Singsang Ltd., a registered company under the GST law in the State of Uttar Pradesh, is engaged in the business of manufacturing and supplying…

CA Final · Indirect Tax Laws · RTP · January 2026
Singsang Ltd., a registered company under the GST law in the State of Uttar Pradesh, is engaged in the business of manufacturing and supplying electronic musical instruments. The company has an office and warehousing facility in Noida, Uttar Pradesh, from where it carries out its business operations and maintains all accounting and GST related records. On 10 th July, Singsang Ltd. received a notice for audit from the jurisdictional tax authority under section 65. Singsang Ltd. submitted all the records, books of accounts and supporting documents as sought by the tax authority on 25 th July. Subsequently, the tax audit team visited the premises of Singsang Ltd. in Noida on 8 th August for conducting the audit. Determine the time-limit within which the audit under section 65 is required to be completed assuming that no extension is permitted in the given case.

Suggested Answer and Working Notes:

According to section 65 (4) , the audit must be concluded within 3 months from the date of commencement. The commencement of audit is defined as the later of the following two events: 1. The date on which the taxpayer provides the records and other documents as requested by the tax authorities; or 2. The date on which the audit is actually carried out at the taxpayer's place of business. In this scenario, the relevant dates are: Records and documents were made available by Singsang Ltd. on 25 th July.The tax authority physically conducted the audit at the office of Singsang Ltd., Noida, Uttar Pradesh on 8 th August. The later date is 8 th August, which is therefore considered as the date of commencement of audit. Accordingly, the audit under section 65 (4) must be completed within three months from 8 th August.

Topics: Assessment and Audit

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