Conditions for compulsory cost audit

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RENUKA CHOURASIA

RENUKA CHOURASIA (Querist)
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09 October 2012 What are the conditions for a private limited company to get its cost audit done ???

CMA Ajay Jaisingh

CMA Ajay Jaisingh (Expert)
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09 October 2012 Cost Audit:
Cost Audit is applicable w.e.f. FY 2011-12/2012-13 to various industries having previous year turnover or Rs.20Cr / Rs.100Cr (as applicable) or listed or about to be listed in any Stock Exchange. Detailed list of Industries with Excise Chapter headings, Turnover criteria & Financial Year for which Cost Audit is applicable is available at page 10-11 of below link:
http://www.icwai.org/icwainew/docs/FAQ/FAQ-6_09032012.pdf

Cost Auditor (COST ACCOUNTANT IN PRACTICE) is to be appointed (by filing the requisite form with MCA) within 90days of start of the financial year or date of Cost Audit Order, for which Cost Audit is applicable failing which Penal Fees is to be paid.

They need to get the Cost Audit conducted by a COST ACCOUNTANT IN PRACTICE and Audit report is to be submitted to Govt of India within 180days from the close of FY to which Cost Audit relates, i.e., by 27th September for FY closing on 31st March. But the same has been extended upto 31-12-2012 for FY 2011-12 as the Cost Audit Report is to be filed in XBRL format for which required taxonomy is yet to be released by GOI.

Regards,
CMA Ajay Jaisingh
M.Com, ACMA

Ajay Jaisingh & Associates II Cost Accountants in Practice II
Office: 1204, "MATRIX", B/H Divya Bhaskar House, Nr. Vodafone House, Prahladnagar Corporate Road, Off S G Highway, Ahmedabad-380051.
Mobile: +91-9825895971 II Email: jaisingh.ajay@gmail.com II