28 December 2012
Sec. 44AD deals with the presumption taxation. It applies to every business other than the business of plying, hiring or leasing of goods carriage referred to in sec. 44AE.
Sec. 44AD is not applicable to profession. Further, sub sec. (6) of Sec. 44AD as inserted w.r.e.f. from AY 2011-12, the scheme of presumptive taxation is not applicable to :
(a) a person carrying on profession (b) a person earning income in the nature of commision or brokerage income ; or (c) a person carrying on any agency bsusiness.
Thus, Speculation business is covered u/s 44AD. The threshold limit of total turnover has been increased from Rs. 60 lacs to Rs. 100 lacs.
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