Donati (Self occupation) (102 Points)
21 July 2022Can a Partnership Firm (With Turnover LESS THAN 20LAC since inception) OPT FOR PRESUMPTIVE TAXATION U/S 44AD IN AY 22-23
if It DID NOT OPT for PRESUMPTIVE TAXATION u/s 44AD in ANY of the previous 10 years (From 2011 to 2021)
NB: All these years the profit was shown between 6%-8% of Turnover after deducting all expenses (all digital transactions).
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(177721 Points)
Replied 21 July 2022
Yes, Partnership firm can opt for sec. 44 AD of IT act afresh, without any restrictions of previous filing of ITR 5.
Donati
(Self occupation)
(102 Points)
Replied 22 July 2022
Thanks for the reply.
In ITR 4 Sugam there is no provision to show individual Partner's Capital, Interest and remuneration. Or are these not required in ITR 4.
Can I still use ITR 3 for both partners like previous years.
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(177721 Points)
Replied 22 July 2022
Yes, that is not required in ITR4, for firm.
For individual partners ITR3 need to be filed.
Donati
(Self occupation)
(102 Points)
Replied 22 July 2022
Thanks Sir.
In Presumptive Taxation u/s 44AD there is no need to maintain books of accounts u/s 44AA.
Will it apply to the partners as well. Do they need to maintain books of accounts u/s 44AA or it is not required since the firm is not required to do so.
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