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Deduction Under Section 80C and 80GG

ejaz naiyer (C.A. FINAL) (293 Points)

06 July 2011

I want to know whether deduction under section 80C and 80GG will be avaiable if return is filed under section 44AD ( Retailer) for AY 2011-12.

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4 Replies

Vikas (CA) (1135 Points)
Replied 06 July 2011

Please read the explanation for the Sec.44AD

"Explanation.—For the purposes of this section,—

(a) “eligible assessee” means,—

(i) an individual, Hindu undivided family or a partnership firm, who is a resident, but not a limited liability partnership firm as defined under clause (n) of sub-section (1) of section 2 of the Limited Liability Partnership Act, 2008 (6 of 2009) ^27a ; and

(ii) who has not claimed deduction under any of the sections 10A, 10AA, 10B, 10BA or deduction under any provisions of Chapter VIA under the heading “C. - Deductions in respect of certain incomes” in the relevant assessment year;"

So there is no deduction under Chapter VI-A, available for those assessees who opt for Sec.44AD...

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CA ADITYA SHARMA (CA IN PRACTICE ) (16719 Points)
Replied 06 July 2011

Originally posted by : Vikas Vishwakarma
	Please read the explanation for the Sec.44AD "Explanation.—For the purposes of this section,— (a) “eligible assessee” means,— (i) an individual, Hindu undivided family or a partnership firm, who is a resident, but not a limited liability partnership firm as defined under clause (n) of sub-section (1) of section 2 of the Limited Liability Partnership Act, 2008 (6 of 2009) 27a ; and (ii) who has not claimed deduction under any of the sections 10A, 10AA, 10B, 10BA or deduction under any provisions of Chapter VIA under the heading “C. - Deductions in respect of certain incomes” in the relevant assessment year;" So there is no deduction under Chapter VI-A, available for those assessees who opt for Sec.44AD...

AGREED

CA PARAS BAFNA (Practising CA ) (33423 Points)
Replied 07 July 2011

No... Aditya and VV. You are not right.

Deduction Under Chapter VIA which are covered under the category B - available in respect of certain payments are allowable. Only those deductions which are in respect of certain incomes are not allowed.

Deductions U/s 80C to 80GGC and U/s 80U are allowed.