TAX AUDIT TURNOVER LIMIT

Increased 5 cr turnover limit for tax audit with certain conditions applicable to FY 2019-20. Or from FY 2020-21.
Replies (5)
Quick Summary
This discussion clarifies the applicability of the increased 5 crore turnover limit for tax audits. It's confirmed that this new limit, introduced in Budget 2020, is effective from 1st April 2020. Therefore, it applies to the Financial Year 2019-20 (Assessment Year 2020-21) and subsequent years, provided certain conditions regarding cash transactions are met.

It's applicable from F.Y 2019-20 (i.e A.Y 2020-21)
Any circular ya notification for that. I think it was introduced in budget 2020 and will be applicable from FY 2020-21.

So pls help.
Yes, it was introduced in budget 2020 and it's applicable from 01.04.2020.
So, For F.Y 2019-20 's tax audit has been carried out in A.Y 2020-21 i.e after 01.04.2020.

So it's applicable for F.Y 2019-20.
Jo tax rates aaye hai wo applicable hoge for FY 2020-21 ie for AY 2021-22. So fir ye limit bhi waisebhi applicable hogi na...
New limit of 5 Crore is applicable for tax audit w.e.f 01.04.2020. Tax audit For F.Y 2019-20 is carried out in F.Y 2020-21 i.e after 01.04.2020.
So, this new limit is applicable to F.Y 2019-20 itself, not from F.Y 2020-21.

Income tax rate is for F.Y, declare in advance (i.e For F.Y 2020 -21 declared in Budget 2020 ) So, we can able to calculate and pay our advance tax liability according. But tax audit is required after year end in the Assessment year corresponding to that previous year.

For your reference, you can check new ITR form for F.Y 2019-20 (like ITR 3) in this is asked regarding turnover lesa than 5 crores and cash expenses/sale is less than 5 %of total expenses/sale ect........in AUDIT INFORMATION column of General info.Part.

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
Featured 12 September 2026
Assistant Manager - Finance & Compliance

Naveen Fintech Pvt Ltd

Kolkata

CA Inter

View Details
Company
17 September 2026
Chartered Accountant

Dass Gupta & Associates

Gurgaon

CA

View Details
Company
21 August 2026
Accountant

A G International

Kolkata

B.Com

View Details
Company
ARTICLESHIP 16 September 2026
Article Assistant

MANUJ SHARMA AND COMPANY

Noida

CA Inter

View Details
Company
28 August 2026
Assistant Manager

NRS AND ASSOCIATES

Kozhikode

CA Inter

View Details
Company
15 September 2026
Client-site CA associate

Aditya Muley and Co

Mumbai

CA

View Details
Company
ARTICLESHIP 16 September 2026
CA Article Trainee

SR BAGAI & Co.

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 24 August 2026
Chartered Accountant Articles

Rohit KC Jain & Co

New Delhi

CA Inter

View Details