Rajiv (Accountant) (137 Points)
28 July 2022Hi Everyone,
I am filing my income tax return but while payment self assessment tax along with interest u/s 234B & C through income tax website, it is not showing that we have to pay self assessment tax and interest payment separately or jointly.
Please advise what I have to do (to show income tax separately and interest payment under interest column separately).
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(178226 Points)
Replied 28 July 2022
You can do either way, total amount should be equal to your net tax liability as per ITR.
Usually, total amount is filled in basic column, which is accepted by TIN without any problem.
MPR Sanjay Kumar
(3118 Points)
Replied 28 July 2022
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(178226 Points)
Replied 28 July 2022
Tell me first in your example, what is total cash receipt including banking channel & cash? Cash you say 90K.
Similarly what are your total expenditures by bank & cash? Cash exp you said, 180K...
So, bank receipts & bank expenditures are to be assumed..
MPR Sanjay Kumar
(3118 Points)
Replied 28 July 2022
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(178226 Points)
Replied 28 July 2022
You are missing banking transactions for payments..
Hope you mean 55K as receipts through bank...
Secondly cash payments are 1.80 L or 5 lakhs?
MPR Sanjay Kumar
(3118 Points)
Replied 28 July 2022
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(178226 Points)
Replied 28 July 2022
Don't mix expense & receipts here, you are confused in it only...
Cash expense percentage is cash expense upon total expenses (cash+ bank) * 100
Similarly receipts.......
MPR Sanjay Kumar
(3118 Points)
Replied 28 July 2022
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(178226 Points)
Replied 28 July 2022
Here cash expense 1.80K
Bank expense 0.50 K
So, total expense 2.30K
So, cash expense upon total expense *100 === 1.80 / 2.30 ** 100 ==== 78.26%
In other words cash expenditures are 78.26 % of total expenses.
Similarly calculate cash receipts independently...
MPR Sanjay Kumar
(3118 Points)
Replied 28 July 2022
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(178226 Points)
Replied 28 July 2022
To conclude....
If cash receipts are 15 lakhs, & banking receipts are 3 crs.
Total receipts will be 3.15 Crs.
Here cash receipts are [0.15 upon 3.15] into 100 = 4.7519 % which is below 5 %. of total receipts...
& similarly if cash payments are also less than 5% of total payments....
than as per sec. 44AB(a) of IT act, tax audit limit being 10 crs, the books are not auditable.
MPR Sanjay Kumar
(3118 Points)
Replied 28 July 2022
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(178226 Points)
Replied 28 July 2022
Sec. 44AB(a) specifies the limit upto 10 Crs. only if both payments & receipts are below 5%.
If any or both are above 5 % the limit reduces to 1 Cr.
In above case when total turnover is around 3.15 Crs. & if cash expenses are above 5%, than tax audit will apply.
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(178226 Points)
Replied 28 July 2022
Sec. 44AB(a) specifies the limit upto 10 Crs. only if both payments & receipts are below 5%.
If any or both are above 5 % the limit reduces to 1 Cr.
In above case when total turnover is around 3.15 Crs. & if cash expenses are above 5%, than tax audit will apply.
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