ROUTINE AUDIT CHECKLIST

Name of the Client:

ACCOUNTING YEAR:
Sr. No. Checked By Yes
Areas

A OPENING BALANCES as on ________

1 Whether closing entries for last year have been passed
correctly?
2
Whether there are any changes in opening balances?

3
Whether there are any changes in groupings or heads

B CASH BOOK – RECEIPTS & PAYMENT.

1 Have you checked correctness of:
2 Account Head/Account Code
3 Date
4 Amount
5 Name of party
6 Quantities where applicable.
7 Are the vouchers signed by an authorized official?
8 Are the vouchers properly supported by necessary
external evidence and/or Internal documentation?
9 Does the transaction relate to the
10 Accounting year under audit?
11 Have you undertaken physical cash verification?
12 Have you ensured that cash book has a positive balance
on daily basis?
13
Is there any incident of heavy cash balance or substantial
cash withdrawn? Check reasons there of.

14 Whether there is any withdrawal/ payment above Rupees

10000/- in cash?

C BANK BOOK – RECEIPTS & PAYMENT.

1
Check bank reconciliation statements with bank book
2
Whether the balances in the reconciliation statement
match with actual balances as per statements?

3 Check reconciliation entries with clearance in next

month’s bank statement?
4
Whether there is any difference in the reconciliation?

5 Whether there are long outstanding entries requiring

adjustments in the Reconciliation statements.

6 Whether there is any Cash deposi & witdrawl on same

day or with same parties on same day.
7 Have you listed entries which are :
8 Appearing in bank statement but not
9 Appearing in bank book.
10 Have you checked credit/debit for bank interest
11 Have you checked contra entries for:
12 Cash withdrawals and deposits and
13 Ensured that they appear on some/same date.
14 Are the payments properly supported by necessary
external Evidence and/or Internal documentation.

D PURCHASES
1 Have you checked correctness of:
2 Date
3 Amount
4 Name of party
5 Rate per unit
6 Whether rate are inclusive or exclusive of tax
7 Does the transaction relate to the Accounting year under
audit.
8 Quantities in Invoices with the delivery Challans/
GRN/P.O's
9 Are the invoices properly authorised and approved.
Check goods received is as per PO(if any)
Check whether invoice are serially
numbered(computerised numbered)
 Check whether goods received are trf/accounted under
proper stock item at proper cost.
Check discount on cash purchase & interest paid on late
payment of bill
Vat / CST charged.
Check purchase return.
10 Whether supporting Goods Receipt Note (GRN/GIN) and
other necessary documentation obtained.
11 Whether there are any pending GRN to be entered in the
system?
12 Whether there are any missing GRN?
13 Have you checked succeeding year‘s vouchers to ensure
that no transaction relating to current year is recorded in
the succeeding year.

14 Whether the Purchase is made as per Purchase order and

the same is verified?
15 Check whether debit note are passed for rejections and
whether proper reasons are mentioned?

E SALES
1 Have you checked correctness of:
2 Date
3 Amount
4 Name of party
5 Quantity
6 Whether the sales are made against Purchase Order and
whether the same is verified?
7 Have you checked entries in stock Records.
check rate of discount
Interest charged if payment received after due date. ROI
& TDS.
Terms of payment/ receipt.
8 Please note the sales voucher number that are cancelled
and the reason for the same.

F JOURNALS
1 Have you checked correctness of:
2 Account Head/Account Code
3 Date
4 Amount
5 Name of party
6 Are the vouchers properly authorised and supported by
necessary external evidence and/or Internal
documentation.

7 Does the transaction relate to the Accounting year under

audit.
8 Have you checked succeeding year‘s vouchers to ensure
that no transaction relating to current year is recorded in
the succeeding year.

9 Are all journal vouchers supported By necessary

evidence/explanation.
10 What is the nature of entries entered through Journal
Vouchers?
11 Purchases
12 Sales
13 TDS
14 Provisions
15 Debit Notes
16 Credit Notes
17 Year End/ closing entries

G SALARY AND WAGES

1 Have you checked the salary summaries In the cash
book/bank book/journal.
2 Whether there are any outstanding advances for a long
period?
3 Check whether there are any advances in the name of
employees who have left the organization
4 Whether the advances are adjusted as per the rules?

5 Provision for Gratuity & leave encashment

6 Check ful & Final setlement o those employee who had
left.
7 Have you checked increments with
Approvals/agreements.
8 Have you checked statutory deductions for :-
1. Provident Fund
2. E.S.I.C.
 3. Income Tax
4.Profession Tax
Any other Items
9 Have you correlated entries for payments of above
deductions.
10 Have you checked overtime payments with necessary
register and company’s rules.
11 Have you checked payments of Salary and wages
registers.
12 Have you checked calculations of Bonus with reference to
provisions of payments of Bonus Act/ Agreements.

