RAMAS ANUBHAV - Chartered Accountants€¦ · Ms. Anjali Singh. RAMA’s Anubhav November 2019...

RAMA’s Anubhav November 2019

November Edition- 2019

RAMA’SANUBHAV


1. Editorial……………………………..…..…………………………………………………….………………………..…..03Mr. Jigneshkumar Raval

2. Auditing in the Digital Era………………………………………………………………………………………..05Mr. Kalpit Jain

4. E-Invoicing……………………………....................................................................................…...09Ms. Rekha Yadav

5. Role of FDI in the economic development of India………….……………..………………………..11Mr. Tanmay Parab

Priya Mishra– Editor, Communicator/ Nammika Giddi - Creative & Art work

3. Microsoft Azure…………………………………………………………….……………………………….……..07Mr. Kapil Dev

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6. Article 370 of the constitution of Indian…………….….…………………………………………………14 Mr. Laloo Yadav

INDEX

7. Moments To Celebrate……………….……………………………..………..…………………….….………..15Ms. Anjali Singh


Editorial

Dear Team,

I would like to thank for providing me the opportunity to present my thoughts to the RAMA team.

We all see the below image regarding “Out of Comfort Zone”. That is on outer side of Ram sir’s cabin. We all know that to get out ofComfort Zone is key to Growth,but the main question is whatsteps need to be taken for that.Let us discuss some of pointsthat will help to get out ofComfort Zone.1. Study your physical

manifestation of fearWhen was the last time you feltuncomfortable? What did it feellike? Where did you feel it inyour body? Was it in your chest?Your stomach? By getting clearon how discomfort manifests inyour body, it makes it easier tonotice when you are out of yourcomfort zone. It allows you toput yourself in situations thatmake you a bit uncomfortableand open you up to growth.2. Tell Yourself, 'I Am Fearless'Disempowering thought habitskeeps us in our comfort zone.Replacing those thoughts withempowering ones help us take anew perspective and move toaction. Repeating the mantra,

"I am fearless" over and overagain and envisioning yourselfsuccessfully achieving what youfear can help you reprogramyour disempowering thoughthabit and move forward.3. Recognize Your Reactive

Thoughts & Tack A New,Positive Thought onto Them

Piggyback a new thoughtpattern onto a knee-jerkresponse. For example, if you'retypically offended by negativefeedback at work, associate thatfeedback as constructive advicefrom someone who helps youimprove. When you feel yourinitial response is to reject, denyor balk at feedback, stop for amoment and imagine thatperson is handing you a gift foryou to achieve your fullestpotential.4. Look Up and Around YouAs we get older, we see less andless of what's really around us.We create quick references to

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things and file them away in ourbrains as "familiar."5. Revisit Your Greatest

AccomplishmentsAccomplishments are oftenmade because of courage.Stepping forward in faith andlooking fear in the eye isn't easy,but it helps us realize what weare truly made of. When we'restuck in comfort, familiarity isactually our frenemy: A friendwe rely on, yet who also keepsus beneath our highestpotential. By revisiting ourgreatest successes, weremember that courage is whatgot us there.6. Find A Compelling ReasonStepping out of our comfortzone can be difficult if we do notbuild a compelling reason to doso. Take the time to think aboutwhat it could be like to take thatstep. Marinate in that visual,idea or thought long enough tobuild solid momentum thatpropels you into inspired action.7. Physically Embody the

ChangeShifts in the mindset lead toshifts in the body and emotionalstate. But the opposite can alsobe true. Using Amy Cuddy'swork in her book Presence,focus on embodying the changeby either standing in theWonder woman / Supermanpose or other expansive poses


Editorial

to help increase your sense ofpower and confidence. Themore you do the poses, themore you will be able to stepout of your comfort zone.8. Make It A Habit to Try

Something NewYour urge for the familiar istrying to protect you. Make itclear that new things are safe,and you'll get bolder by theweek. Go easy on yourself andstart small. Go to a newrestaurant. Invite someoneyou've just met for coffee. Go toa networking event. Trysomething new every, say,Wednesday. Make it routine.You will be shocked by howquickly change seems much lessintimidating.9. Reframe What It Means to

