G S Arora & Associates
Let's Talk

Audit & Assurance

An audit should tell you something you did not already know. We carry out statutory, internal, tax and stock audits to ICAI standards — and report in language your board can act on rather than a document that only satisfies a filing requirement.

Two Audits, Two Different Purposes

A statutory audit exists to serve people outside the business — shareholders, lenders and regulators — by giving an independent opinion on whether your financial statements present a true and fair view. It is required by law for every registered company, regardless of turnover, and the auditor is independent of management by design.

An internal audit exists to serve management. It asks whether controls actually work, whether processes are followed, and where the business is exposed. It is mandatory above prescribed thresholds, but many smaller businesses commission one voluntarily because it pays for itself in recovered leakage and tightened process.

The two are complementary. A functioning internal audit makes the statutory audit faster and cheaper, because the controls being tested are already documented and working.

What This Covers

Statutory Audit

Independent audit of financial statements under the Companies Act, with the audit report, CARO reporting and the annexures your filing requires.

Internal Audit

Risk-based review of controls, processes and authorisation limits, with findings ranked by exposure rather than listed alphabetically.

Tax Audit

Audit under section 44AB with Form 3CA/3CB and 3CD, covering the disclosures that most commonly attract follow-up questions.

Stock & Fixed Asset Audit

Physical verification of inventory and assets against your records, including valuation review and reconciliation of differences.

Bank & Concurrent Audit

Branch audit and concurrent audit assignments carried out to the timelines and formats prescribed by the institution.

Due Diligence Review

Financial due diligence ahead of an investment, acquisition or lending decision, focused on what the numbers do not say on their face.

Who This Is For

You are likely to need audit support if:

  • You are a registered company — a statutory audit is not optional, whatever your turnover.
  • Your turnover has crossed the section 44AB threshold and a tax audit now applies.
  • A lender or investor has asked for audited statements or a due diligence report.
  • You suspect leakage — in inventory, in purchasing, or in expense claims — and want it quantified.
  • You are growing fast and the controls that worked at ten people are visibly failing at fifty.

How We Run an Audit

1
Planning and risk assessment

We map your business and identify where misstatement is actually likely, so that effort goes where the risk is rather than being spread evenly across everything.

2
Controls walkthrough

We trace real transactions end to end to see whether the control that exists on paper is the control that operates in practice. The gap between the two is usually where the finding is.

3
Substantive testing

Balances, cut-offs, valuations and disclosures are tested against evidence, with sampling scaled to the risk identified in planning.

4
Reporting and closure

You get the formal report, and separately a management letter that says plainly what should change. We walk you through it rather than emailing it and leaving.

Frequently Asked Questions

Yes. Unlike a tax audit, the statutory audit requirement for a company is not linked to turnover. Every company registered in India requires one, including a dormant one. This is one of the ongoing costs worth weighing before choosing a company structure over an LLP or proprietorship.
A statutory audit is required under the Companies Act and gives an opinion on your financial statements. A tax audit is required under section 44AB of the Income Tax Act once turnover crosses the threshold, and reports on specified particulars in Form 3CD. A company over the threshold needs both; they are not substitutes.
It depends far more on the state of your records than on the size of the business. Clean, reconciled books with supporting evidence available move quickly. If reconciliation has to happen during the audit, the timeline stretches and so does the cost. We will tell you which situation you are in early rather than at the end.
No — and any firm that offers to do both should give you pause. Independence rules exist precisely because an auditor cannot meaningfully audit their own work. We can do one or the other for a given entity, and we will tell you which arrangement serves you better.

Our Services

Prefer to talk?

Speak directly to a Chartered Accountant about your situation.

[Phone TBD]

An audit that tells you
something you did not know.

Discuss an Audit