Audits are often seen as burdensome, but they offer immense value to a growing business.
“Types of Audits:”
- Tax Audit (Sec 44AB):Mandatory above turnover limits (₹1cr/₹10cr depending on cash transactions)
- Statutory Audit:Required under the Companies Act for companies
- Internal Audit:Ensures internal controls and risk management
- Charitable Institution Audit:Ensures fund utilization and compliance for NGOs
- Information System Audit:Focuses on data security and IT controls
Benefits of Regular Audits:
- Improves transparency and financial health
- Helps detect fraud and leakages
- Boosts investor and lender confidence
- Prepares the business for due diligence
