Necessary to show net profit 8% on turnover

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

15 April 2012 my client has a business of job worker of finishing goods. is it necessary to show net profit 8% on turnover? my client not have taxable income.

answer according to A.Y. 2012-13.

Dintakurthi Tirumala

Dintakurthi Tirumala (Expert)
Follow

15 April 2012 Please specify the nature of work and job. it would be depend on such type of job.

However whose income charged under the head of profits or gains from business(income from business) and not liable for tax audit under section 44AB should be offer their income as per section 44AD i.e 8% on the gross turnover. However assessee has a chance to offer lower income than 8% but one must satisfy the following conditions to claim such benefit.

1) should be maintain books of accounts. and

2) if his total income exceeds the maximum exemption limit then should be make tax audit as per section 44AB.

Are satisfied then okay otherwise please specify nature of job and work i will give you it comes under 44AD or not.
OM SAI SRI SAI JAI JAI SAI

Querist : Anonymous

Querist : Anonymous (Querist)

15 April 2012 my client is job worker of cloth's dhupai

Upgrade to CAclubindia Pro. Subscribe Now!

Dintakurthi Tirumala

Dintakurthi Tirumala (Expert)
Follow

15 April 2012 Dhupai means. Sorry i clearly not understandeed the nature of job.

OM SAI SRI SAI JAI JAI SAI

Querist : Anonymous

Querist : Anonymous (Querist)

15 April 2012 printing of goods.

Querist : Anonymous

Querist : Anonymous (Querist)