Be ComfortableThe world is changing quickly,and "comfort zones" are less ofan option. Change often bringsfear and uncertainty. What areyou feeling when you are in your"comfort zone?" Safe? Secure?Maybe, but are you also bored,inflexible, stagnant? What ifyour "comfort zone" was alsoyour "failure zone" becausenothing changed? Reframe"comfort" to mean growth,learning, or purpose and seewhat changes.10. Rationalize the FearStart by identifying the fear that

makes something uncomfortable,then go through a quick mentalexercise to rationalize why youshouldn't proceed with thisuncomfortable and fearful nextstep.11. Take One Small StepIt's natural for our minds to resistchange. Thinking about takingthe tiniest step tricks your braininto taking action. Take a goaland break it down into smallsteps. Focus on one step at atime. This approach will boostyour confidence, associate apositive outcome.12. Compare the Worst and Best

Possible OutcomesAsk yourself, "What's the worstthat could happen?" Then,"What's the best-case scenario ofwhat could happen?" Both ofthose questions should help youaddress any fear or discomfort,then channel energy toward thesuccess of trying or exploringsomething new. By doing this,you're also framing a greatrelevant story for futureinterviews or stories aboutyourself.13. Act as If You're Comfortable

and Just Do ItAll the pep talks and classesunder the sun won't make iteasier to step out of yourcomfort zone. The best way toaccomplish this feat is to act as ifyou are someone else who you

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know would have no problemtaking this step. The reality isthat once you do it and see youcan do it, the rest comesnaturally. But you need thatinitial shove, and this will get itdone.14. And the last “Criticism to be

used as Opportunity”How you can identifyimprovement, only praises willnever help you to improvefurther. You need criticism at thesame time. Whenever someonecriticizes you, at that time if youare able to identify theOpportunity to upgrade /improve then you are on righttrack. Criticism is key to identifythe improvement. So, useCriticism as “Opportunity” andthank the people who criticizeyou to help you in identifyingOpportunity.

I Hope, the above points, willhelp a lot to improve for thebright future ahead.

-Jigneshkumar Raval


Auditing in the Digital Era

Dawn of Digital Era Recent

studies put forward that thefinancial decision makers haveincreased their technologyinvestments. It is generallyaccepted that technology isimpacting the way the financefunction operates and financialstrategist believe that financeactivities can be fully automated.The transformation which ishappening in the audit functionis very similar, and it’s atransformation at two levels:Auditors need to know how toaudit in the new digitalenvironment. Take for instance ascenario where the majority ofthe bookkeeping may be doneby bots, with an enterpriseblockchain architecture beingthe tool used for bookkeeping,etc. Auditors will soon find themin a scenario whereorganizations are working with acombination of digitaltechnologies.Auditors and audit firms need tosee how they can transform theiraudit procedures andmethodologies by incorporatingtools and technologies likeadvanced analytics, RoboticProcess Automation (RPA),Artificial Intelligence (AI), etc.

Which technologies are going toimpact audit and how?Influx of the digitaltransformation with the blend of

advanced analytics, big datarobotics, automation, andartificial intelligence has resultedin the onset of so many changesin the world of accounting andfinance. A quick look on the keydigital technologies and how canthey impact the audit process isgiven as follows:

RPA or Robotics ProcessAutomation: RPA is the processof automating mundane,repeatable and rule-based taskswhich are usually performed byhumans on a computer. It doesaway with human limitations onaspects of speed, accuracy andmultitasking. This automation isachieved by way of softwarebots which can be programmedrather easily to take care of suchrepeated transactions. Currently,RPA is one of the mostaggressively pursuedtechnologies out of all digitaltechnologies since it’s relativelyeasier to implement and showsfaster results than most othertechnologies. In order to imaginghow RPA works, you can try andthink of a virtual employee whois trying to work on 5-6 differentapplications simultaneouslycontinuously switching amongstthem with blinding speed and100% accuracy. Manyorganizations have startedadopting RPA for bookkeeping,reconciliations, invoice

