A Individual person is having Income from below mentioned sources:
1) Remuneration ( as a partner) from two partnership firms 2) Share of profit 3) Business Income from Proprietorship business 4) Capital Gains. 5) Other Income - Interest & Dividend.
My dilemma while preparing ITR-4 is that Should all his Income be shown in P&L a/c in ITR-4 and calculate business income through adjustment in Net profit OR different income under various heads be shown in that head only.
26 March 2011
Profit & Loss account of proprietory business should only be incorporated in schedule PL. All other incomes have to be shown in different places assigned to them in the return. In case any other income is included in the PL of proprietory business then it should first be shown in schedule PL then should be deducted in point A3 or A5a or be shown under Point A23 in Schedule BP of ITR4.
26 March 2011
@ CA KRISHNA KUMAR DARUKA : Sir I have followed the second approach(adjustment through BP)since presentation looks better by following this method.I had a little confusion over correctness of the 2nd method which you have cleared.
Any further suggestion regarding this issue will utmostly be welcomed.
CAclubindia
