India’s ICAI sets 60-audit cap per CA from FY26–27

The Institute of Chartered Accountants of India (ICAI) has introduced a ceiling of 60 taxation audit assignments per chartered accountant (CA), effectual from the fiscal twelvemonth 2026–27 (FY26–27), the Times of India reported.

The ceiling volition use to each taxation audits conducted nether Section 44AB of the Income-tax Act, 1961, and is effectual from 1 April 2026.

The bounds is designed to tighten power implicit however audit enactment is allotted and executed wrong concern structures, peculiarly successful larger companies.

Under the caller rule, the headdress of 60 volition relation arsenic a consolidated yearly bounds for each ICAI member.

It volition use irrespective of whether the chartered accountant signs reports arsenic an idiosyncratic practitioner oregon arsenic a spouse successful 1 oregon much companies.

As a result, adjacent if a CA is associated with respective practices, the full fig of taxation audits that tin beryllium signed by that idiosyncratic successful a azygous fiscal twelvemonth cannot transcend 60.

The ICAI has besides made it wide that partners successful a institution volition not beryllium allowed to pool, transportation oregon utilise the unexhausted quota of different partners.

The determination is directed astatine curbing practices observed successful immoderate ample companies, wherever the evident audit capableness was expanded by utilizing the names of aggregate partners, including “so-called namesake partners”, portion astir of the audit enactment was efficaciously carried retired by a smaller group.

The ICAI has further clarified that revised taxation audit reports and taxation audits conducted nether presumptive taxation schemes volition beryllium excluded from the number of 60 assignments.

Earlier this month, the ICAI expanded the scope of mandatory implementation for its Audit Quality Maturity Model.

"India’s ICAI sets 60-audit headdress per CA from FY26–27" was primitively created and published by The Accountant, a GlobalData owned brand.

The accusation connected this tract has been included successful bully religion for wide informational purposes only. It is not intended to magnitude to proposal connected which you should rely, and we springiness nary representation, warranty oregon guarantee, whether explicit oregon implied arsenic to its accuracy oregon completeness. You indispensable get nonrecreational oregon specializer proposal earlier taking, oregon refraining from, immoderate enactment connected the ground of the contented connected our site.