Co-Op Societies

The Registrar of Co-operative Societies plans to allot audit work to a chartered accountant firm. The responsibility is fixed on them to submit a report within 60 days from the date of issuance of the letter.

I suggest that the responsibility of audit and submission of report with should wrest with the elected members of the managing committee of the respective co-op society. As a matter of fact, most of the times these societies are not interested in getting the audit done.

Under the IT Act, 1961, it is the duty of an assessee, wherever tax audit is mandatory, to furnish the tax audit report along with the IT return; otherwise there is a heavy penalty of Rs 1 lakh. Such penalties should be levied on the co-op societies as well.