BASICS of GST Audit

3.6.        Conducting regular meeting with the Audit Team

A regular meeting with the audit team shall be conducted in order to discuss the problems which arise in the audit. A preview meet will help in removing the bottlenecks and the hurdles rather than making the whole audit procedure redundant.

3.7.        Management Representation Letter

During the course of audit, an auditor must obtain all the relevant management representation certificates from the client before the GST Audit Report.

3.8.        Final Reporting

Before the audit is finalized, a meeting with the client should be done so as to discuss with him, the audit obserGSTions and qualifications, if any.

An auditor has to form an opinion and draw conclusions on the basis of the audit evidence and decide upon the issues which are required to be reported and commented upon. In forming such an opinion, the auditor should be diligent to ensure that no material misstatement creeps into the report and also no material matters have been left out from reporting.

A GST auditor is required to submit the report to the dealer appointing him on or before due date. Also, GST auditors are not required to furnish a copy of the report to any other agency or to the department.

But, if the auditor is appointed

• after the due date for submission of the report, or,
• at a time when adequate time is not provided to furnish his audit report within the due date.

then he should mention the said fact in his acceptance letter.

4)      REMOVAL OF A GST AUDITOR

4.1         Removal of GST auditor by dealer

It is possible for a dealer to remove the GST auditor on any of the following valid ground: -

• Delay in submission of reports.
• Unreasonable delay in conducting an audit

However, a GST auditor cannot be removed on the following grounds:

• If he has given an adverse report.
• If he has qualified the report.

NOTE: In the case of unjust removal, it is possible for the committee of ICAI to intervene.

4.2       Resignation of GST auditor

A GST auditor duly appointed by a dealer can resign from the audit engagement after giving prior notice to the dealer who has appointed him by citing reasons as to why he would no be in a position to conduct audit. In such a situation, the board of directors or authorized person of the dealer can appoint another chartered accountant or firm as his GST auditor.

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