contact-icon
Company audit ceiling limit, Company audit, Company Auditor, Ceiling limit for company audit, Ebizfiling

Company Auditor- Company Audit Ceiling Limit under the Companies Act 2013

The companies registered under the Companies Act, 2013 needs to abide by the provisions of the act. The Act has prescribed certain compliance which the company so incorporated needs to fulfil. These compliance depends on the threshold limits and if the company falls under these threshold limits prescribed by the act of that particular provision, then these company mandatorily needs to follow that provision. In this article we have discussed Company Audit ceiling limit for a company auditor under the Companies Act 2013.

 

What is a Company Audit?

Audit means to examine or verification of various books of accounts thoroughly by an auditor. An audit also includes physical checking of inventory to ensure that all the departments are up-to-date with the documented system of recording transactions. The purpose behind this is to ascertain the accuracy of financial statements provided by the organization.

 

To conduct the audit is mandatory irrespective of the business structure, legal forms, status or size of the business when such examination is conducted to express an opinion thereof”.

Who can be appointed as an Auditor of a Company?

A chartered Accountant holding a valid certificate of practice under the Chartered Accountants Act, 1949 can only become an auditor of the company. Also, a firm can be appointed as an auditor by the company provided majority of partners are practising in India and are eligible for the appointment. However, only the partners who are certified chartered accountants shall be allowed to sign the report or certificates on behalf of such firm.

Company Audit ceiling limit

Company audit ceiling limit or restriction on number of audits that an auditor can conduct is prescribed in Section 141(3) (g) of the Companies Act 2013. Following are the provisions for company audit ceiling limit under section 141(3) (g):

  • A person having full time employment elsewhere, or a person or a partner of a firm holding appointment as its auditor, if such person or partner is at the date of such appointment or reappointment holding appointment as auditor of more than 20 companies then such person shall not be eligible for appointment or reappointment as an auditor of company.
  • This means an auditor shall not accept audit of more than 20 companies.
  • However, the MCA has exempted the Dormant company and One Person Company from this ceiling limit. Also, the small companies and Private Limited Companies with less than 100 crores paid up share capital are excluded from the this limit.

 

Hence, now the ceiling limit for company audit only includes Public Limited Company and Private Limited Company with 100 crores or more paid up share capital. However, As per Section 44AB of Income Tax Act,1961, In order to maintain the quality of Tax Audit to be conducted by CAs, ICAI prescribed the maximum amount of audit that an auditor can undertake is 60 in a year.


POPULAR ARTICLES

RECENT ARTICLES

BROWSE BY TOPICS

About Ebizfiling -

EbizFiling is a concept that emerged with the progressive and intellectual mindset of like-minded people. It aims at delivering the end-to-end incorporation, compliance, advisory, and management consultancy services to clients in India and abroad in all the best possible ways.
 
To know more about our services and for a free consultation, get in touch with our team on  info@ebizfiling.com or call 9643203209.
 
Ebizfiling

Author: dharti

Dharti Popat (B.Com, LLB) is a young, enthusiastic and intellectual Content Writer at Ebizfiling.com. She studied Law and after practicing as an Advocate for quite some time, her interest towards writing drew her to choose a different career path and start working as a Content Writer. She has been instrumental in creating wonderful contents at Ebizfiling.com !

Follow Author

72 thoughts on “Company Audit Ceiling Limit under the Companies Act 2013”

  3. Oh my goodness! Awesome article dude! Many thanks, However I am encountering issues with your RSS. I don’t know the reason why I can’t subscribe to it. Is there anyone else having similar RSS issues? Anyone who knows the answer will you kindly respond? Thanks!!

    Reply

  4. Sweet blog! I found it while surfing around on Yahoo News. Do you have any tips on how to get listed in Yahoo News? I’ve been trying for a while but I never seem to get there! Cheers

    Reply

    1. Hi Mavis,

      Thank you for taking the time to share your feedback. We are grateful to have users like you who contribute to the positive and vibrant community surrounding our website. For any further assistance, kindly contact us at info@ebizfiling.com or +919643203209.

      Reply

  5. Замечательная статья! Действительно интересно узнать о ключах для автомобилей Шкода. У меня самого есть автомобиль Шкода, и я всегда волновался по поводу пультов. Ваша информация очень полезная и информативная.
    Меня также привлекло автосалоне и сайта Skodakey. Это на самом деле значимо, потому что безопасность и надежность автомобильных ключей – это важнейший аспект для всех владельцев. Я обязательно рассмотрю эти варианты при замене ключей.

    Большое спасибо за информативный материал, пожалуйста, продолжайте публиковать такие интересные статьи!

    Reply

    1. Благодарю вас за ваши добрые слова. Мы очень рады слышать, что у вас остались положительные впечатления. Для получения дополнительной помощи свяжитесь с нами по адресу info@ebizfiling.comm +919643203209.

      Reply

    1. Hi Felipa,

      Thank you for taking the time to share your feedback. We are grateful to have users like you who contribute to the positive and vibrant community surrounding our website. For any further assistance, kindly contact us at info@ebizfiling.com or +919643203209.

      Reply

  7. Excellent goods from you, man. I’ve have in mind your stuff previous to and you’re simply extremely great. I actually like what you have bought right here, really like what you’re stating and the way in which through which you say it. You make it entertaining and you still care for to stay it wise. I can’t wait to read far more from you. This is really a wonderful web site.

