Jun 092013
 

ALL ABOUT TNVAT AUDIT

APPLICABILITY

Every registered dealer whose turnover including zero-rate sale and sale in the course of inter-state trade or commerce as specified in Section 3 of the Central Sales Tax Act, 1956 in a year, exceeds one crore rupees shall get his accounts audited by an Accountant and submit the report to the Assessing authority within the stipulated time.

EXEMPTIONS

This audit requirement is not applicable to the following :-

(i)                 Departments of Central & State Governments,

(ii)               Local Authorities

(iii)             The railway administration as defined under the Railways Act, 1989

(iv)             Tamilnadu State Road Transport Corporations and

(v)               Similar such dealers, as may be notified by the Government.

AUDIT REPORT

The Form of audit report shall be Form – WW. This form shall be prepared,signed and certified by Accountant , in duplicate , and shall be submitted to the Assessing Authority.

TIME LIMIT FOR AUDIT

The last date for filing TNVAT Audit Report is 9 month from the end of the year. (ie) 31st December every year. (Previously, the time limit for submission of audit report was 7 months from the end of the year). (ie.,) For the year ended 31st March 2013, the Report shall be submitted on or before 31st of October 2013.

WHO CAN DO THE AUDIT

A Chartered Accountant as defined in the Chartered Accountants Act, 1949 or a Cost Accountant as defined in the Cost and Works Accountants Act, 1959  can conduct the audit.

WHAT ARE THE ACCOUNTS/RECORDS TO BE MAINTAINED AND AUDITED

v     Purchase Account

v     Sales/Stock Transfer account

v     Production cum stock account

v     Stock Register

v     Input tax adjustment account showing opening balance, claim during the period, output tax, adjustments,reversals,etc.,

v     Capital Goods input tax adjustment account

v     Record of sales through agents

v     Record of purchases/goods received for sale from principal

v     Invoices

v     Certificate of Industrial Inputs

v     Register of Certificates Issued

v     Register of Certificates received

v     Register of delivery notes

v     Cash book

v     Bank book

v     General Ledger

 

HOW TO CALCULATE THE TURNOVER

Turnover for VAT audit includes .

–                      Taxable Turnover

–                      Zero rated sales

–                      Exempted Sales

–                      Inter state sales

–                      Purchases turnover assessable to tax u/s. 12 of TNVAT Act (purchases from unregistered dealers)

–                      Sale of Capital Goods (Example-Sale of Car by the assessee)

–                      Value of Stock Transfer (outward)

WHAT HAPPENS IF ANY DEALER FAILS TO SUBMIT AUDIT REPORT

If any dealer fails to get his accounts audited and submit a report of such audit within the prescribed period, the registered dealer will be required to pay a sum of Rs. 10000/- as penalty in addition to any tax payable, in respect of the said period. The assessing authority also has got the powers under the act to compel the dealer to submit the audit report.

 Click here to send an enquiry/clarification or Comment below the Post

Jan 212011
 
1) Those dealers whose total turnover in respect of purchase and sales
in the State is not less than Rs.10 lakhs for a year are to get
registered under the Act.
2) The other dealers whose total turnover for a year is not less than
Rs.5 lakhs shall get registered.
3) Casual Traders, agent of non-resident dealer and dealers in
jewellery irrespective of quantum of turnover shall obtain
registration.
4) Those dealers who intend to commence the business,  on option,
may obtain registration.
Want to Register for VAT in Chennai? Click Here to Send an Enquiry to us.

Contact us @ 91-44-45540180 / 91-91505 75680. 

For Quick Response email :- sridharca@gmail.com

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