Compulsory Audit required in following 3 Cases

(1) If Gross turnover of business > 2 crores   in Financial Year  (then compulsory audit required. (For Company LLP, it is 1 crore)

(2) In case of profession limit is >5000000 for Compulsory Audit

(3) If the assesses 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 compulsorily 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)




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CA Maninder Singh

CA Maninder Singh is a Chartered Accountant for the past 14 years. He also provides Accounts Tax GST Training in Delhi, Kerala and online.