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of <h1>Clarification on Companies Act: Cost Auditor's Role Defined u/ss 224(1B) and 233B(2) Regarding Report Submission.</h1> The circular clarifies the application of section 224 (1B) of the Companies Act, 1956, in conjunction with section 233. It states that a cost auditor's appointment is deemed concluded once they submit a report to the Central Government as per the Cost Audit Report Rules. For section 233B (2), the number of companies a cost auditor is associated with is calculated based on those for which reports are pending submission. This pending status affects the ceiling on the number of companies a cost auditor can serve.
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