Income Tax Audit Services in Hyderabad
Comprehensive Income Tax Audits for Businesses and Professionals
What is an Income Tax Audit?
There are many types of audits conducted under various laws.
An Income Tax Audit is a detailed examination of a taxpayer’s books of accounts, records, and financial statements conducted under the Income Tax Act, 1961. It ensures that the income and deductions declared are accurate and comply with tax regulations.
Under Section 44AB of the Income Tax Act, certain taxpayers are mandatorily required to conduct a Tax Audit. At Sandeep Nalla and Co., we provide Income Tax Audit services in Hyderabad, ensuring that your business remains compliant and audit-ready at all times.
When is a Tax Audit Mandatory?
As per Section 44AB, a taxpayer must undergo a tax audit if the turnover, sales, or gross receipts exceed ₹1 crore during the financial year.
However, there are specific circumstances under which a tax audit becomes mandatory:
For businesses with turnover exceeding ₹1 crore (₹10 crore if cash transactions ≤ 5%).
For professionals whose gross receipts exceed ₹50 lakhs in a financial year.
For presumptive taxation cases under sections 44AD, 44ADA, and 44AE where income is lower than prescribed limits.
Our income tax auditors in Hyderabad ensure that your audit is conducted as per Finance Act updates and CBDT guidelines.
Recent Amendments in Tax Audit Provisions
01
Finance Act 2020
The threshold limit for tax audit under Section 44AB was raised from ₹1 crore to ₹5 crore for taxpayers with cash receipts and payments limited to 5% of total transactions.
02
Finance Act 2021
Effective April 1, 2021, the threshold was further increased to ₹10 crore if cash transactions do not exceed 5% of total transactions.
Why Choose Sandeep Nalla & Co. for Income Tax Audit Services in Hyderabad
At Sandeep Nalla and Co., we combine professionalism, accuracy, and expertise to deliver the best income tax audit services.
We offer:
✅ Comprehensive Income Tax Audit and Compliance Services
✅ Preparation of Form 3CA/3CB/3CD Reports
✅ Expert guidance on Tax Audit under Section 44AB
✅ Advisory on Finance Act amendments and updates
✅ Digital tax audit and filing support
Our mission is to simplify the audit process while ensuring 100% compliance with all Income Tax laws in India.
About Audit Report
Form 3CA or Form 3CB
Tax auditor furnishes the report in either Form 3CA or Form 3CB. Form 3CA is used when a person is already mandated to get accounts audited under any other law. Form 3CB is used when a person is not required to get accounts audited under any other law.
Form 3CD
Tax auditor must furnish prescribed particulars in Form 3CD, which forms part of the audit report.
Embracing the Income tax Audit
Look ahead to the future of income tax audit and the opportunities for digital transformation, collaboration, and continuous improvement in the audit profession.