Abdul Rauf (Accounts Practicener) (76 Points)
21 January 2017Hi friends,
I would like to know that who is eligible for section 44AD.
A garden contractor is eligible for section 44AD?
A mdeical shop keeper ( also patanajali product seller) is eligible?
A consultant is eligible for section 44AD?
How many are eligible.
Thanking you.
Tony John
(Chartered Accountant)
(6085 Points)
Replied 21 January 2017
Eligible assessee for the purpose of Section 44AD means an individual, HUF or a partnership firm, who is a resident, but not an LLP.
Turnover from eligible business should not exceed 2 crore rupees (wef AY 17-18). Eligible business here means any business except the business of plying, hiring or leasing goods carriages (Sec 44AE).
The provisions of Section 44AD shall not apply to:
a) a person carrying on profession u/s 44AA
(b) a person earning income in the nature of commission or brokerage; or
(c) a person carrying on any agency business.
So in simple terms, any person who fulfis the above conditions can opt for Section 44AD.
CAclubindia
