Partnership business

is there any way out to reduce tax liablity of partnership business??
since the tax rate is flat 30℅, it's very high for small businesses
Replies (8)
Quick Summary
This discussion explores strategies for reducing the tax liability of partnership businesses, particularly those facing a high flat rate of 30%. It considers options like the presumptive taxation scheme (Section 44AD), its implications for contract and construction businesses, and the commitment required. Alternatives to 44AD, such as maintaining books of account to potentially achieve a lower effective tax rate, are also discussed.

What is the nature of business? Is it eligible for presumptive taxation scheme? 

Yes if it's a newly set up contract and construction business

Compare the effective tax rate under presumptive taxation scheme. But bear in mind that the scheme will have to be followed for 5 years.

Opting for 44ad may attract more tax so what's the other option
Partnership firm tax rate remains unchanged but it might that concessional rate of 25% may charged
Can we reduce the income by maintaining books of account instead of 44ad
If you opt for 44ad then you should maintain it for continuing 5 years
Tell me what's the other option, other than 44ad

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