𝐂𝐀 𝐅𝐢𝐧𝐚𝐥𝐢𝐬𝐭 | 𝐈𝐧𝐯𝐞𝐬𝐭𝐦𝐞𝐧𝐭 𝐁𝐚𝐧𝐤𝐢𝐧𝐠 𝐄𝐧𝐭𝐡𝐮𝐬𝐢𝐚𝐬𝐭 | 𝐄𝐱–𝐅𝐞𝐥𝐢𝐱 𝐀𝐝𝐯𝐢𝐬𝐨𝐫𝐲, 𝐆𝐒𝐀&𝐀𝐬𝐬𝐨𝐜𝐢𝐚𝐭𝐞𝐬, 𝐒𝐍𝐕𝐀&𝐂𝐨 | 𝐍𝐈𝐒𝐌 (𝐕𝐈𝐈𝐈,𝐗𝐕,𝐕𝐀) | 12𝐌+ 𝐈𝐦𝐩𝐫𝐞𝐬𝐬𝐢𝐨𝐧
𝐌𝐚𝐬𝐭𝐞𝐫 𝐭𝐡𝐞 𝟒𝟒 𝐂𝐥𝐚𝐮𝐬𝐞𝐬 𝐨𝐟 𝐓𝐚𝐱 𝐀𝐮𝐝𝐢𝐭 𝐊𝐞𝐲 𝐅𝐨𝐫𝐦𝐬 𝐅𝐨𝐫𝐦 𝟑𝐂𝐀: For audits conducted under other laws (e.g., Companies Act). 𝐅𝐨𝐫𝐦 𝟑𝐂𝐁: For audits not mandated by other laws. 𝐅𝐨𝐫𝐦 𝟑𝐂𝐃: A comprehensive statement detailing income, deductions, and compliance. 𝐄𝐥𝐢𝐠𝐢𝐛𝐢𝐥𝐢𝐭𝐲 𝐟𝐨𝐫 𝐓𝐚𝐱 𝐀𝐮𝐝𝐢𝐭: 𝐁𝐮𝐬𝐢𝐧𝐞𝐬𝐬𝐞𝐬: Turnover > ₹1 crore (or ₹10 crores if cash transactions ≤5%). 𝐏𝐫𝐨𝐟𝐞𝐬𝐬𝐢𝐨𝐧𝐚𝐥𝐬: Gross receipts > ₹50 lakhs. 𝐂𝐨-𝐨𝐩𝐞𝐫𝐚𝐭𝐢𝐯𝐞 𝐒𝐨𝐜𝐢𝐞𝐭𝐢𝐞𝐬: Income exceeding the basic exemption limit. 𝐁𝐮𝐬𝐢𝐧𝐞𝐬𝐬 𝐋𝐨𝐬𝐬𝐞𝐬: Turnover > ₹1 crore if income exceeds the basic threshold. 𝐖𝐡𝐨 𝐂𝐚𝐧 𝐂𝐨𝐧𝐝𝐮𝐜𝐭 𝐭𝐡𝐞 𝐀𝐮𝐝𝐢𝐭? 𝐂𝐡𝐚𝐫𝐭𝐞𝐫𝐞𝐝 𝐀𝐜𝐜𝐨𝐮𝐧𝐭𝐚𝐧𝐭𝐬 (𝐂𝐀𝐬): Must hold a valid Certificate of Practice (COP). Each CA can conduct up to 60 audits per year 𝐃𝐮𝐞 𝐃𝐚𝐭𝐞𝐬: File by Sept30th and Oct 31st for transfer pricing audits. 𝐂𝐨𝐧𝐬𝐞𝐪𝐮𝐞𝐧𝐜𝐞𝐬 𝐨𝐟 𝐍𝐨𝐧-𝐂𝐨𝐦𝐩𝐥𝐢𝐚𝐧𝐜𝐞: Penalties up to ₹1.5 lakhs or 0.5% of turnover clauses for better understanding: 𝟏-𝟔: 𝐆𝐞𝐧𝐞𝐫𝐚𝐥 𝐈𝐧𝐟𝐨𝐫𝐦𝐚𝐭𝐢𝐨𝐧 1️⃣ Name 2️⃣ Address 3️⃣ PAN 4️⃣ Status (Individual, Firm, etc.) 5️⃣ Previous year for audit 6️⃣ Assessment year 𝟕-𝟏𝟏: 𝐀𝐮𝐝𝐢𝐭 & 𝐀𝐜𝐜𝐨𝐮𝐧𝐭𝐢𝐧𝐠 𝐌𝐞𝐭𝐡𝐨𝐝𝐬 7️⃣ Nature of business/profession 8️⃣ Section under which audit applies 9️⃣ Firm partners/members 🔟 Changes in partners/members 1️⃣1️⃣ Accounting method (mercantile/cash) 