Qualifications, Rights and Duties of Auditor

Introduction

The fundamental aspects of auditing are, objectives, techniques and principles of auditing, preparation for an audit, internal audit and internal check, vouching, verification and valuation of assets and liabilities, etc. These aspects are applicable to the audit of all types of business entities. However audit of business concerns other than corporate entity is not mandatory. 

But in the case of a joint stock company, the audit is a statutory requirement under the Companies Act, 2013. Therefore, provisions regarding appointment of a company auditor; his qualifications; disqualifications; powers; duties, etc. are also governed by the Act.

As per the Indian Companies Act, 2013, it is compulsory for every company, whether public or private limited, to get its accounts audited by a qualified auditor. Therefore, it is essential that the auditor of a company should be familiar with the provisions of the Companies Act relating to his appointment, duties and rights.