GST Audit for FY 2023-24
GST audit is the process of verifying records, returns, and other associated documentation kept by GST-registered persons. The purpose of a GST audit is to verify the accuracy of the declared turnover, taxes paid, claimed refunds, and input tax credit (ITC), while also ensuring that all GST compliance requirements are met accurately. It requires that taxpayers analyze their GST tax burden, complete the required returns, and pay taxes in accordance with the GST audit checklist. The GST Act establishes a robust audit system to verify proper and accurate filing as well as taxpayer tax liability.
Applicability & turnover limit for GST audit for FY 2023-24
Section 35 of the CGST Act states that every registered person under GST whose aggregate turnover exceeds Rs. 5 (five) crore in a fiscal year is subject to GST audit. If the registered person’s turnover surpasses INR 5 crore in a fiscal year, then the registered person must file GSTR-9C along with a reconciliation statement duly certified in Form GSTR-9C. The turnover limit for mandatory GSTR 9 filing is Rs.2 crore, while the turnover limit for GSTR 9C is Rs.5 crore. The Central Board of Indirect Taxes and Customs (CBIC) has granted an exemption to GST-registered taxpayers with annual aggregate revenue of up to Rs.2 crore from the requirement of filing Form GSTR-9.
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