The Finance Department, Puducherry on May 11, 2022 has issued Instructions on Appointment of Annual External and Tax Auditors for Autonomous Bodies/ Societies/ PSUs/ Corporations, etc.
The following has been stated namely: -
• All Autonomous Bodies/ Societies/ PSUs/ Corporations, etc. shall submit necessary proposals, with all relevant information/particulars furnished as prescribed, through their Nodal Departments, at least one month before the due date of external audit, for the appointment of an external auditor and tax auditor, to the Finance Department.
• Such proposals shall comprise of a list of three Auditors selected from the list of CAG empanelled auditors along with their willingness letters and fees quoted by the Auditors. The Finance Department may normally choose and appoint the annual auditor from the list of the three Auditors suggested, and finalise the fee to be paid to the auditor.
• The Autonomous Bodies/Societies/ PSUs/ Corporations, etc. shall strictly adhere to the timelines laid down for the completion of the audit under the respective statutes applicable to them. Further, all the Auditee Entities shall comply with the Income Tax Return filing compliances/MCA Filing compliances/ Society Return filing compliances within the due dates.
• The same audit firm shall not be appointed as both the Internal Auditor and the External Auditor or Tax Auditor for a particular entity for the same accounting year. However, external auditor and tax auditor can be the same for that entity.
[Notification No. 635/FD/FZ/2022]
