No, only Chartered Accountant or a Cost Accountant as may be nominated by the Commissioner in this behalf will be authorized to conduct audit under Section 66.
(ICAI FAQ PUBLICATIONS : – 06-09-2017 -SPECIAL AUDIT : FAQ NO. 10)
Who can direct the registered person to get his records audited under Section 66?
An officer not below the rank of Assistant Commissioner may, with the prior approval of the Commissioner, shall issue a direction in FORM GST ADT-03 to such registered person.to get his records including books of account examined and audited by a Chartered Accountant or a Cost Accountant specified in the said direction.
(ICAI FAQ PUBLICATIONS : – 06-09-2017 -SPECIAL AUDIT : FAQ NO. 9)
Whether Special audit can be initiated after completion of scrutiny, enquiry, investigation?
No, special audit can only be initiated during the process of scrutiny, enquiry, investigation and not after completion of the same.
(ICAI FAQ PUBLICATIONS : – 06-09-2017 -SPECIAL AUDIT : FAQ NO. 8)
In what cases, special audit under Section 66 can be directed?
Special audit can be directed if at any stage of scrutiny, enquiry, investigation or any other proceedings before him, any officer not below the rank of Assistant Commissioner, having regard to the nature and complexity of the case, is of the opinion that the value has not been correctly declared or the credit availed is not within the normal limits, with the prior approval of Commissioner.
(ICAI FAQ PUBLICATIONS : – 06-09-2017 -SPECIAL AUDIT : FAQ NO. 7)
What action will be initiated when the audit conducted u/s 65(1) results in a demand?
Where the audit u/s 65(1) results in detection of tax not paid or short paid or
erroneously refunded, or input tax credit wrongly availed or utilized, the proper officer may initiate action under Section 73 or Section 74.
(ICAI FAQ PUBLICATIONS : -06-09-2017 AUDIT BY TAX AUTHORITIES : FAQ NO. 6)
What are the powers of the authorised officer in the course of audit?
During the course of audit, the authorized officer may require the registered person,
(i) to afford him the necessary facility to verify the books of account or other
documents as he may require
(ii) to furnish such information as he may require and render assistance for timely completion of the audit.
(ICAI FAQ PUBLICATIONS : -06-09-2017 AUDIT BY TAX AUTHORITIES : FAQ NO. 5)
What is the time limit for completion of the audit under Section 65(1) and whether the same can be extended?
The audit under Section 65(1) shall be completed within a period of 3 months from the date of commencement of audit. The period of completion of audit can be further extended by a period not exceeding 6 months by the Commissioner for reasons recorded to be in writing.
(ICAI FAQ PUBLICATIONS : -06-09-2017 AUDIT BY TAX AUTHORITIES : FAQ NO. 4)
Should the registered person be informed in advance, prior to conduct of audit?
The registered person shall be informed, by way of a notice, in Form GST ADT-01 (as per Chapter XI- Assessment and Audit of the CGST Rules) sufficiently in advance, not less than 15 working days, prior to the conduct of audit in the manner prescribed.
(ICAI FAQ PUBLICATIONS : -06-09-2017 AUDIT BY TAX AUTHORITIES : FAQ NO. 3)
Whether any reason to believe or evidence is required for initiate audit under Section 65?
No, Section 65 does not specify any such requirements. Commissioner can initiate audit on any taxable person for such period, at such frequency and in such manner as may be prescribed.
(ICAI FAQ PUBLICATIONS : -06-09-2017 AUDIT BY TAX AUTHORITIES : FAQ NO. 2)
Who is authorised to undertake the audit of a registered person?
The Commissioner of CGST/Commissioner of SGST or any officer authorised by him, by way of a general or a specific order, may undertake audit of any registered person for such period, at such frequency and in such manner as may be prescribed.
(ICAI FAQ PUBLICATIONS : -06-09-2017 AUDIT BY TAX AUTHORITIES : FAQ NO. 1)