Home / Appointment of Auditors
What is Appointment of Auditors ?

All the government and non-government organizations have to keep track of their accounts and audit reports as the financial year approaches. The financial statements of these firms need to be thoroughly analyzed and assessed before submitting them to the authorized departments. This assessment of financial documents is done by an Auditor.Any individual trained to review and verify accounting data and recognised as a Chartered Accountant (CA) under the Chartered Accountant Act 1949 is deemed to be an auditor.

Documents required for Auditor’s appointment
  • Company’s Board resolution copy
  • NOC from old auditors
  • A written consent from the Auditor to such appointment
  • A certificate from the Auditor that he/she/it is not disqualified to be appointed as an Auditor under section 141
  • Copy of the intimation sent by company to the auditor
  • Name of the new auditor firm
  • Address of the new auditor firm
  • Email address and PAN number
  • A number of years for which the firm is appointed
  • Details of the resigning auditor firm
  • Appointment date of the new auditor firm
  • Digitally signed Form ADT-1 (along with the signature of the director of the company)
Procedure for Appointment of Auditor
  • It is optional file ADT-1 for the appointment process of the first auditor. Once the consent of an Auditor is obtained, then the Board of Directors of the Company can execute a resolution to appoint the Auditor.
  • The appointment of the auditor must be conveyed to the Registrar of Companies within fifteen days of appointment.
  • The first auditor can hold office from the conclusion of that meeting until the conclusion of its sixth annual general meeting.
  • the company should place the matter relating to the appointment of an auditor for ratification by members at every annual general meeting.
    ...No Content