income tax return
This query is : Resolved
31 August 2010
hiiiii
i am providing ....home tuitions ...and filing ITR - 4 ...on no account basis... my details are
gross reciepts = 245000
expenses = 23000
net profit = 222000
other sources = 3000..
my ques. is whether i am under obligation as per 44AA to maintain books of accounts
... kindly advise
i am providing ....home tuitions ...and filing ITR - 4 ...on no account basis... my details are
gross reciepts = 245000
expenses = 23000
net profit = 222000
other sources = 3000..
my ques. is whether i am under obligation as per 44AA to maintain books of accounts
... kindly advise
02 September 2010
As per section 44AA (2)(ii),you are bound to keep such books of accounts (not the prescribed books under rule 6F) as may enable the ITO to compute your total income. However, the act / rules does not bar you from keeping regular books ( as in rule 6F) of accounts.
03 September 2010
tks..SIR ... Well I have filed the returns with no b/s & p/l a/c .... for a.y. 2010-11... wat should i do now ....will there be any problem..in my case ...n wat should I do now.............plz reply....
04 September 2010
Please read the following...:
I HOPE YOU'LL GET THE ANSWERS FOR YOUR QUERY:- IF ANYTHING PL REVERT BACK...
Section 44AA
MAINTENANCE OF ACCOUNTS BY CERTAIN PERSONS CARRYING ON PROFESSION OR BUSINESS.
(1) Every person carrying on legal, medical, engineering or architectural profession or the profession of accountancy or technical consultancy or interior decoration or any other profession as is notified 707 by the Board in the Official Gazette shall keep and maintain such books of account and other documents as may enable the Assessing Officer to compute his total income in accordance with the provisions of this Act.
(2) Every person carrying on business or profession [not being a profession referred to in sub-section (1)] shall, - (i) If his income from business or profession exceeds one lakh twenty thousand rupees or his total sales, turnover or gross receipts, as the case may be, in business or profession exceed or exceeds ten lakh rupees in any one of the three years immediately preceding the previous year; or
(ii) Where the business or profession is newly set up in any previous year, if his income from business or profession is likely to exceed one lakh twenty thousand rupees or his total sales, turnover or gross receipts, as the case may be, in business or profession are or is likely to exceed ten lakh rupees, during such previous year; or
(iii) Where the profits and gains from the business are deemed to be the profits and gains of the assessee under section 44AD or section 44AE or section 44AF, as the case may be, and the assessee has claimed his income to be lowerthan the profits or gains so deemed to be the profits and gains of his business, as the case may be, during such previous year, keep and maintain such books of account and other documents as may enable the Assessing Officer to compute his total income in accordance with the provisions of this Act.
(3) The Board may, having regard to the nature of the business or profession carried on by any class of persons, prescribe, 709 by rules the books of account and other documents (including inventories, wherever necessary) to be kept and maintained under sub-section (1) or sub-section (2), the particulars to be contained therein and the form the manner in which and the place at which they shall be kept and maintained.
(4) Without prejudice to the provisions of sub-section (3), the Board may prescribe, by rules, the period for which the books of account and other documents to be kept and maintained under sub-section (1) or sub-section (2) shall be retained.
I HOPE YOU'LL GET THE ANSWERS FOR YOUR QUERY:- IF ANYTHING PL REVERT BACK...
Section 44AA
MAINTENANCE OF ACCOUNTS BY CERTAIN PERSONS CARRYING ON PROFESSION OR BUSINESS.
(1) Every person carrying on legal, medical, engineering or architectural profession or the profession of accountancy or technical consultancy or interior decoration or any other profession as is notified 707 by the Board in the Official Gazette shall keep and maintain such books of account and other documents as may enable the Assessing Officer to compute his total income in accordance with the provisions of this Act.
(2) Every person carrying on business or profession [not being a profession referred to in sub-section (1)] shall, - (i) If his income from business or profession exceeds one lakh twenty thousand rupees or his total sales, turnover or gross receipts, as the case may be, in business or profession exceed or exceeds ten lakh rupees in any one of the three years immediately preceding the previous year; or
(ii) Where the business or profession is newly set up in any previous year, if his income from business or profession is likely to exceed one lakh twenty thousand rupees or his total sales, turnover or gross receipts, as the case may be, in business or profession are or is likely to exceed ten lakh rupees, during such previous year; or
(iii) Where the profits and gains from the business are deemed to be the profits and gains of the assessee under section 44AD or section 44AE or section 44AF, as the case may be, and the assessee has claimed his income to be lowerthan the profits or gains so deemed to be the profits and gains of his business, as the case may be, during such previous year, keep and maintain such books of account and other documents as may enable the Assessing Officer to compute his total income in accordance with the provisions of this Act.
