Dear frnds,
One of our client is a partnership firm, engaged in construction (residential complex) industry. For the FY 2010-11, the firm has followed presumptive taxation as per sec 44AD. They have not deducted TDS on the sub-contract work's payments. No advance tax is paid. Their total turnover is Rs.47 lacs for the fin year 2010-11.
Kindly clarify, whether directly applying 8% on 47 lacs and arriving at taxable income of Rs.3.76 lacs as profit is correct, or, on that 3.76 lacs we need to add the tds non-compliance disallowance.
Its urgent Pls reply.
CAclubindia
