finance Acts and CBDT notifications. It highlights new tax law amendments, revised Form 3CD reporting, and practical clarifications, with a focus on threshold limits, timelines, and compliance procedures.

Legislative Updates from Finance Acts 2024/2025:-

• Section 115BAE (New Manufacturing Co-operatives): Introduces a 15% concessional tax rate for co-operatives, with opt-in/out reporting via Form 10-IFA in Clause 8A (effective AY 2024-25).
• Buyback of Shares (Section 2(22)(f)): Treats buyback proceeds as dividends, reported under new Clause 36B with details on amount, date, and cost (effective AY 2025-26), shifting from capital gains treatment.
• Presumptive Taxation Extensions: Adds Section 44BBC (cruise ships, AY 2025- 26) and Section 44BBD (electronics manufacturing, AY 2026-27) to Clause 12.