Audit u/s44AB

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Ankit (Querist)
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04 October 2009 if an assessee have two separate business say A & B both business's receipts dont cross 40lacs individually but aggregate crosses 40 lacs he is required to get audit report or not?

CA CHINTAN AJMERA

CA CHINTAN AJMERA (Expert)
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04 October 2009 Yes he is required to get audit report.

CA Suresh Choudhary

CA Suresh Choudhary (Expert)
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04 October 2009 Yes he is required to get the accounts audited

Jitender

Jitender (Expert)
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04 October 2009 yes.

Ankit

Ankit (Querist)
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05 October 2009 What if busi. A's receipts more than 40 lacs but busi. B's recipts less than 40 lac?
then audit of both busi. is to be done or only of busi. A?

chetan soni

chetan soni (Expert)
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06 October 2009 As per section 44AB if the trunover or receipts of the business exceeds the limits specified then it is required to get tax audit u/s 44AB.

Sec. 44AB clearly mentioned that the receipts or turnover, it does not mentioned that the cumulative receipts or turnover of such assessee.

In my opinion there is no need to get the accounts audited unless the turnover of such business exceeds limits prescribed.

CA. Vinod Pandey

CA. Vinod Pandey (Expert)
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06 October 2009 Exactly, but first we need to look into the status of the assessee. If in above case, Mr. X has, being proprietory business A and B. If business:
- A's gross turnover is less than 40 lakh,
- B's gross turnover is more than 40 lakh, or
- In both A & B turnover is less than 40 lakh seperately but more than 40 lakh consolidated

Then also in all above cases, tax audit is compulsory.

Ankit

Ankit (Querist)
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08 October 2009 if assessee is individual and his both busi. i.e. Busi. A & B gross turnover exceed 40 lacs in F.Y.
then while giving audit report
a consolidated audit report is given or separated audit report for each kind of business?

Ankit

Ankit (Querist)
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11 October 2009

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