Nil turnover but dep and intrest loss

This query is : Resolved

ACS Gaurav Jain (Querist)
Follow

16 October 2013 due to nil turnover firm/individual has interest and depreciation loss around 22 lac. can firm/individual filed return u/s 44AD- deemed income, 44AA-without maintaing books of accounts, 44ab-without auding

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
Follow

16 October 2013 Sec 44AD is not applicable as it requires Turnover less then 1 Crore but in this case there is no turnover so how u can show 8%???

44AA if gross income exceeds 1,20,000 then books of accounts compulsory.

44AB will apply if turnover exceeds Rs 1 Cr in case of Business.

ACS Gaurav Jain

ACS Gaurav Jain (Expert)
Follow

16 October 2013 I will declared nil income...

Upgrade to CAclubindia Pro. Subscribe Now!

ACS Gaurav Jain

ACS Gaurav Jain (Expert)
Follow

16 October 2013 Nil turnover is also turnover. Where it is written 44ad is not apply to nil turnover

CS,CA F,Numrologi TusharSampat

CS,CA F,Numrologi TusharSampat (Expert)
Follow

16 October 2013 It says 8% of gross turnover so it is implied that if turnover is taken as NIL the 8% is also Nil which is not possible logically speaking.

ACS Gaurav Jain

ACS Gaurav Jain (Expert)
Follow

16 October 2013 For unoprative org what to do.

ACS Gaurav Jain

ACS Gaurav Jain (Expert)
Follow

16 October 2013 Can i declare minimum recipt and file return.

CA Rinkal

CA Rinkal (Expert)
Follow

16 October 2013 dear Gaurav Jain

You can show the loss and file the return by considering the provision 44AD

the provision of section 44AA, 44AB will not apply in your case

for any clarification regarding the same you may contact me on dankhara_rinkal@rediffmail.com

you will get satisfactory reply..

Upgrade to CAclubindia Pro. Subscribe Now!