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Audit u/s 44ab of assessee having 2 businesses

Stat Audit 669 views 4 replies

ayush khandelwal

articled assistant

53 Points Joined November 2013

An Individual Assessee having 2 businesses viz.

1) Retailing Busniess (Turnover around 2 crore);

2) Share Trading Business(Turnover around 18 Lacs);

my query is that, do the Auditor has to audit both the busniesses or only the retailing busniess attarcts provision of Tax Audit ???

Replies (4)

CA SONIYA AGARWAL

self practice

3005 Points Joined December 2009

BOTH THE BUSINES GROSS RECEIPT WILL ME MERGED AND ONE CONSOLIDATED B/S + P/L WILL ME MADE IF INDIVIDUAL HAS BOTH BUSINESS ON PROPERITORSHIP , HENCE BOTH THE BUSINESS WILL BE AUDITED

sharvan kumar

94 Points Joined September 2014

In the eyes of income tax department you have only one pan so both of your business will be compiled and tax audit will be on compiled basis because you are a single entity in eyes of income tax law

satyashi

Student C.A. final

212 Points Joined November 2013

DEAR AYUSH AS PER THE LAW IN CASE OF PROPERIETORSHIP BUSINESS THE OWNER & BUSINESS IS NOT A DISTINCT ENTITY ACCORDINGLY THERE WILL BE SINGLE F.S PREPARED FOR THE ASSESSEE NOT FOR BUSINESS. THANK YOU