CA Pallav Singhania
(IT System Auditor)
(33362 Points)
Replied 17 September 2014
If its turnover is less then 1 cr. assessee can go for Presumptive taxtion U/S 44AD where 8 percent profit will be deemed his income and no deduction for sec 28 to 44D (like Depreciation) will be allowed. However, he can set off his lossess of other business and deduction under chapter VI A will be allowed..
No need to maintain books of accounts under 44AA in case of presumtive taxation...
If assessee wants to decalre profit less than 8 percent then section 44AB i.e, would be applicable..
Santhosh Poojary
(SIEMPRE AHÍ PARA TI)
(15607 Points)
Replied 17 September 2014
In your case Tax Audit is not required...as the total sales, turnover or gross receipts does not exceed Rs 1crore..!
CAclubindia
