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Presumptive taxation (urgent)

chetan (accountant) (321 Points)

06 August 2012

hi friends

If a business having loss of 12 lacs and its turnover around 35 lacs in such circumstances there is need to get audited book of accounts u/s 44AD.

Please reply with any reference in above case.

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6 Replies

U S Sharma (glidor@gmail.com) (21063 Points)
Replied 07 August 2012

44AD does not apply as the taxable income is below 8%, hence sec 44AB applies and audit is needed

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chetan (accountant) (321 Points)
Replied 08 August 2012

I have consult same thing with our company CA and after discussion he told us there is no need to get books audited & maintain.

Bcz the section is silent about the business loss.

m nagar (articled) (52 Points)
Replied 09 August 2012

yes you need to get your books of accounts audited..

TRIYAMBAK PATRO (IPCC STUDENT) (71 Points)
Replied 11 August 2012

IF COMPANYIS COVERED U/S 44AB THEN ANSWER IS YES BUT WHEN HIS INCOME IS BELOW THE MAXIMUM LIMIT CHARGABLE TO TAX THEN HE IS NOT REQUIRED TO GET HIS ACCOUNTS AUDITED AND NO NEED TO MAINTAIN BOOKS OF ACCOUNT

deeksha (article) (24 Points)
Replied 12 August 2012

when any income claimed is less than 8% of turnover, books are reqd to be audited u/s 44AB. Return to be filed on time to attain the c/f of loss.

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nirav dharod (Service) (82 Points)
Replied 12 August 2012

If your concern is not a Company and its taxable income is below basic exemption limit ,then only u are not required to get books audited.

Sec 44AD is not applicable to a Company ,and Co have to maintain books of account and get it audited(tax audit),[Stat Compulsory] only if turnover exceeds prescribed limits.