Compulsory Audit required in following 3 Cases

(1) If Gross turnover of business > 1 crores   in Financial Year  (then compulsory audit required.

(2) In case of profession limit is >2500000 for Compulsory Audit

(3) If the assessee claims profit less than the profit deemed under section 44AD /44AE /44BB/44BBB then also compulsory audit required 

For example:- In Section 44AD, if a person claims that his income less than 8% turnover,then he has to compulsarily maintain accounts and get them audited


Section 44AB Audit is called Tax Audit 


Accounts Already Audited

(1) If accounts are audited under any other law then section 44AB audit not required but Audit report in specified form to be submitted .

Example:- For Companies,Accounts Audited Under Companies Act called Statutory Audit, hence tax audit under Section 44AB not required to be conducted separately

However Certain reports to be furnished in Form 3CA+ Annexure in Form 3CD)


(2) If accounts are audited under any other section of income tax then separate tax audit under Section 44AB required



Audited Under Any Other Law

Form 3CA+3CD 

(Main Audit report is in Form 3CA and Annexure in Form 3CD)

 Example:- Company


Audited Under Income Tax

Form 3CB+3CD

(Main Audit report is in Form 3CB and Annexure in Form 3CD)




Section 44AB Compulsory Tax Audit Requirement - Compulsory Maintenance of Books and Audit



  1. Income Tax
  2. PGBP Income
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CA Maninder Singh
CA Maninder Singh is a Chartered Accountant for the past 8 years. He provides GST Training in Delhi. Register now.