At Sagutoor & Associates a Practicing Cost & Management Accounting proprietary firm, we provide various audit services. You can avail the below services from us.
Audit / Certification Services:
- Cost Audit as per the Companies Act
- Maintenance of Cost Records
- Designing Systems of Cost and Management Accounting
- Internal Audit as per the Companies Act
- Stock and Receivables Audit for Banks
- Concurrent Audit
- Forensic Audit
Maintenance of Cost Records in the Books of Accounts Applicability:
Pursuant to Section 148 read with Rule 3 of the Companies (Cost Records and Audit) Rules, 2014: the class of companies, including foreign companies defined in clause (42) of section 2 of the Act, engaged in the production of the goods or providing services, specified in the Table below, having an overall turnover from all its products and services of rupees thirty five crore or more during the immediately preceding financial year, shall include cost records for such products or services in their books of account. The rule specifies companies in A. Regulated Sectors, and B. Non-Regulated Sectors. (The list of sectors can be verified in the Companies (Cost Records and Audit) Rules, 2014 to check whether your company falls under the above rule or contact us.
Exemption: This rule shall not apply to a company which is classified as a micro enterprise or a small enterprise including as per the turnover criteria under sub-section (9) of section 7 of the Micro, Small and Medium Enterprises Development Act, 2006 (27 of 2006).
Applicability of Cost Audit:
Pursuant to Section 148 read with Rule 4 of the Companies (Cost Records and Audit) Rules, 2014:
(1) Every company specified in item (A) of rule 3 shall get its cost records audited in accordance with these rules if the overall annual turnover of the company from all its products and services during the immediately preceding financial year is rupees fifty crore or more and the aggregate turnover of the individual product or products or service or services for which cost records are required to be maintained under rule 3 is rupees twenty five crore or more.
(2) Every company specified in item (B) of rule 3 shall get its cost records audited in accordance with these rules if the overall annual turnover of the company from all its products and services during the immediately preceding financial year is rupees one hundred crore or more and the aggregate turnover of the individual product or products or service or services for which cost records are required to be maintained under rule 3 is rupees thirty five crore or more.
(3) The requirement for cost audit under these rules shall not apply to a company which is covered in rule 3, and-
(i) whose revenue from exports, in foreign exchange, exceeds seventy five per cent of its total revenue; or
(ii) which is operating from a special economic zone.
(iii) which is engaged in generation of electricity for captive consumption through Captive Generating Plant. For this purpose, the term “Captive Generating Plant” shall have the same meaning as assigned in rule 3 of the Electricity Rules, 2005;
