Whether tax audit u/s 44AB is applicable to a promoter & Builder firm, whose all the purchase (exceeding 60 lakhs) & direct expenses are transfered to WIP and no Sale and GP recognised for the year.
18 July 2011
No. If Turnover of Sales of Gross Receipts exceed Rs. 60 Lakhs, then only you need to get Books of Accounts Audited. However, if no sale is recognised, then as per my knowledge, there will be a profit less than the amount specified u/s 44AD, then Audit will be required.
CAclubindia
