An audit should tell you something about your business that you did not already know. We treat it as an examination of how transactions are recorded, taxed and controlled, and not as a signature at the end of the year. Every audit is planned in advance, documented in working papers and closed with a discussion of what we found.
Audits we undertake
Tax audit
Audit of accounts under the income tax law for businesses and professionals whose turnover or receipts cross the prescribed limits, with the audit report and its detailed particulars.
Statutory audit of companies
Audit of financial statements under company law for private limited companies, one person companies and Section 8 companies.
Audit of trusts and NGOs
Audit of charitable and religious trusts, societies and non-profit companies, with the audit report required for claiming exemption.
Audit of firms and LLPs
Audit of partnership firms and LLPs, whether required by law, by the partnership deed or by lenders.
When is a tax audit required?
In general, a business needs a tax audit when its turnover exceeds ₹1 crore in the year. The limit is ₹10 crore where cash receipts and cash payments are each within 5% of the total. A professional needs an audit when gross receipts exceed ₹50 lakh. An audit can also apply at lower turnover in certain cases where income is declared below the presumptive rate.
From tax year 2026-27, the audit report is furnished in the new form prescribed under the Income-tax Act, 2025, with revised clause references. We map your records to the form that applies to the year under audit.
How we conduct an audit
- Planning:
understanding the business, its systems and the areas where errors are most likely - Information list:
one consolidated list of records, shared early, so your team is not asked for documents again and again - Verification:
testing of income, purchases, expenses, stock, receivables, payables, loans and statutory dues - Tax cross-checks:
books compared with GST returns, TDS statements and Form 26AS - Discussion:
observations shared in draft and discussed with you before the report is finalised - Reporting:
audit report issued and filed within the due date, with a note of points to improve
Points an audit commonly brings out
- Payments on which tax was not deducted, or was deducted at the wrong rate
- Cash payments and cash receipts beyond the permitted limits
- Delayed payments to micro and small enterprises and their tax effect
- Loans and deposits taken or repaid otherwise than through banking channels
- Differences between turnover in the books and in GST returns
- Stock records that do not support the closing stock
- Personal expenses recorded in the business accounts
- For trusts: application of income, accumulation and donations to be reported
For trusts and NGOs
Exemption for a charitable organisation depends on registration being valid, income being applied to its objects, the audit report being filed in time and the return being filed in the correct form. We audit the accounts, review compliance with these conditions and prepare the return, so that the exemption is not lost on a procedural lapse.
Frequently asked questions
What should we keep ready for the audit?
Books of account, bank statements, purchase and sales invoices, stock records, loan statements, GST returns, TDS statements and details of fixed assets. We send a checklist suited to your business before the audit begins.
How early should the audit start?
As soon as the books for the year are closed. An early start leaves time to correct errors, obtain confirmations and file well before the due date, and avoids the cost of rushing in the last week.
Is audit compulsory for a small private limited company?
Yes. Every company must appoint an auditor and get its accounts audited each year, whatever its turnover or profit.
We missed the audit due date. What now?
The audit should still be completed and the report filed at the earliest. A penalty can be levied for the delay, but it may be contested where there was reasonable cause. We advise on the position after looking at the facts.