Itr 5

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Querist : Anonymous

Querist : Anonymous (Querist)

29 July 2012 Dear experts,
A partnership firm opting Section 44AD and its gross receipts are Rs. 4400000/- and net profit @8% comes to Rs. 352000/- and interest on capital + salary of partners comes to Rs. 332000/- and after appropriation net profit remains to Rs. 20000/-.
When filing ITR 5, col. no. states as -

a Gross receipts - 51a - Rs.4400000/-
b Gross profit - 51b - Rs. 352000/-
c Expenses - 51c - Rs. -----
d Net profit - 51d - Rs. -----

What to fill in col. 51c and 51d and how to show their interest and salary in no a/c case.
If I fill Rs. 32000/- in col. 51c and Rs. 20000/-in col. 51d,
Then I am worried that Department can issue notice that my profit is less than 8% in col. 51d
What is good optin between efiling and manual return in above case, as I think that I can make a remark in col. 51C of manual return that col. 51c is for allowable interest and salary, but it can not be done in efiling.
Please advise me.

Thanks in advance.

CA PARAS BAFNA

CA PARAS BAFNA (Expert)

29 July 2012 Do not Fill up the figures of Gross Profit.
Fill up 51c : 4380000

Querist : Anonymous

Querist : Anonymous (Querist)

29 July 2012 Whether the cpc would accept it, as net profit @ 8% is reqired

CA PARAS BAFNA

CA PARAS BAFNA (Expert)

29 July 2012 In case of Firms 8% income is required to be shown but you can't say it as Gross Profit.
.
Expenses also include Partner's Salary and Interest on Capital.
.
CPC will accept the return.
.
Fill up the details relevant with partners' share etc properly.
.

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