Cross certain turnover or receipt limits and the law requires your accounts to be audited by a qualified professional before your return is filed. Knowing where the line sits saves last-minute panic.
The trigger points (check current limits)
- Businesses: turnover above the notified limit — with a much higher relaxed limit where transactions are almost entirely digital
- Professionals: gross receipts above the separate professional limit
- Presumptive opt-outs: declaring income below presumptive rates while above basic exemption can itself trigger audit
What a tax audit involves
The auditor examines books and reports in the prescribed form — covering compliance items from TDS to loans to stock records. The report is filed electronically by the auditor before your ITR deadline for audit cases.
Missing the audit deadline
Late or absent audit reports attract penalties as per current provisions — and returns filed without required audits invite scrutiny.
We handle tax audits and the ITRs that follow — engage before the rush. Book a consultation.
