Which itr should be used for firm return

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

07 August 2014 My client has just started a consultancy partnership firm with his wife. he has asked me to file his firm's return for the first time & show income below the taxable limit, actually he wants to borrow a loan from bank. I want to know which ITR should I choose for filling firm's return for A.Y 13-14 & A.Y 14-15.

CA UMESH DULAL

CA UMESH DULAL (Expert)
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07 August 2014 If he has started firm recently, then he will not be eligible to file the ITR for AY 13-14 & 14-15.

For Partnership firm - ITR 5.

For partnership firm there is taxable limit. It has to pay tax on every penny of its profit.

Querist : Anonymous

Querist : Anonymous (Querist)

07 August 2014 It was just missing information from my client actually He opened his firm on 20.11.2007, but now he wants to continue it & borrow a loan from Bank, in that case Can I file return for aforesaid A.Y....Sir. As He asked me that back previous years his business wasn't carried on and show his income which is below the taxable limit for above Assessment years..So Can I use ITR-5 to file return below taxable income....or is there any other form which I should use for showing income below that taxable limit...

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CA UMESH DULAL

CA UMESH DULAL (Expert)
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07 August 2014 Yes for all question.

But there is not such taxable limit for Partnership firm. You have to pay the tax even if you have 1 rupee of profit.

CA UMESH DULAL

CA UMESH DULAL (Expert)
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07 August 2014 Yes for all question.

But there is not such taxable limit for Partnership firm. You have to pay the tax even if you have 1 rupee of profit.

CA UMESH DULAL

CA UMESH DULAL (Expert)
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07 August 2014 Yes for all question.

But there is not such taxable limit for Partnership firm. You have to pay the tax even if you have 1 rupee of profit.

Querist : Anonymous

Querist : Anonymous (Querist)

07 August 2014 I m giving you below Pan plz inform me whether does it belong to partner ship firm or proprietor....

Querist : Anonymous

Querist : Anonymous (Querist)

07 August 2014 Sir, I m providing you the PAN No:- AAKFR5766L, as I am confused as u said Partnership firms don't have taxable limit if It earns Profit in the whole year Rs:- 100 then we need to pay tax over it. he & his wife are attached & their names are mentioned on DEED it means this s a partnership firm, more question if he files his firms return showing loss for both the assessment year in that situation Can he borrow loan from the bank. this return is just only for loan which has very important for him.....If not, then tell me the way through which he can easily file his return below than the taxable limit on above pan & can get loan from the Bank.

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CA UMESH DULAL

CA UMESH DULAL (Expert)
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08 August 2014 This PAN is of Partnership Firm. If you show loss, then it is very difficult to get loan from bank.

Querist : Anonymous

Querist : Anonymous (Querist)

08 August 2014 Then what should I do ? Is there any option to get loan on the firm's or I need to file return & show some income on which I'll show some tax.....need advice....

Querist : Anonymous

Querist : Anonymous (Querist)

08 August 2014 Then what should I do ? Is there any option to get loan on the firm's or I need to file return & show some income on which I'll show some tax.....need advice....

Nikhil Kaushik

Nikhil Kaushik (Expert)
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12 August 2014 you have to show decent income and pay tax on it...your bank statements should be able to back up your income claims

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Querist : Anonymous

Querist : Anonymous (Querist)

12 August 2014 Mr Nikhil, Since 2007 No transcation made in the firm, Firm got recently bank Accounts opened in 2014. in that case can it be acceptable to file itr & putting firm's Bank Account No. or can we show the Assesse bank Accounts No. instead of firm's......???????

Nikhil Kaushik

Nikhil Kaushik (Expert)
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12 August 2014 no. in such a case, there is nothing to do. And I doubt in such a case, banks wont give you credit