Regarding tax audit

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SABREZ ALAM (Querist)

19 June 2017 Mr A distributor purchase sim & recharge from idea company and sale in retail .Total deposit in bank 98 lacks fy 16-17 . Commission from idea company 5.7 lacks by selling sim & recharge my question is prefer to tax audit taking 98 lacks as a turnover or file itr only taking Commission by less business expenses he did not want to show income 8% thanks

Nikhil Kaushik

Nikhil Kaushik (Expert)

19 June 2017 only the commission forms part of your gross income. Anyway he cannot claim 8% presumptive profit by virtue of ineligibility for commission based businesses.

Amol S Joglekar

Amol S Joglekar (Expert)

19 June 2017 for commission you can not opt for presumptive taxation

SABREZ ALAM

SABREZ ALAM (Querist)

20 June 2017 thanks sir

SABREZ ALAM

SABREZ ALAM (Querist)

20 June 2017 but sir in bank turnover is Rs. 98 lacks regarding this sale purcahse of sim you mean i left bank turnover. income tax dept will not question about this turnover plz clarfiy

Nikhil Kaushik

Nikhil Kaushik (Expert)

20 June 2017 depends on the documentation. If you are working on commission, then gross value of recharge should not show up as your revenue as such.

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