At Ahuja & Ahuja Chartered Accountants, we offer reliable and efficient GST Audit services to our clients in the NCR region of New Delhi, Noida, Gurgaon (Gurugram), and Greater Noida. Our skilled and experienced team, with an industry experience of over two decades, are well-versed with the latest developments in the Goods and Services Tax (GST) regime and can provide expert advice on compliance with the GST laws and regulations.
What is GST Audit?
GST audit is an examination of statements, records, returns, and related documents furnished by registered persons. GST Audit is conducted to verify whether the sales, output tax paid, input tax refund claimed, and ITC availed stated in their annual report are true and fair or not. GST audit is a reconciliation statement of audited financial statements with the annual return furnished. Further, a GST audit also assists in assessing whether the taxpayer is obedient with provisions of GST.
Who is required to undergo GST Audit?
As per Section 35(5) of CGST Act, 2017 every registered person whose turnover in a financial year exceeds INR 10 crores is required to get their accounts audited by a Chartered Accountant (CA) or Cost Accountant (CMA). They shall submit the following with the GST Annual Return filed by them:
- Copy of audited financial statement;
- Reconciliation statement (Form GSTR-9C); and
- Other prescribed documents
The term ‘turnover’ is not defined under the GST Act. However, aggregate turnover is defined under section 2(6) of CGST Act. Accordingly, aggregate turnover refers to the value of all outward supplies (taxable + exempt + exports + inter-state) of a person with the same PAN. It excludes any taxes levied under the GST Act itself. Also, inward supplies on which RCM is applicable are not taken into account for calculating aggregate turnover.
What are the benefits of our GST Audit services?
Our GST Audit services can help you in the following ways:
- Ensuring compliance with GST laws and regulations
- Verifying the accuracy of the sales, output tax paid, input tax refund claimed, and ITC availed stated in the annual report
- Identifying and rectifying any discrepancies in the ITC availed and the input tax credit reflected in the books of accounts and returns
- Reviewing and reconciling the value of supply declared in annual returns with audited financial statements
- Providing recommendations on better internal controls for increasing efficiency and compliance
- Providing a cost of non-compliance matrix to help you understand the potential risks and consequences of non-compliance
- Timely providing of reports or statements mandated under GST law
What is included in our GST Audit services?
Our team of experienced GST consultants in Delhi can deliver the following in GST Audit:
- Verification of monthly comparison of Input Tax Credit between returns and books of accounts
- Identification and rectification of mismatch or discrepancies in ITC
- Consultancy on eligibility, reversals, or re-claim of ITC
- Review of monthly output tax liability
- Reconciliation of value of supply declared in annual returns with audited financial statements
- Applicability and treatment of transactions covered under Reverse Charge Mechanism (RCM)
- Recommendations on better internal controls for increasing efficiency
- Providing a cost of non-compliance matrix
- Timely providing of reports or
What makes Ahuja & Ahuja’s GST Audit Services unique?
At Ahuja & Ahuja Chartered Accountants, we understand that GST Audit is an integral part of running a successful business in India. Our team of experienced and knowledgeable Chartered Accountants are well-versed in the provisions of the GST Act and have a deep understanding of the Indian business landscape. We offer a comprehensive range of GST Audit Services that are tailored to meet the specific needs of our clients.
Our GST Audit Services cover the following areas:
- GST Compliance Review: We conduct a thorough review of your GST compliance to identify any discrepancies, mismatches, or errors in your returns, invoices, and books of accounts. This helps to ensure that your business is fully compliant with the GST Act.
- GST Reconciliation: Our team will reconcile the ITC claimed in your GST returns with the ITC reflected in your books of accounts. We will also ensure that the values declared in your annual returns match with your audited financial statements.
- GST Advisory: Our experienced team of Chartered Accountants can provide expert advice on GST-related issues, including eligibility, reversals, and re-claim of ITC, the applicability of RCM, and internal controls for increasing efficiency.
- Cost of Non-Compliance Matrix: We provide a detailed report on the cost of non-compliance with GST regulations, which can help businesses to make informed decisions about their compliance strategy.
- GST Audit Report: Our team will prepare a comprehensive GST Audit Report that covers all aspects of your GST compliance, including a detailed analysis of your ITC, output tax liability, and compliance with GST provisions.
