Notice u/s 139(9)of income tax ---error 86

ITR 3047 views 11 replies

Ganesh

Software developer

49 Points Joined October 2017

Hello,

Error Descripttion :
As per Section 44AD(6) of the Income Tax Act, 1961, the
provisions of Sec.44AD are not applicable to – (1) persons
carrying on professions that are referred to in
Sec.44AA(1), (2) persons earning income in the nature of
commission or brokerage, and (3) persons carrying on any
agency business.As seen from the return of income filed,
the nature of business code mentioned is 00711 Software
development agencies, which falls in the categories
mentioned above. Hence, the provisions of Sec.44AD are
not applicable, in your case.

I was filed ITR on 25th July 2017 and right now I got notice from income tax to your ITR are defective.
I was selected nature of Busines 00711 Software development agencies. I was selected this every finacial year not getting notice.
Right now I got ITR defective. I'm freelancer and turn over below 10 lakh and I didnot audit account.
How to handle to notice and how to fix issue?
I need to change nature of business or which business code come under my work.
Please advise here.

Thank you

Replies (11)

RAJA P M

"Do the Right Thing...!!!"

128121 Points Joined January 2015

Yes... You Can't opt u/s 44AD... So, the Intimation send by ITD.

Dhirajlal Rambhia

SEO Sai Gr. Hosp.

209810 Points Joined July 2016

As such........ department is more vigilant now, and do not accept any such defects........ which missed earlier.

In your case you can rectify the defect by offering the income assessment u/s. 44ADA...... with 50% minimum profit margin.

RAJA P M

"Do the Right Thing...!!!"

128121 Points Joined January 2015

u/s 44 AD is only to Business not applicable to profession...

Also you can file it U/s 44 ADA...

Read more at: https://www.caclubindia.com/experts/notice-u-s-139-9-of-income-and-error-code-86--2590124.asp

RAJA P M

"Do the Right Thing...!!!"

128121 Points Joined January 2015

Originally posted by : Dhirajlal Rambhia
	As such........ department is more vigilant now, and do not accept any such defects........ which missed earlier. In your case you can rectify the defect by offering the income assessment u/s. 44ADA...... with 50% minimum profit margin.