Loss from business and profession

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

24 July 2013 On Sales of 13 Lakhs. Assessee is having Business Loss of Rs. 5 Lacs. Is it necessary to gets accounts audited?

Dintakurthi Tirumala

Dintakurthi Tirumala (Expert)
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24 July 2013 First of all he must and should required to maintain regular books of accounts and if his total taxable income exceeds basic exemption limit then required to make TAX AUDIT u/s 44AB.

OM SAI SRI SAI JAI JAI SAI

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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24 July 2013 IF gross turnover of business exceeds Rs.1 crore then only tax audit is applicable.

In ur case sale ( assuming to be Gross) is less then Rs.1 Cr therefore accounts not required to be audited.

Querist : Anonymous

Querist : Anonymous (Querist)

24 July 2013 Assessee is keeping regular books of account and his gross turnover is 13 Lakhs. Rule for compulsory tax audit if income below 8% of turnover wont apply to this case?

Dintakurthi Tirumala

Dintakurthi Tirumala (Expert)
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24 July 2013 If his total income doesn't exceeded basic exemption limit then tax audit doesn't apply.

Total income means aggregating of all his incomes(including other sources) after deduction of chapter VIA deductions and other deductions if any.

OM SAI SRI SAI JAI JAI SAI

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CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
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24 July 2013 no tax audit if sec 44AD is invoked.

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Querist : Anonymous

Querist : Anonymous (Querist)

24 July 2013 Its a Partnership Firm and there is no other Income..Its just the Loss to be Carried Forward to subsequent Year

Dintakurthi Tirumala

Dintakurthi Tirumala (Expert)
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24 July 2013 Then basic exemption limit for partnership form is 0(ZERO). and your income is less than 0 i.e negative value so you need not to make tax audit u/s 44AD.

OM SAI SRI SAI JAI JAI SAI

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