SERVICES

CA in Bangalore

Auditing & Assurance Services

Auditing and Assurance are the function based on which shareholders and other stakeholders rely on the financials of the companies. Auditing has become imprtant tool for the business not just to comply with regulatory requirements but also to identiy, manage, and control risks. We provide the following auditing and Assurance Services:

Books of Account of every company is required to be audited as prescribed under companies Act 2013. LLP's books of Account are required to be audited as per the provisions of LLP Act, 2008, if the turnover of LLP exceeds Rs 40 lakh per annum. Audit comprises of Reviewing and certifying compliance with due accounting procedures, prescribed accounting standards, Accounting and auditing guildlines prescribed by the Institute of Chartered Accoutants of India.

Internal audit is a tool used by the management of the company to review and evaluate internal checks and internal control system in the company and check compliance with such internal control systems and guide management in initiating corrective action. Intenal audit covers the following areas:

1.Revenue Audit – Income Leakage Audit

2. Compliance Audit – Taxation and other regulatory

3. Payroll Audit

4. Reimbursement Audit

5. Procurement Audit

6. Systems Audit – EDP Audit

7. Stock Audit

Provisions of the companies Act, 2013 requires the following class of companies to apoint an internal Auditor or a firm of internal auditors:

(a) Every listed company; 

(b) Every unlisted public company having- 

Paid up share capital of fifty crore rupees or more during the preceding financial year; or

Turnover of two hundred crore rupees or more during the preceding financial year; or

Outstanding loans or borrowings from banks or public financial institutions exceeding one hundred crore rupees or more at any point of time during the preceding financial year; or

Outstanding deposits of twenty five crore rupees or more at any point of time during the preceding financial year; and

(c) Every private company having- 

Turnover of two hundred crore rupees or more during the preceding financial year; or

Outstanding loans or borrowings from banks or public financial institutions exceeding one hundred crore rupees or more at any point of time during the preceding financial year.

For an existing company covered under any of the above criteria shall, comply with the requirements of section 138 and this rule within six months from 1st April, 2014.

Income Tax Act, 1961 requires, Persons (individuals, firms or companies) whose turnover during the financial year exceeds limits specified below to get their books of accounts audited by a independent Practcing Chartered Accountant:

1. For persons carrying on business Rs. 2 Crore or 20 Million

2. For persons carrying on profession Rs. 50 Lakhs 0.5 Million

As India follows self-assessment method to assess income and taxes payable by a person, it is the responsibility of the person to follow all the rules prescribed under the Act. Tax Audit Service is a mechanism by which the Income Tax department would enforce the law effectively through an independent agency by ensuring that income declared in the return is accurate.

Karnatak VAT Act, 2003 requires persons (individuals, firms or companies) whose turnover during the financial year exceeds Rs. 1 Crore to file vat audit report for every year by December 31st. Similar to Tax audit, the purpose behind VAT audit is to ensure that person liable to pay tax is calculating and remitting the tax as per the provisions of act.