New Section 44 AD

This query is : Resolved

Abhi123 (Querist)
Follow

07 June 2011 From A.Y. 2011-2012, New section 44 AD is applicable to any business.

A partnership firm doing manufacturing business having T.T. O. Rs. 55 lacs for 2010-2011.
Whether is it compulsory to show 8% profit of total receipts

Can it show 8% profit with out giving b/s and profit and loss account

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
Follow

07 June 2011 Section 44AD attracts. Two options are available viz.,
1) declare 8% of turnover as profit subject to deduction of 40(b).
2) declare less than 8% and audit the accounts under section 44AB.