Introduction - Manual for Quality Assurance Review (QAR) and Audit Performance Index (API), 2021 [CBIC] - GST

CHAPTER 2 QUALITY ASSURANCE REVIEW 2.1 INTRODUCTION 2.1.1 Goods and Services Tax Audit Manual 2019 (GSTAM 2019) laid down the principles and policies of audits conducted under CGST Act, 2017 and the Rules made thereunder. Guidelines provided therein are intended to ensure that the audit of taxpayers is carried out in a uniform, efficient, and comprehensive manner, adhering to stipulated principles and policies and as per the best international practices. The system of audit adopted by the department therein is process-oriented. Audit Commissionerates are required to ensure that the audits of taxpayers are strictly being conducted in adherence to guidelines and procedures prescribed in GSTAM 2019 . Quality of Audits can be measured by quantifying the level of adherence to the audit process prescribed in the GSTAM 2019 by the auditors. 2.1.2 The GSTAM 2019 recognizes due importance of other factors such as skill level and knowledge base of auditor, formation of audit teams with an optimum balance of skills, the involvement of senior officers in providing inputs and guiding the audit process particularly in complicated audits etc., which are also crucial to achieve the desired results. 2.1.3 Quality Assurance Review (QAR) is carried out to evaluate the performance of the Audit Commissionerates in terms of their adherence to the process of audit prescribed in GSTAM 2019 .