Dear Friends,
If a partnership firm is making loss in a 1st year of it.. whether there is any clause to pay a minimum tax.. is it so that if the firm doest show that minimum proft it shall be audited..??
For eg: If a AB & Co. in its 1st F.Y 2011-12 with the Nominal turnover of Rs. 1,50,000/- makes a loss of Rs. 20,000/- before distribution of interest & salary to partners then:
1. whether it is compulsory to get the firm audited..??
2. whether firm can distribute Salary & Interest to Partners..??
3. Whether there is any provision to show minimum Profits before & after remuneration & interest to partners..??
The above questions is NOT for LLP.. Plz assist with the suitable links if possible.
CAclubindia
