Provision & Procedure of Audit Under GST

Rule-101 of CGST Rules 2017
Audit

(1) The peri­od of audit to be con­duct­ed under sub-sec­tion (1) of sec­tion 65 shall be a finan­cial year or mul­ti­ples thereof.

• Where it is decid­ed to under­take the audit of a reg­is­tered per­son in accor­dance with the pro­vi­sions of sec­tion 65, the prop­er offi­cer shall issue a notice in FORM GST ADT-01 in accor­dance with the pro­vi­sions of sub-sec­tion (3) of the said

• The prop­er offi­cer autho­rised to con­duct audit of the records and the books of account of the reg­is­tered per­son shall, with the assis­tance of the team of offi­cers and offi­cials accom­pa­ny­ing him, ver­i­fy the doc­u­ments on the basis of which the books of account are main­tained and the returns and state­ments fur­nished under the pro­vi­sions of the Act and the rules made there­un­der, the cor­rect­ness of the turnover, exemp­tions and deduc­tions claimed, the rate of tax applied in respect of the sup­ply of goods or ser­vices or both, the input tax cred­it availed and utilised, refund claimed, and oth­er rel­e­vant issues and record the obser­va­tions in his audit notes.
• The prop­er offi­cer may inform the reg­is­tered per­son of the dis­crep­an­cies noticed, if any, as observed in the audit and the said per­son may file his reply and the prop­er offi­cer shall finalise the find­ings of the audit after due con­sid­er­a­tion of the reply
• On con­clu­sion of the audit, the prop­er offi­cer shall inform the find­ings of audit to the reg­is­tered per­son in accor­dance with the pro­vi­sions of sub-sec­tion (6) of sec­tion 65 in FORM GST ADT-02.