The Role A CA Plays At The End Of The Financial Year In India

The financial year in India is from the 1st of April to 31st March every year. Hence, 31st march or say the end of a financial year is an important time for every business owner, employee, and every other person who has financial obligations to fulfill.

A Chartered Accountant(CA) plays a vital role at the end of every financial year.
Every time a financial year ends, there are several major responsibilities related to finance and taxation that every person needs to fulfill.

To fulfill those, a Chartered accountant helps people with their financial and tax advisory to improve their financial position, profits and reduce the tax liabilities.

The Role Or Functions A CA Plays At The End Of Every Financial Year Are:

Maintenance and Closing the books of accounts:

A Chartered Accountant keeps a systematic record of all day to day transactions in a systematic manner that occurs in a financial year. As the financial year ends, the main role of a CA is to manage and properly close the books of accounts for that year.

By closing books of accounts, the CA prepares a balance sheet to calculate the net profit and loss and the financial position of an entity for an accounting period.

Performing statutory and internal audit:

At the end of every financial year, a CA performs a statutory and internal audit. Under the statutory audit, he/she audits the books of entities to ensure that entities prepare all financial statements with standards, accounting principles and legal considerations and all statements are true and fair in nature.

On the other hand, Internal audit relates to ensuring that all the accounting transactions and activities are in accordance with the accounting policies.

Ascertain The Profit & Financial Position:

A Chartered Accountant, by auditing and closing the books of accounts, calculates the financial position and net profit of an entity on a specific date. But calculating the net profit and financial position, it becomes easy to calculate and reduce the tax and other financial liabilities. The ascertainment of financial position at the end of every financial year also helps in making financial and investment decisions.

Taxation Services:

Another very important role a Chartered accountant plays at the end of a financial year is providing all major taxation services to their clients. The tax services include-

    • Planning and saving Tax in advance.
    • Filing tax and tax returns.
    • Prepare representations for tax authorities.
    • Maintenance of tax records.
    • Providing consultancy on tax and financial matters.
    • Investment planning to reduce tax liabilities.

With these services, a Chartered Accountant helps its clients in managing and reducing the tax liabilities and increasing net profit in hand.

Facilitate Decision Making:

At the end of every financial year, there are tons of decisions to be made related to growth, market, sales, production, finances, taxes and so on.

When it comes to the money part where cost, profit, margins, taxes, liabilities play a major role; the decision making or say “correct financial decision making” becomes very important.

A Chartered Accountant, through his/her experience in finance, economy, accounts and other important fields facilitates and helps their clients in proper decision making.


At the end of every financial year, the Chartered accountants have the main task of preparing budgets. According to the resulting financial position, the profit earned in the year, and the expenses; CA prepares a budget for the upcoming year.

A budget is used to prepare to compare the actual results with expected and find variations if any. The role of CA is very important in budgeting.
A Chartered Accountant is the most important support for any business and taxpayer during and at the end of every financial year.

Everything you must know about Income Tax Consultancy

Income tax act was passed in 1961. Income tax is a term that includes taxes any taxpayer pays to the government, on income received. Whether you are a newbie or an old-hand taxpayer, question yourself, have you ever thought about saving tax on income? or Is your tax planning proper enough to save maximum tax on your income?

Often attributed to Ben Franklin is this famous quote: “Nothing is certain except for death and taxes.”

Paying taxes is necessary, but the hard part is its management. Managing taxes, in a legal format, without breaking any rules seems near to impossible.

Tax laws governed by the income tax department are very complex and so is filing and managing your taxes, but saving tax or planning your taxes, actually, is very easy with the help of proper income tax consultancy services.

As a part of chartered accounting services, tax consultancy services are provided by experienced chartered accountants, who professionally guide and help you with your taxes.

Tax consultants provide a number of quality tax services, which help you in planning, managing, and save tax on your income.

How does Tax Consultants help you?

A general perception of chartered accountants and tax consultants is that they just file income tax and prepare accounting records for businesses. In reality, they do more than just record-keeping and tax filing, here are in how many ways income tax consultants help you with your finances.

Tax planning & savings:

Tax consultants plan and help you save a lot from your taxes. There are several legal methods through which these professionals manage and plan your taxes beforehand, increase your savings, and keep your income under low tax slabs.

Tax refunds and computations:

Before the filing of income tax, hiring income tax consultants can be financially beneficial. Professional advisors compute actual taxes based on your income, and with experience in finances, calculate maximum refunds and lower your tax liability and save a lot from your income.

Filing of income tax:

While filing income tax for you, tax consultants make sure no mistakes occur, and all information is correct and is filled in their respective fields. These professionals help you with the proper filing of income tax.

Investment planning:

Whether you are a businessman or an employee, these chartered accountant professionals work on their toes and help you with planning investments, reducing maximum risks possible, that guarantee you big returns and long financial stability.

Consultancy on tax and financial matters:

Tax laws are confusing and hard to understand for a common person. Income tax consultants provide specialized consultancy on tax and financial matters, based on several legal and moral factors. By hiring a tax consultant, you can easily get solutions to all your tax and financial matters.

Maintenance of Income Tax records:

Filing of tax and refunds are important and to be done properly, but proper record maintenance of taxes, keeping in mind all rules, prohibitions, acts, heads of income, deductions, penalties, is not an easy task. Hiring a professional income tax consultant, for maintenance of income tax records not only keeps your tax practices short and smooth, but will also save your time, money, and reduce your liabilities too.

Benefits of Income Tax Consultancy.

Apart from the above tasks, tax consultants benefit their clients by

  • Saving a lot of time in preparing returns
  • Updating clients about tax laws and practices
  • Communicating and explaining all tax issues on time
  • Planning for taxes beforehand
  • Handle complex calculations
  • Prepare all documents and records properly
  • Frequent research and analysis of tax legislation
  • Continuous meetings for updates
  • Keeping compliant with tax obligations
  • Working with profit arrangements

Reasons why you should hire tax consultant/advisor.

  • To maximize your tax deductions and credits
  • Transferring your total income from a high tax slab range to a lower tax slab range
  • Defer most of the taxes to future financial years
  • Taking advantage of the current economy-boosting tax laws
  • Managing profits and losses made on capital assets to balance each other

Skills and qualifications income tax consultants have.

As a professional, tax advisors/consultants carry some very important and demanded skills and qualifications. Some of their professional skills are

  • Updated knowledge about changes in tax laws
  • Expertise in accountancy and finance
  • Experience in handling economic, law, financial and management issues
  • Good with numbers
  • Logical and analytical mindset
  • Excellent communication and interpersonal skills
  • Good influential and negotiation skills
  • Dynamic organizing and planning skills
  • Solve problems with accurate solutions
  • Proper time management
  • High ability to work under tight deadlines
  • Attention to every detail needed
  • Flexibility in approach towards tasks
  • Confidentiality in work, for clients comfort
  • Better commercial understanding
  • Systematized record maintenance.

Income tax advisors have expert knowledge in areas like corporate tax, inheritance tax, trusts and estates, VAT, TDS, TCS, personal tax, national insurance, and many more.

Whether you are an employee or own a business, income tax consultancy is beneficial for both.