Presumtive income

its better to get audited to avoid future litigations, as firms income is always recomended for audit ..........

YES SIR,

ACC. TO ME , UR TURNOVER IS BELOW THEN 60 LAKH RS.  WHICH COMES UNDER PRESUMPTIVE TAXATION.

DEFINITLY U SHOULD SHOW UR PROFIT @ 8 % AND CAN FILE ITR AND NO NEED OF AUDITING UR ACCOUNTS BUT

IF U SHOW PROFIT LESS THEN @ 8% OF tURNOVER THEN YOU MUST AUDITED UR ACCOUNTS UNDER SEC. 44 AB AND ALSO MAINTAIN BOOKS AS PER SEC. 44AA.

PRESUMPTIVE TAXATION SCHEME IS APPLICABLE ON ALL ASSESSES EXCEPT COMPANIES , LLPS.

"ACC. TO ME , UR TURNOVER IS BELOW THEN 60 LAKH Rs. WHICH COMES UNDER PRESUMPTIVE TAXATION.

DEFINITLY U SHOULD SHOW UR PROFIT @ 8 % AND CAN FILE ITR AND NO NEED OF AUDITING UR ACCOUNTS BUT

IF U SHOW PROFIT LESS THEN @ 8% OF tURNOVER THEN YOU MUST AUDITED UR ACCOUNTS UNDER SEC. 44 AB AND ALSO MAINTAIN BOOKS AS PER SEC. 44AA.

PRESUMPTIVE TAXATION SCHEME IS APPLICABLE ON ALL ASSESSES EXCEPT COMPANIES , LLPS."

Agreed with Mr. Anshu

Originally posted by : Anshu Garg
	YES SIR, ACC. TO ME , UR TURNOVER IS BELOW THEN 60 LAKH Rs. WHICH COMES UNDER PRESUMPTIVE TAXATION. DEFINITLY U SHOULD SHOW UR PROFIT @ 8 % AND CAN FILE ITR AND NO NEED OF AUDITING UR ACCOUNTS BUT IF U SHOW PROFIT LESS THEN @ 8% OF tURNOVER THEN YOU MUST AUDITED UR ACCOUNTS UNDER SEC. 44 AB AND ALSO MAINTAIN BOOKS AS PER SEC. 44AA. PRESUMPTIVE TAXATION SCHEME IS APPLICABLE ON ALL ASSESSES EXCEPT COMPANIES , LLPS.

agreed                                                                              

instead of doing this..prefer to do audit

Read this article

/articles/critical-analysis-of-section-44ad-9048.asp

can income from insurance commission be dealt under presumptive income??? actual income vis-a-vis commission earned is abt 70-80%, but can it be shown was 8% ??

Other incomes of assess include capital gains, house rent, bank interest and agriculture income. Which ITR he should file??

THANKS IN ANTICIPATION

Dear Singh Litt, i read a article in one of the Taxation news letter that we can show insurance commission income under Sec 44AD(Presumptive income), but as per my opinioun its not correct coz 80-90% comm. is as income for agent. This matter i discus wid frds then 1 of frd. said that in IT act a Sec. says that Agent can't shows Expenses more then 20000/-  so i think it is disputable matter. I advise go with ITR4

But Can't we File the Retail business Income inocme under 44AF showing only  5% of Turnover rather then go with 44AD as an 8% of Turn over & to show income as presumtive income

agreed with mr. anshu garg......

Originally posted by : hiren gala
	But Can't we File the Retail business Income inocme under 44AF showing only  5% of Turnover rather then go with 44AD as an 8% of Turn over & to show income as presumtive income

Sec. 44AF has been discountinued and merged into 44AD from current financial year

Originally posted by : Anshu Garg
	YES SIR, ACC. TO ME , UR TURNOVER IS BELOW THEN 60 LAKH WHICH COMES UNDER PRESUMPTIVE TAXATION. DEFINITLY U SHOULD SHOW UR PROFIT @ 8 % AND CAN FILE ITR AND NO NEED OF AUDITING UR ACCOUNTS BUT IF U SHOW PROFIT LESS THEN @ 8% OF tURNOVER THEN YOU MUST AUDITED UR ACCOUNTS UNDER SEC. 44 AB AND ALSO MAINTAIN BOOKS AS PER SEC. 44AA. PRESUMPTIVE TAXATION SCHEME IS APPLICABLE ON ALL ASSESSES EXCEPT COMPANIES , LLPS.

agreed

For Insurance commission, it is a debatable matter. In order to avoid litigation and computerised selection for scrutiny, file as INCOME FROM BUSINESS and show your Net Profit marginally more than Flat 8%.  If you show more than 8% NP, regular provisions of Income TAx shall be applicable.

Gdm Dear Divyesh,

As you are Partnership Firm. As Per books your turnover is Rs. 50 lakhs and Gross profit comes to Rs. 2 lakhs., Which is 4%.

You can file Income Tax return for AY 2011-12,

on Presumtive Basis u/s 44AD

declaring income @ 8% of turnover,

and u/s 44AD(2) you can claim interest to partner and remuneration as deduction

and pay tax on rest of the profit ?

No, you dn't have to get our books audited as well.

From :

Ashutosh Bhardwaj

Vns

With Regards

ACC. TO ME , UR TURNOVER IS BELOW THEN 60 LAKH Rs. WHICH COMES UNDER PRESUMPTIVE TAXATION.

DEFINITLY U SHOULD SHOW UR PROFIT @ 8 % AND CAN FILE ITR AND NO NEED OF AUDITING UR ACCOUNTS BUT

IF U SHOW PROFIT LESS THEN @ 8% OF tURNOVER THEN YOU MUST AUDITED UR ACCOUNTS UNDER SEC. 44 AB AND ALSO MAINTAIN BOOKS AS PER SEC. 44AA.

PRESUMPTIVE TAXATION SCHEME IS APPLICABLE ON ALL ASSESSES EXCEPT COMPANIES , LLPS."

Agreed with Mr. Anshu