What is the Minimum Fee Charged by CA For Tax Audit?

ICAI has prescribed a minimum fee for tax audits, which depends on the city classification, i.e., Class A, B, or C and the complexity of the work

Minimum Fee Charged by Chartered Accountants for Tax Audit: ICAI Guidelines and Factors

Nidhi | Apr 28, 2025 |

What is the Minimum Fee Charged by CA For Tax Audit?

What is the Minimum Fee Charged by CA For Tax Audit?

Fees that Chartered Accountants (CAs) levy for tax audit and other related services in India are suggested by the Institute of Chartered Accountants of India (ICAI). Though not mandatory, they serve as a guide to ensure that Chartered Accountants receive appropriate remuneration for their efforts. ICAI has prescribed a minimum fee for tax audits, which depends on the city classification, i.e., Class A, B, or C and the complexity of the work. Let us understand the rates through the table given below.

Table of Content
  1. Rate per day
  2. Minimum Recommended Fees
  3. How are the Minimum Fees Decided?

Rate per day

Class ‘A’ Cities (Rs.)Class ‘B’ Cities (Rs.)Class ‘C’ Cities (Rs.)
Principal18,000/- & above per day12,000/- & above per day8,000 and above per day
Qualified Assistants10,000/- & above per day7,000/- & above per day5,000 and above per day
Semi-qualified Assistants5,000/- & above per day4,000/- & above per day3,000 and  above per day
Other Assistants3,000/- & above per day2,000/- & above per day1,000 and above per day

Minimum Recommended Fees

Class ‘A’ Cities (Rs.)Class ‘B’ Cities (Rs.)Class ‘C’ Cities (Rs.)
Tax Audit40,000 and above30,000 and above22,000 and above
Company Audit
Small Pvt. Ltd. Co. (Turnover upto Rs. 2 crores)50,000 and above35,000 and above25,000 and above
Medium Pvt. Ltd. Co./ Public Ltd Co.80,000 and above55,000 and above35,000 and above
Large Pvt. Ltd. Co./ Public Ltd Co.Fees to be charged based on complexity and timeFees to be charged based on complexity and timeFees to be charged based on complexity and time
Review of TDS Compliance25,000 and above18,000 and above12,000 and above
Transfer Pricing AuditFees to be charged based on complexity and timeFees to be charged based on complexity and timeFees to be charged based on complexity and time

The above fees are just the minimum and standard amounts set by the ICAI for audits and other assignments. CAs can charge fees as per their standards.

How are the Minimum Fees Decided?

The minimum fee suggestion of ICAI is based on the following factors:

  • Complexity and Scope: Minimum Fees are influenced by the complexity and scope of the audit assignments. Audits with various branches, subsidiaries, or international transactions are more complex and require higher fees.
  • Time and Level of Expertise: Another factor is the time and the level of expertise needed for the audit.
  • Per Day Basis: In several cases, fees are computed on a per-day-basis, with different rates for principals, qualified assistants, and semi-qualified staff.
  • Location: Location is also a key consideration in determining fees, where cities with larger metropolitans (Class A) tend to have more increased charges since operating costs are greater.
  • Client’s Nature: The client’s nature also influences the fee arrangement, larger and complicated financial systems of firms have more costly audits.

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