44ad expert opinion required

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

18 March 2015 Business comes under 44AD
t/o 35 lakh.
actual profit comes 1.75 lakh i.e. 5%.
.query is,
1. Whether audit required bcoz profit is below 8% ?
2. I think not required bcoz profit is below basic exemption limit i.e. 2 lakh, what u say ?
3. Whether requirement of books of a/c mandatory uner 44AA as t/o and profit exceed 10 lakh and 1.20 lakh ?
4. Whether this case comes under scrutiny if we declare above mentioned profit?
I ALWAYS CONFUSING IN THIS TYPE OF SITUATION.
THANKS IN ADVANCE.

Querist : Anonymous

Querist : Anonymous (Querist)

18 March 2015 Kindly reply........

CS Advocate Abhishek Goyal

CS Advocate Abhishek Goyal (Expert)
Follow

19 March 2015 AS per the provisions of section 44AD audit under section 44AA is necessary if twin conditions are satisfied that is profit declared below 8% and total income exceeding taxable limit which is not your case so going by the provisions no audit is required. Maintenance of books u/s 44AA on a turnover exceeding 10 lakh applies only to professionals and not business. In case of business turnover limit for audit is Rs. 1 crore.

Message likes : 1 times

Querist : Anonymous

Querist : Anonymous (Querist)

19 March 2015 Thanks abhishekji for reply.
What about evidence required regarding income/expense if ITO demands.

CS Advocate Abhishek Goyal

CS Advocate Abhishek Goyal (Expert)
Follow

20 March 2015 In that case only option will be to state that the case is no accounts case u/s 44AD so no books are maintained but regarding expenses vouchers, bills etc wherever applicable may be preserved so that the same can be produced before the AO.

Message likes : 1 times

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Summarize this with AI

ChatGPT Perplexity Claude Google AI Grok

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

Dhananjay Singh

Hmr Babu

Mikilesh Shah

CA Jyoti Singh

Phani

Subscribe Now

44ad expert opinion required

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

Accountant

GST CONSULTANT

GST CONSULTANCY

Manager- Finance and Compliance

Article Assistant

CA Final