Section 44 ad

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Querist : Anonymous

Querist : Anonymous (Querist)

12 August 2018 Does turnover u/s 44ad include GST or vat???

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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12 August 2018 Not included if as per books of accounts not included in turnover.

Expert : Anonymous

Expert : Anonymous (Expert)

12 August 2018 If opt sec 44AD then Turn Over calculated with GST & VAT Tax. Bcoz, No books of accounts and it's presumptive scheme. No more ways or declaration for seggeregate Your transactions...

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CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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12 August 2018 If you claim ITC then it will not be part of turnover.

Nikhil Kaushik

Nikhil Kaushik (Expert)
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12 August 2018 books or accounts or not, the definition of turnover doesn't go for a toss just because 44AD presumptions. everyone able 20 lakhs turnover is required to file GST and that too with the whole shabang of GSTR-1, 2 and 3B. The exact turnover with GST is always available and only sales part should be offered to tax in 44AD leaving out GST

RAJA P M

RAJA P M (Expert)
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12 August 2018 Mr Nikhil Kaushik Ji.,

I can't understand Your reply... In sec 44AD Total Receipts (Sales, Service and any operational incomes) will be calculated under Gross Receipts or Turn Over... then what is the difference between 44AD and 44AA...?

Nikhil Kaushik

Nikhil Kaushik (Expert)
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12 August 2018 what is the difference between gross receipts and turnover? as far as 44AD is concerned, it will use the term turnover or receipts whereas 44ADA will only use the term receipts. 44AA will use both the terms. But whats your issue?

RAJA P M

RAJA P M (Expert)
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12 August 2018 Mr Nikhil Ji.,
No more Issues myself...

But., As per My view u/s 44AD turn over will be calculate with GST/VAT...

Also one of the views from our Experts

https://www.caclubindia.com/forum/are-taxes-included-for-computing-turnover-u-s-44ad-380736.asp

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Nikhil Kaushik

Nikhil Kaushik (Expert)
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12 August 2018 you should read clause 5.9 of the Guidance note on Tax Audit.

Nikhil Kaushik

Nikhil Kaushik (Expert)
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12 August 2018 you always get an option to play around with things. A very conservative consultant should advise inclusion of taxes in the turnover since a fixed % of the turnover is to be offered as profit. An aggressive consultant may argue that while I am not required to maintain books under income-tax, GST still requires me to maintain books and since I can route the GST amounts separately, they dont form part of my turnover.

RAJA P M

RAJA P M (Expert)
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12 August 2018 Yes... Sec 44AB and 44AA the T/o calculate basic value without Tax values. In sec 44AD it is include...

Also this article from Mr Pallav singhania Sir...

https://www.caclubindia.com/forum/everything-to-know-about-44ad-377158.asp