My client is carrying out business and not opted for presumptive taxation u/s 44AD. carrying out normal business.
Turnover of my client is below 1 crore and declared profit below 8%.
we need to do tax audit as income declared below 8%?
8 Replies
abhay garg
(Senior auditor)
(110 Points)
Replied 30 August 2020
This is the interpretation of section 44AB read with section 44AD
Harshit Jain
(132 Points)
Replied 30 August 2020
No, tax audit is not required but if u are covered by 44AD(4), and NTI>Basic exemption then yes audit is compulsory.
nikhil
(articleship)
(137 Points)
Replied 31 August 2020
As per my reading and interpretation of sec 44ab is that if we opt presumptive tax i.e 44AD and opted out within 5 yrs in any financial year than we need to do tax audit if NTI>basic exemption.
Correct me if am wrong.
Correct me if am wrong.
Harshit Jain
(132 Points)
Replied 31 August 2020
Yes that's what i was trying to tell you in my above reply, Actually 44AD(4) talks about opting out of presumptive taxation within 5 years
So as per me you are right in above reply
So glad I could help you.
So as per me you are right in above reply
So glad I could help you.
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