Audit

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Mayur Ejrekar

Mayur Ejrekar (Querist)

27 September 2014 What is the difference between statutory audit and Tax audit? Who can conduct statutory audit?

Nikhil Kaushik

Nikhil Kaushik (Expert)

27 September 2014 actually statutory audit means an audit conducted under provisions of a statute. So even tax audit is also a statutory audit.

who can conduct the audit will be decided by the statute itself. For eg, companies audit can only be done those qualified under section 141 of the Companies act 2013.

Mayur Ejrekar

Mayur Ejrekar (Querist)

27 September 2014 However sir the response that I got from one of the person is that Statutory audit is different from Tax audit.

It goes like,Statutory audit is being conducted under the cos act and Tax Audit as per the IT Act. Statutory audit is compulsory for all the cos and Tax audit is applicable as per the prov. of sec. 44AB.

Nikhil Kaushik

Nikhil Kaushik (Expert)

27 September 2014 well, the word statutory audit is a misnomer. Companies audit is as much a statutory audit as tax audit.

However, in normal parlance, we use statutory auditor to mean audit under companies act and tax audit as audit conducted under Income-tax Act.

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