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CMA Intermediate · Corporate Accounting and Auditing · Report on Internal Financial Control over Financial Reporting

Where is the auditor's report on internal financial controls under section 143(3)(i) of the Companies Act, 2013 ordinarily presented?

The report on internal financial controls is given as an annexure to the independent auditor's report, and the main report cross-refers to it in the section on other legal and regulatory requirements. It is not part of management's notes, the board's report or the secretarial audit report.

  1. AAs Annexure to the independent auditor's report, referred to in the main reportCorrect
  2. BOnly in the notes to accounts prepared by management
  3. CIn the board's report to members
  4. DIn the secretarial audit report

Explanation

The IFC report is given as a separate Annexure to the independent auditor's report, and the main report refers to it under 'Report on Other Legal and Regulatory Requirements'. Management's notes, the board report and secretarial audit report are not the place for the auditor's IFC opinion.

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