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44AD Cases - What documents need to be maintained ?

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Arunachalam

Proprietor

191 Points Posted on 15 December 2023

Hi Everyone,

As we do not need to maintain books of accounts for 44AD cases, what other documents are must to file ITR under 44AD cases. Not just for filing, in case of scrutiny, do we need to produce purchase, sales and expenses bills even if the business turnover is less than 30 lakhs?

Replies (3)

Quick Summary

For businesses filing under Section 44AD, maintaining traditional books of accounts isn't required. However, it's advisable to keep bank statements and records of electronic transactions. This is particularly important in case of future scrutiny, even if your business turnover is below £30 lakh, to substantiate your declared income.

RAJA P M

"Do the Right Thing...!!!"

128157 Points Posted on 15 December 2023

No need worry Mr.Arunachalam...

Filing u/s 44ad is not maintained books of Accounts case.
So, No need any documents.

But, If you are feel like any future problems then just keep Your bank statements and any income through Electronic mode...

Arunachalam

Proprietor

191 Points Posted on 15 December 2023

Thanks so much. So, other than bank statements, nothing else is required for 44AD cases. Thanks for your confirmation.

Out of curiosity I am asking this, is there any Section under Income Tax Act explicitly stating that only bank statements are sufficient for 44AD cases?