Tax Audit (Section 44AB)

Service Description

A Tax Audit under Section 44AB is a statutory requirement designed to ensure that the financial records and tax computations of a business are accurate, transparent, and compliant with the Income Tax Act. At PRS&A, we conduct tax audits with a meticulous, documentation‑driven approach that blends technical precision with a clear understanding of the client’s operational realities. Our process begins with a thorough review of the books of accounts, ledgers, vouchers, and supporting documents to verify the correctness of income, expenses, depreciation, and statutory dues. We evaluate compliance with tax provisions, examine the applicability of presumptive taxation, assess disallowances, and ensure that all mandatory reporting clauses in Form 3CD are addressed comprehensively. We also analyse revenue recognition patterns, related‑party transactions, TDS compliance, stock valuation methods, and adjustments required under various sections of the Act. Our team ensures that every disclosure is supported by evidence and that the audit trail is complete, consistent, and defensible. Throughout the engagement, we maintain independence, professional skepticism, and strict adherence to ICAI’s Standards on Auditing and the Code of Ethics. Beyond statutory compliance, our tax audits provide valuable insights into financial discipline, internal control gaps, and tax‑risk exposures. We communicate observations clearly and constructively, enabling management to take corrective action and strengthen their compliance framework. A PRS&A tax audit is not just a regulatory requirement — it is a structured exercise that enhances accuracy, reduces risk, and builds long‑term credibility with tax authorities and stakeholders.