Tax Audit

Service Description

Tax audit is an examination or review of accounts of any business or profession carried out by taxpayers from an income tax viewpoint. It makes the process of income computation for filing of return of income easier. A taxpayer is required to have a tax audit carried out if the sales, turnover or gross receipts of business exceed Rs 1 crore (or Rs 5 crore in case of cash transactions less than 5% of receipts) in the financial year. However, a taxpayer may be required to get their accounts audited in certain other circumstances as well. Tax auditor shall furnish his report in a prescribed form which could be either Form 3CA or Form 3CB where: - Form No. 3CA is furnished when a person carrying on business or profession is already mandated to get his accounts audited under any other law. - Form No. 3CB is furnished when a person carrying on business or profession is not required to get his accounts audited under any other law. In case of either of the aforementioned audit reports, the tax auditor must furnish the prescribed particulars in Form No. 3CD, which forms part of the audit report. Penalty of non filing or delay in filing tax audit report Least of the following: - 0.5% of the total sales, turnover or gross receipts - Rs 1,50,000 ----------------------------------------------- For more assistance contact at 7575 8426 75 or mail at inquiries@karia.biz