Profit below presumptive income for professional

If a professional is covered under 44ADA as per income tax and have reciept of around Rs 8-10 Lakh .

Q1: Is it mandatory to opt for 44ADA?

Q2. If due to intial year of growth profit is less than 50%, then is it mandatory to have tax audit?

Please provide any option to save small professional from tax audit.

 

 

Replies (4)
what is your profession ?. It should be as. per listed in income tax

professional is covered under income tax list of 44ADA

@ prasad i am waiting for reply. you have shown interest in Question.

 

Due to your reply , the question is not in the list of 'unanswered query', hence none of other professional has answered it. 

 
 

If a professional is covered under 44ADA as per income tax and have receipt of around Rs 8-10 Lakh .

Q1: Is it mandatory to opt for 44ADA? 

Not Mandatory,  ..... but profit margin should be = or > 50% (i.e. deemed margin)

Q2. If due to intial year of growth profit is less than 50%, then is it mandatory to have tax audit?

As per sub-section 44ADA(4) ........ Yes, provided  ......  'and whose total income exceeds the maximum amount which is not chargeable to income-tax' ........

Please provide any option to save small professional from tax audit.

No need for audit, when your total income do not exceed BEL !!!

 

 

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