CS
2942 Points
Joined April 2016
As per section 139(1) of the Companies Act 2013, the auditor shall be appointed for the period of 5 years from the conclusion of first AGM till the conclusion of sixth AGM . But for private Limited Company if the Company are below the treshold limit, the provisions of rotation of auditor is not applicable , so auditor can be further appointed for 5 years for n no of years. But if rotation of auditor is appliacble, then Company cannot appoint the firm as the auditor for two terms of five years and individual for one term of five year and after the expiry of the term, the same auditor cannot be appointed for five years .i.e. the cooling off period.