TaxTMI 
TaxTMI 
A pvt ltd company having Turnover of 202.75 Cr in FY 2025-26, dealing in manufacture of Knittted cloth, Dyeing and Garments. Whether Cost Audit applicable
Applicability of cost audit to Pvt Ltd co.
13 Jun 2026 
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Cost audit applicability turns on turnover thresholds, product-wise turnover, and available exemptions for textile manufacturing companies.
Applicability of cost audit to a private limited company engaged in textile-related manufacture depends on the turnover thresholds under section 148 of the Companies Act, 2013 read with the Companies (Cost Records and Audit) Rules, 2014. In the non-regulated sector, cost audit becomes relevant where the preceding financial year's overall turnover is Rs. 100 crore or more and the turnover from the products or services covered by Rule 3 is Rs. 35 crore or more. The company must also verify whether any exemption applies, including export revenue above 75%, Micro or Small Enterprise status, or SEZ operations. (AI Summary)
Applicability of cost audit to a private limited company engaged in textile-related manufacture depends on the turnover thresholds under section 148 of the Companies Act, 2013 read with the Companies (Cost Records and Audit) Rules, 2014. In the non-regulated sector, cost audit becomes relevant where the preceding financial year's overall turnover is Rs. 100 crore or more and the turnover from the products or services covered by Rule 3 is Rs. 35 crore or more. The company must also verify whether any exemption applies, including export revenue above 75%, Micro or Small Enterprise status, or SEZ operations. (AI Summary)