Our team of Chartered Accountants have a wealth of experience in providing GST Audit Services to a wide range of businesses in India. We are committed to delivering high-quality, professional services that meet the specific needs of our clients. With our deep understanding of the GST Act and the Indian business landscape, we are well-positioned to help businesses achieve their compliance objectives and improve their operational efficiency.
Why Choose Us for GST Auditing
At Ahuja & Ahuja Chartered Accountants, we understand the importance of GST Audit for businesses in India. Our team of experienced Chartered Accountants are well-versed in the provisions of the GST Act and have a deep understanding of the Indian business landscape. We offer a comprehensive range of GST Audit Services that are tailored to meet the specific needs of our clients. Our services cover GST Compliance Review, GST Reconciliation, GST Advisory, Cost of Non-Compliance Matrix, and GST Audit Report. Contact us today to learn more about how we can help your business achieve its compliance objectives and improve its operational efficiency.
Checklist for GST Audit:
- Registration and Returns:
- Whether the GST Registration Certificate is up-to-date
- Whether the returns have been filed correctly and on time
- Whether the returns match the books of accounts
- Whether there are any mismatches or discrepancies
- Input Tax Credit (ITC):
- Whether the ITC claimed is eligible and has been correctly availed
- Whether the ITC claimed matches the invoices and books of accounts
- Whether there are any mismatches or discrepancies
- Sales and Output Tax Liability:
- Whether the sales declared are accurate and match the books of accounts
- Whether the output tax liability has been calculated correctly
- Whether there are any mismatches or discrepancies
- Reconciliation of Annual Returns and Financial Statements:
- Whether the value of supply declared in the annual returns matches the audited financial statements
- Whether there are any mismatches or discrepancies
- Reverse Charge Mechanism (RCM):
- Whether transactions covered under RCM have been treated correctly
- Whether there are any mismatches or discrepancies
- Internal Controls:
- Whether the internal controls are adequate and effective
- Whether there are any areas for improvement
- Cost of Non-Compliance:
- Whether there are any areas of non-compliance
- Whether the cost of non-compliance has been calculated correctly
FAQs related to GST Audit
What is GST Audit, and who needs to conduct it?
GST Audit is an examination of the returns, records, statements, and other documents furnished by the registered taxpayers under GST. As per Section 35(5) of the CGST Act, every registered person whose turnover exceeds Rs. 10 crores in a financial year is required to get their accounts audited by a CA or CMA and submit a reconciliation statement (Form GSTR-9C) and other prescribed documents with the annual return filed.
What is the role of a GST Auditor?
A GST Auditor is responsible for verifying whether the sales, output tax paid, input tax refund claimed, and input tax credit availed by a registered person are true and fair. They also ensure that the taxpayer is compliant with the provisions of GST and reconcile the audited financial statements with the annual return furnished.
What is the checklist for GST Audit?
The GST Audit checklist covers a range of areas, including invoicing, supply, time of supply, input tax credit, classification of goods or services, input service distribution, registration certificate, and other documentation.
What is the benefit of conducting a GST Audit?
A GST Audit provides a registered person with a comprehensive overview of their GST compliance and helps them identify and rectify discrepancies in the returns, records, and other documents furnished. Additionally, it helps to ensure that the taxpayer is compliant with the provisions of GST.
What are the consequences of non-compliance with GST Audit?
If a registered person fails to comply with GST Audit, they may be subject to penalties, interest, and legal action. Additionally, they may be barred from filing returns or availing of input tax credit.
How long does it take to complete a GST Audit?
The time required to complete a GST Audit depends on various factors, such as the size of the business, the complexity of its operations, and the quality of the records and documents furnished. It can take anywhere from a few days to several weeks to complete a GST Audit.
Is it mandatory to hire a GST Auditor?
Yes, it is mandatory for registered persons whose turnover exceeds Rs. 10 crores to get their accounts audited by a CA or CMA and submit a reconciliation statement (Form GSTR-9C) with the annual return filed.
What are the documents required for GST Audit?
The documents required for GST Audit include the registration certificate, tax invoices, credit and debit notes, delivery challans, e-way bills, inward and outward supply records, and other prescribed documents.
What is the role of internal controls in GST Audit?
Internal controls help to ensure that the taxpayer’s accounting and financial systems are accurate, reliable, and compliant with the provisions of GST. They also help to prevent fraud, errors, and other financial irregularities.
Can an auditor recommend internal control measures to a registered person?
Yes, an auditor can recommend internal control measures to a registered person to help them improve their efficiency, accuracy, and compliance with the provisions of GST.