India Tourism Development Corporation Ltd (ITDC Finalisation of Accounts for the Financial Year 2018-19 CHECK LIST The Accounts of the Company for FY. 2018-19 are to be prepared in compliance to the provisions/ciauses of the Companies Act, 2013. The Act prescribes the format of Balance Sheet and Statement of Profit and Loss in its Ind AS Schedule III (Division II) to the Companies Act, 2073 (Ind AS) ‘The format so prescribed for Balance Sheet, Statement of Changes in Equity for the period, Statement of Profit and Loss for the period and the Notes to Accounts for 2018-19 will be as per Ind AS Schedule III (Division II) |n connection with the above subject, the timely actions on the following are to be taken/ ensured while finalizing the Accounts of the Units, under your control, for the year 2018-19: 1 Ensure the submission of Audited Accounts for F.-Y. 2018-19 to H.Q, latest by 27" April, 204 To prepare the Annual Accounts for the F.Y. 2018-19 strictly in the format as prescribed under Ind AS Schedule III (Division Il) to the Companies Act, 2013. Accordingly, the previous year figures are to be re-casted in accordance with Ind AS Schedule Ill (Division tI) to make the figures of the year 2017-18 comparable with 2018-19. A\l Accounts In-Charge are requested to prepare the Annual Accounts for the F.Y. 2018-19 in the format provided during the previous year. ‘To discuss the draft audit report on the accounts for 2018-19 with the branch auditors and take corrective actions to avoid its inclusion in the final audit repo Complete set of the lists for Trial Balance, General Ledger, Sub-Ledger (employee-wise/party wise), list of current assets and current liabilities to be sent as per past practice. Also bank reconciliation statement for each bank should be sent along with balance sheet. Bank books should not show credit (overdraft) balance in respect of any of the bank account. Depreciation an fixed assets to be charged on the basis of useful life as specified in schedule 'Ito the Companies Act, 2013 for the year ended 31st March, 2019 (12 months depreciation) Note. As per the checklist of previous quarter i¢. December, 2018, depreciation for 9 months (Apr, 2018 to December, 2018) if charged in the books of accounts, then the same is to be reversed on the 1st day of succeeding month, i. on 1st January, 2019 To ensure compliance to Half Margins replies/assurances, if any, given to Govt. Audit and assurances given to statutory auditor on the accounts for the year 2017-18 and submit the status/ action taken report to Head Quarter immediately, The corrective action is to be taken on the observations of the branch auditors, made during last year, to avoid its repetition mainly relating to non-maintenance of fixed assets registers, feconciliation of physical inventory with fixed asset register, weaknesses in the internal Controls systems and internal audit system, inventory valuation, eto. To take corrective action on observations of the Internal Auditors in their report for 2017- 18 as well as report for quarter ended 30th June, 2018, 30th September, 2018 and 3tst December, 2018 and submit the action taken report to Head Quarter by 25% March, 2019, b.10. " 12, 13. 14, 16. ‘And for the report for quarter ended 31st March, 2019, submit the action taken report to Head ‘Quarter by 18 April, 2019 to be presented in the Audit Committee Meeting Correct depiction of account heads in Tally. No ledgers should be outside the coded groups created for Finalization purpose as was made during the year 201 To classify the Assets and Liabilities into Current and Non-Current Assets in accordance with the requirements of Schedule III (Division Il) as was made during 2017-18. Correct depiction of account heads in the notes and sub - notes. Events occurring after the date of Balance Sheet tll the finalization of quarterly accounts should also be considered for accounting and disclosure in the respective nates. Provision for all known liabilities for supplies receivediservices rendered by suppliersicontractors/ professionals etc. to be made to avoid heavy amounts of expenditure in the subsequent year. Necessary certificates from all the operational departments may be obtained to ensure the accounting for all the expenditure relating to the year ended 31st March, 2019 has correctly been charged to accounts, Note: As per the checklist of previous quarter i.e. December, 2018, provisional expenditure for 9 months (Apr, 2018 to December, 2018) if charged in the books of accounts, then the same is to be reversed on the 1st day of succaeding month, i.e., on 1st January, 2019. Proper disclosure of contingent liabilities and contingent