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Presumptive income

25 March 2018

Dear Sir,

Is there any minimum limit to show income under presumptive income. Suppose if i have income of 30Lacs from trading business, shall i show profit less than 8% in ITR-3 or i have to pay tax at 8%.

Thank you

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8 Replies

Dhirajlal Rambhia (SEO Sai Gr. Hosp.) (177824 Points)
Replied 25 March 2018

If your business is eligible for presumptive assessment u/s. 44AD.......

You have to declare minimum 6/8% profit margin, for non-maintenance of books of accounts.

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Dhirajlal Rambhia (SEO Sai Gr. Hosp.) (177824 Points)
Replied 25 March 2018

If your business is eligible for presumptive assessment u/s. 44AD.......

And if you wish to declare less than 8% (or 6% in case of banking mode) profit over turnover, and if your aggregate income is above basic exemption limit, then you are required to maintain books of account and get them audited.

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HIMANSHU GARG (138 Points)
Replied 25 March 2018

limit of 2 crore in the case of business and limit is 50 lakh in the case of profession and rate is 8% but if u made payment through bank presumptive income is 6%