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Section 44ad exemption

Tax queries 889 views 1 replies

NagarajanS

Others

41 Points Joined July 2013

Hi,

I have an income from my Mutual Fund business, if there is a loss Section 44AD is applicable ?

Below article mentioned commission income is exempt from section 44AD

https://www.simpletaxindia.net/2013/08/tax-audit-mandatory-if-turnover-of.html

Following are Excluded /not covered under 44AD

(i) a person carrying on profession as referred to in sub-section (1) of section 44AA;

(ii) a person earning income in the nature of commission or brokerage; or

(iii) a person carrying on any agency business.

Recently I received notice under section 139(9) saying enter negative value in prodif column.

Thanks

Nagarajan

Replies (1)

DINU SUKUMAR

Audit Manager

176 Points Joined September 2013

Hii Sir,

You are right. Your accounts are not necessary to get audited, if the turnover is below 1C. Commision and agency business is not coming u/s 44AD. However, you are required to mantain books of account u/s 44AA. The assessing officer needs to compute your income from business wherever neccessary. Regards.