Building on strong foundations

Charting a new path forward

Making support functions pay for themselves KPMG Managed Services KPMG in India offers integrated Managed Services to address your Statutory As organisations grow their , it is important that the , Bookkeeping, and HR Compliance processes using its specialised ensures: and dedicated team - comprising accounting, secretarial, tax and HR/ payroll professionals. • Leadership focus on growth drivers instead of operating non-ore functions Our offering is especially relevant for the Indian operations of foreign companies, start-up companies and investment funds. Such entities may find it beneficial to • Business is equipped and staffed appropriately to manage support outsource their bookkeeping and compliance functions to be able to focus on functions, and they have the ability to be flexible to match the needs of the their core . business during variable business cycles • The support functions build their technology capability to add value through insights and data analytics, and in some senses become a profit center on their own The offering encompasses broad range of services, including:

As businesses are pressured to deal with cost and growth issues, we observe that business are engaging to take care of their non-core business functions, to allow management to focus on business goals. Typically, it is accounting, Tax, IT and HR functions that are widely Maintenance of Monthly management outsourced since these are the areas that constitute the majority of cost and books of accounts information reports headcount as far as non core activities are concerned.

The drivers for deciding whether to outsource or not vary by , but we have provided below some key aspects that have a bearing on the decision Company secretarial Preparation of annual financial statements • Level of difficulty in building and operating an internal function e.g. compliance support retention of key talent, continuous training, offering growth to employees and cost pressures • Costs and reputational implications in the case of lapses in critical compliances Support during the Assistance in group • Need for quality reporting on a timely manner audit process reporting • Building process efficiency in order to be able to manage increased volumes at a lower per transaction cost • Integration of technology capability into processes especially in the areas of Support on direct tax, data analytics to enhance the value proposition of non core activities Assistance with HR indirect tax and other and payroll processing regulatory compliances To be able to outsource these activities, organisations go through a quick analysis, typically start with a few processes in some key areas and then expand the range and scale of outsourced activities based on their experience. . Highly customizable services basis unique requirement and scope specifics

Accounting • Regularisation of books of accounts for pastperiods statements • Record day-to day accounting transactions as required under • Prepare customised monthly/quarterly/ Indian GAAP annual MIS reports • Manage accounts payable and accounts receivablefunction • Prepare annual financial statements as • Record fixed assets and prepare per Indian GAAP depreciation schedules • Convert Indian GAAP statements to U.S. GAAP, IFRS or other • Record month-end accruals and manage the closureprocess international GAAP, as required • Prepare and file eTDS returns • Liaise with auditors as required to help facilitate the timely • Prepare bank reconciliation and inter- company reconciliation completion of an audit.

Company • Preparation of share certificates and common seal • Preparation of documents for change in share capital secretarial • Preparation and updation of statutory registers • Assistance in filing for changes with respect to name, registered compliance • Preparation of board / shareholder meeting minutes office address, main objectives, etc. • Preparation of director’s report • Preparation and filing of annual and • Preparation of documents for appointment/resignation of • other statutory returns. directors

Management • Prepare customized monthly / quarterly / annual MIS reports • Support in cash flow monitoring accounting • Review of annual financial statements • Support in CMA data preparation and review • Operational and finance support • Support in preparation of future cash flow forecasts • Support in preparation of • Support in valuation activities for further issue of capital • Support in compilation of annual • Support in accounting and finance recruitments (limited to • budgets and periodic updates shortlisting of candidates).

HR & Payroll • HR administration & compliance • Assist with statutory compliances with various applicable laws processing • Assist with payroll processing such as those pertaining to income tax, profession tax, provident • Prepare pay slips fund, etc. • • Prepare customised payroll reports Provide personal employee support services that enable resolving employee queries • Prepare monthly bank transfer letters • Provide a helpdesk for employees • Assist with tax computation and other tax issues relating to the payroll cycle • Assistance in calculating and filing expat tax. • Maintain leave records

Direct tax • Assistance with incorporation of subsidiary / liaison office/branch • Assistance with tax assessments office / project office • Assistance with application for lower withholding certificates • Assistance with tax compliance • Assistance with other regulatory compliances • Assistance with advance tax working • Assistance with advance rulings • Preparation of tax returns • Transfer pricing support.

