Assessment of income-presumptive basis or normal basis?

it is up to you whether to show under 44ae or normal...... for sake of simplicity and non maintenance of accounts, you can show income under 44ae. however if proper books have been maintained, and also that your income is greater than as calculated under 44ae then you can file itr under normal prov.

Originally posted by : Tribhuvan Aditya Singh
	it is up to you whether to show under 44ae or normal...... for sake of simplicity and non maintenance of accounts, you can show income under 44ae. however if proper books have been maintained, and also that your income is greater than as calculated under 44ae then you can file itr under normal prov.

DEAR aditya,

no accounts are being maintained here and therefore i can file under 44ae i.e simply 5000 p.m..RIGHT???

on the other hand, 

We all know that in most of the cases it will be above than 44ae i.e rs5000 as in my case (say rs 8000) .So whether I can not file under 44ae?? and should file it normally ??

i also said that proper books should have been maintained, only then file return under normal prov.... but as you say no books are maintained then it is better to show under 44ae.

if you have proper bills and evidences to prove the turnover then it is better to file ITR 4S

Originally posted by : Tribhuvan Aditya Singh
	i also said that proper books should have been maintained, only then file return under normal prov.... but as you say no books are maintained then it is better to show under 44ae.

although i am quite agree with what you said. even thats my view as well.

if i claim that income per month is less than 5000 then there is a requirement for maintaining proper books ...right????

now say income is around 10000 or 12000 and people file under 44ae and claim their income 5000 per month which is not in reality..dont you think there is lack of transparency in presumptive basis on the part of department??

i hope u understand what is pinching me here...

thanks 

i think... you are taking limit of 5000 under 44ae as fixed... it is not so... you may declare income higher than that but in no case it can be less than 5000.. this is because i.t.dept is of view that it is not feasible for every assessee to keep and maintain proper books and thus has introcuded concept of presumptive taxation where it is assumed that min. income is 8% of gross receipts for 44ad and 5000p.m. for 44ae. so is it the min. limit but not max.... you can declare higher income if you wish to...

Originally posted by : Akhil Manohar
	if you have proper bills and evidences to prove the turnover then it is better to file ITR 4S

hi akhil,,

ITR-4S is filed when we do not have proper books of accounts ..

and when we assess income on presumptive basis,then ITR-4S is filed na ??