Audit Report

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Dhanraj (Querist)
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03 September 2009 Dear sir

Could you please tell under which law we do audit of proprietory concern and make audit report??

Thanks

Nischint Kumar Somani

Nischint Kumar Somani (Expert)
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03 September 2009 as per section 44Ab of the income tax act if gross receipts/turnover exceeds RS 10L or 40L as the case may be of assessee than he is required to get his accounts audited by a chartered accountant.

Dhanraj

Dhanraj (Querist)
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03 September 2009 Is statutory audit is also applicable for such concers, if yes under which law?

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Dhanraj

Dhanraj (Querist)
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03 September 2009 Is statutory audit is also applicable for such concerns, if yes under which law?

Kaustuv

Kaustuv (Expert)
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03 September 2009 there are no specific law applicable to sole proprietorship concerns. But whenever we do audit in India, we are governed by generally accepted auditing standards (GAAS) in India which includes AAS and GN etc. Apart from this, a sole proprietorship, being a level-III concern as per erstwhile ICAI classification, the relevant accounting standards would also be applicable to them.