    Reply

    1. Hi Dorothy,

      Thank you for taking the time to share your feedback. We are grateful to have users like you who contribute to the positive and vibrant community surrounding our website. For any further assistance, kindly contact us at info@ebizfiling.com or +919643203209.

      Reply

    1. Hi Nikole,

      Thank you for taking the time to share your feedback. We are grateful to have users like you who contribute to the positive and vibrant community surrounding our website. For any further assistance, kindly contact us at info@ebizfiling.com or +919643203209.

      Reply

  9. Thank you for the auspicious writeup. It in reality was a enjoyment account it. Look advanced to more delivered agreeable from you! However, how can we keep up a correspondence?

    Reply

    1. Hi Iva,

      Thank you for taking the time to share your feedback. We are grateful to have users like you who contribute to the positive and vibrant community surrounding our website. For any further assistance, kindly contact us at info@ebizfiling.com or +919643203209.

      Reply

  11. Its such as you learn my thoughts! You appear to grasp so much approximately this,
    such as you wrote the book in it or something. I believe that you simply could do with a few p.c.
    to pressure the message house a little bit, however other than that, this is great blog.
    A great read. I’ll certainly be back.

    Reply

  14. I’m impressed, I must say. Seldom do I encounter a blog that’s equally educative and engaging, and let me tell you, you have hit the nail on the head. The issue is something which too few men and women are speaking intelligently about. Now i’m very happy I found this during my search for something concerning this.

    Reply

  15. Wonderful post but I was wanting to know if you could write a litte more on this subject? I’d be very grateful if you could elaborate a little bit further. Many thanks!

    Reply

  18. Howdy very cool site!! Guy .. Excellent .. Wonderful .. I’ll bookmark your web site and take the feeds also? I am happy to seek out so many useful information right here in the publish, we need work out more techniques on this regard, thank you for sharing. . . . . .

    Reply

  22. My brother recommended I may like this blog. He was totally right. This post actually made my day. You can not consider simply how much time I had spent for this info! Thank you!

    Reply

  23. Hi there! This post couldn’t be written any better! Reading this post reminds me of my good old room mate! He always kept chatting about this. I will forward this post to him. Pretty sure he will have a good read. Many thanks for sharing!

    Reply

  24. It is the best time to make some plans for the long run and it is time to be happy. I have read this put up and if I may I want to recommend you some interesting things or advice. Maybe you could write next articles regarding this article. I want to learn more things approximately it!

    Reply

  26. I simply couldn’t depart your site before suggesting that I really enjoyed the standard information a person supply to your guests? Is gonna be back often to investigate cross-check new posts

    Reply

  27. This design is spectacular! You obviously know how to keep a reader entertained. Between your wit and your videos, I was almost moved to start my own blog (well, almost…HaHa!) Excellent job. I really enjoyed what you had to say, and more than that, how you presented it. Too cool!

    Reply

  28. Wow that was strange. I just wrote an extremely long comment but after I clicked submit my comment didn’t appear. Grrrr… well I’m not writing all that over again. Anyway, just wanted to say great blog!

    Reply

    1. Hi Esmerlda,

      Thank you for taking the time to share your feedback. We are grateful to have users like you who contribute to the positive and vibrant community surrounding our website. For any further assistance, kindly contact us at info@ebizfiling.com or +919643203209.

      Reply

  29. Someone necessarily assist to make critically posts I’d state. That is the first time I frequented your website page and to this point? I amazed with the research you made to make this actual submit extraordinary. Great job!

    Reply

    1. Hi Madie,

      Thank you for taking the time to share your feedback. We are grateful to have users like you who contribute to the positive and vibrant community surrounding our website. For any further assistance, kindly contact us at info@ebizfiling.com or +919643203209.

      Reply

  30. I’m not that much of a online reader to be honest but your blogs really nice, keep it up! I’ll go ahead and bookmark your site to come back in the future. All the best

    Reply

  32. A person necessarily assist to make critically articles I’d state. That is the very first time I frequented your website page and thus far? I surprised with the analysis you made to create this particular submit amazing. Excellent process!

    Reply
Average
5 Based On 36

Leave a Reply

Your email address will not be published.

Reviews

  • Client review, Ebizfiling

    Neha Mody

    27 Nov 2017

    “Quite impressed with the professionalism and efficiency that ebiz- filing have demonstrated throughout! Everything runs like clockwork. This means that I can concentrate on building my profession and not be worrying about compliance requirements, the team takes care of it all. Excellent work!!"

  • Sneh Ajmera

    04 Jan 2018

    "Quite simply put, ebizfiling is a pleasure to do business with and providing top-notch versatile services. I do not have to run here and there , as I am getting all the services at one place. We appreciate the ability to maintain their efficiency, transparent pricing,competitive fees and timeliness."

  • Client Review, Ebizfiling

    Ahmed Shaikh

    23 Sep 2018

    Ms. Ishani and other team members are very helpful in the entire process of GST filing.

    I really appreciate their support superb team.

    Cheers!!!!*****

Hi, Welcome to EbizFiling!

Hello there!!! Let us know if you have any Questions.

Thank you for your message.

whatsapp Call Now Button