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Applicability of Tax Audit

palika rastogi (palika) (195 Points)

08 August 2018

Whether tax audit is applicable on gross receipts of 1 crore or 2 crore?

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CA Neelima Kotha (Consultant) (606 Points)
Replied 08 August 2018

Every person carrying on the business is required to get his accounts audited if his total sales, turnover or gross receipts

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Ruchika Somani (Coaching and Practice in Tax Audit Law.) (4429 Points)
Replied 08 August 2018

Originally posted by : palika rastogi
	Whether tax audit is applicable on gross receipts of 1 crore or 2 crore?

1cr for business & 50lac for professional as per section 44AB

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CA Neelima Kotha (Consultant) (606 Points)
Replied 08 August 2018

Every person carrying on the business is required to get his accounts audited if his total sales, turnover or gross receipts exceed one crore under section 44AB
However, if an eligible person opts for presumptive taxation scheme as per section 44AD(1) of the Act, he shall not be required to get his accounts audited if the total turnover or gross receipts of the relevant previous year does not exceed two crore rupees.

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RAJA P M ("Do the Right Thing...!!!") (128091 Points)
Replied 08 August 2018

I agreed with Ms Ruchika Somani.,

Based on Business Income view Rs. 1 Cr is Tax Audit As per sec 44AB...

Asseessee can avail 2cr limit if He & His business is eligible under sec 44AD...

If professional income then it's 50L as per sec 44AB / 44ADA...

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