processing, expense filing,compliances, etc. Auditors, aspart of their audit process, inorder to verify the robustness ofthe bots and the accuracy of thetransactions processed by them– might need to investigate the“Process Design Documents(PDDs)” which are the processblueprint which goes intocreating these bots. Additionally,they might need to work withbot log files to analyze anyvariances and detect internalcontrol leaks. On the flipside,audit firms can also look atimplementing RPA to automateparts of their audit processwhich are highly manual, rulebased and repetitive – forexample checking andreconciling account balances inmultiple sets of books, compilingreports from multipledocuments, etc.Artificial intelligence andmachine learning: The one thingwhich has always separated abot from a human was ahuman’s ability to learn fromexperience. This is changing nowwith the advent of machinelearning – which in layman’s


language teaches a machine tolearn from experience. Artificialintelligence is the capability of acomputer-based system to takeintelligent decisions on its ownand to interact with itsenvironment almost in a sensorymanner. Some simple examplesof AI based systems are virtualassistants like Siri and Alexawhich use Natural languageprocessing and deep learning tointeract with users to solvesimple queries and self-drivingcars which use computer visionand machine learning.Distributed Ledger Technology(DLT) or Blockchain: Imagine aform of bookkeeping where atransaction is recorded not onlyin the books of accounts of theentity carrying out thetransactions, but in a shareddistributed ledger a copy ofwhich is maintained by everyentity which is impacted by thesaid transaction. This would be aform of bookkeeping which by itsvery definition will create close toimmutable records which arevery difficult to falsify. Add to thisbest in class encryptiontechnologies which makes yourdata really secure - and theresultant technology is known asDistributed Ledger Technology(DLT). Blockchain introduces therevolutionary “triple entryaccounting”. Triple entryaccounting is an extension of the

most widely used double-entryaccounting system in which alltransactions are validated andcryptographically sealed by anexternal third party, adding anadditional layer of authenticity tothe transactions. Triple entry canbe simply explained as doubleentry + cryptography. Blockchain –one of the most popular types ofDLT has wide implications inalmost every industry because itcreates a trust less, immutableproof of record where fraud is verydifficult to carry out andtransactions can be stored in atamper proof format. From anauditor’s perspective, a DLT /Blockchain based bookkeepingsystem removes the need toreconcile multiple databases ofrecords and provides a perfectaudit trail. There is no othertechnology which comes evenclose to the quality of audit trailwhich a Blockchain based systemprovides. Because of the principalof immutability, historical entriescannot be changed but onlycorrected with a balancing entry.This enables the auditor to testaudit assertions such asoccurrence and cut-off while notremoving the need for judgment-based opinions. While auditing in aBlockchain based environment, theauditor also needs to investigatethe overall design of the system toidentify and control leaks or flawsin design. While the presence of

Auditing in the Digital Era

Blockchain simplifies andorganizes the availableinformation for audit muchbetter, the auditor still needs tocouple this with judgementsbased on applicable accountingstandards. Blockchain basedsystems can also be coupledwith AI to identify incoherentpatterns and flags which can beinvestigated as exceptions byauditors.Conclusion: The auditingprofession is going through avery interesting time right now.Usage of CAAT Tools and otherforms of technologies whileauditing has always beenconsidered as a value addition.However, very soon this is goingto convert into a necessity andin next couple of years almostevery auditor will have toperform technology audits andwork with bots to perform theiraudit procedures. It is only amatter of time before AI engineswill start performingfundamental advisory as welland act as smart assistants toauditors.

-Kalpit Jain


Microsoft Azure

Microsoft Azure is usually

described as having “limitlesspotential” and “unlimitedpossibilities,” but what doesAzure actually do and what canit do for your business?What is Azure?At its core, Azure is a publiccloud computing platform—with solutionsincluding Infrastructure as aService (IaaS), Platform as aService (PaaS), and Software asa Service (SaaS) that can beused for services such asanalytics, virtual computing,storage, networking, and muchmore. It can be used to replaceor supplement your on-premiseservers.Here are some quick facts aboutAzure.Azure is a fast, flexible, andaffordable platform, and itspricing and capabilities make itthe best public cloud offering onthe market. Now let’s take alook at how to put it to work foryou.1. Enhance and ImplementBackup and Disaster RecoveryAzure is a backup and disasterrecovery dream tool. Why?Because of its flexibility,advanced site recovery, andbuilt-in integration.As a cloud-based solution, Azureis innately flexible – it can backup your data in almost any

