i want to file return of income of lic agent, he received commision around 29000 in p.y.. he has no other income. My question is whether we have to submit balance sheet or not. In preceding previous year he had file itr4 at that time he had income of accounting job work but this time he has no ther income. so what should i do?
Dear Sir,
In the present case this receipt can very well be cosidered as Income from other sources especially in the light of the fact of quantum of commission. - So no need for any Balance sheet.
Further even if it is treated as Business/Profession - The criteria for determining whether assesee is required to maintain books or not is given under sec 44AA - So in this case also - No need to maintain any books/Balance sheet.
As per section 44AA of Income Tax Act,1961 an assesse is requierd to maintain proper books of account if he have gross recipt of 150000 in 3 preceeding year if he is a professional like chatered accountant, medical officer, CS, film artist or any other notified profession. If he is not coverd in profession then limit of 15000, reduced to Rs 120000.
But as per your query he is earn only Rs 29000 P.y. and some other accounting income if this gross touch Rs 120000 in last three preceding year then he is required to make book of accounts.
Otherwise he is not liable to make books.
But he is reuierd to file ITR as business return, under no books case
hope this should clear to you
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