Audit Applicability us 44AB


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Quick Summary
This discussion clarifies audit applicability under Section 44AB of the Income Tax Act, specifically concerning presumptive income under Section 44AD. It addresses a scenario where a business has a turnover of ₹1.30 crore under Section 44AD, with a presumptive income of ₹7,80,000 calculated at 6%. The core question is whether this turnover threshold necessitates a tax audit.

(Querist)
22 August 2025 🔍 Breakdown of Your Income Details:

Particular Amount (₹)

Presumptive Business Turnover (44AD) ₹1.30 crore
Presumptive Income @6% (u/s 44AD) ₹7,80,000 as my cash transaction <5%
F&O Trading Turnover (Non-Speculative) ₹6.20 lakh
F&O Trading Loss ₹1,14,000 (Loss)
Other income ₹14,000

Can i show my main business in 44AD and F&O loss in normal PGBP income ? To avoid audit requirements?


22 August 2025 Yes.

22 September 2025 Good luck..


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