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LEVY OF AUDIT COST

As per the provisions in the Tamil Nadu Co-operative Societies Act, 1983 and under Rule 103 of Tamil Nadu Co-operative Societies Rules 1988, Audit Fees and F R cost are being collected from Co-operative Institutions towards the audit work.


                Audit fees are levied according to the grade of the auditors who are conducting the audit and on the basis of the actual time taken for the audit of accounts of the Cooperative Societies concerned. The present rates of Audit fees are being collected as per G.O.Ms.No.340, Finance (CA) Department, dt: 21.09.2012.


The existing rate of Audit Fees as fixed in the G. O. Ms. No. 340 Finance (CA) Department, dated 21.09.12 are given below:

S.No.           Name of the Post                                                 Rate per day

                                                                                           Rs.           

 1.     Co-operative Audit Officer                                                              618

 2.     Selection grade Co-operative Audit Officer                                    637

 3.     Special Grade Co-operative Audit Officer                                      656

 4.     Senior Co-operative Auditor                                                           602

 5.     Selection Grade  Senior Co-operative Auditor                               620

 6.     Special grade  Senior Co-operative Auditor                                  639

 7.     Junior Co-operative Auditor                                                          338

 8.     Selection Grade Junior Co-operative Auditor                               349

 9.     Special Grade Junior Co-operative Auditor                                  359

 

(b) F.R.127 AUDIT:


                In respect of bigger societies having more transactions with multiple activities, auditors have been engaged under Fundamental Rule 127 terms, according to which, Auditors perform audit against the posts created and the average cost of establishment is recovered based on financial positions of the Societies. Taking into consideration of the present financial crisis of the Cooperative Institutions, the Government have reduced the levy of F.R Cost from 100% to 45% with effect from 21.09.2012.


The existing rate of F.R.Cost as fixed in the G.O.Ms.No.340 Finance(CA) Department, dated 21.09.12 are given below:

 

S.No.          Name of the Post                   

Average Pay

Pension 
Contribution. 

                                                                                  

Rs   

Rs.

  1.    Joint Director of Co-operative Audit 

34,950

4,670

  2.    Deputy Director of Co-operative Audit

33,950

4,570

  3.    Assistant Director of Co-operative Audit

32,750

4,450

  4.   Co-operative Audit Officer 

27,150 

           3,970

                               

 

  5.   Senior Co-operative Auditor

26,350

3,910

                                                   

 

 

  6.   Junior Co-operative Auditor

15,500

2,260

 

                Some of the societies like the societies of which all the members or a majority of them are Harijans/Fishermen, Training institutes, Supervising Unions, Jaggery manufacturing societies, Palmgur Federation and all Primary Agricultural Cooperative Banks (PACBs) working at loss are exempted from payment of Audit fees,. (Listed below)


The following categories of Societies are exempted from the payment of Audit Fees.

1. All Societies of which all the members or a majority of them are Harijans/ Fisherman.

2. All Primary Co-operative Banks working without profit other than Rural Bank, Agricultural Bank, Land Development Banks (Now Primary Co-operative Agricultural and Rural Development Bank) and Credit Unions.

3. All Co-operative Training institutes.

4. All District Co-operative  unions.

5. All Jaggery manufacturing Co-operative Societies.

6. All the Co-operative Fisherman Federation.

7. All the Hand Pounding of Paddy Workers Co-operative Societies.

8. .State and all the District PalmgurCooperative Federation.

9. .All the Bhoodan and Gramdhan Co-operative Societies.

10. Weavers Co-operative Societies which have not completed six Co-operative years from the date of commencement of Business.

11. Industrial Co-operative Societies and State Khadhi and Village Industries Board which have not completed five Co-operative years from the date of commencement of their business.

12. All Palm Leaf Products Manufacturing Co-operative Societies.

13. Large sized multipurpose Cooperative Societies.

14. Cactus Fibre products manufacturing cooperative societies.

All other Primary Co-operative Societies other than those mentioned in item No.1 to 14 which have not completed three Co-operative years from the date of Commencement of their business.


COLLECTION OF AUDIT FEES & F.R.COST


                The audit of bigger societies are being conducted throughout the year under F.R.127 terms by one or more auditors. As per F.R.127 terms, the cost of the audit post has to be recovered from the Co-operative institutions concerned. The F.R. Cost is fixed by the Government and is being collected cadre wise as per G.O.Ms.No.340, Finance (CA) Department, dated: 21.09.2012.


THE AUDIT FEES AND F.R. COST COLLECTION FOR THE PAST 5 YEARS ( INCRORES):


Year

Audit Fees
Rs. in Crores

F.R. Cost
Rs. in Crores

Total

2012-2013

2.10

9.25

11.35

2013-2014

3.39

10.13

13.52

2014-2015

3.64

09.76

13.4

2015-2016

3.53

10.11

13.64

2016-2017

3.13

10.24

13.37

2017-2018                

2.89

11.49

14.38

 

 

The audit fees and F.R cost (including Pension Contribution, Revenue Deposit) should be paid into the Government  account under the following heads of account as below :


AUDIT FEES

F.R. COST

0425-00-COOPERATION
101-Audit Fees
AA-Cooperation – Audit Fees relates to Director of  Cooperative Audit
2706 Non Taxation Fees – Audit.
(DPC 0425 00 101 AA 2769)

0425-00-COOPERATION
800 Other Receipts
AF Collection of Cost of Staff etc. under F.R-127 – Cooperative Audit
2709 Non Taxation Fees – Collections
(DPC 0425 00 800 AF 2794)