Service Line 08

Audit, Assurance & Certification Services

Audit, assurance, agreed-upon procedures, specified review and certification services undertaken for statutory, lender, management and stakeholder requirements under the applicable professional framework.

Clearly scoped engagements under the applicable standard.

Audit and assurance engagements must be clearly scoped, supported by appropriate evidence and undertaken with the independence required by law and professional standards. Different assignments provide different levels and forms of assurance and should not be described interchangeably.

Subject to professional eligibility, valid appointment, independence and conflict checks, we undertake statutory audits, tax audits, internal audits, stock and lender-directed verification, financial due diligence, agreed-upon procedures, specified compliance reviews and certification assignments. The nature and level of assurance, if any, are determined separately for each engagement under the applicable law, professional standard and agreed terms.

Areas of Audit, Assurance, Review & Related Services

01 Statutory Audit

Independent audit of historical financial statements under the applicable law and Standards on Auditing.

  • Companies, LLPs, firms, trusts, societies and other eligible entities
  • Financial statements, notes and applicable disclosures
  • Accounting policies, estimates and material balances
  • Internal financial controls where applicable
  • Independent auditor's report and management communication
02 Tax Audit

Examination and reporting under the Income-tax Act and applicable ICAI guidance.

  • Books and supporting records\nPrescribed particulars
  • Depreciation and specified disallowances
  • Reconciliation with financial and tax information
  • Tax-audit report and UDIN
03 Internal Audit & Internal-Control Review

Risk-based examination of selected processes, controls, compliance and operating risks for management and those charged with governance.

  • Revenue and procurement
  • Inventory and fixed assets
  • Accounts payable and receivable\nPayroll, cash and banking
  • Control observations and corrective-action follow-up
04 Stock & Inventory Audit

Scope-specific examination of inventory records, physical quantities and valuation information for lenders, management or another identified user.

  • Physical verification according to the appointment scope
  • Stock records and reconciliation
  • Ageing, slow-moving and obsolete inventory
  • Valuation-method review
  • Lender or management reporting format
05 Bank & Lender-Directed Verification

Independent verification based on the appointing institution's scope.

  • Stock and receivables audit
  • Drawing-power verification
  • End-use verification
  • Review of borrower financial information
  • Special-purpose lender reporting
06 GST Review & Reconciliation

Scope-specific, non-statutory examination and reconciliation of GST records for management or another identified purpose.

  • GST returns to books reconciliation
  • Turnover and liability review
  • Input-tax-credit review
  • Annual-return support
  • Identification of discrepancies and corrective actions
07 Financial Due Diligence

Scope-specific financial investigation for a proposed acquisition, investment, divestment or transaction.

  • Quality of earnings
  • Revenue and margin analysis
  • Working capital
  • Debt and contingent liabilities
  • Related-party and tax exposures
  • Due-diligence findings report
08 Process & Compliance Review

Scope-specific assessment of selected processes against documented policies, controls and applicable requirements.

  • Procure-to-pay
  • Order-to-cash
  • Payroll and inventory
  • Fixed assets and banking
  • Control-gap and improvement report
09 Special-Purpose & Agreed-Upon Procedures

Specified procedures performed over identified financial or non-financial information for an agreed purpose and intended use.

  • Transaction or balance verification
  • Fund-utilisation and grant verification
  • Turnover, royalty or contractual verification
  • Investor or lender-requested procedures
  • Factual findings under the agreed scope
10 Certificates & Attestation

Certificates and special-purpose reports issued after examination of the relevant records and evidence under the applicable professional guidance.

  • Net-worth and turnover certificates
  • Fund-utilisation and loan end-use certificates
  • Capital-contribution certificates
  • Bank, scheme, contract and regulatory certificates
  • UDIN wherever prescribed

Built for statutory, lender, governance or transaction requirements.

The service is intended for entities and stakeholders requiring a statutory opinion, internal review, lender verification, transaction review or CA certification.

Entities Requiring Statutory or Tax Audit

Businesses and organisations covered by applicable audit requirements.

Banks and Borrowers

Institutions or businesses requiring stock, receivables, end-use or other lender-directed verification.

Management Seeking Control Review

Businesses requiring internal audit or review of selected processes and risks.

Transaction Parties and Investors

Buyers, sellers, investors and lenders requiring financial due diligence, specified verification or agreed-upon procedures.

What the appointment may produce.

Depending upon the appointment, deliverables may include:

  • Independent auditor's report
  • Tax-audit report
  • Internal-audit or control-review report
  • Stock or lender-prescribed report
  • GST reconciliation report
  • Financial due-diligence report
  • Agreed-upon procedures report
  • Management letter
  • CA certificate with UDIN where applicable

Our Audit Approach

The nature, timing and extent of procedures are determined by the applicable standards, assessed risks and engagement scope.

01

Eligibility & Independence

Statutory eligibility, appointment validity, communication with the previous auditor, conflicts, financial interests, prohibited service combinations and other independence requirements are evaluated before acceptance.

02

Risk-Based Planning

The engagement is planned around material balances, processes and identified risks.

03

Evidence-Based Procedures

Conclusions and findings are supported by the evidence obtained under the applicable framework.

04

Clear Reporting

Material findings, scope limitations and required communications are reported in the appropriate form.

How the Engagement Works

1

Acceptance & Scope

Professional eligibility, appointment validity, communication requirements, independence, conflicts, intended users and reporting framework are confirmed before acceptance.

2

Planning & Information Request

The business, risks, records and required evidence are assessed.

3

Testing & Discussion

Procedures are performed and significant matters are discussed with the responsible persons.

4

Reporting & Agreed Follow-Up

The appropriate audit, assurance, factual-findings, review or certification report is issued. Follow-up procedures are performed only when included in the engagement terms.

Questions we hear most often.

What is the difference between statutory audit and internal audit?

Statutory audit results in an opinion on financial statements under the applicable law. Internal audit is a management-focused review of controls, processes and risks.

Can the statutory auditor also conduct internal audit?

A statutory auditor appointed under the Companies Act or another statute cannot simultaneously act as internal auditor of the same entity. In addition, an internal auditor cannot be appointed as tax auditor of the same assessee. Other service combinations are evaluated under applicable law, ICAI requirements and independence standards before acceptance.

Do you provide GST audit?

The earlier general CA-certified GST audit requirement has been discontinued. We therefore do not present it as a current general statutory audit service. We provide GST compliance reviews, reconciliations, annual-return support and specified procedures according to the agreed scope. Any audit or certification required under a particular law, notification or special appointment is separately evaluated.

Is financial due diligence the same as an audit?

No. Due diligence is a scope-specific investigation for a transaction and does not automatically provide an audit opinion.

Can you issue a certificate based only on information supplied by management?

No certificate is issued merely by reproducing information supplied by management. We examine the relevant records and evidence required by the applicable law, prescribed format and professional guidance. Where sufficient appropriate evidence is unavailable, the scope may need to be modified, the document may need to be issued as a suitably qualified report instead of a certificate, or the assignment may be declined.

Important Information

Audit, assurance, review, agreed-upon procedures and certification engagements are accepted only after evaluating professional eligibility, appointment validity, communication requirements, independence, conflicts of interest and prohibited service combinations. The nature and extent of procedures and the form of reporting depend upon the applicable law, professional standard, engagement terms, subject matter and intended users.

Need an Audit, Assuranceor Certification Engagement?

Discuss the entity, appointment and reporting requirement through an initial consultation.