Necessary to show net profit 8% on turnover

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

15 April 2012 my client have a retail business of electric goods and wants to show net profit less than 8% on turnover and also not wants to making audit of his account.

answer according to a.y. 2012-13.

is it possible?

Vivek Mehta (CA, DISA,CS, MBA)

Vivek Mehta (CA, DISA,CS, MBA) (Expert)
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15 April 2012 No this is not possible...either get things audited or declare profit @ 8%

Message likes : 1 times

Guest

Guest (Expert)

15 April 2012 Agree with the expert.

Murtaza I Bhagat

Murtaza I Bhagat (Expert)
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15 April 2012 agree, do books of accounts audited or declared 8% or above profit

Prakash Kochar

Prakash Kochar (Expert)
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16 April 2012 Assessee required to get his accounts audit only and only if his profits from the business u/s 44AD are lower than 8% of this turnover and further his total income is more than maximum amount which is not liable to tax.
If as per books maintained profit is less than 8% and gross income is below the limit liable for minimum tax in such case no audit will be required.

C A S.S.Agarwal, M.Com.,LL.B,

C A S.S.Agarwal, M.Com.,LL.B, (Expert)
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16 April 2012 I agree with Prakash Kochar. As the assessee who is not showing income of 8% on turnover wants to show lower profit then he has to get his accounts audited u/s 44AB and section 44AA shall also be applicable.