Verification of Chart of Accounts

Verification of Chart of Accounts will help the Auditor to check the List of Accounts used during the Audit Year and compare the List of Accounts with the previous year. This report highlights all the exceptions in the Chart of Accounts and prompts the Auditor to concentrate only on the exceptional items.

To view the Verification of Chart of Accounts report,

Go to Gateway of Tally > Audit & Compliance > Audit & Analysis > Verification of Chart of Accounts

Note: If the previous year (year before the Audit year) data is there in a different Company than it should be loaded before accessing this Verification of Chart of Accounts report for correct analysis.

The Verification of Chart of Accounts report classifies and displays all the exceptional Ledgers (All Exceptions) along with the Ledger count and Verification count with the following Status:

Not Used

Ledgers which do not have any balance and have not been used in recording any transaction during both the years will be displayed under this status.

Not Used in Current Year

Ledgers which have been used for recording transactions only in the previous year, have no Closing Balance (from the previous year), and have no Opening Balance in the current year will be listed under this status.

Only Balances, No Transactions

Ledgers that have only Balances, but have not been used for recording transactions during both the years will be displayed under this status.

Regrouped

Ledgers for which the Primary Groups are different for the two years will be displayed under this status. Sub-group Level changes can be seen by using F12: Configure.

Revenue Ledgers having Opening Balances

Ledgers created under the P&L Group (e.g. Expenses, Income etc.) and having Opening Balance will be listed under this status.

Used Only in Current Year

Ledgers (with or without Opening Balance) that have been used to record transactions only in the Current Year will be displayed under this status.

Not Available in Current Year

Ledgers that have been discontinued (not present) in the current year will be listed under this status.

Accounts squared-off during the year

Ledgers having transactions with accounts squared-off (nullified/adjusted) will be displayed under this status.

The other Status which can be viewed using the F12: Configure are:

All Items

Displays all Ledgers irrespective of the status.

No Change

Displays the Ledgers which have been used in both the Years.

Button Options in the Verification of Chart of Accounts report

F1: Detailed

Click on F1: Detailed or press Alt+F1 to view the list of Ledgers under each Status explained in the earlier section.

F4: Group

Click on F4: Group or press F4 to filter for Ledgers belonging to a particular Group.

Ctrl+F3: Compare Cmp

Click on Ctrl+F3: Compare Cmp or press Ctrl+F3 to load the Company that contains the data for the year prior to Audit period.

F5: Led-wise

Click on F5: Led-wise or press F5 to view the Ledger-wise Verification of Chart of Accounts report as shown:

Ctrl+F9: Master Config

Click on Ctrl+F9: Master Config or press Ctrl+F9 to identify the parties as MSME, Related Parties, Periodic Ledgers and apply Sampling methods for Auditing.

F9: Audit

Click on F9: Audit or press F9 to mark any Ledger as Audited.

Note: The facility to mark a Ledger as Audited is provided only for those Ledgers which are present in the Audit Year (List of Accounts).

Ctrl+F10: Remove Audit

Click on Ctrl+F10: Remove Verify or press Ctrl+F10 after selecting the required Ledgers from the above report to change the Verification Status to blank.

W: Audit Working Note

Click on W: Audit Working Note or press Alt+W to specify the Working Note details at Company, Group, Ledger, Voucher levels. The details provided in Working Note will be captured in Audit Working Paper along with the details of User Name, Working Note Date & Time, Status, Note etc.

In Working Note Details screen

Ctrl+W: Audit Wkg Paper

To view the Audit Working Paper during Auditing, click on Ctrl+W: Audit Wkg Paper or press Ctrl+W. The details displayed in Audit Working Paper will be relevant to report from where it is triggered.

For more details on Working Paper refer the topic Audit Working Paper

F9: Inv Reports

Click on F9: Inv Reports or press F9 key to navigate to the default Inventory Reports like Godown Summary, Movement Analysis, Stock Summary etc.

F10: Acc Reports

Click on F10: Acc Reports or press F10 key to navigate to the default Accounting Reports like Balance Sheet, Cash Flow, Trial Balance etc.

F10: Audit Reports

Click on F10: Audit Reports or press Alt+F10 keys to navigate to the other Audit Reports within Statutory Audit and 44AB Audit (Tax Audit).

F12: Configure

Click on F12: Configure or press F12 to change the configuration for the displayed report.

Note: The option Include Subgroup Changes also (Regrouped) will be available only while viewing the report for Regrouped status from the Types of Exception.

The facility to view the Ledgers belonging to a particular status is also provided by pressing Enter on the required Status form the Verification of Chart of Accounts report for All Exceptions.

The report for Ledgers Not Used in both years is displayed below:

The buttons available in the above report are similar to the buttons available under Verification of Chart of Accounts report for All Exceptions.

The Auditor can bring the cursor on the Ledger and click F8: Show Ledger or press F8 view the Ledger Vouchers report.

Note: The Ledger Vouchers report is available only for the Current Year.


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