Tax Audit under Section 44AB (AY 2026-27): Thresholds, Forms and Due Dates

Updated 2026-08-02 · By KyaTax · 7 min read

A tax audit under Section 44AB is a review of your accounts by a Chartered Accountant, reported in Form 3CD (with 3CA or 3CB). Here is when it typically applies for FY 2025-26.

Turnover and cash test

Business: audit generally applies if turnover exceeds ₹1 crore. The limit rises to ₹10 crore if cash receipts and cash payments are each below 5% of the total — i.e. a largely digital business.
Profession: audit applies if gross receipts exceed ₹50 lakh (the ₹10 crore relaxation does not apply to professions).
Presumptive-scheme cases have their own triggers.

Forms and dates

Item	Detail
Audit report form	3CA/3CB + 3CD
Audit report due	30 September 2026
ITR due (audit cases)	31 October 2026

Note the revised Clause 22 of Form 3CD requires detailed reporting of MSME payments (linked to Section 43B(h)) — so your books must track MSME dues carefully through the year.

Important: This article is general information based on laws, notifications and public sources current as of August 2026. It is not legal, tax, accounting or professional advice or opinion, and must not be relied on for any decision. Tax and legal rules change frequently and their application depends on your specific facts. Please verify the latest position and connect with a KyaTax expert or your professional advisor before acting.

Rules change often and how they apply depends on your exact numbers and facts. Don't guess on whether a tax audit applies to you — get a qualified professional to review your case.

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Frequently asked questions

Is my business liable for tax audit?

It depends on turnover, your cash-transaction ratio, and whether you are in a presumptive scheme. The ₹1 crore/₹10 crore/₹50 lakh tests each have conditions — have a CA confirm your position.

What is the tax-audit due date for FY 2025-26?

The audit report is due by 30 September 2026 and the ITR (audit cases) by 31 October 2026, unless extended.

What is the penalty for missing a tax audit?

Section 271B provides a penalty for failure to get accounts audited/furnish the report, subject to reasonable-cause relief. Speak to a professional if you are at risk.