Quick Summary
Tax audit applicable if business or profession exceeds certain turnover or income threshold limits. Income tax audits under Section 44AB of the Income Tax Act, 1961, are crucial for ensuring compliance with tax regulations in India. Here’s a comprehensive overview of the requirements and pro
Daily Limit Reached
You have reached your daily limit of 2 Free Articles
Subscribe to CCI PRO for unlimited access
Why Upgrade to CCI PRO?
- No Ads
- WhatsApp Broadcasts
- Daily E-Newsletter
- Unlimited Articles Access
BEST VALUE
2 YEAR PLAN
3,499
(Inclusive of GST)
1 YEAR PLAN
1,999
(Inclusive of GST)
Buy CCI PRO Now
Already a PRO member? Login here for an ad-free experience.
A tax audit is required for businesses if their turnover or gross receipts exceed ₹10 crore in a financial year.
For professionals, a tax audit is required if their gross receipts exceed ₹50 lakh in a financial year.
The tax audit must be conducted by a qualified Chartered Accountant (CA) who is independent and possesses the necessary expertise.
Form 3CD is the audit report prepared by the auditor, containing detailed disclosures about the taxpayer’s financial statements, compliance with tax laws, and other specified information.
The tax audit report must be filed before the due date for filing the income tax return, which is usually September 30th of the assessment year.
Failure to comply with tax audit requirements can result in penalties, such as up to ₹1,50,000 under Section 271B for late filing, and potential additional scrutiny or legal action for non-filing.
CAclubindia
