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Revised audit report by auditor

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rakesh

trainee

67 Points Posted on 02 January 2024

can an auditor revised the audit report, as the management hide the material information. if not, then how can an auditor inform to mca for this matter

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Quick Summary

This discussion explores whether an auditor can revise an audit report when management has concealed material information. It outlines procedures under SA 560 for handling such situations, including issuing a new report or taking action if management refuses amendments. The complexities of voluntary revision under the Companies Act, limitations on revised tax audit reports, and the potential need to report fraud to regulators are also covered.

CA Rohit Garg

39 Points Posted on 02 January 2024

Mail to ICAI, MCA for safer side. Can check SFIO applicability.

Aashok Kumar Sharma

Finance/Compliance Consultant

75663 Points Posted on 08 November 2026

Revising an audit report after discovering suppressed information:

• Under SA 560 (Subsequent Events), if the auditor becomes aware of facts after the report date that would have caused a modification, the auditor discusses with management. If management amends the financial statements, the auditor issues a new report on the amended statements (dated after the amendment). If management refuses, the auditor takes action to prevent reliance on the report (notifying those charged with governance, regulators if needed).

• Companies Act: revised financial statements need NCLT approval (Sec 131) for voluntary revision, if within 3 preceding FYs.

• Tax audit (Form 3CD): CBDT allows a revised tax audit report only in limited cases (Rule 6G(3): due to retrospective law change or interpretation). Not for management concealment.

• If fraud is involved, consider Sec 143(12) reporting.