Hello
Section 44AD clearly disallowed deduction of partners salary and interest from presumptive profit. But what if firm maintains proper books of accounts and get it audited u/s 44AB. e.g. firms book profit is 15% of turnover. Firm maintaied proper books of accounts and claim deduction of salary interest as per section 40b and Net profit comes around 5% of turnover.
can firm pay tax on 5% of turnover after claiming deduction of interest & salary by proper maintaining books and get it audited u/s 44ab?
kindly clarify
CAclubindia
