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44ADA

manohar (manohar) (65 Points)

31 July 2018

my asseess have book profit of 320000 bt he declared profit under 44ADA rs 900000 than in filing itr any prblm is raise . n in form 4s gross receipt n net profit what profit shows means book profit or 44ADA profit

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7 Replies

CA Naveen Chand (Chartered Accountant) (12729 Points)
Replied 31 July 2018

GROSS RECEIPTS

AND PROFIT 8% OR MORE WHAT EVER U WANT TO SHOW

manohar (manohar) (65 Points)
Replied 31 July 2018

in 44ADA section profit is 50 % of gross receipt .

CA Naveen Chand (Chartered Accountant) (12729 Points)
Replied 31 July 2018

O YA 50% , 8% IN 44AD

RAJA P M ("Do the Right Thing...!!!") (127542 Points)
Replied 31 July 2018

@ Manohar.,

What is the nature income to the Assessee...?
He is doing professional or Business...?

If professional then Profit will shown 50% of the total receipts or Turn Over u/s 44ada...

If business then he can show 8 percent profit...

So,
Specify the nature of Income...

manohar (manohar) (65 Points)
Replied 31 July 2018

professional

RAJA P M ("Do the Right Thing...!!!") (127542 Points)
Replied 31 July 2018

Well...

If Professional then He can file as per above way.

Peeyush (Proprietor) (54 Points)
Replied 31 July 2018

Originally posted by : manohar
	my asseess have book profit of 320000 bt he declared profit under 44ADA rs 900000 than in filing itr any prblm is raise . n in form 4s gross receipt n net profit what profit shows means book profit or 44ADA profit

Considering his "Profits / Gross receipts " ratio as 50% or higher he should not have any issues in ITR 4s. If he has shown lesser profits/gains than 50%; he probably has to get his books audited.