I am on the verge of getting a Tax Audit assigment of a sole proprietor. The sole proprietor was engaging the services of a CA Earlier. He wishes to appoint me by replacing the earlier C.A.
My query is, whether I need to get a NOC from the earlier CA. If so, is there any format laid down by the institute for this.
pls note the client is a sole proprietor ship business.
Many thanks for the same
Regards
Soumya
As per my view that I read in CA Act....
Yes you mast have NOC.,
You have to intimate that previous auditor and get ensure that he has no objection on your appointment and the reason why that earlier CA is not so appointed...
As per my knowledge NOC and Prior Approval from Previous Audior is Must.
For format etc find attached a useful file...
just get a appointment letter from ur client.......
and just send it to previous auditor with copy.
& get duly signed from previous auditor........
Just write .. I have Appointed as auditor of XYZ...( Name of proprietorship concern)For the F.Y.... . Since you are the previous auditors, I request you to kindly let me know whether you have any professional or other objection in accepting the aforesaid appointment or if there is any other reason for not accepting the audit.
Please also confirm as to whether your audit fees of F.Y. ...( Last F.Y) has been paid to you or not.
| Originally posted by : Santhosh P (San) | ||
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As per my knowledge NOC and Prior Approval from Previous Audior is Must. |
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| Originally posted by : Arvind | ||
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As per my view that I read in CA Act.... Yes you mast have NOC., You have to intimate that previous auditor and get ensure that he has no objection on your appointment and the reason why that earlier CA is not so appointed... |
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agreed
This is the simpal format for informing the previous tax auditor regarding that u are accepting the Tax Audit of the So & So client if he is having any professional objection then he will have to inform you that u should not accept the Audit because of the professional objection. Otherwise mere informing is enough of the accepting the audit.
You have have communicate to him before accepting the assignment not after that otherwise it will amount to professional misconduct on your part.
You just send a letter attached herewith to the CA & wait for reasonable time ( say 1 week ) & sign the audit report.
By the way due date of submitting the return of the Individual whose Accounts are required to be audited has gone it was 15 Oct( Extended) You are accepting Now not very clear......
Regards
CA. Prakash Patel
NOC is must
yea......noc is required as per clause 10 of Schedule 1 of Chartered Accountants Act,1949.
it should be writing n should be sent through Registered post Acknowledgement due (R.P.A.D)
To Date:............
Mr. XYZ
Chartered Accountants,
XYZ
Sub: Statutory audit of M/s PROPRIETOR.
Dear Sir,
We have been offered the appointment of M/s PROPRIETOR, by its management. As per clause 8, Part I of the First Schedule to the ICAI Act, we would like to know from you, the reasons if any for not accepting the aforesaid appointment by us.
An early reply at your end is highly solicited /appreciated. Please acknowledge the receipt.
Thanking You,
Yours truly,
For ABC & CO,
(Chartered Accountants)
CAclubindia
