Presemptive income

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Guest (Querist)

14 December 2011 If the assessee is doing more than one business, then applicability is business wise or Cumulative turnover ?

CA S P BHATNAGAR

CA S P BHATNAGAR (Expert)
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14 December 2011 If a person is carrying on business(es), coming within the scope of
sections 44AD, 44AE, 44AF, 44BB or 44BBB but he exercises his option
given under these sections to get his accounts audited under section 44AB,
tax audit requirements would apply, in respect of such business(es) even if
the turnover of such business(es) does not exceed Rs.40 lakhs. In the
case of a person carrying on businesses covered by sections 44AD, 44AE,
44AF, 44BB or 44BBB and opting for presumptive taxation, tax audit
requirement would not apply in respect of such businesses. If such person
is carrying on other business(es) not covered by presumptive taxation, tax
audit requirements would apply in respect thereof, if the turnover of such
business(es), other than the business(es) covered by presumptive taxation
thereof, exceed Rs.40 lakhs.
FOR FURTHER REFERENCE YOU SHOULD REFER-Guidance Note
on
Tax Audit under Section 44AB
of the Income-tax Act, 1961