If an individual have speculation losses but his turnover does not exceed even 100000 and he wants to claim loss without doing tax audit .
If we can claim losses without tax audit , under which section and under which category ??
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Quick Summary
This discussion explores how individuals can declare speculation losses without triggering a tax audit, particularly when turnover is below £100,000. It clarifies that a tax audit isn't required if total income is below the basic exemption limit or if there's a loss. The advice suggests filing ITR-3 and showing the loss under the business head, calculated as net purchases minus net sales minus net expenses. While maintaining books of account is generally recommended for proving losses, it may not be mandatory for financial statements if a tax audit isn't required under Section 44AA.
For showing net loss we have to maintain book of account and show balance sheet?? can we show loss without showing balance sheet and books of accounts??