Section 44AD : 6% & 8% Profit


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This discussion clarifies the profit percentage to declare under Section 44AD when sales are made on credit. If payments are due, the general rule applies. However, if dues are received after filing the relevant Income Tax Return (ITR), you must declare a minimum of 8% profit on those credit sales.

04 August 2023 If my sales includes, the payments of which are due, then what % of profit can I show ? 6% or 8%

04 August 2023 If the dues are received after filing relevant ITR, then minimum 8% over the credit sales.

11 September 2024 Good Luck.


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