The Ministry of Corporate Affairs (MCA) vide Notification dated March 31, 2022, has issued ‘Companies (Accounts) Second Amendment Rules, 2022 (hereinafter referred to as “Second Amendment Rules”), which amends the Companies (Accounts) Rules, 2014 as below:
Rule 3 – Manner of Books of Account to be Kept in Electronic Mode
As per the Companies (Accounts) Amendment Rules, 2021 and Companies (Accounts) Second Amendment Rules, 2021, for the financial year commencing on or after the 1st day of April, 2022, every company which uses accounting software for maintaining its books of account, shall use only such accounting software which has a feature of recording audit trail of each and every transaction, creating an edit log of each change made in books of account along with the date when such changes were made and ensuring that the audit trail cannot be disabled, for the books of account and other relevant books and papers maintained in electronic mode .
However, in accordance to the Second amendment Rules as notified by MCA, the aforesaid provision shall now be applicable for the Financial Year commencing on or after 1st day of April, 2023.
- Rule 12 proviso 1B – Form CSR-2 for the year 2021-22 has been extended till 31st May, 2022 as per Second Amendment Rules (instead of 31st March 2022 as before)
As per the proviso 1B mentioned in Rule 12, Every company covered under the provisions of sub-section (1) to section 135 (Section 135(1) of the Act states that every company having the specified net worth, turnover, or net profits must establish a CSR committee.) shall furnish a report on Corporate Social Responsibility in Form CSR-2 to the Registrar for the preceding financial year (2020-2021) and onwards as an addendum to Form AOC-4 or AOC-4 XBRL or AOC-4 NBFC (Ind AS).
Provided that for the preceding financial year (2020-2021), Form CSR-2 shall be filed separately on or before 31st May, 2022, after filing Form AOC-4 or AOC-4 XBRL or AOC-4 NBFC (Ind AS).
The notification can be accessed at below MCA link:
https://www.mca.gov.in/bin/dms/getdocument?mds=IzW7fqstVJYuFz6gHMSkKw%253D%253D&type=open
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