SEC 44AD

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Ragu (Querist)
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07 June 2011
Has the new sec.44 AD of Income tax act increased the scope from 'RETAIL TRADE BUSINESS' to ' ALL BUSINESS'?
If yes,then will all commission agents,indigenous bankers,computer service centres whose turnover is less than 60 lacs and not showing presumptive income of 8% are required to get their books audited.

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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13 June 2011 Yes, the scope of new Section 44AD has been widened and applicable to wholesale business also unlike the old Section 44AF.

The Assessees from the category - you have mentioned in your query, will require to get their books audited if the profit shown is below 8%.