My partnership firm was formed in 2010-11 and still have not started its business. Hence there is nil income however partners have introduced some capital.
Is it compulsory to file income tax return even if the income is nil
Vivek Agrawal (GST Practitioner) (181 Points)
14 December 2016My partnership firm was formed in 2010-11 and still have not started its business. Hence there is nil income however partners have introduced some capital.
Is it compulsory to file income tax return even if the income is nil
VINAY BHARGAV KUMAR G
(Chartered Accountant)
(221 Points)
Replied 14 December 2016
It is mandatory for a firm to file Income Tax return
Sanjay S
(Chartered Accountant)
(1375 Points)
Replied 14 December 2016
Yes. Section 139(1) of Income Tax Act, 1961 makes it mandatory for Partnership Firms & Companies to file Return of Income regardless of the level of income earned.
FCA surbhi jain
(FCA)
(897 Points)
Replied 15 December 2016
Yes.. it is mandatory to file income tax return for a partnership firm even you have a nil incone.
CA.AZAD JAIN
(CA)
(201 Points)
Replied 29 May 2018
WHERE IS IT WRITTEN IN THE INCOME TAX ACT THAT FILING NIL RETURN IS COMPULSORY FOR PARTNERSHIP FIRM ?
SECTION 139(1)(a) OF IT ACT 1961 READS THAT "A COMPANY/FIRM IS REQUIRED TO SUBMIT ITS RETURN OF INCOME (REGARDLESS OF THE QUANTUM OF INCOME OR LOSS)"
WHAT I UNDERSTOOD FROM ABOVE IS THAT THE ACT SUGGESTS ONLY ABOUT FILING OF RETURN OF INCOME REGARDLESS OF THE QUANTUM OF INCOME OR LOSS. SO WHAT ABOUT THE REURN HAVING NO INCOME OR LOSS???
Garvit bansal
(student)
(22 Points)
Replied 20 November 2018
WHETHER RETURN FILING IS MANDATORY FOR A FIRM, IF FIRM IS CLOSED NOW.
ABHISHEK AGARWAL
(Student CA Final )
(22 Points)
Replied 18 December 2018
If Partnership firm not filling returns due to no income what penalty provision is apply ?
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