In a.y. 2017-18 opted for section 44ad. in a.y. 2018-19 no

An assessee opting for Section 44AD – presumptive scheme for Assessment year 2017-18. However in Assessment year 2018 -19  no business. In such scenario, atleast 5 years in continuation could not be maintained.  So will the assessee be denied presumptive scheme for Assessment year 2017-18?

Thank you in anticipation of kind response.

Valerian Dsouza

 

 

Replies (1)

"However the Budget 2016 provides that where an eligible assessee declares profit for any previous year under Sec 44AD and the elegible assessee has not declared income u/s 44AD in any of the five consecutive assessment years succeeding the assessment year in which the income was  declared u/s 44AD, , then he shall not be eligible to claim the benefit of declaring the income on presumptive basis u/s 44AD for five assessment years subsequent to the assessment year in which the profit has not been declared under sec 44AD.This limitation will take effect from F.Y. 2016-17"

Simple interpretation is the disallowance is for subsequent years.

So, in your case, it will not be disallowed for preceeding year 2017-18.

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
Featured 18 July 2026
Senior Manager- Finance & Accounts

apricus india

Ahmedabad

CA

View Details
Company
ARTICLESHIP 23 July 2026
Article

Gianender & Associates

New Delhi

CA Inter

View Details
Company
06 July 2026
Chartered Accountant (Indirect Taxation)

Gowra Ventures Pvt Ltd

Hyderabad

CA

View Details
Company
ARTICLESHIP 08 July 2026
Article internship

AJAY SINGH AND CO LLP

Thane

CA Final

View Details
Company
ARTICLESHIP 11 July 2026
Article

SNCO

Mumbai

CA Inter

View Details
Company
Featured 16 July 2026
Semi Qualified Company Secretary

Vakilsearch.com

Chennai

CS

View Details
Company
ARTICLESHIP 07 July 2026
Articleship

Jawahar and Associates Chartered Accountants

Hyderabad

CA Inter

View Details
Company
21 July 2026
Chartered Accountant

Keshri & Associates

Thiruvananthapuram

CA

View Details
Follow