MSME & Income Tax
This query is : Resolved
26 March 2024
A Proprietory concern registered under GST,
but Not registered under MSME, also having turnover below tax Audit limit
If its Vendor are registered under MSME
Is Proprietary concern liable to clear its dues to their vender (regd in MSME) within 45 days ?
but Not registered under MSME, also having turnover below tax Audit limit
If its Vendor are registered under MSME
Is Proprietary concern liable to clear its dues to their vender (regd in MSME) within 45 days ?
26 March 2024
Yes it is. However, if the turnover is below the tax audit limit and if the vendor had opted for presumptive taxation u/s 44AD, then the the disallowance u/s 43B(h) will not be applicable as the section 44AD starts with "Notwithstanding anything contrary contained in section 28 to 43C".
However, section 43B(h) disallowance is not applicable to the vendors who are registered themselves as traders under MSME.
However, section 43B(h) disallowance is not applicable to the vendors who are registered themselves as traders under MSME.
Message likes :
1 times
26 March 2024
So any Buyer (Whether company/LLP/Firm/Proprietary) not registered under MSME and not opted for presumptive taxation has to pay within 45 days to its MSME registered vendors even if exempted from Tax Audit?
26 March 2024
Exactly, because unlike some of the TDS provisions, this is entirely different because, it is nowhere specified that it is applicable only to those who are liable to get audited u/s 44AB. hence, it is applicable, however the vendor needs to be either Micro or small and need to be either manufacturer or service provider and our registration under MSME is irrelevant.
Message likes :
1 times
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Opting our of sec 44AD
- Copyright software
- Transporter Declaration form
- Multiple trade mark
- Value of property in capital gain
- LC charges in relation to Asset purchased should be Capitalised ?
- Form 121 & TDS deduction
- Regarding appeal to GSTAT
- SALE OF MOTOR CAR BY REGISTERED INDIVIDUAL
- Regarding TDS Applicability For Director Remuneration
- GST Treatment of Insurance Commission for Existing GST Holder
- Cash gift by grand mother to her grand daughter
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
- No Compliences after incorporation
- USEFUL LIFE OF USED/SECOND HAND COMMERCIAL VEHICLES
- Claiming TDS deducted by builder on Hardship compensation and Corpus
- Address Change to another state of a Registered Trust with 12AB approval
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
