VAT Audit limit has been raised to Rs. 10 Crore & submission of Income Tax Audit report becomes mandatory in WBVAT

By amending sub-section (1A) of section 30E the monetary limit of filing audit report in Form 88 has been raised from Rs. 5 Crore to Rs. 10 Crore with effect from the financial year commencing on 01.04.2015. However, under the amended provisions the amount of stock transfer shall also be taken

into account along with the turnover of sales/contractual transfer price for computing such monetary limit.

Further, by substituting sub-section (1C), the provision for filing Form 88A has been done away with. Instead, every registered dealer who is required to get his accounts audited under the Income Tax Act, 1961, other than those required to file Form 88, will have to file such audit report under the Income Tax Act, 1961, along with Profit & Loss Account and Balance Sheet within the 31st December from the end of the year.

It is pertinent to mention here that a registered dealer, being a Public Limited Company or Private Limited Company, registered under the Companies Act, 1956, shall have to file Form 88 along with Profit & Loss Account and Balance Sheet irrespective of the quantum of turnover of sales or purchases or contractual transfer price or stock transfer.