Sec 44ad

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Shekhar Agarwal (Querist)
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28 July 2017 There was an amendement in section 44AD that partnership firm have to show profit at 8% after allowing for partners salary and interest ?? It is applicable from which assessment year?? Plz clarify

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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28 July 2017 There was an amendment in section 44AD that partnership firm have to show profit at 8% before allowing for partners salary and interest. It is applicable from assessment year 2017-18.

RAJA P M

RAJA P M (Expert)
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28 July 2017 Yes. It's applicable AY 2017-18

Shekhar Agarwal

Shekhar Agarwal (Querist)
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29 July 2017 That means that after showing 8% profit, they can still claim Interest on Partners Capital and Salary without Audit??

RAJA P M

RAJA P M (Expert)
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29 July 2017 No.... If you opt u/s 44AD you can show profit 8% and above. The 8% is after calculate Remuneration and Interest to Working partners.....

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CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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29 July 2017 No salary and interest can be deducted from 8% profit.