JW & PARTNERS

COMPANY SECRETARIAL SERVICE PROPOSAL COMPANY PROCEDURE COMPLIANCY UPDATE WE OFFER YOU

AUDIT, TAX AND ACCOUNTING MANAGEMENT SERVICE

We are located on Plot 8/10 kampala Road on 13th floor Uganda House, Tel: 0414 256 408, Managing Partner Mr. John Ochola 0704 024835, Director Business Advisory Mr. Patrick Omony Mooni 0772 564808

JW & PARTNERS

TECHNICAL PROPOSAL.

Created & Published By JW & PARTNERS http://www.jwauditors.blogspot.com. Copyright © 2014 – JW & PARTNERS. All rights reserved. DISCLAIMER AND TERMS OF USE AGREEMENT The information contained in this write up is not to be used for any other purpose except to promote the interest and services of JW & PARTNERS (Public Accountants and Management Consultants). It can be shared as is without alteration of the content . Any person or individual who wishes to use this information other than that stated above should request and be granted permission by the Managing Partner of the firm Mr. Ochola John. He can be reached by mail on [email protected] or call 0704 024835 Office line: 0414 256408

JW & PARTNERS

visit us on

www.jwauditors.blogspot.com

2

JW & PARTNERS

TECHNICAL PROPOSAL.

Dear sir/madam, RE: COMPANY SECRETARIAL SERVICE. We would like to interest you about our Company Secretarial service; As you must have read in the press URA, KCCA and URSB have recommitted to work together. This is majorly intended to increase domestic revenue collection. How? Through fines, penalties and interests on fines and penalties for non-compliancy. Registration and compliancy fees collections are also expected to increase due to increased enforcements to compliancy. This is why we are proposing to you to SIGN-UP your organization for our company secretarial/ registration service. We will help you update your compliancy status with the registrar of companies URSB and also reconcile disclosures in your Tax returns with your returns to the registrar of companies URSB. Company secretarial services are one of the most overlooked services by management of organizations. Failure to comply can cost a company a lot of money in Penalties and interest on penalty when noted and raised as queries in assessments by the authorities. The income tax Act and the Companies Act all emphasize on proper records which should be filed to them URA and URSB which records should agree. Compliancy outcomes can tremendously improve the quality of management in terms of decisions making, implementation and redirecting the organization safely out of danger of authorities (penalties and fines) and right into the opportunities that an economic environment has to offer. Before I go into the details of it, allow me to make a brief introduction about who we are… JW & PARTNERS is a medium sized certified Public accounting firm offering a wide range of management advisory services. Formed in 1984 by two partners all indigenous, we boast of over 29year of service in the business and have experienced the high of the highest and the lowest moments that only a resilient business can go through. Our major goal is to create development impact onto companies with the services that we are offering. Briefly that’s who we are.. visit our professional blog website for more about us... Also before I can start telling you about this service, let me first explain what a company secretary’s secretarial duties are; When you register an organization there are rules and regulations called company procedures which you are expected to abide with when managing the affairs of your organization. The basic ones are filing Annual returns, Appointing Auditors and holding annual general meetings, which you might have done by now. If not or if you feel it was done by someone who is not competent enough; JW & PARTNERS will help you just SIGNUP for the service.

JW & PARTNERS

visit us on

www.jwauditors.blogspot.com

3

JW & PARTNERS

TECHNICAL PROPOSAL.

What I’ve just explained is the basic company compliancy procedures. The most important aspect of this that will cause you to incur a liability with the Authorities more specifically URA, is when they examine the information that you have disclosed to them in your Tax return. The income Tax law requires that companies or organization must keep proper records. Now reference to proper records do not only refer to invoices, receipts and LPOs , agreements and so forth, it includes other supporting documents that need to be filed with the registrar of companies at the Uganda registration service bureau. These documents will serve as proof of the transactions being observed that have been ascended to by the governing authority of the company or organization. Decisions of actions taken or to be taken by the company are arrived at by way of resolutions either in an Annual General Meeting AGM or Extraordinary General meeting EGM. This does not only apply to big companies, it is for all companies that are legally constituted under the Uganda companies Act. Therefore, transactions or any other activities that the company or organization finds its self undertaking should follow these procedures. For example if you filed say an income tax return to URA and in it your financial statements shows that the company was not paying rent simply because the directors of the company owned the property and had leased it to the company, this has to be supported inform of resolutions made in an AGM or EGM to which the document should have been filed to this effect with the registrar of companies as the law requires it. Failure to abide by this is an open check for the Tax man URA to charge you with falsification of information filed in your income Tax return under section 142 of the income tax Act. You can further be charged with failure to keep proper records under section 139. To which the penalty is to pay twice the amount of tax payable for that financial year plus interest. Now you should not get worried. If you do not have a person with expertise about such matters in your organization. A professional practicing account can do it for you. Word of caution though, that not all accountants have this expertise, it is those Accounting firms who have developed strength through time tested success of correct application of this expertise like JW & PARTNERS who can help you better. But, how do you tell who is competent to help you with your company secretarial challenges?. It is simple; it’s the way they explain it(Company secretarial services) to you just like how I’m doing now. So if your accountant or Auditor has never raised this as an issue while with you do not bother asking him about it he will let you down. It’s not enough to just claim that we also offer company secretarial /registration service like most individuals and firms are doing, just visit their websites and you will see what I’m talking about. The danger in using the services of such people is that vital company procedures with serious tax implication and severe penalties are overlooked because of their lack of in-depth knowledge of the service.

