Tax Audit

Overview

Tax audit is a crucial annual compliance requirement, necessitating the preparation of Form 3CD which entails critical analysis of books of accounts and financial statements. This process can be time-consuming and challenging for organisations due to the complexity and volume of data required from numerous sources.

Our ‘Tax Audit’ solution offers a comprehensive web-based solution that assists in the automation and management of the clause-wise reporting requirements (E.g. Clause 34 and 44) of the Tax Audit Report. By automating data collation and processing through direct integration with ERP systems, manual data entry is eliminated, thus saving time and efforts. Additionally, it provides the auditor with direct access to information through the tool, eliminating the sharing of sensitive information over email.

How BDO UAE Can Help

• Cloud-based Solution

A web-based platform accessible from anywhere, enabling automation of the reporting requirement of Form 3CD

• Tax Logics

Critical analysis of books of accounts and financial statements and information available through IT Portal/ Traces or any third-party websites facilitated through inbuilt tax logics, ensuring accurate compliance with tax laws

• Maker-to-Checker Workflow

Smooth flow of information from the maker to the checker level, allowing for comprehensive review and verification of data

• Rule-based Engine

A unique approach of setting up a rule-based engine for identifying the transactions at each clause level

• Penalty Avoidance

Assistance to taxpayers in avoiding penalties and fines by ensuring compliance with income tax annual filings 

• Automated Data Extraction

Seamless integration with ERP systems, third-party APIs, and other BDO India solutions for automated data extraction, thereby saving time and efforts in data collection and providing a comprehensive view

• Proactive and Assessment Preparedness

Enhanced readiness for audits and assessments through proactive features that streamline compliances by adhering to standardised processes 

• Summary Dashboard & Quick Stats

Summary dashboards and quick statistics to track the status and completeness of clauses, providing insights at a glance

• Reports, Dashboards and Analytics

Generation of comprehensive reports and customisable dashboards for easy monitoring and analysis of tax audit compliance. Summary dashboards and quick statistics to track the status and completeness of clauses, providing insights at a glance

• Past Data Through JSON Import

Fetching of past data (e.g., brought forward losses, WDV of block of assets, etc.) from the previous year’s Json file, thereby saving manual efforts

• Digitisation of Historical Data Storage

Storage of historical data and working documents to effectively manage litigation and reference information on past audits

• Master Data Management

Efficient management of master data, ensuring accuracy and consistency throughout the tax audit process

• Calculation Engine

The application has inbuilt logics to perform calculations as required by the respective clauses (e.g. 14A disallowance)

• Clause-wise Report Generation

Generates clause-wise reports in the format required by the government utility, ensuring accurate and standardised reporting

• Automated Reconciliation for Clause 34a and Clause 44

Auto-reconciliation of Clause 34a and Clause 44 by fetching details from multiple sources and populating data as per the statutory format