Regarding : income tax

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

12 May 2015 Respected Sir,
Our Proprietorship firm turnover is 52 lakh so please tell me about 8 % income tax of of gross sale( not required tax audit below turnover 89 lakh as per my knowledge) for income tax return.
our 80cc deduction is 24000/- ( LIC,Mutual fund Tax Saving )
sir please tell me of 8 % tax calculation exemption limit is 250000/-

Vishrut Shah

Vishrut Shah (Expert)
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12 May 2015 If you are into business other than agency, commission and plying, hiring of vehicles you will be eligible to claim benefit on non maintenance of books of accounts by declaring net profit of 8% of total turn over.

current limit for Tax audit is Rs. 1 cr (This is just for your information)

With reference to your current turnover of Rs. 52 Lacs please note that 8 % of the same shall come to Rs. 4,16,000/-. Out of which you can claim 80C benefit of Rs. 24,000/-

Hence your net taxable income shall come to Rs. 3,92,000/- on which tax liability shall come to Rs. 12,200/- (Assuming your age is below 60).

Nikhil Kaushik

Nikhil Kaushik (Expert)
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12 May 2015 you offer 8% of Rs 52 lakhs as profit. deductions under chapter VIA etc are to be deducted from the profit.

audit is not required as long as turnover is less than 1 cr and profit is atleast 8% of the turnover.

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