Every registered person must get its accounts audited if the aggregate turnover during FY exceeds Rs. 2 Cr from sale of goods or services. Calculation of turnover shall be PAN based i.e. all sale of goods/ services shall be taken for computing the limit of Rs. 2 Cr.

GST audit limit is same for all registered taxpayers, i.e. no separate limit is specified for special category states or UTIs

Exception- Provision for GST audit will not be applicable in case Central Government/ State Government/ Legislative Assembly in case they are subject to audit by CAG or any Statutory Auditor appointed for auditing the accounts of Legislative Assembly.

Requirement of GST Audit-

GST Audit is required for the following reasons-

1. GST is the self-assessment tax regime so GST audit is required for ensuring that tax payer has correctly assessed hi liability.
2. It involves examination and evaluation of records, GST returns and other related documents.
3. To obtain reasonable assurance and ensure that financial statements are free from any material misstatements.

Furnishing of Documents under GST Audit-

1. Annual Return
2. Copy of Audited Annual Accounts
3. Copy of reconciliation Statement

Accounts to be reviewed under GST Audit-

1. Purchase Register
2. Sale Register
3. Stock Register
4. GST Expenses
5. Statement congaing Input Tax Creditavailed and utilized
6. Output Tax Challan
7. Statement of E-way Bill generated during the period
8. Any changes made under GST during the period

Due Date of GST Audit and Penalty for Late filing of GSTR 9C:-

As per the GST Act, due date of audit and annual return is specified as 31^st December of subsequent fiscal year and in case of failure in complying with the same then as per act no specific penalty is prescribed. So it will be covered under the head of general penalty of Rs. 25000.