“Revised Tax Audit under Section 44AB: What Chartered Accountants Must Prepare For”

The ICAI’s Exposure Draft on Guidance Note under Section 44AB introduces an evolved framework for tax audits.

  • Clarity on presumptive taxation thresholds.
  • Mandatory reporting of MSME payments in compliance with the 2025 notification.
  • Enhanced integration between Form 3CD and GST data.
  • Emphasis on ethical conduct and digital verification through AI-based scrutiny.

These changes require firms to modernize their audit processes and adopt data-driven documentation. For practicing Chartered Accountants, it’s an opportunity to position themselves as compliance partners in India’s new-age financial ecosystem.

“Finance Act, 2025: 7 Key Amendments That Will Impact You”

The Finance Act, 2025 brings significant amendments to the CGST, IGST, and Income-tax Acts.

The most discussed change is the clarification of Input Service Distributor (ISD) provisions — enabling ISDs to distribute Input Tax Credit (ITC) even for reverse charge mechanism (RCM) supplies. This eliminates ambiguity and ensures seamless inter-branch credit flow.

Other noteworthy updates include:

  • Expansion of “local authority” definitions for administrative clarity.
  • Streamlined GST refund and compliance processes.
  • Strengthened provisions for digital audit trails in income-tax administration.

For corporates and consultants, this Act signals the government’s emphasis on data consistency, credit transparency, and reduced litigation — a move aligning tax systems with digital India’s ethos.

“GST 2.0 Is Here: How the 2025 Reforms Will Transform Indian Businesses”

The 56th GST Council Meeting (September 2025) unveiled what is being called “GST 2.0” — a long-awaited reform to simplify India’s indirect tax system.

The core highlights:

  • A three-rate structure: 5%, 18%, and 40% (luxury/sin goods).
  • Simplified compliance for MSMEs, including quarterly returns with auto-populated ITC.
  • Revised MRP guidelines effective September 22, 2025.
  • Real-time credit reconciliation under the GST Invoice Management System.

For small taxpayers, GST 2.0 is a breath of relief — with reduced filing frequency, automated reconciliation, and less manual intervention. Businesses holding unsold stock before September must revise MRPs in line with new slabs.