Get 3 Yrs of CCI Pro Membership at Greater Value. Subscribe Now!

Tax audit

545 views

Save Share

Join Us Follow Us Add as Source

SriYasaswiniP

Student CA Final

26 Points Posted on 01 November 2013

Dear All,

Please help me in this.

What if an individual has 3 businesses and all three are liable for Tax Audit,How should he file his Income Tax Return as per ITR-4?Should he consolidate the accounts and file or is there any other provision?

Please reply..

Thank You

Replies (5)

CA Parul Saxena

6475 Points Posted on 01 November 2013

Consolidate the accounts

Nandan

Accountant

31 Points Posted on 01 November 2013

All 3 business must be subject to audit, when it comes to his income tax return u should declare 3 different businesses and incomes out of it. Whereas the balance sheet must be consolidated. Thank you

SriYasaswiniP

Student CA Final

26 Points Posted on 04 November 2013

Thanks a lot both of u....

CA Vanamala Phani Kumar

Proprietor of M/s Vanamala and Co

796 Points Posted on 05 November 2013

Prepare Separate P&L A/c s and Balance Sheets of 3 business and then consolidate them for IT Return purpose ..

CA Pallav Singhania

IT System Auditor

19347 Points Posted on 05 November 2013

In cases where the assessee carries on more than one business activity, the results of all business activities should be clubbed together.

As per the provisions of section 44AB, one audit report for all the businesses is required. However in case different branches are audited by different auditors, the main auditor has to prepare a consolidated report considering the reports of all the branch auditors.