Can partnership firm go for 44ad presumptive taxation

Page no : 2

RAJA P M ("Do the Right Thing...!!!") (128091 Points)
Replied 01 June 2017

Originally posted by : RAJA P M
	Dear Experts., Can I file ITR for Partnership firm and provide Remunaration... if Books of accounts Maintained and Without Tax Audit...?

Please reply Mr. Abhishek Sir.,

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Ashim kr Ray (social service) (1695 Points)
Replied 01 June 2017

sir

I want to know is these new rule that Interest on capital and partner renumeration can not be deducted from 8% net profit.

once more thing where such type of notification is given about new rule,so that i may come to know about this.

Nitesh (accountant) (123 Points)
Replied 01 June 2017

if you go with 44AD than you have to pay tax on net profit i.e 8% of book profit Rs. 68480/-. and tax will be rs.

Nitesh (accountant) (123 Points)
Replied 01 June 2017

cont. tax will be 21200 (apx.) i will suggest you go for tax audit

CA Revanth Bharathwaj M (Freelance consultant in Direct Tax and Financial Reporting) (373 Points)
Replied 01 June 2017

adding to all points, if they choose to provide any remuneration or Interest or both, they will have to get their accounts audited and also 40B will be attracted. hence its wise to choose not 44AD but file under 44AB and pay less tax.

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CA Revanth Bharathwaj M (Freelance consultant in Direct Tax and Financial Reporting) (373 Points)
Replied 01 June 2017

also, 44AB threshold remains at 1 crore. only assessees opting for 44AD are privileged for until 2 Crore

balar chetan (asd) (22 Points)
Replied 09 February 2018

Dear sir, In a.y.2017-18, partnership firm can give remuneration and interest to partner and its allowed without select 44ad option... If turnover is 2500000 and book profit is 8% of t.o. rs. 200000. Now partner remuneration 60000 and interest 40000.. Noww tax on 200000-100000=100000 rs.. Is right without select 44ad option in a.y.2017-18

(Guest)

See the link for FAQ very well explained:

https://www.incometaxindia.gov.in/_layouts/15/dit/mobile/faqs/faq-questions.aspx?key=FAQs+on+Tax+on+Presumptive+Taxation+Scheme&k=

RAJA P M ("Do the Right Thing...!!!") (128091 Points)
Replied 09 February 2018

Originally posted by : balar chetan
	Dear sir, In a.y.2017-18, partnership firm can give remuneration and interest to partner and its allowed without select 44ad option... If turnover is 2500000 and book profit is 8% of t.o. rs. 200000. Now partner remuneration 60000 and interest 40000.. Noww tax on 200000-100000=100000 rs.. Is right without select 44ad option in a.y.2017-18