How Much Does a CA Charge for a Tax Audit in India?
Every business in India that crosses certain turnover limits must undergo a tax audit conducted by a Chartered Accountant (CA). But one of the most common questions business owners and freelancers ask is:
👉 “How much does a CA charge for a tax audit?”
The answer isn’t the same for everyone — it depends on turnover, complexity, and the CA’s experience. Let’s break it down.
Average Tax Audit Fees by Chartered Accountants
While CA charges vary, here’s a general idea of average audit fees in India:
✅ Small businesses & freelancers: ₹10,000 – ₹20,000
✅ Medium-sized firms (turnover up to ₹5 crore): ₹25,000 – ₹50,000
✅ Large companies (turnover above ₹10 crore): ₹75,000 – ₹2,00,000+
Big 4 audit firms (Deloitte, PwC, KPMG, EY) often charge significantly more, sometimes ₹5–10 lakhs for corporate audits.
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Factors That Affect CA Tax Audit Charges
✅ Turnover & Size of Business – Higher turnover means more detailed auditing.
✅ Nature of Business – Complex industries like finance or e-commerce may attract higher fees.
✅ Number of Transactions – Thousands of entries require more work.
✅ CA Firm Reputation – Established firms and senior CAs usually charge premium fees.
✅ Location – Charges in metro cities (Mumbai, Delhi, Bengaluru) are higher compared to smaller towns.
Tax Audit Thresholds (As Per Income Tax Act)
✅ Businesses with a turnover above ₹1 crore must undergo a tax audit.
✅ Professionals with gross receipts over ₹50 lakh are also liable.
✅ New provisions under Section 44AB allow presumptive taxation, reducing audit needs for smaller entities.
Knowing your threshold helps you estimate whether you even need a CA for a tax audit.
How to Save on Tax Audit Costs
✅ Negotiate fixed annual packages instead of one-time audits.
✅ Work with mid-sized CA firms — they often provide the same quality at lower prices than the Big 4.
✅ Maintain clean financial records — organised books reduce CA effort and fees.
✅ Compare multiple quotations before finalising your auditor.
Conclusion
A CA’s tax audit fees in India generally range from ₹10,000 for small businesses to ₹2 lakh+ for large enterprises, depending on complexity. For most small and medium enterprises, budgeting ₹20,000–₹50,000 annually is a safe estimate.
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