A revision of the tax audit report becomes necessary in many cases having reasons like apparent mistakes, incorrect information regarding facts, discovery of facts existing at the date of the audit report which are detected subsequently, etc. The nature of reasons varies from one company to another depending upon facts and situations. It involves many conditions which might exist. Revision is required depending upon the facts and circumstances of the particular case involved.

The cases where revision of the audit report is done are very rare in actual practice.  One should take due care and caution for the significance of the matter. Such a move by the auditor not only indicates the independence of the auditor to act freely but also gains confidence of the people involved in the profession.

In case of companies, the auditor may revise the report till the accounts appear before an annual general meeting. But where the companies are not required to adopt accounts by anybody, the auditor may revise the audit report within a reasonable time depending upon the facts and circumstances but not after issuance of the audit report for the accounts of the next accounting period.