Audit u/s 44ad

Hi there,

Tax Audit under 44AB is done when assessee show NP of Less than 8% or  If his Turnover exceeds Rs. 1 crore.

No Audit is done under Section 44AD
 

Yes it is counted and presesntly the limit has been increased to 60 by ICAI.

For Reference:- Section 44AB(d)

Basically audit is done under section 44AB(d) here. so it will be counted in limit of 60.

The Council of ICAI has clarified that for counting the limit of 45 (now 60) audit under 44AB r/w 44AD will NOT be considered.

Note that limit has been increased from 45 to 60 and the said limit will be effective for the audits conducted during the financial year 2014-15 and onwards.

Also, audits conducted under Section 44AD, 44AE and 44AF of the Income Tax Act, 1961 shall not be taken into account for the purpose of reckoning the “specified number of tax audit assignments”.