assets: In this connection it should be ensured that amount of claims in connection with the legal cases in progress as on date of balance sheet against the unit have been disclosed in schedule of notes. A self-contained note detailing the contingent liabilities till the finalization of accounts, included in the notes to accounts, with their present status and the authority before which the case is pending should also be disclosed in the notes to annual accounts. The list of present contingent liabilities to be compared with the last year status and liability in ‘elation to the cases decided against the unit and not further appealed, should be provided for. Where an inflow of economic benefit is probable, an entity shall disclose a brief description of the nature of the Contingent Assets at the end of the reporting period, and where practicable, an estimate of their financial effect, measured using the principles set out as per Ind AS 37 "Provisions, Contingent Liabilities & Contingent Assets” List of Contingent Liabilities and Contingent Assets as on 31.03.2019 included with the Financial Statements to be certified by the Corporate Legal Team. Details of Security Deposits, EMDs, Advances, Non- Current Assets and Non-Current Liabilities may be submitted to Head Quarter by 25" April, 2019 in the below format S.No, [Nature of Receipt [Date of Receipt [Name of Party [Amount Involved [Reason fordelayin Payment [Remarks 1 S.No. Nature of Payment [Date of Payment [Name of Party Amount involved [Reason for delay in Receipt _ [Remarkss towards contractors for the Work in Progress as on 31.03.2019 has been provided for up to the stage of completion on the basis of the certificate from the Unit Engineer. Units are requested to provide the Information in the following format to Head Quarter by 42" April, 2019 | Dveatonot Projet | Tot Cstot | of Work [labore] Uabity apo Nave oP me Pret {Start Date & End Date) Project Completed | month the month i 17, 18. 19. 20. a 22 Review General ledgerisub-ledgers and ensure that all the transactions under the respective heads are accounted for correctly. Accounting for cheques in hand to be made in accordance with our circular No F&AHQ/BS/2013-14/2 dated 3rd March, 2014, Reference may please be made to our IOC No. F&A/HQ/BS/2004-05 dated 20.4,2005 enclosing therewith full text of the facts of the case Query raised and opinion of the Expert Advisory Committee on accounting for Cheques in hand at the close of the year. In this connection, it is to be ensured that the Cheques received til 31% March, 2019 and not deposited with the bankers on that day are required to be treated as Cheques in hand. The cheques so received and in hand as on 31*' March, 2019 are required to be deposited on the first working day of the bank in April, 2019. However, the cheques received after 31° March, 2019 even if these are dated 31°" ‘March, 2019 are to be accounted for in the Qt F.Y. 2019-20 and are not to be accounted for as cheques in hand as on 31% March, 2019. Timely collection of TDS Certificates from different agencieslicensees and forwarding them to HQ for accounting in the Income Tax Return, The collection of TDS Certificates will affect the Trade Receivables. TDS Certificates to be collected and send to Head Quarters up to 3" Quarter F.Y. 2018-19, i.e., December, 2018. Unlinked receipts from customers to be linked for all the unlinked balances, especially for the old balances pending in the books of the Unit and status report to be submitted to the Head Quarter by 10" April, 2019, Accounting for provision for Gratuity! Leave Encashment and provisional allocation of overheads as advised by the HQ. As you are aware that in compliance to the Ind AS 108 on Operating Segment, the departmental incomelexpenditure is to be reduced from the over-all segment revenue of the company. In this connection itis requested that the unit wise, head wise details of such departmental income in respect of services given to other ITDC Units/Divisions credited to your accounts and similarly departmental expenditure charged in accounts in respect of services availed from other ITDC Units/Divisions should be given in a separate Schedule. It has been observed in the past that the expenditurefincome of such nature in the books of one unit does not tally with the corresponding figure of income/expenditure in the books of other Units causing difficulty in working out the segment revenue. It is therefore requested that while ‘econelling the Inter-Unit itis to be ensured that the head wise details of income/expenditure is maintained and disclosed in a Separate Schedule which is to be submitted by 25" April, 2019, \.