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
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Preparation of Audit Report Forms
Filing of Form 3CB/3CD or 3CA/3CD as applicable, with precise schedules and disclosures.
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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.
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Penalty Avoidance Guidance
Expert advice on avoiding 271B penalties for late or non-compliance and valid reasons that invoke 273B waiver.
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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
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Engagement & Planning
Confirm scope, timelines, and documentation checklist.
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Document Verification
Review financial statements, invoices, bank statements, and tax returns.
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Audit Fieldwork
Conduct vouching, verification of receipts, expenses, and compliance with presumptive income rules.
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Drafting Audit Report
Prepare Form 3CB/3CD or 3CA/3CD with auditor observations and financial schedules.
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E-Filing & Approval
Upload reports via DSC on the e-filing portal; assist client in report approval.
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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
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Section 271B Penalty
Lesser of 0.5% of turnover/receipts or ₹1,50,000.
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Section 273B Waiver
Available on demonstrating “reasonable cause” for default.
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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