ICMAI Releases Handbook on GST Department Audit: 12 Chapter Guide with Reference Material and Case Laws [Download Handbook]

The Institute ofCost Accountants of India (ICMAI) has released the Second Edition of the “Handbook on GST Department Audit”. The Handbook, prepared by the Tax Research Department of the ICMAI serves as a guide that professionals can use to navigate the evolving framework of departmental audits under the Goods andServices Tax (GST) regime.

With theoretical explainers, practical reference, case laws and segregated chapters, the Handbook can be especially useful as the system shifts towards data and tech-driven verification and risk-based assessment methods.

In his message, CMA TCA Srinivasa Prasad - President of the ICMAI notes that GST has transformed India’s indirect tax ecosystem by promoting accountability and digital integration, with departmental audit emerging as a cornerstone of the framework.

The president underscored that audits are no longer inspection-driven but are increasingly insight-driven, shifting from mere identification of errors to fostering systemic improvement and nurturing trust between taxpayers and authorities.

CMA Neeraj Dhananjay Joshi, Vice President of the Institute, also described the handbook as a milestone publication that blends conceptual clarity with field-level practicality. He reiterated the role that departmental audits play in safeguarding revenue while encouraging voluntary compliance, and states that the handbook equips professionals with tools to address real-world audit challenges through procedural guidance and interpretative support

What the Handbook Contains

The handbook is divided into 12 chapters, beginning with an introduction to the GST audit system and its legal framework. Subsequent chapters cover legal provisions governing audits, objectives and principles of GST audits, and the detailed audit process including timelines, documentation and case selection criteria.

The guide also explains audit preparation, conduct of audit, post-audit reporting, issuance of show cause notices, and follow-up actions. Subsequent chapters deal with special and thematic audits, challenges and best practices for CMAs, capacity building for audit teams, and emerging trends such as process automation and use of advanced analytical tools.

Annexures as Practitioner Reference Tools

Beyond the 12 detailed chapters, the Handbook contains annexures that can be used by practitioners and departmental officers alike as ready reference material. The annexures include guidance on reading financial statements, detailed checklists for departmental audits, trial balances, statutory reports, and compilations of important provisions under GST law pertaining to supply, valuation, input tax credit, returns and refunds. The annexures also contain structured audit checklists across various GST compliance areas which can be used by professionals during actual audit proceedings .

In his message, CMA (Dr) Ashish P Thatte, Chairman of the Indirect Taxation Committee which prepared this Handbook explains that the development process centred around the provision of clear practical orientation, simplification of complex audit procedures, clarifying the flow of documentation and to address issues commonly encountered during GST departmental audits.

Click on the Blue Button Below to Access the Handbook on GST Department Audit - Second Edition.

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