Audit Reports

Jammu and Kashmir UT (31-Oct-2019 Onwards)

Overview

Report of the Comptroller and Auditor General of India for the period ended March 2022

Government of UT of Jammu and Kashmir

Report No. 5 of the year 2025 (Compliance Audit Report – Revenue and Public Sector Undertakings)

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Overview

This Audit Report contains four chapters. Chapter I contains a brief profile of the UT Government with the receipt/ expenditure for the year 2021-22, the authority for audit, planning and conduct of audit, lack of response of the Government to various audit products namely Inspection Reports, Response of Departments to Draft Audit Paragraphs and Detailed Compliance Audit Paragraphs and follow up action on Audit Reports. Chapter II contains observations of the Compliance Audit on Department’s Oversight on GST Payments and Returns Filing. Chapter III contains Functioning of Public Sector Undertakings, Definition of Government Company, Mandate of Audit, PSUs in Jammu and Kashmir, Details of Investment in PSUs and Budgetary Support upto 31 March 2022, Oversight Role of CAG, Submission of accounts by PSUs, CAG’s oversight - Audit of accounts and supplementary audit, Result of CAG’s oversight role and Recommendations. Chapter IV contains Compliance Audit of Jammu and Kashmir Bank Limited on Implementation of Interest Subvention Scheme under Business Revival Package 2020 in Jammu and Kashmir.

Chapter-I

Overview, Introduction, profile of the Union Territory of Jammu and Kashmir, authority for audit, planning and conduct of audit, lack of response of the Government to various audit products namely Inspection Reports, Response of Departments to Draft Audit Paragraphs and Detailed Compliance Audit Paragraphs and follow up action on Audit Reports.

Chapter-II

Department’s Oversight on GST Payments and Returns Filing, Introduction, Organisational Setup, Audit Objectives, Audit Methodology and Scope, Sampling, Audit criteria, Audit Findings, Oversight on returns filing- Audit of Circles, Systematic issues observed, Non-production of records, Absence of mechanism for scrutiny of returns, Compliance Issues, Slow Pace of Scrutiny of Returns cases, Conclusion, Verification of Non-filers, Cancellation of registrations, Compliance to DGARM Reports, Internal Audit, Limited Audit, Inconsistencies in GST Return, Result of Limited Audit, Dimension-Mismatch of ITC availed GSTR-3B vs GSTR-2A, Dimension-Mismatch in availment of ITC on RCM, Analysis of causative factors, Data entry errors by taxpayers, Action taken before issue of Audit Queries, Valid explanations, Cases where department’s reply is furnished without documentary evidence, Detailed Audit of GST Returns, Scope Limitation (Non-Production of Records), Returns, Non-payment of interest by taxpayers, Late fee on belated/ non-filing of returns, Utilisation of Input Tax Credit, Tax Liability, Conclusion and Recommendations.

Chapter-III

Functioning of Public Sector Undertakings (PSUs), Definition of Government Company, Mandate of Audit, PSUs in Jammu and Kashmir, Investment in PSUs and Budgetary Support, Oversight Role of CAG, Submission of accounts by PSUs, CAG’s oversight - Audit of accounts and supplementary audit, Result of CAG’s oversight role and Recommendations.

Chapter-IV

Jammu and Kashmir Bank Limited, Implementation of Interest Subvention Scheme under Business Revival Package 2020 in Jammu and Kashmir, Introduction, Audit Scope, Methodology and Criteria, Release and Utilization of Funds, Interest Subvention to ineligible accounts, Providing Interest Subvention to substandard accounts, Interest Subvention to more than one account of beneficiaries, Interest Subvention to KCC, ACC and loans under personal segment, Conclusion, Doubtful recovery of ₹ 104.51 crore, Wasteful expenditure in creation of Jammu and Kashmir Asset Reconstruction Limited, Industries and Commerce Department, Jammu and Kashmir IT Infrastructure Development Private Limited, Parking of surplus funds and loss of interest of ₹ 2.65 crore, Jammu and Kashmir Power Development Department, Jammu and Kashmir State Power Development Corporation Limited, Avoidable interest payment of ₹ 6.88 crore, Public Works Department, Jammu and Kashmir Projects Construction Corporation Limited and Avoidable interest payment of ₹ 0.32 crore.

Download Audit Report

• Report 5 of 2025: Report of Comptroller and Auditor General of India:Compliance Audit Report - Revenue and Public Sector Undertakings, UT of Jammu and Kashmir for period ended March 2022
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