JW & PARTNERS

visit us on

www.jwauditors.blogspot.com

4

JW & PARTNERS

TECHNICAL PROPOSAL.

We JW & PARTNERS have been in this business long enough not to allow such simple professional oversights to occur to you. So what are you waiting for SIGN-UP for the service Now. Call or write. There is also another perspective of the same. let’s say you made resolutions and properly filed them with the registrar. Where the tax man will try to make you pay, will be in your accounting records(system). Remember your records with the registrar of companies will only support your final financial statement reports through your accounting system. Take this example; if in one of your resolutions the directors had resolved to increase the company’s liquidity by borrowing from private individual like family members and friends and also through financial institution. Your accounting records should show how these monies come in and how it was spent. Failure to show this is failure to keep proper records. Remember again in the auditor’s report of your audited accounts; it states that ‘’The financial statements are in line with the accounting records’’. Failure to prove this to be so will be interpreted by URA as falsification of records under section142.of the income Tax Act. Companies and organizations who have suffered this full scale interpretation have been severely crippled to being non existence. Some of them will make blanket statements that taxes are putting them out of business yet the problem is compliancy. So don’t be like them make that wise decision now and SIGN UP for this service it will be worth it. This is Our Approach in serving you; Immediately you SIGN-UP, we start with first carrying out a thorough examination of your records to URA over at least five years because that is how long URA expects you to keep these historical records, and then look into your account with the registrar of companies or URSB to determine, to what extent you were compliant with the basic company procedures and filling of resolutions. We then come up with a to-do list which we then execute on your behalf as your company secretary. So don’t wait do it NOW. SIGN UP. FOR OUR COMPANY SECRETARIAL SERVICE. This email has been circulated to many other companies SIGN-UP now before we are fully booked. We would not love to serve you in future date while things continue to go bad. Be wise SIGN-UP now we are waiting for your call or [email protected], 0704024835 Managing Partner John Ochola, 0772 564808 Director Business Advisory Patrick Omony Office line; 041-4-256408.

JW & PARTNERS

visit us on

www.jwauditors.blogspot.com

5

JW & PARTNERS

TECHNICAL PROPOSAL.

HOW TO SIGN UP FOR THE SERVICE. We have two categories of clientele that you can choose to be serviced as; a) Regular Clients b) Retainers Client Regular clients Category; This is a one off or walk in client. He is charged per the assignment. Say if he has a one off transaction or undertaking that he/she wishes to be advised a bout company procedures to follow. He receives a quotation for that assignment. Retainer Client Category; This is long term. Here a client signs with us a contract where he pays an agreed monthly retainer fee for which he receives unlimited consultations at no extra charge for all his company secretarial needs. This may range from acquisition of credit, managing of company assets, mortgages, expansions etc…. Thank you Regards Patrick Omony Director Business Advisory JW & PARTNERS 0772 564808 Other services we offer that is of great benefits to your company are; a. Tax Accounting and Tax Advisory service There is Tax accounting and Management accounting and these should not be confused; If a director of accompany withdraws money from the company to go an undertake duties of the company. For management accountability purpose it can be captured as money paid to director x, this from a tax point can be interpreted as income to the director to which it will be added back by the tax man to be taxed as PAYE or income tax in the director’s return. Usually this is discovered when URA request for your accounting records in a way of enforcing compliancy. This therefore means that companies should start accounting in their books of accounts information in such a manner that will not be interpreted to create more tax liability. Your accounting packages should be configured to cater for this. You can also sign up you company for this service Tax accounting and Tax Advisory service. b. Accounting Information and control management service. In this we help you set up an acceptable and efficient way of how you can capture and manage your accounting records for both management and Tax purpose. This will came in handy especially when objecting to TAX assessments raised by URA.

JW & PARTNERS

visit us on

www.jwauditors.blogspot.com

6