I wanted to know whether in the case stated below tax audit u/s 44 AB is mandatory or not ??
Mr. X has a trading business with turnover of 50 lakhs. He maintains proper books of a/c. Mr. X wants to file his return of income in ITR-4 form (not in ITR-4S i.e. he is not opting for sec 44AD). He wants to show his Net Profit at 3 Lakhs (which is less than 8% of the turnover). Is Mr. X required to get his books of account audited ??
16 May 2013
audit will not be done if wants to show the profit more than 8% and is maintaining books as 44AD is optional. but for ease of govt and assessee itr 4s is available. though itr 4 useful in many other cases, like where audit is mandatory due to exceeding limit of audit - 1crore/25laksh, itr-4 is for them. who are professionals, commission agents. etc
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