𝟏𝟐-𝟏𝟒: 𝐓𝐮𝐫𝐧𝐨𝐯𝐞𝐫, 𝐏𝐫𝐨𝐟𝐢𝐭 & 𝐋𝐨𝐬𝐬 𝐈𝐧𝐟𝐨 1️⃣2️⃣ Profit and loss details 1️⃣3️⃣ Conversion of capital assets into stock-in-trade 1️⃣4️⃣ Turnover/gross receipts breakup 𝟏𝟓-𝟐𝟐: 𝐃𝐞𝐝𝐮𝐜𝐭𝐢𝐨𝐧𝐬, 𝐃𝐞𝐩𝐫𝐞𝐜𝐢𝐚𝐭𝐢𝐨𝐧 & 𝐄𝐱𝐞𝐦𝐩𝐭𝐢𝐨𝐧𝐬 1️⃣5️⃣ Capital assets acquired 1️⃣6️⃣ Non-allowable amounts (Section 40) 1️⃣7️⃣ Expenses not allowable under other sections 1️⃣8️⃣ Employee payments 1️⃣9️⃣ Depreciation 2️⃣0️⃣ Loans and deposits 2️⃣1️⃣ Deductions (Section 32AC, 35AD, etc.) 2️⃣2️⃣ Other disallowed expenditure 𝟐𝟑-𝟐𝟗: 𝐓𝐚𝐱 𝐏𝐚𝐲𝐦𝐞𝐧𝐭𝐬, 𝐓𝐃𝐒 & 𝐓𝐂𝐒 2️⃣3️⃣ Payments to related parties 2️⃣4️⃣ TDS/TCS compliance 2️⃣5️⃣ Interest payable 2️⃣6️⃣ Non-account payee payments 2️⃣7️⃣ Investments/donations deductions 2️⃣8️⃣ Capital expenses in P&L 2️⃣9️⃣ Prior period income/expenditure 𝟑𝟎-𝟑𝟕: 𝐒𝐩𝐞𝐜𝐢𝐟𝐢𝐞𝐝 𝐓𝐫𝐚𝐧𝐬𝐚𝐜𝐭𝐢𝐨𝐧𝐬 3️⃣0️⃣ GAAR tax avoidance 3️⃣1️⃣ Cash payments > ₹10,000 3️⃣2️⃣ Deemed income (Sections 41, 43B) 3️⃣3️⃣ Related party transactions 3️⃣4️⃣ TDS compliance 3️⃣5️⃣ Section 43CA/50C compliance 3️⃣6️⃣ Specified domestic transactions 3️⃣7️⃣ Transfer pricing 𝟑𝟖-𝟒𝟐: 𝐂𝐨𝐦𝐩𝐥𝐢𝐚𝐧𝐜𝐞 𝐰𝐢𝐭𝐡 𝐎𝐭𝐡𝐞𝐫 𝐋𝐚𝐰𝐬 3️⃣8️⃣ CENVAT credit 3️⃣9️⃣ Service Tax compliance 4️⃣0️⃣ Excise, Customs compliance 4️⃣1️⃣ Pending litigation 4️⃣2️⃣ GST compliance 𝟒𝟑-𝟒𝟒: 𝐄𝐱𝐩𝐞𝐧𝐝𝐢𝐭𝐮𝐫𝐞𝐬 & 𝐈𝐧𝐜𝐨𝐦𝐞 4️⃣3️⃣ Breakup of expenditures, profits, etc. 4️⃣4️⃣ Expenditure split between registered/unregistered suppliers under GST