TAX AUDIT
A Tax Audit is an examination of a taxpayer’s books of accounts and financial records to ensure compliance with the provisions of the Income Tax Act, 1961. It helps verify the accuracy of income, deductions, expenses, and tax computations reported by a business or professional.
Tax audits promote transparency, reduce the risk of tax disputes, and ensure that businesses comply with applicable tax regulations.
Financial Documents
- Trial Balance
- Profit & Loss Account
- Balance Sheet
- General Ledger
- Cash Book and Bank Book
- Fixed Asset Register
Tax Documents
- PAN Card
- Previous Income Tax Returns
- TDS Certificates
- Advance Tax Payment Details
- GST Returns (if applicable)
Supporting Documents
- Sales and Purchase Registers
- Bank Statements
- Invoices and Bills
- Loan Statements
- Investment and Expense Records
- Other Relevant Financial Documents
- Review of Financial Records: Examine books of accounts, financial statements, and supporting documents maintained during the financial year.
- Verification of Tax Compliance: Review income, expenses, deductions, depreciation, TDS compliance, and other tax-related transactions.
- Audit Examination: Conduct detailed verification of financial records to ensure compliance with the Income Tax Act and applicable tax provisions.
- Preparation of Tax Audit Report: Prepare the Tax Audit Report and required annexures in the prescribed format.
- Filing of Tax Audit Report: Upload and file the Tax Audit Report electronically with the Income Tax Department within the prescribed due date.
A Tax Audit is an audit conducted under the Income Tax Act to verify the correctness of financial records and ensure compliance with tax laws.
Businesses and professionals crossing the prescribed turnover or gross receipt limits under the Income Tax Act may be required to get their accounts audited.
The purpose is to ensure proper maintenance of books of accounts, accurate reporting of income, and compliance with tax provisions.
Financial statements, books of accounts, tax records, GST returns, bank statements, and supporting documents are generally required.
Failure to comply may attract penalties and other consequences under the Income Tax Act.
Our tax professionals conduct thorough tax audits, ensure compliance with statutory requirements, and assist with the timely filing of Tax Audit Reports.