Section 44AB

SUNIL GARG (CHARTERED ACCOUNTANT) (175 Points)

24 April 2011  

Hello Friends,

I have a client who is a Teacher by profession. She has opened a Dog Care Clinic where she has hired doctors.

She gives salary to doctors and as a propreitor of that clinic she gets the whole profit.

She get three type of receipts: 1) Professional Fees;   2) Vaccination Fees   3) Sale of Dog related items.

Now, my question is that :

1) What kind of income she is earning, is it professional receipts (Limtit 15 Lacs)  or business receipts (Limit 60 Lacs)  for tax audit purpose.

2) For Sec. 44AB, should I consider all the 3 type of receipts?

3) Is she required to get Service Tax Registaration if her gross receipts exceed Rs. 9 Lacs?

Thanks in advance for all your replies.

Regards,

CA. Sunil Garg.