In a recent post on X (formerly Twitter), Chartered Accountant Dinesh Wadera highlighted alarming practices in the tax audit sector. He pointed out that some individuals are offering Unique Document Identification Numbers (UDINs) for as low as Rs.1,000 and conducting tax audits for Rs. 2,500 without proper verification.
“If some people offering UDIN for ₹1000 and doing tax audits for ₹2500 that too without any verification, then tell me—what’s left in this profession? What’s left in traditional CA practice?” the tweet read.
Wadera, a member of the Institute of Chartered Accountants of India (ICAI) and an educator, expressed concern over these unethical practices. He emphasized that such actions compromise the integrity of the auditing process and undermine the trust placed in financial reporting.
The UDIN system was introduced by ICAI to ensure authenticity and prevent misuse of chartered accountants’ signatures.However, the emergence of these practices suggests a need for stricter enforcement and awareness among professionals.
The ICAI has yet to issue an official statement regarding these concerns. Nevertheless, Wadera’s post has sparked discussions within the accounting community about maintaining ethical standards and the importance of upholding the profession’s credibility.
The ICAI (Institute of Chartered Accountants of India) recommends minimum indicative fees for tax audits. For Class A cities, the minimum is Rs. 40,000 and above, while for Class B cities, it’s Rs. 30,000 and above. These fees are not mandatory, and CAs can charge more based on the complexity of the audit.
