CA J.Alamelu lakshmi (Chartered Accountant) (852 Points)
06 August 2013Can the follwing activities be considered as Business for the purpose of return filing u/s 44AD :
1. A proprietorship concern carrying on the business of developing software and applications and web designing?
2. A partnership doing the activity of recruiting agents and other human resource for insurance companies?
Plz reply asap
Aman
(Finance Professional)
(604 Points)
Replied 06 August 2013
as per me 1st should come under technical consultancy & 2nd one under agency business...hence both the businees comes under 44AD..
CA J.Alamelu lakshmi
(Chartered Accountant)
(852 Points)
Replied 06 August 2013
But agency business cannot be considered for Sec 44AD as per Finance act 2012 right?
Swami Ayyappa Nuli
(TAX ADVISOR & CONSULTANT AT G.S.T SUVIDHA CENTER)
(1372 Points)
Replied 06 August 2013
Sec 44AD is not applicable to Profession referred under section 44AA.under sec 44AA both Information Technology and Technical consultancy services.so in ur first case,sec 44AD will not be applicable.similarly in second case too, is itself exempted under sec 44AD as it may cover under Agency business or comission and brokerage.
thank you and pls intimate me if iam wrong and also in case of above assertion is correct and ur doubt is cleared
CA J.Alamelu lakshmi
(Chartered Accountant)
(852 Points)
Replied 06 August 2013
I agree.
But for example take the case of a doctor who is covered u/s 44AA. Doctor is a professional but we cant say so in the case of a hospital.
In the first case, they are providing technical services by developing websites and mobile applications.
In the second case, why should we take it as an agency business if it like a contract to recruit human resource for the companies. They are not insurance agents but procuring such agents.
Aman
(Finance Professional)
(604 Points)
Replied 06 August 2013
Sorry i forgot to write "NOT" in 1st comment....i mean to say in both the cases 44AD is not applicable..
Pakshal Shah
(Practicing Chartered Accountant)
(271 Points)
Replied 06 August 2013
| Originally posted by : nuli swami ayyappa | ||
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Sec 44AD is not applicable to Profession referred under section 44AA.under sec 44AA both Information Technology and Technical consultancy services.so in ur first case,sec 44AD will not be applicable.similarly in second case too, is itself exempted under sec 44AD as it may cover under Agency business or comission and brokerage. thank you and pls intimate me if iam wrong and also in case of above assertion is correct and ur doubt is cleared |
 |
Agreed !!
GSTR 9 and 9C for FY 23-24 as amended by Notification 12/2024 dated 10th July 2024(with recording)
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