Microsoft Azure – IaaS, PaaS and SaaS

· Flexible – Move compute resources up and down as needed

· Open – Supports almost any OS, language, tool, or framework

· Reliable – 99.95% availability SLA and 24×7 tech support

· Global – Data housed in geo-synchronous data centres

· Economical – Only pay for what you use

language, on any OS, and fromany location. Plus, you define thefrequency and extent of yourbackup schedule (daily, weekly,monthly, etc.).Tape backup has a time andplace, but it has limited abilitiesas a stand-alone backup anddisaster recovery solution. Azuresite recovery can enhance yourtape backup with offsitereplication, minimal onsitemaintenance, up to ninety-nineyears of data retention, minimalor no capital investment, andminimal operational costs. Azurebackup stores three copies ofyour data in three differentlocations in the data centre, andthen another three copies in aremote Azure data centre, so younever have to worry about losingdata.If you’re in a Windows virtualenvironment, Azure’s built-inintegration for additional backupwill be a quick and painlesssolution. Azure site recoveryintegrates with System Centre

and HyperV architectures,creating a robust and seamlesscohesion between Azure,System Centre, and HyperV.2. Host and Develop Web andMobile AppsWhether you’re looking for aplatform for hosting,developing, or managing a webor mobile app, Azure makesthose apps autonomous andadaptive with patchmanagement, Auto Scale, andintegration for on-premise apps.With Automatic patchmanagement for your virtualmachines, you can spend lesstime managing yourinfrastructure and focus onimproving your apps. Azure alsocomes with continuousdeployment support, whichallows you to streamlineongoing code updates.Auto Scale is a feature built intoAzure Web Apps that adjustsyour resources automaticallybased on customer web trafficso you have the resources you


Microsoft Azure

need when traffic is high, andsave money when you’re not inpeak times.Through Azure, you canseamlessly link your web app toan on-premise app. Connectingapps in both locations lets bothemployees and partnerssecurely access resources insideyour firewall—resources thatwould otherwise be difficult toaccess externally.3. Distribute and SupplementActive DirectoryAzure can integrate with yourActive Directory to supplementyour identity and accesscapabilities—this gives your DNSa global reach, centralizedmanagement, and robustsecurity.With Azure, you can globallydistribute an Active Directoryenvironment that is directconnect enabled. No other cloudprovider has the ability toextend the reach of your domaincontroller and consolidate ADmanagement like Azure.If you have multiple locations oruse on-premise apps or cloudapps like Office 365, ActiveDirectory integration with Azurewill be the central tool formanaging and maintainingaccess to all of these tools.Azure also enables you to utilizemulti-factor authentication,adding a new layer of security to

your data and applications withzero hassle for your users. Youcan also easily implement singlesign-on for Windows, Mac,Android, and iOS cloud apps.4. Innovate with IoT IndustrySolutionsThe scalability, flexibility, andsecurity of Microsoft Azuremakes it the perfect resource forcompanies moving toward IoTsolutions. You can connect yourdevices to the cloud usingsolutions that integrate with yourexisting infrastructure and startcollecting new data about yourcompany.Within the Azure IoT Hub, youcan monitor and manage billionsof devices and gain insights tohelp you make better businessdecisions, improve customerexperiences, reduce complexity,lower costs, and speed updevelopment.The enhanced security of Azure isa huge asset for IoT solutions,which traditionally have securitygaps that hackers can takeadvantage of. Other benefitsinclude remote monitoring andpredictive maintenance andanalytics.

-Kapil Dev


Background

GST Council in its 37th Councilmeeting held on 20 September2019 approved the standard of E-Invoice and it has been publishedon GST portal along with scheme.What is E-Invoice?E-Invoicing is a process in whichall the B2B invoices created byaccounting software will beauthenticated electronically byGSTN for further use (like returnpreparation, E-way bill creation).E-Invoice is a submission ofalready generated Invoices fromaccounting software to GST Portaland we all are aware that thereare hundreds of accounting &billing software, which generateinvoices, but they all use theirown formats to store informationelectronically and data in suchdifferent-different formats cannotunderstand by the GST System,hence it was not possible tosubmit the data from accountingsoftware (Like ERP/Tally/SAP) toGST System.So, need was felt to issue astandard format (Schema) inwhich data will be shared withother systems, although from userprospective it’s same as earlier,there would not any change inprint or electronically creation ofinvoice.Only standard schema needs tobe implemented by all theaccounting and billing software sothat it can generate JSON of each

