Skip to content

CA Final · Indirect Tax Laws · Assessment and Audit

Himalaya Pharma Ltd is subject to a special audit direction under section 66. A chartered accountant specified by the officer completes the special audit. Which statement is correct under Rule 102?

The special audit direction is issued in FORM GST ADT-03 specifying the chartered accountant or cost accountant, and on conclusion the registered person is informed of the findings in FORM GST ADT-04. ADT-01 and ADT-02 relate to ordinary audit, not special audit.

  1. AThe direction is issued in FORM GST ADT-01 and the findings are informed in FORM GST ADT-02
  2. BThe direction is issued in FORM GST ADT-03 and the findings are informed to the registered person in FORM GST ADT-04Correct
  3. CThe direction is issued in FORM GST ADT-03 and the findings are informed in FORM GST ADT-02
  4. DThe registered person selects any chartered accountant and the findings are informed in FORM GST ADT-04

Explanation

Rule 102(1) requires a direction in FORM GST ADT-03 to get records audited by a chartered accountant or cost accountant specified in the direction. Rule 102(2) requires the findings to be informed in FORM GST ADT-04. ADT-01 and ADT-02 belong to ordinary audit, and the auditor is specified by the officer, not chosen by the person.

Did you get it right without looking?

One question tells you little. A timed set on Assessment and Audit shows your real accuracy, how long you take and where you lose marks.

Practise Assessment and AuditFree diagnostic mock

More Assessment and Audit questions