tax auditor

[CA siba prasad mishra]

is the tax auditor has the power to challenge the statutory audit report ..if the audit report do not disclose some of the disclosure as required by ICAI. as in Appolo tyre case it was held that once the financial statement is certified by the statutory auditor it can not be challenged if tax payable is as per MAT..   

[bhaskar rao]

Dear Sir,

I thinks the tax auditor has power to raise the issue and qualify report if there is some issue stat auditor has missed. It is professional duty and ethics to client.

Yours faithfully,

Bhaskar Rao, ITP

[vsaiyar]

FORM 3CA IS THE REPORT FORM WHERE THE ACCOUNTS ARE AUDITED UNDER ANY OTHER LAW.  IN THIS EVENT ONLY COPIES ARE TO BE ANNEXED AND GIVE INFORMATION REQUIRED UNDER SECTION 3CD.  HENCE THERE IS NO QUESTION OF CORRECTING THE AUDIT REPORT OF THE STATUTORY AUDITOR OR SUPPLIMENTING IT.  THE INFORMATION REQUIRED IN FORM 3CD IF IT CONFLICTS WITH THE STATUTORY REPORT BE IT SO BE.  IN TAX AUDIT REPORT OUR RESPONSIBILITY IS TO THE DEPARTMENT AND NEITHER THE OFFICER NOR THE CLIENT IS BOUND BY THE REPORT

[CA siba prasad mishra]

many more thanks sir....it means we are not dutybound to rectify any mistake....

[mohiticai]

Any issue coming in the notice of tax auditor can be reported in the tax audit report. the auditor may qualify the report for his observation but there is no question of challanging the report of company auditor or in any way interfere with the report of company auditor as a tax auditor is not empowered with any right to interfere or judge the audit reports of other auditors. However if there are any serious issues that can be reported to the management of the company or ICAI who in turn can take corrective actions