Tax Audit (urgent)

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

07 September 2010 Dear Experts,

A partnership firm is doing business of placement and providing security persons to different factories and their turnover for the financial year 2009-2010 is Rs.17 lacs, whether Tax Audit u/s 44 AB is applicable or not?

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
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07 September 2010 My understanding is tax audit provisions will not apply to the said partnership firm since their income comes under "business" and not under "profession".

CA Vijay Kumar Gupta

CA Vijay Kumar Gupta (Expert)
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07 September 2010 tax audit is not required to be done in your case.Lt.-40 lac in your case covered under business and not under specified profession as per sex.44AB.

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m.s.nageswararao

m.s.nageswararao (Expert)
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09 September 2010 The firm is not doing profession but doing business only. Therefore if its gross income Rs.40.00 lacs or exceeds Rs.40.00 lacs, the audit u/sec 44AB is required. In your case only Rs.17.00 lacs -Sec 44AB not applicable