E-Invoicing

invoice in such format which canbe uploaded on GST Portal forfurther authentication andapproval.In short, E-Invoice is mechanismonly specify invoice schema andstandard for each data exchangeamong all accounting/billingsoftware and all businesses.Benefits on E-Invoicing System1. One time reporting of B2Binvoices and furtherauthentication from GST Portalwill auto prepare ANX-1, ANX-2 innew return format and GSTR-1 incurrent format up to B2BSupplies.2. E-way Bill will also be createdthrough E-Invoicing data onlyvehicles details need to beupdated.3. Here once invoice which will beuploaded by supplier on GSTsystem for authentication will befurther shared with correspondingbuyer on his mail id mentioned one-invoice, hence buyer can do

reconciliation with his purchaseorder and accept/reject on realtime under New Return.4. System level matching will bedone for input credit andoutput tax.5. E-Invoice will be created forInvoices, Debit Note, CreditNote and other documentrequired by law.Process of creation of E-Invoicing:Generation of E-Invoicing willbe the responsibility of thetaxpayer who will be requiredto report the same to InvoiceRegistration Portal (IRP) forauthentication, which in turnwill generate a unique referencenumber (IRN) and digital signthe e-invoice and also generatea QR code and will return theinvoice to the seller. IRP willalso send the digital signed e-invoice to the recipient of thedocument on the e-mailprovided in the e-invoice.


Step-1: Seller will create his

invoice in his accounting or billing

system, Invoice should be in

conformity with e-invoice schema

(standards) that is published and

have the mandatory parameters

Supplier’s software would

generate a JSON against each B2B

invoice that will be further

uploaded on the IRP Portal. IRP

(Invoice Registration Portal) will

only take the JSON of the e-

invoice.

Step-2: In next step is to generate

Invoice Reference Number (IRN)

(in technical term IRN number is

hash of 3 parameters using a

standard and well-known hash

generation algorithm) it is an

optional step; seller himself can

generate IRN number based on

defined algorithm.

Step-3: is to upload JSON of the e-

invoice (along with Hash if

generated by the seller) into the

IRP by the seller. JSON may be

uploaded directly on the IRP or

through GSP’s or through any

other third party.

Step-4: IRP will generate the Hash

or validate the hash of the

uploaded JSON, if uploaded by

the supplier. Upon authenticate

the same with central registry of

GST System IRP will add its

signature on the invoice data

and as well as QR code to the

JSON.

Hash computed by the IRP will

become the IRN (Invoice

Reference Number) of the E-

Invoice.

It shall be unique to each invoice

and hence be the unique identity

for each invoice for the entire

financial year in the entire GST

System for a taxpayer.

Step-5: it involves sharing of

uploaded data with GST and E-

Way bill system

Step-6: Here IRP will return the

digitally signed JSON with IRN

back to the seller along with a

QR code. The Registered invoice

will also be sent to the seller and

buyer on their mail ids as

mentioned in the invoice.

-Rekha Yadav

E-Invoicing


Role of FDI in the economic development of India

As the name suggests, it is an

investment by foreign

individual(s) or company(ies)

into business, capital markets or

production in the host country.

Foreign direct investment policy

in India is regulated under the

Foreign Exchange Management

Act (FEMA) 2000 administered

by the Reserve Bank of India

(RBI).

FDI plays an important role in

the economic development of a

country. The capital inflow of

foreign investors allows

strengthening infrastructure,

increasing productivity and

creating employment

opportunities in India.

Additionally, FDI acts as a

medium to acquire advanced

technology and mobilize foreign

exchange resources. Availability

of foreign exchange reserves in

the country allows RBI (the

central banking institution of

India) to intervene in the foreign

exchange market and control

any adverse movement in order

to stabilize the foreign exchange

rates. As a result, it provides a

more favourable economic

environment for the

development of Indian

economy.

