query on 44AE

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I have two heavy vehicles for transport... a company has deducted 8,000 on 8 Lacs as per sec 194c... so how do I declare my income... will be as per sec 44ae showing 10,000 per vehicle per month or under sec 44ad ?
Replies (7)
u can opt as per section 44AE.

As per  section 44 AE of the income tax act 1961 , Taxpayer  who owns less  than 10 goods carrage  and engaged  in the busniess of plying , hiring or leasing his income will be deemed as follows 

Heavy vechicle (more than 12 MT)  RS 1000/- per ton per vechile per month .This  applicable form 1/4/2018 .   ( Less  than 12MT  7500/- per vechile per month )

section 44Ad is not applicable for this business

so if I declare the income under sec 44AE, the income would be 20,000*12=2,40,000 as the total income... my question was in the form 26AS, there was an income Rs.8 lacs as per sec 194C... doesn't that crash with the income what i have declared?

No. What 26AS is showing is your gross receipt and not profit.

U/s 44AE you are declaring profit. And hence the amount of Rs 2,40,000 will be your profit and Rs. 800000 will be your gross receipt.

 

if you opt as per 44AE no need to bother about the income shown in 26AS.

Yes you are right.

thanku all


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