CASE : A Individual is carrying a proprietory business and income from such business is less than Rs 120000 and gross receipts is less than Rs 10 Lakh. However he is partner in a firm and gets interest on capital & salary from that firm.
Now my QUESTION is that since his income from proprietory business is less than limits specified for maintainence of books of accounts(however his total income is more than exemption limit),IS IT MANDATORY FOR HIM TO MAINTAIN BOOKS OF A/C U/S 44A?
27 March 2011
No, as Section 44A & other section are different, hence sec 44A talk about only receipt from particular source of income. Hence your client not require to maintain books of account relating income of 44A.
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