Statutory Tax Audit Under Section 44AB of the Income Tax Act
Under Section 44AB of the Income Tax Act, specified taxpayers must undergo a statutory tax audit to verify that books of accounts and records accurately reflect business or professional income. Shah & Doshi Chartered Accountants offer complete tax audit services in Mumbai. They help ensure you follow all tax rules and file on time to avoid penalties.
Who Requires a Section 44AB Tax Audit?
- Businesses with turnover or gross receipts exceeding ₹1 crore in a financial year
- Professionals whose gross receipts exceed ₹50 lakh
- Taxpayers opting out of presumptive schemes under Sections 44AD, 44AE, 44BB, 44BBB when receipts exceed prescribed limits
- Any other class as notified by the CBDT
Key Features of Our Section 44AB Tax Audit Service
Preparation of Audit Report Forms
Filing of Form 3CB/3CD or 3CA/3CD as applicable, with precise schedules and disclosures.
E-Filing & Client Approval
End-to-end electronic filing of audit reports via the Income Tax Department portal, followed by a streamlined client approval process.
Penalty Avoidance Guidance
Expert advice on avoiding 271B penalties for late or non-compliance and valid reasons that invoke 273B waiver.
Timely Delivery
Audit report completion and e-filing on or before the 30th of September due date, aligned with ITR deadlines.
Section 44AB Tax Audit Procedure
Engagement & Planning
Confirm scope, timelines, and documentation checklist.
Document Verification
Review financial statements, invoices, bank statements, and tax returns.
Audit Fieldwork
Conduct vouching, verification of receipts, expenses, and compliance with presumptive income rules.
Drafting Audit Report
Prepare Form 3CB/3CD or 3CA/3CD with auditor observations and financial schedules.
E-Filing & Approval
Upload reports via DSC on the e-filing portal; assist client in report approval.
Audit Closure
Deliver final audit certificate and compliance memorandum.
Documents Required for Section 44AB Tax Audit
- Statutory Books & Ledgers (Cashbook, Journals, Vouchers)
- Financial Statements (Profit & Loss Account, Balance Sheet)
- Bank Statements & Reconciliation Statements
- Sales & Purchase Invoices
- Accounting Software Data Exports (if applicable)
- Form 26AS & TDS Certificates
- Loan & Fixed Asset Registers
- Investment Proofs & Tax-saving Certificates
- GST Returns & Reconciliation Statements (if applicable)
Penalties & Compliance
Section 271B Penalty
Lesser of 0.5% of turnover/receipts or ₹1,50,000.
Section 273B Waiver
Available on demonstrating “reasonable cause” for default.
Presumptive Scheme Defaults
Mandatory audit when gross receipts exceed thresholds; failure attracts penalties under Section 44AD and 271B.
Why Choose Shah & Doshi for Your Tax Audit?
- Mumbai-Based Expertise: Over a decade of conducting Section 44AB audits.
- Qualified CAs: The team of Chartered Accountants has experience in tax audits.
- Transparent Fees: Clear, upfront pricing with no hidden costs.
- Client-Centric Process: Dedicated audit manager and seamless digital coordination.
- Comprehensive Support: Post-audit advisory on improving internal controls and compliance.
Related Resources
Need Section 44AB Tax Audit Services in Mumbai?
Phone: +91 9870611654 / +91 9819316484
Email: harshit@shahdoshi.com / ruchi@shahdoshi.com
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Office: Mumbai, Maharashtra