tax [Resolved] | Income Tax #871345

This query is : Resolved

Mohini (Querist)
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18 January 2012 dear sir,

I am ruining beauty product business, and i don't want to maintain accounts books & my total sales or turnover between 40lac to 60 lacs suppose i want to pay tax on this without maintain accounts books or audit it is possible . what is % of tax & under which scheme. or which sec ,

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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18 January 2012 I have heard about the vigilant Karnataka VAT Department. You may get VAT No and choose a suitable Scheme under the K VAT.
.
U/s 44AD : you can show business income @ 8% on turnover. You have to pay tax according to applicable slabs of IT.
(turnover <= 60.00 lacs)
.
Suppose 50.00 lac is the Turnover .
4.00 lac is Income
Deduct LIC premium etc from it.(I know you do not pay any.)
In case of female assessee 4.00-1.90=2.1 lac
Tax @ 10.3% has to be calculated which is 21630/-.

C.P.CHUGH

C.P.CHUGH (Expert)
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19 January 2012 CA Bafna is right, in case you are in the business of resale of beauti products and your turnover exceeds Rs. 5.00 Lac a year, you are required to get your self registered under the local VAT act, in whichever State you carry on your business. Do get yourself registered.

2. As regards income tax, you may choose to file your income u/s 44AD of the act and offer for taxation net income calculated at the rate of 8% of your total turnover (Non exceeding Rs. 60.00 Lacs).

You would off course be entitled to deductions under chapter VIA of the Act on the basis actual payments made by you on specified investments.

Mohini

Mohini (Querist)
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19 January 2012 thank you sir.

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