Query related to Income under Sec.44AE

Sec. 44AE: Special provisions for computing profits and gains of business of plying, hiring or leasing goods carriages

• Number of vehicles owned at any time during the PY:  ≤ 10
• Estimated income from each vehicle for every month/part:

• Heavy goods vehicle       : Rs. 1000/ton of gross vehicle weight or unladen weight
• Other vehicle                   : Rs. 7500

• Higher income can also be declared
• No further deduction allowed: u/s 30-38 deemed to be allowed
• For Firm: Salary and interest to partner is allowed as per 40(b) limit
• BoA u/s 44AA and Audit u/s 44AB, not required (N.A. if lower income declared)
• Heavy Goods Vehicle = Gross vehicle weight > 12000 kg or 12MT
• Gross Vehicle Weight = Vehicle Weight + Certified Permissible Load
• Unladen Weight = Weight of empty vehicle