Question
My Pvt Ltd has very little turnover this year. Do I still need a statutory audit?
Answer
Yes. Statutory audit is compulsory for every company registered under the Companies Act 2013, irrespective of turnover, profit or whether any business was carried on. Even a dormant or zero-turnover private limited company must have its annual accounts audited by a practising chartered accountant. The company must appoint its first auditor within 30 days of incorporation, and thereafter at the AGM (filed in Form ADT-1). This is different from a tax audit, which depends on turnover thresholds. So a Pvt Ltd may need a statutory audit even when no tax audit applies.
This answer is general information based on the law as it stood when written and is not professional advice on your specific situation. Verify the current position and consult a qualified professional before acting. See our disclaimer.