Income Tax Section 44AB

any person whose gross sales/turnover is in excess of rs.40 lakhs & profession whose gross receipt  is in excess of rs 10 lakhs are liable to u/s 44AB of income tax act for tax audit

pl tel whether gross receipts include service tax?? however service tax credit is taken. pl reply as early as possible.

Do you have a link to the e-docment that provides the ACTUAL legal draft of this IT Section 44AB, to review the same- Thanks  again.

Ms. Santhoshini

In my opininion Servicetax  will not be included for the purpose of Sec. 44AB, U r collecting servicetax on behalf of Govt. of India. Unless until U pay or set off  It will show as a liability in your Balance Sheet. Hence it not forming part of Gross Receipts.

Surana,Chennai

9952967237

Mr. Sivakumar

U can go to website of incometaxindia.gov.in and  can download from Acts & rules

Surana, Chennai

9952967237

It depends on the system of accounting followed by the assessee. If receipts are accounted for with gross figures including the amount of service tax then Gross Receipts will include the amount of Service Tax also otherwise not. Also, Section 145A of the Income Tax Act provides that the sales or receipts etc should be booked with gross figures.