Tax payer has equity share income, speculation income and vegetables sale income.

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This discussion clarifies how different income types affect tax audit requirements. It explains that equity share income, if treated as an investment liable for capital gains, is not included in the turnover calculation for business audits. The focus is on the aggregate turnover of all businesses, including speculation and vegetable sales. A tax audit is generally applicable if the total business turnover exceeds Rs. 1 crore, assuming cash transactions are more than 5%.

Kinjal Bhadra

Kinjal Bhadra (Querist)
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03 September 2025 If tax payer has equity share income, speculation income, and other vegetables sale income, then what would be the turnover limit for audit

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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03 September 2025 Add up speculative income and business income for turnover limit.

Kinjal Bhadra

Kinjal Bhadra (Querist)
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04 September 2025 But... What is the turnover limit for.. audit because taxpayer has share sell turnover more then 1cr plus vegetables and speculation turnover is he liable for the audit?

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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04 September 2025 Shares turnover is not accounted if it is investment i.e liable for capital gain. Only aggregate turnover of all the businesses is calculated. Tax audit is applicable if the turnover is of Rs. 1 cr or above (assuming cash transactions more than 5%).

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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20 September 2025 Good Luck..

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