To make sure your audit goes smoothly and is completed well before the due date, follow these steps:
1. Hire a Good Chartered Accountant
Choose a CA who understands your business or profession. Experience matters in handling tax audits properly.
2. Update Your Accounts Regularly
Don’t wait till the last moment. Maintain proper records of:
- Sales and purchase bills
- Expense receipts
- Bank statements
- GST returns
- TDS details
3. Reconcile All Records
Make sure that your books match with:
- Bank account
- GST filings
- TDS certificates (Form 26AS)
- Other financial documents
4. Classify Expenses Properly
Your CA will need to report various expense details separately — like rent, salary, interest, etc. Classify them properly in your books.
5. Respond to Queries Quickly
Your CA may ask for clarification or extra documents. Don’t delay your response — any delay on your side can cause a last-minute rush.