Audit & Assurance Framework
Managing Tax Compliance Thresholds
Under Section 44AB, professional verification of accounts is mandatory for specific business categories to ensure accurate income reporting:
- Turnover-Based Audits: For businesses exceeding the ₹1 Crore threshold (or ₹10 Crore in cases with limited cash transactions).
- Presumptive Taxation Cases: Audits for taxpayers opting out of presumptive schemes while declaring income below prescribed rates.
- Professional Audit Cases: Mandatory for professionals with gross receipts exceeding ₹50 Lakhs.
- Loss-Making Entities: Verification for businesses declaring losses when turnover exceeds the audit limit.
- Form 3CA/3CB & 3CD: Precise preparation and filing of the audit report and detailed particulars.
Why Accuracy Matters
Mitigating Penal Risks
A tax audit is a critical mechanism to ensure that your financial records are maintained as per the law and your tax liability is calculated correctly. Failure to get accounts audited or late filing of the audit report can lead to significant penalties—up to 0.5% of the total turnover or ₹1.5 Lakhs. Our team of professionals ensures that your accounts are scrutinized thoroughly, all tax-related disclosures are accurate, and your filing is completed well before the statutory deadline.