Tax audit

Originally posted by : krut
	Any TRUST with educational motive if earns more then 60,00,000 /-  then, is it mendatory for such entity to get " TAX AUDIT" done ??

Liability to tax audit - Special cases

(Para 6.1 of ICAI Guidance Note on Tax Audit under Section 44AB of the Income-tax Act, 1961)

A trust/association/institution carrying on business may enjoy exemptions as the case may be under sections 10(21), 10(23A), 10(23B) or section 10(23BB) or section 10(23C) or section 11. A cooperative society carrying on business may enjoy deduction under section 80P. Such institutions/associations of persons will have to get their accounts audited and to furnish such audit report for purposes of section 44AB if their turnover in business exceeds Rs.60 lakhs.

And may I add the yearly Internal Revenue Service audit report is produced annually as a way to study who is audited and just how those individuals are chosen.