a person has earned Rs. 2 lacs from F&O transaction in shares (22 lacs and 24 profit resulting in net profit of Rs.. 2 lacs) and Rs. 5 lacs in cash. IN this case, is the tax audit prescribed u/s 44AB of the income tax act is applicable?
Menu
is tax audit compulsory in following tyhe case?
Replies (2)
Dear Prasanna,
Tax audit prescribed u/s 44AB would not be applicable, as F&O turnover is not covered under the tern “Gross Turnover”. Moreover, I think tax audit prescribed u/s 44AB would be applicable if the turnover would have crossed 40 lacs, as the section provides the amount of gross receipts and NOT the amount of profit earned as the threshold for applicability of tax audit.....In your question as the amount does not cross 40 lacs, tax audit is not applicable..
Recent Threads
- ITR not processed for the FY 2024-25
- Gift of money to my wife.
- Tax Audit If you show Loss
- GST Tax invoice Value Rs..234000
- Can I claim benefit under 54F if I sell my equity
- Income tax refund 25/26
- Who is responsible for paying GST Liability (If th
- Excess Payment on RCM
- AOC4 auto population of previous year data
- Exports against INR PO payable by Domestic Company
Related Threads
CAclubindia
