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Auditor Appointment and ADT-1

Every company needs a statutory auditor, appointed on time and filed. A company that never appointed one has a gap that shows up in every later filing.

The first appointment is the one that gets missed

A newly incorporated company must appoint its first auditor within a short window after incorporation — a matter of weeks, not months. Founders busy with getting the business started routinely miss it, and because nothing visibly breaks, they do not find out for a year.

What breaks later is everything downstream. Financial statements need an audit report. The annual filing needs the statements. So a missing auditor appointment quietly blocks the annual filing, and by the time that surfaces, additional fees have been running.

Every private limited company needs a statutory auditor, regardless of turnover and regardless of whether it traded. Statutory audit is not the same thing as tax audit, which has a turnover threshold. People conflate the two and conclude, wrongly, that a small company needs neither.

What has to happen

1

Appoint the first auditor after incorporation

By the board, within the window the Act prescribes. This is the one most often missed.

2

File ADT-1

The appointment is intimated to the Registrar. Filing late attracts additional fees.

3

Reappoint at the AGM

Subsequent appointments are made by the shareholders, for the term the Act allows.

4

File ADT-1 again on each appointment

Each appointment or reappointment has its own filing.

5

Handle resignation properly if it happens

An auditor resigning mid-term has its own form and timeline, and leaving the position vacant creates a fresh problem.

Written 5 September 2026. Government requirements and portal behaviour change — message us to confirm before you rely on any date or figure here.

If you never appointed one

It is fixable, and the sooner the better. The appointment is made now, the filing is caught up, and the audits for the missed years are completed so the annual filings can follow. The cost is the accumulated additional fees plus the audit work itself.

Send us the company name and incorporation date and we will tell you exactly what is outstanding before you commit to anything.

Common questions

Yes. Statutory audit applies to every company regardless of turnover. Tax audit is the one with a threshold, and the two are different things.

The statutory auditor must be a practising chartered accountant who is independent of the company. The person who keeps your books generally cannot also audit them.

For the term the Act allows, with reappointment at the AGM. There are rotation requirements for certain classes of company.

Appoint now, file, and complete the outstanding audits so the annual filings can be brought current. Tell us the company name and we will work out the position exactly.