If a partnership firm have no profit or loss is come under tax audit or non tax audit.

Save Share

This query is : Resolved

Quick Summary

If a partnership firm has no profit or loss, it generally does not require a tax audit. This is because tax audits are typically triggered by turnover thresholds. Since there were no sales and no cash transactions in this specific case, and it's the first time filing, no tax audit is applicable as there is no turnover.

G Prathiba

G Prathiba (Querist)

21 December 2022 if a partnership firm have no profit or loss is come under tax audit or non tax audit.
Please give explanation.

Thanks in advance.

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)

21 December 2022 What is the turnover?
What are the percentages of cash receipts & payments w.r.t total receipts & payments respectively?
Whether sec. 44AD of the act, was opted in any preceding years?

G Prathiba

G Prathiba (Querist)

22 December 2022 Sir, no sale made during the year.
no cash transaction.
first time enter into return filing.

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)

22 December 2022 In that case no tax audit applicable, as no turnover.

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