(3) The Board may, having regard to the nature of the business or profession carried on by any class of persons, prescribe, 709 by rules the books of account and other documents (including inventories, wherever necessary) to be kept and maintained under sub-section (1) or sub-section (2), the particulars to be contained therein and the form the manner in which and the place at which they shall be kept and maintained.
(4) Without prejudice to the provisions of sub-section (3), the Board may prescribe, by rules, the period for which the books of account and other documents to be kept and maintained under sub-section (1) or sub-section (2) shall be retained.
12 September 2010
i want simple answer whether i need to revise the return filed on no a/c basis for a.y 2010-11 or not
12 September 2010
plz reply
31 July 2024
### **Obligation Under Section 44AA**
Under Section 44AA of the Income Tax Act, individuals are required to maintain books of accounts if their gross receipts exceed certain thresholds. Here’s the relevant information for your situation:
1. **Threshold for Maintenance of Books:**
- For **professionals**, including those providing home tuition, if your gross receipts exceed ₹1.5 lakh in a financial year, you are required to maintain books of accounts.
- For **businesses**, if your gross receipts exceed ₹25 lakh in a financial year, you must maintain books of accounts.
2. **Books of Accounts for Home Tuition:**
- Given that your gross receipts from home tuition are ₹2,45,000, which exceeds the ₹1.5 lakh threshold, you are required to maintain books of accounts.
### **ITR Filing and Revision**
Since you filed your ITR-4 on a presumptive basis (presumably under Section 44AD), and your gross receipts exceed the limit where books of accounts are mandatory, you should maintain accurate records.
**To address your specific queries:**
1. **Books of Accounts Obligation:**
- Yes, you are obligated to maintain books of accounts as per Section 44AA, due to your gross receipts exceeding ₹1.5 lakh.
2. **Revising the Return:**
- **If You Filed on No-Account Basis:** You need to revise your return to accurately reflect your income and expenses under the correct provisions. Filing on a no-account basis does not exempt you from the requirement to maintain books of accounts if your gross receipts exceed the prescribed limit.
- **For A.Y. 2010-11:** If you initially filed under a presumptive scheme but your receipts required maintenance of books, you should revise your return to reflect actual income and expenses, adhering to the requirement of maintaining books.
### **Summary**
- **Yes, you need to maintain books of accounts** due to your gross receipts exceeding ₹1.5 lakh.
- **You should revise your ITR** for A.Y. 2010-11 to comply with the proper accounting requirements if you initially filed on a no-account basis.
Under Section 44AA of the Income Tax Act, individuals are required to maintain books of accounts if their gross receipts exceed certain thresholds. Here’s the relevant information for your situation:
1. **Threshold for Maintenance of Books:**
- For **professionals**, including those providing home tuition, if your gross receipts exceed ₹1.5 lakh in a financial year, you are required to maintain books of accounts.
- For **businesses**, if your gross receipts exceed ₹25 lakh in a financial year, you must maintain books of accounts.
2. **Books of Accounts for Home Tuition:**
- Given that your gross receipts from home tuition are ₹2,45,000, which exceeds the ₹1.5 lakh threshold, you are required to maintain books of accounts.
### **ITR Filing and Revision**
Since you filed your ITR-4 on a presumptive basis (presumably under Section 44AD), and your gross receipts exceed the limit where books of accounts are mandatory, you should maintain accurate records.
**To address your specific queries:**
1. **Books of Accounts Obligation:**
- Yes, you are obligated to maintain books of accounts as per Section 44AA, due to your gross receipts exceeding ₹1.5 lakh.
2. **Revising the Return:**
- **If You Filed on No-Account Basis:** You need to revise your return to accurately reflect your income and expenses under the correct provisions. Filing on a no-account basis does not exempt you from the requirement to maintain books of accounts if your gross receipts exceed the prescribed limit.
- **For A.Y. 2010-11:** If you initially filed under a presumptive scheme but your receipts required maintenance of books, you should revise your return to reflect actual income and expenses, adhering to the requirement of maintaining books.
### **Summary**
- **Yes, you need to maintain books of accounts** due to your gross receipts exceeding ₹1.5 lakh.
- **You should revise your ITR** for A.Y. 2010-11 to comply with the proper accounting requirements if you initially filed on a no-account basis.
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