Digital signature

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

31 August 2011 Is digital signature is applicable or not, who are filing I.T. Returns, whose turnover is less than Rs.60 lakhs and declaring profit less than 8%, is't required to file returns manually or E-Filing.

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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31 August 2011 Audit has to be conducted u/s 44AB in the cited issue by virtue of the deeming fiction, contained in 44AD(5),but provisions of section 44AB being not applicable , DSC is not required.
For full insight, pl refer CBDT notification 37/2011 and post amended rule 12 (3) of the Income tax Rules,1962.

CA Ashwani Agarwal

CA Ashwani Agarwal (Expert)
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31 August 2011 In my personal opinion the assessee has to DIGITALLY SIGN the return if he is not showing 8% on NP.

With all the respect to Mr. B.Chakrapani warrior, the notification mentioned by him is applicable on all the assessees on whom 44AB is applicable.

And 44AB (c) makes the section applicable on all the persons who are not following 44AD.

So i think that as 44AB is applicable on them so they have to digitally sign their returns.

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Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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31 August 2011 Madam
44AB audit is applicable u/s 44AD(5). But DSC applies only to whom provisions (Rs. 60/- lakhs etc) of section 44AB are satisfied. Presumptive tax assessees doesn't satisfy those conditions. Hence DSC is not applicable to them. Pl once again see the wordings in post amended rule 12 (3) of the IT Rules,1962.

CA Ashwani Agarwal

CA Ashwani Agarwal (Expert)
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01 September 2011 Clarifications on a few issues:-

1. I am a sir and not a madam.

2. the amended rules talks about section 44AB and not 44AB (a).

So it includes 44AB (a)(b)(c)(d) and because 44AB (c) talks about presumptive taxations non satisfying persons so they are automatically included in 44AB and thus they have to file using digital signs.

CA Ashwani Agarwal

CA Ashwani Agarwal (Expert)
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01 September 2011 There are TDS provisions which are applicable only on the basis of turnover.

But these rules are applicable on 44AB as a whole and since 44AB (c) is about those persons who are declaring less profits then presumptive sections so they are included in the amended rule 12 (3).

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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01 September 2011 1) Error in gender is regretted.
2) I read the sections and rules once again, DSC is required. Thanks for correcting me.

CA Ashwani Agarwal

CA Ashwani Agarwal (Expert)
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01 September 2011 Your most welcome sir.

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Querist : Anonymous

Querist : Anonymous (Querist)

08 September 2011 thanks for giving suggestions to me