head of professional recpt in itr 4

Page no : 2

priyatambika ( ca final student) (323 Points)
Replied 31 August 2018

SO .. IT means while filling itr 4 only profit (50%)... but what there is loss in first yr due to various expenses.... even in this case itr 4 can be filled ??

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Sarath Chandra (CA Final Student) (566 Points)
Replied 31 August 2018

As the provision says presumptive income shall not be less than 50% of the total receipts. This implies that one cannot report loss under presumptive taxation. In order to report a loss, one should opt out of presumptive taxation scheme.

(Guest)

Effective from the financial year 2017-18 a late filing fee will be applicable for filing your returns after the due date i.e. 31st August 2018. The maximum penalty which can be charged is Rs. 10,000. If you file your ITR after the due date (31st Augist 2018) but before 31st December 2018, a penalty of Rs 5,000 will be levied. For returns filed later than 31st December 2018, the penalty levied will be increased to Rs 10,000. There is a relief given to small taxpayers – the IT department has stated that if the total income does not exceed Rs 5 lakh, the maximum penalty levied for delay will be Rs 1,000.