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Interest n remuneration

prasad (government employee) (225 Points)

15 November 2019

For the ay 17-18, under section 44ad
how 8 percent income to. be arrived in case of firm? when interest n remuneration allowed before or after 8 percent.

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RAJA P M ("Do the Right Thing...!!!") (128096 Points)
Replied 15 November 2019

Profit will be shown 8/6 percentage. it's the main object...
Remuneration and interest not available if firm opt presumptive taxation scheme..

Not available after 8/6 percent

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Kapadia Pravin (17264 Points)
Replied 16 November 2019

For AY 2017-2018 under 44AD 8% / 6% OR Actual profit whichever is higher used to be presumptive business income and no seperate deductions for Remuneration and interest .

In a way it was given to understand that ad hoc deductions of 92% or 94% will be considered inclusive of Remuneration and interest .

Therefore no seperate deduction for Remuneration and interest available.

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RAJA P M ("Do the Right Thing...!!!") (128096 Points)
Replied 16 November 2019

Originally posted by : Kapadia Pravin
	For AY 2017-2018 under 44AD 8% / 6% OR Actual profit whichever is higher used to be presumptive business income and no seperate deductions for Remuneration and interest .In a way it was given to understand that ad hoc deductions of 92% or 94% will be considered inclusive of Remuneration and interest .Therefore no seperate deduction for Remuneration and interest available.