Resource guide

Temple Trust Annual Audit Checklist — 20-Point Guide

Updated January 2025 · For temple trustees, trust treasurers and charitable institution administrators

Related: Reports & insights · Receipt management · Expense management · 80G receipt guide · Trustee responsibilities · For trusts · Pricing

Why temple and trust audits fail — and how to prevent it

Annual audits are mandatory for all registered charitable trusts and temple trusts in India. Yet many institutions approach audit time scrambling for receipts, reconstructing expense records and explaining gaps to their CA. This checklist helps you prepare systematically — and shows you which items Sanstha ERP handles automatically.

Sanstha ERP handles 16 of these 20 items automatically

20-point audit checklist

  • 1. Complete donation receipt register

    Auto in Sanstha ERP

    Every donation received must have a receipt with sequential numbering. Your CA will verify receipt numbers are continuous with no gaps.

  • 2. 80G receipts with all mandatory fields

    Auto in Sanstha ERP

    All 80G receipts must contain donor PAN, institution's 80G number, amount in words and figures, payment mode and transaction reference.

  • 3. Expense vouchers for all payments

    Auto in Sanstha ERP

    Every payment made by the trust must have a supporting voucher — vendor name, amount, purpose, payment mode and authorised signatory.

  • 4. Bank reconciliation statement

    Semi-auto

    Cash book and bank passbook must match. Your CA will check for unexplained differences between books and bank records.

  • 5. Donor-wise contribution list with PAN

    Auto in Sanstha ERP

    A list of all donors, their donation amounts and PAN numbers for the year — required for Form 10BD filing.

  • 6. Trustee contribution records

    Auto in Sanstha ERP

    Individual contribution records for each trustee, showing amounts, dates and receipt numbers.

  • 7. Income-expense statement (P&L)

    Auto in Sanstha ERP

    A complete statement of all income and expenses for the financial year — the primary document your CA will audit against.

  • 8. Opening and closing balance sheet

    Semi-auto

    Assets and liabilities of the trust at the start and end of the year. Must match the previous year's closing balance.

  • 9. Fixed asset register

    Manual

    If the trust owns property, vehicles or equipment, a fixed asset register showing cost, depreciation and book value is required.

  • 10. Investment records

    Manual

    Any investments made from trust funds — FDs, mutual funds etc. — must be documented with certificates and statements.

  • 11. Form 10BD acknowledgement

    Semi-auto

    Confirmation that Form 10BD (annual donor statement) was filed with the Income Tax department by 31st May.

  • 12. Previous year's ITR-7 acknowledgement

    Manual

    Copy of the previous year's income tax return filing acknowledgement.

  • 13. 80G registration certificate

    Manual

    Current 80G registration certificate — check validity date. Expired registrations invalidate all receipts issued after expiry.

  • 14. Trust deed and registration certificate

    Manual

    Original trust deed and registration documents. Your CA may ask for these to verify the trust's objects and trustee authority.

  • 15. Category-wise expense summary

    Auto in Sanstha ERP

    Expenses broken down by category — salaries, festival expenses, maintenance, charity disbursements etc. Auditors check for unusual category spikes.

  • 16. Cash-in-hand verification

    Manual

    Physical cash held must match the balance shown in books. Your CA will verify this on audit date.

  • 17. Hundi and donation box records

    Auto in Sanstha ERP

    Daily hundi collection records with dates, amounts and witness signatures. Temple-specific requirement.

  • 18. Staff salary and TDS records

    Semi-auto

    Salary register for all paid staff and TDS deducted and deposited. Required if trust has employees.

  • 19. Meeting minutes and resolutions

    Manual

    Copies of trustee meeting minutes where financial decisions were approved — major expenses, investments, trustee changes.

  • 20. Foreign contribution records (if applicable)

    Manual

    If your trust receives foreign donations under FCRA, separate records of foreign contributions and their utilisation are mandatory.

Sanstha ERP automatically prepares items 1, 2, 3, 5, 6, 7, 9 (partially), 15 and 17 from your routine donation and expense entries. That is 9 out of 20 items handled without any extra effort.

Start using Sanstha ERP before your next audit

How to use this checklist

  1. 1

    Start 3 months before audit

    Begin collecting documents. Identify gaps early.

  2. 2

    Use Sanstha ERP for daily entries

    Every donation and expense entered generates the receipts, vouchers and reports you need automatically.

  3. 3

    Hand your CA a complete package

    At audit time, export all Sanstha ERP reports and combine with your manual documents. Your CA will thank you.

Audit checklist — FAQ

For charitable trusts and institutions registered under Section 12A/12AB of the Income Tax Act, the audit report in Form 10B or 10BB must be filed along with ITR-7. The due date for filing ITR-7 is typically 31st October of the assessment year (i.e., 6 months after the financial year ends on 31st March). Check the current year's due date as it may be extended by the CBDT.

Form 10B is the audit report that a Chartered Accountant must prepare for charitable trusts and institutions registered under Section 12A. It certifies that the trust's accounts have been audited and confirms compliance with the conditions of registration. Institutions with gross receipts below ₹5 crore in a year may file Form 10BB instead.

Yes. Failure to file the mandatory audit report and ITR-7 can result in the loss of Section 12A/12AB registration — which means the trust loses its income tax exemption and all future donations become taxable. It also triggers penalties under the Income Tax Act. Timely filing is essential.

We recommend starting at least 3 months before the audit date. This gives enough time to identify missing receipts, reconcile bank accounts, compile donor lists for Form 10BD and address any discrepancies. Institutions using Sanstha ERP for daily management typically find that most of the checklist is already complete — audit preparation takes hours rather than weeks.

Be audit-ready all year, not just in October

Sanstha ERP keeps your receipts, vouchers and reports organised automatically.

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