Balance Sheet for Audit

This query is : Resolved

Ch. Sai Sudha Mohan (Querist)
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09 September 2022 Mr. X is having two proprietary business. Individual Turnovers of both the business are Business A Rs. 2085800/- and Business B Rs. 1,88,80,800/-
Can Mr. X claim the Income from Business A u/s 44AD and get books of Business B Audited to show less profit from Business B.
In such a case, while submitting the balance sheet along with Audit Report, is it sufficient if Balance Sheet of Business B is given or should we give Balance Sheet of the proprietor (All individual assets / liabilities)

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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09 September 2022 No, that is not possible. Both business turnover has to be combined and tax audit applicable.
Only combined balance sheet for both business required.