Form 3CD is also an audit report form which is prepared by tax auditors of specific section of Assessee. The income tax department is enforced rules to use the form 3CD. Any firm which has turnover exceed than 1 crore. In case of professional income needs exceed than 25 Lacs.
Form 3CD is affected by rule 6G (2) of Indian income tax act 1961 & section 44AB of it. It is used at the time of to file income tax return in the India.
You need to join Form 3CA & 3CB as annexure of the form 3CD.
When any firm prepared form 3CD attached with form 3CA &3CB it is submitted to the auditing authority of India. The Tax auditing authority cross checking of information contain into form 3CD.
Form 3CD Applicability
form 3CD is filled up by tax auditors who is auditing your Books of account. it is usable at the time of income tax return file. it is mandatory document to file Income tax return.
it is apply as per rule 6G(2) of income tax act 1961.
Component of Form 3CD
There are two part of form 3CD
Part A contains –
Name of the Tax Assessee
Address of tax Assessee
PAN number of the Tax Assessee/Payer
Status of the tax payer
The books of accounting are as per financial Year starts from 1st April and end on 31st march.
Assessment year of the tax payer
Part B- contains
Profit Sharing Ratio in firm/AOI & changes in profit sharing ratio in the firm/ AOI
Nature of Business/ profession & changes in it
List out the account books & address where the Account books are kept & list the document which are join with account books
If a Profit & loss account include any contingent profit then indicate that amount.
Previous year’s method of accounting.
Form 3CD Utility
you can download form 3CD utility from here Download Form 3CD Utility.