An Income Tax Audit is a critical compliance requirement under the Income Tax Act, 1961 for NGOs that cross specified income thresholds. This audit ensures that the NGO’s income, expenditures, donations, and compliance with tax provisions are accurately reported and lawfully structured. It is also essential for maintaining benefits under Section 12A and 80G, and for continued eligibility for government grants, CSR funds, and foreign donations.

At NGOedge, we specialize in conducting Income Tax Audits for NGOs, ensuring all statutory requirements are met, and your organization remains compliant, credible, and tax-efficient.

Why Income Tax Audit is Important for NGOs

✅ Mandatory Under Income Tax Act
Required for NGOs whose gross receipts exceed ₹2.5 lakh per annum and who wish to claim tax exemption under Section 12A.

✅ Maintain 12A & 80G Registration
Audited financials are necessary for renewal and continued benefits under these critical tax exemption sections.

✅ Accurate Filing of Income Tax Return (Form ITR-7)
The audit ensures all income and expenditure is reported correctly, avoiding future notices or scrutiny.

✅ CSR & Donor Transparency
Donors, especially CSR partners, expect tax-compliant NGOs with proper audit trails and verified accounts.

✅ FCRA Compliance Support
For NGOs with FCRA registration, audited financials are necessary for FC-4 filing and reporting to the Ministry of Home Affairs.

Who Needs an Income Tax Audit?

• NGOs registered as a Trust, Society, or Section 8 Company

• NGOs with annual income exceeding ₹2.5 lakh

• NGOs availing tax exemptions under Section 12A/80G

• NGOs receiving foreign donations or CSR grants

Scope of NGOedge Income Tax Audit Services

🔸 Review of financial statements: Receipts & Payments, Income & Expenditure, Balance Sheet
🔸 Verification of donations (domestic & foreign), grants, and their utilization
🔸 Expense and payment validation in line with tax rules
🔸 Filing of Form 10B with the Income Tax Department
🔸 Preparation of Audit Report with Annexures
🔸 Recommendations on improving compliance and fund utilization
🔸 Advisory on TDS, GST, 80G renewals, and ITR filing

Documents Required for Income Tax Audit

• PAN Card and Registration Certificate of the NGO

• Audited Books of Accounts

• Bank Statements and Cash Book

• Donation Receipts and Grant Agreements

• Expense Vouchers and Payment Records

• Details of Assets & Liabilities

• Form 10 and other declarations (if applicable)

• Previous Year’s Audit Report and ITR copy

Why Choose NGOedge for Your Income Tax Audit?

At NGOedge, we combine deep sector knowledge with financial precision to ensure that your Income Tax Audit is more than just a formality — it becomes a tool for strengthening compliance and attracting sustainable funding.

What Sets Us Apart:

✅ Specialized Audit Team with NGO Expertise
✅ End-to-End Handling of Form 10B and ITR-7
✅ Compliance with 12A, 80G, FCRA, CSR Guidelines
✅ Tax Planning & Advisory for NGOs
✅ Timely Completion & Error-Free Reporting
✅ Ongoing Support for Renewals and Future Audits

Stay tax-compliant. Secure your exemptions. Build donor confidence.
Get your Income Tax Audit done by professionals at NGOedge — your trusted partner for NGO compliance, growth, and governance.