But Why Do We Need FDI?There are various factors thatsignify the importance of FDI inIndia some of which are listedbelow:1) Helps in Balancing

International Payments:FDI is the major source of foreignexchange inflow in the country. Itoffers a supreme benefit tocountry’s external borrowings asthe government needs to repaythe international debt with theinterest over a particular periodof time. The inflow of foreigncurrency in the economy allowsthe government to generateadequate resources which help tostabilize the BOP (Balance ofPayment).2) FDI boosts development in

various fields:For the development of aneconomy, it is important to havenew technology, propermanagement and new skills. FDI

allows bridging of the technologygap between foreign anddomestic firms to boost the scaleof production which is beneficialfor the betterment of Indianeconomy. Thus, FDI is alsoconsidered an asset to theeconomy.3) FDI & Employment:FDI allows foreign enterprises toestablish their business in India.The establishment of theseenterprises in the countrygenerates employmentopportunities for the people ofIndia. Thus, the governmentfacilitates foreign companies toset up their business entities inthe country to empower Indianyouth with new and improvedskills.4) FDI encourages export from

host country:Foreign companies carry a broadinternational marketing networkand marketing information which


helps in promoting domesticproducts across the globe.Hence, FDI promotes the export-oriented activities that improveexport performance of thecountry.

Apart from these advantages, FDIhelps in creating a competitiveenvironment in the countrywhich leads to higher efficiencyand superior products andservices.

Government Initiates toPromote FDI

The Indian government hasinitiated steps to promote FDI asthey set an investor-friendlypolicy where most of the sectorsare open for FDI under theautomatic route (meaning noneed to take prior approval forinvestment by the Governmentor the Reserve Bank of India).The FDI policy is reviewed on acontinuous basis with thepurpose that India remains aninvestor-friendly and attractiveFDI destination. FDI coversvarious sectors such as Defence,Pharmaceuticals, AssetReconstruction Companies,Broadcasting, Trading, CivilAviation, Construction and Retail,etc. In the Union Budget 2018,the cabinet approved 100% FDIIn the Union Budget 2018, thecabinet approved 100% FDI

under the automatic route for

single-brand retail trading. Under

this change, the non-resident

entity is permitted to commence

retail trading of ‘single brand’

product in India for a particular

brand. Additionally, the Indian

government has also permitted

100% FDI for construction sector

under the automatic route.

Foreign airlines are permitted to

invest up to 49% under the

approval route in Air India.

The main purpose of these

relaxations in foreign investment

by the government is to bring

international best practices and

employee the latest technologies

which propel manufacturing

sector and employment

generation in India. To boost

manufacturing sector with a

focus on ‘Make in India’

initiative, the government has

allowed manufacturers to sell

their products through the

medium of wholesale and retail,

including e-commerce under the

automatic route.

FDI Facts & Statistics:

According to Indian Brand Equity

Foundation (IBEF), the total FDI

investments in India during April-

December 2017 stood at US$

35.94 billion as the government

has been providing relaxation on

FDI which is attracting a large

number of foreign investments.

Moreover, the

Telecommunications sector has

attracted the highest FDI equity

inflow during April-December



2017, i.e. US $ 6.14 billion,

followed by computer software

and hardware sector at US$ 5.16

billion & Services at US$ 4.62

billion. The total FDI equity

inflows for December 2017

reached US $ 4.82 billion.

During the period of April-

December 2017, India gained

maximum FDI equity inflows

from Mauritius, i.e. US$ 13.35

billion, followed by Singapore

(US$ 9.21 billion), Netherlands

(US$ 2.38 billion), USA (US$ 1.74

billion), and Japan (US$ 1.26

billion).

Foreign companies invest in India

to take benefits of relatively

lower wages, special investment

privileges like tax exemptions,

etc. Hence, India is one of the

top gainers of FDI.

Recent FDI Announcements

February 2018- IKEA declared its

plan to invest approximately US$

612 million in the Maharashtra

state in order to establish multi-

format stores and experience

centres.

December 2017- DIPP (The

Department of Industrial Policy &

Promotion) approved FDI

proposals of Supr Infotech

Solutions and Damro Furniture in

the retail sector.

November 2017- In the state of

North-East region of India, 39

Fig.1. FDI EQUITY INFLOWS BY COUNTRY IN US$ (APRIL-DECEMBER2017)

MOUs (Memorandum of

Understanding) was signed for

the investment of US$ 612-765

million.

