Statutory Audit Required for Architects
Yes, statutory audit requir for architects in India under certain circumstances. According to the Companies Act, 2013, any business or profession that falls under the category of a company.
Whether this is a Pvt Ltd, public limited, or one-person company, required to undergo a statutory audit. This includes architectural firms that registered as companies.
Statutory audit refers to the external examination of a company’s financial records and statements by a qualified Chartered Accountant to ensure their accuracy and compliance with relevant laws and regulations.
It’s aimed at providing stakeholders, including shareholders, creditors, and government authorities, with reliable financial information about the company’s performance.
Architects in India who operate as companies and exceed the prescribed turnover or capital limits specified by the Companies Act obligated to conduct a statutory audit.
The turnover and capital thresholds may vary depending on the type of company.
If an architectural firm’s turnover or capital exceeds these limits, they must appoint a Chartered Accountant to conduct the audit.
Submit the audited financial statements along with the audit report to the regulatory authorities.
Statutory audits for architects help maintain transparency, accountability, and financial discipline in their business operations.
They provide an assurance to various stakeholders that the financial statements present a true and fair view of the company’s financial health.
In summary, if an architectural firm in India structured as a company and crosses the turnover or capital limits set by the Companies Act.
It is requir to undergo a statutory audit. This audit ensures compliance, accuracy, and transparency in financial reporting.
To visit: https://www.mca.gov.in/
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