What is the difference between CARO 2016 and CARO 2020

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Accepted Answer

CARO 2020 has expanded the scope of reporting requirements compared to CARO 2016.

CARO 2020 includes additional reporting requirements related to fraud, internal financial controls, and corporate social responsibility.
CARO 2020 mandates reporting on defaults in repayment of loans, deposits, and other dues to financial institutions.
CARO 2020 requires reporting on the adequacy and effectiveness of internal audit functions.
CARO 2020 has increased the threshold for reporting on related party transactions from Rs. 10 lakh to Rs. 20 lakh.
CARO 2020 has introduced new reporting requirements related to the utilization of loans and advances for the purposes for which they were obtained.

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