Points to ponder

 Begin from first page of ledger and end at the last page of ledger

And points-take every point don't  escape any point

start from seeing each and every points of the tax audit report......and then go on further to see each and every entry in every ledger and try finding out irregular entries in them, check purchase, sale, match bank statements, vouch expenses by way of bills, any additioin to fixed assets by way of corresponding bills, find fbt points, and materialise previous yr prepaid/outstanding expenses, make provision for this yr's ones'..........check valuation method of stock and compare it frm past yr..........and do apply auditing standrds which doing audit.....

 SO MANY DEAR AS PER CIRCUMSTANCES-ABOVE I MAKE ONLY-JOKE

Hi,

It depends on type of audit, some general points should be checked are

1. Check the things which are not looking normal.

2. Exceptionaly high amount.

3. List of heads which are of high number and value should be seen properly.

4. Statistical analysis should be used.

Before starting for ledger scrutiny take variances of all income and expenses a/c. and confirm why there is huge variations 

Understand the nature of each expense or income a/c

Verify all abnormal entries in respective ledger accounts.

Confirm that all expenses pertaining to that a/c are been booked as of reporting date.

Verify the contracts/ agreements for expenses or other a/c's pertaining to fixed obligations every month.

Trace the opening balances.

And rest depends on the person and the nature of account...