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Tax audit

Prabhudevaru (Article) (105 Points)

30 June 2010

If partnership firm is covered under tax audit partners are covered or not covered for tax audit

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10 Replies

SIVASIVA (FCA, Future CA) (4935 Points)
Replied 30 June 2010

undoubtedly

NO.

Tax audit is based on the income of an Assesse.

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SIVASIVA (FCA, Future CA) (4935 Points)
Replied 30 June 2010

Further,

Partners even if they get a salary of more than Rs.40 lac/Rs.60 lac,I PERSONALLY THINK they won't be covered under Tax Audit Liability.

Shan Antony (Industrial Trainee) (243 Points)
Replied 30 June 2010

I agree with sivasiva. Seperate limits are applicable for d individual. In the eyes of IT Act,firm and partners are diffent assessees.

V.Ganapathy Subramanian (Dy Manager Accounts) (62 Points)
Replied 30 June 2010

Partner is different from Firm, Both are having Separate status as per IT act . As per IT Act if the firm is under 44AB Audit the due date of Filling return for the Partners is also 30 th Sep of the Asst Year irrespect of his Individulal income. That is not meen that the Partners also personally under 44AB Audit . It will based on his income only

(Guest)

Originally posted by : V.Ganapathy Subramanian
	Partner is different from Firm, Both are having Separate status as per IT act . As per IT Act if the firm is under 44AB Audit the due date of Filling return for the Partners is also 30 th Sep of the Asst Year irrespect of his Individulal income. That is not meen that the Partners also personally under 44AB Audit . It will based on his income only

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CA kanhaiya kumar (CA PASSED IN NOV.11 EXAM) (197 Points)
Replied 30 June 2010

u are Right ganapathy

(Guest)

Originally posted by : V.Ganapathy Subramanian
	Partner is different from Firm, Both are having Separate status as per IT act . As per IT Act if the firm is under 44AB Audit the due date of Filling return for the Partners is also 30 th Sep of the Asst Year irrespect of his Individulal income. That is not meen that the Partners also personally under 44AB Audit . It will based on his income only

Priya (Financial Analyst) (67 Points)
Replied 30 June 2010

Firm and Individual are different person. if firm is under tax audit it doesn't mean that even the partners are under it.

CA.Madhu (Charted Accountant) (204 Points)
Replied 01 July 2010

Hi,

I agree with Radhekrishna. The partners income is deriving from a firm which is already under purview of tax Audit. Where as for the same line item Tax Audit need not require i mean.

And as per the tax audit due date is 30th Sep. Firm has to file the returns with tax audit report on due date,where as partners are not liable for same.

Though Remuneration of partners is liable under business income, it does not cover under purview of Tax Audit

Prabhudevaru (Article) (105 Points)
Replied 01 July 2010

Originally posted by : V.Ganapathy Subramanian

Partner is different from Firm, Both are having Separate status as per IT act . As per IT Act if the firm is under 44AB Audit the due date of Filling return for the Partners is also 30 th Sep of the Asst Year irrespect of his Individulal income. That is not meen that the Partners also personally under 44AB Audit . It will based on his income only

So partners should file the return on 30th sep right