Income tax

Eligible Assesse: Individual, Resident HUF, Resident Firm (other than LLP)

Applicability: Any bussiness except metioned u/s  44AE and turnover of such business does not exceed Rs 60 lakhs.

Presumptive Income: 8 % of turnover.

No deduction can be claimed other than 40b

Advance TAx provisions not applicable.

No requrirements to maintain books of accounts(except where declared income is less than presumptive income u/s 44 AD)

I want to add few more points :

1. Limit of Rs 60 lacs is only applicable till Asst Year 2013-14. W.e.f Asst Year 2014-15, provisions of Sec 44AD will be  applicable if gross reecipr/ turnover does not exceed Rs. 1 Crore.

2. Provision of Sec 44AD wiil not apply to

(i) a person carrying on profession as referred to in sub-section (1) of section 44AA;

(ii) a person earning income in the nature of commission or brokerage; or

The details provided by Sonam are relevant for A.Y 13-14, which missed by me. Thanks Sonam

hi ashish sir,

I want to know that which ITR is to fill for 44AD no books of accountants 8% profit

if  answer is ITR4S than this ITR we can use for Patnership Firm Which is Other than LLP

let me know also we can use any other Income Tax Form for Filling Income Tax Return of Patnership Firm which want to use 44AD benifit for the as yr 2013-14

thanks in advance

4S is not mandatory, in the following ITR 4 is filled

if assesse maintains books of accounts reffered u/s 44AA.

assesse gets his accounts audited u/s 44AB.

And LLP can not be assessed as per section 44AD

sir,

I Just want to know ITR4S can I use as its for Presumptive Income as 8% of total Income

no books of accountants,

no advance tax

for My patnership firm can I used it ITR4S ?

thanks

yes for partnership firms other than LLP,

And presumptive income is 8 % of turnover

One important case relating to presumptive incomes:

In a case ,  Delhi High Court held that if an assessee fulfills all the conditions mentioned in section 44AD , the provisions of sections 28 to 44  of the Act would not be applicable for computation of its business income, and a sum equal to 8% of the gross t/over or gross receipts  would be deemed as its business income. Further, under section 44AD(2), the assessee has the benefit of declaring before the Assessing Officer that the actual profits earned by it were less than 8%(by maintaing detailed a/cs and getting the same audited) but the Revenue/Deptt  cannot take recourse of this sub-section to claim that the profits earned by the assessee were more than 8%.