Niraj Nirala (Student>>CA>>IPCC) (134 Points)
03 December 2018Hello professionals,
Please find the attached notice recevied from Income Tax and guide what would be the solution?
A short descripttion of issue is that assess has filed their ITR under 44AD and their vendor has deducted TDS under 194J hence A.O. is saying that the assessee has not shown their income of that amount which was under 194J however the assessee has included this income under 44AD.
Now please guide what is solution for the same? FInd the attached notice screenshot.
Ashwini
(Accountant)
(141 Points)
Replied 03 December 2018
Niraj Nirala
(Student>>CA>>IPCC)
(134 Points)
Replied 03 December 2018
We are providing some services which which is not covered by 44ADA hence filed 44AD. But some of the vendor has deducted TDS under 194J. Now what is solution? Can we have to revise our return or else? If we revise our return then can I file it under both some values under 44AD and some under 44ADA?
Z
( )
(2965 Points)
Replied 04 December 2018
| Originally posted by : Niraj Nirala | ||
 |
We are providing some services which which is not covered by 44ADA hence filed 44AD. But some of the vendor has deducted TDS under 194J. Now what is solution? Can we have to revise our return or else? If we revise our return then can I file it under both some values under 44AD and some under 44ADA? |  |
We are providing some services which are not covered by S.44ADA read with S.44AA(1) & hence we have filed the return in accordance with44AD which is the applicable provision in this case.
Something like this should have been your reply.
S.44ADA covers those professions which are covered in sub-section (1) of section 44AA. Whereas, S.194J require deduction of tax at source on all the professional income, S.44AA(1) is not exhaustive and include some of the specified professions.
Filing as per S.44ADA would be wrong in this case.
CAclubindia
