Books of account and tax audit (sections 62 and 63)
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Updated 03 Oct 2026
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AI summary
Who must keep books, who needs a tax audit, and the audit and ITR dates for AY 2026-27.
4 sections
Books of account (old 44AA)
Businesses must keep books if income is above ₹2.5 lakh or turnover above ₹25 lakh in any of the last 3 years. Specified professionals must keep them if receipts exceed ₹1.5 lakh. Keep them for at least 6 years from the end of the relevant year, and longer if any proceeding for that year is pending.
Tax audit (old 44AB)
| Case | Audit needed if |
|---|---|
| Business | Turnover above ₹1 crore |
| Business with cash receipts and payments each ≤ 5% | Turnover above ₹10 crore |
| Profession | Receipts above ₹50 lakh |
| Presumptive business declaring lower profit | Income above basic exemption limit |
Due dates for AY 2026-27 (FY 2025-26, under the 1961 Act)
| What | Original | Extended |
|---|---|---|
| Tax audit report | 30 September 2026 | 21 October 2026 |
| ITR for audit cases | 31 October 2026 | 21 November 2026 |
| Transfer pricing cases (Form 3CEB) | 30 November 2026 | — |
The CBDT announced the extension on 29 September 2026.
Penalty
Not getting the audit done: 0.5% of turnover, up to ₹1.5 lakh.
In Hisab Central, the Trial Balance, ledger reports and GST reconciliation are what your auditor asks for first. Close the year and lock the period before sharing.
Sources
PreviousPresumptive taxation: sections 58, 59 and 60 (old 44AD, 44ADA, 44AE) Next in Business Income & Audit Cash limits, MSME payments and other disallowances
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