Threshold Limit for Statutory Audit
The threshold limit for statutory audit for Motion Picture & Video Studios & Theatres in India is Rs. 1 crore in case the cash receipts do not exceed 5% of the total receipts.
If the cash receipts exceed 5% of the total receipts, then the threshold limit is Rs. 10 crores.
The statutory audit due date for Motion Picture & Video: Studios & Theatres is 30th September of the following financial year.
For example, the statutory audit due date for the financial year 2022-23 is 30th September 2023.
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 business 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 Motion Picture & Video Studios & Theatres:
- It can help to ensure that the financial records of the business 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 business.
- It can help to reduce the risk of fraud.
- It can help to improve the creditworthiness of the business.
If you are a Motion Picture & Video: Studios & Theatres business with an annual turnover of more than Rs. 1 crore (or Rs. 10 crores if cash receipts exceed 5% of the total receipts), 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 business.
To visit: https://www.mca.gov.in/
For further details access our website: https://vibrantfinserv.com
