E filing under form itr 4s

Save Share

This query is : Resolved

rajesh (Querist)

18 August 2013 I have a query in Books of Accounts to be fianlised for submission of
IT returns.

we have to file IT Returns in ITR 4S. i.e Presumptive basis

In our books, in P & L A/c we are having Closing stock balance higher
than Sales value. Mainly due to heavy purchases towards end of year
and lower sales.

Purchase cost has increased for the product. We are having only
trading business. Sales realisation will increase in this year only
when we sell these products.

we are regularly i.e every year paying IT.

So kindly advice we can submit the Balance sheet and P & L with
Closing stock value higher than full year sales

Please give your suggestion

C A S.S.Agarwal, M.Com.,LL.B,

C A S.S.Agarwal, M.Com.,LL.B, (Expert)

18 August 2013 Since you are valuing closing stock on purchase cost it is immaterial if your closing stock is more than your slaes. You should look into the net profit figure that it is below 8% and you are showing taxable income as 8% of your turnover then you can file 4S provided the sales is below 1 Cr.

Message likes : 1 times

rajesh

rajesh (Querist)

20 August 2013 Sir

Thanks for reply. But one doubt.

In your mail, you have mentioned you should look into net profit that it is below 8%.

for filing under ITR 4S, net profit should be more than 8%. Presumptive income and net profit are same. Thus net profit should be more than 8% for filing under ITR 4S.

Hope I am interpreting correctly. Kindly advice.

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