Tax audit

Save Share

This query is : Resolved

Vasant (Querist)
Follow

03 August 2011 I AM HAVING TRANSPORT BUSINESS NOT FALLING UNDER SEC.44AE, I AM HAVING TURNOVER OF RS.45,00,000/- AND PROFIT LESS THAN 8%.
SHALL I DEDUCT TDS FOR THE YEAR AND NEXT YEAR

MAHENDRA KUMAR BAGRECHA

MAHENDRA KUMAR BAGRECHA (Expert)
Follow

03 August 2011 Hi,

If you are not subject to tax audit and not covered u/s 44AE, then you need not to deduct tds if you are having proprietorship business. Regarding 8% declaration, it is applicable to 44AD cases and not to 44AE cases. Other experts views are welcome.

Vasant

Vasant (Querist)
Follow

04 August 2011 i have transport business on contract basis , I dont own any vehicle so it attract tds applicability?
my turnover is 45 Lacs & profit is less than 8%

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
Follow

06 August 2011 Since u do not own vehicles, section 44AE does not apply vide CBDT circular 684 dated 10/06/1994.
Your business ,thus, is covered under section 44AD.If profit is less than 8% audit under section 44AB is mandatory.
However, turnover being less than Rs.60/- lakhs, TDS provisions does not apply for financial year 2011-12 provided turnover given is for financial year 2010-11.

Message likes : 1 times

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now