THE CENTRAL GOODS AND SERVICES TAX ACT, 2017
AUDIT
Section 66: Special audit. (Relevant Rule 102)
(1) If at any stage of scrutiny, inquiry, 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 and the
interest of revenue, is of the opinion that the value has not been correctly
declared or the credit availed is not within the normal limits, he may, with
the prior approval of the Commissioner, direct such registered person by a
communication in writing to get his records including books of account examined
and audited by a chartered accountant or a cost accountant as may be nominated
by the Commissioner.
(2) The chartered accountant or cost accountant so nominated shall, within the
period of ninety days, submit a report of such audit duly signed and certified
by him to the said Assistant Commissioner mentioning therein such other
particulars as may be specified:
Provided that the Assistant Commissioner may, on an application made to him in
this behalf by the registered person or the chartered accountant or cost
accountant or for any material and sufficient reason,
extend the said period by a further period of ninety days.
(3) The provisions of sub-section (1) shall have effect notwithstanding that
the accounts of the registered person have been audited under any other
provisions of this Act or any other law for the time being in force.
(4) The registered person shall be given an opportunity of being heard in
respect of any material gathered on the basis of special audit under
sub-section (1) which is proposed to be used in any proceedings against him
under this Act or the rules made thereunder.
(5) The expenses of the examination and audit of records under sub-section (1),
including the remuneration of such chartered accountant or cost accountant,
shall be determined and paid by the Commissioner and such determination shall
be final.
(6) Where the special 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.