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Annexure to the Cost Audit Report

	Part-A
	1.General Information
1	Corporate identity number or foreign company registration number
2	Name of company
3	Address of registered office or of principal place of business in India of company
4	Address of corporate office of company
5	Email address of company
6	Date of beginning of reporting Financial Year
7	Date of end of reporting Financial Year
8	Date of beginning of previous financial year
9	Date of end of previous financial year
10	Level of rounding used in cost statements
11	Reporting currency of entity
12	Number of cost auditors for reporting period
13	Date of board of directors meeting in which annexure to cost audit report was approved
14	Whether cost auditor’s report has been qualified or has any reservations or contains adverse remarks
15	Consolidated qualifications, reservations or adverse remarks of all cost auditors
16	Consolidated observations or suggestions of all cost auditors
17	Whether company has related party transactions for sale or purchase of goods or services
18	Whether Indian Accounting Standards are applicable to the company

	PART-A
	2. General Details of Cost Auditor
1	Whether cost auditor is lead auditor
2	Category of cost auditor
3	Firm's registration number
4	Name of cost auditor/cost auditor’s firm
5	PAN of cost auditor/cost auditor’s firm
6	Address of cost auditor or cost auditor’s firm
7	Email id of cost auditor or cost auditor’s firm
8	Membership number of member signing report
9	Name of member signing report
10	Name(s) of product(s) or service(s) with CETA Headings
11	SRN number of Form 23C / CRA-2
¹12(a)	Number of audit committee meeting(s) during the year for which cost auditor was invited
12(b)	Number of audit committee meeting attended by cost auditor during year
13	Date of signing cost audit report and annexure by cost auditor
14	Place of signing cost audit report and annexure by cost auditor

3. Cost Accounting Policy

(1) Briefly describe the cost accounting policy adopted by the Company and its adequacy or otherwise to determine correctly the cost of production/operation, cost of sales, sales realization and margin of the product(s)/service(s) under reference separately for each product(s)/service(s). The policy shall cover, inter alia, the following areas:

(a) Identification of cost centres/cost objects and cost drivers.

(b) Accounting for material cost including packing materials, stores and spares, employee cost, utilities and other relevant cost components.

(d) Accounting for depreciation/amortization.

(e) Accounting for by-products/joint-products or services, scarps, wastage etc.

(f) Basis for Inventory Valuation.

(g) Methodology for valuation of Inter-Unit/Inter Company and Related Party transactions.

(h) Treatment of abnormal and non-recurring costs including classification of other non-cost items.

(i) Other relevant cost accounting policy adopted by the Company.

(2) Briefly specify the changes, if any, made in the cost accounting policy for the product(s)/service(s) under audit during the current financial year as compared to the previous financial year.

(3) Observations of the Cost Auditor regarding adequacy or otherwise of the Budgetary Control System, if any, followed by the company.

	PART-A
	4. PRODUCT/SERVICE DETAILS (for the company as a whole)
S.no.	Name of Product(s) /Service(s)	UOM	CETA Heading	Covered under Cost Audit Yes / No	Previous Year fig. reported Yes / No	Net Operational Revenue (Net of taxes)
						Current Year Rs.	Previous Year Rs.
	Material 1
1	Material 2
2	Material 3 or more
3	Other Operating Incomes
4	Total operating incomes of company
5	Other Incomes of Company
6	Total revenue as per Financial Accounts
²7	Exceptional and Extra Ordinary Income
8	Other comprehensive income, if any,
9	Total Revenue including Exceptional, Extra Ordinary and Other Comprehensive Income
³10	Turnover as per Excise or Service Tax or GST Records

Note: Explain the difference, if any, between Turnover as per Annual Accounts and Turnover as per Excise/ GST Records.

PART-B
For Manufacturing Sector

1. QUANTITATIVE INFORMATION (for each product with CTA heading separately)
Name of Product
CTA Heading
Unit of Measurement
Particulars	Current Year	Previous Year
1. Available Capacity
(a) Installed Capacity
(b) Capacity enhanced during the year, if any
(c) Capacity available through leasing arrangements, if any
(d) Capacity available through loan license / third parties
(e) Total available Capacity
2. Actual Production
(a) Self manufactured
(b) Produced under leasing arrangements
(c) Produced on loan license / by third parties on job work
(d) Total Production
⁴3. Production as per excise or GST records (for product)
4. Capacity Utilization (in-house)
5. Finished Goods Purchased
(a) Domestic Purchase of Finished Goods
(b) Imports of Finished Goods
(c) Total Finished Goods Purchased
6. Stock & Other Adjustments
(a) Change in Stock of Finished Goods
(b) Self / Captive Consumption (incl. samples etc.)
(c) Other Quantitative Adjustments, if any (wastage etc.)
(d) Total Adjustments
7. Total Available Quantity for Sale [2(d) + 5(c) + 6(d)]
8. Actual Sales
(a) Domestic Sales of Product
(b) Domestic Sales of Traded Product
(c) Export Sale of Product
(d) Export Sale of Traded Product
(e) Total Quantity Sold

