Firm at loss

This discussion explores whether a firm with a turnover below £1 crore can file its Income Tax Return (ITR) as a loss without undergoing a tax audit. While some professionals believe an audit is mandatory for business losses, others point out instances where returns without audits have been processed. The consensus leans towards the necessity of an audit to avoid a defective return, though some argue it's not required if the income is below the basic exemption limit.