Page 21 - CA Final PARAM Digital Book.

statutory dues by the company, the auditors have commented that company is “generally regular” in
depositing statutory dues to appropriate authorities. Is above reporting qualitative and in line with
requirements of SA-220?
Answer Such type of reporting is not qualitative. It is not in accordance with SA 220. One of the objectives of the
auditor, as per SA 220, is to implement quality control procedures at the engagement level that provide the

auditor with reasonable assurance that the audit complies with professional standards and regulatory and
legal requirements. The reporting under CARO, 2020 is not proper. Hence, the audit does not comply with
regulatory and legal requirements.

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