Form-7 Annual Audit Report: A Complete Guide for Promoters | RERA Filing

Real estate developers across India must comply with multiple RERA requirements — and Form-7 (Annual Audit Report) is one of the most important. Every year, promoters must submit this audit report to prove that project funds were used correctly and construction progress matches what was promised to homebuyers.

This guide breaks down what Form-7 is, who needs it, why it matters, and how RERA Filing helps promoters stay 100% compliant.

What Is Form-7 Under RERA?

Form-7 is the Annual Audit Report that every promoter must submit for each registered project.
It certifies:

      1.How much money was collected from allottees

      2.How much has been spent on the project

      3.Whether funds were used strictly for this project

      4.Whether the percentage of completion declared by the promoter is accurate

      5.Whether the withdrawal from the designated RERA bank account follows Rule 5 / Rule 20

      6.Any deviation or misuse of funds

This report must be issued by a Chartered Accountant (CA) and uploaded within the prescribed timelines.

Why Is Form-7 Important?

Form-7 is not just a formality — it is a legal requirement under RERA.

Key purposes:

     1.Ensures transparency in fund usage

     2.Protects homebuyers from misappropriation

     3.Tracks construction progress based on actual site status

     4.Helps the authority identify delays or financial risks early

     5.Prevents diversion of funds to other projects

     6.Builds trust and compliance for the promoter

Failure to submit Form-7 can lead to heavy penalties and even project deregistration.

Who Needs to File Form-7?

All promoters who have a RERA-registered project—whether residential or commercial—must file this report every financial year until the project receives the completion certificate.

This applies to:

     1.Builders

     2.Developers

     3.Joint venture promoters

     4.Landowners listed as co-promoters

What Does Form-7 Contain?

The CA verifies and certifies:

1. Project Funds

     1.Total collections from buyers

     2.Loans or advances received

     3.Project-specific bank account details

     4.70% escrow account compliance

2. Utilisation of Funds

     1.Construction expenses

     2.Land cost

     3.Material and labour payments

     4.Consultant fees

     5.Marketing & admin expenditure

3. Certified Percentage of Completion

This is one of the most scrutinized sections because it must match:

     1.Actual physical progress

     2.Architect’s certificate

     3.Engineer’s certificate

     4.Withdrawal from RERA bank account

4. Deviations, if any

Any mismatch or irregularity must be clearly mentioned.

Timeline for Filing Form-7

Form-7 is filed after every financial year concludes, generally:

     1.Due date: 30th September (varies by state)

     2.Must be filed for each RERA-registered project separately

Delays attract penalties.

Penalties for Not Filing Form-7

RERA authorities can impose:

      1.Daily penalties for late filing

      2.Fines up to 5% of the project cost

      3.Freeze of project bank accounts

      4.Suspension of RERA registration

      5.Blocking future project registration

      6.Action against the promoter under Sections 61 & 63

Staying compliant saves huge trouble, money, and reputation.

How RERA Filing Helps Promoters File Form-7 Correctly

At RERA Filing, we ensure a smooth and error-free Form-7 filing experience.

Our services include:

     1.Collecting and organizing financial data

     2.Coordinating with your CA for accurate certification

     3.Verifying fund utilisation patterns

     4.Matching progress % with engineer/architect certificates

     5.Preparing the Form-7 with zero errors

     6.Uploading on RERA portal

     7.Providing reminders for due dates

     8.Handling notices or queries from the Authority

We manage everything end-to-end so promoters stay stress-free.

Documents Required for Form-7

      1.RERA Registration Certificate

      2.Project bank account statements

      3.CA statements & financial ledgers

      4.Architect and engineer progress certificates (Form-1, Form-2)

      5.Expense invoices

      6.Sales/collection records

      7.Agreement copies & allotment details

Conclusion

Form-7 is more than a compliance rule — it is the backbone of financial transparency in real estate projects. Timely and accurate filing not only protects buyers but also enhances the credibility of the promoter.

If you're a promoter looking for hassle-free Form-7 filing, RERA Filing ensures complete support, accuracy, and timely submission.