Real estate is defined as the land and any permanent structures, like a home, or improvements attached to the land, whether natural or man-made.
The real estate sector is one of the most globally recognised sectors. It comprises of four sub-sectors - housing, retail, hospitality, and commercial. The growth of this sector is well complemented by the growth in the corporate environment and the demand for office space as well as urban and semi-urban accommodation.
A real estate audit is a check conducted to ensure your brokerage and business practices comply with all relevant regulations. These include those on a local, state, and national level.
Audits focus on both the firm's finances and its transact management processes, documents, and records.From a financial standpoint, auditing verifies all incoming and outgoing fund flow during the audit period. This includes revenue generated from sales, as well as revenue from outside investment.The audit process also confirms that transactions are run in accordance with real estate regulations where you do business. You must be able to prove that this is the case, which means your record-keeping has to meet the required standard.
Real estate audits are essential to the operation of entity’s business. That is where the role of audit is very crucial. Apart from Risk assessment, Fraud prevention, Compliance checkup and effective controls, audit gives reasonable assurance.
Failing one can be catastrophic, although you may be protected from prosecution if you can show the steps you are taking to correct the issues.
We understand and respect how important entity’s investment is. It deserves a professional approach to asset management, for which we have set the standard, to better protect entity’s investment and help you reach the set goals.
In a fast changing scenario for Tax and Legal compliance in India, The Real Estate industry is the one facing the remarkable speed of changes.
The way a Real Estate Audit works differs depending on entity’s state. However, we follow a structure.
- The Department of Real Estate will contact you when it is time for an audit. Once have it, it will be easy to approve the framework and reporting structure, which will allow auditors to maintain their independence and objectivity.
- The auditor will either visit your office to review the documents or request to do so remotely. You provide and highlight any compliance issues that you need to fix.
- Document the steps you will take to fix any compliance issues that occur
If you are about to face an audit, contact us:
P Srinivasan & Co. helps to ensure you are always prepared for an Audit. Our knowledgeable requirements for everything from generally accepted accounting principles to ethical behaviour change over time and clear solutions.
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