Checklist for audit of tour & travel company

Any Audit Comprises of the Following:

1) Test of Compliance with applicable laws and Regulations

2) Test of Internal Controls

     2A) Whether the Controls are in existence

     2B) Whether they are adequate

     2C) Whether they are operating effectively and efficiently

3) Then move on to the Balance Sheet. Check each and every element of the balance sheet against the relevant supportings. For example you could check share capital against the last year Balance Sheet figures. If ots the same, then mention that there is no change in the share capital from time to time. Then check the RoC site for any additions and deletions to the share capital for a second check. if there are no transactions you can move on to the next item.

4) Then Check each and every individual item on P&L Account. SInce its a Tour Company it will have Incomes like Income from tour Bookings(divided into Air Travel, Rail, Road, Sea etc), hotel accomodation booking (if it also offers any). Commisions from various companies.

5) Expenses should generally be Salaries, Commisions to agents, Tour Expenses, Etc.

6) Special focus on Statutory Transactions.

This should cover mostly all the aspects. 

Happy Auditing

Sreeniketh Angara