The Threshold Limit of Statutory Audit
The threshold limit of Statutory audit due date for Hospitals in India is Rs. 5 crores. This means that all hospitals with an annual turnover of more than Rs. 5 crores are required to have their books audited by a chartered accountant.
Statutory audit due date for hospitals is 30th September of the following financial year. For example, the statutory audit due date for the financial year 2023-24 is 30th September 2024.
The statutory audit is a mandatory requirement for businesses that meet the threshold limit.
It is a process of examining the financial records of a business to ensure that they are accurate and compliant with the law. The auditor will also report on the financial health of the business and any areas of concern.
If a hospital fails to have its books audited by the statutory audit due date, they may be liable for penalties. The penalties can be significant, so it is important to comply with the statutory audit requirements.
Here are some of the benefits of having a statutory audit for hospitals:
- It can help to ensure that the financial records of the hospital are accurate.
- It can help to identify any areas of non-compliance with the law.
- It can help to improve the financial health of the hospital.
- It can help to reduce the risk of fraud.
- It can help to improve the creditworthiness of the hospital.
If you are a hospital with an annual turnover of more than Rs. 5 crores, you are required to have your books audited by a chartered accountant and to submit a statutory audit report to the Income Tax Department. It is important to comply with this requirement to avoid penalties and to safeguard the financial health of your hospital.
To visit: https://www.mca.gov.in/
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