13 Have you checked incentive payment with its basis.

Adhoc incentives to be listed.
14 Have you checked payments to contractors/casual
workers. Have statutory deductions been made
therefrom.
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FINALISATION CHECKLIST
Name of the Client:
ACCOUNTING YEAR:
Sr. No. Checked By Yes
Areas

A STOCK RECORD
1 Raw Material and Stores.
2 Have you checked opening stock
From preceding year’s
inventories.

3 Check method of valuation

4 Stock reserve in case of branch
trf.
5 Have you checked receipts of raw
Materials while checking
purchases (GRN)

6 Have you checked issues with

Material issues Note
7 Have you traced closing stock
with Physical inventory sheets.
8 Have receipts/issues been
correlated with Debit
Notes/Credit Notes?

9 Have you correlated consumption

With production records?

10 Have you checked bifurcation of

Indigenous and imported raw
mate?

11 Have you checked year and stock

Inventories with statements
submitted to bank?

12 Have you checked consumption

with Excise and other statutory
records?
13 Have you checked materials
given/Received to/from others
for processing, and reconciled
with corresponding
receipt/dispatches of processed

14 Goods and processing charges?

15 Have slow-moving, damaged, and
Obsolete items been identified.

16 Have materials given/taken on

loan Been properly accounted
and, has Proper record been
maintained.

B FINISHED GOODS
1 Have you checked opening stock
From preceding years inventory.

2 Have you checked daily

production With reports/excise
records.

3 Have you correlated dispatches

with Delivery challans and excise
records

4 Have you reconciled opening

stock,Production, sales and
closing stock.

5 Has due care been taken to

identify Slow-moving and/or
obsolete items.

C CAPITALISATION OF ASSETS/
EXPENSES.
1 Have you checked correctness
of:
2 Account Head/Account Code
3 Date
4 Amount
5 Name of party
6 Does the transaction relate to the
Accounting year under audit.

7 Have you checked all addition to

Assets with account heads and
Approvals?

8 Have you checked capitalization

of Expenses including interest as
per Guidelines of Institute of
Chartered Accountants of India –
ICAI?

9 Have you checked sale/deletion

of Assets and working of
profit/loss on the same?

10 Check whether the rate of

Depreciation is as per the
Applicable Act.

D LEDGER SCRUTINY
1 Have you scrutinized
1. General Ledger
2. Debtors Ledger
3. Creditors Ledger
4. Loan Ledger
5. Staff Loan Register
6. Advance Ledger
2 Is the break up of year end
balance Available?
3 Have you scrutinized all expenses
Accounts to ensure that full
year’s Expenses have been
booked and no such expenses has
been booked which does not
accrue during the Year.
4 Have you scrutinized all revenue
Accounts to ensure that all
revenues accruing during the year
are accounted and credit has not
been taken for any revenue not
accruing during the year?

5 Have you scrutinized all asset

accounts to ensure that all assets
of the Company have been
properly accounted and that the
assets do not include any item
which does not represent assets
of the company?

6 Have you scrutinized all liability

accounts to ensure that all
liabilities are properly accounted
and that liabilities do not include
any item which does not
represent a liability of the
Company

7 Have you ascertained in case of

Creditors ledger
1. Advance unadjusted for more
than a reasonable time.
2. Non-payment of credit
balances for more than a
reasonable time.

Advance paid is not treated as

loan & and shall be justified.
3. Any transaction which does not
represent any transaction of
purchase/services and which is in
the nature of loans?

8 Have you ascertained in case of

Debtors Ledger
1. Outstanding for more than 6
months and otherwise.
 2. Outstanding exceeding a
reasonable time to determine
doubtful debts.

Interst charged on late receipt &

ROI.
Payment received is against
which invoice.
Terms of receipt.
3. Any transaction which does not
represent sale and which is in
nature of loan.

9 Have you scrutinized all

expenses Account in particular

1. Building repairs
2. Machinery repairs
3. Other repairs to check any
item of capital nature charged to
revenue of vice-versa

E STATUTORY PAYMENTS
1 Check whether all the statutory
payments are made within
reasonable time?

a) Excise through ER 1
b) Service Tax
c) Income Tax
d) TDS
e) Profession Tax of the Company

f)GST
2 Check whether there is any
delay in payment of taxes?

F OTHER RECORDS
1 Have you checked the Fixed
deposit registers, receipts and
applications
2 Have you reviewed statutory
records Required to be
maintained under the Companies
Act, 2013. Any issues Arising out
of that may be noted.

3 Have you enquired about :

1. Pending litigation
2. Pending tax litigation
3. Claims against the company
not
acknowledged as debts
4. Other contingent liabilities.
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