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Applicability of tax audit to individual

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Querist : Anonymous

Querist : Anonymous (Querist)

25 July 2013 Please clarify:

If an Individual (non-salaried) is having loss in FY 2012-13 due to Depreciation & Interest, then whether Tax Audit Applies to him??

Under Which Section??

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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25 July 2013 Tax audit depends upon the turnover limit.
In case turnover exceeds 1.00 crore - irrespective of the losses, tax audit is required U/s 44AB (a).
.

Querist : Anonymous

Querist : Anonymous (Querist)

25 July 2013 Thanks Sir. Thats right. But what will be the situation, when turnover is below 1 crore, say Rs. 5 lacs and he incurs loss as aforesaid, then whether he will have to carry out tax audit?

CA PARAS BAFNA

CA PARAS BAFNA (Expert)
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25 July 2013 As per plane reading of Section 44AD(5) he is not required to get his accounts audited if his Total Income is below the taxable slab.

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