sunilpali (OPERATION HEAD(TAX AND AUDIT)) (129 Points)
05 January 2012my transport business but not a own truck . but
my freight receipt is 60 lacs and
i m paid freight 55 lacs
my commission income 5 lacs and
other misc expenses 3 lcs and
net commission 2 lacs and my net income is not a 8% of gross receipts , pls advice me which section declare my income
CA Neil Ganatra
(Partner - Gautam Joshi & Co.)
(871 Points)
Replied 05 January 2012
if you are not maintaining books then either you declare your income @ 8% of Rs. 60,00,000/- and if you want to show actual profit only, then you will have to maintain books and then you can show it as business income under normal provision and can pay tax on normal income of Rs. 200000
kanagaraj
(CHARTERED ACCOUNTANT)
(793 Points)
Replied 05 January 2012
Dear Sunil,
If your gross receipts are less than 60 lacs then you may go for estimation. But since your transport business and commssion cross the limit of 60 lacs that 65 lacs then you must get your accounts audited under section 44 AB.In such case you need not worry about the 8% net profit, you may show less income
regards
CAclubindia
