Sec 44ad

When we compare VAT Returns with Bank pass book, VAT returns are more appropriate. Bank statement reflect Bank transactions only and does not reflect Credit transactions. As per section 44AD, you need to consider credit in your profit and loss account as Sales. Indeed your profit and loss account may reflect including VAT but VAT returns contain Gross receipts only.So it would be preferable to consider VAT returns for Tax audit u/s.44AB.

When we compare VAT Returns with Bank pass book, VAT returns are more appropriate. Bank statement reflect Bank transactions only and does not reflect Credit transactions. As per section 44AD, you need to consider credit in your profit and loss account as Sales. Indeed your profit and loss account may reflect including VAT but VAT returns contain Gross receipts only.So it would be preferable to consider VAT returns for Tax audit u/s.44AB.