Cost Records & Cost Audit Applicability Checker

Step 1 — Check by HSN / tariff heading (goods)

4-digit HSN / Customs Tariff heading of your product The Tables define coverage by tariff heading — this is the first checkpoint for goods. Services (telecom, ports, health, education, construction, roads) have no heading: pick them directly in Step 2.

Step 2 — Company details

Product / service of the company Pick the closest item. Table A = regulated sectors; Table B = non-regulated sectors. If the company makes several listed products, pick any one — and total their turnover in the "covered products" box below.

Overall turnover — all products & services (₹ crore) Immediately preceding FY, whole company.

Turnover of covered (listed) products / services (₹ crore) Aggregate of the Table A/B items only.

Special situations Tick whichever apply — these change the answer.

Company is a micro or small enterprise under the MSMED Act (incl. turnover criteria u/s 7(9)) Excluded from cost records & audit entirely (proviso to Rule 3).

Export revenue (in foreign exchange) exceeds 75% of total revenue Exempts from cost AUDIT only — records still required. Rule 4(3)(i).

Company is operating from a Special Economic Zone Exempts from cost AUDIT only — records still required. Rule 4(3)(ii).

Generation of electricity for captive consumption through a Captive Generating Plant Exempts that activity from cost AUDIT — records still required. Rule 4(3).

Result

Cost records (CRA-1)

—

Cost audit

—

How the tests apply

Compliance timeline — your cut-off dates

Financial year starting Defaults to the current FY.

Board meeting date — optional Meeting at which the cost auditor is appointed.

Appoint cost auditor — Board approval [Rule 6(1)]—

File CRA-2 with MCA [Rule 6(2): 30 days of Board meeting or 180 days of FY start, whichever is earlier]—

Cost auditor submits CRA-3 to the company [180 days of FY close]—

Company files CRA-4 (XBRL) with MCA—