Quick Answer
Statutory Audit Services India are mandatory for every company registered under the Companies Act, 2013. A statutory audit is an independent examination of a company's financial statements to ensure they present a true and fair view and comply with accounting standards.
Statutory Audit Services — detailed explanation below
Governing Act — Statutory Audit Services India
The primary legislation governing statutory audits in India is the Companies Act, 2013. Sections 139 to 148 deal with appointment, qualifications, duties, and rotation of auditors. The audit must be conducted in accordance with the Standards on Auditing (SAs) issued by the Institute of Chartered Accountants of India (ICAI).
Government Department & Website for Statutory Audit Services India
The Ministry of Corporate Affairs (MCA) oversees statutory audits through the Registrar of Companies (ROC). The official MCA portal is www.mca.gov.in. Auditors must be registered with the ICAI and the company must file the audit report in the prescribed e-forms.
Statutory Audit Services India Application Process
The process for statutory audit involves: (1) Appointment of auditor by the Board of Directors within 30 days of incorporation, ratified by shareholders at the first AGM. (2) Auditor conducts audit as per SAs, examining books, records, and internal controls. (3) Auditor issues an audit report expressing an opinion on financial statements. (4) The report is presented to shareholders and filed with the ROC in Form AOC-4.
Key Forms Required for Statutory Audit Services India
Key forms include: Form ADT-1 (appointment of auditor), Form AOC-4 (filing of financial statements and audit report), and Form MGT-7 (annual return). The audit report itself is not a separate form but is attached to AOC-4.
Eligibility Criteria for Statutory Audit Services India
Every company registered under the Companies Act, 2013 must undergo a statutory audit annually. Small companies and one-person companies may be exempt from certain audit requirements under Section 44AB of the Income Tax Act, but still require audit under Companies Act unless specifically exempted.
Timeline for Statutory Audit Services India
The audit must be completed within 60 days from the end of the financial year (i.e., by May 30 for March year-end). The audit report must be filed with the ROC within 30 days of the AGM, which must be held within 6 months of the financial year-end.
Fees for Statutory Audit Services India
Audit fees are determined by the company and auditor based on complexity. Government-prescribed fees for filing forms are as follows:
| Form | Fee (INR) |
|---|---|
| ADT-1 | 500 |
| AOC-4 | 600 |
| MGT-7 | 500 |
Additional fees may apply for late filing.
Frequently Asked Questions
What is Statutory Audit Services India?
Statutory Audit Services India refer to the mandatory audit of a company's financial statements under the Companies Act, 2013. It ensures compliance with accounting standards and provides an independent opinion on the true and fair view of the company's financial health.
Who needs Statutory Audit Services India?
Every company registered under the Companies Act, 2013, including private limited, public limited, and one-person companies, must undergo a statutory audit annually. Certain small companies may be exempt, but most entities require it.
What is the process for Statutory Audit Services India?
The process includes appointment of an auditor, examination of financial records, internal controls, and compliance with SAs, followed by issuance of an audit report. The report is then filed with the ROC.
What are the key forms for Statutory Audit Services India?
Key forms include ADT-1 for auditor appointment, AOC-4 for filing financial statements and audit report, and MGT-7 for annual return. These are filed on the MCA portal.
What is the penalty for not conducting Statutory Audit Services India?
Failure to conduct a statutory audit can result in penalties under the Companies Act, 2013, including fines on the company and officers in default. The auditor may also face disciplinary action.
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