21 November 2009
Every person carrying on legal, medical, engineering or architectural profession or the profession of accountancy or technical consultancy or interior decoration or any other profession as is notified36 by the Board in the Official Gazette shall keep and maintain such books of account and other documents as may enable the 37[Assessing] Officer to compute his total income in accordance with the provisions of this Act.
(2) Every person carrying on business or profession [not being a profession referred to in sub-section (1)] shall,—
(i) if his income from business or profession exceeds 38[one lakh twenty] thousand rupees or his total sales, turnover or gross receipts, as the case may be, in business or profession exceed or exceeds 39[ten lakh] rupees in any one of the three years immediately preceding the previous year; or
(ii) where the business or profession is newly set up in any previous year, if his income from business or profession is likely to exceed 40[one lakh twenty] thousand rupees or his total sales, turnover or gross receipts, as the case may be, in business or profession are or is likely to exceed 41[ten lakh] rupees, 42[during such previous year;
MY QUESTION: IT IS OVER RULLING THE MINIMUM EXEMPTION LIMIT OF RS. 160000 OR MORE SO
IF I M HAVING INCOME LESS THAN MINIMUM EXEMPTION LIMIT THEN THEIR IS NO NEED TO FILE A ROI. So why i maintain books of account on account of 44AA
21 November 2009
The particular section mentions that maintenance of books of accounts is compulsory if either the income exceeds Rs.1.2 lacs or sales/turnover/gross receipts exceeds Rs.10 lacs in any of the 3 years immediately preceding the previous year or likely to exceed in the given previous year. If one has income below the exemption limit of Rs.1.6 lacs but his turnover/gross receipts are in excess of Rs.10 lacs then books of accounts tio be maintained . Even if the income is below 1.6 lacs but above 1.2 lacs, mainatenance of books compulsory as per provisions.
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