Applicability of Tax Audit
This query is : Resolved
Quick Summary
18 October 2020
If Tax Audit is required in following case :-
Sales Turnover in FY 2019-20 : Rs 1.45 cr
Whether Net profit is >= 8% (or 6%) : No
Whether Cash Receipts or payments greater than 5% each : No
Whether profit declared as per presumptive taxation scheme in any of the five preceding years : No
Whether opted for presumptive taxation u/s 44AD : No
Whether Tax Audit applicable? If yes, under which section?
Please confirm that Net profit percentage below 8%/6%, or even loss would not force a Tax audit in this case!
Thanks.
Sales Turnover in FY 2019-20 : Rs 1.45 cr
Whether Net profit is >= 8% (or 6%) : No
Whether Cash Receipts or payments greater than 5% each : No
Whether profit declared as per presumptive taxation scheme in any of the five preceding years : No
Whether opted for presumptive taxation u/s 44AD : No
Whether Tax Audit applicable? If yes, under which section?
Please confirm that Net profit percentage below 8%/6%, or even loss would not force a Tax audit in this case!
Thanks.
18 October 2020
Tax audit not applicable inview of cash receipts and payments not exceed 5%.
18 October 2020
Thanks Seetharaman Sir.
That means profit < 8%|6% is immaterial as Sec 44AD is not opted!
Pls do confirm. Regards.
That means profit < 8%|6% is immaterial as Sec 44AD is not opted!
Pls do confirm. Regards.
19 October 2020
Yes, it's confirmed tax audit not applicable inview of 44AD not opted during previous year.
19 October 2020
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