Indirect tax • Assistance with GST and other Indirect tax compliance • Assistance with drafting of responses to preliminary queries from • Assistance with the preparation of returns the tax department • Procurement of statutory forms from the tax authorities such as • Assistance with other regulatory compliances Form C/F • Impact assessment and suggesting the • Review of required registers and records • way forward for GST. • Assistance with tax assessments KPMG’s proprietary suite of tools and technology to enable seamless and integrated services

Our technology driven operations are enabled by a proprietary suite of tools that are customizable basis organizational specificities

KPMG Tax Secure environment Provides data insights and Automata Data Hub & EWB & with controlled business outcomes 26AS Auto E-Invoicing access rights and fully Recon Tool compliant for all data privacy regulations End-to-end Tax and KPMG Link 360 & MSME K Central compliance automation Micro Site Link 360

Eliminates manual Dashboards provide a efforts, human errors bird’s eye view of the GST and Improves business performance Compliance Dashboard reporting accuracy and compliance status Pilot & TIS with drill down options K-Trinity & K-Helios

Cloud (anytime Customized KPMG Automata – anywhere access) dashboards

a key enabler 360-degree view of client’s Automated financial The KPMG Automata digital finance business and platform provides seamless and processes statements integrated capabilities to empower every organization, irrespective of its size or nature of business, to fully transform and automate their finance Revenue impetus processes, end-to-end, helping derive (including Cost and insights that catalyze business downstream and time development priorities. incidental) efficiency Customized service delivery models

Service delivery models

Offsite model Onsite model Hybrid model • Services provided from our offices in India • Resources deployed on a full-time or part-time • Services rendered from our offices in India and • Option of using client-supplied software or our basis at the client’s location under the direct while visiting client premises as per a mutually own software supervision of the client’s finance team or our decided schedule own team • Supervision either by the client’s finance team or • Use of client-supplied software by our own team

Flexibility in the nature ofservices Integrated suite of statutory accounting Only bookkeeping services / only Short-term project Ongoing retainer and bookkeeping compliance preparation requirements arrangements What organizations want… …and what KPMG offers.

World class Intelligent Controls and • Integrated managed services – one stops shop to address all your operations at an Compliance operations compliance needs affordable price for improving accuracy, point reliability and • Dedicated and experienced team to support you through out the process predictability of financials • Ability to leverage our diverse experience and client base to benchmark Efficient process, self Operations that and improve processes reliant, well utilized leverages technology to resources to allow deliver quick and • Access to KPMG’s global network allows member firms to offer retained organization accurate financial and dedicated bookkeeping and services locally around the world focus on business business information partnering roles • Robust tools, technology and methodology for control and transparency Service provider A partner who takes behaving, acting as responsibility, • Confidentiality and data security due to established business partners accountability and willing to who can collaborate invest in the relationship internal risk policies and guidelines seamlessly with and has scalable operations business to accommodate future • Smooth transition and delivery mechanism to help ensure that growth there are no surprises.

Raman Sobti Bala Chandran Ajay Mehra Surendra Choudhary KPMG in India Partner Partner Partner Partner Enterprise Managed Services Tax Markets CFO Advisory – F&A Managed Services T: +91 9810077067 T: +91 9962063178 T: +91 98202 87373 T: +91 98206 66130 contacts: E: [email protected] E: [email protected] E: [email protected] E: [email protected]

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KPMG Assurance and Consulting Services LLP, Lodha Excelus, Apollo Mills Compound, NM Joshi Marg, Mahalaxmi, Mumbai - 400 011 Phone: +91 22 3989 6000, Fax: +91 22 3983 6000 © 2020 KPMG Assurance and Consulting Services LLP, an Indian Limited Liability and a member firm of the KPMG network of independent member firms affiliated with KPMG International ("KPMG International"), a Swiss entity. All rights reserved. The KPMG name and logo are registered trademarks or trademarks of KPMG International. KPMG Assurance and Consulting Services LLP has entered into sub-license arrangement with certain entities in India. This communication is also addressed to such sub-licensee firms in India. KPMG (Registered) (a partnership firm with Registration No. BA- 62445) converted into KPMG Assurance and Consulting Services LLP (a Limited Liability partnership firm) with LLP Registration No. AAT-0367 with effect from July 23, 2020 ------