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Audit Rules For Income in Share Market

Others 118 views 2 replies

Priyanka Upadhyay

1 Points Joined May 2022

Dear All,

I have a partnership firm and I do trading through that firm and its a 2 years old firm.

Last year I had incurred a loss in the firm and have submitted the return accordingly.

This year I am in profit as per my P/L report but if I put my expense(All are done online) my income or profit is negative.
My turnover is 4 cr. so if I file my return showing loss do I need to do audit of my file.
Please help...

Replies (2)

CA Puja Sharma

Chartered Accountant

5010 Points Joined March 2020

If Cash receipt and payment are up to 5%, then there is no need to get your accounts audited up to Rs. 10 Crore of turnover.

Otherwise, a tax audit is applicable if total sales, turnover or gross receipt from the business during the previous year exceeds Rs. 1 crore

CA Rashmi Gandhi

Chartered Accountant

86500 Points Joined April 2011

Audit is compulsory if turnover exceed Rs.1,00,00,000/-. If you do not want to gets your accounts audited then you have to declare 6% of turnover as your income compulsorily u/s 44AD.