tax audit u/s 44 ab

This query is : Resolved

gaurav (Querist)
Follow

06 July 2011 if a trader has turnover less than Rs. 60 lacs and showing net profit less than 8%, than he has to get audit his books from CA. Now whether that tax audit would be counted for the ceiling limit of 45 tax audits of CA?

Hiten Shah

Hiten Shah (Expert)
Follow

08 July 2011 Yes.There is no such separate limit prescribed by ICAI

gaurav

gaurav (Querist)
Follow

08 July 2011 with due respect to hiten shah ji,I am not satisfied with your reply sir. Refer to GUIDENCE NOTE ON TAX AUDIT U/S 44AB, Page no. 27 Para 9.16, In view of the said Notification, a member of the Institute in practice,
shall be deemed to be guilty of professional misconduct if he accepts in
a financial year more than 30 tax audit assignments or such other limit
as may be prescribed by ICAI from time to time under section 44AB,
whether in respect of a person whose accounts have been audited
under any other law or a person who carries on business or profession
but who is not required by or under any other law to get his accounts
audited. Further, as per a Council decision, audits of accounts of
persons carrying on business covered by sections 44AD, 44AE or
44AF, is not included in the aforesaid limit. so please give me satisfactory reply. kindly clarify it.

Upgrade to CAclubindia Pro. Subscribe Now!