sec 44AA

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jjose (Querist)
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16 March 2009 My client is a person carrying on profession as an Advocate, his Gross Receipts from the profession are as under:

FY Rs.
2005-06 1,15,000
2006-07 1,80,000
2007-08 2,10,000
My question is while filing the return for the AY 2009-10, for the question in ITR, Are you liable to maintain accounts as per sec 44AA. Is it YES or NO? please clarify

CA.SHAHZAD SAYYED

CA.SHAHZAD SAYYED (Expert)
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16 March 2009 U/s 44AA, A professional has to maintain the Books of A/c if his turnover in each of three Years increase from Rs.1,50,000/-, since in your case this condition is not satisfied so You have write "NO"in ITR

CA.Tarun Maheshwari

CA.Tarun Maheshwari (Expert)
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16 March 2009 Dear Shahzad, the provisions of Section 44AA says 'In any of the three years' and not each year. So if turnover is crossed Rs.1.20 Lacs in any of the three previous years, the assessee has to maintain books of account.

CA.SHAHZAD SAYYED

CA.SHAHZAD SAYYED (Expert)
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16 March 2009 R/Sir
Rs.120000/- limit is for Trader, and this limit may cross in any year as you say
But
For professional the Limit is Rs.150000/- and the limit should be crossed in all 3 Years

CA Nitin Wadhwani

CA Nitin Wadhwani (Expert)
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17 March 2009 Yes.
The limit is per year for specified profession.

M KRISHNAKUMAR

M KRISHNAKUMAR (Expert)
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17 March 2009 legal profession being notified profession assessee is required to maintain books of accounts for the previous year only if his gross reciepts from profession exceed Rs 150000 in all the three preceeding previous years. here books not required

jjose

jjose (Querist)
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17 March 2009 please clarify

Rajesh Kumar

Rajesh Kumar (Expert)
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17 March 2009 Yes. He is required to maintain books.
What is applicable to advocates is Section 44AA(1), where there is no exemtion. Everybody is required to maintain books of accounts in professions specified in clause (1).
The exemptions which are there is clause (2), regarding amount of income, is with respect to the professions not specified in clause (1) or other professions notified in clause (1).

CA Nitin Wadhwani

CA Nitin Wadhwani (Expert)
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19 March 2009 Please recheck the section Mr.Rajesh

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