THE CENTRAL GOODS AND SERVICES TAX ACT, 2017
AUDIT
Section 65: Audit
by tax authorities.
(1) The Commissioner 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.
(2)
The officers referred to in sub-section (1) may conduct audit at the place of
business of the registered person or in their office.
(3) The registered person shall be informed by way of a notice not less than
fifteen working days prior to the conduct of audit in such manner
as may be
prescribed.
(4) The audit under sub-section (1) shall be completed within a period of three
months from the date of commencement of the audit:
Provided
that where the Commissioner is satisfied that audit in respect of such
registered person cannot be completed within three months, he may, for the
reasons to be recorded in writing, extend the period by a further period not
exceeding six months.
Explanation.––For the purposes of this sub-section, the expression
“commencement of audit” shall mean the date on which the records and other
documents, called for by the tax authorities, are made available by the
registered person or the actual institution of audit at the place of business,
whichever is later.
(5)
During the course of audit, the authorised 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.
(6) On conclusion of audit, the proper officer shall, within thirty days,
inform the registered person, whose records are audited, about the findings,
his rights and obligations and the reasons for such findings.
(7) Where the audit conducted under sub-section (1) results in detection of tax
not paid or short paid or erroneously refunded, or input tax credit wrongly
availed or utilised, the proper officer may initiate
action under section 73 or
section 74.