if I did not opt for 44ad in ay 17 18 can i opt for 44ad in ay 18 19?
MANASI NALAWADE (STUDENT) (27 Points)
09 August 2018if I did not opt for 44ad in ay 17 18 can i opt for 44ad in ay 18 19?
RAJA P M
("Do the Right Thing...!!!")
(126697 Points)
Replied 09 August 2018
Vaishnavi Ganesh
(Chartered Accountant)
(861 Points)
Replied 09 August 2018
Yes, you can opt 44AD provided you continue to adopt the same for the next 5 AYs
RAJA P M
("Do the Right Thing...!!!")
(126697 Points)
Replied 10 August 2018
rama krishnan
(12234 Points)
Replied 10 August 2018
RAJA P M
("Do the Right Thing...!!!")
(126697 Points)
Replied 10 August 2018
rama krishnan
(12234 Points)
Replied 10 August 2018
Vaishnavi Ganesh
(Chartered Accountant)
(861 Points)
Replied 10 August 2018
rama krishnan
(12234 Points)
Replied 10 August 2018
Saifullah Khalid
(Autodidact/Curious )
(633 Points)
Replied 10 August 2018
Originally posted by : rama krishnan | ||
ass per section 44AD(4), if any assessee opts out of 44AD(1), then he will not be eligible to opt for 44AD for next 5 A.Ys immediately succeeding the A.Y. in which the A.Y. computed his total income according to the normal provisions of the income tax act and he is obliged to audit his books of account for those years. this is what spelt in Section 44AD(4) and 44AD(5). now the point under dispute is, in act it is given as w.e.f. 01/04/2017... whether this 01/04/2017 denotes A.Y. or. F.Y |
" Pre condition " is the assesse " Should have Opted in " in previous year...so an assesse who was`nt assessed under 44AD in previous year (previous to the F.Y this ammended regarding this compulsory 5 year clause came into force ) is eligible to file under 44AD ...
rama krishnan
(12234 Points)
Replied 11 August 2018
RAJA P M
("Do the Right Thing...!!!")
(126697 Points)
Replied 11 August 2018
Saifullah Khalid
(Autodidact/Curious )
(633 Points)
Replied 12 August 2018
Originally posted by : rama krishnan | ||
attention Mr. Saifullah... in income tax act there's no concept of financial year. there are only assessment year and previous year. the section 44AD(4) comes into effect from 01/04/2017 that is too say from the A.Y. commences from 01/04/2017. the previous year for the A.Y. commences from 01/04/2017 is 01/04/2016 to 31/03/2017. hence according to my understanding, if the assessee did not opt for 44AD during the F.Y. 2017-18 then he is not eligible to available 44AD for next 5 A.Ys starting from A.Y. 2018-19. let mansi try to avail 44AD for this A.Y. 2018-19 then we'll come to know whether the system allows or not? |
From general assesse angle it some times help to reference in F.Y terms as general public sometimes gets confused with A.Y...here I was talking about the relevant F.Y from which that clause/provision came into force.. .. as far as your question of applicability of 44AD(4) is concerned.. I would again repeat that the only "pre condition " for this is to HAVE OPTED IN the 44AD in previous F.Y (..oops ..A.Y)...any assesse not opting/opted in 44AD for last/present or coming A.Y will still be eligible for 44AD ...but from now onwards once he opts in then he will HAVE to KEEP opting in for next 5 years in a row otherwise 44AD(4) will come into play ...