	2. ABRIDGED COST STATEMENT(for each product with CTA heading separately)
	Name of Product
	CTA Heading
	Unit of Measurement
		Production	Finished Goods Purchased	Finished Stock Adjustment		Captive Consumption		Other Adjustments		Quantity Sold
	Current Year
	Previous Year
					Current Year				Previous Year
S.no.	Particulars				Amount (Rs.)		Rate per Unit (Rs.)		Amount (Rs.)		Rate per Unit (Rs.)

1	Materials Consumed
2	Process Materials/Chemicals
3	Utilities (specify details as per 2B)
4	Direct Employees Cost
5	Direct Expenses
6	Consumable Stores & Spares
7	Repairs & Maintenance
8	Quality Control Expenses
9	Research & Development Expenses
10	Technical know-how Fee / Royalty
11	Depreciation/Amortization
12	Other Production Overheads
13	Industry Specific Operating Expenses
14	Total (1 to 13)
15	Increase or Decrease in Work-in-Progress
16	Less: Credits for Recoveries, if any
17	Primary Packing Cost
18	Cost of Production/Operations (14 + 15 to 17)
19	Cost of Finished Goods Purchased
20	Total Cost of Production & Purchases (18 + 19)
21	Increase or Decrease in Finish Good
22	Less: Self/Captive Consumption (incl. Samples, etc.)
23	Other Adjustments (if any)
24	Cost of Production/Operation of Product Sold (20 + 21 to 23)
25	Administrative Overheads
26	Secondary Packing Cost
27	Selling & Distribution Overheads
28	Cost of Sales before Interest (24 to 27)
29	Cost of Finance charges
30	Cost of Sales (28 + 29)
31	Net sale Realization of Product excluding taxes and duties
32	Margin [Profit/(Loss) as per Cost Accounts] (31 - 30)

Notes:

1. Separate Cost Statement shall be prepared for each CETA Heading representing the product.

2. In case the same product has different unit of measure, separate cost statement shall be provided for different unit of measures.

3. The items of cost shown In the Performa are Indicative and the same shall be reflected keeping in mind the materiality of the item of cost in the product. The Performa may be suitably modified to meet the requirement of the industry/product.

4. In case the company follows a pre-determined or standard costing system, the above cost statement should reflect figures at actuals after adjustment of variances if any.

	2A. Details of Materials Consumed
	Name of Product
	CTA Heading
	Unit of Measurement
Description of Material	Category	UOM	Current Year			Previous Year
			Quantity	Rate per Unit (Rs.)	Amount	Quantity	Rate per Unit (Rs.)	Amount

Category: Indigenous/ Imported/ Self Manufactured

	2B. Details of Utilities Consumed
	Name of Product
	CTA Heading
	Unit of Measurement
Description of Material	UOM	Current Year			Previous Year
		Quantity	Rate per Unit (Rs.)	Amount	Quantity	Rate per Unit (Rs.)	Amount

	2C. Details of Industry Specific Operating Expenses
Name of Product
CTA Heading
Unit of Measurement
Description of Industry Specific Operating Expenses	Current Year Amount (Rs.)	Previous Year Amount (Rs.)

PART-C
For Service Sector
1. QUANTITATIVE INFORMATION (for each service separately)
	Name of Service
	Service Code
	Unit of Measurement
Particulars	Current Year	Previous Year
1. Available Capacity
(a) Installed Capacity
(b) Capacity enhanced during the year
(c) Total available Capacity
2. Actual Services Provided
(a) Own Services
(b) Services under contractual arrangements
(c) Outsourced Services
(d) Total Services
3. Total services provided as per service tax or GST records (for services)
4. In house capacity utilization (%)
5. Other adjustments
(a) Self or captive consumption
(b) Other quantitative adjustments
(c) Total other adjustments
(d) Total available services for sale
6. Actual Sales
(a) Services rendered – Domestic
(b) Services rendered – Export
(c) Total Services Rendered

	2. ABRIDGED COST STATEMENT (for each service separately)
	Name of Service
	Service Code
	Unit of Measurement
		Services Provided	Captive Consumption	Other Adjustments		Services rendered
	Current Year
	Previous Year
			Current Year		Previous Year
Sno.	Particulars		Amount (Rs.)	Rate per Unit (Rs.)	Amount (Rs.)		Rate per Unit (Rs.)

