The details of Working Capital of a proprietorship trading concern are as under
1.Own Capital of Prop.. Rs 500000.00
2.Loans from relatives Rs 600000.00
(on interest).
Total Rs 1100000.00
The trading concern used the above funds and earned income as under
1.Earn Nett Profit of Rs 30000 on Gross sales of Rs 900000 of Cattle feed.
2.Earn Nett Profit of Rs 80000 on Gram seed stock of Rs 400000 (stocked at other location traders)
3.When funds are ideal proprietor depositing Rs 1100000 in Banks and Loans to individual and earn Rs 100000 as interest.
So i want to know what will be the....
a.Business Income under section 44 AD.
b.Total income and income tax liability in the event when he depositing Rs 20000 in PPF account..
CAclubindia