Thus, we can say that FDI plays a

crucial role in the growth of

Indian economy as it helps to

bring new technologies,

employment generation and

improvement in business

operations, etc.

-Tanmay Parab



Article 370 of the constitution of Indian

Article 370 of the Indian

constitution gave special status toJammu and Kashmir—a part ofthe larger region of Kashmir,which has been the subject ofdispute between India, Pakistan,and China since 1947. Article 370allowed J&K to have a separateconstitution, a state flag andautonomy over the internaladministration of the state. InAugust 2019, the government ofIndia revoked this special statusthrough a Presidential Order andthe passage of a resolution inParliament.

What is Article 370?

It is a temporary provision in theIndian Constitution which grantsspecial autonomous status toJammu and Kashmir.

Under Part XXI of theConstitution of India, which dealswith “Temporary, Transitional andSpecial provisions” of the state ofJammu and Kashmir has beenaccorded special status underArticle 370.

All the provisions of the IndianConstitution which are applicableto other states of India are notapplicable to the state of Jammuand Kashmir.

Up to 1965, due to the abovespecial provision in the IndianConstitution, Jammu and Kashmirhad a Sadr-e-Riyasat instead of

Governor and had a PrimeMinister instead of a ChiefMinister.

What is Article 35 A?It was introduced throughPresidential Order in 1954, underArticle 370. This Articleempowers the Jammu andKashmir State Legislature todefine permanent residents ofJammu and Kashmir.It prevents citizens of India fromother states from• Buying land• Prevents people from other

states from permanentlysettling in Jammu and Kashmir

• Prevents people from otherstates from holding localGovernment Jobs.

• Prevents people from otherstates from winningeducational scholarships inJammu and Kashmir.

• The Article referred to asPermanent Residents Law alsobars female residents ofJammu and Kashmir fromProperty rights in the eventthat they marry a person fromoutside the state. Theprovision also extends to suchwomen’ children.

As per rules while amendingConstitution it requires theapproval of Parliament of India,but in this case of thisconstitutional amendment, theset procedure was not followed.

The controversy behind Article370

• Central Government can makelaws only with theconcurrence of StateGovernment of Jammu andKashmir, practically giving itVeto power.

• Article 352 and Article 360, incase of contingencies, it hasprovisions to declare Nationaland Financial Emergency. Thiscannot be applied in Jammuand Kashmir.

• Kashmiris have 2 citizenship,whereas other Indian citizenshave only 1 citizenship.

• Anti-Defection Law is notapplicable.

• Rest of the Indians cannot buyland and property in Jammuand Kashmir state.

Article 370 Revoked

As per Bills passed on 5th August2019, in the Parliament, Article35A will be automatically revokedwith the repealing of Article 370.Henceforth, the law of the landwill apply in Jammu and Kashmir.

-Laloo Yadav


Moments to Celebrate

15

Yash Gohil- 2nd Nov

Rekha Yadav- 3rd Nov

Dipesh Chordiya- 4th Nov

Anchal Jaiswal- 5th Nov

Ankit Somani- 6th Nov

Rohit Singh- 15th Nov

Shyam Makwana- 17th Nov

Laloo Yadav- 18th Nov

Manohar Jadhav- 18th Nov

Monil Shah- 22nd Nov

Ammar Qazi- 23rd Nov

Khushhal Jangid –Article

Keval Gala– Sr. Accounts Executive

Ankit Somani –Manager

Manohar Jadhav - Technical ERP Consultant

Harish Mahajan - Senior Analyst


Thank You&

Goodbye

Until Next Time

Mumbai: Unit 401, Hub Town Viva,

Jogeshwari East, Shankarwadi

Mumbai - 400060

Contact: +91 22 6223 1063 / 1060

Dubai: M-01, Bank Street Building,

Next to Citibank, Bur Dubai,

P.O. Box: 120349, Dubai, UAE.

Ph: +971 4 354 5186 / +971 4 352 9466

www.facebook.com/ramaitllp/ www.linkedin.com/company/ram-agarwal-&-associates-chartered-accountants

Visit us at: www.rama.co.in / www.ramaerp.in

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