1	Materials Consumed
2	Utilities
3	Direct Employees Cost
4	Direct Expenses
5	Consumable Stores & Spares
6	Repairs & Maintenance
7	Quality Control Expenses
8	Research & Development Expenses
9	Technical know-how Fee / Royalty
10	Depreciation/Amortization
11	Other Overheads
12	Industry Specific Operating Expenses
13	Total (1 to 12)
14	Less: Credits for Recoveries
15	Cost of Services provided (13 - 14)
16	Cost of Outsourced/Contractual Services
17	Total Services available
18	Less : Self or captive consumption
19	Other Adjustments (if any)
20	Cost of Services Sold (17 – 18 + 19)
21	Administrative Overheads
22	Selling & Distribution Overheads
23	Cost of Sales before Interest (20+21+22)
24	Cost of Finance charges
25	Cost of Sales (23 + 24)
26	Net sale Realization of Product excluding taxes and duties
27	Margin [Profit/(Loss) as per Cost Accounts] (26 - 25)

NOTES:

1. Separate Cost Statement shall be prepared for each service

2. The items of cost shown in the proforma are indicative and the same shall be reflected keeping in mind the materiality of the Item of cost in the service.

3. The Proforma may be suitably modified to meet the requirement of the Industry/service.

4. In case the Company follows a pre-determined or standard costing system, the above cost statement shall reflect figures at actuals after adjustment of variances, if any.

	2A. Details of Materials Consumed
	Name of Service
	Service Code
	Unit of Measurement
Description of Material	Category	UOM	Current Year			Previous Year
			Quantity	Rate per Unit (Rs.)	Amount	Quantity	Rate per Unit (Rs.)	Amount

Category: Indigenous/ Imported/ Self Manufactured

	2B. Details of Utilities Consumed
	Name of Service
	Service Code
	Unit of Measurement
Description of Material	UOM	Current Year			Previous Year
		Quantity	Rate per Unit (Rs.)	Amount	Quantity	Rate per Unit (Rs.)	Amount

	2C. Details of Industry Specific Operating Expenses
	Name of Service
	Service Code
	Unit of Measurement
S.no	Description of Industry Specific Operating Expenses	Current Year Amount (Rs.)	Previous Year Amount (Rs.)

	PART-D
	1. PRODUCT AND SERVICE PROFITABILITY STATEMENT (for audited products/services)
Sno.	Particulars	Current Year			Previous Year
		Sales	Cost of Sales	Margin	Sales	Cost of Sales	Margin
		(Rs.)	(Rs.)	(Rs.)	(Rs.)	(Rs.)	(Rs.)
	Product 1
	Product 2
	Product 3
	......etc.
	Service 1
	Service 2 and Etc….
	Total

	2. PROFIT RECONCILIATION (for the company as a whole)

Sno.	Particulars	Current Year	Previous Year
		(Rs.)	(Rs.)
1	Profit or Loss as per Cost Accounting Records
	(a) For the audited product(s)/service(s)
	(b) For the un-audited product(s)/service(s)
2	Add: Incomes not considered in cost accounts (specify details)
3	Less: Expenses not considered in cost accounts (specify details)
4	Difference in Stock valuation as per cost and financial accounts
5	Other adjustments, if any
6	Profit or Loss as per Financial Accounts

Note: Show abnormal wastages, expenses on strikes/lock-outs and any other items of expenses or incomes of abnormal nature etc. not considered in cost separatel

	3. VALUE ADDITION AND DISTRIBUTION OF EARNINGS
Sno.	Particulars	Current Year	Previous Year Rs.
		(Rs.)	(Rs.)
	Value Addition:
⁵1	Revenue From Operations
2	Less : Taxes and other duties
3	Net revenue from operations
4	Add: Export Incentives
5	Add Less : Adjustment in stock of company
6	Less: Cost of bought out inputs
	(a) Cost of Materials Consumed
	(b) Process Materials / Chemicals
	(c) Consumption of Stores & Spares
	(d) Utilities (e.g. power & fuel)
	(e) Others, if any
	Total Cost of bought out inputs
7	Value Added
8	Add : Other income of company
9	Add : Exceptional and extra ordinary
10	Add : Other Comprehensive Income
11	Earnings available for distribution
	Distribution of Earnings to:
1	Employees as salaries & wages, retirement benefits, etc.
2	Dividend to shareholders
3	Company as retained funds
4	Government as taxes (specify)
5	Extra Ordinary Expenses
6	Other distribution of Earnings
7	Total distribution of earnings

