23 August 2015
The scheme of section 44AD is designed to give relief to small taxpayers engaged in any business, except the following businesses: Business of plying, hiring or leasing of goods carriages referred to in section 44AE. A person who is carrying on any "agency business". A person who is earning income in the nature of commission or brokerage
Do Advertising agency come under "agency business" as mentioned above?
24 August 2015
service relates to planning of promotional campaigns and advertisements for creating brands of products.. advertisement contracts were made.. also provide advertisement consultancy
25 August 2015
Deduction of TDS depends upon type of service. If it is purely advertising, then section 194C would apply, if it is any type of consultancy then 194J.
Regarding audit, 44Ad would not apply here. It is a case of section 44AB where revenues exceed Rs. 25 lakhs.
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