CA Saurabh Singh
(Practising Chartered )
(974 Points)
Replied 10 June 2016
Hi Vipin,
Sec 44AA following are the persons who are required to maintain books of A/c
(i) if his income from business or profession exceeds one lakh twenty thousand rupees or his total sales, turnover or gross receipts, as the case may be, in business or profession exceed or exceeds ten lakh rupees in any one of the three years immediately preceding the previous year; or
(ii) where the business or profession is newly set up in any previous year, if his income from business or profession is likely to exceed one lakh twenty thousand rupees or his total sales, turnover or gross receipts, as the case may be, in business or profession are or is likely to exceed ten lakh rupees, during such previous year; or
(iii) where the profits and gains from the business are deemed to be the profits and gains of the assessee under section 44AE or section 44BB or section 44BBB, as the case may be, and the assessee has claimed his income to be lower than the profits or gains so deemed to be the profits and gains of his business, as the case may be, during such previous year; or
(iv) where the provisions of sub-section (4) of section 44AD are applicable in his case and his income exceeds the maximum amount which is not chargeable to income-tax in any previous year,
Hence if u satisfy any one of the mentioned criteria you need to maintain seperate books of A/c.
CA Saurabh Singh
(Practising Chartered )
(974 Points)
Replied 10 June 2016
Vipin,
You qualify the first basic condition i.e, your income from business exceeds 1.2lakhs, hence you are required to maintain books of A/c.
However if you donot opt to maintain books of ac you need to follow presumptive taxation u/s 44AD declaring minimum profit of 8% of your total income.
CA Saurabh Singh
(Practising Chartered )
(974 Points)
Replied 11 June 2016
From which source are you getting income like if from Insurance Then You can simply show Insurance aGENT OR IT IS FROM UNDEFINED SOURCE YOU CAN SIMPLY MENTION COMMISIION AGENT
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