Tax Professional and in Service
1795 Points
Joined June 2009
Dear Sudhir,
Please confirm first what kind of profession u'r talking about. If the profession comes within specified professions under 44AA of the income tax act 1961, then they mandatorily have to maitain the books of accounts irrespective of it's turnover, gross receipts or net profit.
However, if the profession is non specified i.e. non specified professions, books of accounts needs to be maitained when
1. Gross receipts, turnover exceeds Rs.10,00,000 in any of 3 financial years preceeding previous year. OR
2. Net profit exceeding Rs.150,000 in any of 3 financial years preceeding previous year.
If the profession newly set up, if the turnover gross receipts, or net profit likely to exceed the limits mentioned above in the previous year.
Hopes this solves u'r query...
Regards,
Manoj