I am liable to maintain accounts as per 44aa?

This query is : Resolved

SARAN KUMAR (Querist)
Follow

15 April 2017 Dear All, I am working as an accountant in a partnership firm and I have Rs.260000/- salary income per annum. And also I am working as a Tax Practitioner and receives approx Rs.150000/- as professional income per annum.My doubt is I am liable to maintain accounts as per 44AA?

Nikhil Kaushik

Nikhil Kaushik (Expert)
Follow

16 April 2017 you can offer income under 44ADA. No need to maintain accounts.

Studentsca

Studentsca (Expert)
Follow

16 April 2017 As your income exceeds Rs. 2,50,000/- you are liable to maintain books of accounts as per Section 44AA.

Upgrade to CAclubindia Pro. Subscribe Now!

SARAN KUMAR

SARAN KUMAR (Querist)
Follow

16 April 2017 I am trying to get a home loan using my income tax return. Then my doubt is 44AA income tax return or 44ADA is more acceptable by bank ?

Studentsca

Studentsca (Expert)
Follow

16 April 2017 Ask this question to the loan agents. They are well versed with the procedures and rules.

Message likes : 1 times

Sunil

Sunil (Expert)
Follow

18 April 2017 If your profession is eligible for 44ADA, banks need your returns only to know your income sources as assessed by the department. As per Section 44ADA you have to offer minimum 50% of your turnover in profession as taxable income. You can also offer a higher amount for taxation say 60 or 70%. 44ADA is voluntary. If you wish to show a lower amount as your taxable income from your professional receipts, you have the option to maintain account books as per section 44AA and get them audited as per Section 44AB. Bank may also ask you for your Section 194 J TDS certificates.