Is this situation is liable to compulsory audit?

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SARBJIT (Querist)

02 December 2011 Hello sir,
i m discussing the situation as under that i have already discuss with lots of tax expert but no one is giving me the similar / right view.

The situation is: -
I m having a sale of 30lakh from Export sale of fabric & against this sale i am having a net profit as per books is 150000/-. I am also having some other income like as rental income (Rs.200000/-), int. income (Rs.5000), draw back (Rs.150000/-)etc. Sir, my main point is here that i want to consult to you, is it possible to file the ITR without audit (as per section 44-AB) and i also don`t want to go with section 44-AD of income-tax act`1961. Sir, some of the tax expert and also CA is saying to me that we can`t file our business profit below then 8% as my net profit is coming as per books is near 5.20% (approx).

Now, my main question to you sir is it possible to file the return in ITR 4 without audit in the above situation or not?
and i also don`t want to go with section 44-AD.

Hope for the best suggestion.

Thanks & Regards
sarbjit

Iqbal Singh Grover

Iqbal Singh Grover (Expert)

03 December 2011 Since ur business profit is less than 8%, u have to get ur books audited..
In case u dont want to get ur books audited then ur business profit will be deehed to be 8% of sales which comes to 240000..
Other incomes will be added to this business income to arrive at ur gross income..

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