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Tax audit applicability

Others 1043 views 16 replies

Abhay Mundra

CA CS

75 Points Posted on 09 December 2013

I have a query:-

A company is providing engineering services and having a service revenue of Rs. 30 lakhs in FY 2012 - 13. Whether the company is liable for Tax Audit u/s 44AB of The IT Act?

Replies (16)

pallav

still a learner....

938 Points Posted on 09 December 2013

NOT APPLICABLE...

Ankit Chavhan

job

24 Points Posted on 09 December 2013

Tax audit applies when gross receipts is over sixty lacs.

Deepak Gupta

CA Student

15932 Points Posted on 09 December 2013

Originally posted by : Abhay Mundra
	I have a query:- A company is providing engineering services and having a service revenue of Rs. 30 lakhs in FY 2012 - 13. Whether the company is liable for Tax Audit u/s 44AB of The IT Act?

I think tax audit shall be applicable because engineering is included in the list of specified professions and gross receipts are exceeding the prescribed limit of Rs. 25 lakhs w.e.f A.Y. 2013-14.

pooja more

student

21 Points Posted on 09 December 2013

U/s 44 ab of income tax act , a company who has a total income that is gross receipt 25 lacs or then it is liable for tax audit....

aarav

student

26 Points Posted on 09 December 2013

Profession is 25 lacs Business more than 100 lacs Hence previous ans is correct

sai nithu

student

26 Points Posted on 09 December 2013

Sec 28 of IT Act : Business : Turnover 1C and Profession : 25 Lacks

Amit khandelwal

students

26 Points Posted on 09 December 2013

U need to analys ur question whether it purely falls under profession or business and decide accordingly

sai nithu

student

26 Points Posted on 09 December 2013

Company main business providing service , applicable Finance Act 1994(service Tax ) liable to service Tax and Profession include Vocation so , company cover tax audit

saurabh sharma

article

56 Points Posted on 10 December 2013

I agree with the answer of Mr. Amit Khandelwal. Its nt tuff to decide whether co. Is covered in tax audit or not. If u clarify the position where it falls.

SHANKAR DAYAL TIWARI

INCOME TAX INSPECTOR

22 Points Posted on 10 December 2013

Isn't it so that company itself is only doing business of providing tech. services and the teachers working under company are providing their business skills? In such circumstances company's receipt are due to the business run by the company becoz company itself is not skilled. So the limit for company should be one crore.

Vimal Kishor Singh

Service

78 Points Posted on 10 December 2013

As per my view it is a company & if turnover above 60 Lac, then tax audit will be applicable. Mere providing professional service would not convert company as professional service provider. It is a company under act 1956

Mukesh Babu

IPCC Student

236 Points Posted on 10 December 2013

Since Engineering Services will come under profession under Income Tac Act, 1961 & the turnover exceeds the limit of Rs.25 lakhs(u/s 44AB) the company will liable to Tax Audit?