Advisory on a Group Transfer Pricing Framework resulting in overall lower tax outflows

• The client is a Group of companies headquartered in India with an annual Group turnover of ₹ 100 Cr. The Group was into the ITeS segment.
• The parent company has subsidiaries in the US & UK.
• We were hired to advice the Group on, a suitable framework that would ensure compliance with the Transfer Pricing Regulations as per the local laws and also, a mechanism that could result in the least tax outflows for the Group.
• We looked at the business offerings in depth and after understanding the situation, revamped the model through which the inter-company transactions should take place. This resulted in compliance with the applicable regulations in all the locations of the Group and reduced the overall annual tax outflow of the Group by 5—10%.

Tax Support through Resource Deputation

• Under this category, we have two stories that has helped our clients sail through some crucial moments.
• One story is of an equity listed entity in the ITeS sector with an annual turnover of ₹ 250 Cr which needed our support in handling all direct and indirect tax related jobs in the entity. Our support included computation of taxes, filing returns, preparation of appeal documents preparation of reporting disclosures, etc.
• The other story is of a Private Company in the
• Manufacturing sector that has a turnover of ₹ 400 Cr. We supported them predominantly in their indirect tax compliances such as, GST return filing, GST refund claim ap

Asset Capitalisation

• For one of the leading 5-star hotels in Chennai, we had assisted the accounts team in accounting for the fixed assets.
• The entire project cost accounted was close to ₹ 85 Cr. The exercise entailed us collating all the physical documents, undertaking a physical verification of the assets and accounting for the hotels in accordance with the accepted accounting principles.

Outsourced CFO Services to an NBFC

• Our greatest success story so far is the outsourced CFO services provided to a debt-listed Micro Fi nance Institution firmly rooted in Tamil Nadu with branches in 7 states. This entity has a loan portfolio close to ₹ 3,000 Cr.
• Our role was to consolidate the efforts of the accounting, collection and other related teams and provide dashboards and summaries to the Board about the operations of the entity as a whole.
• Another exclusive role in the same company involves us assisting the Management in preparing, developing and reviewing their ECL methodology.

Services in the context of IBC framework

• Our stories under the IBC, include audit of entities under liquidation, supporting the liquidator / insolvency professional in executing his duties, miscellaneous certifications among others.

Forensic Audit

• We put on our thinking hats for this one in identifying fraudulent transactions / documentation submitted by a borrower for obtaining / maintaining cash credit facilities with a bank.
• We identified transactions that appeared irrelevant to the business, parties who never existed but money being routed through various accounts, non-existent inventories among several others that led to the bank initiating appropriate action on the borrower.

Support in listing a company on the stock exchange

• What started off as assistance in preparing consolidated financial statements with 12 companies in the Group with complex inter—company
transactions turned into a roller-coaster experience for us when we had to assist the company in preparing its DRHP document.

Internal Audit of the International Banking Division

• We have had the opportunity of auditing the in ternational banking division of an Indian Private Sector Bank having a market cap of USD 1.20 billion.
• This involved analysing forwards and future contracts, review of procedures with respect to international payments and receipts, handling bank account operations among other activities.