CA Foundation June 2026 Exam: Last Month Current Affairs Guide with Expected Questions

<h2>CA Foundation June 2026 Exam: Last Month Current Affairs Compilation</h2>

<p>With just weeks left before your CA Foundation exam in June 2026, current affairs becomes a crucial scoring area. The ICAI exam loves testing your awareness of recent economic policies, GST updates, RBI announcements, and Indian business environment changes. Let's break down what you MUST know.</p>

<h2>1. RBI's Monetary Policy & Interest Rates (May 2026)</h2>

<p><strong>What Happened:</strong> The Reserve Bank of India's Monetary Policy Committee (MPC) meets regularly to decide repo rates, which directly affect inflation and economic growth.</p>

<p><strong>Why It Matters for CA Foundation:</strong></p>

<ul>

<li>Connects to <strong>Business Economics</strong> syllabus (inflation, monetary policy)</li>

<li>Related to <strong>RBI Act, 1934</strong> and RBI's role in financial stability</li>

<li>Important for understanding <strong>inflation targeting framework</strong></li>

</ul>

<p><strong>What to Remember:</strong> The repo rate is the rate at which RBI lends money to commercial banks. A lower repo rate encourages borrowing and economic growth. Higher rates control inflation. Know the current repo rate (as of May 2026) and understand its impact on small businesses and common people.</p>

<h2>2. GST Rate Changes & Tax Compliance Updates</h2>

<p><strong>What Happened:</strong> The GST Council regularly meets to review tax rates on various goods and services. May 2026 likely saw updates on essential items, technology services, or specific sectors.</p>

<p><strong>Why It Matters for CA Foundation:</strong></p>

<ul>

<li>Core topic in <strong>Indirect Taxation</strong> (GST is 40% of tax curriculum)</li>

<li>Directly tests your knowledge of <strong>GST Act, 2017</strong></li>

<li>Exam often asks about tax rates on specific goods and filing deadlines</li>

</ul>

<p><strong>What to Remember:</strong></p>

<ul>

<li>Standard GST rate = 18% (most goods and services)</li>

<li>Essential items like food grains, milk = 5% or 0%</li>

<li>Luxury items, cars = 28%</li>

<li>IGST (Integrated) is applied on inter-state supplies</li>

<li>Quarterly GST return filing deadline for most businesses</li>

</ul>

<h2>3. Union Budget 2026 Implications (Post-February)</h2>

<p><strong>What Happened:</strong> The February 2026 Union Budget announced new fiscal policies, tax slabs, and investment incentives still being implemented in May.</p>

<p><strong>Why It Matters for CA Foundation:</strong></p>

<ul>

<li>Tests your understanding of <strong>direct taxation</strong> (Income Tax Act, 1961)</li>

<li>Includes <strong>Economic Laws</strong> and business regulation</li>

<li>Shows how government encourages startup investments and green energy</li>

</ul>

<p><strong>What to Remember:</strong></p>

<ul>

<li>Current income tax slabs for individuals (2024-25 onwards)</li>

<li>Section 80C provisions for investments (up to ₹1.5 lakh deduction)</li>

<li>Any new incentives for startups under <strong>Companies Act, 2013</strong></li>

<li>TDS rates for different types of payments</li>

</ul>

<h2>4. Corporate Governance & Stock Market Trends</h2>

<p><strong>What Happened:</strong> Market regulator SEBI continues issuing guidelines on corporate transparency, insider trading prevention, and shareholder protection.</p>

<p><strong>Why It Matters for CA Foundation:</strong></p>

<ul>

<li>Directly connected to <strong>Business Law</strong> and <strong>Companies Act, 2013</strong></li>

<li>Tests understanding of <strong>SEBI Act, 1992</strong></li>

<li>Exam asks about board composition, audit committee, whistleblower policies</li>

</ul>

<p><strong>What to Remember:</strong></p>

<ul>

<li>Independent directors must form majority in listed companies</li>

<li>Audit Committee must have at least 3 members (2/3 independent)</li>

<li>Insider trading is strictly prohibited under Section 12A of SEBI Act</li>

<li>Mandatory CSR spending = 2% of average net profit (last 3 years)</li>

</ul>

<h2>5. Environmental & Sustainability Policies</h2>

<p><strong>What Happened:</strong> India continues implementing net-zero carbon targets and green energy initiatives matching global climate agreements.</p>

<p><strong>Why It Matters for CA Foundation:</strong></p>

<ul>

<li>Part of <strong>Business Environment</strong> syllabus</li>

<li>Tests awareness of <strong>Environmental Protection Act</strong> and sustainable development</li>

<li>Shows business ethics and corporate responsibility</li>

</ul>

<p><strong>What to Remember:</strong></p>

<ul>

<li>India's 2070 net-zero target</li>

<li>Renewable energy capacity additions (solar, wind)</li>

<li>Corporate Social Responsibility (CSR) mandatory spending rules</li>

<li>ISO 14001 environmental management standards</li>

</ul>

<h2>Exam Strategy for Last Month</h2>

<p><strong>Action Items:</strong></p>

<ul>

<li>Read 1-2 news articles daily on economy, tax, and business from <strong>The Economic Times, Business Today, or PIB</strong></li>

<li>Make flash cards of key rates, percentages, and section numbers</li>

<li>Connect every current affairs topic to your CA Foundation chapters</li>

<li>Practice questions from past exams on these topics</li>

<li>Take mock tests including current affairs questions</li>

</ul>

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<h2>Practice MCQ Questions for CA Foundation</h2>

<h3>Question 1: GST and Taxation</h3>

<p><strong>Q1. What is the standard GST rate applicable on most goods and services in India under the GST Act, 2017?</strong></p>

<ul>

<li>A) 5%</li>

<li>B) 12%</li>

<li>C) 18%</li>

<li>D) 28%</li>

</ul>

<p><strong>Answer: C) 18%</strong> — The standard rate covers most goods and services. Special rates apply to essential items (0-5%) and luxury items (28%).</p>

<h3>Question 2: RBI and Monetary Policy</h3>

<p><strong>Q2. The rate at which the RBI lends money to commercial banks for short-term periods is called:</strong></p>

<ul>

<li>A) Base Rate</li>

<li>B) Repo Rate</li>

<li>C) Reverse Repo Rate</li>

<li>D) Bank Rate</li>

</ul>

<p><strong>Answer: B) Repo Rate</strong> — It's the primary tool used by RBI for monetary policy implementation. A lower repo rate encourages lending and growth.</p>

<h3>Question 3: Corporate Governance</h3>

<p><strong>Q3. Under the Companies Act, 2013, what is the minimum percentage of independent directors required in a listed company's board of directors?</strong></p>

<ul>

<li>A) One-third</li>

<li>B) One-half</li>

<li>C) Two-thirds</li>

<li>D) Three-fourths</li>

</ul>

<p><strong>Answer: B) One-half</strong> — Listed companies must have at least 50% independent directors on their board to ensure corporate governance and transparency.</p>

<h2>Final Tips Before Your June Exam</h2>

<p>Current affairs isn't just about scoring a few extra marks—it shows the ICAI that you understand how accounting, law, and economics work in real India. Spend 15-20 minutes daily on current affairs, connect it to your syllabus, and you'll tackle exam questions with confidence.</p>

<p><strong>Good luck! Your CA journey starts with these foundations.</strong></p>