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Meaning of turnover as per sec 44ad

nitish (Self employed ) (102 Points)

27 June 2018

what is the defination of total turnover as per sec 44ad whether it includes taxable value plus gst or only taxable value and total sale reduce by sale return or not?

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21 Replies

Sundararajan S (Final Student of ICAI) (1764 Points)
Replied 27 June 2018

Only taxable value. It excludes GST. How come a tax collected and paid by you become your income. No way. You just pass on the burden of indirect tax. It's not your money. It's neither your income nor your expenditure.

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RAJA P M ("Do the Right Thing...!!!") (127921 Points)
Replied 27 June 2018

U/s 44ad the Turn Over calculated including GST / VAT values...

3 Like

ROHIT KHUTETA (STUDENT) (87 Points)
Replied 27 June 2018

Total value(inclusive of GST). bcz gst is payable additionally @ prescribe %

nitish (Self employed ) (102 Points)
Replied 27 June 2018

my question is why include gst, gst is not my income is there any circular or notification regarding this please let me know

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RAJA P M ("Do the Right Thing...!!!") (127921 Points)
Replied 27 June 2018

Originally posted by : nitish
	my question is why include gst, gst is not my income is there any circular or notification regarding this please let me know

Bcoz.,

You are declare u/s 44Ad as Presumptive

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ROHIT KHUTETA (STUDENT) (87 Points)
Replied 27 June 2018

sorry for the earlier wrong suggestion
Gst will not include in total turnover

RAJA P M ("Do the Right Thing...!!!") (127921 Points)
Replied 27 June 2018

Originally posted by : ROHIT KHUTETA

sorry for the earlier wrong suggestion

Gst will not include in total turnover

Dear.,

This is wrong...

1st one is correct...

nitish (Self employed ) (102 Points)
Replied 27 June 2018

as per icai guidance note gst will not be included in turnover .

RAJA P M ("Do the Right Thing...!!!") (127921 Points)
Replied 27 June 2018

Originally posted by : nitish
	as per icai guidance note gst will not be included in turnover .

Can You give that...???

That note is applicable to Sec 44AB & 44AA only. not in 44AD...

nitish (Self employed ) (102 Points)
Replied 27 June 2018

but defination of turnover is not given in sec 44ad so that we we take defination form 44ab

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RAJA P M ("Do the Right Thing...!!!") (127921 Points)
Replied 27 June 2018

Originally posted by : nitish
	but defination of turnover is not given in sec 44ad so that we we take defination form 44ab

What is the exact meaning of PRESUMPTIVE....?

nitish (Self employed ) (102 Points)
Replied 27 June 2018

persumting mean we are assuming that ur profit is 8% or higher and no deduction is allowed to you of expenses, persumting not mean govt charge tax on that part which is not a part of our sale we just collect the gst form my client and paid to the govt. so why we pay tax 8% on gst which is not our sale