| Checklist for Internal Audit of Taxation | |
| Sr no. | Particulars |
| A | Check for applicability of various Acts |
| 1 | Income Tax |
| 2 | VAT |
| 3 | CST |
| 4 | Excise Duty |
| 5 | Service Tax |
| B | Payment |
| Check that | |
| 1 | Payment is made before due date by Authorised person |
| 2 | Proper due date chart is maintained and displayed. |
| 3 | The Unit Head intimates the Asst Taxation Manager about the statutory payments through mail/hard copy before 3 days of the due date. |
| 4 | Copy of challans is sent to Asst Taxation Manager by 10th of next month |
| 5 | Monthly consolidated report in prescribed format for all statutory payments is forwarded to Asst Taxation Manager |
| 6 | All the financials are certified by Unit Head |
| C | Filing & Checking of Returns |
| Check that | |
| 1 | All the challans and returns are submitted directly by the unit. |
| 2 | The same is verified by Asst. Taxation Manager before filing and confirmation sent |
| 3 | All legal compliances are fulfilled by Unit Head and the same is informed to ATM |
| 4 | The following returns are timely filed |
| i | e TDS Return |
| ii | Excise Return: |
| iii | VAT Return: |
| iv | Service tax Return: |
| v | ESI & PF Return: |
| D | Scrutiny/ Audit objection / Query from Govt. Department |
| Check that | |
| 1 | The information of the notice received by the unit from the department (i.e. Income Tax, Sales Tax etc.) is sent to the Asst Taxation Manager by the Unit Head. |
| 2 | Asst Taxation Manager checks the status of scrutiny/ audit objection/ query etc. |
| 3 | Asst Taxation Manager prepares the reply of the order / query received by gathering information requirements from Unit Head and send a copy to Unit Head |
| E | General |
| Check that | |
| 1 | Any amendment in the applicable act is informed by the Asst Taxation Manager to the Unit Head with the due date of applicability. |
| 2 | Unit Head follows the Notification / circular (Direct & Indirect tax) issued by Govt. when informed by the Asst. taxation manager. |
| 3 | The following certified details are provided by Unit Head to ATM – |
| i | Challan of tax payment |
| ii | Ledger of the account. |
| iii | Account statement of party / Purchase / sales etc. |
| iv | Rate of TDS/ VAT/ CST/ Excise Duty / Service tax / PF / ESI |
| v | Statement of VAT-7,VAT-8 & VAT-9 |
| vi | Details of statutory forms (VAT forms) used during the period. |
| vii | Ledger of VAT / Excise / Service Tax |
| viii | Return shall be Certified / verified by Unit head. |
| ix | Return shall be authorized by taxation Dept. |
| x | Return shall be filed on due date |