Simplify your business registration with SureTax Bizcare –
your trusted partner for seamless Registration, Compliance, and Management.
Under the Companies Act 2013, the Board of Directors is responsible for appointing the first auditor of a company within 30 days of its incorporation. This appointment requires shareholder approval at the company’s first Annual General Meeting (AGM). The first auditor’s term commences from the date of appointment and concludes at the close of the subsequent AGM. To be eligible for appointment, the auditor must possess a valid certificate of practice and meet all other eligibility criteria and not be disqualified under the provisions of the Act. Adherence to the Companies Act 2013 and its associated rules is paramount for the valid appointment of the first auditor.
Particulars | Who can appoints the auditor | Due date for appointment | Tenure of appointment |
For Non-Government Company | The first auditor appointment by the board of directors must be made within 30 days of the company’s incorporation, as per the Companies Act 2013 in India. | If appointed by the Board of Directors (BOD): Within 30 days of the company’s incorporation date. If the BOD fails to appoint and members appoint: Within 90 days of the information being provided at an Extraordinary General Meeting. | The auditor’s term ends after the first annual general meeting (AGM). |
For Government Company | The first auditor appointed by the CAG or Board of Directors or members of the company in case of Govt. Company. | CAG Appointment: Within 60 days of company incorporation. Board of Directors (BOD) Appointment: Within 30 days if the CAG fails to appoint an auditor within their initial 60-day window. Member Appointment (at EGM): Within the next 60 days if the BOD also fails to appoint an auditor after the CAG’s initial failure. | The auditor’s term ends after the first annual general meeting (AGM). |
Suretax provides expert business and financial consulting services, ensuring strategic growth and success for our clients.
© SureTax Finpro.
Copyright © 2025 All rights reserved.