	4. FINANCIAL POSITION AND RATIO ANALYSIS (for the company as whole)
S.no.	Particulars	Units	Current Year	Previous Year Rs.
A.	Financial Position
1	Share Capital	Rs/
2	Reserves & Surplus	Rs/
3	Long Term Borrowings	Rs/
4	(a) Gross Assets	Rs/
	(b) Net Assets	Rs/
5	(a) Current Assets	Rs/
	(b) Less: Current Liabilities	Rs/
	(c) Net Current Assets	Rs/
6	Capital Employed	Rs/
7	Net Worth	Rs/
B.	Financial Performance
1	Value Added	Rs/
2	Net Revenue from Operations of Company	Rs/
3	Profit before Tax (PBT)	Rs/
C.	Profitability Ratios
1	PBT to Capital Employed (B3/A6)	%
2	PBT to Net Worth (B3/A7)	%
3	PBT to Value Added (B3/B1)	%
4	PBT to Net revenue from Operations (B3/B2)	%
D.	Other Financial Ratios
1	Debt-Equity Ratio
2	Current Assets to Current Liabilities
3	Valued Added to Net Revenue from Operations	%
E.	Working Capital Ratios
1	Raw Materials Stock to Consumption	Months
2	Stores & Spares to Consumption	Months

Notes.

1. Capital Employed means average of net fixed assets (excluding effect of revaluation of Fixed assets) plus Non-current investments and net current assets existing at the beginning and close of the financial year.

2. Net Worth is as defined under clause (57) of section 2 of the Companies Act, 2013.

	5. RELATED PARTY TRANSACTIONS (for the company as a whole)
Party Name	Name of Product/Service	Product/Service Code	Quantity	Transfer Price	Amount	Normal Price	Basis adopted##	Description###	Transaction Nature##

Notes:

1. Details shall be furnished for each Related Party and Product /Service separately.

2. Details of Related Party transactions without Indicating the Normal Price and the basis thereof shall be considered as incomplete Information

	6.Reconciliation of Indirect Taxes (for the Company as a whole)
	Particulars	Assessable Value	Excise Duty	Service Tax	Cess & Others	VAT
		(Rs.)	(Rs.)	(Rs.)	(Rs.)	(Rs.)
	Duties/Taxes Payable
	Excise Duty
1	Domestic
2	Export
3	Stock Transfers (Net)
4	Duty Free Clearance, Others etc.
5	Total Excise Duty (1 to 4)
6	Service Tax
7	VAT, CST etc.
8	Other State Taxes, if any
9	Total Duties / Taxes Payable (5 to 8)
	Duties/Taxes Paid
10	Cenvat/VAT Credit Utilised - Inputs
11	Cenvat/VAT Credit Utilised - Capital Goods
12	Cenvat/VAT Credit Utilised - Input Services
13	Cenvat/VAT Credit Utilised - Others
14	Total (10 to 13)
15	Paid through PLA/Cash
16	Total Duties/Taxes Paid (14 + 15)
17	Duties/Taxes Recovered
18	Difference between Duties/Taxes Paid and Recovered
19	Interest/Penalty/Fines Paid

	PART-B
	⁶6. (B) Reconciliation of Indirect Taxes (for the company as a whole) (applicable w.e.f. 01.07.2017)
	Particulars	Taxable Value/ Assessable Value	Excise Duty/ VAT, CST, Cess etc./ Other State Taxes, if any	Goods & Services Tax
				CGST	SGST/UTST	IGST	Cess
		(Rs.)	(Rs.)	(Rs.)	(Rs.)	(Rs.)	(Rs.)
S.No.	Duties/Taxes Payable
	Excise Duty
1	Domestic
2	Export
3	Stock Transfers
4	Others if any
5	Total Excise Duty (1 to 4)
6	VAT, CST, Cess etc.
7	Other State Taxes, if any
8	Outward Taxable Supplies (other than zero rated, Nil Rated and Exempted)
9	Outward Taxable Supplies (zero rated)
10	Inward Supplies (liable to Reverse Charge)
11	Other Outward Supplies (Nil Rated, Exempted)
12	Non-GST Outward Supplies
13	Total (8 to 12)
14	Total Duties / Taxes Payable (5 + 6 + 7 + 13)
	Duties/ Taxes paid [by Utilisation of Input Tax Credit and Payment through Cash Ledger, as the case may be]
	Input Tax Credit Utilised
15	CGST/ CENVAT
16	SGST / UTGST/ VAT
17	IGST
18	Cess
19	Transitional Credit
20	Others, if any, specify
21	Total Input Tax Credit Utilised (15 to 20)
22	Payment through Cash Ledger
23	Total Duties/Taxes Paid (21 + 22)
	Difference between Taxes Paid and Payable (14 - 23)
24	Interest/Penalty/Fines Paid

Amendments

1.Subsituted by Notification Dated july, 2018.

2.Subsituted by Notification Dated july, 2018.

3.Subsituted by Notification Dated july, 2018

4.Subsituted by Notification Dated july, 2018

5.Subsituted by Notification Dated july, 2018

6.Inserted by Notification Dated july, 2018